AC

Accenture plc stock research

Nov 30, 2023

FY2024 Q1

Accenture (ACN) Gross Margin — Quarter Ended Nov 30, 2023

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Cost of revenue was stable versus the prior quarter but higher than the year-ago period, while gross margin improved relative to both comparison periods.

Gross margin takeaway

Quarter ended Nov 30, 2023 · FY2024 Q1

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Cost of revenue was stable versus the prior quarter but higher than the year-ago period, while gross margin improved relative to both comparison periods.

  • Gross profit grew faster than revenue, leading to an improved gross margin. The relationship between revenue and cost of revenue shifted favorably compared to both the prior quarter and the year-ago quarter.
  • Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was stable, and gross margin improved. Compared to the same quarter one year earlier, revenue, gross profit, and cost of revenue were all higher, with gross margin also improved.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

33.6%

Gross profit

$5.4B

Revenue

$16.2B

Cost of revenue

$10.8B

Quarter-over-quarter change

+0.2 pts

Year-over-year change

+0.6 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Feb 28, 2023$15.8B$4.8B$11.0B30.6%
May 31, 2023$16.6B$5.5B$11.0B33.4%
Nov 30, 2023$16.2B$5.4B$10.8B33.6%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

May 31, 2023

+0.2 pts

Year-over-year change

Nov 30, 2022

+0.6 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

Gross profit grew faster than revenue, leading to an improved gross margin. The relationship between revenue and cost of revenue shifted favorably compared to both the prior quarter and the year-ago quarter.

Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was stable, and gross margin improved. Compared to the same quarter one year earlier, revenue, gross profit, and cost of revenue were all higher, with gross margin also improved.

Monitor the trend in cost of revenue relative to revenue, as it remained stable sequentially despite higher revenue.