The French software edition obviously does not know the crisis. This is what Cyril Aubéry, the general manager of CXP, partner of the Truffle 100 ranking of French publishers, is delighted with. Inflation and war on Europe’s doorstep are not penalizing the sector.
On the contrary, last year’s figures reflect “the vitality as well as the unalterable resilience that publishers have again shown in 2022”, welcomes the leader, as does the Minister Delegate for Digital, Jean-Noël Barrot.
French software: the big guys still rule the roost
“We can once again be proud of the results obtained this year,” he reacts. The turnover of the actors of the Truffle 100 thus amounts to 25.5 billion euros, an increase of 14.8%. For software publishing revenues alone, the figures are respectively 14.5 billion and +14.2%.
However, the French market remains very concentrated. The 5 main French publishers alone generate 7.8 billion euros in turnover. However, the trend is definitely for growth for a large majority of players.
85% of publishers report growth or stability in their turnover. 11% report a decline in their income. This is 8 points more than in 2021. Profitability is also there, even if in this area too (like that of the international market), it primarily benefits the biggest.
Growing French Tech publishers
The profitability rate among the members of the ranking stands at 10.4%, making 2022 one of the best years for this parameter. However, does the market allow the growth of young shoots? Experienced people like Cegid and Murex are climbing the hierarchy.
“6 publishers, including 2 members of the French Tech 120, recorded a leap of more than 10 places, mainly linked to external growth operations”, underlines Cyril Aubéry.
“Alongside the big French digital companies like Dassault Systèmes or Sopra Steria, there are also very good places for promising young shoots like Lucca, Sarbacane or even ChapsVision”, supports the minister.
Jean-Noël Barrot does not miss the opportunity to highlight the French Tech 120, a state support program, and therefore the benefits of government action. The dynamism is undoubtedly due above all to the intrinsic qualities of the publishers and to the current technological dynamism.
78% plan to hire in 2023
In this regard, the “top 3 value-generating technological trends remain unchanged” in 2023, with the cloud (77%) – “which nevertheless reaches a plateau” -, cybersecurity (54%) and artificial intelligence (54% ).
This dynamism is however less topical on the side of acquisitions. These operations have fallen sharply since 2020. Le Truffle then listed 96 buyouts. In 2021 and 2022, they are respectively 30 and 47. All the same a sign of tensions on capital. Moreover, IPOs are also declining.
On the employment side, the trend is on the other hand to growth. The total workforce increased by 8.5%. In addition, “the vast majority of publishers have confirmed to us that they have finally been little or moderately impacted in its development by the shortage of resources which nevertheless remains significant.” And in 2023, they are still 78% to anticipate an increase in the number of their employees.