- revenue increased by 22% to $16.158 billion vs. market consensus of $16 billion;
- new orders increased by 15% in local currencies and 10% in US dollars to a record high of $17 billion;
- net earnings per share added 16% from $2.4 to $2.79 with a forecast of 2,83 $. Accenture could earn even more, if she had not left Russia in March. With the Russian Federation, profits would increase by 22%;
- management announced a quarterly dividend, which has increased by 10%, when compared to the same payment last year;
- the company unexpectedly worsened its financial forecast for the fourth quarter.
AccentureACN278,00 $
Sales structure of the company
Accenture's core business is providing advisory services to its clients around the world, that is why conditionally the business of the company can be divided in three different ways: by clients, by main type of services rendered and by geography of sales.
Clients. Accenture management divides its customer base into five market industries:
- Telecommunications, media and IT.
- financial services.
- healthcare.
- Consumer goods.
- Energy enterprises.
Of these five, the most profitable and fastest growing are two categories of customers - "Consumer goods" and "Telecommunications, media and IT": in the third quarter, they were the only ones in local currency that increased by more than 30%. The most disappointing segment right now is Healthcare.: its growth rate is less than 20%.
Services provided. The company breaks revenues from this area into two segments. The first is consulting services, which constitute strategy consultations, management, implementation and integration of technologies and much more. This type of activity is the main one - it brings more 55% in the overall result.
The second segment is outsourcing services. Contracts under them are usually concluded for several years, Accenture, based on a contract, performs a number of their business processes instead of clients. Основная цель процедуры — экономия денежных ресурсов клиентов, which is achieved thanks to, что офисы таких компаний располагаются в странах с низкой почасовой заработной платой.
Sales geography. Accenture operates in three geographic markets and serves clients in more than 120 countries. North America is the key market, which brings the company approximately 47% income. Next comes Europe with the result 33%, and developing countries close the top three, к которым менеджмент относит следующие географические регионы: Asia-Pacific, Latin America, Africa and Middle East.
The company showed excellent sales: total revenue increased by 27% в местной валюте и на 22% в американской валюте благодаря сильным результатам основных сегментов, которые в текущем квартале практически все выросли на 30%+, за исключением Северной Америки.
Sales structure of the company, billion dollars
| By clients | 3к2022 | Динамика роста в долларах США | Динамика роста в местной валюте |
|---|---|---|---|
| Consumer goods | 4,601 | 25% | 31% |
| Telecommunications, media and IT | 3,427 | 27% | 31% |
| financial services | 3,079 | 19% | 24% |
| healthcare | 2,917 | 16% | 19% |
| Energy companies | 2,133 | 21% | 26% |
| total revenues | 16,158 | 22% | 27% |
| По основному виду услуг | |||
| Consulting | 9,032 | 24% | 30% |
| Outsourcing | 7,126 | 19% | 23% |
| total revenues | 16,158 | 22% | 27% |
| By sales geography | |||
| North America | 7,613 | 23% | 23% |
| Europe | 5,350 | 20% | 30% |
| Developing markets | 3,194 | 22% | 30% |
| total revenues | 16,158 | 22% | 27% |
The company's sales structure by customers, billion dollars
Company sales structure by main type of service, billion dollars
Sales structure of the company by sales geography, billion dollars
Profit
Accenture в третьем квартале 2022 года продемонстрировала двузначный рост практически всех своих показателей: revenue increased by 22%, EBITDA - on 20% с 2,598 до 3,127 млрд долларов, а чистая прибыль — всего на 16% с 1,549 до 1,789 млрд долларов по причине того, that there was a one-time loss.
В марте 2022 года Accenture приняла решение уйти из России, из-за чего в текущем квартале менеджменту компании пришлось списать 96 млн долларов и недополучить прибыль в размере 0,15 $ per share.
Overall dynamics of net profit compared to the third quarter of 2021:
- Net profit third quarter 2021: +2,40 $.
- Higher revenues and operating results: +0,56 $.
- Decrease in share capital amid buyback: +0,02 $.
- Cost reduction: +0,01 $.
- Increase in tax rate: −0,04 $.
- Losses due to higher income among uncontrolled shares: −0,01 $.
- Leaving the Russian Federation: −0,15 $.
- Final result of the third quarter of 2022: +2,79 $.
Key financial results of the company, billion dollars
| 1к2021 | 3к2022 | The change | |
|---|---|---|---|
| Revenue | 13,264 | 16,158 | 22% |
| EBITDA | 2,598 | 3,127 | 20% |
| EBITDA margin | 20% | 19% | −1 p. P. |
| Net profit | 1,549 | 1,789 | 16% |
| FCF | 2,242 | 2,870 | 28% |
| net debt | −9,939 | −6,644 | −37% |
Dividends and management forecasts
After the publication of financial results, management also announced dividends and forecast for the next quarter.. Совет директоров компании решил распределить акционерам выплату в размере 0,97 $ per share. Register Closing Date - 14 July 2022.
In addition to dividends, Accenture also conducts a buyback: в третьем квартале 2022 года компания выкупила с рынка около 3,1 млн акций на сумму 0,972 млрд долларов. Текущая квартальная доходность — 0,87%, out of which 0,52% принес байбэк, and 0,35% — дивиденды.
Главным разочарованием в текущих результатах стал обновленный прогноз на следующий квартал, which Accenture worsened against the background of global inflation and a strong strengthening of the dollar. Basic moments:
- выручка в четвертом квартале вырастет на 20—24% в местной валюте до 15—15,5 млрд долларов против рыночного прогноза в 15,7 млрд долларов;
- сильный доллар по итогам всего 2022 года уменьшит доходы компании на 4,5%, the previous forecast was 3%;
- общая выручка за весь финансовый год должна вырасти до 25,5—26,5%;
- чистая прибыль на акцию в 2022 году увеличится до 10,61—10,70 $, previously, management, that the range will be wider: от 10,61 до 10,81 $;
- for the entire current year, Accenture wants to distribute $6.5 billion to shareholders through dividends and buybacks, which is equivalent to a dividend yield 3,5%.
New points of growth
Accenture's weak financial guidance for the fourth quarter of 2022 briefly upset investors: the next day the company announced a major new partnership with Johnson Controls, основное направление деятельности которой — автоматические системы контроля зданий.
Две компании решили объединить усилия в разработке продуктов и услуг для систем управления зданиями с поддержкой искусственного интеллекта. Основное внимание будет уделено технологиям на базе 5G и IoT. The result should be two innovation centers Johnson Controls OpenBlue.
Besides, Accenture также объявила о покупке небольшой канадской компании XtremeEDA, которая предоставляет услуги по разработке полупроводников для клиентов в Северной Америке. Цель приобретения — расширение возможностей цифрового сервиса Accenture Cloud First.
What's the bottom line?
Accenture продемонстрировала неплохие финансовые результаты в третьем квартале 2022 года: revenue increased by 22%, EBITDA - on 20%, net profit — on 16%. These management results, however, смог полностью нивелировать своим слабым прогнозом на следующий квартал.
Nevertheless, если отбросить все эмоции и оперировать только фактами, даже с учетом всего негатива — инфляция, strong strengthening of the dollar, уход из РФ — Accenture все равно продолжает расти, what a great result for a company of this size: общая капитализация Accenture сейчас — 186 млрд долларов.
