Accenture Reports 5% Revenue Growth to $16.66 Billion in Q2 Fiscal 2025

Accenture plc reported a strong financial performance for the second quarter of fiscal 2025, with revenues reaching $16.66 billion, a 5% increase from $15.80 billion in the same period last year. For the first half of the fiscal year, revenues totaled $34.35 billion, up from $32.02 billion, marking a 7% increase. The company's operating income also saw growth, rising to $2.24 billion for the quarter, compared to $2.05 billion a year earlier, while net income attributable to Accenture plc increased to $1.79 billion from $1.67 billion. Diluted earnings per share improved to $2.82, up from $2.63 in the prior year.

The company experienced notable changes in its operational metrics compared to the previous fiscal period. Operating expenses increased by 5% to $14.41 billion for the quarter, primarily driven by higher costs associated with service delivery. However, the operating margin improved slightly to 13.5%, up from 13.0% in the same quarter last year. Accenture's workforce expanded to approximately 801,000 employees, a significant increase from around 742,000 a year ago, reflecting the company's ongoing hiring efforts to meet demand for its services.

Strategically, Accenture completed several acquisitions during the six months ended February 28, 2025, totaling $421 million, which were individually immaterial but contributed to the company's growth strategy. The firm also reported new bookings of $20.9 billion for the quarter, a decrease of 3% compared to the previous year, indicating a competitive market environment. The company continues to focus on large-scale transformations for clients, particularly in technology and digital services, which are expected to drive future revenue growth.

Geographically, revenue growth was strongest in the Americas, which saw an 11% increase in local currency, while EMEA reported an 8% increase. The Asia Pacific region experienced a slight decline in revenue, reflecting challenges in certain markets. Accenture's consulting and managed services segments both reported revenue growth, with managed services growing by 11% in local currency, driven by demand for cloud and cybersecurity services.

Looking ahead, Accenture anticipates continued revenue growth, although it acknowledges potential challenges from economic uncertainties and fluctuating client spending patterns. The company expects to recognize approximately 50% of its remaining performance obligations, valued at around $31 billion, as revenue in fiscal 2025. Accenture remains committed to leveraging its technological capabilities and industry expertise to navigate the evolving market landscape and deliver value to its clients.