Atos - Registration Document 2016

E Financial

E.1

Operational review

Other Business Units E.1.4.6

2015*

2016

%organic

(In € million)

Revenue

1,956 127.3 6.5%

1,938 139.4 7.2%

+0.9%

Operating margin

Operating margin rate

At constant scope and exchange rates. *

Revenue in “Other Business Units” reached € 1,956 million, up +0.9% organically. This performance was reached thanks to Infrastructure & Data Utilities with a project ramp-up with Microsoft in Japan, delivery Management, up +2.1%, in particular in Telecom, Media & in India to local companies, and scope extension with existing mitigating a base effect due to equipment deliveries for South America with a large German industrial company Slovakian ministries recorded in 2015. Manufacturing, Retail & Transportation projects were delivered in increased volumes with a large bank in Hong-Kong. Business & Platform Solutions did not perform new contracts to well as contracts with Slovakian Ministries and Institutes. The offset the Ashgabat contracts delivered in 2015 from Turkey, as signed with Enel. Financial Services growth was driven by customers in Italy coupled with the ramp-up of a new contract activity was stronger in Manufacturing, Retail and Transportation South America thanks to new projects in pharmaceutical and car both in Asia Pacific with SAP solutions for new customers and in industries. Finally, Telco also recorded a growing activity both in Global structures costs E.1.4.7 and exchange rate excluding € 18 million recorded in 2015 as Global structures costs remained almost flat at constant scope continued its program to decrease indirect costs both centrally part of the optimization of the pension schemes. The Group

Asia Pacific and in Middle East & Africa with a new contract in

Dubai.

delivered new projects in Iberia, Italy and Czech Republic both in Performance Computers delivered in Africa. The Division also Big Data and Cybersecurity. Revenue grew in Big Data & Cybersecurity at a double-digit rate new contracts in Switzerland (for Police and Defense) in the organically all along the year. The activity was pushed by two mission critical systems area and to a lesser extent by High Operating margin was € 127.3 million, representing 6.5% of of the countries. However Central & Eastern Europe was revenue. Margin benefitted from revenue improvement in most and new projects and also to optimize the cost base through during the year and more particularly an overrun recorded on a industrialization. The Business Unit faced some difficult contracts project in Dubai. actions were pursued to tightly monitor the delivery of services have not been replaced or not yet renewed. In all countries, year in Turkey (Ashgabat) and Slovakia (Public sector) which impacted by the completion of the large projects delivered last

E

centralized. Global structures costs reached € 97.7 million in and locally, getting as well the support functions more 2016 representing 0.9% of the Group revenue.

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