Atos announced a decline in its first-quarter revenue for 2025 (Q1 2025), attributing the drop to reduced business process outsourcing activities and contract completions in the UK. The French IT services company’s revenue decreased by 15.9% to €2.07bn compared to the same quarter last year.
Despite the revenue drop, Atos reported an increase in client orders, with order entries rising to €1.7bn by 31 March 2025, up from €1.6bn a year earlier. The company’s book-to-bill ratio improved to 81%, marking an increase from 64% the previous year. This higher ratio indicates a better balance between orders received and fulfilled.
“Our first quarter performance confirms the inflexion in our business trajectory following the closing of our financial restructuring at the end of 2024, said Atos board of directors chairman and CEO Philippe Salle. “While top line remained under pressure, our commercial activity continued to recover during the quarter, attesting to the confidence and engagement of our clients and boding well for the future of Atos. We have also limited our cash consumption during the quarter and made significant progress in the implementation of our restructuring program to adapt our cost base.”
Atos’ liquidity was estimated at approximately €1.96bn as of 31 March 2025, down from €2.18bn at the end of December 2024. Cash and cash equivalents were around €1.52bn, supplemented by an undrawn revolving credit facility of €440m.
Performance insights of Eviden and Tech Foundations
The Eviden division saw a 14% organic revenue decline to €973m due to contract completions in mid-2024 and market challenges in North America, the UK and Ireland, and Southern Europe. Meanwhile, Tech Foundations experienced a 17.5% drop in organic revenue to €1.09bn, influenced by planned contract terminations and reduced activity following major events like the Paris Olympic Games.
In the first quarter of 2025, Eviden secured key contracts, including a six-year digital and cybersecurity project in Belgium and a renewed contract to manage a public health system for a major American insurer. Tech Foundations signed several significant agreements, such as a four-year IT infrastructure deal in France’s public sector and extended contracts with aerospace and automotive industries for mainframe services.
By the end of March 2025, Atos reported an order backlog valued at €12.6bn, representing about 1.3 years’ worth of revenue. The qualified weighted pipeline stood at €4.5bn, accounting for roughly 5.7 months’ worth of revenue.
Atos completed its financial restructuring plan in December 2024, approved by the Commercial Court of Nanterre. The restructuring led to a gross debt reduction of €2.1bn through equitisation and repayment arrangements involving €800m in interim financing covered by new debt issuance. Additionally, Atos raised approximately €145m through equity initiatives as part of this restructuring.
Earlier this month, Eviden won a €50m contract from Serbia’s Office for IT and eGovernment to set up a National AI Factory in the Balkan country. The project aims to expand the AI capabilities of Serbia by establishing a Centre of Excellence and supercomputing infrastructure. The initiative is intended to bolster AI deployment across key sectors, leveraging European technology to enhance the digital autonomy of the country.
Last month, Atos secured a £150m contract with the UK’s Department for Environment, Food and Rural Affairs (DEFRA) to transform service desk operations over five years using AI, machine learning, analytics, and automation.
Read more: Atos secures £150m contract to upgrade UK DEFRA’s digital services
