Accenture (ACN) Tops Q1 EPS by 9c; Guides Q2 Revs; Offers FY15 Outlook Update

Accenture (NYSE: ACN) reported Q1 EPS of $1.29, $0.09 better than the analyst estimate of $1.20. Revenue for the quarter came in at $7.9 billion versus the consensus estimate of $7.69 billion.

Accenture sees Q2 2015 revenue of $7.25-7.50 billion, versus the consensus of $7.46 billion.

Full Fiscal Year 2015

Accenture’s business outlook for the full 2015 fiscal year now assumes a foreign-exchange impact of negative 5 percent compared with fiscal 2014; the previous foreign-exchange assumption was negative 2 percent.

For fiscal 2015, the company has raised its outlook for net revenue growth in local currency to be in the range of 5 percent to 8 percent, compared with 4 percent to 7 percent previously. Accenture now expects diluted EPS to be in the range of $4.66 to $4.80, compared with the company’s previously guided range of $4.74 to $4.88, reflecting the positive impact of its increased revenue outlook, which is more than offset by the negative impact of its revised foreign-exchange assumption.

Accenture continues to expect operating margin for the full fiscal year to be in the range of 14.4 percent to 14.6 percent, an expansion of 10 to 30 basis points from fiscal 2014.

For fiscal 2015, the company continues to expect operating cash flow to be in the range of $3.95 billion to $4.25 billion; property and equipment additions to be $450 million; and free cash flow to be in the range of $3.5 billion to $3.8 billion.

The company continues to expect to return at least $3.8 billion to its shareholders in fiscal 2015 through dividends and share repurchases.

The company continues to expect its annual effective tax rate to be in the range of 26.0 percent to 27.0 percent.

Accenture continues to target new bookings for fiscal 2015 in the range of $34 billion to $36 billion.

For earnings history and earnings-related data on Accenture (ACN) click here.

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