Atos Origin beat European peers in the UK last quarter (to 31st March), posting nearly 2% yoy revenue growth (at constant exchange rates – CER), to €224m. This contrasts with essentially flat results from Capgemini UK and 3-4% declines at Logica UK and Steria UK. The boost was entirely due to Atos’ managed services and business process services (BPS) activities - mainly transaction processing and medical BPO; systems integration revenues were flat and, by implication, consulting was down. Atos CEO Thierry Breton made special mention of the return of order flow from the UK public sector since the company's 'Maude Moment' towards the end of last year. All of this was enough to position the UK as Atos’ fastest growing (indeed, the only growing) major country market – a result!
Across the company, Atos’ revenues were down 1.3% CER to €1.23b. As in the UK, managed services and BPS were the growth service lines; SI revenues fell by 3% while consulting revenues – now only 4% of the total – crashed by 21%. Like peers, Benelux – 18% of Atos total revenues – remains troubled, down nearly 6%, though SI has now stabilised, but managed services and consulting were still in decline.
Atos reported that the integration of The Asset (Siemens IT Services) is on track for completion on 1st July. Then the fun really begins.