8-KEarnings & ResultsExhibits & Filings

Accenture plc 8-K Report, Financial Results (Jun 23, 2016)

Filed June 23, 2016For Securities:ACN

Summary

Accenture plc (ACN) filed an 8-K on June 23, 2016, to report its third quarter fiscal year 2016 financial results, ending May 31, 2016. The filing primarily directs investors to an attached press release (Exhibit 99) for detailed financial information. Investors should note that Accenture will be presenting both GAAP and non-GAAP financial measures, with the latter adjusted for items such as foreign currency fluctuations, gains/losses on business divestitures (specifically the Navitaire business), and charges related to pension obligations. The company's management emphasizes that these non-GAAP measures are intended to provide additional insights into operational performance and liquidity, but should be considered supplemental to, and not a substitute for, GAAP-reported figures.

Key Highlights

  • 1Accenture reported its Q3 FY16 financial results on June 23, 2016.
  • 2The filing's primary purpose is to furnish the accompanying press release containing the financial results.
  • 3Key non-GAAP financial measures disclosed include Free Cash Flow, net revenue growth excluding foreign currency impacts, and adjusted EPS, operating income, and net income.
  • 4Adjustments to non-GAAP measures specifically exclude the gain on the sale of the Navitaire business.
  • 5Another adjustment to non-GAAP measures excludes a non-cash charge related to U.S. pension obligations.
  • 6Accenture provides reconciliations of non-GAAP measures to their most comparable GAAP figures in the press release.
  • 7The company considers non-GAAP information useful for evaluating operations and liquidity but stresses it's supplemental to GAAP.

Frequently Asked Questions

The main purpose of this 8-K filing is to announce and provide access to Accenture's financial results for the third quarter of fiscal year 2016, which concluded on May 31, 2016. The detailed financial information is presented in an attached press release.

Accenture is highlighting several non-GAAP measures. These include Free Cash Flow, net revenue growth on a local currency basis (excluding foreign currency impacts), and adjusted earnings per share, operating income, net income, and effective tax rate. These adjustments are made to exclude specific items that management believes do not reflect the core operational performance.

The non-GAAP measures exclude the gain realized from the sale of the company's Navitaire business and a non-cash charge associated with the settlement of certain U.S. pension obligations. These are considered one-time or non-operational items.

Accenture's management believes that the non-GAAP financial information provides additional meaningful insights into the company's liquidity and operational performance. However, they emphasize that this information is supplemental and should not be used as a substitute for the financial results prepared in accordance with Generally Accepted Accounting Principles (GAAP).