Q3 2017 revenue

Bezons
October 24, 2017

Disclaimer▶This document contains forward-looking statements that involve risks and uncertainties, including references, concerning theGroup's expected growth and profitability in the future which may significantly impact the expected performance indicated in
the forward-looking statements. These risks and uncertainties are linked to factors out of the control of the Company and notprecisely estimated, such as market conditions or competitors behaviors. Any forward-looking statements made in thisdocument are statements about Atos’ beliefs and expectations and should be evaluated as such. Forward-looking statements
include statements that may relate to Atos’ plans, objectives, strategies, goals, future events, future revenues or synergies, or
performance, and other information that is not historical information. Actual events or results may differ from those describedin this document due to a number of risks and uncertainties that are described within the 2016 Registration Document filedwith the Autorité des Marchés Financiers (AMF) on March 30, 2017 under the registration number: D.17-0274 and its update
filed with the Autorité des Marchés Financiers (AMF) on August 4, 2017 under the registration number: D.17-0274-A01. Atosdoes not undertake, and specifically disclaims, any obligation or responsibility to update or amend any of the information above
except as otherwise required by law. This document does not contain or constitute an offer of Atos’ shares for sale or aninvitation or inducement to invest in Atos’ shares in France, the United States of America or any other jurisdiction.
▶Revenue organic growth is presented at constant scope and exchange rates.
▶Business Units include North America (NAM: USA, Canada, and Mexico), Germany, United-Kingdom & Ireland, France,
Benelux & The Nordics (BTN: Belgium, Denmark, Estonia, Finland, Lithuania, Luxembourg, The Netherlands, Poland, Russia,
and Sweden), Worldline, and Other Business Units including Central & Eastern Europe (CEE: Austria, Bulgaria, Croatia,
Czech Republic, Greece, Hungary, Italy, Romania, Serbia, Slovakia, and Switzerland), Iberia (Spain and Portugal), Asia-Pacific(APAC: Australia, China, Hong Kong, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, Taiwan, andThailand), South America (SAM: Argentina, Brazil, Colombia, and Uruguay), Middle East & Africa (MEA: Algeria, Benin, Burkina
Faso, Egypt, Gabon, Ivory Coast, Kingdom of Saudi Arabia, Lebanon, Madagascar, Mali, Mauritius, Morocco, Qatar, Senegal,
South Africa, Tunisia, Turkey and UAE), Major Events, Global Cloud Hub, and Global Delivery Centers.
2 | Atos – Q3 2017 revenue

Agenda1.Q3 2017 highlights
2.Operational performance

3.Commercial activity
4.Transformation TOP Program
5.Conclusion and Q&A
3 | Atos – Q3 2017 revenue

Q3 2017 highlights
Thierry Breton
Chairman & CEO

Q3 2017 highlights
Contract signatures: acceleration in digital businesses materializing theAtos Digital Transformation Factory success
Organic growth by division fully in line with 3-year plan
Pursue acquisition strategy creating value for ourshareholders with financial discipline

A new step in the Atos technology leap 2017 execution perfectly in line with 3-year plan objectives
5 | Atos – Q3 2017 revenue

Q3 2017 key figures
Revenue€3,002m

Organic growth+2.5%+10.9% at constantexchange rates+2.3% on 9m YTD

Order entry

Total headcount€2,892m
96% book to bill

6 | Atos – Q3 2017 revenue

98,692-0.5% in Q3(excluding scope effect)

A continued revenue growth momentum driven
by the Group commercial dynamism
Statutory revenue (€m)
Organic evolution %
3,244
3,200

2,700

3,036

2,427

3,002

2,777

0.4%

0.3%

2,514

2,200

1,700

3,200

2,940
2,757

2,708

2,666

3,111

+1.6%

+0.3% +0.5%+0.1% +0.2%+1.8% +1.8%

+1.9%

+2.0%

+2.4% +2.5%

0.2%

0.1%

+0.4%

0.0%

1,200

-0.1%

Q4
2014

Q1
2015

7 | Atos – Q3 2017 revenue

Q2
2015

Q3
2015

Q4
2015

Q1
2016

Q2
2016

Q3
2016

Q4
2016

Q1
2017

Q2
2017

Q3
2017

Pursue acquisitions strategy in 2017

Reinforcing Atos’ footprint and digital capacities
Cloudorchestration

Big Data& AI

Cybersecurity

e-health

e-payments

The
BreakawayGroupbaltics
Healthcare Provider Consulting

e-payments
North
America
Digitaltechnologies
Cost
synergies
8 | Atos – Q3 2017 revenue

From data to artificial intelligence
Atos strategy in AI development

2/ Algorithms factory and software expertise
Most recent and continuously evolving software andspecific algorithms
3/ High Performance Computing
Deep Learning and model training require huge
computing power
4/ Trust, intimacy, understanding of clientschallenges. Running on dedicated highperformance servers Data scientists, strategic
partners, vertical business expertise

Largest European data
hosting company integrating, processing,managing, and securing our customers’ data

Reinforced internal resources andoutstanding network of partners, JV, andopen-source development ecosystem
Sequana and Bullion: the world’s mostefficient supercomputers and servers;
Roll-out of Quantum Learning Machine
Atos Codex successful roll-out, reinforced
internal data scientists (zdata), verticalbusiness experts (e-health consultants),
longstanding commercial relationship

Atos is fully geared to deliver its clients needs in AI
9 | Atos – Q3 2017 revenue

CYBERSECURITY

1/ Access to Data
Legacy data and data lakes

Rolling-out Artificial Intelligence to Atos’ majorclients
Our solutions alreadyembedding AI…
1/
2/

Data lakes
Deep learningalgorithms

3/ High Performance
Computing4/…delivering the best businessoutcomes to our clients
Varian Medical Systems: Improve product manufacturing

City of Eindhoven: Real time forecast
Siemens: Industrial Data Analytics with Mindsphere
Ulster Bank: AI-powered CRM
Madrilena Red De Gas: Fraud detection
European Commission: Energy storage on gridEntertainment park company: Predicting ride & attraction failure

10 | Atos – Q3 2017 revenue

Operational performance
Elie Girard
Group CFO

Constant scope and exchange rates figures
reconciliation
In € million

Statutory revenue
Exchange rates effectRevenue at constant exchange rates

Q3 2017
3,002

Q3 2016
2,777-69change
+8.1%

3,002

2,708

+10.9%

Scope effectExchange rates effect on acquired/disposed perimeters
Revenue at constant scope and exchange rates

227
-4
3,002

2,930

+2.5%

▶ Exchange rates mainly coming from the American dollar and the British pound depreciating versus theEuro.

▶ Scope effect mainly related to the positive contribution of Unify S&P, Anthelio, Equens, Paysquare,
Komerçni Banka Smartpay.
12 | Atos – Q3 2017 revenue

Q3 2017 revenue by Division▶ Organic growth by Division fully in line with 3-year plan
▶ Continuing focus on cross-Divisions sales fueled by Digital

12%
5%Transformation Factory offerings

25%

In € million

Infrastructure & Data Management
Business & Platform Solutions
Big Data & Cybersecurity
Worldline
Total Group* At constant scope and exchange rates

13 | Atos – Q3 2017 revenue

Q3 2017

Q3 2016*

1,712
762
154
375
3,002

1,697
745
135
352
2,930

Organic
evolution
+0.9%
+2.2%
+13.8%
+6.4%
+2.5%

57%

Infrastructure & Data Management
Business & Platform Solutions

Big Data & Cybersecurity
Worldline

Infrastructure & Data Management▶ Continued strong growth in Hybrid Cloud Transformation▶ Leadership reinforced in Digital Workplace
North America
14%

In € million

Revenue
Organic growthOrder entry
Book to bill
Direct headcounts

14 | Atos – Q3 2017 revenue

Q3 2017
1,712
+0.9%
1,490
87%
46,902

7%

28%

Germany
United-Kingdom & Ireland

9%

Benelux & The Nordics
19%

23%

FranceOther Business Units

Business & Platform Solutions▶ Positive trend recorded in the previous quarters confirmed▶ Increasing demand related to S/4 HANA implementation▶ New projects delivered in Industry 4.0 based on Atos Codex
FranceIn € million

Revenue
Organic growthOrder entry
Book to bill
Direct headcounts

15 | Atos – Q3 2017 revenue

Q3 2017
762
+2.2%
815
107%
31,85625%

30%

Germany
Benelux & The Nordics
United-Kingdom & Ireland

3%

19%

10%
13%

North America
Other Business Units

Big Data & Cybersecurity▶ Efficient cross-selling on existing Infrastructure & Data Management customers▶ Strong revenue growth in Cybersecurity▶ Dynamic HPC and bullions sales supporting Big Data services
France19%

In € million

Revenue
Organic growthOrder entry
Book to bill
Direct headcounts

16 | Atos – Q3 2017 revenue

Q3 2017154+13.8%
203
132%
4,113

3%

Germany
49%

5%

North America
United-Kingdom & Ireland

8%
15%

Benelux & The Nordics
Other countries

Worldline
Q3 2017
375
+6.4%
384
103%
9,142

In € million

Revenue
Organic growthOrder entry
Book to bill
Headcounts

Revenue mix by Country▶ Strong revenue growth acceleration▶ Increased volumes in all businesses▶ High demand for digitalization oftransactions▶ India boosted by demonetization

France19%

26%

Belgium

Revenue performance by Business Line

Germany

6%

Netherlands
13%
23%
13%

United-Kingdom

Other countries

In € million

Financial Processing
Merchant Services & Terminals
Mobility & e-Transactional Services
Total Worldline* At constant scope and exchange rates

17 | Atos – Q3 2017 revenue

Q3 2017
169
128
77
375

Q3 2016*

Organic
evolution

159
120
73

6.8%
6.3%
5.9%

352

6.4%

Q3 2017 revenue by Business Unit
▶ Positive dynamic in continental Europe▶ Atos UK operations well positioned to face Brexit▶ Strong mobilization in North America to boost
commercial activity

12%

19%

16%
17%

In € million

Germany
North America
United-Kingdom & Ireland
FranceBenelux & The Nordics
Other Business UnitsWorldline
Total Group* At constant scope and exchange rates
18 | Atos – Q3 2017 revenue

Q3 2017

Q3 2016*

561
520
401
391
260
495
375
3,002

552
520
403
373
261
468
352
2,930

Organic
evolution
+1.6%
+0.0%
-0.7%
+4.9%
-0.4%
+5.6%
+6.4%
+2.5%

9%
13%

13%

Germany
North America
United Kingdom & Ireland
FranceBenelux & The Nordics
Other Business UnitsWorldline

Q3 2017 headcount evolution+692+3,321

98 69298 480

Headcount asof 30/06/17

19 | Atos – Q3 2017 revenue-3,801

Scope

HiringLeavers,
Headcount as
restructuring of 30/09/17& dismissals

Acquisitions 1/2
Cybersecurity

Cloud Orchestration

Company

Contribution
to Atos

Key figures• Cybersecurity IP• Network security expertise• Market shares in telco and aerospace• c. €50 million annual revenue basis
after decommissioning of nonstrategic activities and restructuring(18-24 months)• Positive margin in 201820 | Atos – Q3 2017 revenue• Circa 70 ServiceNow certified
consultants joining 200+ Atos
certified staff (Engage ESM)
• Atos in a leading position in
ServiceNow• Circa €15 million estimated 2017
revenue

Note: Siemens Convergence Creators closing subject to information/consultation of employee
representative’s bodies as well as the approvals of the regulatory and antitrust authorities.

Acquisitions 2/2
e-health

Company

e-payments

The
BreakawayGroupbaltics
Healthcare Provider Consulting

Contribution
to Atos

Key figures• Consulting skills• Reinforced leading position in North
America (Anthelio) on healthcare
growing market• Increased cross-selling capabilities• Total 2017 estimated revenue atc. € 70 million• Profitability in line with the Group21 | Atos – Q3 2017 revenue• Strong reinforcement in online
payment and e-commerce• Leading position in Baltics• Enhanced market share in India• Total 2017 estimated revenue atc. € 55 million• Positive impact on Worldline growth
profile and profitability

IFRS 15 implementation
Identification of the performance obligations
in multiple arrangements services contracts
For Atos: Transition &transformation/build phases

Notmaterial

Costs to acquire a contract
For Atos: Incremental pre-sales costsNotmaterial

Agent versus Principal
For Atos: Resale activities and associated servicesMorematerial

22 | Atos – Q3 2017 revenue

Estimated effect:▶ c. -5% onrevenue▶ c. +50 bps on
operating marginrate▶ No impact on
operating marginand free cash flow
amounts

Commercial activity
Patrick Adiba

Chief Commercial Officer

Q3 Commercial activity dashboard

Order entry

Book to bill ratio€2.9bn96%105% September YTD 2017

Backlog

Qualified pipeline€21.9bn€7.3bn

1.8 years of revenue

7.0 months of revenue

24 | Atos – Q3 2017 revenue

New Q3 2017 contracts leveraging the Atos Digital
Transformation Factory
Hybrid Cloud

SAP HANA
Workplace
Codex

Large manufacturer
in the US
Asian Tier 1
oil company

Digital payments

25 | Atos – Q3 2017 revenue

Main sales focus for Q4

Complete the
NAO sales organizationtransformation

Strongly focus on
Digital Transformation
Factory
momentum

Increase
Unify cross-sellingon Atos customers base

Leverage
New sales channels
to accelerate bullions
sales

26 | Atos – Q3 2017 revenue

Atos Digital Transformation Factory:
Recognized Strong Leadership
Digital Services
Transformation

Leader Application Transformation
Digital Technology Strategy& Consultancy ServicesAtos Canopy
Orchestrated
Hybrid Cloud
GlobalLeaderEuropean
Leader SAPEuropean
LeaderCloud Migration



LeaderSAP HANA& S/4HANA

Global Leader
Private Cloud#1 Growing European
Player in Cloud
Services (#3 wwide)Cybersecurity

e-payments
27| Atos – Q3 2017 revenue

Atos Digital
Workplace

SAP HANA

Leader Digital Transformation Services
Major Player Digital Services••

Europeanleader

GlobalLeaderLeader GER
SAP HANA

Visionary UC
Collaboration

Major Player
HANA Utilities



Major Player
UC & Collaboration

Atos
Codex



VISIONARY
Business
Insight

IOT WINNERIOT LEADERIOT LEADER

Leader #1 Europe #4 Worldwide Managed Security#1 European Player - Leader in WE - Managed Security#1 European Player Worldwide IT Security

Strong Performer
Global Commerce

Global Fintech Top 25

Leader Mobile WalletGlobal Leader Fintech

Transformation TOP
Program
Eric Grall

Head of Global Operations

TOP is Atos DNA: focus on continuous improvement“Tier One Program”
Total Operational Performance
Turn around program“The right to be the Leader”
i.e. more growth, more margin,
more attractive to talents than other.”

TOP to catch up
with competition:“The right to grow”

12/2008

12/201029 | Atos – Q3 2017 revenue

TOP2 to turn aroundand integrate SIS“The right to become a
Tier one company”

Tier one Company:
Quality + Innovation + Talents

Size + Credibility

12/2013

12/2016

12/2019

2017 TOP Programs to secure margin improvement
Continuous improvement TOP Programs
c.10%
Volumes/mix

9.4%

New Top
Programs

Pro forma& pensions

Other TOP
actions
SalaryIncrease

Productivity,

LEAN,…
Automation
Price
concession

Workforce
Mgt
Procurement

201630 | Atos – Q3 2017 revenue

RISE

2017 New TOP Programs:• Application Management
industrialization (RISE)• Global IT costs optimization• Direct overhead optimization• G&A function transformation
2017e

Atos Infrastructure & Data Management :automation update
Q3 automationaccount coverage

Automation catalog x 2(BOTS deployed)

211

From 340 BOTS in H1
to c. 700 BOTS in H2(+90 vs. H1)

Current average
DC automation achieved(post full deployment)

Account with highest automationachieved to date(post full deployment)

50%

70%+

31 | Atos – Q3 2017 revenue

Atos BDS and B&PS : automation update

BDS
Prescriptive SOC

70%
Automation achievedon incoming security
incidents& complemented by machineassisted proposed actions foranother 20%

B&PS : 2,000+
BOTS deployed in H2
for customer
environments

B&PS
Q3 Automation
Account Coverage

B&PS Atos Virtual
Assistant (AVA)case study

B&PS Atos Intelligent
Automation Platform(AIAP) deployment
started40%
reduction in manual/human efforts

32 | Atos – Q3 2017 revenue

100+Conclusion and Q&A
Thierry Breton
Chairman & CEO2017 guidance & 2019 targets

2017

2019

Revenue growth

above +10% at constant FX
above +2% organically

2% to 3%2017-2019organic CAGR

Operating margin

circa 10% of revenue

circa 11% of revenue*

Free cash flow:
Operating margin
conversion into free
cash flow

between
55% and 58%

c. 65%

34 | Atos – Q3 2017 revenue* Before IFRS 15 implementation

Key take-aways

Solid growth in all
Divisions matchingcustomers’ needs

Continued highfocus on TOP
transformation
Program

Accelerating the
US salesorganizationtransformation

Acceleration in
automationroll-out

Customers digitaltransformation
powered by AI

Pursuing ourdynamic
acquisition
strategy

2017: another year of progress in line with our 3-year plan
35 | Atos – Q3 2017 revenue

?
Q&A

?

Thanks

Atos, the Atos logo, Atos Codex, Atos Consulting, Atos Worldgrid, Worldline, BlueKiwi, Bull, Canopy theOpen Cloud Company, Unify, Yunano, Zero Email, Zero Email Certified and The Zero Email Company are
registered trademarks of the Atos group. April 2016. © 2016 Atos. Confidential information owned by
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