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Accenture tops Q1 estimates; updates full-year outlook

Accenture (ACN) topped market estimates on both revenue and earnings for the first quarter of 2019 and updated its guidance for the full fiscal year. Shares were up 2% during premarket hours on Thursday. Total revenues were $10.6 billion, up 7% in US dollars and 9.5% in local currency, compared to the same period last […]

December 20, 2018 2 min read
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Accenture (ACN) topped market estimates on both revenue and earnings for the first quarter of 2019 and updated its guidance for the full fiscal year. Shares were up 2% during premarket hours on Thursday. Total revenues were $10.6 billion, up 7% in US dollars and 9.5% in local currency, compared to the same period last […]

· December 20, 2018

Accenture (ACN) topped market estimates on both revenue and earnings for the first quarter of 2019 and updated its guidance for the full fiscal year. Shares were up 2% during premarket hours on Thursday.

Total revenues were $10.6 billion, up 7% in US dollars and 9.5% in local currency, compared to the same period last year. Consulting revenues grew 8% in US dollars and 10% in local currency while Outsourcing revenues rose 7% in US dollars and 9% in local currency.

Accenture first quarter 2019 earnings infographic
Accenture Q1 2019 Earnings Infographic

Net income grew 9% to $1.29 billion, or $1.96 per share, versus the prior-year quarter, helped by higher revenue and operating results.

New bookings for the quarter were $10.2 billion, reflecting a negative 2% foreign currency impact compared to the prior-year period.

Accenture posted revenue increases across all its operating groups, except Financial Services, which saw a decline of 1% in US dollars. The company saw broad-based revenue growth across all its geographic regions during the quarter.

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In November, Accenture paid a semi-annual cash dividend of $1.46 per share, which totaled $933 million and represented a 10% increase over the previous semi-annual dividend declared in March.

Accenture earnings preview: Wall St sees broad-based growth in Q1

For the second quarter of 2019, Accenture expects revenues to come in the range of $10.10 billion to $10.40 billion, reflecting a growth of 6-9% in local currency and the assumption of a negative 4% foreign exchange impact versus the same period last year.

Accenture updated its outlook for the full fiscal year of 2019 based on the assumption of a negative 3% foreign-exchange impact on its results in US dollars versus the previous assumption of negative 2.5%. The company expects revenues to grow 6-8% in local currency versus the previous range of 5-8%. Diluted EPS is expected to be $7.01 to $7.25 versus the prior range of $6.98 to $7.25.

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