Accenture Earnings Beat Estimates in Q2, Revenues Increase Y/Y

Accenture plc ACN has reported impressive second-quarter fiscal 2026 results, wherein earnings and revenues surpassed the Zacks Consensus Estimates.ACN’s earnings were $2.93 per share, beating the Zacks Consensus Estimate by 2.5%. The metric increased 3.9% from the year-ago quarter. Total revenues of $18 billion beat the consensus estimate by 1.2% and rose 8.3% on a year-over-year basis.The company’s shares have lost 38.4% in a year compared with the industry’s 21.7% fall and the Zacks S&P 500 composite’s 21.8% rally.Accenture PLC Price, Consensus and EPS Surprise  Accenture PLC price-consensus-eps-surprise-chart | Accenture PLC QuoteACN’s Revenues in DetailBased on the type of work, managed services’ revenues of $9.2 billion increased 10% from the year-ago quarter on a reported basis and 5% in local currency. It surpassed the Zacks Consensus Estimate of $9 billion.Consulting revenues gained 7% year over year on a reported basis and 3% in local currency to $9 billion. The metric outpaced the consensus mark of $8.7 billion.Segment-wise, health and public service revenues of $3.7 billion increased 2% year over year on a reported basis but declined 1% in local currency. This segment failed to beat the consensus estimate of $3.8 billion. Revenues from the resources segment amounted to $2.4 billion, rising 7% from the year-ago quarter on a reported basis and 2% on a local currency basis. The metric met the Zacks Consensus Estimate.Revenues from the product segment amounted to $5.5 billion, up 8% year over year on a reported basis and 3% on a local currency basis. This segment surpassed the consensus mark of $5.4 billion. Communications, media and technology revenues of $3.1 billion increased 13% year over year on a reported basis and 10% in terms of local currency. The metric beat the consensus estimate of $2.9 billion.Financial services revenues of $3.4 billion rose 13% from the year-ago quarter on a reported basis and 7% in local currency. The segment outpaced the Zacks Consensus Estimate of $3.3 billion.Geographically, revenues of $8.9 billion from the Americas rose 4% from the year-ago quarter on a reported basis and 3% on a local currency basis, surpassing the consensus mark of $9.2 billion.Revenues of $6.6 billion from the EMEA grew 13% on a reported basis and 2% in local currency. The metric surpassed the Zacks Consensus Estimate of $6.4 billion. Revenues of $2.6 billion from the Asia Pacific increased 12% year over year on a reported basis and gained 10% in local currency. Revenues generated from this region beat the consensus mark of $2.4 billion.Booking Trends of AccentureThe company reported bookings worth $22.1 billion in the second quarter of fiscal 2026, increasing 6% from the year-ago quarter on a reported basis and 1% in local currency. Consulting bookings were $11.3 billion and managed services bookings were $10.8 billion.ACN’s Operating ResultsThe gross margin (gross profit as a percentage of net revenues) for the second quarter of fiscal 2026 was 30.3%, up 40 basis points (bps) from the year-ago quarter. The operating margin of 13.8% moved up 30 bps from the second quarter of fiscal 2025.Balance Sheet & Cash Flow of AccentureACN exited the second-quarter fiscal 2026 with cash and cash equivalents of $9.4 billion compared with $9.6 billion at the end of the first-quarter fiscal 2026. The company generated $3.8 billion in cash from operating activities. Capital expenditure in the reported quarter was $149.7 million.The free cash flow was $3.7 billion. Accenture repurchased 6.8 million shares for $1.7 billion. The company paid out a dividend of $1 billion in the second quarter of fiscal 2026.ACN’s Q3 & FY26 GuidanceFor the third quarter of fiscal 2026, the company expects revenues of $18.35-$19 billion. The guided range exceeds the Zacks Consensus Estimate of $17.83 billion.For fiscal 2026, ACN updated year-over-year revenue growth from 2-5% to 3-5%. The company's expectation for the operating cash flow is raised to $11.5-$12.2 billion from the preceding fiscal quarter’s view of $10.8-$11.5 billion. The free cash flow forecast is hiked to $10.8-$11.5 billion from the preceding quarter’s $9.8-$10.5 billion.Accenture carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Earnings SnapshotABM ABM reported mixed first-quarter fiscal 2026 results.ABM’s EPS (excluding 19 cents from non-recurring items) was 83 cents, which missed the Zacks Consensus Estimate by 4.6% and declined 4.6% year over year. Total revenues of $2.3 billion surpassed the consensus mark by 1.3% and gained 6.1% from the year-ago quarter.TransUnion TRU posted impressive fourth-quarter 2025 results.TRU’s quarterly adjusted EPS (adjusting 55 cents from non-recurring items) of $1.07 surpassed the consensus mark by 3.9%. The metric grew 10.3% year over year. Total revenues of $1.2 billion beat the consensus mark by 3% and rose 13% from the year-ago quarter.Quantum Computing Stocks Set To SoarArtificial intelligence has already reshaped the investment landscape, and its convergence with quantum computing could lead to the most significant wealth-building opportunities of our time.Today, you have a chance to position your portfolio at the forefront of this technological revolution. In our urgent special report, Beyond AI: The Quantum Leap in Computing Power, you'll discover the little-known stocks we believe will win the quantum computing race and deliver massive gains to early investors.Access the Report Free Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Accenture PLC (ACN): Free Stock Analysis Report ABM Industries Incorporated (ABM): Free Stock Analysis Report TransUnion (TRU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks