Atos Origin reports strong results

Positive financial results have boosted Atos' confidence that it is growing in the UK

European IT services company Atos Origin has reported positive financial results for the first half of 2008, after introducing a business transformation programme to increase focus on the company’s key markets.

Sales, revenue and operating profit margin all increased in comparison to last year’s results for the same period. Operating profit margin improved by six per cent, while revenue increased by 12 per cent to £376m.

After posting a poor performance from the Atos Consulting division in the first quarter, when revenue fell seven per cent to £70m, Atos Origin says the “recovery” of the division “is underway” and that consultants are being moved to bid teams and systems integration projects and helping the business to win new deals.

The company is now confident that it is growing in the UK again, due to a decision to concentrate its efforts on the key sectors of public sector, health and transport, said UK chief executive Keith Wilman.

“Our transformational programme, which was launched in 2007 to accelerate organic growth, improve operational efficiency and operate as a global economy, is continuing at full speed,” he said.

“In the UK, we are seeing the benefits in terms of a pipeline that is 50 per cent stronger than at this time last year, and more than 70 per cent of new sales coming from our customers thanks to an increased focus on presenting the breadth of our services to our customers.”

Significant deals won by Atos Origin this year include a Wi-Fi rollout for the Ministry of Justice, a mobile ticketing service for Heathrow Express and a contract for the provision of IT products and services for NHS Connecting for Health.