Accenture Q2 EPS Beats but Lowers FY Guidance to $13.65–$13.90 Range
Accenture reported Q2 adjusted EPS of $2.93, beating $2.85 consensus, and revenue of $18.0 billion versus $17.83 billion expectations, with new bookings up 6% to $22.1 billion. Despite raising its free cash flow outlook to $10.8–$11.5 billion, full-year EPS guidance of $13.65–$13.90 missed the $13.86 consensus, driving share swings.
1. Q2 Results Overview
Accenture delivered adjusted earnings per share of $2.93 for the quarter ended February 28, surpassing the $2.85 consensus. Revenue reached $18.0 billion, exceeding the $17.83 billion estimate, while new bookings rose 6% year-over-year to $22.1 billion, reflecting continued client demand for AI and cloud services.
2. Full-Year Guidance and Outlook
The company set fiscal 2026 EPS guidance at $13.65–$13.90, below the consensus midpoint of $13.86, and forecast revenue growth of 3%–5% in local currency. Although Accenture raised its free cash flow outlook to $10.8–$11.5 billion and returned $2.7 billion to shareholders in the quarter, the guidance miss triggered over 3% share decline followed by a rebound.
3. AI Strategy and Demand Commentary
CEO Julie Sweet emphasized “very significant long-term growth” in AI demand, noting the firm’s early investments in advanced AI and enterprise transformation. Despite external concerns about AI disruption, Accenture’s leadership projects sustained bookings from AI-driven projects and expects the technology to underpin future growth.