Recruitment could even accelerate in France

Growth is back at the number one European it services. After 18 consecutive months of decline, the activity is finally bullish in the third quarter. The turnover of Capgemini bounced 8.2 ( 2.5 at constant perimeter and exchange rates) to 2.1 billion. The return of the growth was of course expected, but performance proved to be superior to the expectations of financial analysts.

Cyclic activities such as systems integration, the Council and the local services (Sogeti) have helped. Financial services continued to show a sustained performance ( 17). Group also welcomed the return of business telecoms ( 6) and the good of the public sector ( 2), despite the austerity advocated by the Government. The command catch recorded in the third quarter overall rose 15 over last year.

The publication of these good figures however was masked, yesterday, by the caution displayed by the leaders of the software. They have warned that growth would be lower than expected by the end of 2010. The objective of the turnover increased between 3 and 5 on the year is not questioned, but "should instead expect a slightly higher than 3 increase", said Paul Hermelin, CEO of the number one European it services. And financial director Nicolas Dufourcq clarify that organic growth would not exceed 3.5. This adjustment downward was obviously not pleased financial markets: yesterday, the title ended the trading session down 4.5.

At Capgemini, the optimism of the early summer, with the publication of the half-year results, it is mitigated. "The market remains quite soft, concedes Paul Hermelin." Which brings us to show us less articulate on the evolution of the activity. "The turnover is expected to remain stable in the fourth quarter from the previous quarter. A then underperformance that, traditionally, the year end is the most important in terms of income.

More than 100,000 employees

The lack of visibility on the year 2011 has also disappointed. As one of its main competitors, Accenture, had shown a rather reassuring last month at the time of the publication of its results. The US Group had confirmed its forecast of an increase in turnover of 7 to 10 on the 2010-2011 fiscal year (ended August 31) and noted its estimates of earnings per share. "Capgemini is not the first SSII adopt a prudent attitude, said Franck Nassah, at IDC. But the general feeling in the it services market remains positive at the end of the year, after a difficult first half. "So, should see an abundance of caution in the estimates of the leaders of the French software The fact is that the sector is not yet completely out of the crisis, despite the rebound activity. The leaders of Capgemini observe that the resumption of major it projects is not yet at the Rendez-vous and that businesses are reluctant to take risks by engaging in the transformation of their information systems.

Despite this caution, the group will continue its hirings by the end of the year. The symbolic cap of 100,000 employees has been exceeded. The numbers could rise to 110,000 late December, with the integration of Brazilian CPM Braxis. Recruitment could even accelerate in France. While activity has finally stabilised ( 0.1), it could have been stronger if the Group had hired more in France.