accent (ACN) on Thursday reported fourth-quarter fiscal earnings and revenue that were largely in line. ACN shares faltered on mixed fiscal 2023 guidance as foreign exchange rates weighed on the company’s outlook.
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“ACN’s quarterly results were in line, but revenue and earnings guidance for fiscal 2023 missed expectations by what appears to be a couple of hundred basis points,” the analyst said of Jefferies Surinder Thind in a note to clients. “Bookings remained strong, but favored the outsourcing business over consulting for the first time in eight quarters, suggesting greater client focus on cost initiatives.”
ACN shares were down a fraction near 264 just after the opening bell on the stock market today.
Accenture’s earnings for the quarter ended Aug. 31 rose 18 percent to $2.60 a share, the Dublin-based company said. Including acquisitions, revenue rose 15% to $15.42 billion, Accenture said.
Analysts were expecting Accenture earnings of $2.57 per share on sales of $15.41 million. A year earlier, Accenture earned $2.20 per share, including investment gains, on sales of $13.42 billion.
ACN Shares: Fiscal 2023 Outlook
For fiscal 2023, Accenture said it expects revenue growth in the range of 8% to 11%. Analysts had expected revenue growth of about 8.8%, or $66.38 billion. Accenture projected earnings per share in a range of $11.09 to $11.41, compared with estimates of $11.97.
Also, ACN shares have retreated 34% in 2022 amid volatility in tech stocks.
Accenture continues to make acquisitions to move into digital, cloud and cybersecurity products. It has also invested in artificial intelligence and blockchain technology.
According to Accenture’s earnings report, ACN’s stock had a relative strength rating of 36, according to IBD Stock Check Up.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on 5G wireless, artificial intelligence, cybersecurity and cloud computing.
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