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Table of Contents


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________ 
FORM 10-Q
þ
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the quarterly period ended
May 31, 2019
OR
¨
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the transition period from             to            

Commission File Number: 001-34448

Accenture plc
(Exact name of registrant as specified in its charter)
Ireland
98-0627530
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
1 Grand Canal Square,
Grand Canal Harbour,
Dublin 2, Ireland
(Address of principal executive offices)
(353) (1) 646-2000
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol(s)
Name of each exchange on which registered
Class A ordinary shares, par value $0.0000225 per share
ACN
New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No ¨
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes þ No ¨
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer  þ
Accelerated filer ¨
Non-accelerated filer  ¨
Smaller reporting company  ¨
Emerging growth company  ¨
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No þ
The number of shares of the registrant’s Class A ordinary shares, par value $0.0000225 per share, outstanding as of June 13, 2019 was 671,999,633 (which number includes 34,858,446 issued shares held by the registrant). The number of shares of the registrant’s Class X ordinary shares, par value $0.0000225 per share, outstanding as of June 13, 2019 was 637,146.


Table of Contents


ACCENTURE PLC
INDEX
 
 
 
Page

2

Table of Contents


PART I — FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
ACCENTURE PLC
CONSOLIDATED BALANCE SHEETS
May 31, 2019 and August 31, 2018
(In thousands of U.S. dollars, except share and per share amounts)
 
May 31,
2019
 
August 31,
2018
 
(Unaudited)
 
 
ASSETS
 
 
 
CURRENT ASSETS:
 
 
 
Cash and cash equivalents
$
4,769,158

 
$
5,061,360

Short-term investments
3,338

 
3,192

Receivables and contract assets
8,134,147

 
7,496,368

Other current assets
1,235,017

 
1,024,639

Total current assets
14,141,660

 
13,585,559

NON-CURRENT ASSETS:
 
 
 
Contract assets
19,739

 
23,036

Investments
235,286

 
215,532

Property and equipment, net
1,341,548

 
1,264,020

Goodwill
6,078,816

 
5,383,012

Deferred contract costs
685,605

 
705,124

Deferred income taxes, net
4,222,011

 
2,086,807

Other non-current assets
1,431,695

 
1,185,993

Total non-current assets
14,014,700

 
10,863,524

TOTAL ASSETS
$
28,156,360

 
$
24,449,083

LIABILITIES AND SHAREHOLDERS’ EQUITY
 
 
 
CURRENT LIABILITIES:
 
 
 
Current portion of long-term debt and bank borrowings
$
4,137

 
$
5,337

Accounts payable
1,562,995

 
1,348,802

Deferred revenues
3,255,784

 
2,837,682

Accrued payroll and related benefits
4,461,985

 
4,569,172

Income taxes payable
512,820

 
497,885

Other accrued liabilities
754,266

 
892,873

Total current liabilities
10,551,987

 
10,151,751

NON-CURRENT LIABILITIES:
 
 
 
Long-term debt
19,855

 
19,676

Deferred revenues
571,769

 
618,124

Retirement obligation
1,419,191

 
1,410,656

Deferred income taxes, net
149,196

 
125,729

Income taxes payable
875,850

 
956,836

Other non-current liabilities
425,554

 
441,723

Total non-current liabilities
3,461,415

 
3,572,744

COMMITMENTS AND CONTINGENCIES

 

SHAREHOLDERS’ EQUITY:
 
 
 
Ordinary shares, par value 1.00 euros per share, 40,000 shares authorized and issued as of May 31, 2019 and August 31, 2018
57

 
57

Class A ordinary shares, par value $0.0000225 per share, 20,000,000,000 shares authorized, 671,836,371 and 663,327,677 shares issued as of May 31, 2019 and August 31, 2018, respectively
15

 
15

Class X ordinary shares, par value $0.0000225 per share, 1,000,000,000 shares authorized, 637,146 and 655,521 shares issued and outstanding as of May 31, 2019 and August 31, 2018, respectively

 

Restricted share units
1,195,983

 
1,234,623

Additional paid-in capital
6,059,471

 
4,870,764

Treasury shares, at cost: Ordinary, 40,000 shares as of May 31, 2019 and August 31, 2018; Class A ordinary, 34,640,120 and 24,293,199 shares as of May 31, 2019 and August 31, 2018, respectively
(3,761,010
)
 
(2,116,948
)
Retained earnings
11,709,317

 
7,952,413

Accumulated other comprehensive loss
(1,466,509
)
 
(1,576,171
)
Total Accenture plc shareholders’ equity
13,737,324

 
10,364,753

Noncontrolling interests
405,634

 
359,835

Total shareholders’ equity
14,142,958

 
10,724,588

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY
$
28,156,360

 
$
24,449,083


The accompanying Notes are an integral part of these Consolidated Financial Statements.

3

Table of Contents


ACCENTURE PLC
CONSOLIDATED INCOME STATEMENTS
For the Three and Nine Months Ended May 31, 2019 and 2018
(In thousands of U.S. dollars, except share and per share amounts)
(Unaudited)
 
Three Months Ended
 
Nine Months Ended
 
May 31, 2019
 
May 31, 2018
 
May 31, 2019
 
May 31, 2018
REVENUES:
 
 
 
 
 
 
 
Revenues
$
11,099,688

 
$
10,694,996

 
$
32,159,363

 
$
30,488,547

OPERATING EXPENSES:
 
 
 
 
 
 
 
Cost of services
7,571,390

 
7,362,981

 
22,279,291

 
21,232,839

Sales and marketing
1,184,164

 
1,106,543

 
3,274,216

 
3,106,562

General and administrative costs
626,191

 
590,597

 
1,872,275

 
1,720,051

Total operating expenses
9,381,745

 
9,060,121

 
27,425,782

 
26,059,452

OPERATING INCOME
1,717,943

 
1,634,875

 
4,733,581

 
4,429,095

Interest income
21,402

 
12,687

 
60,114

 
33,582

Interest expense
(5,348
)
 
(5,839
)
 
(15,472
)
 
(14,386
)
Other income (expense), net
(29,690
)
 
(29,165
)
 
(87,178
)
 
(96,812
)
INCOME BEFORE INCOME TAXES
1,704,307

 
1,612,558

 
4,691,045

 
4,351,479

Provision for income taxes
435,658

 
554,417

 
990,352

 
1,185,256

NET INCOME
1,268,649

 
1,058,141

 
3,700,693

 
3,166,223

Net income attributable to noncontrolling interests in Accenture Holdings plc and Accenture Canada Holdings Inc.
(1,676
)
 
(6,997
)
 
(5,213
)
 
(93,531
)
Net income attributable to noncontrolling interests – other
(17,457
)
 
(8,124
)
 
(46,795
)
 
(42,309
)
NET INCOME ATTRIBUTABLE TO ACCENTURE PLC
$
1,249,516

 
$
1,043,020

 
$
3,648,685

 
$
3,030,383

Weighted average Class A ordinary shares:
 
 
 
 
 
 
 
Basic
637,831,341

 
639,217,344

 
638,439,707

 
624,365,464

Diluted
649,297,717

 
654,600,026

 
650,144,931

 
655,739,568

Earnings per Class A ordinary share:
 
 
 
 
 
 
 
Basic
$
1.96

 
$
1.63

 
$
5.72

 
$
4.85

Diluted
$
1.93

 
$
1.60

 
$
5.62

 
$
4.76

Cash dividends per share
$
1.46

 
$
1.33

 
$
2.92

 
$
2.66


The accompanying Notes are an integral part of these Consolidated Financial Statements.

4

Table of Contents


ACCENTURE PLC
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
For the Three and Nine Months Ended May 31, 2019 and 2018
(In thousands of U.S. dollars)
(Unaudited)
 
Three Months Ended
 
Nine Months Ended
 
May 31, 2019
 
May 31, 2018
 
May 31, 2019
 
May 31, 2018
NET INCOME
$
1,268,649

 
$
1,058,141

 
$
3,700,693

 
$
3,166,223

OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX:
 
 
 
 
 
 
 
Foreign currency translation
(102,620
)
 
(230,997
)
 
(69,592
)
 
(136,706
)
Defined benefit plans
5,890

 
(2,683
)
 
32,881

 
11,436

Cash flow hedges
96,382

 
(43,801
)
 
148,036

 
(124,795
)
Investments
(1,148
)
 
46

 
(1,663
)
 
1,148

OTHER COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO ACCENTURE PLC
(1,496
)
 
(277,435
)
 
109,662

 
(248,917
)
Other comprehensive income (loss) attributable to noncontrolling interests
(4,188
)
 
(5,926
)
 
(4,859
)
 
340

COMPREHENSIVE INCOME
$
1,262,965

 
$
774,780

 
$
3,805,496

 
$
2,917,646




 


 
 
 
 
COMPREHENSIVE INCOME ATTRIBUTABLE TO ACCENTURE PLC
$
1,248,020

 
$
765,585

 
$
3,758,347

 
$
2,781,466

Comprehensive income attributable to noncontrolling interests
14,945

 
9,195

 
47,149

 
136,180

COMPREHENSIVE INCOME
$
1,262,965

 
$
774,780

 
$
3,805,496

 
$
2,917,646


The accompanying Notes are an integral part of these Consolidated Financial Statements.


5

Table of Contents


ACCENTURE PLC
CONSOLIDATED SHAREHOLDERS’ EQUITY STATEMENT
For the Three Months Ended May 31, 2019
(In thousands of U.S. dollars and share amounts)
(Unaudited)
 
Ordinary
Shares
 
Class A
Ordinary
Shares
 
Class X
Ordinary
Shares
 
Restricted
Share
Units
 
Additional
Paid-in
Capital
 
Treasury Shares
 
Retained
Earnings
 
Accumulated
Other
Comprehensive
Loss
 
Total
Accenture plc
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Shareholders’
Equity
 
$
 
No.
Shares
 
$
 
No.
Shares
 
$
 
No.
Shares
 
 
 
$
 
No.
Shares
 
 
 
 
 
Balance as of February 28, 2019
$
57

 
40

 
$
15

 
670,313

 
$

 
651

 
$
954,613

 
$
5,783,062

 
$
(3,357,665
)
 
(32,439
)
 
$
11,421,964

 
$
(1,465,013
)
 
$
13,337,033

 
$
391,512

 
$
13,728,545

Net income
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,249,516

 
 
 
1,249,516

 
19,133

 
1,268,649

Other comprehensive income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1,496
)
 
(1,496
)
 
(4,188
)
 
(5,684
)
Purchases of Class A shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
568

 
(485,625
)
 
(2,792
)
 
 
 
 
 
(485,057
)
 
(568
)
 
(485,625
)
Share-based compensation expense
 
 
 
 
 
 
 
 
 
 
 
 
226,158

 
37,516

 
 
 
 
 
 
 
 
 
263,674

 
 
 
263,674

Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares
 
 
 
 
 
 
 
 
 
 
(14
)
 
 
 
(2,829
)
 
 
 
 
 
 
 
 
 
(2,829
)
 
 
 
(2,829
)
Issuances of Class A shares for employee share programs
 
 
 
 
 
 
1,523

 
 
 
 
 
(16,437
)
 
242,228

 
82,280

 
551

 
(249
)
 
 
 
307,822

 
355

 
308,177

Dividends
 
 
 
 
 
 
 
 
 
 
 
 
31,649

 
 
 
 
 
 
 
(961,914
)
 
 
 
(930,265
)
 
(1,250
)
 
(931,515
)
Other, net
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1,074
)
 
 
 
 
 
 
 
 
 
(1,074
)
 
640

 
(434
)
Balance as of May 31, 2019
$
57

 
40

 
$
15

 
671,836

 
$

 
637

 
$
1,195,983

 
$
6,059,471

 
$
(3,761,010
)
 
(34,680
)
 
$
11,709,317

 
$
(1,466,509
)
 
$
13,737,324

 
$
405,634

 
$
14,142,958

The accompanying Notes are an integral part of these Consolidated Financial Statements.


6

Table of Contents


ACCENTURE PLC
CONSOLIDATED SHAREHOLDERS’ EQUITY STATEMENT
For the Three Months Ended May 31, 2018
(In thousands of U.S. dollars and share amounts)
(Unaudited)
 
Ordinary
Shares
 
Class A
Ordinary
Shares
 
Class X
Ordinary
Shares
 
Restricted
Share
Units
 
Additional
Paid-in
Capital
 
Treasury Shares
 
Retained
Earnings
 
Accumulated
Other
Comprehensive
Loss
 
Total
Accenture plc
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Shareholders’
Equity
 
$
 
No.
Shares
 
$
 
No.
Shares
 
$
 
No.
Shares
 
 
 
$
 
No.
Shares
 
 
 
 
 
Balance as of February 28, 2018
$
57

 
40

 
$
14

 
646,634

 
$

 
19,719

 
$
884,982

 
$
4,266,838

 
$
(2,552,028
)
 
(28,913
)
 
$
8,149,090

 
$
(1,066,266
)
 
$
9,682,687

 
$
755,739

 
$
10,438,426

Net income
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,043,020

 
 
 
1,043,020

 
15,121

 
1,058,141

Other comprehensive income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(277,435
)
 
(277,435
)
 
(5,926
)
 
(283,361
)
Purchases of Class A ordinary shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
965

 
(719,873
)
 
(4,687
)
 
 
 
 
 
(718,908
)
 
(965
)
 
(719,873
)
Share-based compensation expense
 
 
 
 
 
 
 
 
 
 
 
 
211,739

 
34,161

 
 
 
 
 
 
 
 
 
245,900

 
 
 
245,900

Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(312
)
 
 
 
 
 
 
 
 
 
(312
)
 
 
 
(312
)
Issuances of Class A ordinary shares:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Employee share programs
 
 
 
 
 
 
1,674

 
 
 
 
 
(15,157
)
 
227,497

 
70,889

 
587

 
 
 
 
 
283,229

 
376

 
283,605

Upon redemption of Accenture Holdings plc ordinary shares
 
 
 
 
1

 
25,554

 
 
 
(19,054
)
 
 
 
404,911

 
 
 
 
 
 
 
 
 
404,912

 
(404,912
)
 
 
Dividends
 
 
 
 
 
 
 
 
 
 
 
 
29,387

 
 
 
 
 
 
 
(883,218
)
 
 
 
(853,831
)
 
(1,279
)
 
(855,110
)
Other, net
 
 
 
 
 
 
 
 
 
 
 
 
 
 
125

 
 
 
 
 
(12,062
)
 
 
 
(11,937
)
 
(2,743
)
 
(14,680
)
Balance as of May 31, 2018
$
57

 
40

 
$
15

 
673,862

 
$

 
665

 
$
1,110,951

 
$
4,934,185

 
$
(3,201,012
)
 
(33,013
)
 
$
8,296,830

 
$
(1,343,701
)
 
$
9,797,325

 
$
355,411

 
$
10,152,736

The accompanying Notes are an integral part of these Consolidated Financial Statements.


7

Table of Contents


ACCENTURE PLC
CONSOLIDATED SHAREHOLDERS’ EQUITY STATEMENT
For the Nine Months Ended May 31, 2019
(In thousands of U.S. dollars and share amounts)
(Unaudited)
 
Ordinary
Shares
 
Class A
Ordinary
Shares
 
Class X
Ordinary
Shares
 
Restricted
Share
Units
 
Additional
Paid-in
Capital
 
Treasury Shares
 
Retained
Earnings
 
Accumulated
Other
Comprehensive
Loss
 
Total
Accenture plc
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Shareholders’
Equity
 
$
 
No.
Shares
 
$
 
No.
Shares
 
$
 
No.
Shares
 
 
 
$
 
No.
Shares
 
 
 
 
 
Balance as of August 31, 2018
$
57

 
40

 
$
15

 
663,328

 
$

 
656

 
$
1,234,623

 
$
4,870,764

 
$
(2,116,948
)
 
(24,333
)
 
$
7,952,413

 
$
(1,576,171
)
 
$
10,364,753

 
$
359,835

 
$
10,724,588

Cumulative effect adjustment
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,134,818

 
 
 
2,134,818

 
3,158

 
2,137,976

Net income
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3,648,685

 
 
 
3,648,685

 
52,008

 
3,700,693

Other comprehensive income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
109,662

 
109,662

 
(4,859
)
 
104,803

Purchases of Class A shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,841

 
(2,268,189
)
 
(14,316
)
 
 
 
 
 
(2,265,348
)
 
(2,841
)
 
(2,268,189
)
Share-based compensation expense
 
 
 
 
 
 
 
 
 
 
 
 
787,633

 
69,319

 
 
 
 
 
 
 
 
 
856,952

 
 
 
856,952

Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares
 
 
 
 
 
 
 
 
 
 
(19
)
 
 
 
(16,399
)
 
 
 
 
 
 
 
 
 
(16,399
)
 
 
 
(16,399
)
Issuances of Class A shares for employee share programs
 
 
 
 
 
 
8,508

 
 
 
 
 
(884,308
)
 
1,134,959

 
624,127

 
3,969

 
(121,250
)
 
 
 
753,528

 
926

 
754,454

Dividends
 
 
 
 
 
 
 
 
 
 
 
 
58,035

 
 
 
 
 
 
 
(1,919,760
)
 
 
 
(1,861,725
)
 
(2,628
)
 
(1,864,353
)
Other, net
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(2,013
)
 
 
 
 
 
14,411

 
 
 
12,398

 
35

 
12,433

Balance as of May 31, 2019
$
57

 
40

 
$
15

 
671,836

 
$

 
637

 
$
1,195,983

 
$
6,059,471

 
$
(3,761,010
)
 
(34,680
)
 
$
11,709,317

 
$
(1,466,509
)
 
$
13,737,324

 
$
405,634

 
$
14,142,958

The accompanying Notes are an integral part of these Consolidated Financial Statements.



8

Table of Contents


ACCENTURE PLC
CONSOLIDATED SHAREHOLDERS’ EQUITY STATEMENT
For the Nine Months Ended May 31, 2018
(In thousands of U.S. dollars and share amounts)
(Unaudited)
 
Ordinary
Shares
 
Class A
Ordinary
Shares
 
Class X
Ordinary
Shares
 
Restricted
Share
Units
 
Additional
Paid-in
Capital
 
Treasury Shares
 
Retained
Earnings
 
Accumulated
Other
Comprehensive
Loss
 
Total
Accenture plc
Shareholders’
Equity
 
Noncontrolling
Interests
 
Total
Shareholders’
Equity
 
$
 
No.
Shares
 
$
 
No.
Shares
 
$
 
No.
Shares
 
 
 
$
 
No.
Shares
 
 
 
 
 
Balance as of August 31, 2017
$
57

 
40

 
$
14

 
638,966

 
$

 
20,531

 
$
1,095,026

 
$
3,516,399

 
$
(1,649,090
)
 
(23,449
)
 
$
7,081,855

 
$
(1,094,784
)
 
$
8,949,477

 
$
760,723

 
$
9,710,200

Net income
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3,030,383

 
 
 
3,030,383

 
135,840

 
3,166,223

Other comprehensive income (loss)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(248,917
)
 
(248,917
)
 
340

 
(248,577
)
Purchases of Class A ordinary shares
 
 
 
 
 
 
 
 
 
 
 
 
 
 
49,029

 
(2,004,114
)
 
(13,337
)
 
 
 
 
 
(1,955,085
)
 
(49,029
)
 
(2,004,114
)
Share-based compensation expense
 
 
 
 
 
 
 
 
 
 
 
 
688,719

 
63,107

 
 
 
 
 
 
 
 
 
751,826

 
 
 
751,826

Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares
 
 
 
 
 
 
 
 
 
 
(812
)
 
 
 
(78,318
)
 
 
 
 
 
 
 
 
 
(78,318
)
 
(4,838
)
 
(83,156
)
Issuances of Class A ordinary shares:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Employee share programs
 
 
 
 
 
 
8,990

 
 
 
 
 
(729,020
)
 
997,725

 
452,192

 
3,773

 
(68,656
)
 
 
 
652,241

 
14,589

 
666,830

Upon redemption of Accenture Holdings plc ordinary shares
 
 
 
 
1

 
25,906

 
 
 
(19,054
)
 
 
 
408,652

 
 
 
 
 
 
 
 
 
408,653

 
(408,653
)
 

Dividends
 
 
 
 
 
 
 
 
 
 
 
 
56,226

 
 
 
 
 
 
 
(1,727,298
)
 
 
 
(1,671,072
)
 
(37,652
)
 
(1,708,724
)
Other, net
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(22,409
)
 
 
 
 
 
(19,454
)
 
 
 
(41,863
)
 
(55,909
)
 
(97,772
)
Balance as of May 31, 2018
$
57

 
40

 
$
15

 
673,862

 
$

 
665

 
$
1,110,951

 
$
4,934,185

 
$
(3,201,012
)
 
(33,013
)
 
$
8,296,830

 
$
(1,343,701
)
 
$
9,797,325

 
$
355,411

 
$
10,152,736

The accompanying Notes are an integral part of these Consolidated Financial Statements.


9

Table of Contents


ACCENTURE PLC
CONSOLIDATED CASH FLOWS STATEMENTS
For the Nine Months Ended May 31, 2019 and 2018
(In thousands of U.S. dollars)
(Unaudited)
 
May 31, 2019
 
May 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:
 
 
 
Net income
$
3,700,693

 
$
3,166,223

Adjustments to reconcile Net income to Net cash provided by (used in) operating activities —
 
 
 
Depreciation, amortization and asset impairments
652,592

 
691,686

Share-based compensation expense
856,952

 
751,826

Deferred income taxes, net
(47,130
)
 
(75,985
)
Other, net
(85,725
)
 
44,135

Change in assets and liabilities, net of acquisitions —
 
 
 
Receivables and contract assets, current and non-current
(493,733
)
 
(652,315
)
Other current and non-current assets
(373,142
)
 
(241,979
)
Accounts payable
94,144

 
(132,607
)
Deferred revenues, current and non-current
342,633

 
85,853

Accrued payroll and related benefits
(67,970
)
 
7,469

Income taxes payable, current and non-current
(52,518
)
 
100,939

Other current and non-current liabilities
(16,096
)
 
172,188

Net cash provided by (used in) operating activities
4,510,700

 
3,917,433

CASH FLOWS FROM INVESTING ACTIVITIES:
 
 
 
Purchases of property and equipment
(357,749
)
 
(439,804
)
Purchases of businesses and investments, net of cash acquired
(1,055,915
)
 
(456,402
)
Proceeds from sales of businesses and investments, net of cash transferred
27,915

 
14,325

Other investing, net
6,041

 
7,245

Net cash provided by (used in) investing activities
(1,379,708
)
 
(874,636
)
CASH FLOWS FROM FINANCING ACTIVITIES:
 
 
 
Proceeds from issuance of ordinary shares
754,453

 
666,830

Purchases of shares
(2,284,587
)
 
(2,087,270
)
Proceeds from (repayments of) long-term debt, net
(983
)
 
(456
)
Cash dividends paid
(1,864,353
)
 
(1,708,724
)
Other, net
(20,683
)
 
(47,792
)
Net cash provided by (used in) financing activities
(3,416,153
)
 
(3,177,412
)
Effect of exchange rate changes on cash and cash equivalents
(7,041
)
 
(63,400
)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
(292,202
)
 
(198,015
)