Economy

Everything you need to know about OVHcloud's economy

Market Context

OVHcloud faces competition from major players in the IT sector. To stand out, OVHcloud dedicates a significant portion of its revenue to research and development. The company invests to develop cloud solutions tailored to specific customer needs, while also promoting the use of open-source technologies, which not only reduces costs but also fosters an active community of users and developers. This positions it as a key player in the market.

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Figures & Info

OVHcloud generated approximately 897 million euros in revenue in 2023, an increase of +13.4% compared to 2022. About 10% of its revenue is invested in research and development, which amounts to approximately 89.7 million euros in 2023. Economic forecasts for the company indicate continued growth, with projections to reach 1 billion euros in revenue in the coming years.

Employment

The company employs around 2000 people worldwide, with teams dedicated to research, development, sales, and customer support. OVHcloud is committed to promoting diversity and inclusion within its teams. The company aims to create a work environment where everyone feels valued, regardless of their background.

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Financial outlook of the company

For 2024, OVHcloud expects organic revenue growth of 11% to 13% and an adjusted EBITDA margin of 39% by 2026. Capital expenditures for recurring investments and growth are projected to be between 12% and 14%, and 16% to 18% of revenue, respectively. The company also anticipates generating €14 million in Unlevered Free Cash Flow, reflecting its ability to generate cash flows from operations without considering debt effects.

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