CAPGEMINI_REGISTRATION_DOCUMENT_2017

4

FINANCIAL INFORMATION

4.2 Consolidated Financial Statements

Segment reporting by business Segment reporting by business is presented according to the following classification: Consulting Services, which help to enhance the performance X of organizations based on in-depth knowledge of client industries and processes; Technology{&{Engineering Services, which provide assistance X and support to internal IT{teams;

Application Services, which devise, develop, implement and X maintain IT applications covering the Group’s system integration and application maintenance activities; Other Managed Services, which integrate, manage and/or X develop either fully or partially, client IT Infrastructure systems (or those of a group of clients), transaction services, on-demand services and/or business activities (Business Process Outsourcing, BPO).

Breakdown of revenues by business

2016

2017

Amount

%

Amount

%

in{millions of euros

Consulting Services

506

4

584

5

Technology & Engineering Services

1,873 7,557 2,603

15 60 21

1,927 7,940 2,341

15 62 18

Application Services

Other Managed Services

REVENUES

12,539

100

12,792

100

Breakdown of operating margin{* by business

2016

2017

Amount

%

Amount

%

in{millions of euros

Consulting Services

54

10.7 12.8 12.7 10.0

66

11.2 13.6 12.9

Technology & Engineering Services

240 960 260 (74)

262

Application Services

1,024

Other Managed Services

215

9.2

Headquarter expenses

-

(74)

-

OPERATING MARGIN{*

1,440

11.5

1,493

11.7

Operating margin, an alternative performance measure monitored by the Group, is defined in Note{3 - Alternative performance measures. (*)

192

REGISTRATION DOCUMENT 2017 — CAPGEMINI