...March 6, 2025 S&P Global Ratings forecasts softer revenue performance in 2025, but resilient profitability. Capgemini faced a challenging 2024 as customers did not increase discretionary spend as initially expected. Headwinds have been particularly visible in the manufacturing sector, and in France, and translated into the company's top-line contracting by 1.9%. We expect subdued discretionary spending will likely continue in 2025, fostered by uncertain geopolitical and economic environments, leading us to forecast minimal revenue growth of 0%-1% in 2025. That said, factoring in Capgemini's leading position in the intelligent industry, its diversified customer base, global operations, its high-value-added service offering, and the company's recently announced focus on top-line growth, we think its top line will return to accelerated growth of 2.5%-4.5% in 2026. This will also be fostered by growing demand for digital transformation, as clients increasingly invest in the cloud, data, and...
