Capgemini Reports 7% Revenue Growth in Q1, Driven by North American Market
Capgemini's first-quarter revenue up 7% YoY, in line with estimates
The Economic TimesImage: The Economic Times
Capgemini, the French IT services group, reported a 7% year-on-year revenue increase in the first quarter, reaching €5.9 billion ($6.88 billion). The growth was primarily fueled by a 20.7% rise in North America, despite a decline in France. The company aims for a revenue growth target of 6.5% to 8.5% for the year.
- 01Capgemini's revenue grew 7% year-on-year in Q1.
- 02North America saw a significant 20.7% revenue increase.
- 03Bookings rose 6.2% year-on-year, totaling €6 billion.
- 04Revenue in France declined by 1%, while Europe grew by 1.7%.
- 05The company targets revenue growth of 6.5% to 8.5% for the year.
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Capgemini, a leading French IT services group, reported a 7% year-on-year increase in first-quarter revenue, amounting to €5.9 billion ($6.88 billion) at constant exchange rates. The growth aligns with the company's guidance, which noted that revenue would have increased by 11% without currency fluctuations. A significant driver of this growth was North America, where revenue surged 20.7% to €1.7 billion, largely attributed to the integration of its recently acquired AI subsidiary, WNS. However, the company faced challenges in its home market of France, where revenue fell 1%, and only a modest 1.7% growth was recorded in the rest of Europe, particularly in the Consumer Goods and Public Sectors. Additionally, bookings for the quarter rose 6.2% year-on-year, reaching €6 billion. Capgemini maintains its revenue growth target for the year at 6.5% to 8.5%.
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