Accenture, one of the world's largest providers of IT services, met analyst expectations for its earnings per share and net revenue in the third quarter, ended May 31, 2004, as its outsourcing business continued growing strongly and its consulting business shook off a difficult period.
Net revenue, which excludes reimbursements, came in at $US3.69 billion, matching the consensus expectation from analysts polled by Thomson First Call and up from $US3.04 billion in 2003's third quarter.
This was the highest-ever quarterly net revenue in the company's history, the company's chairman and chief executive officer, Joe Forehand, said.
"Overall we had a very strong quarter," he said. "These results reflect a pickup in our consulting business and continued growth in our outsourcing business. We've been working extremely hard in the past several years to transform our business and get in shape to emerge from the economic downturn even stronger, and our efforts have begun to pay off."
Total revenue, including reimbursements, reached $US4.05 billion, compared with $US3.42 billion.
Net income was $US210.4 million, or $US0.37 per share, also matching analysts' consensus expectation, and up from $US132.1 million, or $US0.28 per share, in 2003's third quarter.
Net revenue broke down into $US2.33 billion from consulting, which is the company's core business, and $US1.36 billion from outsourcing, a segment Accenture is expanding into.
Compared with 2003's third quarter, consulting net revenue grew 13 per cent in US dollars.
Meanwhile, Accenture's outsourcing net revenue rose 37 per cent in US dollars.
For the fourth quarter, Accenture expected net revenue between $US3.4 billion and $US3.5 billion and earnings per share in the range of $US0.26 to $US0.29, the company said.
For the full year, Accenture expects net revenue to grow between 15 per cent and 16 per cent and earnings per share to be between $US1.18 and $US1.20.