Accenture Boosts Bottom Line

The IT provider bests analysts' EPS estimates.
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Third-quarter profit grew at Accenture (ACN) - Get Report, beating analysts' earnings estimates, as revenue increased 11%.

In after-hours trading, the company's shares traded up 3.6% to $23 on Instinet. Notably, the stock had fallen more than $1 in the last few minutes of the regular session to $22.20.

The information technology provider said after the bell Thursday that net income rose to $305.3 million, or 51 cents a share, from $210.4 million, or 37 cents a share, a year earlier.

Revenue grew to $4.5 billion from $4.05 billion in the same quarter last year.

The earnings-per-share figure in the latest quarter beat a consensus estimate of 43 cents offered by Thomson First Call; revenue results fell just short of analysts' average expectations of $4.14 billion.

Accenture said consulting net revenue was $2.5 billion, an increase of 7% in U.S. dollars and 4% in local currency over a year earlier.

Outsourcing accounted for $1.58 billion of revenue, an increase of 16% in U.S. dollars and 12% in local currency over the same period last year.

For the fourth quarter, Accenture expects revenue of $3.8 billion to $3.9 billion and earnings of 34 cents to 37 cents a share, in line with First Call expectations of earnings of 35 cents a share on revenue of $3.9 billion.