Accenture plc (ACN)

Sector: Technology|Industry: Information Technology Services|Market Cap: $227.35B|Employees: 774K


Accenture is a global professional services company that helps organizations build their digital core, optimize operations, and accelerate revenue growth. They combine technology and leadership in cloud, data, and AI with industry experience and global delivery capabilities. Accenture serves clients in over 120 countries and has long-term relationships with many of the world's leading companies.

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Business Summary

Accenture is a leading global professional services company assisting organizations with digital transformation, operations optimization, revenue acceleration, and service enhancement. They specialize in technology, cloud, data, and AI solutions, serving clients in over 120 countries. Accenture operates through three geographic markets: North America, EMEA, and Growth Markets (soon to be Asia Pacific, with Latin America moving to North America to form the Americas market). They go to market through five industry groups: Communications, Media & Technology; Financial Services; Health & Public Service; Products; and Resources. Accenture emphasizes long-term client relationships and creating 360° value, encompassing financial outcomes, inclusion and diversity, employee upskilling, sustainability, and meaningful experiences.

Key Statistics

  • Employees: 774,000 (as of August 31, 2024)
  • Geographic Footprint: 120+ countries served, offices and operations in 52 countries
  • Headquarters: Dublin, Ireland
  • Founded: Information not available in the 10-K
  • Number of locations/facilities: Information not available in the 10-K, but major offices are present in key business centers worldwide.
  • Revenue: $64.9 billion (FY2024)
  • Market Capitalization: $235.7 billion (as of February 29, 2024)
  • Key Subsidiaries/Brands: Accenture Federal Services, Avanade, Song

Leadership

  • CEO: Julie Sweet (Chair of the Board)
  • CFO: KC McClure
  • Other Key Executives:
    • Manish Sharma (CEO - North America & the Americas)
    • Mauro Macchi (CEO - EMEA)
    • Atsushi Egawa (Co-CEO - Asia Pacific & CEO - Japan)
    • Ryoji Sekido (Co-CEO - Asia Pacific & CEO - Asia Oceania)
    • John Walsh (COO)
    • Angela Beatty (Chief Leadership and Human Resources Officer)
    • Melissa Burgum (Chief Accounting Officer & Corporate Controller)
    • Joel Unruch (General Counsel & Corporate Secretary)
  • Board Chairman: Information not available in the 10-K

Key Financial Metrics

  • Annual Revenue: $64.9 billion (FY2024)
  • Net Income: $7.3 billion (FY2024)
  • Market Cap: $235.7 billion (as of February 29, 2024)
  • Total Assets: $55.9 billion (FY2024)
  • Number of Employees: 774,000 (as of August 31, 2024)
  • Key Financial Highlights (FY2024): 1% revenue growth (US$), 2% revenue growth (local currency), 13% increase in new bookings (US$), 15.5% adjusted operating margin.

Products and Services

Accenture provides a wide range of services and solutions categorized into five service areas:

  • Strategy & Consulting: Business transformation guidance for C-suite executives and boards, focusing on growth, competitiveness, operations, cost reduction, and sustainability.
  • Technology: Comprehensive technology solutions spanning cloud, systems integration, security, infrastructure, software engineering, data & AI, automation, and global delivery.
  • Operations: Management of client business processes across various functions, including finance, supply chain, marketing, sales, and HR, leveraging technology and automation.
  • Industry X: Digital transformation of engineering and manufacturing processes, product design and development, and operational technology, leveraging data, AI, and advanced technologies.
  • Song: Creation of hyper-personalized customer experiences and services to enhance loyalty and drive growth, covering design, marketing, commerce, and customer service.

Key Business Segments

Accenture operates through three geographic segments: North America, EMEA (Europe, Middle East, and Africa), and Growth Markets (Asia Pacific and Latin America, with Latin America transitioning to North America in Q1 FY2025). Revenue breakdown for FY2024: North America (47%), EMEA (35%), Growth Markets (17%).

Business Strategy

Accenture's core strategy is to be the leading reinvention partner for clients, delivering 360° value. This involves focusing on digital transformation, operational optimization, and revenue growth acceleration. Key initiatives include building clients' digital core, optimizing operations through digitization, accelerating revenue growth through technology, and focusing on talent acquisition and development. Accenture invests heavily in strategic acquisitions, R&D, and employee training to maintain its competitive advantage and drive innovation, particularly in areas like AI and emerging technologies. Sustainability is a key element of the company's strategy and operations.

Industry Context

Accenture operates in a highly competitive and rapidly evolving global professional services market. Competitors include large multinational IT service providers, offshore IT firms, consulting and accounting firms, niche solution providers, and in-house IT departments. Accenture believes its competitive advantages lie in its focus on 360° value creation, long-term client partnerships, broad range of services, technology expertise, industry knowledge, innovation capabilities, and talent development.

Risk Factors

  • Economic and Geopolitical Volatility: Global economic downturns and geopolitical instability can impact client spending and business activity.
  • Technology Evolution and Client Demand: Rapid technological advancements and changing client needs require continuous adaptation and investment.
  • Talent Acquisition and Retention: Competition for skilled professionals, especially in emerging technologies, can impact growth and profitability.
  • Cybersecurity and Data Protection: Increasingly sophisticated cyberattacks pose risks to client and company data, potentially leading to financial and reputational damage.
  • Al Risks: The development and use of AI presents ethical, legal, and reputational risks that could negatively impact the business.

Last Updated

2024-10-10

(Generated from latest 10-K filing)