Accenture exceeded fourth-quarter revenue forecasts on rising demand for its generative AI services.
Accenture (ACN) shares soared on Thursday after the business management consulting firm surpassed fourth-quarter revenue forecasts, driven by rising demand for its generative AI services. The company also provided solid guidance, increased its dividend, and expanded its stock buyback program.
Accenture reported fourth-quarter revenue of $16.41 billion, a 2.6% year-over-year increase, exceeding analysts’ expectations according to Visible Alpha. Earnings per share (EPS) came in at $2.66, with adjusted EPS of $2.79, matching forecasts.
New bookings jumped 21% to $20.1 billion, with $1.0 billion in new generative AI bookings, and $3.0 billion for the fiscal year. CEO Julie Sweet described generative AI as “the most transformative technology of the next decade” and emphasized Accenture’s leadership in the space.
For fiscal 2025, Accenture projects EPS between $12.55 and $12.91, aligning closely with analysts’ expectations of $12.70. The company also announced a 15% increase in its quarterly dividend to $1.48, payable on November 15 to shareholders on record by October 10. Additionally, Accenture expanded its share repurchase program by $4.0 billion, bringing its total authorization to $6.7 billion.
Accenture’s stock rose 5% to $354.07 Thursday morning, moving into positive territory for the year.
