Accenture

Accenture Sees 2Q Rev $15.4B-$16B.

Accenture Reports First-Quarter Fiscal 2024 Results — Revenues of $16.2 billion, an increase of 3% in U.S. dollars and 1% in local currency — GAAP operating margin of 15.8%, compared to 16.5% in the first quarter of fiscal 2023; adjusted1 operating margin of 16.7%, an expansion of 20 basis points — GAAP EPS of $3.10, an increase of 1% over the first quarter of fiscal 2023; adjusted EPS of $3.27, an increase of 6% — New bookings of $18.4 billion, an increase of 14% in U.S. dollars and 12% in local currency — Quarterly cash dividend of $1.29 per share, an increase of 15% — Accenture confirms business outlook for fiscal 2024; continues to expect revenue growth of 2% to 5% in local currency; GAAP EPS of $11.41 to $11.76, a 6% to 9% increase; and adjusted EPS of $11.97 to $12.32, a 3% to 6% increase NEW YORK–(BUSINESS WIRE)–December

Accenture’s Q1 New Bookings Were $18.4B, With Consulting Bookings Of $8.6B And Managed Services Bookings Of $9.8B.

Accenture Reaffirms FY24 Adjusted EPS Of $11.97-$12.32 Versus Consensus Of $12.23, For FY24, The Company Expects Revenue Growth Of 2%-5% In Local Currency.

By Adriano Marchese Accenture reported better-than-expected profit and revenue in its first quarter of fiscal 2024. The professional services company posted net income of $1.97 billion, or $3.10 a share, compared with $1.96, or $3.08 a share, in the same quarter a year ago. Adjusted earnings were $3.27 a share. According to FactSet, analysts were expecting $3.14 a share. Revenues 3% rose to $16.2 billion, just above analyst expectations of $16.17 billion. Accenture expected foreign exchange to have a bigger positive effect in the quarter, which came in at 1.5% compared with 2.5%, which it previously expected. New bookings for the quarter were $18.45 billion, comprised of consulting bookings of $8.6 billion and managed services bookings of $9.8 billion. Write to Adriano Marchese at adriano.marchese@wsj.com

Irish-American professional services company Accenture expects foreign-exchange effects to hit revenue growth in the second fiscal quarter, missing analyst expectations. Accenture said Tuesday that it expects revenue to be in the range of $15.5 billion and $16 billion, which represents a decline of 2% to a gain of 2% in local currency. Analysts polled on FactSet expected revenue to grow to $16.25 billion. The company said this reflects its assumption that foreign exchange will have a 0.5% negative effect compared with a year ago. For the full fiscal year of 2024, Accenture expects that the foreign exchange effect will be flat compared with the previous fiscal year, and expects revenue growth to be in the range of between 2% and 5% in local currency.

The following is a summary of the Accenture Plc (ACN) Q1 2024 Earnings Call Transcript: Financial Performance: Accenture reported Q1 bookings of $18.4 billion, a 12% growth in local currency, with 30 clients with bookines greater than $100 million. The company delivered Q1 revenue of $16.2 billion which shows a 1% growth in local currency. The operating margin expanded by 20 basis points and the adjusted EPS grew by 6%, despite continued investments in the business and its people. Free cash flow for the quarter was $430 million and the company returned $2 billion to shareholders through repurchases and dividends. Business Progress: Accenture reported 12 acquisitions this quarter, investing a total of $788 million in strategic areas across geographic markets. The company confirmed leadership in the AI industry, with generative AI contributing significantly to the growth of its clients. The company committed to investing $3 billion in AI over three

Accenture (NYSE:ACN) Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 12/14/2023 4.29% Wedbush $330 → $360 Maintains Outperform 11/16/2023 18.77% Redburn Atlantic → $410 Initiates Coverage On → Buy 11/07/2023 -3.53% UBS → $333 Initiates Coverage On → Neutral 09/29/2023 -1.51% RBC Capital → $340 Reiterates Outperform → Outperform 09/29/2023 1.39% BMO Capital $360 → $350 Maintains Market Perform 09/29/2023 -13.09% TD Cowen $312 → $300 Maintains Market Perform 09/29/2023 -6.72% Baird $332 → $322 Maintains Neutral 09/29/2023 -13.09% Piper Sandler $312 → $300 Maintains Neutral 09/27/2023 4.29% BMO Capital $355 → $360 Maintains Market Perform 09/26/2023 -4.4% Wedbush → $330 Reiterates Outperform → Outperform 09/22/2023 -9.62% Piper Sandler $314 → $312 Maintains Neutral 09/18/2023 3.71% Citigroup $358 → $358 Maintains Buy 09/12/2023 -9.62% TD Cowen $300 → $312 Maintains Market Perform 09/12/2023 2.84% Morgan Stanley $340 → $355 Maintains Overweight 09/11/2023 12.98%

Accenture (ACN) is uniquely positioned to help clients transition to a “digital core” despite pressure on demand for the Dublin-based consulting firm’s services due to macro reasons, analysts at RBC Capital Markets said Thursday. RBC Capital analysts noted that the company’s bookings decreased 10% year over year on a reported basis, while managed services bookings growth declined 18% year over year. Accenture’s management called out pressure on revenue and bookings from smaller deals, though revenue from GenAI projects continued to accelerate but the magnitude remained small. RBC maintained its outperform stock rating on Accenture and price target of $340 per share.

Accenture (NYSE:ACN) Raises Quarterly Dividend to $1.29 From $1.12.