April 23 (Reuters) - French cloud services provider OVH

posted slightly better-than-expected first-half

earnings on Tuesday yet cut its 2024 core profit target citing

challenging conditions, especially in Europe.

OVH Groupe cut its organic revenue growth forecast to

9-10% from 11-13%.

CEO Michel Paulin in a press release cited "an economic

context with little visibility, particularly in Europe where

customers are optimising their cloud resources.

"This reduced economic visibility in 2024 has led us to

review our revenue targets."

OVH makes most of its sales in France and more broadly,

in Europe.

Revenue in France grew 10.1%, down from growth of 14% a

year earlier.

The group has been implementing a

cost-cutting

plan to boost profitability, and has raised prices on its

services in response to a slowdown in the cloud market as

customers reduce their investments.

It posted growth of 18.3% in adjusted earnings before

interest, tax, depreciation and amortisation (EBITDA) of 184

million euros ($196.00 million), beating the 180.3 million, or

growth of 15.8%, in a company-compiled analysts forecast.

Adjusted core profit margin expanded to 37.9%, up 2.5

percentage points from a year earlier.

OVH confirmed its medium-term targets.