What happened? Sopra Steria announced this morning that it has secured a GBP300m contract extension to deliver critical business services to 6 UK government clients for the next three years, until at least 2028. We understand from our follow-up conversation with the company that this extension, along with those already announced in Q4, should enable the SSCL JV to keep generating a similar level of annual revenue run-rate to what it is currently generating. BNPP Exane View: The SSCL contracts renewal was a risk Sopra Steria was facing this year. The extension announced today removes this risk, which we see as positive for the stock.