What is Capgemini's revenue growth outlook for 2023?

Capgemini has tightened its 2023 revenue growth guidance to a range of -1% to +1%, citing caution amid slowing demand and economic uncertainty.

How did Capgemini's operating profit and revenues perform in the first half of 2023?

Capgemini's operating profit for the first half of 2023 fell 15% year-on-year, while its revenues dipped 0.3% to 11.11 billion euros as clients cut non-essential spending.

Home / Business and Economy / Capgemini Tightens 2023 Outlook Amid Slowing Demand and Economic Uncertainty

Capgemini Tightens 2023 Outlook Amid Slowing Demand and Economic Uncertainty

Q: What acquisition has Capgemini announced?

Capgemini has agreed to acquire U.S.-listed technology outsourcing firm WNS for $3.3 billion in cash to expand its range of AI tools.

30 Jul

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Summary

Capgemini tightens 2023 revenue growth guidance to -1% to +1%
Operating profit down 15% in H1 2023 as revenues fell 0.3%
Capgemini to acquire WNS for $3.3B to expand AI tools

Capgemini Tightens 2023 Outlook Amid Slowing Demand and Economic Uncertainty

In a recent development, French IT consulting firm Capgemini has tightened its guidance for the current financial year (2023). The company now estimates a full-year revenue growth at constant currency in a range of -1% to +1%, compared to the previous estimate between -2% and 2%.

Capgemini, which provides a wide range of services from cloud and AI to enterprise management, has cited caution amid slowing demand in the second quarter and an uncertain economic context. CEO Aiman Ezzat stated that while the company sees some stability in the environment going into the third quarter, it is retaining a cautious stance to account for the uncertainty created by geopolitical tensions and a slow economy.

The firm's operating profit for the first half of 2023 stood at 976 million euros, down 15% year-on-year. Revenues fell 0.3% to 11.11 billion euros, as demand remained soft and clients focused on cutting non-essential spending.

In a strategic move, Capgemini has also agreed to acquire U.S.-listed technology outsourcing firm WNS for $3.3 billion in cash. This acquisition is aimed at expanding the range of AI tools the company offers for its clients.

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