French IT giant Capgemini on Tuesday announced net income (group share) up 34% to 1.55 billion euros in 2022, another “record” year, but expects sales to grow significantly. slowed down in 2023.
Its turnover increased by 21% to 21.99 billion (+16.6% at constant exchange rates), slightly higher than its forecasts.
Its operating margin reached 13.0% in 2022, up 10 basis points.
For 2023, the group is targeting an increase in turnover at constant exchange rates of between +4% and +7%, but a maintained operating margin of between 13.0% and 13.2%.
The year 2022 ended with sales growth in the 4th quarter of +14% at constant exchange rates.
“We will see a slowdown in 2023,” CEO Aiman Ezzat commented in a conference call, “because customers are uncertain and delaying their decisions, even if they have ambitions in terms of projects.”
“The environment is less favorable in 2023 and might evolve further in the coming quarters,” he added, citing uncertainties regarding the evolution of interest rates. The group is also under wage pressure in the context of a “talent war”.
“But the economy is becoming more digital and more sustainable, two closely linked transitions, and we are well placed to support our customers, with significant growth potential for the group. We continue to gain market share,” added the general director.
“The unchanged dynamic of cloud and data-related activities reflects the priority given by the group’s customers to their investments in technology”, Capgemini further argued.
As of December 31, 2022, the group’s total workforce stood at 359,600 people, up 11%. The proportion of women reached 37.8% at the end of 2022 compared to 35.8% at the end of 2021. It was 24.4% among executive leaders compared to 22.4% at the end of 2021.
The group has proposed a dividend of 3.25 euros per share, the statement said.