Atos Origin braces for tough 2009

Impairment charges and depreciation of assets took a toll on profit in 2008

Atos Origin will integrate the IT for London 2012

IT services firm Atos Origin saw its profit halve in 2008 to €23m (£20.4m) from €48m (£42.6m) in 2007.

Revenue grew 5.6 per cent from €5.2bn (£4.6bn) in 2007 to €5.5bn (£4.9bn) in 2008 across all areas of the business, including consulting, systems integration and managed operations.

But impairment charges and depreciation of assets took their toll on profit.

In the last quarter of 2008, the firm reduced hiring, decreased the use of subcontractors, and trimmed administrative costs, helping to reach a strong improvement in operating margin for the fourth quarter, compared to the third quarter.

Chief executive Thierry Breton said that the group would introduce a programme called TOP to increase efficiency in 2009.

"With its new organisation and the immediate implementation of the TOP programme, Atos Origin has taken the decisions and the actions to face the very strong economic slowdown but also to increase significantly its operating margin in 2009," he said.

"This is the clear mandate I have received from the shareholders and the newly elected board of directors."

Atos Origin is in charge of implementing the IT to support the London 2012 Olympic Games.