Half Year 2026 Atos Group SE Earnings Call Transcript
Key Points
- Strong H1 performance with operating margin improving to EUR190 million, up 43% year-on-year on a like-for-like basis.
- Genesis restructuring program on track, with EUR800 million in savings targeted and expected completion by end of 2026.
- Commercial traction building with a qualified pipeline increasing by EUR1.7 billion in H1 and new large contract wins like a EUR187 million European Public Sector Agency deal.
- Successful refinancing in May 2026 reduced weighted average cost of debt by 220 basis points to 7.4% and extended average maturity to five years.
- Employee morale improving with internal NPS up 11% and attrition rate low at 12%, indicating staff stability and motivation.
- Revenue declined 6.3% year-on-year on a like-for-like basis to EUR1.661 billion, with North America underperforming expectations.
- Net loss of EUR504 million in H1 2026, though improved from EUR695 million loss in H1 2025, driven by restructuring and refinancing costs.
- Eviden's operating margin remained flat at 0%, impacted by Middle East business slowdown and heavy commercial investments.
- Net debt increased to EUR1.998 billion from EUR1.843 billion at year-end 2025, partly due to H1 seasonality and restructuring cash outflows.
- Onerous contracts and litigation costs of EUR138 million in H1, with one major black contract still in project mode and requiring additional provisions.
Good morning, everybody. So let's jump to the presentation. As you've seen, there are four different topics. I will take the first two, the business highlights and the operational performance. Jacques Francois will talk about the financial results, and I will finish with the outlook.
So let's start with the business highlights. So in a nutshell, first for us, it's a strong H1 performance with the full year targets that I confirm, and I will come back to this at the end. Ongoing further delivery of restructuring, so Genesis is well underway. I will also comment on this one. The commercial traction also is building further. It's long run, this one. We know it takes some time to rebuild confidence with customers. And last point, increasing momentum around our three, our strategic pillars, and I will come back also on this one.
So if we look at the key numbers, so on what we call the going forward perimeter with our build, with our Latin America and also the small disturb that we
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