Capgemini's first-quarter revenue up 7%, in line with estimates
Figurines with computers and smartphones are seen in front of Capgemini logo in this illustration taken, February 19, 2024. REUTERS/Dado Ruvic/Illustration
April 30 - French IT services group Capgemini reported a 7 per cent rise in first-quarter revenue at constant exchange rates on Thursday, in line with guidance.
The company, which serves government agencies, critical infrastructure operators and large regulated businesses, said growth would have been 11 per cent without currency swings.
CEO Aiman Ezzat told reporters AI is rapidly reshaping the company's business mix, with generative and agentic AI accounting for more than 10 per cent of group bookings in the quarter.
He cited Capgemini's global reach and deeper partnerships with U.S. tech firms, including Google and a new "Frontier Alliance" with OpenAI, as key drivers of growth.
The French IT services giant, which competes with peers such as Sopra Steria and Accenture, has sidesteppedcalls for European tech autonomy, arguing that U.S. Big Tech's dominance makes any alternative unrealistic.
Revenue rose to 5.9 billion euros ($6.88 billion), while bookings increased 6.2 per cent year-on-year to 6 billion euros in the quarter.
North America grew 20.7 per cent at constant exchange rates to 1.7 billion euros, driven by its recently acquired AI unit WNS.
Sales fell 1 per cent in France, while the rest of Europe posted 1.7 per cent growth.
Group headcount stood at 421,000 at end-march, up 23 per cent year-on-year, reflecting the integration of WNS.
Capgemini confirmed its target of revenue growth around 6.5 per cent to 8.5 per cent.
($1 = 0.8578 euros)
