Atos revenue drops for the second year in a row
Results were dragged down by contract losses and a weak market environment
Atos has reported decreasing figures in its FY25 preliminary results, following a year marked by strategy transition, layoffs and a weak market environment.
Revenue now stands at €8bn (£7bn), a nearly 20 per cent dip from €9.6bn.
For the full year, Atos strategic business unit (SBU) earnings fell 16.2 per cent to €7bn.
Eviden SBU, the firm’s arm focused on cybersecurity products, advanced computing, mission-critical systems and vision AI, increased 6.7 per cent to €1bn.
In Q4, its turnover landed at €2bn, a 9.3 per cent year-on-year organic decline, impacted by contract losses and voluntary exits, as well as a weak overall market environment.
Atos SBU generated estimated revenue of €1.7bn, down nine per cent organically compared with Q4 2024, despite what the company described as quarter-on-quarter improvement in most regions, particularly in the UKI and North America.
Eviden SBU recorded top line of €265m in Q4, a 11.2 per cent year-on-year decrease, due to the absence of a large HPC contract delivered during that period,
The French organisation stated its longer-term financial ambitions remain unchanged, and that financial targets for FY26 will be communicated on 6 March, alongside the release of its audited full-year results.
The firm, which employs around 63,000 staff across 61 countries, has shared revenue drops in every quarter of the financial year, marking its second consecutive annual decline.
Over the past 12 months, the company has restructured its operations in an effort to return to growth.
In September, it cut 135 roles across functions including marketing, HR and finance to improve operations and boost competitiveness.
These measures reportedly fell within its “Genesis” strategy, unveiled in May.
The four-year transformation plan targets revenue of between €9bn and €10bn and an operating margin of around ten per cent by 2028.
The strategic shift follows Philippe Salle’s appointment as CEO in February, making him the seventh person to assume this role since 2019.