Accenture plc: F3Q First Look: Revenue Softer Than Lowered Expectations; Large Non-FTE Acquisitions in OT Security Announced

Research evidence excerpt

Accenture plc: F3Q First Look: Revenue Softer Than Lowered Expectations; Large Non-FTE Acquisitions in OT Security Announced

J P M O R G A N North America Equity Research

18 June 2026

Accenture plc

F3Q First Look: Revenue Softer Than Lowered Overweight

Expectations; Large Non-FTE Acquisitions in OT ACN, ACN US

Security Announced Price (17 Jun 26):$156.01

Payments, Processors & IT Services

Lots to debate from ACN’s F3Q results, which were directionally consistent with Tien-tsin Huang, CFA AC

our preview where we lowered estimates, with quarterly revenue coming in closer (1-212) 622-6632

to the mid-point of the guidance (vs. a nice beat to the mid-point typically), as tien-tsin.huang@jpmorgan.com

consulting discretionary revenues were adversely impacted by Middle East Puneet Jain

pressure. And FY26 revenue growth outlook was cut (we thought mid-point would (1-212) 622-1436

be safe), with mid-point 150bps lower, implying an exit rate of 1-5% vs. implied puneet.x.jain@jpmorgan.com

rate of 2-7% and our 5% view. Consulting bookings were solid, but Managed Brendan Biles

Services book-to-bill fell below 1x for the first time in many years. The company (1-212) 270-0880

brendan.biles@jpmorgan.com

also maintained its margin guidance and raised its EPS guidance (FCF guide was

Abbey Hochreiner

maintained). Lastly, ACN upped its acquisition target spend to $9B (from $5B), (1-212) 270-5798

with large deals in OT security (platform deal or non-FTE) that will be initially abbey.hochreiner@jpmchase.com

dilutive but high growth, and likely invite debate on inorganic versus organic J.P. Morgan Securities LLC

growth, but we trust ACN’s acquisition strategy. All told, we expect a negative

stock reaction ahead of the call given the lower growth rate and higher inorganic

growth investments.