Accenture delivers another year of outstanding financial results: Julie Sweet

Accenture reported very strong financial results for the fourth quarter and full fiscal year ended 31 August 2019. For the fourth quarter, revenues were $11.1 billion, an increase of 5 percent in US dollars and 7.2 percent in local currency compared with the fourth quarter of fiscal 2018, according to a press release issued by the company.

Diluted earnings per share were $1.74, a 10 percent increase from $1.58 for the fourth quarter last year. The operating margin for the fourth quarter of fiscal 2019 was 14.2 percent, an expansion of 20 basis points. Operating cash flow was $2.1 billion and free cash flow was $1.9 billion. New bookings were $12.9 billion.

“I am proud that we have delivered another year of outstanding financial results, meeting or exceeding all the objectives in our initial business outlook for fiscal 2019. For the year, our record new bookings of $45.5 billion and revenue growth of 8.5 percent in local currency demonstrate excellent demand for our services, and we gained significant market share. We also delivered very strong profitability and returned a record $4.6 billion in cash to our shareholders, while continuing to invest across the business. As we look ahead to fiscal 2020, we will continue to be laser-focused on creating value for our clients, being a magnet for the best people in the industry and maximizing shareholder value,” said Julie Sweet, Accenture’s chief executive officer.

For the full fiscal year, revenues were $43.2 billion, an increase of 5 percent in US dollars and 8.5 percent in local currency compared with fiscal 2018. Diluted earnings per share were $7.36, compared with $6.34 in fiscal 2018, which included $0.40 in charges related to tax law changes. Diluted EPS for fiscal 2019 increased 9 percent from adjusted diluted EPS of $6.74 in fiscal 2018. Operating margin for fiscal 2019 was 14.6 percent, an expansion of 20 basis points.

Operating cash flow for fiscal 2019 was $6.6 billion and free cash flow was $6.0 billion. New bookings were $45.5 billion. As previously disclosed, the company is moving from a semi-annual to a quarterly schedule for dividend payments in fiscal 2020. Accenture’s Board of Directors has declared a quarterly cash dividend of $0.80 per share. In fiscal 2019, the company paid semi-annual cash dividends of $1.46 per share. The new quarterly dividend represents a 10 percent increase over the equivalent quarterly rate last year.