# Capgemini ‘comfortable’ with top end 2022 targets but sees demand slowing Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-10-27 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Capgemini anticipates slower demand in 2023 Meta Description: Capgemini remains optimistic for 2023 growth despite expectations of demand deceleration due to fears of economic slowdown impacting IT budgets. URL: https://financedigest.com/capgemini-comfortable-with-top-end-2022-targets-but-sees-demand-slowinghtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-10-27t052035z1lynxmpei9q046rtroptp4france-capgemini-1736814960016-compressed.jpg) By Dagmarah Mackos (Reuters) -French IT consulting group Capgemini sees demand slowing in 2023 but expects results at the top end of guidance this year driven by its cloud, data and artificial intelligence businesses. “The group expects demand to decelerate a bit in the coming quarters, but it remains confident that 2023 will be a year of growth, even if probably not as strong as in 2022,” Chief Executive Aiman Ezzat said on a media call on Thursday. His comments come amid growing [fears that an economic slowdown could dent IT budgets after gloomy results from tech](https://www.financedigest.com/cisco-forecast-raise-allays-tech-spending-fears-lifts-shares.html "Cisco forecast raise allays tech spending fears, lifts shares") giants Alphabet Inc and Microsoft Corp. The company has forecast revenue growth in 2022 of between 14% and 15% on a constant currency basis and an [operating margin](https://www.financedigest.com/ubisoft-vows-to-get-back-to-operating-margin-above-20-in-medium-term.html "Ubisoft vows to get back to operating margin above 20% in medium term") of 12.9% to 13.1%, which analysts said could be seen as conservative given healthy demand. Capgemini shares were down more than 2% at 0727 GMT. The company estimates growth in the [fourth quarter](https://www.financedigest.com/german-gdp-contracted-by-0-4-in-the-fourth-quarter.html "German GDP contracted by 0.4% in the fourth quarter") at around 10%, chief financial officer Carole Ferrand said on the call. The [group reported third-quarter revenue of 5.55 billion euros](https://www.financedigest.com/telecoms-group-orange-signs-sustainability-linked-refinancing-of-6-billion-euros-syndicated-credit-facility.html "Telecoms group Orange signs sustainability-linked refinancing of 6 billion euros syndicated credit facility") ($15.8 billion), up 15.7% from the same period a year earlier at constant exchange rates. Bookings in the [quarter rose 13% to 5.43 billion euros](https://www.financedigest.com/euro-having-a-laugh-a-quarter-of-brits-take-the-wrong-currency-on-holiday.html "Euro having a laugh: a quarter of Brits take the wrong currency on holiday"). Given this very good Q3 performance, we now [feel comfortable](https://www.financedigest.com/necessary-lessons-in-debt-six-out-of-ten-brits-wouldnt-feel-comfortable-discussing-any-money-issues-with-their-children.html "Necessary lessons in debt? Six out of ten Brits wouldn’t feel comfortable discussing any money issues with their children") with the top end of our growth outlook for 2022,” Ezzat said in the company’s statement. It expanded its workforce 16% year on year, [reaching headcount of 358,400 at the end](https://www.financedigest.com/td-other-banks-reach-1-35-billion-settlements-to-end-stanford-litigation.html "TD, other banks reach .35 billion settlements to end Stanford litigation") of September. The group also said it will hire less as [growth slows](https://www.financedigest.com/uk-recruiters-slow-pace-of-pay-growth-in-march-rec-survey-shows.html "UK recruiters slow pace of pay growth in March, REC survey shows") and attrition rate moderates in a stabilising talent market. The high [demand for IT specialists due to a shortage of available workers has forced many companies to increase](https://www.financedigest.com/investments-in-the-caribbean-increasing-due-to-cbi-demand.html "Investments in the Caribbean Increasing Due To CBI Demand") wages to attract new talent in a competitive market. ($1 = 0.9936 euros) (Reporting by Dagmarah Mackos; Editing by Josephine Mason, Edwina Gibbs and Jane Merriman) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---