
Accenture's cyber bet fails to halt shares slide

Accenture Plc has gone on a cybersecurity acquisition spree at the same time as it forecast lower-than-expected revenue, which sent its share price plunging. The technology consulting company said it was buying a majority stake in Dragos and 100% of runZero and NetRise for US$4.18 billion (A$5.95 billion). The acquisitions were announced with third-quarter earnings and a downgrade to the full-year revenue outlook. Accenture said it expected revenue growth in the year ended 31 August to be 3-4%, excluding an estimated 1% impact from its United States federal business, compared with 3-5% previously. The firm also raised the lower end of its full year earnings per share (EPS) guidance with diluted EPS to be $13.38-$13.50, a 10-11% increase on the previous year, compared with $13.25-$13.50 (9-11% growth) previously; and adjusted EPS to $13.78-$13.90, a 7-8% increase, versus $13.65-$13.90 (6-8%). Accenture shares (NYSE: CAN) closed $28.19 (18.05%) lower at $127.98, capitalising the company at $78.57 billion on Thursday (Friday AEST). At one stage, they fell as low as $125.60, the lowest level since 2017. The Dublin-based company said the war in Iran reduced revenue in the three months ended 31 May by about $400 mil