Shares of Accenture (NYSE: ACN) are trading in the red in after hours trading today following the company's fiscal fourth quarter earnings release and a weaker than expected first quarter forecast.For the quarter, the company reported that it had earnings of 39 cents per share. Excluding a previously disclosed restructuring charge, earnings were in line with analyst estimates for 63 cents per share for the quarter.
During the same period last year the company had earnings of 67 cents per share
Net revenues in the quarter were actually a bit higher than analyst estimates with $5.15 billion. Analysts had been expecting to see quarterly revenues of $5.14 billion.
The company has definitely felt the sting of the recession, but it feels as though its put itself in good shape for the eventual economic recovery.
Looking toward its current fiscal first quarter, the company projected that it would have revenues in the range of $5.3 billion to $5.5 billion. This was under analyst estimates, which had been forecasting that the company would see $5.55 billion in revenues during its first quarter, and has sent shares lower in after hours trading.
The company announced plans to lift its annual dividend to $0.75, which is a 50% increase over its previous annual dividend, and that its Board had approved an additional $4.0 billion of share buyback authority.
The weak outlook has pushed shares down 2% in extended hours trading, which is a bit higher than the stock was a few minutes ago immediately following the earnings release. We will have to wait until the market opens in the morning to see just how much selling comes into the stock.
Nuclear power is on the comeback trail
Apple backs AT&T in continuing spat with Verizon
Closing Bell: The recession is still over, still... do you feel it?
Add your comments