Teleperformance Se · EURONEXT:TEP
Teleperformance — Teleperformance Ord — H1 2025 Earnings Presentation
36 slides from Teleperformance's earnings presentation, Jul 31, 2025
Slide 1: H1 2025 Results
P H1 2025 Paris, July 31, 2025
Slide 2: Disclaimer
Disclaimer All forward-looking statements reflect TP management’s present expectations of future events and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. For a detailed description of
Slide 3: Agenda: Key Highlights
02. 03. 04. 01. H1 2025 Financials 2025 Outlook Q&A Key Highlights H1 2025 Financials July 31, 2025 33
Slide 4: Thomas Mackenbrock, Deputy CEO
Thomas Mackenbrock Deputy CEO H1 2025 Financials July 31, 2025 4
Slide 5: H1 2025 | Key financial highlights
H1 2025 | Key financial highlights H1 revenue / +1.5% like-for-like1 to €5,116 million (+0.8% as reported) Acceleration in / Core Services w/ strong +2.9% LFL H1 revenue growth, in particular EMEA/APAC w/ +4.7% LFL Core Services / Acceleration of growth momentum in Q2 to 3.5% LFL (vs. 2.3% LFL in Q1
Slide 6: Historical quarterly LFL revenue growth of Core Services
Historical quarterly LFL revenue growth of Core Services1 1 5,00% +3.8% 4,00% 1 +3.5% 3,00% 1 2,00% +2.3% 1 +1.6% 1,00% 0 +1.1% 0,00% 0 -1,00% -0.9% - -1.7% -2,00% Q4 Q1 Q2 Q3 Q4 Q1 Q2 1 For 2024, LFL pro forma at constant exchange rates including Majorel H1 2025 Financials July 31, 2025 6
Slide 7: Acceleration in Core Services in Q2 2025
Acceleration in Core Services in Q2 2025 H1 2025 revenue breakdown by activity and region Core Services / Revenue growth acceleration in Q2 to +3.5% LFL1 (vs. +2.3% in Q1) / Strong momentum in particular in Europe, Middle East Specialized and Asia-Pacific with +5.7% LFL1 in Q2 (vs.+3.8% in Q1) Servi
Slide 8: LLS: successful implementation of efficiency measures
LLS: successful implementation of efficiency measures Cost per minute decreased to below 2024 levels at the end of Q2 Change in cost per minute of over-the-phone volumes1 +0.8% 115 110 / Volatile business environment in the US led to softening of LLS growth in H1; hence, 105 implementation of a vari
Slide 9: Sustained growth across a variety of verticals
Sustained growth across a variety of verticals H1 2025 revenue breakdown1 Automotive FMCG2 Other Broad In H1 2025, diversified sustained clientgrowth portfolio in across the Governments, all major verticals FMCG2 and Media, Entertainment Gaming, and Retail e-commerce sectors 3% 3% 7% Healthcare / Br
Slide 10: Sustained growth in strategic focus areas
Sustained growth in strategic focus areas H1 2025 revenue breakdown Well-diversified Strong The Care growth segment inportfolio back-office/BPO achievedof business sustained andlines other growth, targeted accretive services1 to the Group’s across the reported regionsgrowth Specialized Services / We
Slide 11: H1 2025 | Strategic highlights
H1 2025 | Strategic highlights ‘Future Forward’ strategy TP.ai FAB (AI & human orchestration), expansion of TP.ai Data Services (w/ AgentsOnly), new AI partnerships (EMA, Parloa, Sanas), new AI Officer, and strengthening of capabilities (e.g. IT Services, F&A, B2B Sales) External growth to further s
Slide 12: Key pillars of the Future Forward growth strategy
Key pillars of the Future Forward growth strategy 1 2 3 GROW THE CORE EXTEND CAPTURE NEW WITH AI VERTICAL PLAYS OPPORTUNITIES IN AI Use tech and AI to deliver Expand verticalized solutions by Accelerate growth in markets enhanced client outcomes, building industry-specific end-to- along the AI value
Slide 13: Examples of recent wins in H1 2025
Examples of recent wins in H1 2025 1 2 3 GROW THE CORE EXTEND CAPTURE NEW WITH AI VERTICAL PLAYS OPPORTUNITIES IN AI / Won a large multi-year deal with a / Strengthen a long-standing relationship / Signed a GenAI data services deal leading global logistics player to with a leading US health carrier
Slide 14: Strengthening TP capabilities
Strengthening TP capabilities PEOPLE PROCESSES TECHNOLOGY DOMAIN EXPERTISE / Continued global / Enhanced update of / TP.ai FAB (AI & human / Double digit growth in firmwide upskilling TOPS & BEST process orchestration platform) strategic areas (e.g., program in excellence programs Data Services, Ana
Slide 15: Anna.AI recruiter deployed across 50% of hiring sites
CASE STUDY A national employer deployed TP’s proprietary recruiter Anna.AI across 50% of hiring sites. OUR APPROACH IMPACT Human in the loop workflows 4X HIRES PER RECRUITER Flexibility and scalability 2.5x Customized for multiple roles 2.5X INCREASE IN LEADS VOLUME Onsite and online deployments Bas
Slide 16: H1 2025 Financials
01. 03. 04. Key Highlights 02. 2025 Outlook Q&A H1 2025 Financials H1 2025 Financials July 31, 2025 16 July 31, 2025
Slide 17: Olivier Rigaudy, Deputy CEO and Group CFO
Olivier Rigaudy Deputy CEO and Group CFO H1 2025 Financials July 31, 2025 17
Slide 18: A resilient operating model
A resilient operating model / Solid LFL growth in H1, €m H1 2025 H1 2024 with positive momentum in Core Services €/$ exchange rate (12-month average) €1 = US$1.09 €1 = US$1.08 Revenue 5,116 5,076 Reported growth +0.8% / Recurring EBITA affected 1 +1.7% excl. by negative FX impact and Like-for-like g
Slide 19: Solid LFL growth in H1 2025
Solid LFL growth in H1 2025 Encouraging commercial momentum and ramp-up from new AI solutions (€m) +0.8% / Negative FX impact due to a stronger euro, o/w -€114m in Q2 5,076 +89 5,116 (121) / Hyperinflation impact of -0.3% in Q2 and -0.2% in H1 4,955 +72 (Argentina and Turkey) / LFL growth driven by
Slide 20: Material translation effect on revenue
Material translation effect on revenue €121m negative currency effect from strengthened euro against most currencies % of FY24 Change (%) H1 25 vs. H1 24 revenue (avg. rates) Euro 33% N/A US dollar 31% -1% Indian rupee 6% -4% Colombian peso 6% -7% Pound sterling 6% +1% Brazilian real 2% -13% Egyptia
Slide 21: Positive momentum in Core Services
Positive momentum in Core Services Acceleration in growth in Q2 Lfl revenue growth (%) Q1 2025 Q2 2025 Core Services +2.3% +3.5% Specialized Services / Exc. non-renewal of a significant visa contract -2.4% //+2.5% +3.8% -11.6% //+3.3% +2.2% Group / Exc. non-renewal of a significant visa contract +1.
Slide 22: Positive momentum in Core Services
Positive momentum in Core Services Continued improvement in Europe, MEA & Asia-Pacific: +5.7% like-for-like in Q2 vs. +3.8% in Q1 Revenue (€m) Q2 2025 Q2 2024 % change 1 Reported Like-for-like Core Services 2,132 2,155 -1.1% +3.5% - Americas 973 1,041 -6.6% +1.1% - Europe, MEA & APAC 1,159 1,114 +4.
Slide 23: Recurring EBITA affected by volatility in the business environment
Recurring EBITA affected by volatility in the business environment H1 2025 H1 2024 Recurring EBITA (€m) €m Margin €m Margin - Americas 240 11.8% 249 11.9% - Europe, MEA & Asia-Pacific 226 9.7% 209 9.3% +40 bps vs. H1 2024 1 - Holdings 19 N/A 19 N/A Core Services 485 11.1% 477 11.0% +10 bps vs. H1 20
Slide 24: Maintained profitability excluding currency effect
Maintained profitability excluding currency effect Main drivers in the change in recurring EBITA margin 13.9% -15 bps +40 bps 13.9% -30 bps / Excluding FX effect, the EBITA margin 0 bps -25 bps was stable at 13.9% in H1 2025 13.6% 1 H1 24 Rec. LLS in Q1 TLScontact Mix effect Operational H1 25 Rec. F
Slide 25: Increase in operating profit thanks to lower synergy costs
Increase in operating profit thanks to lower synergy costs H1 2025 H1 2024 €m Change Revenue 5,116 5,076 +0.8% EBITA before non-recurring items 697 703 -0.9% % of revenue 13.6% 13.9% Amortization of intangible assets (112) (110) Non-recurring items (55) (90) - Performance share plan (45) (48) 1 - Ot
Slide 26: Stable net profit excluding non-cash items
Stable net profit excluding non-cash items / Decrease in financial result: €m H1 2025 H1 2024 Operating profit 530 503 / Unfavorable exchange rate gains and losses (-€60m vs. H1 2024), mainly due Financial result (158) (99) to the Egyptian pound o/w Other financial income and expenses (FX-related) (
Slide 27: Front-loaded outflows in 2025
Front-loaded outflows in 2025 / Lower FCF mainly due to front loaded outflows in 2025: €m H1 2025 H1 2024 1 • Lower reimbursement of VAT credit vs. H1 2024 Cash flow 496 580 (€50m+) Change in working capital (122) (46) • Full-year increase in cash tax mainly borne in H1 Net capital expenditure (115)
Slide 28: Capital allocation
Capital allocation Further shareholder returns and selective external growth +4812 +923 4,482 / €30m share buy-back in H1; ongoing Lease €100m program, mostly completed 3,890 (259) +2781 796 as of end of July 2025 Lease 796 / Acquisition of ZP and AI partnerships and investments / Strong Investment
Slide 29: 2025 Outlook
01. 02. 04. Key Highlights H1 2025 Financials 03. Q&A 2025 Outlook H1 2025 Financials July 31, 2025 29 29
Slide 30: 2025 outlook updated
2025 outlook updated Revenue growth / Group LFL growth at the lower end of the initial +2% and +4% range High EBITA margin / Recurring EBITA margin between 15% and 15.1% at constant exchange rates Strong cash generation / Sustainable net free cash flow 1 of around €1 billion 1 Before non-recurring i
Slide 31: Our financial ambitions for 2028
Our financial ambitions for 2028 SUSTAIN MID SINGLE BALANCE SHEET DIGIT GROWTH STRENGTH WITH HIGH FINANCIAL TARGET FLEXIBILITY 4-6% TARGET ORGANIC CONSOLIDATED LEVERAGE OF 1.2x YEARLY REVENUE GROWTH IN 2028 NET DEBT / EBITDA COST HIGH NET FCF DISCIPLINE TARGET RECURRING GENERATION AND MARGIN EBITA M
Slide 32: Q&A
01. 02. 03. Key Highlights H1 2025 Financials 2025 Outlook 04. Q&A H1 2025 Financials July 31, 2025 32 32
Slide 33: Appendix
APPENDIX H1 2025 Financials July 31, 2025 33
Slide 34: Alternative Performance Measures
Alternative Performance Measures Change in like-for-like revenue: Change in revenue at constant exchange rates and scope of consolidation = (current-year revenue - last-year revenue at current-year rates - revenue from acquisitions at current-year rates) / last-year revenue at current-year rates. EB
Slide 35: Impact from hyperinflation in Argentina and Turkey
Impact from hyperinflation in Argentina and Turkey IAS 29 impact Q1 2025 Q2 2025 H1 2025 Like-for-like revenue growth (%) +1.6% +1.3% +1.5% IAS 29 impact on like-for-like revenue growth (%) -0.1% -0.3% -0.2% Like-for-like growth adjusted for IAS 29 impact (%) +1.7% +1.6% +1.7% H1 2025 Financials Jul
Slide 36: tp.com
e. Emotional () uate Intelligence tp.com