Accenture PLC (NYSE:ACN)

Current Assets

The current assets exhibited consistent growth from August 31, 2019 to August 31, 2023, increasing from 15,450,601 thousand US dollars to 23,381,931 thousand US dollars. This reflects a steady accumulation of short-term assets over the four-year period. However, in the subsequent year ending August 31, 2024, there was a noticeable decline to 20,857,781 thousand US dollars, indicating a reduction in liquid or short-term holdings.

Adjusted Current Assets

Adjusted current assets followed a trend very similar to current assets, rising consistently from 15,496,139 thousand US dollars in 2019 to a peak of 23,408,274 thousand US dollars in 2023. This was followed by a decline to 20,885,342 thousand US dollars in 2024. The parallel movements suggest that adjustments made to current assets do not significantly alter the overall asset trend but do reflect the underlying decrease in asset value during the last reported period.

Overall Trends and Insights

The data indicates a sustained increase in both current and adjusted current assets over a four-year horizon, implying an expansion or accumulation of short-term resources. The decline in the final year may point to asset reallocation, utilization, or a tactical shift in asset management. It is notable that the adjusted figures closely track the unadjusted figures, confirming the consistency of the asset base trend.

Total Assets

The total assets have shown a consistent upward trend over the six-year period from August 31, 2019, to August 31, 2024. Starting from approximately 29.79 billion USD in 2019, total assets increased to about 37.08 billion USD in 2020, marking a significant rise. This growth continued steadily through the subsequent years, reaching approximately 43.18 billion USD in 2021, 47.26 billion USD in 2022, 51.25 billion USD in 2023, and culminating at around 55.93 billion USD by 2024. The data indicates robust asset growth year-over-year, reflecting possible expansion or asset acquisition activities.

Adjusted Total Assets

Adjusted total assets also demonstrate a general upward movement across the same timeframe. The values rose from roughly 29.33 billion USD in 2019 to 32.97 billion USD in 2020, representing an increase, though the growth is less pronounced than in total assets during that year. Subsequently, adjusted total assets increased to approximately 39.20 billion USD in 2021, 43.29 billion USD in 2022, 47.12 billion USD in 2023, and reached about 51.81 billion USD in 2024. While the trend mirrors that of total assets, adjusted total assets consistently show somewhat lower values, which may reflect adjustments for certain asset components or valuation bases.

Comparative Insights

Both total and adjusted total assets have shown steady growth, indicating overall expansion of the asset base. The difference between total assets and adjusted total assets generally widens over time but remains relatively stable in proportional terms. This suggests that the adjustments applied to total assets maintain a consistent relationship with gross asset values, implying stable asset quality or consistent accounting treatments over the years analyzed.

Current Liabilities

The current liabilities have shown a consistent upward trend over the six-year period. Starting from approximately 11.1 billion USD in August 2019, the figure rose steadily each year, reaching nearly 19.0 billion USD by August 2024. This represents an overall increase of around 71% over the period, indicating a significant growth in obligations due within the short term.

Adjusted Current Liabilities

Adjusted current liabilities also displayed a similar rising trend but at a somewhat moderated pace compared to total current liabilities. Beginning at about 7.9 billion USD in August 2019, these liabilities increased steadily to approximately 13.8 billion USD by August 2024. This suggests an increase of nearly 75% over the six years, highlighting ongoing expansion while possibly accounting for certain adjustments that may filter out more volatile or non-operational short-term liabilities.

Comparative Analysis and Insights

Both current and adjusted current liabilities have increased significantly, showing an expanding short-term financial obligation profile. The adjusted liabilities are consistently lower than the total current liabilities, suggesting that some portion of the current liabilities may be excluded in this adjusted figure, likely for more conservative or normalized accounting purposes. The faster growth in adjusted liabilities compared to the base figures post-2020 could imply a change or refinement in how liabilities are adjusted or classified. Overall, the data reflect increasing short-term financial commitments, which may affect liquidity management and working capital strategies in the upcoming periods.

Over the six-year period ending August 31, 2024, total liabilities demonstrate a consistent upward trend with some fluctuations in growth rate. Starting from approximately 14.96 billion US dollars in 2019, total liabilities increased significantly to about 19.58 billion in 2020. This upward momentum continued in the subsequent years, reaching approximately 23.08 billion in 2021 and 24.52 billion in 2022. The growth rate then moderated slightly, showing a smaller increase to 24.79 billion in 2023, followed by a more marked rise to 26.76 billion in 2024.

When adjusted total liabilities are considered, the increase from 2019 to 2020 is considerably less pronounced than total liabilities, rising from roughly 14.91 billion to 15.07 billion US dollars. From 2020 onward, adjusted total liabilities consistently climbed to 17.91 billion in 2021 and then to 19.01 billion in 2022. There is a slight decrease in adjusted total liabilities from 2022 to 2023, dropping marginally to 18.83 billion, which may indicate some adjustments or recalibrations in the liabilities. However, adjusted total liabilities rebound in 2024, increasing to approximately 20.52 billion US dollars, continuing the overall upward trend.

In summary, both total and adjusted liabilities have generally increased over the period analyzed, reflecting growing obligations or financial leverage. Adjusted liabilities show a more moderate and smoother upward path with a minor dip in 2023, suggesting that certain liabilities were adjusted or reclassified over time. The discrepancy between total and adjusted liabilities highlights the importance of adjustments for a clearer understanding of the company's financial obligations.

Total liabilities:

Consistent growth with some variability in the increase rate; notable rise in 2020 and 2024.

Adjusted total liabilities:

Moderate and steady increase overall with a slight decline in 2023, suggesting adjustments have impacted reported figures.

Insight:

Adjusted liabilities provide a refined view of obligations, indicating the effect of accounting practices or reclassifications on reported liabilities trends.

Total Accenture plc shareholders’ equity

There is a consistent upward trend in total shareholders’ equity over the six-year period from August 31, 2019, to August 31, 2024. The value increased from approximately 14.4 billion US dollars in 2019 to around 28.3 billion US dollars in 2024. This represents almost a doubling of the equity value, indicating strong growth and accumulation of shareholder value over time.

Adjusted total shareholders’ equity

The adjusted total shareholders’ equity also shows a steady and significant increase throughout the period. Starting at roughly 14.4 billion US dollars in 2019, it rises to over 31.2 billion US dollars by 2024. This adjusted metric consistently remains higher than the reported total shareholders’ equity each year, with the gap widening over time. The increase in adjusted equity is even more pronounced than the increase in total equity, suggesting adjustments for items such as unrealized gains, intangible assets, or other factors that enhance the core equity position as perceived internally or under certain accounting adjustments.

Overall trends and insights

The upward trajectory in both total and adjusted shareholders’ equity indicates positive financial health and profitability trends. The approximately twofold increase in equity over five years suggests sustained earnings retention and possibly capital infusions or revaluation gains. The growing differential between adjusted and total equity implies that factors included in the adjustment are becoming more significant over time, which may warrant further review to understand the nature and impact of these adjustments on the company’s financial standing.

The data reveals several notable trends in the financial structure over the six-year period.

Total reported debt

This figure exhibits considerable volatility, with a sharp increase from 22,658 thousand in 2019 to 61,872 thousand in 2020, followed by a gradual rise and a significant spike to 1,024,857 thousand in 2024. Such a substantial increase in reported debt in the final year suggests a major financing activity or issuance of debt instruments.

Total Accenture plc shareholders’ equity

There is a consistent and strong upward trajectory in shareholders' equity, increasing steadily from 14,409,008 thousand in 2019 to 28,288,646 thousand in 2024. This growth indicates sustained profitability and/or retained earnings accumulation, strengthening the equity base over time.

Total reported capital

Total reported capital, combining debt and equity, mirrors the equity growth pattern but with an increasing influence of debt in the final years. The ratio between equity and total capital remains weighted towards equity but the rise in debt in 2023 and especially 2024 impacts the overall composition.

Adjusted total debt

Adjusted total debt shows a declining trend from 3,862,214 thousand in 2019 to 3,149,034 thousand in 2023, reflecting debt reduction or refinancing efforts. However, 2024 shows a notable increase to 4,120,549 thousand, echoing the rise seen in total reported debt, though at a lower scale than the raw debt figure.

Adjusted total shareholders’ equity

Adjusted shareholders' equity consistently rises from 14,411,056 thousand in 2019 to 31,293,172 thousand in 2024, maintaining a steady growth that outpaces increases in adjusted debt. This suggests an improvement in net value after adjustments, likely reflecting strong operational performance and equity enhancements.

Adjusted total capital

The adjusted total capital rises steadily over the period, from 18,273,270 thousand in 2019 to 35,413,721 thousand in 2024. This steady increase reflects both the accumulation of equity and controlled levels of debt, except for the jump in 2024. The overall growth indicates expanding resources available to the company.

In summary, the entity appears to be strengthening its equity base consistently, underpinning financial stability and growth. While debt levels generally decreased or stabilized, the marked increase in reported and adjusted debt in 2024 calls for further scrutiny, as it may affect leverage ratios and financial risk profile. The capital structure remains predominantly equity-driven, with the equity portion growing at a more rapid pace than debt in adjusted terms, but the large debt increase in the latest period is a significant development requiring analysis of its causes and implications.

Revenue Trends

Over the period from August 31, 2019, to August 31, 2024, the revenues have exhibited a consistent upward trajectory. The initial revenue of approximately 43.2 billion US dollars increased to around 64.9 billion US dollars by 2024, indicating a steady growth in the company’s top line.

Between 2019 and 2020, revenue grew modestly by about 2.6%, followed by a more substantial increase of approximately 14% in the subsequent year. The upward trend accelerated further in 2022 with revenues nearing 61.6 billion US dollars, marking a year-over-year growth exceeding 20%.

From 2022 onward, the pace of revenue growth moderated but remained positive, with increases of approximately 4% and then a slower advance of around 1.2% in the final reported year.

Adjusted Revenues Trends

Adjusted revenues closely mirror the reported revenues over the entire timeframe, starting at roughly 43.5 billion US dollars in 2019 and reaching about 65.2 billion US dollars by 2024. This suggests that the adjustments made to revenues have a consistent basis, with no large anomalies or restatements affecting comparability.

The growth pattern in adjusted revenues also aligns with the trends seen in the reported revenues. The largest leaps are observed during the 2020 to 2022 period, indicating possibly favorable operational or market conditions during these years.

Overall Insights

The company demonstrates persistent revenue growth throughout the six-year period, underscoring a robust and expanding business model. The higher growth rates in the mid-period suggest successful strategic initiatives or market expansion during those years.

The convergence of adjusted revenues with reported revenues indicates stable reporting standards and reliable revenue recognition practices, which supports the consistency of financial performance assessment.

Net income attributable to Accenture plc

Over the six-year period from August 31, 2019, to August 31, 2024, net income demonstrates a generally upward trend. Starting at approximately 4.78 billion USD in 2019, net income increased steadily each year, peaking at around 6.88 billion USD in 2022. Although there was a slight decline in 2023 to approximately 6.87 billion USD, net income rebounded in 2024 to about 7.26 billion USD. This overall growth suggests a strong profitability trajectory despite minor fluctuations.

Adjusted net income

Adjusted net income shows a somewhat more volatile pattern compared to net income attributable. Beginning slightly below 4.77 billion USD in 2019, adjusted net income increased sharply in 2020 to approximately 6.22 billion USD, continuing to rise to around 6.79 billion USD in 2021. However, it declined notably in 2022 to about 6.22 billion USD, followed by a significant recovery and peak at 7.57 billion USD in 2023. The upward momentum continued in 2024, reaching nearly 7.77 billion USD. This variation may reflect adjustments for non-recurring items or other accounting considerations affecting reported profitability.

Comparative insights

Both net income and adjusted net income demonstrate strong overall growth trends from 2019 through 2024. Adjusted net income generally registers higher values than net income attributable, particularly from 2020 onwards, indicating the impact of adjustments. The fluctuations within adjusted net income may reflect changes in operational or financial circumstances affecting adjustments. The data suggests robust financial performance, with an emphasis on stable income growth, while accounting adjustments introduce more year-to-year variability.