Transcripts

Accenture plc's management answers for the business every quarter. These are the exchanges that explain it best — verbatim, from the call transcripts preserved in Sources. Each link opens the full transcript at that page in a new tab.

Q3 FY2026 Earnings Call — June 18, 2026

The most recent call: three OT-security acquisitions reframed as a bet on 'physical AI,' the mid-market pitched as a $240B new TAM, and management's answer to whether AI token spend is crowding out services budgets. · Open the full transcript →

The expansion playbook: security scaled from ~$700M to $10B (35% CAGR); OT-security and the $240B mid-market roughly triple the TAM.

Julie Sweet, Chair & CEO: We have grown our services organically and inorganically over the last decade from roughly $700 million in FY16 to $10 billion in fiscal 2025, a 35% CAGR over the period, 4 times that of Accenture’s over the same period. This investment more than triples our total addressable market in OT Security, which is growing double digit.

We are also expanding our total addressable market by going after a new, exciting customer segment: the mid-market. We estimate that the mid-market, which we look at as companies with between $300 million and $3 billion of revenue, is a $240 billion addressable market for us, growing high single-digits.

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What 'AI ROI' means in dollars: lead accuracy from 13% to 97% — a production commercial engine, not a pilot.

Julie Sweet, Chair & CEO: Together with a leading large language model provider and hyperscaler, we built an AI engine that validates and enriches leads, generates personalized campaign content, and automates brand and legal validations. In B2B sales and marketing, conversion rates increased and drove net new revenue. Lead accuracy jumped from 13 percent to 97 percent. Campaign speed to market improved by 55 percent and marketing content teams are 40 percent more productive—with capacity freed to drive further growth.

This is what AI ROI looks like in practice—not a pilot, but a production-grade commercial engine delivering results at scale.

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Why consulting is growing inside managed-services deals: 'This is not a technology play. It's a business play.'

Julie Sweet, Chair & CEO — in response to Jason Kupferberg (Wells Fargo): We've seen a three-quarter trend now of more consulting work in those large programs for managed services because our clients are asking us to help them use AI and change the processes to do more change management to really embed new ways of working, and so we're seeing that consulting grow in a lot of these larger deals that also include managed services, and it's a direct result of our strategy that says this is not a technology play. It's a business play.

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Is AI token spend crowding out services budgets? A new FinOps-style optimization practice, and client budgets aren't rising.

Jim Schneider (Goldman Sachs); Julie Sweet, Chair & CEO: So Jim, one of the things we're clearly seeing, in fact, we have a whole practice that we're starting to grow now is on how to help clients optimize their use of tokens. It feels a lot like the cloud scenarios that we remember when people were moving to the cloud and then they were like, “oh, wait a minute, we're spending a lot more on the cloud than we thought” and we built a whole FinOps practice on helping optimize cloud. […] And at the same time, there's a certain amount of spending that's going to happen and so we're not seeing it be material to impact the spend on services today. […] Because the budgets haven't been, even with AI, they're spending it differently, but they haven't been increasing. And that's why moving into cyber security platform business, triples, more than triples our total addressable market in OT security. The mid-market is a massive TAM that we're now going to, and that's not been a focus of ours other than like generally.

So we are really focused on expanding our TAM while we're capturing more of the AI spend.

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Q2 FY2026 Earnings Call — March 19, 2026

Agentic AI moves to center stage: management fields the sharpest bear case — that AI can cut an SAP migration to two weeks and shrink the systems-integration TAM — and explains why revenue has been decoupled from headcount since 2015. · Open the full transcript →

The 'car engine' analogy: better AI models don't map directly to bookings — they create the next opportunity, like agentic.

Julie Sweet, Chair & CEO — in response to Tien-Tsin Huang (JPMorgan): the models are basically just a super powerful engine. So if you think about the car, right, you've got this great engine, only if it's connected to everything, if it has wheels, so you can actually make it run and the transmission to guard it. And so, when the models come out, there isn't a direct correlation to bookings or new work. But what it does is create the next opportunity for us to look at what are the solutions that it's going to now create.

And so if you think about in earlier days, a lot of the work was focused on things like summarization and content creation, the better the models are, it's able to fuel things like moving into agentic

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Where AI demand actually is: 78% of executives expect growth to be the biggest value, but efficiency still leads; agentic commerce surging.

Julie Sweet, Chair & CEO — in response to Tien-Tsin Huang (JPMorgan): the latest survey had 78% now saying we think growth is going to be the biggest value. That's not yet translating on-the-ground to being the biggest driver, mostly because of where the technology is. If you think about kind of the early days, a lot of it is about content, summarization, et cetera, that is really an eficiency play. And as the capabilities improve, you start to see more ability to take it into the core business and to do more complex work. So we are absolutely seeing an uptick in growth –growth-focused AI programs, but eficiency is still leading the way.

I will tell you that the most exciting area right now on growth is conversational and agentic commerce. Demand is surging there.

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The labor-arbitrage bear case: revenue and headcount have not moved together since RPA arrived around 2015 — and that's in guidance.

Julie Sweet, Chair & CEO — in response to Darrin Peller (Wolfe Research): By linearity, if you mean the sort of revenue and headcount, I just would remind you that we really have not had a linear relationship since around 2015 when RPA, when automation really came in. And so we would expect to continue to see that, a disconnecting, and that's what's baked into our guidance.

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Q4 & FY2025 Earnings Call — September 25, 2025

Full-year FY25 and a landmark reorganization: Accenture folds every capability into one 'Reinvention Services' unit, tripled GenAI revenue to $2.7B, and defends AI as expansionary rather than deflationary while a federal/DOGE headwind bites. · Open the full transcript →

The economic engine: 60% of revenue runs through the top-10 tech partners (grew 9%); GenAI revenue tripled to $2.7B, bookings to $5.9B.

Julie Sweet, Chair & CEO: in FY25, we continued to be the number-one partner for all of our top 10 ecosystem partners by revenue. 60% of our revenue is from work that we do with these partners, which grew 9%, outpacing our overall revenue growth in FY25. […] In FY25, we tripled our revenue over FY24 from Gen AI and increasingly agentic AI to $2.7 billion. And we nearly doubled our Gen AI bookings to $5.9 billion.

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The reorganization defined: on Sept 1 all capabilities fold into one 'reinvention services' unit; ~80% of large deals are multi-service.

Julie Sweet, Chair & CEO: Finally, our growth model. On September 1, we launched reinvention services, which brings all of Accenture's capabilities into a single unit. Nearly 80% of our large deals are multi-service. The model as we fully roll it out will make it faster and simpler to sell and deliver everything Accenture ofers and to rotate our oferings to embed more AI and data and equip our people.

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Agentic AI in practice at Ecolab: nine agents redesign lead-to-cash; cash-application work goes from 100% manual to ~60% automated.

Julie Sweet, Chair & CEO: Instead of executing one-of use cases, we redesigned the entire lead to cash process, the steps from generating a lead to collecting payment using nine scaled agentic AI agents. These agents clean core data, resolve billing errors and automatically match customer payments to the right billing invoices. In cash application alone, work that used to be 100% manual is now about 60% automated, reducing errors and speeding up processes.

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Capital allocation: at least $9.3B returned in FY26 (+12%), a 10% dividend raise, and $5B of new buyback authority.

Angie Park, CFO: We expect to return at least $9.3 billion through dividends and share repurchases, an increase of $1 billion or 12% from fiscal '25. Our Board of Directors declared a quarterly cash dividend of $1.63 per share to be paid on November 14, a 10% increase over last year and approved $5 billion of additional share repurchase authority. We remain committed to returning a substantial portion of our cash generated to shareholders.

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The core bear case: is AI deflationary to revenue? Sweet: expansionary — client savings get reinvested into the next priorities.

Tien-Tsin Huang (JPMorgan); Julie Sweet, Chair & CEO: Do you see potential deflationary efects and how might that impact Accenture services both positively and negatively? Thanks. […] So we don't see AI as deflationary. We do see and are seeing it as expansionary similar to every tech evolution we've been through. The move from an analog to digital, from on-prem to cloud and SaaS, and is many of you who have been with us over the course of the years have known, in every successive tech evolution, we've become stronger.

And so if you look at AI, we see the same thing. Yes, AI absolutely boosts eficiency in areas like coding or operations, but those savings don't disappear. They're being reinvested into new priorities. The list of what our clients want to do with technology is truly virtually unlimited. And so when we can save them money by delivering our services with advanced AI, that frees up their budget to do the next things on their list

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The federal drag pinned: the DOGE headwind anniversaries at the end of Q3 FY26; AFS is contracting mid-teens near-term.

David Koning (Baird); Angie Park, CFO: DOGE, are you expecting about a similar Q4 headwind through the first Q3 quarters of this year and then anniversary it in Q4 and then kind of going forward, maybe not having much impact at all? Is that kind of how you're modelling it?

## Angie Park

That's exactly right. We expect it to anniversary at the end of Q3.

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Q2 FY2025 Earnings Call — March 20, 2025

The thesis tested: a new administration's efficiency drive and a GSA review of top-10 consulting firms hit Accenture Federal Services — 8% of global revenue — and analysts press management on exactly how much is at risk. · Open the full transcript →

The shock, sized: federal was 8% of global and 16% of Americas revenue; a GSA review told agencies to cut non-mission-critical contracts.

Julie Sweet, Chair & CEO: First, Accenture Federal Services. Federal represented approximately 8% of our global revenue and 16% of our Americas revenue in FY ‘24. As you know, the new administration has a clear goal to run the Federal government more efficiently. During this process, many new procurement actions have slowed, which is negatively impacting our sales and revenue. In addition, recently, the General Service Administration has instructed all federal agencies to review their contracts with the top 10 highest paid consulting firms contracting with the U.S. government, which includes Accenture Federal Services. The GSA's guidance was to terminate contracts that are not deemed mission critical by the relevant federal agencies.

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The hardest question — 'the real revenue at risk?' Sweet declines to decompose it, folding slowdown and contract reviews into the range.

Tien-Tsin Huang (JPMorgan); Julie Sweet, Chair & CEO: Is there – maybe to ask it differently, just is there a way to frame the real revenue at risk? I know mission-critical is, maybe hard to define it here on the call, but is there anything that you can share in terms of what's really at risk or not at risk thinking about duration or is it really more of an issue of replenishing work, etc.? Just trying to get a better understanding of visibility there. Thank you.

## Julie Sweet

Sure. And so, Tien-Tsin, what I would say is, and what we've been clear about is the guided range we're giving for the quarter and for the year reflects our best view of the impact that's coming from both the slowing of new procurement actions and the assessments of the work that we're doing, and so we don't get into different pieces of it, but – those two things, the range of outcomes and that's reflected in the range.

I mean, it is 8% of our business. We have lots of other parts of our business that are about that size that we are always looking at estimates and assumptions.

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Guidance philosophy: the top of the range doesn't need discretionary spend to improve; the bottom allows for further deterioration.

Julie Sweet, Chair & CEO; Angie Park, CFO — in response to Bryan Keane (Deutsche Bank): as we went into this calendar year, we did not see kind of – like kind of across the board a meaningful increase in budgets for our services. So we saw more of the same, […] discretionary spending this quarter, Q2 was overall about the same, still constrained. There were some pockets of improvement, for example, in banking and capital markets in the Americas, but again, going into the calendar year, discretionary spending was overall about the same constraint, and particularly in small deals that we've been seeing. […] I would just add that as you think about our guidance for the full year as well, and what it assumes is discretionary spend does not have to improve at the top end of the range, while it continues to allow for further deterioration at the bottom.

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Q4 & FY2024 Earnings Call — September 26, 2024

The year GenAI became a real revenue line: $3B in new bookings and ~$900M revenue, up from ~$300M/$100M a year earlier — and management explains, deal by deal, how the money is actually made. · Open the full transcript →

The genesis number: $3B of new GenAI bookings and nearly $900M of revenue in FY24, up from ~$300M/$100M in FY23.

Julie Sweet, Chair & CEO: For the ful fiscal year, we had $3 billion in new GenAI bookings, including $1 billion in Q4 and for the full fiscal year, we had nearly $900 million in revenue. The magnitude of this achievement is seen in the comparison to FY 2023 where we had approximately $300 million in sales and roughly $100 million in revenue from GenAI. This was an area where our clients continued to buy small deals and we focused on accelerating our growth here.

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The acquisition engine: ~75% of deals sole-sourced, integration as the moat — M&A done 'ultimately to drive our organic growth.'

Julie Sweet, Chair & CEO: Over the last decade, we have built a finely tuned acquisition capability, becoming known in the market as a good home with approximately 75%, on average, of our acquisitions sole sourced. While our ability to identify and evaluate our acquisitions is critical, it is our ability to integrate them successfully that has made our acquisition capability so formidable. […] As a reminder, we do acquisitions ultimately to drive our organic growth. Our global footprint, deep client relationships across industries, as well as strong ecosystem gives us a unique perspective on growth opportunities. We use acquisitions to scale quickly in growth areas, to build new skills in adjacent markets and to deepen our technology, industry and functional expertise.

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How the money is made: deals move from proof-of-concept to scaled implementations, and every other one pulls through data-readiness work.

Julie Sweet, Chair & CEO — in response to Bryan Keane (Deutsche Bank): So, yes, so we ended with $3 billion bookings for the year, and we'd expect in FY 2025 another healthy increase. There is clear demand. We're starting to see more of our clients move from proofs of concept to sort of larger implementations which is important. So the size of those bookings is clicking up and also, we're continuing to see kind of at least every other one has got data pull through […] because one of the biggest limitations on using GenAI today and why it's going to take a while is it needs data, and our clients have a lot of work to do on data which is of course a big opportunity for us.

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The two-engine bookings model: management targets Consulting book-to-bill ≥1.0 and Managed Services ≥1.2 over trailing four quarters.

Angie Park, CFO — in response to Keith Bachman (BMO): In terms of the way to think about our bookings, we were super pleased with the $81 billion of bookings that we had for the year, which was 14% growth, which included the 125 quarterly client bookings over $100 million […] For us, over time, over four trailing quarters, we're always looking for our Consulting book-to-bill to be 1.0 or better and for our Managed Services to be 1.2 or better and nothing has changed there.

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The hardest question — deal sizes and productivity: sub-$1M GenAI deals now reach $10M+; the gains show first in Managed Services.

Bryan Bergin (TD Cowen); Julie Sweet, Chair & CEO: I don't want to start giving tons of data on this but you went from deals that were in GenAI that were on average kind of sub-$1million, that you've now got some that are above $10 million, so that's still the smaller end, because you're sort of moving into production and scale […] in our Managed Services is where we're seeing the most because that's where we have platforms so you all remember we used to talk about myWizard and now we talk about Gen Wizard but what we're seeing is that the technology and the productivity is like similar ways before.

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More calls

Q1 FY2026 Earnings Call — December 18, 2025 · 23 pages · The quarter Accenture retired its pioneering advanced-AI bookings metric (~$11.5B cumulative across 11,000 projects) — and Sweet's blunt 'I'm not waiting around' rebuttal to the discretionary-spend recovery question. · Open →

Q3 FY2025 Earnings Call — June 20, 2025 · 21 pages · Where the 'Reinvention Services' reorganization was first announced (effective Sept 1), framed against the 2013 and 2020 growth-model resets, as the federal/DOGE drag began to bite. · Open →

Q1 FY2025 Earnings Call — December 19, 2024 · 22 pages · The 'strategy is working' inflection: the widest revenue beat in ~two years on the pivot to mega-deals, plus the first framing of new-administration federal exposure (~8% of revenue) and the completed $5B inaugural bond. · Open →

Q3 FY2024 Earnings Call — June 20, 2024 · 23 pages · The CFO-transition call (KC McClure to Angie Park) and a GenAI milestone — $2B YTD bookings, ~$500M revenue — with Sweet's clearest 'AI is a small part of what's needed' catalyst argument. · Open →

Q2 FY2024 Earnings Call — March 21, 2024 · 23 pages · The 'corporates have put themselves on a diet' call — the sharpest read on the discretionary-spend downturn — and the $1B LearnVantage/Udacity upskilling bet. · Open →

Q1 FY2024 Earnings Call — December 19, 2023 · 25 pages · The GenAI ramp narrative ($450M booked in a single quarter vs. ~$300M in all of FY23), framed as the shift 'from experimentation to scale,' plus a candid U.K.-weakness call-out. · Open →

Q4 & FY2023 Earnings Call — September 28, 2023 · 22 pages · The FY23 wrap — record $72B bookings, $9B free cash flow, a 12% local-currency decline in CMT — and the first framing of the $3B, three-year AI investment. · Open →

Q4 & FY2021 Earnings Call — September 23, 2021 · 34 pages · The boom-year capstone (pre-GenAI): Cloud First driving cloud from $12B to $18B, $4.2B across 46 acquisitions, and the Industry X 'next digital frontier' thesis. Motley Fool transcript — messy formatting, dated segment terms. · Open →