Accenture PLC (NYSE:ACN) shares lost almost 6% just before Thursday’s opening bell after the IT services provider slashed its fiscal 2024 revenue forecast.
It now expects revenue growth in the range of 1% to 3%, compared to its earlier expectation of 2% to 5%.
It also revised its profit expectations, now forecasting adjusted earnings per share (EPS) in the range of $11.97 to $12.20, compared to earlier forecasts of 411.97 to $12.32.
Wall Street analysts had projected full-year revenue growth of 3.1% to $66.1 billion and EPS of $12.20.
Also weighing on the stock were its mixed fiscal second quarter results.
On revenue, the company narrowly missed estimates of $15.82 billion, reporting revenue of $15.80 billion. This was flat year-over-year and was slightly above the midpoint of the company’s guidance range of $15.40 to $16 billion.
Adjusted EPS, however, was $2.77, up 3% over the year-ago quarter and topping estimates of $2.66.
Accenture shares traded hands down 5.9% at about $358 shortly before the stock market opened on Thursday.