Atos - comment

With a new CEO, Atos’s 6th in the last 2 years, the Company were unwilling to offer any guidance, instead reminding that the Company are going to hold a Capital Markets Day on the 14th of May. At that, the Company will present its vision for FY25-28, with specific guidance for FY25 and projections for FY28. Atos is still a transition company, with revenue declining c. 5.4% organically impacted by contract terminations or scope reductions.

Atos has two segments in sales processes. In November, Atos announced it had received a non-binding bid for 100% of the Advanced Computing activities of its BDS division, valued at c. €500m with the French state. The French state has an exclusivity period until the end of May. An initial payment of €150m is expected upon signing the Share Purchase Agreement. Separately, Atos has engaged in a sales process for its Mission Critical Systems business.  This business provides communication technology used by the French army. Due to recent geopolitical tensions, Atos believes the value of this segment has increased, although it did not guide on the magnitude of value.