CAPMF - Capgemini SE (CAPMF) Q4 2023 Earnings Call Transcript
2024-02-14 14:25:04 ET
Capgemini SE (CAPMF)
Q3 2023 Earnings Conference Call
February 14, 2024 02:00 AM ET
Company Participants
Aiman Ezzat - CEO
Olivier Sevillia - COO
Nive Bhagat - CFO
Conference Call Participants
Laurent Daure - Kepler Cheuvreux
Charles Brennan - Jefferies
Michael Briest - UBS
Mohammed Moawalla - Goldman Sachs
Sven Merkt - Barclays
Frederic Boulan - Bank of America
Toby Ogg - JPMorgan
Adam Wood - Morgan Stanley
Balajee Tirupati - Citi
Presentation
Aiman Ezzat
Good morning. Thank you for joining us for this Full Year 2023 Results Call. And today, I'll be joined by our new CFO, Nive Bhagat; and our COO, Olivier Sevillia.
So, 2023 was another record year for the group. Our results are either in line or above our guidance. The industry slowed down in 2023 after two years of record growth. This gradual deceleration was well anticipated and despite the headwinds, we brought the group to new highs. This demonstrates our agility, the quality of our teams, and above all, the strength of our positioning.
Looking at Q4, it came in line with our expectation at €5.6 billion. Our revenues are virtually stable year-on-year and the booking remains solid with a book-to-bill of 1.18.
For the full year, revenues reached €22.5 billion, up 4.4% at constant currency, in line with our target. Bookings are robust with a solid book-to-bill of 1.06 and reflects sustained commercial momentum despite lengthened decision cycles.
And at 13.3%, the operating margin rate improved 30 basis points. This is above the zero to 20 basis point target we set for the year and this is essentially results from the ongoing shift towards more innovative offerings, combined with strengthened operational efficiency.
In the context of inflation, end market slowdown is yet another demonstration of the resilience of the group and above all, the increasing value we create for our clients. Organic free cash flow reached a record level of €1.96 billion, above the €1.8 billion target we set for 2023.
Normalized EPS is up 8% year-on-year at €12.44, in line with our dividend policy. The Board of Directors is proposing the payment of a dividend of €3.4 per share at the Annual General Meeting.
Now, these results put us among the leaders in our industry. 2023 once again illustrates how the transformation of Capgemini and its positioning as a business and technology partner to its client has redefined the resilience of the group....
Capgemini SE (CAPMF) Q4 2023 Earnings Call Transcript