Accenture’s AI Investments Drive 7% Revenue Growth and Record Bookings in Fiscal 2025
Accenture’s latest financial results paint a clear picture: strategic bets on artificial intelligence are not only delivering tangible results but also propelling the company ahead of expectations. With 7% revenue growth, a surge in generative AI-related contracts, and strong free cash flow, Accenture (NYSE: ACN) demonstrates that demand for digital transformation remains robust even as clients pursue new efficiencies and reinvention through technology.
AI and Digital Reinvention Power Up New Bookings and Revenue
In fiscal 2025, Accenture achieved $80.6 billion in new bookings, including $5.9 billion from generative AI deals—a notable signal that clients are increasingly turning to the company to lead their transition to AI-enabled business models. Full-year revenues hit $69.7 billion, a $4.8 billion year-over-year increase. Fourth-quarter revenue grew to $17.6 billion, up 7% in U.S. dollars, outpacing most peers in the professional services sector.
Table 1: Fiscal 2025 Key Financial Metrics
| Metric | Q4 2025 | Full Year 2025 |
|---|---|---|
| New Bookings | $21.3B | $80.6B |
| Gen AI Bookings | $1.8B | $5.9B |
| Revenue | $17.6B | $69.7B |
| GAAP Op. Margin | 11.6% | 14.7% |
| Adjusted Op. Margin | 15.1% | 15.6% |
| GAAP Diluted EPS | $2.25 | $12.15 |
| Adjusted EPS | $3.03 | $12.93 |
| Free Cash Flow | $3.8B | $10.9B |
Margins and Earnings Highlight Financial Resilience
Despite pressure on operating margins (GAAP margin slipped by 270 basis points to 11.6% in Q4), adjusted operating margins remained strong at 15.1%. Full-year adjusted EPS rose 8% to $12.93, highlighting the positive impact of cost optimization and value-added services. CEO Julie Sweet attributes this performance to Accenture’s leadership in building digital cores and reimagining client operations—areas heavily driven by AI and data services.
Cash Flow and Shareholder Returns Remain Robust
Free cash flow totaled $10.9 billion for the year, reflecting healthy profitability and efficient operations. In a sign of ongoing commitment to shareholders, Accenture announced plans to return at least $9.3 billion in cash during fiscal 2026—through dividends and buybacks. This level of return underscores confidence in future cash generation.
Outlook: 2026 Guidance Supports Further Growth Momentum
Looking ahead, Accenture forecasts full-year fiscal 2026 revenue growth of 2% to 5% in local currency—or up to 6% excluding a 1% to 1.5% impact from its U.S. federal business. GAAP diluted EPS is projected at $13.19 to $13.57, with adjusted EPS expected between $13.52 and $13.90. The guidance reflects continued client demand for digital and AI-led transformation services, even as macroeconomic headwinds persist.
Table 2: Fiscal 2026 Outlook
| Guidance Metric | FY 2026 Forecast |
|---|---|
| Revenue Growth (local currency) | 2% - 5% (3% - 6% excl. federal) |
| GAAP Diluted EPS | $13.19 - $13.57 |
| Adjusted EPS | $13.52 - $13.90 |
| Shareholder Return | ≥ $9.3B |
Key Takeaway: Accenture Positioned as a Leader in the AI Transformation Wave
Accenture’s results and outlook tell a compelling story of resilience, adaptability, and market leadership—driven by early and strategic AI investments. For investors and analysts, the message is clear: as enterprises race to integrate AI into every layer of their business, Accenture is emerging as a go-to partner with the talent, tools, and expertise to capture a growing share of the transformation economy. Those watching the evolution of enterprise tech and consulting may want to follow Accenture’s continued progress as a bellwether for broader industry shifts in digital and AI services.
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