Accenture plc stock research
FY2024 Q3
Accenture (ACN) Gross Margin — Quarter Ended May 31, 2024
Revenue and cost of revenue both increased from the prior quarter, but the stronger growth in gross profit led to an improved gross margin. Compared to the same quarter last year, gross margin was stable with revenue slightly lower and gross profit unchanged.
Gross margin takeaway
Quarter ended May 31, 2024 · FY2024 Q3
Revenue and cost of revenue both increased from the prior quarter, but the stronger growth in gross profit led to an improved gross margin. Compared to the same quarter last year, gross margin was stable with revenue slightly lower and gross profit unchanged.
- The gross margin improvement was driven by a larger increase in gross profit relative to cost of revenue when compared to the prior quarter.
- Gross margin improved sequentially from the prior quarter (30.9% to 33.4%) and was unchanged from the same quarter a year ago (33.4%). Revenue was higher than the prior quarter but slightly lower than the year-ago quarter.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
33.4%
Gross profit
$5.5B
Revenue
$16.5B
Cost of revenue
$11.0B
Quarter-over-quarter change
+2.5 pts
Year-over-year change
+0.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| May 31, 2023 | $16.6B | $5.5B | $11.0B | 33.4% |
| Nov 30, 2023 | $16.2B | $5.4B | $10.8B | 33.6% |
| Feb 29, 2024 | $15.8B | $4.9B | $10.9B | 30.9% |
| May 31, 2024 | $16.5B | $5.5B | $11.0B | 33.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Feb 29, 2024
+2.5 pts
Year-over-year change
May 31, 2023
+0.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improvement was driven by a larger increase in gross profit relative to cost of revenue when compared to the prior quarter.
Gross margin improved sequentially from the prior quarter (30.9% to 33.4%) and was unchanged from the same quarter a year ago (33.4%). Revenue was higher than the prior quarter but slightly lower than the year-ago quarter.
Monitor whether the slight year-over-year revenue decline persists while margins remain stable.