Glasgow Daily Times, Glasgow, KY

Community News Network

December 19, 2013

Technology consulting profits beat estimates as big data fuels demand

NEW YORK — Accenture, the second-largest technology-consulting company, reported quarterly profit that topped estimates as demand for its expertise resurfaced in the U.S. and Europe.

Fiscal first-quarter earnings were $1.15 a share, topping the $1.09 average estimate of analysts surveyed by Bloomberg. Net sales rose 2 percent to $7.4 billion, the Dublin-based company said Thursday.

Bookings for consulting rose as customers ramped up investing in projects, with Europe recovering from its debt crisis and the U.S. Congress resolving its budget negotiations. Clients are seeking help on using newer technology like cloud computing and big-data analysis.

"Cloud, social, mobile and analytics -- those are all really important changes going on in the technology landscape," David Grossman, an analyst at Stifel Nicolaus & Co., said in an interview from San Francisco before the earnings release. "Initially, their customers can't implement newer technology without outside help because they don't have the talent or the knowledge base. That's usually good for Accenture."

Accenture raised its profit forecast for 2014 to $4.44 to $4.56 a share, up from the range of $4.42 to $4.54 a share the company gave in September, according to a statement Thursday. The forecast was adjusted to reflect foreign-exchange fluctuations. Analysts surveyed by Bloomberg predict earnings of $4.47 on average.

First-quarter net income attributable to Accenture rose to $751.8 million compared with $698.8 million a year earlier. Earnings per share, which are calculated using a different figure for net income, rose to $1.15 from $1.06.

Contract bookings rose 16 percent from a year earlier, according to data from Bloomberg Industries. Consulting, the company's biggest unit, recorded $4.3 billion in new business in the quarter, while outsourcing orders were $4.4 billion.

Accenture is considered a bellwether for the information- technology market because its earnings cycle ends one month sooner than competitors.

International Business Machines Corp., the largest technology-services provider, is scheduled to announce earnings Jan. 21. Cognizant Technologies Solutions Corp., one of the largest providers of outsourcing services, normally reports quarterly results in February.

 

1
Text Only
Community News Network
  • Survey results in legislation to battle sexual assault on campus

    Missouri U.S. Sen. Claire McCaskill joined a bipartisan group of senators Wednesday to announce legislation that aims to reduce the number of sexual assaults on college campuses.

    July 30, 2014

  • An alarming threat to airlines that no one's talking about

    It's been an abysmal year for the flying public. Planes have crashed in bad weather, disappeared over the Indian Ocean and tragically crossed paths with anti-aircraft missiles over Ukraine.

    July 30, 2014

  • Sharknado.jpg Sharknado 2 set to attack viewers tonight

    In the face of another "Sharknado" TV movie (the even-more-inane "Sharknado 2: The Second One," premiering Wednesday night on Syfy), there isn't much for a critic to say except to echo what the characters themselves so frequently scream when confronted by a great white shark spinning toward them in a funnel cloud:
    "LOOK OUT!!"

    July 30, 2014 1 Photo

  • 20140729-AMX-GIVHAN292.jpg Spanx stretches into new territory with jeans, but promised magic is elusive

    The Spanx empire of stomach-flattening, thigh-slimming, jiggle-reducing foundation garments has expanded to include what the brand promises is the mother of all body-shaping miracles: Spanx jeans.

    July 29, 2014 1 Photo

  • Medical marijuana opponents' most powerful argument is at odds with a mountain of research

    Opponents of marijuana legalization are rapidly losing the battle for hearts and minds. Simply put, the public understands that however you measure the consequences of marijuana use, the drug is significantly less harmful to users and society than tobacco or alcohol.

    July 29, 2014

  • linda-ronstadt.jpg Obama had crush on First Lady of Rock

    Linda Ronstadt remained composed as she walked up to claim her National Medal of Arts at a White House ceremony Monday afternoon.

    July 29, 2014 1 Photo

  • Can black women have it all?

    In a powerful new essay for the National Journal, my friend Michel Martin makes a compelling case for why we need to continue the having-it-all conversation.

    July 29, 2014

  • 'Rebel' mascot rising from the dead

    Students and alumni from a Richmond, Va.-area high school are seeking to revive the school's historic mascot, a Confederate soldier known as the "Rebel Man," spurring debate about the appropriateness of public school connections to the Civil War and its icons.

    July 28, 2014

  • Fast food comes to standstill in China

    The shortage of meat is the result of China's latest food scandal, in which a Shanghai supplier allegedly tackled the problem of expired meat by putting it in new packaging and shipping it to fast-food restaurants around the country

    July 28, 2014

  • wd saturday tobias .jpg Stranger’s generosity stuns Ohio veteran

    Vietnam War veteran David A. Tobias was overwhelmed recently when a fellow customer at an OfficeMax store near Ashtabula, Ohio paid for a computer he was purchasing.

    July 28, 2014 1 Photo