Bengaluru: Accenture Plc’s fourth-quarter revenue and profit beat Wall Street estimates on Thursday as investments in its fast-growing digital and cloud services businesses paid off.
Shares of the consulting and outsourcing services company were marginally up in premarket trading.
Revenue from its digital, cloud and security-related services, which the company terms as “the New", made up more than 60% of total revenue.
Accenture has spent about $3.4 billion over the last three years — nearly half of it in fiscal 2017 — on some 70 acquisitions, to boost its digital and cloud services in order to compete better with Cognizant and IBM.
Net income attributable to the company rose to $1.03 billion, or $1.58 per share, from $932.5 million, or $1.48 per share, in the fourth quarter ended 31 August, a year earlier.
Its profit beat the average analyst estimate of $1.56 per share, according to Thomson Reuters I/B/E/S. Net revenue rose to $10.15 billion, ahead of estimates of $10.01 billion.
Accenture, however forecast full-year profit between $6.98 per share to $7.25 per share, below analyst estimate of $7.28 per share.
The company also said its board approved an additional share repurchase program of $5 billion.
(This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.)