Atos presents today its mid-term Ambition: The Leader in Secure and Decarbonized Digital

Paris, June 24, 2020

These days, at the occasion of a absolutely world and electronic 2020 Analyst Working day, the Team presents its Eyesight, Ambition and Approach in the mid-expression.

Elie Girard, CEO said: “Atos’ ambition is to develop into the chief in secure and decarbonized electronic. About the next yrs, the Team will pivot towards development, leveraging on SPRING to shift Atos to an Field strategy and seize this decade’s new Cloud and Electronic breakthroughs, on Electronic Security to maximize additional its management, and on Decarbonization exactly where Atos is a pioneer in bringing to its shoppers its one of a kind know-how the two on main IT, and on business procedures. Acquisitions of bolt-on Electronic specialists as perfectly as Cybersecurity professionals will increase Atos presenting and development profile.

As a final result of this technique, Electronic, Cloud, Security, and Decarbonization are expected to stand for 65% of Team profits in the mid-expression in contrast to forty% right now reflecting a key improve in the Team presenting. Atos solid technological DNA, its longstanding world partnerships, as perfectly as the solid buyer obsession culture of its 110 000 colleagues, are the suitable strengths to have interaction in this journey.

With no economic leverage and hence the expected economic solidity to shift forward, Atos is absolutely geared to arrive at its mid-expression targets for the advantage of all its stakeholders.”

Mid-expression targets

The Group’s ambition is to arrive at the adhering to targets in the mid-expression:

• Earnings development at continual forex: +5% to +7%
• Running margin charge: 11% to 12% of profits
• Free of charge funds movement: an functioning margin conversion charge to free of charge funds movement higher than 60%.

The Team confirms all the aims for 2020 as communicated as of April 22, 2020 at the occasion of its Q1 2020 profits release.

Eyesight, Ambition & Approach

The Team thinks that Digitalization has shipped only a fraction of its probable. Although the facts deluge of the past 10 years will accelerate, it will now be topped by a profusion of facts-pushed solutions. In this new era, shoppers are contacting for value – they want end result-based solutions –, knowledge – they want impressive and flexible solutions –, and safety – they want secure and decarbonized solutions.

Those buyer phone calls focus on 7 key electronic breakthroughs which flip into development levers for Atos leveraging on its capabilities and belongings (during the Analyst Working day a unique session will be committed to every single of these electronic breakthroughs):

one) Complete Stack Cloud

The shift to the Cloud is accelerating into Hybrid Cloud (Personal and Public Clouds), multi-Cloud (across many Public Clouds), and convergent Cloud methods (migration and modernization of Knowledge, Platforms and Purposes together) developing a holistic strategy to the Cloud, a Complete Stack Cloud. This evolution requires an greater orchestration purpose. In addition, the most complex application landscapes have started to shift into the Cloud. Atos is developing on its new profile (Application Modernization knowledge from Syntel), its longstanding knowledge in Business Crucial Purposes and SAP, and its solid proximity with Hyperscalers to seize this Complete Stack Cloud shaping and acceleration.

two) Business Crucial Purposes

Digitalization accelerates into Business Crucial Purposes territory necessitating an intensification of cloudification, Knowledge analytics, IoT, regional facts processing, and 5G. Business continuity criticality emphasised during the Covid-19 disaster has been fostering additional this development. Atos is leveraging on its DNA in vertical Business Crucial Purposes enhanced by SPRING transformation, and its regional facts processing capabilities (Edge computing) to seize this all-natural sizeable market place chance.

3) Electronic Platforms

Electronic Platforms have develop into the initially business transformation priority of CEOs for the yrs to occur, and will be originating an believed 70% of the new value created in the financial state. Electronic Platforms, which empower the sharing facts from enterprises inside or across value chains, is a transformative development with a big untapped chance in the B2B entire world. By means of its end-to-end electronic capabilities mixed with a deep market awareness, Atos, as a regarded chief in Security and Computing, is ideally positioned as the neutral business Electronic Platforms’ operator.

4) Customer Experience

In this new era of Digitialization, Customer Experience will be important to broaden the arrive at of the newly created facts-pushed solutions. This will go away the sole domain of consumer interface to encompass additional immersive knowledge, authentic-time innovation and seamless omni-channel, as perfectly as “No User Interface” logics. Atos leverages on IP-pushed solutions to bring systems such as Synthetic Intelligence/Device Understanding (AI/ML), IoT / Edge (Regional Computing), and authentic-time Cloud and Application architectures to Customer Experience territory to unleash the electricity of Digitalization.

5) Worker Experience

More to the Covid-19 disaster, the Team, who is now a Electronic Office market place chief, estimates that organizations will shift from 10% to more than forty% of get the job done-from-household in the new standard. Leaving guiding the fast fixes carried out during the disaster, the time period to occur will see Electronic Office changed by a holistic Worker Experience strategy, such as reimagined collaboration and flexible working. Constructing on its solid Unified Communications and Security solutions, its lover ecosystem, and its Field unique Design and style Wondering and Personas, Atos intends to develop into the distant chief in Worker Experience in the new standard.

six) Digital Security

Electronic Security encompasses Cybersecurity, but also Mission Crucial Systems, IoT Security, and Financial Security – pointing at the willingness from shoppers not to depend on a solitary technologies company. Cybersecurity is evolving at a really fast pace due to an at any time switching Cyber threat landscape, a pervasive Knowledge atmosphere, and an greater assault surface area ensuing from « hybrid electronic ». Atos is right now #3 in Cybersecurity solutions around the globe, and has produced a one of a kind Cybersecurity innovation track document in purchase to secure end customers, IoT and Knowledge as perfectly as detecting and responding to threats with its prescriptive Security Operation Facilities. The Team intends to complement its systems by means of Managed prolonged Detection & Response, Privilege Entry Management, and Cloud Encryption. The Team ambitions to arrive at more than €2bn profits in Electronic Security in the mid-expression.

7) Decarbonization

Atos has produced over the earlier 10 yrs a one of a kind Decarbonization knowledge, perfectly regarded by all sustainability rankings. The Team has made the decision to announce right now its motivation to be Internet-Zero Carbon by 2035, reinforcing its management. Decarbonization is now coming into the Boardrooms of shoppers, and is supported by unparalleled general public procedures and societal aspirations. Atos can leverage on its one of a kind know-how to condition new Decarbonization value propositions to shoppers, the two in main IT and in business procedures, and seize a market place chance reaching near to $30bn for the sole Environmentally friendly IT in 2024. Offerings vary from Decarbonization assessments to the introduction in significant contracts of CO_two reduction commitments by means of DLA (Decarbonization Stage Agreements), and the use of key systems such as IoT, Cloud, AI & Analytics, Electronic Twin to decarbonize carbon powerful business procedures. Atos expects to crank out more than €500m profits in the mid-expression in Decarbonization.

Based mostly on the higher than Electronic breakthroughs, its one of a kind capabilities and belongings, Atos ambitions to develop into the Chief in Secure and Decarbonized Electronic.

Use of funds and M&A policy

The Team maintains its dividend policy likely forward with a payout ratio involving twenty five% and 30% of internet profits Team share. The remaining Free of charge funds movement will be utilised to self-finance acquisitions (and to obtain back again a constrained amount of shares to deliver extended-expression incentive programs). The Team targets bolt-on acquisitions to raise key portfolio choices, and Cybersecurity businesses. Thinking of its internet credit card debt free of charge position, leverage continues to be available for sizeable and transformative M&A. This use of funds and M&A policy with keep on to be underpinned by a strict economic discipline.

Atos announces right now two bolt-on acquisitions as part of its M&A policy: Paladion, a world cybersecurity participant in cloud-native Managed Detection & Response, and Alia, a top electronic consulting business specialised in S/4 HANA transformation for the power sector (see two separate push releases issued right now).

 

Replay

A replay of the celebration will be available per session on atos.internet, in the Traders section.

Forthcoming celebration

July 27, 2020               1st half 2020 results

October 22, 2020         Third quarter 2020 profits

Download the release in pdf

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Contacts

Trader Relations:

Gilles Arditti – +33 one seventy three 26 00 sixty six – [email protected]

Media:

Sylvie Raybaud – +33 six ninety five ninety one ninety six 71 – [email protected]

 

About Atos

Atos is a world chief in electronic transformation with one hundred ten,000 workers in seventy three countries and once-a-year profits of € 12 billion. European amount a person in Cloud, Cybersecurity and Superior-Effectiveness Computing, the Team supplies end-to-end Orchestrated Hybrid Cloud, Significant Knowledge, Business Purposes and Electronic Office solutions. The Team is the All over the world Info Technological innovation Associate for the Olympic & Paralympic Video games and operates less than the manufacturers Atos, Atos|Syntel, and Unify. Atos is a SE (SocietasEuropaea), listed on the CAC40 Paris inventory index.

The reason of Atos is to aid design the future of the details area. Its knowledge and solutions assist the advancement of awareness, training and analysis in a multicultural strategy and add to the advancement of scientific and technological excellence. Across the entire world, the Team allows its shoppers and workers, and members of societies at significant to live, get the job done and create sustainably, in a safe and sound and secure details area.

Disclaimers

This document has forward-looking statements that require threats and uncertainties, such as references, about the Group’s expected development and profitability in the future which may noticeably effects the expected overall performance indicated in the forward-looking statements. These threats and uncertainties are linked to things out of the manage of the Company and not specifically believed, such as market place disorders or competition behaviors. Any forward-looking statements manufactured in this document are statements about Atos’ beliefs and anticipations and need to be evaluated as such. Ahead-looking statements include things like statements that may relate to Atos’ programs, aims, methods, ambitions, future events, future revenues or synergies, or overall performance, and other details that is not historical details. Precise events or results may differ from people explained in this document due to a amount of threats and uncertainties that are explained inside the the 2019 Common Registration Doc filed with the Autorité des Marchés Financiers (AMF) on March 3, 2020 less than the registration amount D.twenty-0096. Atos does not undertake, and precisely disclaims, any obligation or accountability to update or amend any of the details higher than apart from as normally expected by regulation. This document does not consist of or represent an give of Atos’ shares for sale or an invitation or inducement to invest in Atos’ shares in France, the United States of America or any other jurisdiction.

Earnings organic and natural development and Running margin are offered as described in the 2019 Common Registration Doc. Mid-Phrase once-a-year profits development is offered at continual trade prices.

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