AC

Accenture plc stock research

Feb 28, 2025

FY2025 Q2

Accenture (ACN) Gross Margin — Quarter Ended Feb 28, 2025

Revenue, cost of revenue, and gross profit all decreased from the prior quarter, leading to a gross margin decline. Compared with the same quarter last year, revenue and cost of revenue were higher, while gross profit was slightly higher and gross margin was lower.

Gross margin takeaway

Quarter ended Feb 28, 2025 · FY2025 Q2

Revenue, cost of revenue, and gross profit all decreased from the prior quarter, leading to a gross margin decline. Compared with the same quarter last year, revenue and cost of revenue were higher, while gross profit was slightly higher and gross margin was lower.

  • Gross profit declined more sharply than revenue on a sequential basis, causing gross margin to weaken. On a year-over-year basis, cost of revenue grew faster than revenue, which pressured margin.
  • Compared with the prior quarter, both revenue and gross margin were lower; cost of revenue was slightly lower but gross profit decreased more substantially. Versus the same quarter last year, revenue and cost of revenue were higher, gross profit was slightly higher, and gross margin was lower.

Gross margin snapshot

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

Gross margin

29.9%

Gross profit

$5.0B

Revenue

$16.7B

Cost of revenue

$11.7B

Quarter-over-quarter change

-3.1 pts

Year-over-year change

-1.0 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 29, 2024$15.8B$4.9B$10.9B30.9%
May 31, 2024$16.5B$5.5B$11.0B33.4%
Nov 30, 2024$17.7B$5.8B$11.9B32.9%
Feb 28, 2025$16.7B$5.0B$11.7B29.9%

Quarterly comparisons

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

Previous-quarter change

Nov 30, 2024

-3.1 pts

Year-over-year change

Feb 29, 2024

-1.0 pts

What the margin says

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

Gross profit declined more sharply than revenue on a sequential basis, causing gross margin to weaken. On a year-over-year basis, cost of revenue grew faster than revenue, which pressured margin.

Compared with the prior quarter, both revenue and gross margin were lower; cost of revenue was slightly lower but gross profit decreased more substantially. Versus the same quarter last year, revenue and cost of revenue were higher, gross profit was slightly higher, and gross margin was lower.

Monitor the trajectory of cost of revenue relative to revenue in the coming quarter, as its growth outpace of revenue this quarter narrowed margin.