Quarterly Update
published on May 05, 2017
Report Overview:
NelsonHall’s Quarterly Update on Capgemini provides a snapshot of developments at Capgemini in the last quarter.
Who is this Report for:
NelsonHall’s Quarterly Update on Capgemini provides a snapshot of developments at the company in the last quarter. It accompanies NelsonHall’s more comprehensive Key Vendor Assessment program.
Both programs are designed for:
- Marketing, sales and business managers developing strategies to target service opportunities within the BPO/IT Services markets
- Sourcing managers monitoring the capabilities of existing suppliers of IT and BPO services and identifying vendor suitability for these services
- Consultants advising clients on vendor selection
- Vendor marketing, sales and business managers looking to benchmark themselves against their peers
- Financial analysts and investors specializing in the BPO/IT services sector.
Scope of this Report:
The report provides a quarterly update on Capgemini, looking at financial performance and key developments during the period.
It accompanies NelsonHall’s Key Vendor Assessment program which looks at Capgemini’s IT and BPO offerings, capabilities, and market and financial strengths, including:
- Identification of the company’s strategy, emphases and new developments
- Revenue breakdowns
- Analysis of the company’s offerings and key service components
- Analysis of the profile of the company’s client base including the company’s targeting strategy and examples of current contracts
- Analysis of the company’s strengths, weaknesses and outlook.
Key Findings & Highlights:
Q1 2017 Performance: “solid start” to 2017
- Revenues were up 2.6% y/y in CS/CC. Underlying growth (excluding HMRC et al) was 4.0%
- Of the three major headwinds, North American E&U stabilizing sequentially and decision made to exit Brazilian hardware business
- 32% of revenues now coming from the New (digital and cloud)
- Financial targets for 2017 confirmed: topline growth will be back-ended.
M&A:
- Acquiring to reinforce capabilities in U.S. and fill in portfolio gaps in Europe
- Stalking horse offer for Ciber North America
Number of Applied Innovation Exchange (AIE) center continues to grow
North America action plan for Application Services, new leadership
Depending on shareholder approval in May, will change status from SA to SE.
