Accenture PLC (ACN)

Free Cash Flow to The Firm (FCFF)

Accenture PLC, FCFF calculation

USD $ in thousands

12 months ended	Aug 31, 2012	Aug 31, 2011	Aug 31, 2010	Aug 31, 2009	Aug 31, 2008	Aug 31, 2007
Net income attributable to Accenture plc	2,553,510	2,277,677	1,780,656	1,589,963	1,691,751	1,243,148
Net income attributable to noncontrolling interests	271,423	275,563	279,803	348,183	505,437	479,909
Net noncash charges	862,912	849,645	1,004,381	1,220,638	791,048	655,218
Change in assets and liabilities, net of acquisitions	569,007	38,854	26,780	1,418	(184,988)	252,290
Net cash provided by operating activities	4,256,852	3,441,739	3,091,620	3,160,202	2,803,248	2,630,565
Interest paid, net of tax	10,637	10,475	9,958	9,718	14,879	14,441
Proceeds from sales of property and equipment	5,977	6,755	3,792	4,665	10,839	14,549
Purchases of property and equipment	(371,974)	(403,714)	(238,215)	(243,455)	(320,368)	(364,371)
Free cash flow to the firm (FCFF)	3,901,492	3,055,255	2,867,155	2,931,130	2,508,598	2,295,184

Item	Description	The company
FCFF	Free cash flow to the firm is the cash flow available to the Accenture PLC's suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made.	Accenture PLC's FCFF increased from 2010 to 2011 and from 2011 to 2012.

Accenture PLC, current EV/FCFF

	Accenture PLC	Industrials
Selected Financial Data (USD $ in thousands)
Enterprise value (EV)	59,179,150
Free cash flow to the firm (FCFF)	3,901,492
Ratio
EV/FCFF	15.17	18.69

If company EV/FCFF is lower then the EV/FCFF of benchmark then company is relatively undervalued.

Otherwise, if company EV/FCFF is higher then the EV/FCFF of benchmark then company is relatively overvalued.

Accenture PLC, EV/FCFF calculation

	Aug 31, 2012	Aug 31, 2011	Aug 31, 2010	Aug 31, 2009	Aug 31, 2008	Aug 31, 2007
Selected Financial Data (USD $ in thousands)
Enterprise value (EV)¹	47,214,325	34,851,959	26,974,461	23,779,391	20,283,662	27,526,617
Free cash flow to the firm (FCFF)²	3,901,492	3,055,255	2,867,155	2,931,130	2,508,598	2,295,184
EV/FCFF, Comparison to Industry
Accenture PLC³	12.10	11.41	9.41	8.11	8.09	11.99
Industry, Industrials	17.48	17.15	16.37	13.45	10.74	–

2012 Calculations

³ EV/FCFF = EV ÷ FCFF
= 47,214,325 ÷ 3,901,492 = 12.10

Ratio	Description	The company
EV/FCFF	Enterprise value to free cash flow to the firm is whole company valuation indicator.	Accenture PLC's EV/FCFF ratio increased from 2010 to 2011 and from 2011 to 2012.