This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
See Cramer's multi-million dollar portfolio for FREE and get his new book Get Rich Carefully! Learn More

Accenture Beats Estimates

Updated from 4:24 p.m. EST

Accenture (ACN) posted first-quarter results Thursday that beat top- and bottom-line estimates, thanks in part to a sizable share repurchase during the period.

Accenture also indicated second-quarter sales could come in slightly lighter than currently expected, but left full-year sales targets unchanged and raised earnings guidance to reflect the share repurchase.

Highlighting higher-than-expected bookings during the quarter, company executives struck a bullish tone about the future prospects of the information-technology service provider.

"The global demand for consulting and outsourcing is strong," CEO William D. Green said in a postclose conference call. He noted "improving market conditions in terms of demand and pricing." And, he added, "We are feeling more optimistic about pricing than we have for a very, very long time."

Executives pointed out more activity in technology spending, "refreshment" of business applications and success competing against Indian off-shore outsourcing companies.

Accenture said net income rose to $214.9 million, or 36 cents a share, from $196.3 million, or 32 cents a share -- and 30 cents a share on an options-adjusted basis -- a year earlier.

Net revenue grew 12% from a year ago to $4.17 billion in the first quarter, which ended Nov. 30.

The EPS figure beat the consensus estimate of 34 cents gathered by Thomson First Call; revenue results also exceeded analysts' average expectations of $4.1 billion. Accenture had forecast net revenue of $4 billion to $4.2 billion and earnings of 32 cents to 34 cents a share under generally accepted accounting principles. But the company's guidance did not account for 46.4 million shares that Accenture subsequently repurchased at a discount in a Dutch tender offer.

Altogether, Accenture purchased 52.2 million shares at a cost of $1.15 million during the quarter, which contributed to a penny of upside to earnings per share.

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
DOW 16,501.65 -12.72 -0.08%
S&P 500 1,875.39 -4.16 -0.22%
NASDAQ 4,126.9670 -34.4910 -0.83%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs