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HCL Tech’s Q1 FY20 earnings are a mystery
You may have noticed we had not reported HCL Tech’s Q1 FY20 earnings. HCL has changed the way its reports its segments.
Ricardo: the diversification strategy is taking time to bear fruit
Ricardo announced mixed results for full-year FY19. Revenues were up 2% to £384m, with flat CC/CS growth. We estimate that revenues declined slightly (flat to -1%) in H2, impacted by a collapse in Technical Consulting (TC), it ER&D unit.
GlobalLogic makes a rare acquisition with Skookum
GlobalLogic announced a rare acquisition. The company took over Skookum, a digital agency headquartered in Charlotte, NC.
Altran: Aricent back to growth in Q2!
We eagerly awaited the earnings from Altran in H1 2019 to understand if Aricent would resume growth, as guided by Altran.
ÅF resumes tuck-in M&As, Belcan expands in UK, and HCL Tech strengthens its semiconductor capabilities
HCL Tech, ÅF, and Belcan have announced tuck-in acquisitions in the past week.
Capgemini’s acquisition of Altran in trouble?
Capgemini’s proposition of Altran for EUR 14 per share is getting more complicated.
Expleo’s revenues stagnate in H1 2019
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Assystem’s nuclear M&A strategy in a dead-end?
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US giant Jacobs Engineering acquires Wood’s nuclear engineering business
Jacobs Engineering, a US infrastructure giant, is to acquire the nuclear engineering business of (another infrastructure giant in the UK) Wood. Jacobs is paying an enterprise value of USD 300m.
EDAG suffers in Q2 from the collapse in its Production Solutions unit
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An introduction to Evotec
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KPIT: a high-growth automotive pure-play
KPIT published its Q1 FY20, its second quarterly earnings since it became an automotive ER&D pure-play, since the sale of its IT service business to Birlasoft, last year.
UPDATED: Segula finalizes its outsourcing contract with PSA. Reduced scope!
PSA finalized its outsourcing contract with Segula, almost one year after it was announced. Looking at the details, the scope of the contract is much smaller than expected, with the people transfer initially involving 700 employees, rather than the 2,000 expected. Segula has agreed to take over the new engineers and guaranteed similar wages and benefits and also purchasing buildings and facilities.
The ER&D service industry is getting closer to a spending inflection point
The performance of major ER&D service vendors showed great diversity in Q2. Alten showed, as always, very solid growth (+ 12.4% at CC/CS) and so did HCL Tech (+13.3% at CC).
Bertrandt issues a profit warning
After the profit warning of EDAG in July, Germany’s largest automotive ER&D pure-play, Bertrandt, also issued a profit warning. The company lowered its EBIT margin range guidance to 5%-7.5%, down from 7%-9% previously. Bertrandt is suffering from project delays and low utilization rates.
SII’s revenue growth continues to erode in Q1 FY20
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Akka sends mixed signals in Q2
Akka surprised investors with a CC/CS revenue growth slowdown in Q2 2019: revenues were up 5.1% yoy at CC (vs. 6.6% in Q1). Utilization declined by 50 bps yoy, and attrition (excluding PDS Tech) was up by a massive 530 bps, to 23.3%.
Alten best-in-class in Q2, as always
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Assystem increases slightly its organic guidance after a good Q2
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Capgemini open to show flexibility on Altran ownership structure
Still aiming to take control of Altran, Capgemini is open to show flexibility in its ownership structure. The company targets at least 50.1% of the shares of Altran and will accommodate large minority shareholders.
EDAG issues a profit warning
EDAG issued last night a profit warning for its full-year 2019 operations. The company is now expecting revenue growth by approximately 1% (previous guidance 5%), an adjusted EBIT margin of 4%-5% (previously 5%-7%), and a net profit of EUR 10m.
Infrastructure engineering vendor Sweco suffers from the calendar effect in Q2
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Cyient’s revenues decline in Q1 FY20
Cyient’s revenues in Q1 FY20 declined, slightly, by 2.6% yoy. The decline came as a surprise as the company had signaled it had bottomed out in Q4 FY19.
AI Industrial Partners continues to grow Gryphon
AE Industrial Partners continues to scale up its investment in its various engineering and IT services units, which include Belcan, CDI, and Gryphon Technologies