Accenture (ACN) Q2 2025 earnings summary

Executive summary

• Achieved strong Q2 FY25 results with $16.7B revenue, up 8.5% in local currency and 5% in USD, driven by broad-based growth across geographies and industries, and continued market share gains.

• Bookings reached $20.9B, with 32 clients each exceeding $100M in quarterly bookings; GenAI bookings were $1.4B and revenue $600M.

• Adjusted Q2 FY25 EPS was $2.82, up 2% year-over-year; GAAP EPS up 7%.

• Significant investments in strategic acquisitions, workforce training, and expansion of data and AI capabilities, with workforce growing to 801,000 and 72,000 in data and AI roles.

• Recognized for ethical leadership and industry reputation, maintaining top rankings in multiple global lists.

Financial highlights

• Q2 revenue: $16.7B, up 5% in USD and 8.5% in local currency year-over-year.

• Operating margin: 13.5%, down 20 bps from adjusted Q2 last year; gross margin: 29.9% vs. 30.9% last year.

• Diluted EPS: $2.82, up 2% over adjusted Q2 FY24 and 7% over GAAP; free cash flow: $2.7B.

• Cash returned to shareholders: $2.4B via repurchases and dividends; cash balance at $8.5B.

• Net income for Q2 FY25 was $1.82B, up from $1.67B year-over-year.

Outlook and guidance

• Q3 FY25 revenue expected at $16.9B–$17.5B, with 3–7% local currency growth and -0.5% FX impact.

• FY25 revenue growth guidance raised to 5–7% in local currency; EPS expected at $12.55–$12.79, up 5–7% over adjusted FY24.

• Operating margin for FY25 expected at 15.6–15.7%, a 10–20 bps expansion; free cash flow guidance: $8.8B–$9.5B.

• Inorganic contribution to revenue: just over 3% for FY25; $2–$3B planned for acquisitions.

• Updated fiscal 2025 outlook provided, reflecting recent performance and market conditions.