Executive Summary
Accenture plc reported QQ2 2025 results with strong top-line growth and solid profitability, underpinned by its cloud, digital, and AI-led service mix. Revenue reached USD 16.66 billion, up 5.4% year over year, but down 5.8% quarter over quarter. Gross margin stood at 29.9% and operating margin at 13.5%, contributing to net income of USD 1.79 billion and diluted EPS of USD 2.82. Free cash flow for the quarter was USD 2.68 billion, supported by USD 2.85 billion in operating cash flow and a modest capex outlay of USD 170.8 million. Management returned capital to shareholders with USD 0.93 billion in dividends and USD 1.45 billion in share repurchases, while the company maintained a robust liquidity position with USD 8.49 billion in cash and cash equivalents and a net debt position of about negative USD 0.43 billion. The balance sheet remains sturdy, with total assets of USD 59.87 billion and total stockholders’ equity of USD 29.25 billion. Valuation remains premium by traditional tech-services standards, reflecting Accenture’s leadership in high-value digital transformation, cloud, and AI-enabled services.
Key Performance Indicators
Key Insights
Revenue: USD 16.659B; YoY +5.44%; QoQ -5.82% | Gross Profit: USD 4.975B; Margin 29.86%; YoY +1.98%; QoQ -14.56% | Operating Income: USD 2.245B; Margin 13.47%; YoY +9.69%; QoQ -23.87% | Net Income: USD 1.789B; Margin 10.73%; YoY +6.76%; QoQ -21.54% | EPS (Diluted): USD 2.82; YoY +7.52%; QoQ -21.43% | EBITDA: USD 2.714B; EBITDARatio 16.29% | Free Cash Flow: USD 2.683B; Operating Cash Flow: USD 2.854B | Capex: USD 0.171B | Cash at End of Period: USD 8.490B | Net Debt: USD -0.431B | Current Ratio: 1...
Financial Highlights
Revenue: USD 16.659B; YoY +5.44%; QoQ -5.82% | Gross Profit: USD 4.975B; Margin 29.86%; YoY +1.98%; QoQ -14.56% | Operating Income: USD 2.245B; Margin 13.47%; YoY +9.69%; QoQ -23.87% | Net Income: USD 1.789B; Margin 10.73%; YoY +6.76%; QoQ -21.54% | EPS (Diluted): USD 2.82; YoY +7.52%; QoQ -21.43% | EBITDA: USD 2.714B; EBITDARatio 16.29% | Free Cash Flow: USD 2.683B; Operating Cash Flow: USD 2.854B | Capex: USD 0.171B | Cash at End of Period: USD 8.490B | Net Debt: USD -0.431B | Current Ratio: 1.477 | Interest Coverage: 34.68x | Dividend Payout Ratio: 51.9%; Dividend Yield: 0.429% | Shares Outstanding (avg): ~626.8M (basic); ~634.2M (diluted) | Valuation Multiples: P/E 30.23x; P/S 12.98x; EV/EBITDA 79.38x; P/FCF 80.61x; P/OCF 75.78x
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
16.66B |
5.44% |
-5.82% |
| Gross Profit |
4.97B |
1.98% |
-14.56% |
| Operating Income |
2.24B |
9.69% |
-23.87% |
| Net Income |
1.79B |
6.76% |
-21.54% |
| EPS |
2.86 |
7.52% |
-21.43% |
Key Financial Ratios
operatingProfitMargin
13.5%
operatingCashFlowPerShare
$4.55
freeCashFlowPerShare
$4.28
dividendPayoutRatio
51.9%
Management Commentary
Note: The Earnings Transcript is not provided in the dataset. Consequently, quotes and transcript-derived insights cannot be quoted verbatim. Key themes to monitor in the earnings call would typically include: (1) Cloud, AI, and digital transformation demand and pipeline; (2) Margin discipline and mix shift toward higher-value engagements; (3) Backlog evolution, project timing, and geographic mix; (4) Talent supply dynamics and utilization efficiency; (5) Capital allocation strategy, including dividends and share buybacks, and any debt management signals.
Forward Guidance
No explicit forward guidance is provided in the supplied data. Based on the quarter’s trajectory and industry context, the reasonable inference is that management will emphasize continued growth in high-value, cloud-centric engagements, with a focus on margin expansion through productivity gains and mix optimization. Investors should monitor: (a) the evolution of backlog and project timing across geographies, (b) utilization and wage-related cost dynamics, (c) the pace of cloud-native and AI-enabled project wins, and (d) the sustainability of free cash flow generation to fund shareholder returns and strategic investments.