France's OVHcloud first-quarter sales jump 12% on Europe boost

French cloud services provider OVHcloud on Thursday posted higher first-quarter sales, roughly in line with expectations, helped by a solid performance in Europe, while maintaining its targets for this year and 2025.

Sales in the quarter grew 12.0 per cent on a like-for-like basis to 239.8 million euros ($263.30 million), nearly matching a company provided consensus expectation of 12.5 per cent growth. Some global cloud companies, including sector major Oracle, have faced a sales slowdown due to macroeconomic uncertainties. OVH in October gave a lower- than-expected sales target for the current year.

"In an uncertain economic environment, where customers are optimizing their spending, our performance-price ratio is particularly attractive," OVHcloud CEO Michel Paulin Paulin said in a statement on Thursday.

In France, which accounts for nearly half of OVH's revenue, sales were up 9.3 per cent, while Europe excluding France saw growth of 16.3 per cent.