Atos: Limited 2.4% Organic Decline in Third Quarter and First Positive Cash Generation Since Genesis Launch
Atos Group reported on October 21, 2026 revenue of €1,642 million for the third quarter. Its Atos and Eviden units posted an organic decline of 2.4%, compared to -11.0% in the first quarter and -5.8% in the second. Over the same period, the group's operations generated cash for the first time since the launch of the Genesis transformation plan, with a net cash variation estimated at approximately €44 million.
The group subsequently confirmed its three annual targets. These figures come as the stock showed, in mid-October, a 58% decline over one year. The commercial indicator moved in the opposite direction: the ratio of orders received to revenue declined by approximately 7 points year-over-year, a movement that management attributes to summer seasonality.
United Kingdom, International Markets and France Drive Improvement
Over the first nine months, the group's revenue stood at €4,946 million, with an organic decline of 7.0%. The Atos unit achieved €1,566 million in the third quarter (-2.0%). According to the press release, the United Kingdom and Ireland, international markets and France were the main contributors to the sequential improvement.
The United Kingdom and Ireland (€323 million) advanced 30.8% organically, marking a fourth consecutive quarter of growth. The group itself qualifies this pace as non-reproducible: it reflects a weak comparison base and new contracts in the public and private sectors. International markets (€233 million, +4.0%) returned to growth for the first time since the launch of Genesis, while France (€257 million) limited its decline to 2.7%.
Other regions remain in decline. North America fell 19.3% to €246 million, Benelux and Nordic countries 14.2% to €172 million, and Germany, Austria and Central Europe combined 6.1% to €333 million. In the latter case, the insourcing of services at several major customers represents an impact of approximately 3 points. Eviden (€76 million) posted -10.9%, but +5.1% excluding the deconsolidation effect of Bull.
Higher Liquidity, Orders Affected by Seasonality
The net cash variation of approximately +€44 million includes restructuring cash outflows of approximately €50 million. Liquidity reached €966 million on September 30, compared to €948 million on June 30, the latter amount accounting for the repayment of €857 million of tranche 1L on July 6. It comprises €896 million in cash and cash equivalents and €70 million in unused revolving credit facility. This level is above the €650 million floor set by the December 2024 credit documentation.
The factoring program progressed more slowly than expected, from €8 million to €21 million. As a result, no debt was repurchased on the market in the third quarter. The group did, however, acquire €7 million in bonds at the beginning of the fourth quarter.
On the commercial side, orders received reached €1,024 million, representing 62% of revenue. This ratio falls to 59% for Eviden, down 18 points. The renewal rate stands at 93% since the beginning of the year, compared to 91% a year earlier, and the order backlog represents €8.4 billion, or 1.3 years of revenue. Among the contracts signed are the 15-year partnership with EDF, announced on October 19, as well as a contract with London's Metropolitan Police that could reach 350 million pounds over six years.
2026 Targets Confirmed, Operating Margin Targeted at Around 10% in 2028
Atos Group confirmed its targets for fiscal year 2026: organic growth of approximately -5% for its Atos and Eviden units, an operating margin of around 7% and positive net cash variation. Over nine months, the organic decline of these two units stood at 6.5%.
The Genesis plan has already achieved the savings target set for three years, and the group has extended it. Headcount stands at 53,071 people at the end of September, down 2.6% since the beginning of July. The voluntary attrition rate returned to 10.4%, compared to 14.7% in the third quarter of 2025.
By 2028, the group targets average annual organic growth of 5% to 7% between 2026 and 2028, an operating margin of around 10% and a leverage ratio below 1.5 times. It anticipates a BB credit profile as early as 2027. Over the quarter, the most significant structural development remains a quantified one: liquidity of €966 million, €316 million above the contractual floor of €650 million.
