Categories AlphaGraphs, Earnings, LATEST, Technology

Accenture Q4 earnings beat street view; hikes dividend by 10%

Sustained demand for digital and cloud products pushed up Accenture’s (CAN) revenues in the fourth quarter. As a result, earnings increased exceeded analysts’ forecast. The company provided guidance for fiscal 2019 and raised its semi-annual dividend by 10%. The stock which has outperformed the market so far this year dropped after the announcement, paring the earlier gains.

Accenture Q4 results beat estimates
Accenture Q4 2018 Earnings Infographic

Net profit advanced to $1.03 billion or $1.58 per share from $0.93 billion or $1.48 per share in the fourth quarter of 2017. Earnings were higher by two cents compared to analysts’ forecast. During the three-month period, operating margin grew by 10 basis points to 14.3%, and new bookings came in at $10.8 billion.

The company issued a bullish outlook for fiscal 2019 and raised its semi-annual dividend by 10%

Revenues of the professional services provider jumped 11% to $10.1 billion, broadly in line with Wall Street estimates. Consulting revenues gained 12% while Outsourcing revenues rose 9%. North America, the company’s primary market, registered a 10% revenue growth. Revenues from Europe and growth markets rose 10% and 12% respectively.

“Our growth strategy and innovation-led approach are clearly resonating with our clients. With our durable business model and disciplined management, we are very well-positioned to continue gaining market share and delivering value for our clients and shareholders,” said CEO Pierre Nanterme.

Cognizant reports earnings decline for Q2

Buoyed by the strong results, the company issued some upbeat guidance, expecting revenues to grow by 7-10% in the first quarter to the range of $10.35 billion to $10.65 billion. Revenue is forecast to grow by 5-8% in the whole of 2019 when earnings are seen rising to the $6.98-$7.25 per share range.

The management declared a semi-annual cash dividend of $1.46 per share, which represents a 10% increase from the previous dividend.

Accenture is adapting quickly to the changing market dynamics, with increased focus on emerging areas such as cloud computing and multilevel security solutions. Meanwhile, strategic acquisitions – a continuing process for the company for several years now – helped it broaden customer base across all markets.

Accenture’s shares gained 13% since January this year, before hitting a record high last week. The stock closed the previous trading session slightly higher but pared the gains in premarket trading after the earnings report Thursday.

Accenture beats earnings estimates as revenue jumps 16%

Most Popular

PayPal Holdings (PYPL) Q1 2021 revenue up 31%; earnings beat

PayPal Holdings Inc. (NASDAQ: PYPL) reported stronger-than-expected earnings and revenues for the first quarter of 2021. Shares of the payment service provider gained during Wednesday’s extended trading session soon after

Infographic: How Twilio (TWLO) performed in Q1 2021

Twilio (NYSE: TWLO) reported first quarter 2021 earnings results today. Revenue increased 62% year-over-year to $590 million. GAAP net loss widened to $206 million, or $1.24 per share, compared to

Uber Technologies reports Q1 loss of 6 cents per share: Infographic

Uber Technologies (NYSE: UBER) reported first-quarter 2021 financial results after the regular market hours on Wednesday. The ride-hailing company reported Q1 revenue excluding the UK accrual of $3.5 billion, up

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top