2006 results have been severely dented by its performance in the UK, which
has led to restructuring.
The consulting group’s revenues were 5.4bn euros, compared with 5.45bn euros
in 2005. Operating profit fell to 270m euros, from 413m euros a year earlier,
blaming delays in business deals in the UK and a tough environment in Italy.
‘The year has been severely affected by a 12.6% decline in
revenues in the UK resulting from four major contract ramp-downs (one in
consulting and three in managed operations), which were not compensated for by
new business. Excluding the UK, group revenues were up 5.4%,’ Atos stated.
However, the group expects the figures to pick up after order entries grew
towards the end of the year.
A major restructuring programme is underway in the UK in a bid to create
UK operating margins declined by 91m euros, which included 47m euros of extra
costs for completing several difficult projects and lower utilisation rates in
A three-year plan of cost-cutting and integration across back office
functions has already begun across Europe.
New managers have also been appointed in the UK, Netherlands, Italy, Belgium,
France, group sales and finance.
KPMG recently nabbed Atos’ head of
consulting Bernard Brown, in what was considered another step further back into
consulting for the accounting giant.
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
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Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Accountants should alter their perspective on auto-enrolment to maximise business opportunities, according to Eric Clapton.