On Monday after the close, Atos posted third-quarter revenue of €1.98 billion, down 10.5% on an organic basis, as the French IT and digital transformation group continued to execute its “Genesis” restructuring plan.
The company confirmed its 2025 profitability and cash flow targets despite the revenue decline.
Still, shares in Atos slumped more than 9% in premarket trading Tuesday.
The group recorded an estimated net cash outflow of €38 million for the quarter, achieved without using receivables factoring or other short-term cash optimisation measures.
The figure includes €87 million in restructuring costs as Atos continues to streamline operations and reduce its cost base.
The Atos Strategic Business Unit (SBU) generated €1.62 billion in revenue, down 19% organically, reflecting exits from low-margin contracts and a soft market.
Meanwhile, the Eviden SBU reported a 77% organic increase to €356 million, boosted by around €200 million from the Jupiter contract.
Atos said the book-to-bill ratio stood at 66%, unchanged from a year earlier, with improving cross-selling and renewals.
It noted “signs of recovery” in North America and in the Germany, Austria and Central Europe region.
Chief Executive Philippe Salle said: “We continued to execute on our strategy and transformation plan. Business fundamentals are being restored. Our cost base is under control with further restructuring and savings achieved over the summer.”
Atos reaffirmed that it expects to meet its full-year profitability and cash generation targets and projected a return to organic growth and positive cash flow in 2026, supported by a stronger sales pipeline and further cost optimisation.
On Monday after the close, Atos posted third-quarter revenue of €1.98 billion, down 10.5% on an organic basis, as the French IT and digital transformation group continued to execute its “Genesis” restructuring plan.
The company confirmed its 2025 profitability and cash flow targets despite the revenue decline.
Still, shares in Atos slumped more than 9% in premarket trading Tuesday.
The group recorded an estimated net cash outflow of €38 million for the quarter, achieved without using receivables factoring or other short-term cash optimisation measures.
The figure includes €87 million in restructuring costs as Atos continues to streamline operations and reduce its cost base.
The Atos Strategic Business Unit (SBU) generated €1.62 billion in revenue, down 19% organically, reflecting exits from low-margin contracts and a soft market.
Meanwhile, the Eviden SBU reported a 77% organic increase to €356 million, boosted by around €200 million from the Jupiter contract.
Atos said the book-to-bill ratio stood at 66%, unchanged from a year earlier, with improving cross-selling and renewals.
It noted “signs of recovery” in North America and in the Germany, Austria and Central Europe region.
Chief Executive Philippe Salle said: “We continued to execute on our strategy and transformation plan. Business fundamentals are being restored. Our cost base is under control with further restructuring and savings achieved over the summer.”
Atos reaffirmed that it expects to meet its full-year profitability and cash generation targets and projected a return to organic growth and positive cash flow in 2026, supported by a stronger sales pipeline and further cost optimisation.
Source :
https://www.investing.com/news/earnings/atos-q3-revenue-falls-as-transformation-plan-advances-4297611
source https://www.investing.com/news/earnings/atos-q3-revenue-falls-as-transformation-plan-advances-4297611
