Atos - comment

Atos is holding its Capital Markets Day in Paris today, unveiling a new four-year strategic plan following the completion of its financial restructuring in 2024. At this stage, only the press release has been made available. As expected, the company outlines ambitious targets for revenue growth and cash generation. However, the trajectory to growth appears delayed. Guidance for FY2025 includes a projected decline in revenue, attributed to voluntary contract reviews, changes in business scope, and, in our view, primarily limited commercial momentum prior to the completion of the restructuring. As of March 31, Atos reported approximately €3 billion in liquidity—an essential buffer, given that the net cash change before debt repayments is projected to be an outflow of €350 million. Overall, the turnaround at Atos remains a long-term undertaking.