France's Sopra Steria H1 revenue rises, lifts full-year organic growth target

Sopra Steria SA

29/07/2026 06:12

Overview
France IT consulting firm's H1 revenue rose 4.1% yr/yr, organic growth 3.0%
Net profit attributable to the group up 3.0% yr/yr in H1
Company raised full-year organic revenue growth target after Q2 momentum improved

Outlook
Sopra Steria raises 2026 organic revenue growth target to 2.0%-2.5% from 1.0%-2.0%
Company maintains 2026 operating margin target of at least 9.5%
Company confirms 2026 free cash flow target at around 5% of revenue

Result Drivers
VERTICAL MARKET PERFORMANCE - Growth was driven by strong results in Aeronautics and Defence, Security & Space, with underlying organic growth of 4.9%, per company
CONSULTING AND SOLUTIONS - Acceleration in Q2 growth attributed to Consulting service line and strong performance in Human Resources Solutions and Property Management Solutions
SFT PROGRAMME IMPACT - Conclusion of the SFT programme had a dilutive effect of 1.8 percentage points on reported organic growth

Company press release: ID:nBw3696SVa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
EUR 2.96 bln
 
H1 Net Income
 
EUR 146.30 mln
 
H1 Basic EPS
 
EUR 7.62
 
H1 Net Debt
 
EUR 618.70 mln
 
H1 Organic Growth
 
3.00%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Sopra Steria Group SA is €180.00, about 4.5% above its July 28 closing price of €172.20
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 7 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)