Accenture Q3 Profit Beats Estimates; Full-Year Forecast Raised

Accenture Plc reported a strong set of numbers for the third quarter of fiscal year 2025, with revenue rising 8% year-on-year to $17.7 billion, beating Wall Street estimates of $17.3 billion. Earnings per share rose 15% to $3.49, while operating margin expanded to 16.8%.

The company raised its full-year revenue growth forecast to 6–7% in local currency, up from 5–7% earlier. Free-cash-flow guidance was bumped up to a range of $9 billion to $9.7 billion, and earnings per share are now expected to come in between $12.77 and $12.89.

New bookings during the quarter stood at $19.7 billion, down 6% in US dollar terms. Consulting accounted for $9.08 billion and managed services brought in $10.62 billion. Generative AI-related bookings contributed $1.5 billion. Despite a year-on-year decline in new bookings, the company reported 30 clients with over $100 million in quarterly bookings.

"I am very pleased with our third quarter fiscal 2025 results, including our 30 clients with quarterly bookings greater than $100 million, broad-based growth and continued expansion of our leadership in Gen AI," Chief Executive Officer Julie Sweet said. "Companies need resilience and results, and we are laser-focused on delivering measurable value for our clients."

Growth was broad-based. Managed services revenue rose 9% to $8.72 billion, while consulting grew 7% to $9.01 billion. By region, the Americas contributed $8.97 billion, followed by EMEA at $6.23 billion and Asia Pacific at $2.53 billion.

Among verticals, Products generated $5.34 billion in revenue, while Financial Services led in growth terms with a 13% increase in local currency. Health & Public Service grew 7%.

Accenture generated $3.5 billion in free cash flow and declared a quarterly dividend of $1.48 per share.