H1 2019 results
BezonsJuly 25, 2019

© Atos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 2018 Registration Document filedwith the Autorité des Marchés Financiers (AMF) on February 22, 2019 under the registration number D.19-0072. Atos does notundertake, 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 an invitation 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 (USA, Canada, and Mexico), Germany, France, United Kingdom & Ireland,
Benelux & The Nordics (Belgium, Denmark, Estonia, Finland, Lithuania, Luxembourg, The Netherlands, Poland, Russia, andSweden), and Other Business Units including Central & Eastern Europe (Austria, Bulgaria, Croatia, Czech Republic, Greece,
Hungary, Israel, Italy, Romania, Serbia, Slovakia and Switzerland), Iberia (Spain and Portugal), Asia-Pacific (Australia, China,
Hong Kong, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, Taiwan, and Thailand), South America(Argentina, Brazil, Colombia, and Uruguay), Middle East & Africa (Algeria, Benin, Burkina Faso, Egypt, Gabon, Ivory Coast,
Kingdom of Saudi Arabia, Lebanon, Madagascar, Mali, Mauritius, Morocco, Qatar, Senegal, South Africa, Tunisia, Turkey andUAE), Major Events, Global Cloud hub, and Global Delivery Centers.

2| 25-07-2019 | © AtosAgenda1.H1 2019 highlights
2.H1 2019 performance

3.Conclusion and Q&A

3| 25-07-2019 | © Atos

H1 2019 highlights
Thierry Breton
Chairman & CEO

H1 2019 highlights
Infrastructure & Data Management and North America well on track towards growthin H2
Syntel integration moving as planned with first order entry synergies generated andcost synergies materializing
Big Data & Cybersecurity pursued its double-digit growth supported by strong
attraction of high skills and accelerated investment in innovative offerings
Continued sales dynamic with a book to bill at 100 % in H1 reflecting a high level of
new signatures in a year with a few contracts up for renewal
A successful Atos Tech Days in June with outstanding innovative level of newofferings presented to customers
Completion of the distribution of Worldline shares generating strong valueenhancement for both companies
5| 25-07-2019 | © Atos

H1 2019 key figures
Revenue€5,744m+0.8% organicallyQ2 at +1.1%

Total number employees

108,851-1.5% over H1 2019 atconstant scope6| 25-07-2019 | © Atos

Operating margin€529m
9.2% of revenue

Net income Group share€180m€3.21 Normalized Diluted
EPS from continuing
operations (+12%)

Free cash flow

€23m

Order entry€5.7bnBook to Bill 100%
Q2 at 113%

2019 objectives confirmed

Revenueorganic growth
OperatingmarginFree cash flow

7

| 25-07-2019 | © Atos

+1% to +2%
c. 10.5% of revenue€0.6 to €0.7bn

Key technology releases of the semester#1: High computing capabilities
everywhere► On premises/in the Cloud► At the edge
► the Quantum revolution#2: Turning data intobusiness value
everywhere► Artificial Intelligence#3: Ensuring trust andsecurity everywhere► Cybersecurity► Dedicated HSM for IoT
ecosystems
8| 25-07-2019 | © Atos

► Specific algorithms

Enhancement of existing partnerships andsignature of new agreements
Atos Becomes a
Microsoft Azure Expert
Managed Service
ProviderAtos and CloudBees

partner to provide
modern application
development on Google
Cloud
9| 25-07-2019 | © Atos

Atos recognized as partof DELL EMC President’s
Circle in recognition foroutstanding performance

Atos Honored byServiceNow at Annual
EMEA Partner Summit

Atos recognized as Google
Cloud Global

Breakthrough Partnerof the Year

Atos and Virtru

announce partnership tooffer a data cloudsecurity solution for
Digital Workplace

People strategy supporting growth andanticipating automation
1

Atos #1
Cybersecurity
Expertise2

Atos #1 certified
Google Cloud

5,000+ full-time

22,000 digital

Cybersecurity experts
end of H1

425 newly hired

Cybersecurity experts

200 newly certified

Cybersecurity internal
experts

Employee Experience =10| 25-07-2019 | © Atos

3

Digital certificationahead of 3 year
plan

certifications

Breakthrough partnerof the year+450

#1 certified July 201920% ofAdvance 2021
plan already completed
Automation, Google, IoT,
Cybersecurity, Digital
Workplace, Hybrid Cloud,SAP Hana

4

New partnerships
with major
universities

AI for Industry
ecosystem

Atos Syntel 3,000
new campus
graduates selection
Record High Traffic
Atos career site
– ca. 600,000= D&I, Social Value, Wellbeing, Life@work, Employee Experience with our customers

Atos Green digital partner of our customers
Anticipating new TCFD (*) regulation

100 % carbon offset for our customers
Leading Edge Research for Green IT
15 out of 100 most energy

Atos brand new next-generation
datacenter in France is 30%
more energy efficientefficient Super Computer
are manufactured by Atos

Green ecosystem

Atos
Green
App

Engaging employees, universities, Start-ups
11| 25-07-2019 | © Atos(*) Task Force on Climate-related Financial Disclosure

H1 2019 performance
Elie Girard
Deputy CEO & Group CFO

Main wins in Q2 2019 confirming Digital
acceleration
Cloud extension& Application
Management

Entry-Exit System
implementation tofacilitate border checks &reduce delays

Migration to
cloud with
Google Cloud

Cyber secured
space for Google
Cloud's G Suite13| 25-07-2019 | © Atos

BullSequana
XH2000OpenScape
Voice and UCC
application

H1 2019 Commercial activity dashboard

Order entry€5.7bn100% Book to Bill ratio in H1 2019(113% in Q2)

2

in H1 201911

in H1 2018

contracts > € 50m coming forrenewal14| 25-07-2019 | © Atos

Backlog€21.3bn

1.9 year of revenue

Qualified Pipeline€7.1bn
7.4 months of revenue

Constant scope and exchange rates figures
reconciliation
In € million
Statutory revenue
Exchange rates effectRevenue at constant exchange rates
Scope effectExchange rates effect on acquired/disposed perimeters
Revenue at constant scope and exchange rates
Statutory operating margin
Scope effectExchange rates effectOperating margin at constant scope and exchange rates
as % of revenue

H1 2019
5,744

H1 2018
6,005
68% change
-4.3%

5,744

6,074

-5.4%

5,744

-395
23
5,701

+0.8%

529

529
9.2%

545
-41
9
513
9.0%

-2.9%

+3.1%

▶ Exchange rates effect positively contributed to revenue for €+91 million and to operating margin for€+9 million mainly coming from the American dollar.
▶ Scope effect mostly related to the restatement linked to the deconsolidation of Worldline, theacquisition of Syntel, the disposal of some specific Unified Communication & Collaboration activities, andthe disposal and decommissioning of non-strategic activities within CVC.
15

| 25-07-2019 | © Atos

H1 2019 performance by Division▶ Infrastructure & Data Management well on track

Infrastructure & DataManagement

8%

towards growth in H2▶ Business & Platform Solutions transformation
underway through Syntel integration

Business & Platform Solutions

37%

55%

▶ Continuous double-digit growth in Big Data &Big Data & Cybersecurity

Cybersecurity

RevenueIn € million

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

16| 25-07-2019 | © Atos

Operating margin

H1 2019

H1 2018*

3,137
2,135
473

3,193
2,087
421

Organic
evolution
-1.8%
+2.3%
+12.4%

5,744

5,701

+0.8%

Operating m argin %H1 2019

H1 2018*

H1 2019

H1 2018*

274
247
48
-40
529

277
224
49
-37
513

8.7%
11.6%
10.2%
-0.7%
9.2%

8.7%
10.8%
11.7%
-0.7%
9.0%

Infrastructure & Data Management▶ Strong improvement in Q2 notably in North

North America

America15%▶ AccelerationofHybridCloud

Orchestration,

Technology Transformation Services and Unified

7%

Marginstabilized

thanksto

cost

Benelux & The Nordics
20%

Infrastructure & Data Management

Revenue
Operating margin
Operating margin rate
* At constant scope and exchange rates
17| 25-07-2019 | © Atos

22%

FranceOther countries

saving actions including RACE program

En millions d'euros

Germany
United Kingdom & Ireland

9%

Communications▶ Operating26%

H1 2019

H1 2018*

3,137
274
8.7%

3,193
277
8.7%

Organic
evolution-1.8%

Business & Platform Solutions▶

Syntelintegration

movingasplannedwithNorth America

synergies starting to materialize and contributing▶

CleaningofseverallowmarginAtos

9%Continued strong growth in Digital Transformation

21%

9%
15%

projects in all geographies

Business & Platform Solutions
En millions d'euros

Revenue
Operating margin
Operating margin rate
* At constant scope and exchange rates
18| 25-07-2019 | © AtosFranceGermany

legacycontracts
▶

22%

23%

to 80 bps margin rate improvement

H1 2019

H1 2018*

2,135
247
11.6%

2,087
224
10.8%

Organic
evolution+2.3%

United Kingdom & Ireland
Benelux & The Nordics

Other countries

Syntel integration and revenue synergies
Strong pipeline, focus on deals and signatures
Syntel clients growth in line with

Revenue Synergies

business plan in H1 2019

Two key renewals with significant
scope extension signed of $40M
each for US-based insurers▪ 21 deals already closed in H1▪

c. € 40M order entry signed in H1

New $15M win for US-based financial
services multinational, leading toincremental revenue in H2▪

Total opportunities end of June up to $1bn

Joint solution development: Atos
AMOS platform enhanced by

SyntBots intelligent automation
platform19| 25-07-2019 | © AtosWorld’s largest oilfield
services company

Global coffee
experience company

Atos Syntel to modernize
applications using Google
Cloud solutions

Industrialized SAP S/4
HANA implementation(Atos customer)(New customer)

Syntel delivery and cost synergies
Savings from G&A and Account Transformation
Transformation synergies▶ Procurement and real estate synergies materialized in H1

2019, resulting in €14M annualized cost savings.

▶ Accelerated account transformation expected in H2 from thetransfer of contracts to Syntel (wave 3 started in July,aligning an additional €140M of business leading to€1,1bn).

▶ Key operational processes such as resource management

started to operate by Syntel, using best practices and tools.
Wave 1 – Q1
€640M

Wave 2 – Q2
€300M

Wave 3 – Q3
€140M

€30M margin synergies expected in 2019
through improved operational effectivenessand actions on G&A
20| 25-07-2019 | © Atos

Employee and facility
transformation▶ New Tirunelveli Global Delivery

Center now operational to support
growth, with first building of~2,300 seats.
Tirunelveli

Big Data & Cybersecurity
France▶ Continued strong business trend withdouble-digit growth in both Cybersecurity

Germany

22%

and Big Data

43%

3%

▶ Accelerated investments in innovative

North America

9%offerings and R&D

9%▶ Strong level of hiring in highly skilled people

United Kingdom & Ireland
14%

Big Data & Cybersecurity
En millions d'euros

Revenue
Operating margin
Operating margin rate
* At constant scope and exchange rates
21| 25-07-2019 | © Atos

H1 2019

H1 2018*

473
48
10.2%

421
49
11.7%

Benelux & The Nordics

Organic
evolution+12.4%

Other countries

H1 2019 performance by Business Unit
North America▶ North America on track towards growth in H2

19%

23%

▶ All geographies recorded growth in continental

United Kingdom & Ireland▶ Syntel cost synergies starting to materialize andRevenue

North America
Germany
FranceUnited Kingdom & Ireland
Benelux & The Nordics
Other Business Units
Global structures**
Total

19%

15%
15%

RACE program actions on cost base ongoingIn € million

France9%EuropeOperating margin

H1 2019

H1 2018*

Organic
evolution

1,345
1,074
887
842
524
1,073

1,420
1,052
847
860
510
1,012

-5.3%
+2.2%
+4.6%
-2.1%
+2.6%
+6.1%

5,744

5,701

+0.8%

| 25-07-2019 | © Atos

Benelux & The Nordics
Other Business Units

Operating m argin %H1 2019

H1 2018*

H1 2019

H1 2018*

148
68
59
87
39
168
-38
529

140
62
61
93
37
160
-40
513

11.0%
6.3%
6.7%
10.3%
7.4%
15.6%
-0.7%
9.2%

9.9%
5.9%
7.2%
10.8%
7.3%
15.8%
-0.7%
9.0%

* At constant scope and exchange rates** Global structures include the IT Services Divisions global costs not allocated to the Business Units and Corporate costs

22

Germany

: the Atos transformation & performance
program
Automation

Infrastructure & Data Mgmt.

• Atos Automation Marketplace deployed & c. 1 850 use• Span and Pyramid Control early results

cases available• Automation Certified Employees x7 in H1 2019 vs. H1 2018

• 25% of vacancies turned into automation/software roles• New operational KPIs framework leveraging Analytics• 130+ additional customers deployed in H1 2019 withand AI rolled out

cost base improvement

Employee Development& Workforce Mgmt.
• Right shoring activities +50% compared to last year
• Simplified Workforce Management processes, thanks toContract Profitability
Improvement Methodology•

Approach piloted in H1 2019, increased speed in H2•

Systematic & visible Project Margin improvement on average
within 6 months on selected accounts

digitalization, reducing “time to right resource” by 30%•

23| 25-07-2019 | © Atos

New Contract Management Digital Academy roll outIncome statement
In € million

H1 2019

H1 2018

Revenue

5,744

5,241

Operating margin% of revenue

529
9.2%

416
7.9%

Reorganization, Rationalization, Integration & acquisition costs
Amortization of intangible assets (PPA from acquisitions)
Equity based compensation
Others

-104
-79
-34
-24

-65
-49
-32
-23

Operating income

288

247

Net financial expenses

-79

-23

Profit before tax

209

224

-38
18.3%

-35
15.5%

Share of net profit/(loss) of associates

12-

Net income from continuing operations

182

189

-2

-1

Net income from continuing operations – Attributable to owners of the parent

180

188

Net income from discontinued operation – Attributable to owners of the parent

3,055

40

Tax charge
Effective tax rate

Non-controlling interests24| 25-07-2019 | © AtosFree Cash Flow: H1 / H2 timing effects
In € million

Operating Margin before Depreciation & Amortization25

H1 2019

H1 2018835542

as a % of revenue

14.5%

10.3%

Capital Expenditures
Lease payments
Change in working capital requirement
Cash from operations
Reorganization, Rationalization & Integration and acquisition costs
Tax paid
Net cost of financial debt paid
Other changes
Free cash flow
Net acquisitions/disposals
Capital increase
Share buy-backDividends paid
Change in net cash/(debt)
Net (cash)/debt from (used in) discontinued operation
Foreign exchange rate fluctuation on net cash/(debt)

-173
-167
-269
227
-95
-48
-36
-26
23
-11
15
-76
-58
-107
35
5

-177
-152
213
-69
-31
-8
-27
78
-21
7
-50
-70
-57
-309
-4

Opening net cash/(debt)-2,872

307

Closing net cash/(debt)-2,939-62| 25-07-2019 | © AtosBridge FCF: from H1 to FY

26| 25-07-2019 | © AtosNet cash evolution
Net debt
31/12/18

Deconsolidationof Worldline

Free
cash
flow

-2,872+23+35

Acquisitions

Capitalincrease-11+15

Dividend
paid

Share
buy-back

FX ratefluctuation
effect-2 938
- 58

-76

+5

27

| 25-07-2019 | © Atos

Net debt
30/06/19-2,939

H1 2019 headcount evolution28| 25-07-2019 | © AtosConclusion

Thierry Breton
Chairman & CEO2019 main priorities
Return to growth in H2 forNorth America and forInfrastructure & DataManagement

Successfully integrate Syntel
and generate synergy plans toimprove Business & Platform
Solutions profitability

Roll out RACE program toincrease operational profitability

Position Big Data &Cybersecurity as a leading
player for the upcoming
consolidation of this segment

Deliver financial objectives in 2019 and confirm 2021 ADVANCE targets
30| 25-07-2019 | © AtosThank you

Atos, the Atos logo, Atos Syntel, and Unify are registered trademarks of the Atos group.
July 2019. © 2019 Atos. Confidential information owned by Atos, to be used by therecipient only. This document, or any part of it, may not be reproduced, copied, circulated
and/or distributed nor quoted without prior written approval from Atos.