Accenture Tops Q4 Expectations, Guides Inline

Accenture Plc ACN delivered better than expected results for the fourth quarter. While adjusted EPS advanced 14 percent, net revenues grew 8 percent. The company's outlook for the fiscal year 2017 is in line with the estimates.

The technology and outsourcing service provider reported net income of $1.12 billion, or EPS of $1.68, up from $778.58 million, or EPS of $1.15, in the year-ago quarter. On an adjusted basis, it would have earned an EPS of $1.31, up 14 percent from $1.15 in the prior year period and came in above estimates by a penny.

Accenture's net revenues advanced 8 percent from $7.89 billion to $8.5 billion and topped analysts' expectations of $8.43 billion.

Chairman and CEO, Pierre Nanterme, commented, "Looking ahead, we will continue to invest in high-growth areas across Accenture—with a particular focus on digital, cloud and security services, which accounted for approximately 40 percent of our revenues in fiscal 2016."

Moving forward, Accenture expects fiscal year 2017 GAPP EPS between $5.75 and $5.98 on net revenue growth of 5–8 percent in local currency. Analysts are looking for an EPS of $5.83 on revenue growth of 6.9 percent for the same period.

The stock jumped $2.35, or 2.01 percent, to $119.00 in the pre-market trading on Thursday.