Accenture Plc. Shares Gained $9 On Solid Q3 Earnings & Rosy Guidance

Accenture (ACN) investors had a great day on Thursday after the company delivered stellar third-quarter earnings. The Dublin-based company saw its shares rise $9, or 5% to $164 in the regular trading session.

Profit and revenue easily surpassed Wall Street estimates, with security, cloud, and security-related services accounting for 60% of total sales.

CAN Earnings & Outlook

The company posted a net income of $1.04 billion, or $1.60 per share for the quarter to May 31. In the same period last year, the professional services company reported a net income of $669.5 million, or $1.05 per share.

Excluding non-recurring items, adjusted earnings per share came in at $1.79 per share, and above FactSet consensus of $1.72.

Total revenue was $10.84 billion, up 16% and ahead of analyst consensus estimate of $10.04 billion.

For the full year, Accenture expects revenue to grow between 9.5% to 10%, ahead of its previous guidance of 7% to 9%.

The company also lifted its adjusted earnings per share guidance to $6.66 to $6.71, from the earlier $6.61 to $6.70. Analysts expect it to post EPS of $6.69.

Accenture CEO Comments

We delivered outstanding financial results for the third quarter. We are clearly benefiting from our unique position as the end-to-end leader operating at scale in the New – digital, cloud and security services, which now account for approximately 60 percent of total revenues. We continue to invest to build highly differentiated capabilities and capture new growth opportunities. These investments and our innovation-led approach position us very well to continue gaining market share and delivering value for our clients and shareholders,” said, Pierre Nanterme, Accenture chairman and chief executive officer.

Disclaimer: This is not meant to be a recommendation to buy or to sell securities nor an offer to buy or sell securities. Before selling or buying any stock or other investment you should consult ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.