Atos Se · EURONEXT:ATO
Atos — Q1 2018 Earnings Presentation
27 slides from Atos's earnings presentation, Apr 25, 2018
Slide 1: Q1 2018 revenue
Q1 2018 revenue Bezons April 25, 2018
Slide 2: Disclaimer
Disclaimer ▶This document contains forward-looking statements that involve risks and uncertainties, including references, concerning the Group's expected growth and profitability in the future which may significantly impact the expected performance indicated in the forward-looking statements. These
Slide 3: Agenda
Agenda 1.Q1 2018 highlights 2.Operational & financial performance 3.Commercial activity 4.Conclusion and Q&A 3 | Atos – Q1 2018 revenue
Slide 4: Q1 2018 highlights
Q1 2018 highlights Thierry Breton Chairman & CEO
Slide 5: Q1 2018 highlights
Q1 2018 highlights Sales momentum driving book to bill at 100% and organic revenue growth at +2% Digital Transformation Factory drove growth acceleration in Business & Platform Solutions above the 3-year plan target Big Data & Cybersecurity and Worldline continuing to strongly contribute to Group re
Slide 6: Q1 2018 key figures
Q1 2018 key figures €2,945m €2,941m 97,297 Revenue Order entry Total headcount +3.7% at constant exchange rates +2.0% 100% -0.8% Organic growth Book to bill Headcount evolution vs. 93% over the last 5 Q1 since end of 2017 at constant scope 6 | Atos – Q1 2018 revenue
Slide 7: Global partnership with Google Cloud: another validation and reinforcement of Atos leadership
Global partnership with Google Cloud: another validation and reinforcement of Atos leadership in Orchestrated Hybrid Cloud Powering digital transformation of large At the edge of technology, leveraging organizations with secured end-to-end hyperscale, digital consumer derived, and services and solut
Slide 8: Global partnership with Google Cloud: Atos becomes the trusted last mile
Global partnership with Google Cloud: Atos becomes the “trusted last mile” of the digital information chain Atos Canopy AI-powered hybrid cloud Orchestrated platform, fully compliant with Hybrid Cloud regulation (incl. GDPR) Build and run industry-specific Atos Codex solutions and platforms across A
Slide 9: 2018 Objectives
2018 Objectives Revenue +2% to +3% organic growth Operating 10.5% to 11% margin of revenue Free cash flow c. 60% of operating margin 9 | Atos – Q1 2018 revenue
Slide 10: Operational & financial performance
Operational & financial performance Elie Girard Group CFO
Slide 11: Constant scope and exchange rates figures reconciliation
Constant scope and exchange rates figures reconciliation Q1 2017 Q1 2017 Q1 2018 Restated for % change Reported In € million IFRS 15 Statutory revenue 2,945 2,955 -0.3% 3,111 Exchange rates effect -116 -122 Revenue at constant exchange rates 2,945 2,839 +3.7% 2,989 Scope effect 52 52 Exchange rates
Slide 12: Q1 2018 performance by Division
Q1 2018 performance by Division ▶ Infrastructure & Data Management impacted by North America; excluding North America: in line ▶ Strong acceleration of Business & Platform Solutions ▶ Double digit growth in Big Data & Cybersecurity ▶ Worldline pursues its healthy trend Organic Q1 2018 Q1 2017* In €
Slide 13: Infrastructure & Data Management
Infrastructure & Data Management ▶ Continued development of Hybrid Cloud and Digital Workplace in all geographies ▶ North America impacting the overall performance ▶ Staff decrease linked to automation North America 14% In € million Q1 2018 27% Germany Revenue 1,563 7% Organic growth -1.6% United-Ki
Slide 14: Business & Platform Solutions
Business & Platform Solutions ▶ Strong dynamic in digital transformation projects in particular in analytics with Codex ▶ Positive growth in almost all geographies and verticals ▶ Staff decrease linked to robotization France In € million Q1 2018 27% 28% Revenue 799 Germany Organic growth +4.8% Benel
Slide 15: Big Data & Cybersecurity
Big Data & Cybersecurity ▶ Solid momentum in Big Data with increasing HPC and Bullion sales ▶ Continued strong demand for Cybersecurity services ▶ Increasing internationalization of the Division ▶ Strong level of hiring of critical competencies France In € million Q1 2018 25% 40% Germany Revenue 200
Slide 16: Worldline
Worldline In € million Q1 2018 ▶ Strong and balanced activity across Business Lines Revenue 384 Organic growth +5.8% ▶ Good sales momentum in particular in Financial Order Entry 389 Book to Bill 101% Processing Direct headcount 8,925 ▶ Increased number of staff through hiring of key Variation in Q1
Slide 17: Q1 2018 performance by Business Unit
Q1 2018 performance by Business Unit ▶ Very solid performance in the UK in a complex environment 13% 17% ▶ France returning to strong growth ▶ High growth recorded in Other Business Units 17% 16% Organic 9% Q1 2018 Q1 2017* In € million evolution 14% Germany 507 507 +0.0% 14% North America 472 487 -
Slide 18: Q1 2018 headcount evolution
Q1 2018 headcount evolution +2,838 -3,607 +799 97,267 97,297 Headcount as of Scope Hiring Leavers, Headcount as of 31/12/17 restructuring 31/03/18 & dismissals 18 | Atos – Q1 2018 revenue
Slide 19: Commercial activity
Commercial activity Robert Vassoyan Chief Commercial Officer
Slide 20: Q1 2018 commercial activity dashboard
Q1 2018 commercial activity dashboard Order entry Book to bill ratio €2,941m 100% vs. 93% over the last 5 Q1 Backlog Weighted pipeline €22.1bn €7.6bn 1.9 years of revenue 7.7 months of revenue and +10% y/y 20 | Atos – Q1 2018 revenue
Slide 21: Main wins in Q1 2018 showing Digital acceleration
Main wins in Q1 2018 showing Digital acceleration Orchestrated European “Atos is “Reference clients scored establishing Hybrid Cloud Insurance digital trust Atos well above the group average in […] […] on who innovation proposed and owns and can SAP HANA access data.” realized. Gartner Everest Digit
Slide 22: Immediate Sales Actions
Immediate Sales Actions Increase Top accounts Accelerate growth #1 Wallet share #2 and Digital sales 100 Globally Integrated accounts by End of New sales incentives: Individualized, Digital 2018 Re-allocation of experts to customer facing Significant wallet share improvement in 3 Replicate
Slide 23: North America back to growth through short term objectives
North America back to growth through 4 short term objectives 100% contract renewal • Dedicated renewals team • Top management focus Strong focus on up/cross- • Dynamic reallocation of critical bid resources to key sell & fertilization deals • Implement Atos best practices from other Business 60%+ wi
Slide 24: Conclusion
Conclusion Thierry Breton Chairman & CEO
Slide 25: 2018 priorities
2018 priorities Accelerating digital Rolling-out transformation businesses Artificial Intelligence supported by digital skilling & in all our offerings competence building Global Partnership with Google Deploying the new TOP Pursuing selective acquisition transformation programs to strategy, fully s
Slide 26: Q&A
? ? Q&A
Slide 27: Thanks
Thanks Atos, the Atos logo, Atos Codex, Atos Consulting, Atos Worldgrid, Worldline, BlueKiwi, Bull, Canopy the Open Cloud Company, Unify, Yunano, Zero Email, Zero Email Certified and The Zero Email Company are registered trademarks of the Atos group. April 2016. © 2016 Atos. Confidential information