Updated March 21st, 2024 at 16:38 IST

Accenture trims fiscal year 2024 revenue forecast amid economic volatility

The new revenue projection for the full year is now expected to grow between 1% cent to 3%, down from the previous estimate of 2% to 5%.

Reported by: Business Desk
Accenture's outlook | Image:Shutterstock

Accenture adjusts outlook: Accenture, an IT services provider, has revised down its revenue forecast for fiscal year 2024 amid economic uncertainty that has led clients to scale back spending on consulting services.

In premarket trading, the company's shares dipped approximately 5 per cent following the announcement.

The new revenue projection for the full year is now expected to grow between 1 per cent to 3 per cent, down from the previous estimate of 2 per cent to 5 per cent.

Accenture has been facing challenges due to sluggish demand for its IT and consulting services, exacerbated by high interest rates and a volatile economic environment causing clients to tighten their budgets.

Analysts note that growth in the industry has slowed down over the past six quarters, following a period of heightened spending during the pandemic.

For the third quarter, Accenture anticipates revenue to fall within the range of $16.25 billion to $16.85 billion, compared to the earlier estimate of $17.01 billion, according to data from LSEG.

(With Reuters Inputs)

Published March 21st, 2024 at 16:38 IST