Can consulting manage Brexit?
Home » News » Accenture's 2014 profit slips

Accenture's 2014 profit slips despite record revenues, strong Q4

Accenture-NYSE-July2001

New York: Accenture's income fell in FY14, despite record revenues and new bookings.

  • Pre-tax profit in fourth quarter to August 31 up 12 percent to $1.088 billion
  • FY14 pre-tax profit slipped from $4.339 billion to $4.297 billion
  • Fourth-quarter revenues increase 10% in U.S. dollars and 8% in local currency, to $7.8 billion
  • For full fiscal year, revenues increase 5% in both U.S. dollars and local currency, to $30.0 billion
  • New bookings are $8.3 billion for fourth quarter and $35.9 billion for full year

Pierre Nanterme, Accenture's chairman and CEO, said, "We are very pleased with our financial results for both the fourth quarter and the full fiscal year 2014. Our very strong revenue growth of 8 percent for the fourth quarter was broad-based across the dimensions of our business, and on top of our strong revenue growth in the third quarter, enabled us to deliver an excellent second half of the year. For the full fiscal year, we again increased market share and delivered record new bookings, grew EPS faster than revenues, generated strong free cash flow, and returned $3.8 billion in cash to our shareholders.

"Our growth strategy is clearly resonating with the needs of our clients, which are the world's leading companies. We are investing to further strengthen our industry expertise as well as to differentiate our capabilities--including in strategy, digital, technology, and operations. We have momentum in our business, and I am confident in our ability to continue driving sustainable, profitable growth and delivering value for our shareholders."

Fourth Quarter Fiscal 2014

  • Consulting net revenues were $4.0 billion, an increase of 6 percent in U.S. dollars and 4 percent in local currency compared with the fourth quarter of fiscal 2013.
  • Outsourcing net revenues were $3.8 billion, an increase of 15 percent in U.S. dollars and 13 percent in local currency compared with the fourth quarter of fiscal 2013.

New bookings for the fourth quarter were $8.3 billion and reflect a 1 percent positive foreign-exchange impact compared with new bookings in the fourth quarter of fiscal 2013.

Net Revenues by Geographic Region

Net revenues by geographic region for the fourth quarter were:

  • Americas: $3.77 billion, compared with $3.46 billion for the fourth quarter of fiscal 2013, an increase of 9 percent in U.S. dollars and 10 percent in local currency.
  • Europe, Middle East and Africa (EMEA): $3.00 billion, compared with $2.64 billion for the fourth quarter of fiscal 2013, an increase of 14 percent in U.S. dollars and 9 percent in local currency.
  • Asia Pacific: $1.01 billion, compared with $982 million for the fourth quarter of fiscal 2013, an increase of 3 percent in both U.S. dollars and local currency.

Full Year Fiscal 2014

  • Consulting net revenues were $15.7 billion, an increase of 2 percent in U.S. dollars and 3 percent in local currency compared with fiscal 2013.
  • Outsourcing net revenues were $14.3 billion, an increase of 8 percent in both U.S. dollars and local currency compared with fiscal 2013.

Net Revenues by Geographic Region

Net revenues by geographic region for the full fiscal year were:

  • Americas: $14.20 billion, compared with $13.52 billion for fiscal 2013, an increase of 5 percent in U.S. dollars and 6 percent in local currency.
  • Europe, Middle East and Africa (EMEA): $11.92 billion, compared with $11.05 billion for fiscal 2013, an increase of 8 percent in U.S. dollars and 4 percent in local currency.
  • Asia Pacific: $3.89 billion, compared with $4.00 billion for fiscal 2013, a decrease of 3 percent in U.S. dollars and an increase of 4 percent in local currency.

Fiscal Year 2015

For fiscal 2015, the company expects net revenue growth to be in the range of 4 percent to 7 percent in local currency.

Accenture's business outlook for the full 2015 fiscal year assumes a foreign-exchange impact of negative 2 percent compared with fiscal 2014.

Share this article