After a rollercoaster of a year filled with financial restructuring, stock turbulence, and strategic shifts, this earnings report could set the tone for Atos’s future so if you are an investor, sure you are wondering when is Atos SE earnings report? Having a look on their website, this is set to release its Full-Year 2024 financial results on March 5, 2025. This can be a key date, will this be the turning point for the troubled IT giant, or are more challenges ahead? Let’s dive deep into what to expect from Atos SE earnings report.
How Did Atos Perform in 2024? A Look at the Numbers
Let’s be honest—Atos has been through a tough stretch. Once a leader in IT services and cloud solutions, the company has struggled with declining revenues and an urgent need to restructure its finances. But before we get into what to expect in this earnings report, let’s take a look at how Atos has fared in recent quarters.
A Look Back at 2023
In 2023, Atos reported revenues of €10.69 billion, showing a minimal organic growth of 0.4%—not exactly impressive, but not disastrous either. The two main business divisions performed as follows:
- Eviden (the company’s digital transformation and cybersecurity arm) grew 2.9% organically
- Tech Foundations (infrastructure and cloud services) declined 1.7%
While Eviden showed resilience, Tech Foundations dragged down overall growth. This was a sign that Atos needed to make serious moves to turn things around.
First Half of 2024: The Decline Continues
By mid-2024, things hadn’t improved much:
- Revenue: €4.96 billion (-2.7% organic decline)
- Eviden: -4.2% organic growth (weaker demand in the Americas and UK)
- Tech Foundations: -1.4% organic decline
Q3 2024: The Struggles Persist
The third quarter of 2024 was no different, with Atos reporting a 4.4% revenue drop, bringing in €2.30 billion, down from €2.41 billion in Q3 2023. However, there was a silver lining—order entry improved, suggesting potential future business opportunities.
The Financial Restructuring That Could Make or Break Atos
Atos knew it couldn’t keep going down this path, so it took drastic steps to fix its financial situation. Here’s what happened:
Massive Debt Reduction
Atos managed to slash its debt by €2.1 billion by converting €2.9 billion of debt into equity and repaying €800 million in interim financing. This was a critical step in preventing further financial instability.
Fresh Financing to Keep Operations Running
To ensure liquidity, Atos secured €1.6 billion in new debt and raised €145 million through a rights issue and other equity measures. These moves should help the company stay afloat while it works on stabilizing its business.
While both measures were to give the company more room to improve their finances, it had a massive impact on investors as the stock lost 99.99% of the value due to the massive dilution of shares.
Atos SE Stock Price Forecast: Where Could It Go?
For investors, the big question is—what’s next for Atos stock? Let’s break it down:
Stock Price Calculation Based on Market Cap
At its peak, Atos had a market capitalization of over €12 billion. Today, it’s a fraction of that. The company has 179.04 billion shares outstanding, and its stock currently trades at €0.0035 per share. If Atos were to recover even 10% of its previous market cap (say, reaching €1 billion), the stock could be worth around €0.0056 per share—nearly double today’s price.
That’s not to say it will happen overnight, but it gives investors a perspective on what a rebound could look like. We did a more accurate price forecast for Atos SE stock with all the maths to reach those calculations.
The Share Buyback Program: Will It Support the Stock Price?
One of the biggest developments is Atos’s recently proposed share buyback program. While details are still being finalized, here’s what we know so far:
- Budget: The company is reportedly setting aside millions for the buyback.
- Price Range: Atos is expected to repurchase shares up to a maximum of €50 per share.
- Impact: If executed properly, this could provide some much-needed support for the stock price and signal confidence from management.
Make sure that you read the full details of Atos SE reverse stock split plan and share buyback programme if you have missed them.
What to Watch for in the March 5 Earnings Report
Here are what we think are the key things investors should focus on when Atos releases its earnings:
1. Revenue and Profit Margins
Analysts will be watching closely to see if Atos has managed to slow down its revenue declines. A positive surprise here could boost investor confidence.
2. Cash Flow and Debt Management
Atos’s financial restructuring will only matter if the company can generate enough cash flow to sustain operations. Investors will be looking at whether Atos has improved its free cash flow position. We have good expectation after they publish Atos were nearly double on their liquidity position above business plan
3. Updates on the Share Buyback Program
If Atos confirms more details about its share buyback, it could provide support for the stock price.
4. Guidance for 2025
More important than the past numbers will be Atos’s outlook for 2025. Investors will want to see signs that the company is stabilising and possibly returning to growth.
Should You Buy Atos SE Stock Before Earnings?
This is the big question. Here’s what to consider:
Reasons to Be Bullish:
- The company has significantly reduced its debt burden.
- A share buyback could provide price support.
- If earnings surprise positively, the stock could see a short-term rally.
Reasons to Be Cautious:
- Revenues have been declining, and profitability is still uncertain.
- Market conditions remain challenging.
- The stock is extremely volatile and speculative.
For risk-tolerant investors, Atos might be a high-risk, high-reward play. But for those who prefer stability, it may be wise to wait until after earnings to see clearer signs of a turnaround.
Final Thoughts: Make-or-Break Earnings for Atos
Atos’s March 5 earnings report is shaping up to be one of the most important in its history (at least, recent history). The company has taken aggressive steps to fix its financial health, but now it’s time to see if those efforts are paying off. Investors should keep a close eye on revenue trends, cash flow, and any updates on the share buyback program.
Will Atos defy expectations and stage a comeback, or will the struggles continue? Where could Atos SE stock be in 5 years? We’ll find out soon.
What are your thoughts on Atos’s future? Are you buying, holding, or avoiding the stock? Drop a comment below and let’s discuss!
