Executive Summary
Accenture's QQ1 2025 results reflect a robust start to the fiscal year, with solid top-line momentum and margin resilience. Revenue reached USD 17.69 billion, up 9.03% year over year and 7.82% quarter over quarter, driven by continued demand for digital transformation, cloud migration, and intelligent automation services. Gross margin stood at 32.92% and operating margin at 16.67%, underscoring a healthy profitability profile amid ongoing investments in growth initiatives. Net income of USD 2.28 billion produced diluted EPS of USD 3.59, with strong cash flow generation supporting shareholder returns through buybacks and dividends.
Key Performance Indicators
Key Insights
Revenue: USD 17,689,545,000; YoY +9.03%; QoQ +7.82%
Gross Profit: USD 5,822,829,000; Gross margin 32.92%; YoY +6.88%; QoQ +9.09%
Operating Income: USD 2,948,477,000; Operating margin 16.67%; YoY +14.96%; QoQ +25.27%
Net Income: USD 2,278,894,000; Net margin 12.88%; YoY +15.48%; QoQ +35.30%
EPS (GAAP): USD 3.64; Diluted EPS: USD 3.59; YoY EPS +15.92%; QoQ +36.84%
Cash Flow & Liquidity: Operating cash flow USD 1,022,486,000; Free cash flow USD 870,281,000; Net cash from operating activities US...
Financial Highlights
Revenue: USD 17,689,545,000; YoY +9.03%; QoQ +7.82%
Gross Profit: USD 5,822,829,000; Gross margin 32.92%; YoY +6.88%; QoQ +9.09%
Operating Income: USD 2,948,477,000; Operating margin 16.67%; YoY +14.96%; QoQ +25.27%
Net Income: USD 2,278,894,000; Net margin 12.88%; YoY +15.48%; QoQ +35.30%
EPS (GAAP): USD 3.64; Diluted EPS: USD 3.59; YoY EPS +15.92%; QoQ +36.84%
Cash Flow & Liquidity: Operating cash flow USD 1,022,486,000; Free cash flow USD 870,281,000; Net cash from operating activities USD 1.022B; Net cash provided by financing activities USD 2.751748B; Cash at end of period USD 8.306B; Net debt position USD -159.658M (net cash)
Balance Sheet Health: Total assets USD 59.869B; Total liabilities USD 29.766B; Cash & short-term investments USD 8.312B; Equity USD 29.191B; Goodwill USD 20.869B; Current ratio 1.466; Long-term debt USD 7.322B
Profitability & Efficiency: Gross margin 32.92%; Operating margin 16.67%; Net margin 12.88%; ROA 3.81%; ROE 7.81%; ROCE 6.93%; Asset turnover 0.295; Operating cash flow per share USD 1.634; Free cash flow per share USD 1.391; Payout ratio 40.6%
Note: All figures in USD unless stated otherwise and aligned to Q1 2025 (three-month period ended 30 November 2024) data set.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
17.69B |
9.03% |
7.82% |
| Gross Profit |
5.82B |
6.88% |
9.09% |
| Operating Income |
2.95B |
14.96% |
25.27% |
| Net Income |
2.28B |
15.48% |
35.30% |
| EPS |
3.64 |
15.92% |
36.84% |
Key Financial Ratios
operatingProfitMargin
16.7%
operatingCashFlowPerShare
$1.63
freeCashFlowPerShare
$1.39
dividendPayoutRatio
40.6%
Management Commentary
Note: The earnings transcript is not included in the provided dataset. As a result, management quotes or call-out insights could not be extracted. The analysis below reflects the reported financials and the implied implications for strategy and execution based on the results.
Forward Guidance
The dataset does not include explicit forward guidance. Based on the QQ1 results, the investment thesis hinges on continued strength in cloud, AI-enabled services, and digital transformation demand. Management commentary (not provided here) would typically address revenue trajectory in high-growth verticals (e.g., financial services, communications, media), margin discipline through productivity, and investment in scalable platforms. Given the 9% YoY revenue growth and mid-teens operating margin, the plausible near-term outlook supports mid-single-digit revenue growth with margin retention into the mid-teens, assuming continued productivity gains and stable pricing. Key factors for investors to monitor include: pipeline visibility and backlog trends, utilization and wage inflation in the services workforce, progression of AI-related engagements, client concentration dynamics, and geographies driving growth (with USD-based reporting mitigating FX volatility).