Atos Group has introduced a four-year strategic plan to promote sustainable growth and enhance profitability following its financial restructuring in 2024. At a Capital Markets Day event, chairman and CEO Philippe Salle outlined the company’s target to achieve revenues between €9bn and €10bn with an operating margin of approximately 10% by 2028.
The strategy involves Atos transitioning into a global AI-focused technology partner, offering secure digital solutions. The company will streamline into two main brands, Atos and Eviden. Atos will cover services across six business lines like Cloud & Modern Infrastructure, Cyber Services, Data & AI, Digital Applications, Smart Platforms, and Digital Workplace. Eviden will focus on products in Cybersecurity, Advanced Computing, Mission-Critical Systems, and Vision AI.
“With the Group’s financial structure now secure, our ‘Genesis’ strategic and transformation plan will ensure that we strengthen our position as a global leader in cutting-edge technology solutions and deliver appreciable growth in revenue and profitability over the next four years,” said Salle. “There are very few companies in the world that can provide true end-to-end digital solutions for clients, at scale, in some of our most challenging and complex industries. Atos Group is one of them.”
Atos plans to concentrate its operations within six regional hubs. These include France, Germany, Austria and Eastern Europe, the Benelux nations and the Nordics, the UK and Ireland, North America, and other international markets. The company will exit non-core countries that do not align with its strategic or financial goals.
A new governance framework is being established to ensure accountability and transparency. This includes a cost reduction initiative to align with the new organisational model by optimising service delivery through increased offshoring and stricter contract management.
Expansion into emerging technologies
The plan emphasises leveraging existing strengths in Infrastructure, Workplace, and Digital services while expanding offerings in Advanced Cybersecurity and Data & AI. The newly created Data & AI division aims to grow from 2,000 to 10,000 employees by 2028. Atos also intends to allocate €500m towards research and development (R&D) over four years and €100m in start-ups focusing on emerging technologies.
In November 2024, Atos was given a non-binding offer from the French government for its Advanced Computing activities valued at €500m, potentially rising to €625m with earn-outs. Atos revealed that discussions are in progress regarding this proposal.
For this year, Atos anticipates revenues of €8.5bn due to changes in business scope and voluntary contract reviews. The operating margin is expected to improve to around 4%, with a net cash change before debt repayment estimated at approximately -€350m.
Looking ahead to 2028, assuming the divestiture of Advanced Computing and reduced geographic footprint, revenues are projected between €8.5bn and €9bn. Strategic mergers could increase this figure further, said the firm. The target operating margin remains around 10%, though ongoing R&D investments will impact gains from cost reductions.
Read more: Atos Q1 2025 revenue falls 15.9% amid UK contract challenges
