Technology outsourcing company Capgemini Group said its revenue reached €3.17 billion (+2.6 percent) in the first quarter of 2017.
“Our revenue growth of 2.8 percent in Q1 is driven by a strong momentum in Continental Europe and an improved performance in North America. Financial Services and Manufacturing – which together account for nearly half of the Group’s revenues – show growth rates close to 10 percent,” said For Paul Hermelin, chairman and CEO of Capgemini Group.
Capgemini said digital and Cloud, which grew 24 percent, now accounts for 32 percent of revenues.
Capgemini completed three acquisitions this quarter, aimed at expanding portfolio in digital and Cloud areas.
Idean, a digital design firm based in Palo Alto, Atlanta-based TCube Solutions, specialized in Duck Creek Technologies insurance software and Itelios, an omni-channel e-commerce expert are the latest acquisitions by Capgemini.
Capgemini will be investing in automation platforms and global production centers to accompany clients in their drive to improve competitiveness.
Capgemini said revenues from Consulting Services, which contributes 4 percent of Group revenues, rose 10.6 percent driven by growth in Continental Europe and fueled by digital transformation demand.
Technology & Engineering Services revenue of Capgemini, which forms 16 percent of total revenue,) grew 5 percent.
Capgemini said Application Services, which contributes 61 percent of revenues, benefitted from a strong market demand for digital and cloud-based application offerings and continue to drive Group momentum, with revenue growth of 5.3 percent.
Revenue from other Managed Services, which form 19 percent of revenues, fell 7.6 percent due to to Infrastructure Services which continue to be impacted by the decline in the UK public sector. Business Process Outsourcing and platforms business of Capgemini are stable in Q1.
Capgemini has headcount of 195,800 (+7 percent), with 111,300 employees in offshore centers (57 percent of the total headcount).
