01—Abstract
Summary
Summary of the 10-K filed October 30, 2012. Cited figures are marked; the original filing is the authoritative source.
Accenture plc's 2012 10-K filing highlights a company that has successfully navigated a complex economic environment to achieve revenue growth.
The company reported net revenues of $27.86 billiona, an increase of 9% in U.S. dollars and 11% in local currency year-over-year. This growth was driven by strong performance in outsourcing services, which saw a 16% increase in U.S. dollars and 19% in local currency, outperforming consulting services. The company operates across five key segments: Communications, Media & Technology; Financial Services; Health & Public Service; Products; and Resources.
Geographic performance was robust, with the Americas showing 13%b local currency growth, EMEA at 8%, and Asia Pacific at a strong 18%. Despite global economic uncertainties, Accenture demonstrated resilience, supported by its global delivery model and strategic investments in areas like analytics, cloud computing, and mobility. The company also continued its share repurchase program, returning value to shareholders.
02—Key points
Key Highlights
- Accenture reported net revenues of $27.86 billion for fiscal year 2012, a 9% increase in U.S. dollars and 11% in local currency compared to fiscal year 2011.
- Outsourcing services significantly outperformed consulting, with net revenues increasing 16% in U.S. dollars (19% in local currency) versus a 4% increase in consulting net revenues (6% in local currency).
- The company operates through five distinct operating groups: Communications, Media & Technology; Financial Services; Health & Public Service; Products; and Resources, all showing year-over-year revenue growth in local currency for fiscal year 2012.
- Geographically, Asia Pacific demonstrated the strongest growth with an 18% increase in local currency net revenues, followed by the Americas (13%) and EMEA (8%).
- Accenture maintained a strong liquidity position, with cash and cash equivalents increasing to $6.6 billion as of August 31, 2012.
- The company continued its share repurchase program, demonstrating a commitment to returning capital to shareholders, with $1.96 billion in Class A ordinary shares repurchased in fiscal year 2012.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2012, Accenture plc kept $0.09.
- Revenue$29.78B100.0%
- Cost of revenue−$20.79B69.8%
- Gross profit$8.99B30.2%
- Operating costs−$5.12B17.2%
- Operating income$3.87B13.0%
- Interest, other & tax−$1.32B4.4%
- Net income$2.55B8.6%
Where FY2012 revenue went
$29.78B- Cost of revenue: $20.79B, 70% of revenue
- Other operating costs: $4.56B, 15% of revenue
- Net income: $2.55B, 8.6% of revenue
- R&D: $559.6M, 1.9% of revenue
- Interest, other & tax: $1.32B, 4.4% of revenue
Kept 8.6% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2012filed October 30, 2012Financial Statements
FY2012 against FY2011
| Line item | FY2012FY2011 | Change |
|---|---|---|
| Revenue | $29.78B$27.35B | +8.9% |
| Cost of Revenue | $20.79B$18.97B | +9.6% |
| Gross Profit | $8.99B$8.39B | +7.2% |
| R&D Expenses | $559.61M$481.97M | +16.1% |
| Operating Expenses | $25.91B$23.88B | +8.5% |
| Operating Income | $3.87B$3.47B | +11.6% |
| Interest Expense | $15.06M$15.00M | +0.4% |
| Net Income | $2.55B$2.28B | +12.1% |
| EPS (Basic) | $3.97$3.53 | +12.5% |
| EPS (Diluted) | $3.84$3.39 | +13.3% |
| Shares Outstanding (Basic) | 643.13M645.63M | −0.4% |
| Shares Outstanding (Diluted) | 727.39M743.21M | −2.1% |
05—Questions
Frequently Asked Questions
What was Accenture's overall revenue performance in fiscal year 2012?
Accenture reported strong revenue growth in fiscal year 2012, with net revenues reaching $27.86 billion. This represents a 9% increase in U.S. dollars and an 11% increase when measured in local currency compared to fiscal year 2011.
How did the consulting and outsourcing segments perform relative to each other?
Outsourcing services showed significantly stronger growth than consulting in fiscal year 2012. Net revenues for outsourcing increased by 16% in U.S. dollars (19% in local currency), while consulting net revenues grew by 4% in U.S. dollars (6% in local currency).
What is Accenture's strategy for growth and client engagement?
Accenture's strategy focuses on leveraging its expertise in consulting, technology, and outsourcing to help clients achieve higher performance and sustainable value. The company emphasizes industry and technology differentiation, geographic expansion, and investments in strategic areas like analytics, cloud computing, and mobility.
What are the key risks highlighted in the filing that could impact Accenture's future performance?
Key risks identified include adverse effects from volatile economic conditions, potential reduction in client demand, challenges in maintaining a balance of skills and resources, intense competition, cybersecurity threats, geopolitical instability in operating regions, foreign currency exchange rate fluctuations, and the inherent risks of government contracting.
06—Continue