| Q3 2013 Revenues |
Q3 2012 Revenues |
Change | Q3 2013/ Q3 2012 |
| €2,451 million | €2,523 million | Like-for-like | + 1.6% |
| Published | – 2.8% |
- by business, the quarter saw Outsourcing Services return to growth, increasing 2.2%, together with the Local Professional Services business (Sogeti), which has steadily recovered over the year (+1.5% in Q3, after -2.5% in Q2 and -5.2% in Q1). Technology Services revenues grew 2.0%. Consulting Services revenues, however, contracted 7.0%.
- by region, the emerging countries of Asia-Pacific and Latin America once again reported the strongest growth (+14.6%). North America grew moderately by 1.3%. After its return to growth in Q2, France reported a 3.4% increase in revenues. The United Kingdom and Ireland region contracted 2.5% due to a fall in public sector revenues in line with forecasts. The Benelux region reported a limited decline (-1.8%), confirming the gradual stabilization of activity thanks to the measures taken at the end of 2012. The rest of Europe is stable (+0.1%).
As of September 30, 2013, the total headcount of the Group was 130,088. Offshore employees totaled 56,198, representing 43.2% of the Group headcount. Capgemini continues to focus on recruiting young graduates, who represent more than 40% of total recruitments since the beginning of the year.
Based on these results, the Group confirms its 2013 full-year guidance communicated last February and confirmed in July:
- organic revenue growth in line with 2012,
- an increase in the operating margin1 of at least 30 basis points in 2013, i.e. 8.4% compared with 8.1% in fiscal year 2012,
- cumulated organic free cash flow for 2012-2013 of €800 million, before the exceptional pension fund contribution.
For Paul Hermelin, Chairman and Chief Executive Officer of Capgemini Group: “This year, we have reported steady improvement in our performance, quarter after quarter, a trend that should continue in Q4. Our portfolio of strategic offerings generates a growing share of our bookings, demonstrating our ability to anticipate the evolution of client demand, particularly in innovation and cost rationalization.”
At the end of July, Capgemini announced measures aimed at optimizing its balance sheet and, in particular, the intention to allocate up to €400 million to neutralize part of the potential dilution caused by the OCEANE convertible bonds due January 1, 2014 . In this context, Capgemini repurchased 14 280 3052 OCEANE, i.e. 85% of its OCEANE convertible bonds for €687 million. This transaction was funded from Group cash, which benefited concomitantly from €400 million in proceeds from the issue of ORNANE (convertible bonds). In line with its initial commitment given in July, Capgemini will assign around €100 million to further neutralizing dilution in the coming months.
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Appendix
Utilization rates
| Q1 2012 | Q2 2012 | Q3 2012 | Q4 2012 | Q1 2013 | Q2 2013 | Q3 2013 | |
| Consulting | 65% | 67% | 64% | 67% | 62% | 69% | 64% |
| Local Professional Services (Sogeti) | 82% | 83% | 83% | 82% | 80% | 82% | 83% |
| Technology Services | 80% | 80% | 81% | 81% | 79% | 80% | 81% |
Revenue by business (at constant Group structure and exchange rates)
| % of revenues Q3 2012 | % of revenues Q3 2013 | Q3 2013 / Q3 2012 | |
| Consulting | 4.4% | 4.1% | -7.0% |
| Local Professional Services (Sogeti) | 14.2% | 14.6% | 1.5% |
| Technology Services | 39.7% | 40.1% | 2.0% |
| Outsourcing | 41.7% | 41.2% | 2.2% |
Revenue by region
| In million euros | Q1 2012 | Q2 2012 | Q3 2012 | Q1 2013 | Q2 2013 | Q3 2013 | Q3 2013 / Q3 2012 | |
| Published | Organic | |||||||
| North America | 505 | 536 | 543 | 501 | 530 | 516 | -4.9% | 1.3% |
| United Kingdom and Ireland | 510 | 559 | 534 | 510 | 500 | 482 | -9.7% | -2.5% |
| France | 578 | 538 | 497 | 551 | 541 | 514 | 3.4% | 3.4% |
| Benelux | 298 | 278 | 262 | 273 | 268 | 258 | -1.8% | -1.8% |
| Rest of Europe | 478 | 473 | 426 | 469 | 473 | 418 | -1.6% | 0.1% |
| Asia-Pacific and Latin America | 196 | 201 | 261 | 195 | 222 | 263 | 0.8% | 14.6% |
| Total | 2,565 | 2,585 | 2,523 | 2,499 | 2,534 | 2,451 | -2.8% | 1.6% |
Year to Date revenue
| In million euros | YTD 2012 | YTD 2013 | YTD 2013 / YTD 2012 | |
| Published | Organic | |||
| North America | 1,584 | 1,547 | -2.3% | 0.8% |
| United Kingdom and Ireland | 1,603 | 1,492 | -6.9% | -2.3% |
| France | 1,613 | 1,606 | -0.5% | -0.5% |
| Benelux | 838 | 799 | -4.9% | -4.9% |
| Rest of Europe | 1,377 | 1,360 | -1.1% | -1.2% |
| Asia-Pacific and Latin America | 658 | 680 | 3.3% | 12.2% |
| Total | 7,673 | 7,484 | -2.5% | -0.2% |
Key events of Q3 2013
- a €30+ million deal on policy and claims transformation for a major US car insurance company;
- a €30 million deal to deploy smart metering technology, network and computing infrastructure for Consumers Energy (1.8 million electric and 600,000 gas endpoints);
- a €30 million deal with a global beverage company to be their application development and maintenance partner;
- a €60 million infrastructure outsourcing deal for a European natural gas and electricity producer;
- Capgemini was upgraded to “BBB” by S&P.
