Accenture plc Class A Ordinary Shares (Ireland) (ACN) Earnings

Accenture plc Class A Ordinary Shares (Ireland)

ACN · NYSE

Symbol: ACN
Type: Stock
Sector: Consumer Discretionary
Industry: Business Services
Country: Europe
Exchange: NYSE

Accenture is a business reinvention and technology company. Our ambition is to be the reinvention partner of choice for our clients and lead in the safe, widespread adoption of AI, and to be the most client-focused, AI-enabled, great place to work in the world. Our approximately 814,000 people bring deep insights across industries and functions, with capabilities spanning strategy, process, operating model, change management, talent, data, technology and AI. We deliver this expertise through consulting, managed services, proprietary assets and platforms, and increasingly, software. We bring innovation and new solutions informed by our experience across industries, enabling us to apply relevant insights, capabilities and leading practices from adjacent sectors to address emerging business challenges and opportunities. We serve more than 9,000 clients and generated revenues of approximately $74 billion in fiscal year 2026.

Key Issues

Bullish view

Accenture is expanding enterprise AI through consulting and acquisitions, giving it a way to apply AI to large clients’ operations. The supplied comparisons identify enterprise AI as a growth opportunity for the company.

Bearish view

Palantir’s Ontology and AIP platforms are also cited as supporting strong AI growth, while Innodata is described as having superior AI-driven growth potential. That competition raises questions about Accenture’s ability to capture the strongest growth.

Analyst Consensus

See all

Hold

21 analysts

$253

Current

—

Low

$238

Average

—

High

Average target implies -6.13% versus the current price.

Earnings History

BeatMissNo estimate

Nov 2026upcoming

Next quarter

Reports Dec 17, 2026.

Consensus is $3.90 EPS for Nov 2026 across 6 estimates, ranging $3.71 to $3.97.

ACN Aug 2026

Reported Oct 1, 2026 · before the open

: 3.13%

: $3.19
: $3.29
: —
: $18.68B

Reported results

: $18.68B; from $17.60B
: 32.04%; from 31.89%
: $2.86B; from $2.05B
: 15.33%; from 11.65%
: $1.99B; from $1.41B
: $3.29; from $2.25

Highlights

Revenue beat guidance: Q4 revenue was $18.68 billion, up 6% in U.S. dollars and 7% in local currency, above Accenture’s $17.75–$18.40 billion range; revenue was nearly flat versus $18.72 billion in Q3 and 6% above the year-ago quarter.
EPS exceeded consensus: GAAP diluted EPS of $3.29 topped the $3.19 consensus by 3.1%; it was up 9% from year-ago adjusted EPS of $3.03, while year-ago GAAP EPS was $2.25.
Growth was broad-based: Local-currency revenue grew 7% in each geographic market and in both Consulting and Managed Services; all five industry groups grew, led by Communications, Media & Technology at 11%.
Bookings remained ahead of revenue: Q4 bookings rose 5% in local currency to $22.17 billion, a 1.2 book-to-bill ratio; fiscal-year bookings were $84.54 billion, including a record 141 quarterly bookings of at least $100 million.
Margins expanded: Q4 GAAP operating margin was 15.3%, up 20 basis points from year-ago adjusted margin of 15.1%; GAAP operating income rose 40% to $2.86 billion, against a year-ago quarter burdened by optimization costs.
Full-year growth and profitability advanced: FY26 revenue reached $74.18 billion, up 5% in local currency; adjusted operating margin rose 20 basis points to 15.8% and adjusted EPS increased 8% to $13.97.
Annual cash generation improved, but Q4 FCF fell: FY26 free cash flow was $11.62 billion, up 7%, while Q4 free cash flow declined to $2.85 billion from $3.81 billion a year earlier; year-end cash was $12.8 billion.
FY27 guidance calls for continued growth: Accenture expects 3%–6% local-currency revenue growth, 10–30 basis points of adjusted operating-margin expansion, and adjusted EPS growth of 3%–6%; it plans at least $9.5 billion in shareholder returns.

Analysis

Accenture finished FY26 with a stronger-than-guided quarter: revenue of $18.68 billion grew 7% in local currency, above its 1%–5% growth guidance, and diluted EPS of $3.29 beat the $3.19 consensus by 3.1%. Revenue was essentially unchanged from Q3’s $18.72 billion, while EPS was below Q3’s $3.80. Year over year, revenue rose 6% in U.S. dollars; EPS increased 46% against GAAP EPS of $2.25, or 9% against the $3.03 adjusted comparison, which excludes prior-year optimization costs.

The defining features were broad-based demand, a record level of large client bookings and improving underlying profitability. Local-currency revenue rose 7% across all geographic markets and both work types, while bookings reached $22.17 billion and fiscal-year bookings totaled $84.54 billion. Q4 adjusted operating margin expanded 20 basis points year over year to 15.3%; for FY26, adjusted EPS grew 8% to $13.97 and free cash flow rose 7% to $11.62 billion. The quarter’s cash conversion was softer, with free cash flow at $2.85 billion versus $3.81 billion a year earlier. For FY27, management expects 3%–6% local-currency revenue growth and 3%–6% adjusted EPS growth, with 10–30 basis points of adjusted margin expansion.

Revenue and demand

Quarterly growth: Revenue was $18.68 billion, up 6% in U.S. dollars and 7% in local currency. That exceeded the company’s $17.75–$18.40 billion range and its guided 1%–5% local-currency growth. Foreign exchange reduced reported growth by about 0.8 percentage points.
Balanced work mix: Consulting revenue of $9.28 billion grew 7% in local currency; Managed Services revenue of $9.40 billion also grew 7%. Management said Managed Services growth included high-single-digit technology services and operations growth.
Broad market performance: Each region grew 7% in local currency. Industry growth ranged from 4% in Products to 11% in Communications, Media & Technology; Health & Public Service grew 9%, Resources 6%, and Financial Services 6%.
Demand backdrop: Management cited large-scale reinventions, AI and ecosystem-related work, and an uptick in small deals and faster contract mobilization as contributors to the upside. It said the overall demand environment, including discretionary spending, had not meaningfully changed; direct Middle East impacts worsened while indirect effects stabilized.

Bookings and AI

Bookings: Q4 bookings were $22.17 billion, up 5% in local currency, with a 1.2 book-to-bill ratio. Managed Services bookings hit a record $12.77 billion and a 1.4 book-to-bill; Consulting bookings were $9.40 billion and a 1.0 ratio. Management cautioned that large Managed Services deals make bookings lumpy and cited a trailing four-quarter ratio of 1.2.
Full-year pipeline: FY26 bookings reached $84.54 billion, up 3% in local currency, at a 1.1 book-to-bill. Accenture recorded 141 quarterly bookings of at least $100 million, 12 more than the prior year, and ended the year with 317 Diamond clients.
AI activity: Nearly 100 additional clients began advanced AI work in Q4, bringing the FY26 total to more than 400. Accenture ended the year with nearly 110,000 AI and data professionals, ahead of its stated workforce goal, and employees completed 46 million training hours.
Partner contribution: The top 10 ecosystem partners represented more than 60% of FY26 revenue, and related revenue grew 6%, ahead of Accenture overall. Revenue from eight emerging AI and data partners more than doubled and bookings more than tripled year over year.

Margins and earnings

Quarterly profitability: GAAP operating income was $2.86 billion, up 40% from $2.05 billion a year earlier, and GAAP operating margin was 15.3% versus 11.6%. The prior-year quarter included $615 million of business optimization costs; against adjusted prior-year operating income of $2.67 billion and margin of 15.1%, Q4 operating income increased about 7% and margin expanded 20 basis points.
EPS comparison: GAAP diluted EPS was $3.29 versus $2.25 a year earlier. The more comparable adjusted year-ago EPS was $3.03, making the increase 9%. Accenture attributed the adjusted EPS improvement mainly to higher revenue and operating results and a lower share count.
Full-year measures: GAAP operating margin rose 70 basis points to 15.4%; adjusted margin increased 20 basis points to 15.8%. GAAP EPS was $13.56, up 12%, and adjusted EPS was $13.97, up 8%.

Cash and capital returns

Quarterly cash flow: Operating cash flow was $3.10 billion and capital spending was $250 million, leaving $2.85 billion of free cash flow, down from $3.81 billion in Q4 FY25. Days services outstanding increased to 50 from 47 a year earlier and 48 in the prior quarter.
Full-year cash generation: Operating cash flow was $12.36 billion and free cash flow was $11.62 billion, up from $10.87 billion in FY25. Cash at August 31 was $12.8 billion, including the impact of a $5 billion debt offering in Q4.
Shareholder returns and investment: Accenture returned a record $11.5 billion in FY26—$7.5 billion through share repurchases and $4.0 billion in dividends—and deployed $4.9 billion across 17 acquisitions. It repurchased or redeemed 17.6 million shares for $2.3 billion in Q4; the quarterly dividend was raised 5% to $1.71 per share for the next payment.

FY27 outlook

Revenue: Q1 FY27 revenue is expected at $18.95–$19.60 billion, corresponding to 2%–6% local-currency growth and about a 1% foreign-exchange headwind. For FY27, the company forecasts 3%–6% local-currency growth, with foreign exchange assumed flat.
Margins and EPS: FY27 GAAP operating margin is forecast at 15.9%–16.1%, representing 50–70 basis points of expansion over FY26 GAAP margin and 10–30 basis points over FY26 adjusted margin. Diluted EPS is expected at $14.39–$14.81, up 6%–9% over FY26 GAAP EPS and 3%–6% over adjusted EPS.
Investment and cash returns: Management expects inorganic revenue contribution of 2%–2.5% and plans approximately $5 billion of FY27 acquisitions. It forecasts $11.0–$11.8 billion of free cash flow and at least $9.5 billion of shareholder returns, including $5.5 billion in share repurchases.