US-based IT major Accenture reported robust revenue growth for the quarter ending August 2021, crossing the milestone of $50 billion in annual revenue for FY21.
This translates to incremental revenue of close to $6 billion in a single year.
The company reported $13.4 billion in revenue, up 24 percent year-on-year (YoY), for its fourth quarter ended August 2021. The strong result is a positive sign for the Indian IT sector as well. The company’s revenue was $10.83 billion for the same period last year. Accenture follows September to August for its fiscal.
In terms of profits, the company has reported a 10 percent YoY increase in net profit at $1.44 billion in the August quarter, from $1.3 billion for the comparable quarter last year.
Julie Sweet, Accenture’s Chair & CEO, said in the earnings statement, “We are very proud of our outstanding fiscal 2021 financial performance, reflecting growth significantly above the market and strong momentum heading into fiscal 2022.”
The company has 6,24,000 employees and has over 2 lakh employees in India. The new bookings in the August quarter were $15 billion and a record $59.3 billion for the full year, 20 percent more than that of FY20. For the fiscal year 2022, Accenture expects revenue growth of 12-15 percent in local currency.
“Our results reflect the dedication and hard work of our 624,000 incredible people, who are laser-focused on creating tangible value for our clients, innovating with our ecosystem, and being the trusted partner of choice on our clients’ transformation journeys,” Sweet said.
Bodes well for Indian IT
The robust results Accenture posted, bodes well for the India IT industry ahead of their second quarter results ending in September 2021. Top Indian IT firms, TCS, Infosys, Wipro and HCL Tech, are looking at double digit growth in FY22 driven by digital.
Since the pandemic, the demand for digital services have increased as enterprises shifted to cloud and moved online to ensure business continuity. This has resulted in a huge demand for such services as companies world over are in different stages of their digital transformation journey.
In a recent interview, N Ganapathy Subramaniam, COO, TCS, said, "Digitisation work is progressing and the way that clients are started to invest, it is happening in multiple waves." This wave, executives, said will continue over the next few years.
Given the huge momentum and if Accenture results are any indication, the industry is confident about achieving double digit growth in FY22.
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