Analysis of Debt
Total Debt (Carrying Amount)
Accenture PLC, balance sheet: debt
US$ in thousands
Based on: 10-K (reporting date: 2025-08-31), 10-K (reporting date: 2024-08-31), 10-K (reporting date: 2023-08-31), 10-K (reporting date: 2022-08-31), 10-K (reporting date: 2021-08-31), 10-K (reporting date: 2020-08-31).
- Current Portion of Long-Term Debt and Bank Borrowings
- There is a significant increase in the current portion of long-term debt and bank borrowings over the reported periods. The amount rose modestly from 7,820 thousand USD in 2020 to 12,080 thousand USD in 2021, followed by a slight decrease to 9,175 thousand USD in 2022. However, starting in 2023, the amount surged dramatically to 104,810 thousand USD and continued to rise substantially to 946,229 thousand USD in 2024. By 2025, it decreased markedly to 114,484 thousand USD, indicating high volatility and possible refinancing or repayment activities within one year.
- Long-Term Debt, Excluding Current Portion
- The long-term debt excluding the current portion exhibits a general decreasing trend from 54,052 thousand USD in 2020 to 43,093 thousand USD in 2023, representing a gradual reduction in longer-term liabilities during these years. However, this trend reverses sharply with an increase to 78,628 thousand USD in 2024 and a substantial jump to 5,034,169 thousand USD in 2025. This dramatic increase in 2025 suggests new significant long-term borrowings or refinancing that considerably altered the debt structure.
- Total Debt and Bank Borrowings (Carrying Amount)
- Total debt and bank borrowings show an overall increasing trajectory with fluctuations. Beginning at 61,872 thousand USD in 2020 and moving slightly upward to 65,553 thousand USD in 2021, the total debt then decreases to 55,068 thousand USD in 2022. A sharp increase occurs in 2023, reaching 147,903 thousand USD, followed by a considerable jump to 1,024,857 thousand USD in 2024. The most marked increase is evident in 2025 with total debt escalating to 5,148,653 thousand USD. This pattern aligns with the movements in both current and long-term debt components, reflecting significant borrowing activity and possibly a strategic shift in financial leverage.
- Summary
- The data reveals growing leverage over the reported years, with debt levels relatively stable until 2022, followed by steep increases from 2023 onwards. The volatility in the current portion of debt in 2024 and 2025 suggests active management of short-term liabilities. The dramatic rise in long-term debt in 2025 points to significant financing decisions that substantially increased the company's indebtedness. Overall, the patterns indicate a period of relatively low debt followed by aggressive borrowing, which may reflect expansion, acquisition activity, or refinancing strategies.
Total Debt (Fair Value)
| Aug 31, 2025 | |
|---|---|
| Selected Financial Data (US$ in thousands) | |
| Current portion of long-term debt and bank borrowings | 114,484) |
| Senior notes | 5,000,000) |
| Other long-term debt, excluding current portion | 66,943) |
| Total debt and bank borrowings (fair value) | 5,181,427) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 1.01 |
Based on: 10-K (reporting date: 2025-08-31).
Weighted-average Interest Rate on Debt
Weighted-average interest rate for debt: 4.21%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 4.50% | 99,963) | 4,498) | |
| 3.90% | 1,100,000) | 42,900) | |
| 4.05% | 1,200,000) | 48,600) | |
| 4.25% | 1,200,000) | 51,000) | |
| 4.50% | 1,500,000) | 67,500) | |
| Total | 5,099,963) | 214,498) | |
| 4.21% | |||
Based on: 10-K (reporting date: 2025-08-31).
1 US$ in thousands
2 Weighted-average interest rate = 100 × 214,498 ÷ 5,099,963 = 4.21%