Consulting and outsourcing firm Accenture Plc (ACN) said late Thursday that its fiscal-first-quarter profit fell 7% from last year, but results still beat analyst expectations.
The Dublin, Ireland-based company reported fiscal-first-quarter net income of $444.8 million U.S., or 67 cents U.S. per share, compared with $479.9 million U.S., or 74 cents U.S. per share, in the year-ago period.
Revenue fell 11% from last year, to $5.38 billion U.S.
On average, Wall Street analysts had expected a smaller profit of 65 cents U.S. per share.
Looking ahead, the company forecast second-quarter revenue to range from $5.1 billion to $5.3 billion U.S., which is significantly lower than analysts' current estimate for $5.43 billion U.S. In contrast, however, the company raised its full-year earnings guidance to $2.67 to $2.75 U.S. per share, up from a prior forecast of $2.64 to $2.72 U.S.
Analysts expect $2.71 U.S. for the year.
Accenture is the first major sponsor of Tiger Woods to sever ties with the golfer following his much-talked-about scandal. The company has been busy removing all images and references to Woods from its offices, marketing materials, and website since it announced it would drop Woods on Sunday.
Accenture shares fell 86 cents U.S., or 2.1%, in pre-market trading Friday.
The Bottom Line
Shares of ACN have been recommended since Oct.8, when the stock was trading at $38.41 U.S. The company has a 1.80% dividend yield, based on last night's closing stock price of $41.66 U.S.
Accenture Plc (ACN) is a "recommended" dividend stock, holding a Dividend.com DARS Rating of 3.5 out of 5 stars.
