Accenture Reports Q3 Results, Lowers Full-Year Revenue Guidance, Boosts Capital Return

summarizeSummary

Accenture announced Q3 fiscal 2026 results, reporting solid revenue and EPS growth, but lowered its full-year revenue guidance while slightly raising its EPS outlook and increasing capital return plans.

check_boxKey Events

• Solid Q3 Financial Performance

  Accenture reported third-quarter fiscal 2026 revenues of $18.7 billion, up 6% in U.S. dollars (3% in local currency), and diluted earnings per share (EPS) of $3.80, a 9% increase year-over-year. Operating margin expanded by 20 basis points to 17.0%.

• Full-Year Revenue Guidance Lowered

  The company now expects full-year fiscal 2026 revenue growth to be 3% to 4% in local currency, a reduction from the previous outlook of 3% to 5%. Excluding its U.S. federal business, the revised outlook is 4% to 5% (previously 4% to 6%).

• Full-Year EPS Guidance Slightly Raised

  Accenture updated its full-year GAAP diluted EPS guidance to a range of $13.38 to $13.50 (previously $13.25 to $13.50), representing a 10% to 11% increase over fiscal 2025. Adjusted EPS guidance also saw a slight increase at the lower end.

• Increased Capital Return

  The company increased its full-year capital return expectation to at least $9.5 billion, up from the previous forecast of at least $9.3 billion. During Q3, Accenture repurchased 6.0 million shares for $1.2 billion.

auto_awesomeAnalysis

Accenture reported solid third-quarter results with revenue and EPS growth, alongside strong free cash flow and increased share repurchases. However, the company lowered its full-year revenue growth outlook, which is a key concern for investors, especially as the stock is currently trading below its 52-week low. While the lower end of EPS guidance was slightly raised and capital return plans were increased, the reduced revenue forecast suggests ongoing challenges in demand or market conditions.