10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended November 30, 2022

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 ☑ 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 ☑ 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	☑	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 ☑

The number of shares of the registrant’s Class A ordinary shares, par value $0.0000225 per share, outstanding as of December 6, 2022 was 658,388,513 (which number includes 28,648,371 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 December 6, 2022 was 498,837.

Table of Contents

		Page
Part I.	Financial Information	3
Item 1.	Financial Statements	3
	Consolidated Balance Sheets as of November 30, 2022 (Unaudited) and August 31, 2022	3
	Consolidated Income Statements (Unaudited) for the three months ended November 30, 2022 and 2021	4
	Consolidated Statements of Comprehensive Income (Unaudited) for the three months ended November 30, 2022 and 2021	5
	Consolidated Shareholders’ Equity Statement (Unaudited) for the three months ended November 30, 2022 and 2021	6
	Consolidated Cash Flows Statements (Unaudited) for the three months ended November 30, 2022 and 2021	8
	Notes to Consolidated Financial Statements (Unaudited)	9
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	19
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	29
Item 4.	Controls and Procedures	29
Part II.	Other Information	30
Item 1.	Legal Proceedings	30
Item 1A.	Risk Factors	30
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	30
Item 3.	Defaults Upon Senior Securities	30
Item 4.	Mine Safety Disclosures	31
Item 5.	Other Information	31
Item 6.	Exhibits	31
Signatures		32

Table of Contents	Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts)
ACCENTURE FORM 10-Q		3

Part I — Financial Information

Item 1. Financial Statements

Consolidated Balance Sheets

November 30, 2022 and August 31, 2022

	November 30, 2022		August 31, 2022
ASSETS	(Unaudited)
CURRENT ASSETS:
Cash and cash equivalents	$	5,899,703	$	7,889,833
Short-term investments	4,095		3,973
Receivables and contract assets	12,610,353		11,776,775
Other current assets	2,158,309		1,940,290
Total current assets	20,672,460		21,610,871
NON-CURRENT ASSETS:
Contract assets	68,730		46,844
Investments	324,382		317,972
Property and equipment, net	1,634,074		1,659,140
Lease assets	2,997,162		3,018,535
Goodwill	13,790,686		13,133,293
Deferred contract costs	832,653		807,940
Deferred tax assets	4,029,760		4,001,200
Other non-current assets	2,765,867		2,667,595
Total non-current assets	26,443,314		25,652,519
TOTAL ASSETS	$	47,115,774	$	47,263,390
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES:
Current portion of long-term debt and bank borrowings	$	9,430	$	9,175
Accounts payable	2,417,777		2,559,485
Deferred revenues	4,326,633		4,478,048
Accrued payroll and related benefits	6,872,860		7,611,794
Income taxes payable	694,354		646,471
Lease liabilities	707,863		707,598
Other accrued liabilities	1,431,329		1,510,925
Total current liabilities	16,460,246		17,523,496
NON-CURRENT LIABILITIES:
Long-term debt	45,122		45,893
Deferred revenues	710,017		712,715
Retirement obligation	1,601,619		1,692,152
Deferred tax liabilities	373,006		318,584
Income taxes payable	1,273,738		1,198,139
Lease liabilities	2,537,632		2,563,090
Other non-current liabilities	448,444		462,233
Total non-current liabilities	6,989,578		6,992,806
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS’ EQUITY:
Ordinary shares, par value 1.00 euros per share, 40,000 shares authorized and issued as of November 30, 2022 and August 31, 2022	57		57
Class A ordinary shares, par value $0.0000225 per share, 20,000,000,000 shares authorized, 658,254,655 and 664,561,282 shares issued as of November 30, 2022 and August 31, 2022, respectively	15		15
Class X ordinary shares, par value $0.0000225 per share, 1,000,000,000 shares authorized, 498,837 and 500,837 shares issued and outstanding as of November 30, 2022 and August 31, 2022, respectively	—		—
Restricted share units	2,167,437		2,091,382
Additional paid-in capital	11,051,309		10,679,180
Treasury shares, at cost: Ordinary, 40,000 shares as of November 30, 2022 and August 31, 2022; Class A ordinary, 28,810,376 and 33,393,703 shares as of November 30, 2022 and August 31, 2022, respectively	(5,169,967)		(6,678,037)
Retained earnings	16,981,432		18,203,842
Accumulated other comprehensive loss	(2,055,672)		(2,190,342)
Total Accenture plc shareholders’ equity	22,974,611		22,106,097
Noncontrolling interests	691,339		640,991
Total shareholders’ equity	23,665,950		22,747,088
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	47,115,774	$	47,263,390

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

Table of Contents	Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts)
ACCENTURE FORM 10-Q		4

Consolidated Income Statements

For the Three Months Ended November 30, 2022 and 2021

(Unaudited)

	2022		2021
REVENUES:
Revenues	$	15,747,802	$	14,965,153
OPERATING EXPENSES:
Cost of services	10,561,660		10,048,364
Sales and marketing	1,550,019		1,454,425
General and administrative costs	1,043,023		1,028,070
Total operating expenses	13,154,702		12,530,859
OPERATING INCOME	2,593,100		2,434,294
Interest income	44,705		6,050
Interest expense	(7,280)		(11,183)
Other income (expense), net	(28,907)		(23,029)
INCOME BEFORE INCOME TAXES	2,601,618		2,406,132
Income tax expense	605,318		586,402
NET INCOME	1,996,300		1,819,730
Net income attributable to noncontrolling interests in Accenture Canada Holdings Inc.	(2,085)		(1,934)
Net income attributable to noncontrolling interests – other	(29,265)		(26,772)
NET INCOME ATTRIBUTABLE TO ACCENTURE PLC	$	1,964,950	$	1,791,024
Weighted average Class A ordinary shares:
Basic	630,137,262		632,280,932
Diluted	638,766,821		644,922,661
Earnings per Class A ordinary share:
Basic	$	3.12	$	2.83
Diluted	$	3.08	$	2.78
Cash dividends per share	$	1.12	$	0.97

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

Table of Contents	Consolidated Financial Statements (In thousands of U.S. dollars)
ACCENTURE FORM 10-Q		5

Consolidated Statements of Comprehensive Income

For the Three Months Ended November 30, 2022 and 2021

(Unaudited)

	2022		2021
NET INCOME	$	1,996,300	$	1,819,730
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX:
Foreign currency translation	84,168		(220,763)
Defined benefit plans	91,680		(12,961)
Cash flow hedges	(41,178)		(54,015)
OTHER COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO ACCENTURE PLC	134,670		(287,739)
Other comprehensive income (loss) attributable to noncontrolling interests	2,869		(5,672)
COMPREHENSIVE INCOME	$	2,133,839	$	1,526,319
COMPREHENSIVE INCOME ATTRIBUTABLE TO ACCENTURE PLC	$	2,099,620	$	1,503,285
Comprehensive income attributable to noncontrolling interests	34,219		23,034
COMPREHENSIVE INCOME	$	2,133,839	$	1,526,319

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

Table of Contents	Consolidated Financial Statements (In thousands of U.S. dollars and share amounts)
ACCENTURE FORM 10-Q		6

Consolidated Shareholders’ Equity Statement

For the Three Months Ended November 30, 2022

(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, 2022	$	57	40	$	15	664,561	$	—	501	$	2,091,382	$	10,679,180	$	(6,678,037)	(33,434)	$	18,203,842	$	(2,190,342)	$	22,106,097	$	640,991	$	22,747,088
Net income																	1,964,950				1,964,950		31,350		1,996,300
Other comprehensive income (loss)																			134,670		134,670		2,869		137,539
Purchases of Class A shares												1,304		(1,417,148)		(5,210)					(1,415,844)		(1,304)		(1,417,148)
Cancellation of treasury shares						(8,828)						(175,701)		2,595,281		8,828	(2,419,580)				—				—
Share-based compensation expense										369,494		55,975									425,469				425,469
Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares									(2)			(1,554)									(1,554)				(1,554)
Issuances of Class A shares for employee share programs						2,522				(319,202)		491,630		329,937		966	(37,079)				465,286		421		465,707
Dividends										25,763							(730,701)				(704,938)		(629)		(705,567)
Other, net												475									475		17,641		18,116
Balance as of November 30, 2022	$	57	40	$	15	658,255	$	—	499	$	2,167,437	$	11,051,309	$	(5,169,967)	(28,850)	$	16,981,432	$	(2,055,672)	$	22,974,611	$	691,339	$	23,665,950

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

Table of Contents	Consolidated Financial Statements (In thousands of U.S. dollars and share amounts)
ACCENTURE FORM 10-Q		7

Consolidated Shareholders’ Equity Statement — (continued)

For the Three Months Ended November 30, 2021

(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, 2021	$	57	40	$	15	656,591	$	—	513	$	1,750,784	$	8,617,838	$	(3,408,491)	(24,545)	$	13,988,748	$	(1,419,497)	$	19,529,454	$	567,660	$	20,097,114
Net income																	1,791,024				1,791,024		28,706		1,819,730
Other comprehensive income (loss)																			(287,739)		(287,739)		(5,672)		(293,411)
Purchases of Class A shares												824		(842,842)		(2,435)					(842,018)		(824)		(842,842)
Share-based compensation expense										317,552		48,139									365,691				365,691
Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares									(5)			(2,524)									(2,524)				(2,524)
Issuances of Class A shares for employee share programs						1,742				(163,251)		430,539		171,708		693	(30,260)				408,736		394		409,130
Dividends										26,281							(638,824)				(612,543)		(665)		(613,208)
Other, net												3,118									3,118		(4,140)		(1,022)
Balance as of November 30, 2021	$	57	40	$	15	658,333	$	—	508	$	1,931,366	$	9,097,934	$	(4,079,625)	(26,287)	$	15,110,688	$	(1,707,236)	$	20,353,199	$	585,459	$	20,938,658

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

Table of Contents	Consolidated Financial Statements  (In thousands of U.S. dollars)
ACCENTURE FORM 10-Q		8

Consolidated Cash Flows Statements

For the Three Months Ended November 30, 2022 and 2021

(Unaudited)

	2022		2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	1,996,300	$	1,819,730
Adjustments to reconcile Net income to Net cash provided by (used in) operating activities —
Depreciation, amortization and other	506,229		500,865
Share-based compensation expense	425,469		365,691
Deferred tax expense (benefit)	(54,537)		(30,191)
Other, net	(45,940)		(70,482)
Change in assets and liabilities, net of acquisitions —
Receivables and contract assets, current and non-current	(609,433)		(1,354,195)
Other current and non-current assets	(307,960)		(220,522)
Accounts payable	(202,182)		(58,561)
Deferred revenues, current and non-current	(270,988)		(150,685)
Accrued payroll and related benefits	(771,743)		(276,965)
Income taxes payable, current and non-current	115,187		188,972
Other current and non-current liabilities	(285,004)		(182,786)
Net cash provided by (used in) operating activities	495,398		530,871
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(98,830)		(181,671)
Purchases of businesses and investments, net of cash acquired	(686,460)		(1,735,028)
Proceeds from the sale of businesses and investments, net of cash transferred	596		87
Other investing, net	2,620		4,031
Net cash provided by (used in) investing activities	(782,074)		(1,912,581)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of shares	465,707		409,130
Purchases of shares	(1,418,702)		(845,366)
Proceeds from (repayments of) long-term debt, net	(1,611)		(3,448)
Cash dividends paid	(705,567)		(613,208)
Other financing, net	(16,687)		(16,568)
Net cash provided by (used in) financing activities	(1,676,860)		(1,069,460)
Effect of exchange rate changes on cash and cash equivalents	(26,594)		(79,887)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(1,990,130)		(2,531,057)
CASH AND CASH EQUIVALENTS, beginning of period	7,889,833		8,168,174
CASH AND CASH EQUIVALENTS, end of period	$	5,899,703	$	5,637,117
SUPPLEMENTAL CASH FLOW INFORMATION:
Income taxes paid, net	$	563,526	$	387,161

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

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		9

1. Basis of Presentation

The accompanying unaudited interim Consolidated Financial Statements of Accenture plc and its controlled subsidiary companies have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q and do not include all of the information and note disclosures required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. We use the terms “Accenture,” “we” and “our” in the Notes to Consolidated Financial Statements to refer to Accenture plc and its subsidiaries. These Consolidated Financial Statements should therefore be read in conjunction with the Consolidated Financial Statements and Notes thereto for the fiscal year ended August 31, 2022 included in our Annual Report on Form 10-K filed with the SEC on October 12, 2022.

The accompanying unaudited interim Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that we may undertake in the future, actual results may differ from those estimates. The Consolidated Financial Statements reflect all adjustments of a normal, recurring nature that are, in the opinion of management, necessary for a fair presentation of results for these interim periods. The results of operations for the three months ended November 30, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending August 31, 2023.

Allowance for Credit Losses—Client Receivables and Contract Assets

As of November 30, 2022 and August 31, 2022, the total allowance for credit losses recorded for client receivables and contract assets was $24,617 and $25,786, respectively. The change in the allowance is primarily due to immaterial write-offs and changes in gross client receivables and contract assets.

Investments

All available-for-sale securities and liquid investments with an original maturity greater than three months but less than one year are considered to be Short-term investments. Non-current investments consist of equity securities in publicly-traded and privately-held companies and are accounted for using either the equity or fair value measurement alternative method of accounting (for investments without readily determinable fair values).

Our non-current investments are as follows:

	November 30, 2022		August 31, 2022
Equity method investments	$	166,360	$	164,164
Investments without readily determinable fair values	158,022		153,808
Total non-current investments	$	324,382	$	317,972

For investments in which we can exercise significant influence but do not control, we use the equity method of accounting. Equity method investments are initially recorded at cost and our proportionate share of gains and losses of the investee are included as a component of Other income (expense), net. Our equity method investments consist primarily of an investment in Duck Creek Technologies. As of November 30, 2022, the carrying amount of our investment was $141,960, and the estimated fair value of our approximately 16% ownership was $209,851. We account for the investment under the equity method because we have the ability to influence operations through the combination of our voting power and through other factors, such as representation on the board and our business relationship.

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		10

Depreciation and Amortization

As of November 30, 2022 and August 31, 2022, total accumulated depreciation was $2,575,758 and $2,490,187, respectively. See table below for summary of depreciation on fixed assets, deferred transition amortization, intangible assets amortization and operating lease cost for the three months ended November 30, 2022 and 2021, respectively.

	Three Months Ended
	November 30, 2022		November 30, 2021
Depreciation	$	144,049	$	138,793
Amortization - Deferred transition	70,440		67,206
Amortization - Intangible assets	109,069		102,542
Operating lease cost	180,502		190,242
Other	2,169		2,082
Total depreciation, amortization and other	$	506,229	$	500,865

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		11

2. Revenues

Disaggregation of Revenue

See Note 11 (Segment Reporting) to these Consolidated Financial Statements for our disaggregated revenues.

Remaining Performance Obligations

We had remaining performance obligations of approximately $25 billion and $24 billion as of November 30, 2022 and August 31, 2022, respectively. Our remaining performance obligations represent the amount of transaction price for which work has not been performed and revenue has not been recognized. The majority of our contracts are terminable by the client on short notice with little or no termination penalties, and some without notice. Under Topic 606, only the non-cancelable portion of these contracts is included in our performance obligations. Additionally, our performance obligations only include variable consideration if we assess it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty is resolved. Based on the terms of our contracts, a significant portion of what we consider contract bookings is not included in our remaining performance obligations. We expect to recognize approximately 61% of our remaining performance obligations as of November 30, 2022 as revenue in fiscal 2023, an additional 18% in fiscal 2024, and the balance thereafter.

Contract Estimates

Adjustments in contract estimates related to performance obligations satisfied or partially satisfied in prior periods were immaterial for the three months ended November 30, 2022 and 2021, respectively.

Contract Balances

Deferred transition revenues were $710,017 and $712,715 as of November 30, 2022 and August 31, 2022, respectively, and are included in Non-current deferred revenues. Costs related to these activities are also deferred and are expensed as the services are provided. Deferred transition costs were $832,653 and $807,940 as of November 30, 2022 and August 31, 2022, respectively, and are included in Deferred contract costs. Generally, deferred amounts are protected in the event of early termination of the contract and are monitored regularly for impairment. Impairment losses are recorded when projected remaining undiscounted operating cash flows of the related contract are not sufficient to recover the carrying amount of contract assets.

The following table provides information about the balances of our Receivables and Contract assets, net of allowance, and Contract liabilities (Deferred revenues):

	As of November 30, 2022		As of August 31, 2022
Receivables	$	11,211,048	$	10,484,211
Contract assets (current)	1,399,305		1,292,564
Receivables and contract assets, net of allowance (current)	12,610,353		11,776,775
Contract assets (non-current)	68,730		46,844
Deferred revenues (current)	4,326,633		4,478,048
Deferred revenues (non-current)	710,017		712,715

Changes in the contract asset and liability balances during the three months ended November 30, 2022 were a result of normal business activity and not materially impacted by any other factors.

Revenues recognized during the three months ended November 30, 2022 that were included in Deferred revenues as of August 31, 2022 were $2.5 billion. Revenues recognized during the three months ended November 30, 2021 that were included in Deferred revenues as of August 31, 2021 were $2.5 billion.

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		12

3. Earnings Per Share

Basic and diluted earnings per share are calculated as follows:

	Three Months Ended
	November 30, 2022		November 30, 2021
Basic earnings per share
Net income attributable to Accenture plc	$	1,964,950	$	1,791,024
Basic weighted average Class A ordinary shares	630,137,262		632,280,932
Basic earnings per share	$	3.12	$	2.83
Diluted earnings per share
Net income attributable to Accenture plc	$	1,964,950	$	1,791,024
Net income attributable to noncontrolling interests in Accenture Canada Holdings Inc. (1)	2,085		1,934
Net income for diluted earnings per share calculation	$	1,967,035	$	1,792,958
Basic weighted average Class A ordinary shares	630,137,262		632,280,932
Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1)	668,715		682,916
Diluted effect of employee compensation related to Class A ordinary shares	7,847,787		11,727,163
Diluted effect of share purchase plans related to Class A ordinary shares	113,057		231,650
Diluted weighted average Class A ordinary shares	638,766,821		644,922,661
Diluted earnings per share	$	3.08	$	2.78

(1)Diluted earnings per share assumes the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests - other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares.

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		13

4. Accumulated Other Comprehensive Loss

The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive loss attributable to Accenture plc:

	Three Months Ended
	November 30, 2022		November 30, 2021
Foreign currency translation
Beginning balance	$	(1,852,320)	$	(975,064)
Foreign currency translation	86,984		(227,093)
Income tax benefit (expense)	—		730
Portion attributable to noncontrolling interests	(2,816)		5,600
Foreign currency translation, net of tax	84,168		(220,763)
Ending balance	(1,768,152)		(1,195,827)
Defined benefit plans
Beginning balance	(348,771)		(559,958)
Reclassifications into net periodic pension and              post-retirement expense	126,171		(17,548)
Income tax benefit (expense)	(34,394)		4,573
Portion attributable to noncontrolling interests	(97)		14
Defined benefit plans, net of tax	91,680		(12,961)
Ending balance	(257,091)		(572,919)
Cash flow hedges
Beginning balance	10,749		115,525
Unrealized gain (loss)	(59,879)		(33,108)
Reclassification adjustments into Cost of services	2,606		(27,734)
Income tax benefit (expense)	16,051		6,769
Portion attributable to noncontrolling interests	44		58
Cash flow hedges, net of tax	(41,178)		(54,015)
Ending balance (1)	(30,429)		61,510
Accumulated other comprehensive loss	$	(2,055,672)	$	(1,707,236)

(1)As of November 30, 2022, $15,913 of net unrealized losses related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next twelve months.

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		14

5. Business Combinations

During the three months ended November 30, 2022, we completed individually immaterial acquisitions for total consideration of $684,001, net of cash acquired. The pro forma effects of these acquisitions on our operations were not material.

6. Goodwill and Intangible Assets

Goodwill

The changes in the carrying amount of goodwill by reportable operating segment are as follows:

	August 31, 2022		Additions/ Adjustments		Foreign Currency Translation		November 30, 2022
North America	$	7,744,582	$	176,472	$	(14,740)	$	7,906,314
Europe	4,134,091		151,436		123,001		4,408,528
Growth Markets	1,254,620		242,861		(21,637)		1,475,844
Total	$	13,133,293	$	570,769	$	86,624	$	13,790,686

Goodwill includes immaterial adjustments related to prior period acquisitions.

Intangible Assets

Our definite-lived intangible assets by major asset class are as follows:

	August 31, 2022						November 30, 2022
Intangible Asset Class	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer-related	$	2,498,001	$	(842,056)	$	1,655,945	$	2,637,724	$	(872,216)	$	1,765,508
Technology	283,251		(96,782)		186,469		288,708		(110,107)		178,601
Patents	126,950		(70,745)		56,205		126,385		(70,784)		55,601
Other	62,875		(30,686)		32,189		64,343		(34,039)		30,304
Total	$	2,971,077	$	(1,040,269)	$	1,930,808	$	3,117,160	$	(1,087,146)	$	2,030,014

Total amortization related to our intangible assets was $109,069 and $102,542 for the three months ended November 30, 2022 and 2021. Estimated future amortization related to intangible assets held as of November 30, 2022 is as follows:

Fiscal Year	Estimated Amortization
Remainder of 2023	$	333,744
2024	373,490
2025	339,358
2026	293,457
2027	232,307
Thereafter	457,658
Total	$	2,030,014

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		15

7. Shareholders’ Equity

Cancellation of Treasury Shares

During the three months ended November 30, 2022, we cancelled 8,828,496 Accenture plc Class A ordinary shares that were held as treasury shares and had an aggregate cost of $2,595,281. The effect of the cancellation of these treasury shares was recognized in Class A ordinary shares and Additional paid-in capital with the residual recorded in Retained earnings. There was no effect on total shareholders’ equity as a result of this cancellation.

Dividends

Our dividend activity during the three months ended November 30, 2022 is as follows:

	Dividend Per Share		Accenture plc Class A Ordinary Shares			Accenture Canada Holdings Inc. Exchangeable Shares			Total Cash Outlay
Dividend Payment Date			Record Date	Cash Outlay		Record Date	Cash Outlay
November 15, 2022	$	1.12	October 13, 2022	$	704,938	October 11, 2022	$	629	$	705,567

The payment of cash dividends includes the net effect of $25,763 of additional restricted stock units being issued as a part of our share plans, which resulted in 87,746 restricted share units being issued.

Subsequent Event

On December 15, 2022, the Board of Directors of Accenture plc declared a quarterly cash dividend of $1.12 per share on our Class A ordinary shares for shareholders of record at the close of business on January 12, 2023 payable on February 15, 2023.

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		16

8. Financial Instruments

Derivatives

In the normal course of business, we use derivative financial instruments to manage foreign currency exchange rate risk. Our derivative financial instruments consist of deliverable and non-deliverable foreign currency forward contracts.

Cash Flow Hedges

For a cash flow hedge, the effective portion of the change in estimated fair value of a hedging instrument is recorded in Accumulated other comprehensive loss as a separate component of Shareholders’ Equity and is reclassified into Cost of services in the Consolidated Income Statements during the period in which the hedged transaction is recognized. For information related to derivatives designated as cash flow hedges that were reclassified into Cost of services during the three months ended November 30, 2022 and 2021, as well as those expected to be reclassified into Cost of services in the next 12 months, see Note 4 (Accumulated Other Comprehensive Loss) to these Consolidated Financial Statements.

Other Derivatives

Realized gains or losses and changes in the estimated fair value of foreign currency forward contracts that have not been designated as hedges were net losses of $29,691 and $23,479 for the three months ended November 30, 2022 and 2021, respectively. Gains and losses on these contracts are recorded in Other income (expense), net in the Consolidated Income Statements and are offset by gains and losses on the related hedged items.

Fair Value of Derivative Instruments

The notional and fair values of all derivative instruments are as follows:

	November 30, 2022		August 31, 2022
Assets
Cash Flow Hedges
Other current assets	$	61,110	$	89,867
Other non-current assets	54,177		69,209
Other Derivatives
Other current assets	44,147		8,657
Total assets	$	159,434	$	167,733
Liabilities
Cash Flow Hedges
Other accrued liabilities	$	77,023	$	61,156
Other non-current liabilities	34,649		42,537
Other Derivatives
Other accrued liabilities	5,562		83,792
Total liabilities	$	117,234	$	187,485
Total fair value	$	42,200	$	(19,752)
Total notional value	$	10,646,500	$	11,095,604

We utilize standard counterparty master agreements containing provisions for the netting of certain foreign currency transaction obligations and for the set-off of certain obligations in the event of an insolvency of one of the parties to the transaction. In the Consolidated Balance Sheets, we record derivative assets and liabilities at gross fair value. The potential effect of netting derivative assets against liabilities under the counterparty master agreements is as follows:

	November 30, 2022		August 31, 2022
Net derivative assets	$	90,380	$	140,073
Net derivative liabilities	48,180		159,825
Total fair value	$	42,200	$	(19,752)

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		17

9. Income Taxes

We apply an estimated annual effective tax rate to our year-to-date operating results to determine the interim provision for income tax expense. In addition, we recognize taxes related to unusual or infrequent items or resulting from a change in judgment regarding a position taken in a prior year as discrete items in the interim period in which the event occurs.

Our effective tax rates for the three months ended November 30, 2022 and 2021 were 23.3% and 24.4%, respectively. The lower effective tax rate for the three months ended November 30, 2022 was primarily due to lower tax expense from adjustments to prior year tax liabilities.

10. Commitments and Contingencies

Indemnifications and Guarantees

In the normal course of business and in conjunction with certain client engagements, we have entered into contractual arrangements through which we may be obligated to indemnify clients with respect to certain matters.

As of November 30, 2022 and August 31, 2022, our aggregate potential liability to our clients for expressly limited guarantees involving the performance of third parties was approximately $1,519,000 and $1,349,000, respectively, of which all but approximately $64,000 and $49,000, respectively, may be recovered from the other third parties if we are obligated to make payments to the indemnified parties as a consequence of a performance default by the other third parties. For arrangements with unspecified limitations, we cannot reasonably estimate the aggregate maximum potential liability, as it is inherently difficult to predict the maximum potential amount of such payments, due to the conditional nature and unique facts of each particular arrangement.

As of November 30, 2022 and August 31, 2022, we have issued or provided guarantees in the form of letters of credit and surety bonds of $1,105,624 and $1,116,298, respectively, the majority of which support certain contracts that require us to provide them as a guarantee of our performance. These guarantees are typically renewed annually and remain in place until the contractual obligations are satisfied. In general, we would only be liable for these guarantees in the event we defaulted in performing our obligations under each contract, the probability of which we believe is remote.

To date, we have not been required to make any significant payment under any of the arrangements described above. We have assessed the current status of performance/payment risk related to arrangements with limited guarantees, warranty obligations, unspecified limitations, indemnification provisions, letters of credit and surety bonds, and believe that any potential payments would be immaterial to the Consolidated Financial Statements, as a whole.

Legal Contingencies

As of November 30, 2022, we or our present personnel had been named as a defendant in various litigation matters. We and/or our personnel also from time to time are involved in investigations by various regulatory or legal authorities concerning matters arising in the course of our business around the world. Based on the present status of these matters, management believes the range of reasonably possible losses in addition to amounts accrued, net of insurance recoveries, will not have a material effect on our results of operations or financial condition.

On July 24, 2019, Accenture was named in a putative class action lawsuit filed by consumers of Marriott International, Inc. (“Marriott”) in the U.S. District Court for the District of Maryland. The complaint alleges negligence by us, and seeks monetary damages, costs and attorneys’ fees and other related relief, relating to a data security incident involving unauthorized access to the reservations database of Starwood Worldwide Resorts, Inc. (“Starwood”), which was acquired by Marriott on September 23, 2016. Since 2009, we have provided certain IT infrastructure outsourcing services to Starwood. On October 27, 2020, the court issued an order largely denying Accenture’s motion to dismiss the claims against us. On May 3, 2022, the court issued an order granting in part the plaintiffs’ motion for class certification, which we are appealing. We continue to believe the lawsuit is without merit and we will vigorously defend it. At present, we do not believe any losses from this matter will have a material effect on our results of operations or financial condition.

Table of Contents	Notes To Consolidated Financial Statements (In thousands of U.S. dollars, except share and per share amounts or as otherwise disclosed)
ACCENTURE FORM 10-Q		18

11. Segment Reporting

Our reportable segments are our three geographic markets, which are North America, Europe and Growth Markets. Information regarding reportable segments, industry groups and type of work is as follows:

	Revenues
	Three Months Ended
	November 30, 2022		November 30, 2021
Geographic Markets
North America	$	7,622,820	$	6,907,215
Europe	5,072,050		5,100,068
Growth Markets	3,052,932		2,957,870
Total Revenues	$	15,747,802	$	14,965,153
Industry Groups (1)
Communications, Media & Technology	$	2,980,203	$	2,897,295
Financial Services	2,963,396		2,917,720
Health & Public Service	3,000,019		2,730,034
Products	4,665,788		4,467,897
Resources	2,138,396		1,952,207
Total Revenues	$	15,747,802	$	14,965,153
TYPE OF WORK
Consulting	$	8,444,367	$	8,392,409
Managed Services (2)	7,303,435		6,572,744
Total Revenues	$	15,747,802	$	14,965,153

(1)Effective June 1, 2022, we revised the reporting of our industry groups for the movement of Aerospace & Defense from Communications, Media & Technology to Products. Prior period amounts have been reclassified to conform with the current period presentation.

(2)Previously referred to as our outsourcing business.

	Operating Income
	Three Months Ended
	November 30, 2022		November 30, 2021
Geographic Markets
North America	$	1,309,883	$	1,244,417
Europe	690,000		744,856
Growth Markets	593,217		445,021
Total Operating Income	$	2,593,100	$	2,434,294

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	19

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis should be read in conjunction with our Consolidated Financial Statements and related Notes included elsewhere in this Quarterly Report on Form 10-Q and in our Annual Report on Form 10-K for the year ended August 31, 2022, and with the information under the heading “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the year ended August 31, 2022.

We use the terms “Accenture,” “we,” “our” and “us” in this report to refer to Accenture plc and its subsidiaries. All references to years, unless otherwise noted, refer to our fiscal year, which ends on August 31. For example, a reference to “fiscal 2023” means the 12-month period that will end on August 31, 2023. All references to quarters, unless otherwise noted, refer to the quarters of our fiscal year.

We use the term “in local currency” so that certain financial results may be viewed without the impact of foreign currency exchange rate fluctuations, thereby facilitating period-to-period comparisons of business performance. Financial results “in local currency” are calculated by restating current period activity into U.S. dollars using the comparable prior year period’s foreign currency exchange rates. This approach is used for all results where the functional currency is not the U.S. dollar.

Disclosure Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 (the “Exchange Act”) relating to our operations, results of operations and other matters that are based on our current expectations, estimates, assumptions and projections. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “aspires,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “positioned,” “outlook,” “goal,” “target,” and similar expressions are used to identify these forward-looking statements. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Forward-looking statements are based upon assumptions as to future events that may not prove to be accurate. Actual outcomes and results may differ materially from what is expressed or forecast in these forward-looking statements. Risks, uncertainties and other factors that might cause such differences, some of which could be material, include but are not limited to those identified below.

Business Risks

•Our results of operations have been, and may in the future be, adversely affected by volatile, negative or uncertain economic and political conditions and the effects of these conditions on our clients’ businesses and levels of business activity.

•Our business depends on generating and maintaining client demand for our services and solutions, including through the adaptation and expansion of our services and solutions in response to ongoing changes in technology and offerings, and a significant reduction in such demand or an inability to respond to the evolving technological environment could materially affect our results of operations.

•If we are unable to match people and their skills with client demand around the world and attract and retain professionals with strong leadership skills, our business, the utilization rate of our professionals and our results of operations may be materially adversely affected.

•We face legal, reputational and financial risks from any failure to protect client and/or Accenture data from security incidents or cyberattacks.

•The markets in which we operate are highly competitive, and we might not be able to compete effectively.

•Our ability to attract and retain business and employees may depend on our reputation in the marketplace.

•Our environmental, social and governance (ESG) commitments and disclosures may expose us to reputational risks and legal liability.

•If we do not successfully manage and develop our relationships with key ecosystem partners or if we fail to anticipate and establish new alliances in new technologies, our results of operations could be adversely affected.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	20

Financial Risks

•Our profitability could materially suffer if we are unable to obtain favorable pricing for our services and solutions, if we are unable to remain competitive, if our cost-management strategies are unsuccessful or if we experience delivery inefficiencies or fail to satisfy certain agreed-upon targets or specific service levels.

•Changes in our level of taxes, as well as audits, investigations and tax proceedings, or changes in tax laws or in their interpretation or enforcement, could have a material adverse effect on our effective tax rate, results of operations, cash flows and financial condition.

•Our results of operations could be materially adversely affected by fluctuations in foreign currency exchange rates.

•Changes to accounting standards or in the estimates and assumptions we make in connection with the preparation of our consolidated financial statements could adversely affect our financial results.

Operational Risks

•As a result of our geographically diverse operations and strategy to continue to grow in key markets around the world, we are more susceptible to certain risks.

•If we are unable to manage the organizational challenges associated with our size, we might be unable to achieve our business objectives.

•We might not be successful at acquiring, investing in or integrating businesses, entering into joint ventures or divesting businesses.

Legal and Regulatory Risks

•Our business could be materially adversely affected if we incur legal liability.

•Our global operations expose us to numerous and sometimes conflicting legal and regulatory requirements, and violation of these regulations could harm our business.

•Our work with government clients exposes us to additional risks inherent in the government contracting environment.

•If we are unable to protect or enforce our intellectual property rights, or if our services or solutions infringe upon the intellectual property rights of others or we lose our ability to utilize the intellectual property of others, our business could be adversely affected.

•We are incorporated in Ireland and Irish law differs from the laws in effect in the United States and might afford less protection to our shareholders. We may also be subject to criticism and negative publicity related to our incorporation in Ireland.

For a more detailed discussion of these factors, see the information under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended August 31, 2022. Our forward-looking statements speak only as of the date of this report or as of the date they are made, and we undertake no obligation to update any forward-looking statements.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	21

Overview

Accenture is a leading global professional services company, providing a broad range of services and solutions across Strategy & Consulting, Technology, Operations, Industry X and Song. We serve clients in three geographic markets: North America, Europe and Growth Markets (Asia Pacific, Latin America, Africa and the Middle East). We combine our strength in technology with industry experience, functional expertise and global delivery capability to help the world’s leading businesses, governments and other organizations build their digital core, optimize their operations, accelerate revenue growth and enhance citizen services—creating tangible value at speed and scale.

Our results of operations are affected by economic conditions, including macroeconomic conditions, the overall inflationary environment and levels of business confidence. There continues to be significant economic and geopolitical uncertainty in many markets around the world, which has impacted and may continue to impact our business, particularly with regard to wage inflation and increased volatility in foreign currency exchange rates. In some cases, these conditions have slowed the pace and level of client spending.

Key Metrics

We saw strong demand across our business in the first quarter of fiscal 2023 as our clients continue their digital transformations. Key metrics for the first quarter of fiscal 2023 compared to the first quarter of fiscal 2022 included:

•Revenues of $15.7 billion, representing 5% growth in U.S. dollars and 15% growth in local currency;

•New bookings of $16.2 billion, a decrease of 3% in U.S. dollars and an increase of 6% in local currency;

•Operating margin of 16.5%, a 20 basis point expansion;

•Diluted earnings per share of $3.08, an increase of 11% over $2.78 for the first quarter of fiscal 2022; and

•Cash returned to shareholders of $2.1 billion, including share purchases of $1.4 billion and dividends of $706 million.

Revenues

		Three Months Ended				Percent Increase (Decrease) U.S. Dollars		Percent Increase (Decrease) Local Currency
(in billions of U.S. Dollars)		November 30, 2022		November 30, 2021
Geographic Markets	North America	$	7.6	$	6.9	10	%	11	%
	Europe	5.1		5.1		(1)		17
	Growth Markets	3.1		3.0		3		19
	Total Revenues	$	15.7	$	15.0	5	%	15	%
Industry Groups (1)	Communications, Media & Technology	$	3.0	$	2.9	3	%	11	%
	Financial Services	3.0		2.9		2		13
	Health & Public Service	3.0		2.7		10		15
	Products	4.7		4.5		4		15
	Resources	2.1		2.0		10		21
	Total Revenues	$	15.7	$	15.0	5	%	15	%
Type of Work	Consulting	$	8.4	$	8.4	1	%	10	%
	Managed Services (2)	7.3		6.6		11		20
	Total Revenues	$	15.7	$	15.0	5	%	15	%

Amounts in table may not total due to rounding.

(1)Effective June 1, 2022, we revised the reporting of our industry groups for the movement of Aerospace & Defense from Communications, Media & Technology to Products. Prior period amounts have been reclassified to conform with the current period presentation.

(2)Previously referred to as our outsourcing business.

Revenues for the first quarter of fiscal 2023 increased 5% in U.S. dollars and 15% in local currency compared to the first quarter of fiscal 2022. During the first quarter of fiscal 2023, revenue growth in local currency was very strong across all geographic markets, industry groups and types of work.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	22

In our consulting business, revenues for the first quarter of fiscal 2023 increased 1% in U.S. dollars and 10% in local currency compared to the first quarter of fiscal 2022. Consulting revenue in local currency for the first quarter of fiscal 2023 was driven by very strong growth in Growth Markets and Europe and strong growth in North America. Our consulting revenue continues to be driven by helping our clients accelerate their digital transformation, including moving to the cloud, embedding security across the enterprise and adopting new technologies. In addition, clients continue to be focused on initiatives designed to deliver cost savings and operational efficiency, as well as projects to accelerate growth and improve customer experiences.

In our managed services business, previously referred to as our outsourcing business, revenues for the first quarter of fiscal 2023 increased 11% in U.S. dollars and 20% in local currency compared to the first quarter of fiscal 2022. Managed services revenue in local currency for the first quarter of fiscal 2023 was driven by very strong growth in Growth Markets, Europe and North America. We continue to experience growing demand to assist clients with application modernization and maintenance, cloud enablement and managed security services. In addition, clients continue to be focused on transforming their operations through data and analytics, automation and artificial intelligence to drive productivity and operational cost savings.

As we are a global company, our revenues are denominated in multiple currencies and may be significantly affected by currency exchange rate fluctuations. While a significant portion of our revenues are in U.S. dollars, the majority of our revenues are denominated in other currencies, including the Euro, Japanese yen and U.K. pound. There continues to be volatility in foreign currency exchange rates. Unfavorable fluctuations in foreign currency exchange rates have had and could in the future have a material effect on our financial results. If the U.S. dollar weakens against other currencies, resulting in favorable currency translation, our revenues, revenue growth and results of operations in U.S. dollars may be higher. If the U.S. dollar strengthens against other currencies, resulting in unfavorable currency translation, our revenues, revenue growth and results of operations in U.S. dollars may be lower. The U.S. dollar strengthened significantly against various currencies during the first quarter of fiscal 2023 compared to the first quarter of fiscal 2022, resulting in unfavorable currency translation and U.S. dollar revenue growth that was approximately 9.5% lower than our revenue growth in local currency. Assuming that exchange rates stay within recent ranges for the remainder of fiscal 2023, we estimate that our full fiscal 2023 revenue growth in U.S. dollars will be approximately 5% lower than our revenue growth in local currency.

People Metrics

Utilization	Workforce	Annualized Voluntary Attrition
91%	738,000	13%
compared to 92% in the first quarter of fiscal 2022	compared to approximately 674,000 as of November 30, 2021	compared to 17% in the first quarter of fiscal 2022

Utilization for the first quarter of fiscal 2023 was 91%, compared to 92% in the first quarter of fiscal 2022. We hire to meet current and projected future demand. We proactively plan and manage the size and composition of our workforce and take actions as needed to address changes in the anticipated demand for our services and solutions, given that compensation costs are the most significant portion of our operating expenses. Our workforce, the majority of which serves our clients, increased to approximately 738,000 as of November 30, 2022, compared to approximately 674,000 as of November 30, 2021. The year-over-year increase in our workforce reflects demand for our services and solutions, as well as people added in connection with acquisitions.

For the first quarter of fiscal 2023, attrition, excluding involuntary terminations, was 13%, down from 17% in the first quarter of fiscal 2022. We evaluate voluntary attrition, adjust levels of new hiring and use involuntary terminations as means to keep our supply of skills and resources in balance with changes in client demand.

In addition, we adjust compensation in order to attract and retain appropriate numbers of qualified employees. For the majority of our people, compensation increases become effective December 1st of each fiscal year. Given the overall inflationary environment, compensation has been and continues to increase faster than in prior years. In the first quarter of fiscal 2023, we have improved pricing, which we define as the contract profitability or margin on the work that we sell, across our business. While we are increasing pricing, as well as changing the mix of people and utilizing technology, the impact of these actions may not fully offset the impact of compensation increases on our margin, potentially resulting in lower contract profitability in the future.

Our ability to grow our revenues and maintain or increase our margin could be adversely affected if we are unable to: match people and skills with the types or amounts of services and solutions clients are demanding; recover or offset increases in compensation; deploy our employees globally on a timely basis; manage attrition; and/or effectively assimilate new employees.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	23

Operating Expenses

The primary categories of operating expenses include Cost of services, Sales and marketing and General and administrative costs. Cost of services is primarily driven by the cost of people serving our clients, which consists mainly of compensation, subcontractor and other payroll costs, and non-payroll costs on managed services contracts. Cost of services includes a variety of activities such as: contract delivery; recruiting and training; software development; and integration of acquisitions. Sales and marketing costs are driven primarily by: compensation costs for business development activities; marketing- and advertising-related activities; and certain acquisition-related costs. General and administrative costs primarily include costs for people that are non-client-facing, information systems, office space and certain acquisition-related costs.

Gross margin (Revenues less Cost of services as a percentage of Revenues) for the first quarter of fiscal 2023 was 32.9%, flat with the first quarter of fiscal 2022. Gross margin for the first quarter of fiscal 2023 was impacted by higher labor costs, including increased compensation costs, offset by a decrease in non-payroll costs compared to the same period in fiscal 2022.

Sales and marketing and General and administrative costs as a percentage of revenues were 16.5% for the first quarter of fiscal 2023, compared with 16.6% for the first quarter of fiscal 2022. For the first quarter of fiscal 2023 compared to the same period in fiscal 2022, Sales and marketing costs increased 10 basis points as a percentage of revenues. For the first quarter of fiscal 2023, compared to the same period in fiscal 2022, General and administrative costs decreased 30 basis points due to lower non-payroll costs as a percentage of revenues.

Operating margin (Operating income as a percentage of Revenues) for the first quarter of fiscal 2023 was 16.5%, compared with 16.3% for the first quarter of fiscal 2022.

New Bookings

	Three Months Ended				Percent Increase (Decrease) U.S. Dollars		Percent  Increase (Decrease) Local Currency
(in billions of U.S. dollars)	November 30, 2022		November 30, 2021
Consulting	$	8.1	$	9.4	(14)	%	(5)	%
Managed Services (1)	8.1		7.4		10		20
Total New Bookings	$	16.2	$	16.8	(3)	%	6	%

(1)Previously referred to as our outsourcing business.

We provide information regarding our new bookings, which include new contracts, including those acquired through acquisitions, as well as renewals, extensions and changes to existing contracts, because we believe doing so provides useful trend information regarding changes in the volume of our new business over time. New bookings can vary significantly quarter to quarter depending in part on the timing of the signing of a small number of large managed services contracts. The types of services and solutions clients are demanding and the pace and level of their spending may impact the conversion of new bookings to revenues. For example, managed services bookings, which are typically for multi-year contracts, generally convert to revenue over a longer period of time compared to consulting bookings.

Information regarding our new bookings is not comparable to, nor should it be substituted for, an analysis of our revenues over time. New bookings involve estimates and judgments. There are no third-party standards or requirements governing the calculation of bookings. We do not update our new bookings for material subsequent terminations or reductions related to bookings originally recorded in prior fiscal years. New bookings are recorded using then-existing foreign currency exchange rates and are not subsequently adjusted for foreign currency exchange rate fluctuations.

The majority of our contracts are terminable by the client on short notice with little or no termination penalties, and some without notice. Only the non-cancelable portion of these contracts is included in our remaining performance obligations disclosed in Note 2 (Revenues) to our Consolidated Financial Statements under Item 1, “Financial Statements.” Accordingly, a significant portion of what we consider contract bookings is not included in our remaining performance obligations.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	24

Results of Operations for the Three Months Ended November 30, 2022 Compared to the Three Months Ended November 30, 2021

Revenues by geographic market, industry group and type of work are as follows:

	Three Months Ended				Percent Increase (Decrease) U.S. Dollars		Percent Increase (Decrease) Local Currency		Percent of Revenues for the Three Months Ended
(in millions of U.S. dollars)	November 30, 2022		November 30, 2021						November 30, 2022		November 30, 2021
Geographic Markets
North America	$	7,623	$	6,907	10	%	11	%	48	%	46	%
Europe	5,072		5,100		(1)		17		32		34
Growth Markets	3,053		2,958		3		19		19		20
Total	$	15,748	$	14,965	5	%	15	%	100	%	100	%
Industry Groups (1)
Communications, Media & Technology	$	2,980	$	2,897	3	%	11	%	19	%	19	%
Financial Services	2,963		2,918		2		13		19		19
Health & Public Service	3,000		2,730		10		15		19		18
Products	4,666		4,468		4		15		30		30
Resources	2,138		1,952		10		21		14		13
Total	$	15,748	$	14,965	5	%	15	%	100	%	100	%
Type of Work
Consulting	$	8,444	$	8,392	1	%	10	%	54	%	56	%
Managed Services (2)	7,303		6,573		11		20		46		44
Total	$	15,748	$	14,965	5	%	15	%	100	%	100	%

Amounts in table may not total due to rounding.

(1)Effective June 1, 2022, we revised the reporting of our industry groups for the movement of Aerospace & Defense from Communications, Media & Technology to Products. Prior period amounts have been reclassified to conform with the current period presentation.

(2)Previously referred to as our outsourcing business.

Revenues

The following revenues commentary discusses local currency revenue changes for the first quarter of fiscal 2023 compared to the first quarter of fiscal 2022:

Geographic Markets

•North America revenues increased 11% in local currency, led by growth in Public Service, Consumer Goods, Retail & Travel Services, Industrial and Health. Revenue growth was driven by the United States.

•Europe revenues increased 17% in local currency, led by growth in Industrial, Banking & Capital Markets and Consumer Goods, Retail & Travel Services. Revenue growth was driven by Germany, the United Kingdom, Italy and France.

•Growth Markets revenues increased 19% in local currency, led by growth in Banking & Capital Markets, Public Service and Chemicals & Natural Resources. Revenue growth was led by Japan.

Operating Expenses

Operating expenses for the first quarter of fiscal 2023 increased $624 million, or 5%, over the first quarter of fiscal 2022, and decreased as a percentage of revenues to 83.5% from 83.7% during this period.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	25

Operating expenses by category are as follows:

	Three Months Ended
(in millions of U.S. dollars)	November 30, 2022				November 30, 2021				Increase (Decrease)
Operating Expenses	$	13,155	83.5	%	$	12,531	83.7	%	$	624
Cost of services	10,562		67.1		10,048		67.1		513
Sales and marketing	1,550		9.8		1,454		9.7		96
General and administrative costs	1,043		6.6		1,028		6.9		15

Amounts in table may not total due to rounding.

Cost of Services

Cost of services for the first quarter of fiscal 2023 increased $513 million, or 5%, over the first quarter of fiscal 2022, and remained flat as a percentage of revenues at 67.1% during this period. Gross margin for the first quarter of fiscal 2023 remained flat as a percentage of revenues at 32.9% compared with the first quarter of fiscal 2022. Gross margin for the first quarter of fiscal 2023 was impacted by higher labor costs, including increased compensation costs, offset by a decrease in non-payroll costs compared to the same period in fiscal 2022.

Sales and Marketing

Sales and marketing expense for the first quarter of fiscal 2023 increased $96 million, or 7%, over the first quarter of fiscal 2022, and increased as a percentage of revenues to 9.8% over 9.7% during this period.

General and Administrative Costs

General and administrative costs for the first quarter of fiscal 2023 increased $15 million, or 1%, over the first quarter of fiscal 2022, and decreased as a percentage of revenues to 6.6% from 6.9% during this period. The decrease was due to lower non-payroll costs as a percentage of revenues compared to the same period in fiscal 2022.

Operating Income and Operating Margin

Operating income for the first quarter of fiscal 2023 increased $159 million, or 7%, over the first quarter of fiscal 2022. Operating margin for the first quarter of fiscal 2023 was 16.5%, compared with 16.3% for the first quarter of fiscal 2022.

Operating income and operating margin for each of the geographic markets are as follows:

	Three Months Ended
	November 30, 2022				November 30, 2021
(in millions of U.S. dollars)	Operating Income		Operating Margin		Operating Income		Operating Margin		Increase (Decrease)
North America	$	1,310	17	%	$	1,244	18	%	$	65
Europe	690		14		745		15		(55)
Growth Markets	593		19		445		15		148
Total	$	2,593	16.5	%	$	2,434	16.3	%	$	159

Amounts in table may not total due to rounding.

We estimate that the aggregate percentage impact of foreign currency exchange rates on our operating income during the first quarter of fiscal 2023 was similar to that disclosed for revenue for each geographic market. The commentary below provides insight into factors affecting geographic market performance and operating income, including the impact of foreign currency exchange rates where significant, for the first quarter of fiscal 2023 compared with the first quarter of fiscal 2022:

•North America operating income increased primarily due to revenue growth and higher contract profitability, partially offset by higher selling and other business development costs as a percentage of revenues.

•Europe operating income decreased as revenue growth in local currency was more than offset by the negative impact of foreign currency exchange rates which resulted in a decrease in U.S. dollar revenues.

•Growth Markets operating income increased primarily due to higher contract profitability and revenue growth in local currency, partially offset by the negative impact of foreign currency exchange rates.

Interest Income

Interest income for the first quarter of fiscal 2023 was $45 million, an increase of $39 million over the first quarter of fiscal 2022. The increase was primarily due to higher interest rates.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	26

Income Tax Expense

The effective tax rates for the first quarter of fiscal 2023 and 2022 were 23.3% and 24.4%, respectively. The lower effective tax rate for the first quarter of fiscal 2023 was primarily due to lower tax expense from adjustments to prior year tax liabilities.

Our provision for income taxes is based on many factors and subject to volatility year to year. We expect the fiscal 2023 annual effective tax rate to be in the range of 23.0% to 25.0%. The effective tax rate for interim periods can vary because of the timing of when certain events occur during the year.

Earnings Per Share

Diluted earnings per share were $3.08 for the first quarter of fiscal 2023, compared with $2.78 for the first quarter of fiscal 2022. For information regarding our earnings per share calculations, see Note 3 (Earnings Per Share) to our Consolidated Financial Statements under Item 1, “Financial Statements.”

The increase in diluted earnings per share is due to the following factors:

	Earnings Per Share
Q1 FY22 As Reported	$	2.78
Higher revenue and operating results	0.19
Higher non-operating income	0.04
Lower effective tax rate	0.04
Lower share count	0.03
Q1 FY23 As Reported	$	3.08

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	27

Liquidity and Capital Resources

As of November 30, 2022, Cash and cash equivalents was $5.9 billion, compared with $7.9 billion as of August 31, 2022.

Cash flows from operating, investing and financing activities, as reflected in our Consolidated Cash Flows Statements, are summarized in the following table:

	Three Months Ended
(in millions of U.S. dollars)	November 30, 2022		November 30, 2021		Change
Net cash provided by (used in):
Operating activities	$	495	$	531	$	(35)
Investing activities	(782)		(1,913)		1,131
Financing activities	(1,677)		(1,069)		(607)
Effect of exchange rate changes on cash and cash equivalents	(27)		(80)		53
Net increase (decrease) in cash and cash equivalents	$	(1,990)	$	(2,531)	$	541

Amounts in table may not total due to rounding.

Operating activities: The $35 million decrease in operating cash flows was primarily due to changes in operating assets and liabilities, partially offset by higher net income.

Investing activities: The $1,131 million decrease in cash used was primarily due to lower spending on business acquisitions and purchases of property and equipment. For additional information, see Note 5 (Business Combinations) to our Consolidated Financial Statements under Item 1, “Financial Statements.”

Financing activities: The $607 million increase in cash used was primarily due to an increase in the net purchases of shares as well as an increase in cash dividends paid, partially offset by an increase in net proceeds from share issuances. For additional information, see Note 7 (Shareholders’ Equity) to our Consolidated Financial Statements under Item 1, “Financial Statements.”

We believe that our current and longer-term working capital, investments and other general corporate funding requirements will be satisfied for the next twelve months and thereafter through cash flows from operations and, to the extent necessary, from our borrowing facilities and future financial market activities.

Substantially all of our cash is held in jurisdictions where there are no regulatory restrictions or material tax effects on the free flow of funds. Domestic cash inflows for our Irish parent, principally dividend distributions from lower-tier subsidiaries, have been sufficient to meet our historic cash requirements, and we expect this to continue into the future.

Borrowing Facilities

As of November 30, 2022, we had the following borrowing facilities, including the issuance of letters of credit, to support general working capital purposes:

(in millions of U.S. dollars)	Facility Amount		Borrowings Under Facilities
Syndicated loan facility	$	3,000	$	—
Separate, uncommitted, unsecured multicurrency revolving credit facilities	1,688		—
Local guaranteed and non-guaranteed lines of credit	236		—
Total	$	4,925	$	—

Amounts in table may not total due to rounding.

Under the borrowing facilities described above, we had an aggregate of $885 million of letters of credit outstanding as of November 30, 2022. We have a short-term commercial paper financing program backed by our $3 billion syndicated credit facility. As of November 30, 2022, we had no commercial paper outstanding.

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ACCENTURE FORM 10-Q	Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	28

Share Purchases and Redemptions

The Board of Directors of Accenture plc has authorized funding for our publicly announced open-market share purchase program for acquiring Accenture plc Class A ordinary shares and for purchases and redemptions of Accenture plc Class A ordinary shares and Accenture Canada Holdings Inc. exchangeable shares held by current and former members of Accenture Leadership and their permitted transferees.

Our share purchase activity during the three months ended November 30, 2022 is as follows:

	Accenture plc Class A Ordinary Shares			Accenture Canada Holdings Inc. Exchangeable Shares
(in millions of U.S. dollars, except share amounts)	Shares	Amount		Shares	Amount
Open-market share purchases (1)	4,513,266	$	1,231	—	$	—
Other share purchase programs	—	—		5,500	2
Other purchases (2)	696,498	187		—	—
Total	5,209,764	$	1,417	5,500	$	2

Amounts in table may not total due to rounding.

(1)We conduct a publicly announced open-market share purchase program for Accenture plc Class A ordinary shares. These shares are held as treasury shares by Accenture plc and may be utilized to provide for select employee benefits, such as equity awards to our employees.

(2)During the three months ended November 30, 2022, as authorized under our various employee equity share plans, we acquired Accenture plc Class A ordinary shares primarily via share withholding for payroll tax obligations due from employees and former employees in connection with the delivery of Accenture plc Class A ordinary shares under those plans. These purchases of shares in connection with employee share plans do not affect our aggregate available authorization for our publicly announced open-market share purchase and the other share purchase programs.

We intend to continue to use a significant portion of cash generated from operations for share repurchases during the remainder of fiscal 2023. The number of shares ultimately repurchased under our open-market share purchase program may vary depending on numerous factors, including, without limitation, share price and other market conditions, our ongoing capital allocation planning, the levels of cash and debt balances, other demands for cash, such as acquisition activity, general economic and/or business conditions, and board and management discretion. Additionally, as these factors may change over the course of the year, the amount of share repurchase activity during any particular period cannot be predicted and may fluctuate from time to time. Share repurchases may be made from time to time through open-market purchases, in respect of purchases and redemptions of Accenture Canada Holdings Inc. exchangeable shares, through the use of Rule 10b5-1 plans and/or by other means. The repurchase program may be accelerated, suspended, delayed or discontinued at any time, without notice.

Off-Balance Sheet Arrangements

In the normal course of business and in conjunction with some client engagements, we have entered into contractual arrangements through which we may be obligated to indemnify clients with respect to certain matters.

To date, we have not been required to make any significant payment under any of the arrangements described above. For further discussion of these transactions, see Note 10 (Commitments and Contingencies) to our Consolidated Financial Statements under Item 1, “Financial Statements.”

Significant Accounting Policies

See Note 1 (Basis of Presentation) to our Consolidated Financial Statements under Item 1, “Financial Statements.”

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ACCENTURE FORM 10-Q	Item 3. Quantitative and Qualitative Disclosures About Market Risk	29

Item 3. Quantitative and Qualitative Disclosures About Market Risk

During the three months ended November 30, 2022, there were no material changes to the information on market risk exposure disclosed in our Annual Report on Form 10-K for the year ended August 31, 2022. For a discussion of our market risk associated with foreign currency risk, interest rate risk and equity price risk as of August 31, 2022, see “Quantitative and Qualitative Disclosures About Market Risk” in Part II, Item 7A, of our Annual Report on Form 10-K for the year ended August 31, 2022.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Our management, with the participation of our principal executive officer and our principal financial officer, has evaluated the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) as of the end of the period covered by this report. Any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives. Based on that evaluation, the principal executive officer and the principal financial officer of Accenture plc have concluded that, as of the end of the period covered by this report, our disclosure controls and procedures were effective at the reasonable assurance level.

Changes in Internal Control Over Financial Reporting

There has been no change in our internal control over financial reporting that occurred during the first quarter of fiscal 2023 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

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ACCENTURE FORM 10-Q	Part II — Other Information	30

Part II — Other Information

Item 1. Legal Proceedings

The information set forth under “Legal Contingencies” in Note 10 (Commitments and Contingencies) to our Consolidated Financial Statements under Part I, Item 1, “Financial Statements,” is incorporated herein by reference.

Item 1A. Risk Factors

For a discussion of our potential risks and uncertainties, see the information under the heading “Risk Factors” in our Annual Report on Form 10-K for the year ended August 31, 2022 (the “Annual Report”). There have been no material changes to the risk factors disclosed in our Annual Report.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Purchases of Accenture plc Class A Ordinary Shares

The following table provides information relating to our purchases of Accenture plc Class A ordinary shares during the first quarter of fiscal 2023.

Period	Total Number of Shares Purchased	Average Price Paid per Share (1)		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (2)	Approximate Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs (3)
					(in millions of U.S. dollars)
September 1, 2022 — September 30, 2022	1,731,022	$	274.19	1,686,936	$	5,667
October 1, 2022 — October 31, 2022	2,217,079	265.79		1,695,523	5,213
November 1, 2022 — November 30, 2022	1,261,663	279.97		1,130,807	4,897
Total (4)	5,209,764	$	272.02	4,513,266

(1)Average price paid per share reflects the total cash outlay for the period, divided by the number of shares acquired, including those acquired by purchase or redemption for cash and any acquired by means of employee forfeiture.

(2)Since August 2001, the Board of Directors of Accenture plc has authorized and periodically confirmed a publicly announced open-market share purchase program for acquiring Accenture plc Class A ordinary shares. During the first quarter of fiscal 2023, we purchased 4,513,266 Accenture plc Class A ordinary shares under this program for an aggregate price of $1,231 million. The open-market purchase program does not have an expiration date.

(3)As of November 30, 2022, our aggregate available authorization for share purchases and redemptions was $4,897 million which management has the discretion to use for either our publicly announced open-market share purchase program or the other share purchase programs. Since August 2001 and as of November 30, 2022, the Board of Directors of Accenture plc has authorized an aggregate of $46.1 billion for share purchases and redemptions by Accenture plc and Accenture Canada Holdings Inc.

(4)During the first quarter of fiscal 2023, Accenture purchased 696,498 Accenture plc Class A ordinary shares in transactions unrelated to publicly announced share plans or programs. These transactions consisted of acquisitions of Accenture plc Class A ordinary shares primarily via share withholding for payroll tax obligations due from employees and former employees in connection with the delivery of Accenture plc Class A ordinary shares under our various employee equity share plans. These purchases of shares in connection with employee share plans do not affect our aggregate available authorization for our publicly announced open-market share purchase and the other share purchase programs.

Item 3. Defaults Upon Senior Securities

None.

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ACCENTURE FORM 10-Q	Part II — Other Information	31

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

(a) None.

(b) None.

Item 6. Exhibits

Exhibit Index:

Exhibit Number	Exhibit
3.1	Amended and Restated Memorandum and Articles of Association of Accenture plc (incorporated by reference to Exhibit 3.1 to Accenture plc’s 8-K filed on February 7, 2018)
31.1	Certification of the Principal Executive Officer pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith)
31.2	Certification of the Principal Financial Officer pursuant to Rule 13a-14(a) or 15d-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith)
32.1	Certification of the Principal Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)
32.2	Certification of the Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)
101	The following financial information from Accenture plc’s Quarterly Report on Form 10-Q for the quarterly period ended November 30, 2022, formatted in Inline XBRL: (i) Consolidated Balance Sheets as of November 30, 2022 (Unaudited) and August 31, 2022, (ii) Consolidated Income Statements (Unaudited) for the three months ended November 30, 2022 and November 30, 2021, (iii) Consolidated Statements of Comprehensive Income (Unaudited) for the three months ended November 30, 2022 and November 30, 2021, (iv) Consolidated Shareholders’ Equity Statement (Unaudited) for the three months ended November 30, 2022 and November 30, 2021, (v) Consolidated Cash Flows Statements (Unaudited) for the three months ended November 30, 2022 and November 30, 2021 and (vi) the Notes to Consolidated Financial Statements (Unaudited)
104	The cover page from Accenture plc’s Quarterly Report on Form 10-Q for the quarterly period ended November 30, 2022, formatted in Inline XBRL (included as Exhibit 101)

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ACCENTURE FORM 10-Q	Signatures	32

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: December 16, 2022

ACCENTURE PLC
By:	/s/ KC McClure
Name:	KC McClure
Title:	Chief Financial Officer
	(Principal Financial Officer and Authorized Signatory)

EX-31.1

Exhibit 31.1

PRINCIPAL EXECUTIVE OFFICER CERTIFICATION

I, Julie Sweet, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Accenture plc for the period ended November 30, 2022, as filed with the Securities and Exchange Commission on the date hereof;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 16, 2022

/s/ Julie Sweet

Julie Sweet

Chief Executive Officer of Accenture plc

(principal executive officer)

EX-31.2

Exhibit 31.2

PRINCIPAL FINANCIAL OFFICER CERTIFICATION

I, KC McClure, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of Accenture plc for the period ended November 30, 2022, as filed with the Securities and Exchange Commission on the date hereof;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 16, 2022

/s/ KC McClure

KC McClure

Chief Financial Officer of Accenture plc

(principal financial officer)

EX-32.1

Exhibit 32.1

Certification of the Principal Executive Officer

Pursuant to 18 U.S.C. Section 1350,

As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Accenture plc (the “Company”) on Form 10-Q for the period ended November 30, 2022 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Julie Sweet, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: December 16, 2022

/s/ Julie Sweet

Julie Sweet

Chief Executive Officer of Accenture plc

(principal executive officer)

EX-32.2

Exhibit 32.2

Certification of the Principal Financial Officer

Pursuant to 18 U.S.C. Section 1350,

As Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

In connection with the Quarterly Report of Accenture plc (the “Company”) on Form 10-Q for the period ended November 30, 2022 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, KC McClure, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: December 16, 2022

/s/ KC McClure

KC McClure

Chief Financial Officer of Accenture plc

(principal financial officer)

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Cover Page - shares	3 Months Ended
	Nov. 30, 2022	Dec. 06, 2022
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Nov. 30, 2022
Document Transition Report	false
Entity File Number	001-34448
Entity Registrant Name	Accenture plc
Entity Incorporation, State or Country Code	L2
Entity Tax Identification Number	98-0627530
Entity Address, Address Line One	1 Grand Canal Square
Entity Address, Address Line Two	Grand Canal Harbour
Entity Address, City or Town	Dublin
Entity Address, Postal Zip Code	2
Entity Address, Country	IE
Country Region	353
City Area Code	1
Local Phone Number	646-2000
Title of 12(b) Security	Class A ordinary shares, par value $0.0000225 per share
Trading Symbol	ACN
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1
Entity Central Index Key	0001467373
Current Fiscal Year End Date	--08-31
Class A Ordinary Shares
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		658,388,513
Class X Ordinary Shares
Document Information [Line Items]
Entity Common Stock, Shares Outstanding (in shares)		498,837

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Consolidated Balance Sheets - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
CURRENT ASSETS:
Cash and cash equivalents	$ 5,899,703	$ 7,889,833
Short-term investments	4,095	3,973
Receivables and contract assets	12,610,353	11,776,775
Other current assets	2,158,309	1,940,290
Total current assets	20,672,460	21,610,871
NON-CURRENT ASSETS:
Contract assets	68,730	46,844
Investments	324,382	317,972
Property and equipment, net	1,634,074	1,659,140
Lease assets	2,997,162	3,018,535
Goodwill	13,790,686	13,133,293
Deferred contract costs	832,653	807,940
Deferred tax assets	4,029,760	4,001,200
Other non-current assets	2,765,867	2,667,595
Total non-current assets	26,443,314	25,652,519
TOTAL ASSETS	47,115,774	47,263,390
CURRENT LIABILITIES:
Current portion of long-term debt and bank borrowings	9,430	9,175
Accounts payable	2,417,777	2,559,485
Deferred revenues	4,326,633	4,478,048
Accrued payroll and related benefits	6,872,860	7,611,794
Income taxes payable	694,354	646,471
Lease liabilities	707,863	707,598
Other accrued liabilities	1,431,329	1,510,925
Total current liabilities	16,460,246	17,523,496
NON-CURRENT LIABILITIES:
Long-term debt	45,122	45,893
Deferred revenues	710,017	712,715
Retirement obligation	1,601,619	1,692,152
Deferred tax liabilities	373,006	318,584
Income taxes payable	1,273,738	1,198,139
Lease liabilities	2,537,632	2,563,090
Other non-current liabilities	448,444	462,233
Total non-current liabilities	6,989,578	6,992,806
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS’ EQUITY:
Restricted share units	2,167,437	2,091,382
Additional paid-in capital	11,051,309	10,679,180
Treasury shares, at cost: Ordinary, 40,000 shares as of November 30, 2022 and August 31, 2022; Class A ordinary, 28,810,376 and 33,393,703 shares as of November 30, 2022 and August 31, 2022, respectively	(5,169,967)	(6,678,037)
Retained earnings	16,981,432	18,203,842
Accumulated other comprehensive loss	(2,055,672)	(2,190,342)
Total Accenture plc shareholders’ equity	22,974,611	22,106,097
Noncontrolling interests	691,339	640,991
Total shareholders’ equity	23,665,950	22,747,088
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	47,115,774	47,263,390
Ordinary Shares
SHAREHOLDERS’ EQUITY:
Ordinary shares, value	57	57
Class A Ordinary Shares
SHAREHOLDERS’ EQUITY:
Ordinary shares, value	15	15
Class X Ordinary Shares
SHAREHOLDERS’ EQUITY:
Ordinary shares, value	$ 0	$ 0

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Consolidated Balance Sheets (Parenthetical)	Nov. 30, 2022 € / shares shares	Nov. 30, 2022 $ / shares shares	Aug. 31, 2022 € / shares shares	Aug. 31, 2022 $ / shares shares
Ordinary Shares
Ordinary shares, par value (USD per share) | € / shares	€ 1.00		€ 1.00
Ordinary shares, shares authorized (in shares)	40,000	40,000	40,000	40,000
Ordinary shares, shares issued (in shares)	40,000	40,000	40,000	40,000
Treasury shares, ordinary shares (in shares)	40,000	40,000	40,000	40,000
Class A Ordinary Shares
Ordinary shares, par value (USD per share) | $ / shares		$ 0.0000225		$ 0.0000225
Ordinary shares, shares authorized (in shares)	20,000,000,000	20,000,000,000	20,000,000,000	20,000,000,000
Ordinary shares, shares issued (in shares)	658,254,655	658,254,655	664,561,282	664,561,282
Treasury shares, ordinary shares (in shares)	28,810,376	28,810,376	33,393,703	33,393,703
Class X Ordinary Shares
Ordinary shares, par value (USD per share) | $ / shares		$ 0.0000225		$ 0.0000225
Ordinary shares, shares authorized (in shares)	1,000,000,000	1,000,000,000	1,000,000,000	1,000,000,000
Ordinary shares, shares issued (in shares)	498,837	498,837	500,837	500,837
Ordinary shares, shares outstanding (in shares)	498,837	498,837	500,837	500,837

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Consolidated Income Statements - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
REVENUES:
Revenues	$ 15,747,802	$ 14,965,153
OPERATING EXPENSES:
Cost of services	10,561,660	10,048,364
Sales and marketing	1,550,019	1,454,425
General and administrative costs	1,043,023	1,028,070
Total operating expenses	13,154,702	12,530,859
OPERATING INCOME	2,593,100	2,434,294
Interest income	44,705	6,050
Interest expense	(7,280)	(11,183)
Other income (expense), net	(28,907)	(23,029)
INCOME BEFORE INCOME TAXES	2,601,618	2,406,132
Income tax expense	605,318	586,402
NET INCOME	1,996,300	1,819,730
Net income attributable to noncontrolling interests in Accenture Canada Holdings Inc.	(2,085)	(1,934)
Net income attributable to noncontrolling interests – other	(29,265)	(26,772)
NET INCOME ATTRIBUTABLE TO ACCENTURE PLC	$ 1,964,950	$ 1,791,024
Weighted average Class A ordinary shares:
Basic (in shares)	630,137,262	632,280,932
Diluted (in shares)	638,766,821	644,922,661
Earnings per Class A ordinary share:
Basic (in USD per share)	$ 3.12	$ 2.83
Diluted (in USD per share)	3.08	2.78
Cash dividends per share (in USD per share)	$ 1.12	$ 0.97

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Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
Statement of Comprehensive Income [Abstract]
NET INCOME	$ 1,996,300	$ 1,819,730
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX:
Foreign currency translation	84,168	(220,763)
Defined benefit plans	91,680	(12,961)
Cash flow hedges	(41,178)	(54,015)
OTHER COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO ACCENTURE PLC	134,670	(287,739)
Other comprehensive income (loss) attributable to noncontrolling interests	2,869	(5,672)
COMPREHENSIVE INCOME	2,133,839	1,526,319
COMPREHENSIVE INCOME ATTRIBUTABLE TO ACCENTURE PLC	2,099,620	1,503,285
Comprehensive income attributable to noncontrolling interests	34,219	23,034
Other comprehensive income (loss)	$ 137,539	$ (293,411)

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Consolidated Shareholders' Equity Statement - USD ($) $ in Thousands	Total	Class X Ordinary Shares	Common Stock Ordinary Shares	Common Stock Class A Ordinary Shares	Common Stock Class X Ordinary Shares	Common Stock Restricted Share Units	Additional Paid-in Capital	Treasury Shares	Retained Earnings	Accumulated Other Comprehensive Loss	Total Accenture plc Shareholders’ Equity	Noncontrolling Interests
Beginning Balance at Aug. 31, 2021	$ 20,097,114		$ 57	$ 15	$ 0	$ 1,750,784	$ 8,617,838	$ (3,408,491)	$ 13,988,748	$ (1,419,497)	$ 19,529,454	$ 567,660
Beginning Balance (in shares) at Aug. 31, 2021			40,000	656,591,000	513,000			24,545,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,819,730								1,791,024		1,791,024	28,706
Other comprehensive income (loss)	(293,411)									(287,739)	(287,739)	(5,672)
Purchases of Class A shares	(842,842)						824	$ (842,842)			(842,018)	(824)
Purchases of Class A shares (in shares)								(2,435,000)
Share-based compensation expense	365,691					317,552	48,139				365,691
Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares (in shares)					(5,000)
Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares	(2,524)						(2,524)				(2,524)
Issuances of Class A shares for employee share programs (in shares)				1,742,000				693,000
Issuances of Class A shares for employee share programs	409,130					(163,251)	430,539	$ 171,708	(30,260)		408,736	394
Dividends	(613,208)					26,281			(638,824)		(612,543)	(665)
Other, net	(1,022)						3,118				3,118	(4,140)
Ending Balance at Nov. 30, 2021	20,938,658		$ 57	$ 15	$ 0	1,931,366	9,097,934	$ (4,079,625)	15,110,688	(1,707,236)	20,353,199	585,459
Ending Balance (in shares) at Nov. 30, 2021			40,000	658,333,000	508,000			26,287,000
Beginning Balance at Aug. 31, 2022	22,747,088		$ 57	$ 15	$ 0	2,091,382	10,679,180	$ (6,678,037)	18,203,842	(2,190,342)	22,106,097	640,991
Beginning Balance (in shares) at Aug. 31, 2022		500,837	40,000	664,561,000	501,000			33,434,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,996,300								1,964,950		1,964,950	31,350
Other comprehensive income (loss)	137,539									134,670	134,670	2,869
Purchases of Class A shares	$ (1,417,148)						1,304	$ (1,417,148)			(1,415,844)	(1,304)
Purchases of Class A shares (in shares)								(5,210,000)
Cancellation of treasury shares (in shares)	8,828,496			8,828,000				8,828,000
Cancellation of treasury shares	$ (2,595,281)						(175,701)	$ 2,595,281	(2,419,580)
Share-based compensation expense	425,469					369,494	55,975				425,469
Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares (in shares)					(2,000)
Purchases/redemptions of Accenture Canada Holdings Inc. exchangeable shares and Class X shares	(1,554)						(1,554)				(1,554)
Issuances of Class A shares for employee share programs (in shares)				2,522,000				966,000
Issuances of Class A shares for employee share programs	465,707					(319,202)	491,630	$ 329,937	(37,079)		465,286	421
Dividends	(705,567)					25,763			(730,701)		(704,938)	(629)
Other, net	18,116						475				475	17,641
Ending Balance at Nov. 30, 2022	$ 23,665,950		$ 57	$ 15	$ 0	$ 2,167,437	$ 11,051,309	$ (5,169,967)	$ 16,981,432	$ (2,055,672)	$ 22,974,611	$ 691,339
Ending Balance (in shares) at Nov. 30, 2022		498,837	40,000	658,255,000	499,000			28,850,000

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Consolidated Cash Flows Statements - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 1,996,300	$ 1,819,730
Adjustments to reconcile Net income to Net cash provided by (used in) operating activities —
Depreciation, amortization and other	506,229	500,865
Share-based compensation expense	425,469	365,691
Deferred tax expense (benefit)	(54,537)	(30,191)
Other, net	(45,940)	(70,482)
Change in assets and liabilities, net of acquisitions —
Receivables and contract assets, current and non-current	(609,433)	(1,354,195)
Other current and non-current assets	(307,960)	(220,522)
Accounts payable	(202,182)	(58,561)
Deferred revenues, current and non-current	(270,988)	(150,685)
Accrued payroll and related benefits	(771,743)	(276,965)
Income taxes payable, current and non-current	115,187	188,972
Other current and non-current liabilities	(285,004)	(182,786)
Net cash provided by (used in) operating activities	495,398	530,871
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	(98,830)	(181,671)
Purchases of businesses and investments, net of cash acquired	(686,460)	(1,735,028)
Proceeds from the sale of businesses and investments, net of cash transferred	596	87
Other investing, net	2,620	4,031
Net cash provided by (used in) investing activities	(782,074)	(1,912,581)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of shares	465,707	409,130
Purchases of shares	(1,418,702)	(845,366)
Proceeds from (repayments of) long-term debt, net	(1,611)	(3,448)
Cash dividends paid	(705,567)	(613,208)
Other financing, net	(16,687)	(16,568)
Net cash provided by (used in) financing activities	(1,676,860)	(1,069,460)
Effect of exchange rate changes on cash and cash equivalents	(26,594)	(79,887)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(1,990,130)	(2,531,057)
CASH AND CASH EQUIVALENTS, beginning of period	7,889,833	8,168,174
CASH AND CASH EQUIVALENTS, end of period	5,899,703	5,637,117
SUPPLEMENTAL CASH FLOW INFORMATION:
Income taxes paid, net	$ 563,526	$ 387,161

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Basis of Presentation

3 Months Ended

Nov. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The accompanying unaudited interim Consolidated Financial Statements of Accenture plc and its controlled subsidiary companies have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q and do not include all of the information and note disclosures required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. We use the terms “Accenture,” “we” and “our” in the Notes to Consolidated Financial Statements to refer to Accenture plc and its subsidiaries. These Consolidated Financial Statements should therefore be read in conjunction with the Consolidated Financial Statements and Notes thereto for the fiscal year ended August 31, 2022 included in our Annual Report on Form 10-K filed with the SEC on October 12, 2022.

The accompanying unaudited interim Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that we may undertake in the future, actual results may differ from those estimates. The Consolidated Financial Statements reflect all adjustments of a normal, recurring nature that are, in the opinion of management, necessary for a fair presentation of results for these interim periods. The results of operations for the three months ended November 30, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending August 31, 2023.

Allowance for Credit Losses—Client Receivables and Contract Assets

As of November 30, 2022 and August 31, 2022, the total allowance for credit losses recorded for client receivables and contract assets was $24,617 and $25,786, respectively. The change in the allowance is primarily due to immaterial write-offs and changes in gross client receivables and contract assets.

Investments

All available-for-sale securities and liquid investments with an original maturity greater than three months but less than one year are considered to be Short-term investments. Non-current investments consist of equity securities in publicly-traded and privately-held companies and are accounted for using either the equity or fair value measurement alternative method of accounting (for investments without readily determinable fair values).

Our non-current investments are as follows:

	November 30, 2022		August 31, 2022
Equity method investments	$	166,360	$	164,164
Investments without readily determinable fair values	158,022		153,808
Total non-current investments	$	324,382	$	317,972

For investments in which we can exercise significant influence but do not control, we use the equity method of accounting. Equity method investments are initially recorded at cost and our proportionate share of gains and losses of the investee are included as a component of Other income (expense), net. Our equity method investments consist primarily of an investment in Duck Creek Technologies. As of November 30, 2022, the carrying amount of our investment was $141,960, and the estimated fair value of our approximately 16% ownership was $209,851. We account for the investment under the equity method because we have the ability to influence operations through the combination of our voting power and through other factors, such as representation on the board and our business relationship.

Depreciation and Amortization

As of November 30, 2022 and August 31, 2022, total accumulated depreciation was $2,575,758 and $2,490,187, respectively. See table below for summary of depreciation on fixed assets, deferred transition amortization, intangible assets amortization and operating lease cost for the three months ended November 30, 2022 and 2021, respectively.

	Three Months Ended
	November 30, 2022		November 30, 2021
Depreciation	$	144,049	$	138,793
Amortization - Deferred transition	70,440		67,206
Amortization - Intangible assets	109,069		102,542
Operating lease cost	180,502		190,242
Other	2,169		2,082
Total depreciation, amortization and other	$	506,229	$	500,865

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Revenues

3 Months Ended

Nov. 30, 2022

Revenues [Abstract]

Revenues

Revenues

Disaggregation of Revenue

See Note 11 (Segment Reporting) to these Consolidated Financial Statements for our disaggregated revenues.

Remaining Performance Obligations

We had remaining performance obligations of approximately $25 billion and $24 billion as of November 30, 2022 and August 31, 2022, respectively. Our remaining performance obligations represent the amount of transaction price for which work has not been performed and revenue has not been recognized. The majority of our contracts are terminable by the client on short notice with little or no termination penalties, and some without notice. Under Topic 606, only the non-cancelable portion of these contracts is included in our performance obligations. Additionally, our performance obligations only include variable consideration if we assess it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty is resolved. Based on the terms of our contracts, a significant portion of what we consider contract bookings is not included in our remaining performance obligations. We expect to recognize approximately 61% of our remaining performance obligations as of November 30, 2022 as revenue in fiscal 2023, an additional 18% in fiscal 2024, and the balance thereafter.

Contract Estimates

Adjustments in contract estimates related to performance obligations satisfied or partially satisfied in prior periods were immaterial for the three months ended November 30, 2022 and 2021, respectively.

Contract Balances

Deferred transition revenues were $710,017 and $712,715 as of November 30, 2022 and August 31, 2022, respectively, and are included in Non-current deferred revenues. Costs related to these activities are also deferred and are expensed as the services are provided. Deferred transition costs were $832,653 and $807,940 as of November 30, 2022 and August 31, 2022, respectively, and are included in Deferred contract costs. Generally, deferred amounts are protected in the event of early termination of the contract and are monitored regularly for impairment. Impairment losses are recorded when projected remaining undiscounted operating cash flows of the related contract are not sufficient to recover the carrying amount of contract assets.

The following table provides information about the balances of our Receivables and Contract assets, net of allowance, and Contract liabilities (Deferred revenues):

	As of November 30, 2022		As of August 31, 2022
Receivables	$	11,211,048	$	10,484,211
Contract assets (current)	1,399,305		1,292,564
Receivables and contract assets, net of allowance (current)	12,610,353		11,776,775
Contract assets (non-current)	68,730		46,844
Deferred revenues (current)	4,326,633		4,478,048
Deferred revenues (non-current)	710,017		712,715

Changes in the contract asset and liability balances during the three months ended November 30, 2022 were a result of normal business activity and not materially impacted by any other factors.

Revenues recognized during the three months ended November 30, 2022 that were included in Deferred revenues as of August 31, 2022 were $2.5 billion. Revenues recognized during the three months ended November 30, 2021 that were included in Deferred revenues as of August 31, 2021 were $2.5 billion.

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Earnings Per Share

3 Months Ended

Nov. 30, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

Basic and diluted earnings per share are calculated as follows:

	Three Months Ended
	November 30, 2022		November 30, 2021
Basic earnings per share
Net income attributable to Accenture plc	$	1,964,950	$	1,791,024
Basic weighted average Class A ordinary shares	630,137,262		632,280,932
Basic earnings per share	$	3.12	$	2.83
Diluted earnings per share
Net income attributable to Accenture plc	$	1,964,950	$	1,791,024
Net income attributable to noncontrolling interests in Accenture Canada Holdings Inc. (1)	2,085		1,934
Net income for diluted earnings per share calculation	$	1,967,035	$	1,792,958
Basic weighted average Class A ordinary shares	630,137,262		632,280,932
Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1)	668,715		682,916
Diluted effect of employee compensation related to Class A ordinary shares	7,847,787		11,727,163
Diluted effect of share purchase plans related to Class A ordinary shares	113,057		231,650
Diluted weighted average Class A ordinary shares	638,766,821		644,922,661
Diluted earnings per share	$	3.08	$	2.78

(1)Diluted earnings per share assumes the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests - other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares.

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Accumulated Other Comprehensive Loss

3 Months Ended

Nov. 30, 2022

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Loss

Accumulated Other Comprehensive Loss

The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive loss attributable to Accenture plc:

	Three Months Ended
	November 30, 2022		November 30, 2021
Foreign currency translation
Beginning balance	$	(1,852,320)	$	(975,064)
Foreign currency translation	86,984		(227,093)
Income tax benefit (expense)	—		730
Portion attributable to noncontrolling interests	(2,816)		5,600
Foreign currency translation, net of tax	84,168		(220,763)
Ending balance	(1,768,152)		(1,195,827)
Defined benefit plans
Beginning balance	(348,771)		(559,958)
Reclassifications into net periodic pension and              post-retirement expense	126,171		(17,548)
Income tax benefit (expense)	(34,394)		4,573
Portion attributable to noncontrolling interests	(97)		14
Defined benefit plans, net of tax	91,680		(12,961)
Ending balance	(257,091)		(572,919)
Cash flow hedges
Beginning balance	10,749		115,525
Unrealized gain (loss)	(59,879)		(33,108)
Reclassification adjustments into Cost of services	2,606		(27,734)
Income tax benefit (expense)	16,051		6,769
Portion attributable to noncontrolling interests	44		58
Cash flow hedges, net of tax	(41,178)		(54,015)
Ending balance (1)	(30,429)		61,510
Accumulated other comprehensive loss	$	(2,055,672)	$	(1,707,236)

(1)As of November 30, 2022, $15,913 of net unrealized losses related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next twelve months.

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Business Combinations	3 Months Ended
	Nov. 30, 2022
Business Combination and Asset Acquisition [Abstract]
Business Combinations	Business Combinations During the three months ended November 30, 2022, we completed individually immaterial acquisitions for total consideration of $684,001, net of cash acquired. The pro forma effects of these acquisitions on our operations were not material.

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Goodwill and Intangible Assets

3 Months Ended

Nov. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Goodwill

The changes in the carrying amount of goodwill by reportable operating segment are as follows:

	August 31, 2022		Additions/ Adjustments		Foreign Currency Translation		November 30, 2022
North America	$	7,744,582	$	176,472	$	(14,740)	$	7,906,314
Europe	4,134,091		151,436		123,001		4,408,528
Growth Markets	1,254,620		242,861		(21,637)		1,475,844
Total	$	13,133,293	$	570,769	$	86,624	$	13,790,686

Goodwill includes immaterial adjustments related to prior period acquisitions.

Intangible Assets

Our definite-lived intangible assets by major asset class are as follows:

	August 31, 2022						November 30, 2022
Intangible Asset Class	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer-related	$	2,498,001	$	(842,056)	$	1,655,945	$	2,637,724	$	(872,216)	$	1,765,508
Technology	283,251		(96,782)		186,469		288,708		(110,107)		178,601
Patents	126,950		(70,745)		56,205		126,385		(70,784)		55,601
Other	62,875		(30,686)		32,189		64,343		(34,039)		30,304
Total	$	2,971,077	$	(1,040,269)	$	1,930,808	$	3,117,160	$	(1,087,146)	$	2,030,014

Total amortization related to our intangible assets was $109,069 and $102,542 for the three months ended November 30, 2022 and 2021. Estimated future amortization related to intangible assets held as of November 30, 2022 is as follows:

Fiscal Year	Estimated Amortization
Remainder of 2023	$	333,744
2024	373,490
2025	339,358
2026	293,457
2027	232,307
Thereafter	457,658
Total	$	2,030,014

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Shareholders' Equity

3 Months Ended

Nov. 30, 2022

Equity [Abstract]

Shareholders' Equity

Shareholders’ Equity

Cancellation of Treasury Shares

During the three months ended November 30, 2022, we cancelled 8,828,496 Accenture plc Class A ordinary shares that were held as treasury shares and had an aggregate cost of $2,595,281. The effect of the cancellation of these treasury shares was recognized in Class A ordinary shares and Additional paid-in capital with the residual recorded in Retained earnings. There was no effect on total shareholders’ equity as a result of this cancellation.

Dividends

Our dividend activity during the three months ended November 30, 2022 is as follows:

	Dividend Per Share		Accenture plc Class A Ordinary Shares			Accenture Canada Holdings Inc. Exchangeable Shares			Total Cash Outlay
Dividend Payment Date			Record Date	Cash Outlay		Record Date	Cash Outlay
November 15, 2022	$	1.12	October 13, 2022	$	704,938	October 11, 2022	$	629	$	705,567

The payment of cash dividends includes the net effect of $25,763 of additional restricted stock units being issued as a part of our share plans, which resulted in 87,746 restricted share units being issued.

Subsequent Event

On December 15, 2022, the Board of Directors of Accenture plc declared a quarterly cash dividend of $1.12 per share on our Class A ordinary shares for shareholders of record at the close of business on January 12, 2023 payable on February 15, 2023.

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Financial Instruments

3 Months Ended

Nov. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Financial Instruments

Financial Instruments

Derivatives

In the normal course of business, we use derivative financial instruments to manage foreign currency exchange rate risk. Our derivative financial instruments consist of deliverable and non-deliverable foreign currency forward contracts.

Cash Flow Hedges

For a cash flow hedge, the effective portion of the change in estimated fair value of a hedging instrument is recorded in Accumulated other comprehensive loss as a separate component of Shareholders’ Equity and is reclassified into Cost of services in the Consolidated Income Statements during the period in which the hedged transaction is recognized. For information related to derivatives designated as cash flow hedges that were reclassified into Cost of services during the three months ended November 30, 2022 and 2021, as well as those expected to be reclassified into Cost of services in the next 12 months, see Note 4 (Accumulated Other Comprehensive Loss) to these Consolidated Financial Statements.

Other Derivatives

Realized gains or losses and changes in the estimated fair value of foreign currency forward contracts that have not been designated as hedges were net losses of $29,691 and $23,479 for the three months ended November 30, 2022 and 2021, respectively. Gains and losses on these contracts are recorded in Other income (expense), net in the Consolidated Income Statements and are offset by gains and losses on the related hedged items.

Fair Value of Derivative Instruments

The notional and fair values of all derivative instruments are as follows:

	November 30, 2022		August 31, 2022
Assets
Cash Flow Hedges
Other current assets	$	61,110	$	89,867
Other non-current assets	54,177		69,209
Other Derivatives
Other current assets	44,147		8,657
Total assets	$	159,434	$	167,733
Liabilities
Cash Flow Hedges
Other accrued liabilities	$	77,023	$	61,156
Other non-current liabilities	34,649		42,537
Other Derivatives
Other accrued liabilities	5,562		83,792
Total liabilities	$	117,234	$	187,485
Total fair value	$	42,200	$	(19,752)
Total notional value	$	10,646,500	$	11,095,604

We utilize standard counterparty master agreements containing provisions for the netting of certain foreign currency transaction obligations and for the set-off of certain obligations in the event of an insolvency of one of the parties to the transaction. In the Consolidated Balance Sheets, we record derivative assets and liabilities at gross fair value. The potential effect of netting derivative assets against liabilities under the counterparty master agreements is as follows:

	November 30, 2022		August 31, 2022
Net derivative assets	$	90,380	$	140,073
Net derivative liabilities	48,180		159,825
Total fair value	$	42,200	$	(19,752)

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Income Taxes

3 Months Ended

Nov. 30, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

We apply an estimated annual effective tax rate to our year-to-date operating results to determine the interim provision for income tax expense. In addition, we recognize taxes related to unusual or infrequent items or resulting from a change in judgment regarding a position taken in a prior year as discrete items in the interim period in which the event occurs.

Our effective tax rates for the three months ended November 30, 2022 and 2021 were 23.3% and 24.4%, respectively. The lower effective tax rate for the three months ended November 30, 2022 was primarily due to lower tax expense from adjustments to prior year tax liabilities.

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Commitments and Contingencies

3 Months Ended

Nov. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Indemnifications and Guarantees

In the normal course of business and in conjunction with certain client engagements, we have entered into contractual arrangements through which we may be obligated to indemnify clients with respect to certain matters.

As of November 30, 2022 and August 31, 2022, our aggregate potential liability to our clients for expressly limited guarantees involving the performance of third parties was approximately $1,519,000 and $1,349,000, respectively, of which all but approximately $64,000 and $49,000, respectively, may be recovered from the other third parties if we are obligated to make payments to the indemnified parties as a consequence of a performance default by the other third parties. For arrangements with unspecified limitations, we cannot reasonably estimate the aggregate maximum potential liability, as it is inherently difficult to predict the maximum potential amount of such payments, due to the conditional nature and unique facts of each particular arrangement.

As of November 30, 2022 and August 31, 2022, we have issued or provided guarantees in the form of letters of credit and surety bonds of $1,105,624 and $1,116,298, respectively, the majority of which support certain contracts that require us to provide them as a guarantee of our performance. These guarantees are typically renewed annually and remain in place until the contractual obligations are satisfied. In general, we would only be liable for these guarantees in the event we defaulted in performing our obligations under each contract, the probability of which we believe is remote.

To date, we have not been required to make any significant payment under any of the arrangements described above. We have assessed the current status of performance/payment risk related to arrangements with limited guarantees, warranty obligations, unspecified limitations, indemnification provisions, letters of credit and surety bonds, and believe that any potential payments would be immaterial to the Consolidated Financial Statements, as a whole.

Legal Contingencies

As of November 30, 2022, we or our present personnel had been named as a defendant in various litigation matters. We and/or our personnel also from time to time are involved in investigations by various regulatory or legal authorities concerning matters arising in the course of our business around the world. Based on the present status of these matters, management believes the range of reasonably possible losses in addition to amounts accrued, net of insurance recoveries, will not have a material effect on our results of operations or financial condition.

On July 24, 2019, Accenture was named in a putative class action lawsuit filed by consumers of Marriott International, Inc. (“Marriott”) in the U.S. District Court for the District of Maryland. The complaint alleges negligence by us, and seeks monetary damages, costs and attorneys’ fees and other related relief, relating to a data security incident involving unauthorized access to the reservations database of Starwood Worldwide Resorts, Inc. (“Starwood”), which was acquired by Marriott on September 23, 2016. Since 2009, we have provided certain IT infrastructure outsourcing services to Starwood. On October 27, 2020, the court issued an order largely denying Accenture’s motion to dismiss the claims against us. On May 3, 2022, the court issued an order granting in part the plaintiffs’ motion for class certification, which we are appealing. We continue to believe the lawsuit is without merit and we will vigorously defend it. At present, we do not believe any losses from this matter will have a material effect on our results of operations or financial condition.

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Segment Reporting

3 Months Ended

Nov. 30, 2022

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

Our reportable segments are our three geographic markets, which are North America, Europe and Growth Markets. Information regarding reportable segments, industry groups and type of work is as follows:

	Revenues
	Three Months Ended
	November 30, 2022		November 30, 2021
Geographic Markets
North America	$	7,622,820	$	6,907,215
Europe	5,072,050		5,100,068
Growth Markets	3,052,932		2,957,870
Total Revenues	$	15,747,802	$	14,965,153
Industry Groups (1)
Communications, Media & Technology	$	2,980,203	$	2,897,295
Financial Services	2,963,396		2,917,720
Health & Public Service	3,000,019		2,730,034
Products	4,665,788		4,467,897
Resources	2,138,396		1,952,207
Total Revenues	$	15,747,802	$	14,965,153
TYPE OF WORK
Consulting	$	8,444,367	$	8,392,409
Managed Services (2)	7,303,435		6,572,744
Total Revenues	$	15,747,802	$	14,965,153

(1)Effective June 1, 2022, we revised the reporting of our industry groups for the movement of Aerospace & Defense from Communications, Media & Technology to Products. Prior period amounts have been reclassified to conform with the current period presentation.

(2)Previously referred to as our outsourcing business.

	Operating Income
	Three Months Ended
	November 30, 2022		November 30, 2021
Geographic Markets
North America	$	1,309,883	$	1,244,417
Europe	690,000		744,856
Growth Markets	593,217		445,021
Total Operating Income	$	2,593,100	$	2,434,294

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Basis of Presentation (Policies)

3 Months Ended

Nov. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

The accompanying unaudited interim Consolidated Financial Statements of Accenture plc and its controlled subsidiary companies have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q and do not include all of the information and note disclosures required by U.S. generally accepted accounting principles (“U.S. GAAP”) for complete financial statements. We use the terms “Accenture,” “we” and “our” in the Notes to Consolidated Financial Statements to refer to Accenture plc and its subsidiaries. These Consolidated Financial Statements should therefore be read in conjunction with the Consolidated Financial Statements and Notes thereto for the fiscal year ended August 31, 2022 included in our Annual Report on Form 10-K filed with the SEC on October 12, 2022.

The accompanying unaudited interim Consolidated Financial Statements have been prepared in accordance with U.S. GAAP, which requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that we may undertake in the future, actual results may differ from those estimates. The Consolidated Financial Statements reflect all adjustments of a normal, recurring nature that are, in the opinion of management, necessary for a fair presentation of results for these interim periods. The results of operations for the three months ended November 30, 2022 are not necessarily indicative of the results that may be expected for the fiscal year ending August 31, 2023.

Allowance for Credit Losses - Client Receivables and Contract Assets

Allowance for Credit Losses—Client Receivables and Contract Assets As of November 30, 2022 and August 31, 2022, the total allowance for credit losses recorded for client receivables and contract assets was $24,617 and $25,786, respectively. The change in the allowance is primarily due to immaterial write-offs and changes in gross client receivables and contract assets.

Investments

Investments

All available-for-sale securities and liquid investments with an original maturity greater than three months but less than one year are considered to be Short-term investments. Non-current investments consist of equity securities in publicly-traded and privately-held companies and are accounted for using either the equity or fair value measurement alternative method of accounting (for investments without readily determinable fair values).

Our non-current investments are as follows:

	November 30, 2022		August 31, 2022
Equity method investments	$	166,360	$	164,164
Investments without readily determinable fair values	158,022		153,808
Total non-current investments	$	324,382	$	317,972

For investments in which we can exercise significant influence but do not control, we use the equity method of accounting. Equity method investments are initially recorded at cost and our proportionate share of gains and losses of the investee are included as a component of Other income (expense), net. Our equity method investments consist primarily of an investment in Duck Creek Technologies. As of November 30, 2022, the carrying amount of our investment was $141,960, and the estimated fair value of our approximately 16% ownership was $209,851. We account for the investment under the equity method because we have the ability to influence operations through the combination of our voting power and through other factors, such as representation on the board and our business relationship.

Income Taxes

We apply an estimated annual effective tax rate to our year-to-date operating results to determine the interim provision for income tax expense. In addition, we recognize taxes related to unusual or infrequent items or resulting from a change in judgment regarding a position taken in a prior year as discrete items in the interim period in which the event occurs.

Commitments and Contingencies

In the normal course of business and in conjunction with certain client engagements, we have entered into contractual arrangements through which we may be obligated to indemnify clients with respect to certain matters. As of November 30, 2022 and August 31, 2022, our aggregate potential liability to our clients for expressly limited guarantees involving the performance of third parties was approximately $1,519,000 and $1,349,000, respectively, of which all but approximately $64,000 and $49,000, respectively, may be recovered from the other third parties if we are obligated to make payments to the indemnified parties as a consequence of a performance default by the other third parties. For arrangements with unspecified limitations, we cannot reasonably estimate the aggregate maximum potential liability, as it is inherently difficult to predict the maximum potential amount of such payments, due to the conditional nature and unique facts of each particular arrangement.

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Basis of Presentation (Tables)

3 Months Ended

Nov. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Non-current investments

Our non-current investments are as follows:

	November 30, 2022		August 31, 2022
Equity method investments	$	166,360	$	164,164
Investments without readily determinable fair values	158,022		153,808
Total non-current investments	$	324,382	$	317,972

Depreciation, amortization and other

See table below for summary of depreciation on fixed assets, deferred transition amortization, intangible assets amortization and operating lease cost for the three months ended November 30, 2022 and 2021, respectively.

	Three Months Ended
	November 30, 2022		November 30, 2021
Depreciation	$	144,049	$	138,793
Amortization - Deferred transition	70,440		67,206
Amortization - Intangible assets	109,069		102,542
Operating lease cost	180,502		190,242
Other	2,169		2,082
Total depreciation, amortization and other	$	506,229	$	500,865

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Revenues (Tables)

3 Months Ended

Nov. 30, 2022

Revenues [Abstract]

Contract with Customer, Asset and Liability

The following table provides information about the balances of our Receivables and Contract assets, net of allowance, and Contract liabilities (Deferred revenues):

	As of November 30, 2022		As of August 31, 2022
Receivables	$	11,211,048	$	10,484,211
Contract assets (current)	1,399,305		1,292,564
Receivables and contract assets, net of allowance (current)	12,610,353		11,776,775
Contract assets (non-current)	68,730		46,844
Deferred revenues (current)	4,326,633		4,478,048
Deferred revenues (non-current)	710,017		712,715

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Earnings Per Share (Tables)

3 Months Ended

Nov. 30, 2022

Earnings Per Share [Abstract]

Basic and Diluted Earnings Per Share

Basic and diluted earnings per share are calculated as follows:

	Three Months Ended
	November 30, 2022		November 30, 2021
Basic earnings per share
Net income attributable to Accenture plc	$	1,964,950	$	1,791,024
Basic weighted average Class A ordinary shares	630,137,262		632,280,932
Basic earnings per share	$	3.12	$	2.83
Diluted earnings per share
Net income attributable to Accenture plc	$	1,964,950	$	1,791,024
Net income attributable to noncontrolling interests in Accenture Canada Holdings Inc. (1)	2,085		1,934
Net income for diluted earnings per share calculation	$	1,967,035	$	1,792,958
Basic weighted average Class A ordinary shares	630,137,262		632,280,932
Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1)	668,715		682,916
Diluted effect of employee compensation related to Class A ordinary shares	7,847,787		11,727,163
Diluted effect of share purchase plans related to Class A ordinary shares	113,057		231,650
Diluted weighted average Class A ordinary shares	638,766,821		644,922,661
Diluted earnings per share	$	3.08	$	2.78

(1)Diluted earnings per share assumes the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests - other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares.

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Accumulated Other Comprehensive Loss (Tables)

3 Months Ended

Nov. 30, 2022

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule of Accumulated Other Comprehensive Loss

The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive loss attributable to Accenture plc:

	Three Months Ended
	November 30, 2022		November 30, 2021
Foreign currency translation
Beginning balance	$	(1,852,320)	$	(975,064)
Foreign currency translation	86,984		(227,093)
Income tax benefit (expense)	—		730
Portion attributable to noncontrolling interests	(2,816)		5,600
Foreign currency translation, net of tax	84,168		(220,763)
Ending balance	(1,768,152)		(1,195,827)
Defined benefit plans
Beginning balance	(348,771)		(559,958)
Reclassifications into net periodic pension and              post-retirement expense	126,171		(17,548)
Income tax benefit (expense)	(34,394)		4,573
Portion attributable to noncontrolling interests	(97)		14
Defined benefit plans, net of tax	91,680		(12,961)
Ending balance	(257,091)		(572,919)
Cash flow hedges
Beginning balance	10,749		115,525
Unrealized gain (loss)	(59,879)		(33,108)
Reclassification adjustments into Cost of services	2,606		(27,734)
Income tax benefit (expense)	16,051		6,769
Portion attributable to noncontrolling interests	44		58
Cash flow hedges, net of tax	(41,178)		(54,015)
Ending balance (1)	(30,429)		61,510
Accumulated other comprehensive loss	$	(2,055,672)	$	(1,707,236)

(1)As of November 30, 2022, $15,913 of net unrealized losses related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next twelve months.

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Goodwill and Intangible Assets (Tables)

3 Months Ended

Nov. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

The changes in the carrying amount of goodwill by reportable operating segment are as follows:

	August 31, 2022		Additions/ Adjustments		Foreign Currency Translation		November 30, 2022
North America	$	7,744,582	$	176,472	$	(14,740)	$	7,906,314
Europe	4,134,091		151,436		123,001		4,408,528
Growth Markets	1,254,620		242,861		(21,637)		1,475,844
Total	$	13,133,293	$	570,769	$	86,624	$	13,790,686

Schedule of Finite-Lived Intangible Assets

Our definite-lived intangible assets by major asset class are as follows:

	August 31, 2022						November 30, 2022
Intangible Asset Class	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Customer-related	$	2,498,001	$	(842,056)	$	1,655,945	$	2,637,724	$	(872,216)	$	1,765,508
Technology	283,251		(96,782)		186,469		288,708		(110,107)		178,601
Patents	126,950		(70,745)		56,205		126,385		(70,784)		55,601
Other	62,875		(30,686)		32,189		64,343		(34,039)		30,304
Total	$	2,971,077	$	(1,040,269)	$	1,930,808	$	3,117,160	$	(1,087,146)	$	2,030,014

Schedule of Finite-Lived Intangible Assets, Future Amortization Expense

Estimated future amortization related to intangible assets held as of November 30, 2022 is as follows:

Fiscal Year	Estimated Amortization
Remainder of 2023	$	333,744
2024	373,490
2025	339,358
2026	293,457
2027	232,307
Thereafter	457,658
Total	$	2,030,014

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Shareholders' Equity (Tables)

3 Months Ended

Nov. 30, 2022

Equity [Abstract]

Schedule of Dividend Activity

Our dividend activity during the three months ended November 30, 2022 is as follows:

	Dividend Per Share		Accenture plc Class A Ordinary Shares			Accenture Canada Holdings Inc. Exchangeable Shares			Total Cash Outlay
Dividend Payment Date			Record Date	Cash Outlay		Record Date	Cash Outlay
November 15, 2022	$	1.12	October 13, 2022	$	704,938	October 11, 2022	$	629	$	705,567

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Financial Instruments (Tables)

3 Months Ended

Nov. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional and Fair Values of All Derivative Instruments

The notional and fair values of all derivative instruments are as follows:

	November 30, 2022		August 31, 2022
Assets
Cash Flow Hedges
Other current assets	$	61,110	$	89,867
Other non-current assets	54,177		69,209
Other Derivatives
Other current assets	44,147		8,657
Total assets	$	159,434	$	167,733
Liabilities
Cash Flow Hedges
Other accrued liabilities	$	77,023	$	61,156
Other non-current liabilities	34,649		42,537
Other Derivatives
Other accrued liabilities	5,562		83,792
Total liabilities	$	117,234	$	187,485
Total fair value	$	42,200	$	(19,752)
Total notional value	$	10,646,500	$	11,095,604

Offsetting Derivative Assets and Liabilities Table

The potential effect of netting derivative assets against liabilities under the counterparty master agreements is as follows:

	November 30, 2022		August 31, 2022
Net derivative assets	$	90,380	$	140,073
Net derivative liabilities	48,180		159,825
Total fair value	$	42,200	$	(19,752)

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Segment Reporting (Tables)

3 Months Ended

Nov. 30, 2022

Segment Reporting [Abstract]

Reportable Operating Segments

Information regarding reportable segments, industry groups and type of work is as follows:

	Revenues
	Three Months Ended
	November 30, 2022		November 30, 2021
Geographic Markets
North America	$	7,622,820	$	6,907,215
Europe	5,072,050		5,100,068
Growth Markets	3,052,932		2,957,870
Total Revenues	$	15,747,802	$	14,965,153
Industry Groups (1)
Communications, Media & Technology	$	2,980,203	$	2,897,295
Financial Services	2,963,396		2,917,720
Health & Public Service	3,000,019		2,730,034
Products	4,665,788		4,467,897
Resources	2,138,396		1,952,207
Total Revenues	$	15,747,802	$	14,965,153
TYPE OF WORK
Consulting	$	8,444,367	$	8,392,409
Managed Services (2)	7,303,435		6,572,744
Total Revenues	$	15,747,802	$	14,965,153

(1)Effective June 1, 2022, we revised the reporting of our industry groups for the movement of Aerospace & Defense from Communications, Media & Technology to Products. Prior period amounts have been reclassified to conform with the current period presentation.

(2)Previously referred to as our outsourcing business.

	Operating Income
	Three Months Ended
	November 30, 2022		November 30, 2021
Geographic Markets
North America	$	1,309,883	$	1,244,417
Europe	690,000		744,856
Growth Markets	593,217		445,021
Total Operating Income	$	2,593,100	$	2,434,294

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Basis of Presentation - Additional Information (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Basis of Presentation [Line Items]
Accounts Receivable, Allowance for Credit Loss, Current	$ 24,617	$ 25,786
Equity method investments	166,360	164,164
Accumulated depreciation	2,575,758	$ 2,490,187
Duck Creek Technologies
Basis of Presentation [Line Items]
Equity method investments	$ 141,960
Equity Method Investment, Ownership Percentage	16.00%
Equity Method Investments, Fair Value Disclosure	$ 209,851

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Basis of Presentation - Investments (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Equity method investments	$ 166,360	$ 164,164
Investments without readily determinable fair values	158,022	153,808
Investments	$ 324,382	$ 317,972

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Basis of Presentation - Depreciation and Amortization (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Depreciation	$ 144,049	$ 138,793
Amortization - Deferred transition	70,440	67,206
Amortization - Intangible assets	109,069	102,542
Operating lease cost	180,502	190,242
Other	2,169	2,082
Total depreciation, amortization and other	$ 506,229	$ 500,865

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Revenues - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Aug. 31, 2022
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, Remaining Performance Obligation, Amount	$ 25,000,000		$ 24,000,000
Deferred transition revenues	710,017		712,715
Capitalized Contract Cost, Net, Noncurrent	832,653		$ 807,940
Contract with Customer, Liability, Revenue Recognized	$ 2,500,000	$ 2,500,000
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-12-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, Remaining Performance Obligation, Percentage	61.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period	9 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-09-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, Remaining Performance Obligation, Percentage	18.00%
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period	1 year

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Revenues - Schedule of Revenue (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Revenues [Abstract]
Receivables	$ 11,211,048	$ 10,484,211
Contract assets (current)	1,399,305	1,292,564
Receivables and contract assets, net of allowance (current)	12,610,353	11,776,775
Contract assets (non-current)	68,730	46,844
Deferred revenues (current)	4,326,633	4,478,048
Deferred revenues (non-current)	$ 710,017	$ 712,715

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Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
Basic earnings per share
Net income attributable to Accenture plc	$ 1,964,950	$ 1,791,024
Basic weighted average Class A ordinary shares (in shares)	630,137,262	632,280,932
Basic earnings per share (in USD per share)	$ 3.12	$ 2.83
Diluted earnings per share
Net income attributable to Accenture plc	$ 1,964,950	$ 1,791,024
Net income attributable to noncontrolling interest in Accenture Canada Holdings Inc.	2,085	1,934
Net income for diluted earnings per share calculation	$ 1,967,035	$ 1,792,958
Basic weighted average Class A ordinary shares (in shares)	630,137,262	632,280,932
Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (in shares)	668,715	682,916
Diluted effect of employee compensation related to Class A ordinary shares (in shares)	7,847,787	11,727,163
Diluted effect of share purchase plans related to Class A ordinary shares (in shares)	113,057	231,650
Diluted weighted average Class A ordinary shares (in shares)	638,766,821	644,922,661
Diluted earnings per share (in USD per share)	$ 3.08	$ 2.78

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Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Aug. 31, 2022
Foreign currency translation
Beginning balance	$ (1,852,320)	$ (975,064)
Foreign currency translation	86,984	(227,093)
Income tax benefit (expense)	0	730
Portion attributable to noncontrolling interests	(2,816)	5,600
Foreign currency translation, net of tax	84,168	(220,763)
Ending balance	(1,768,152)	(1,195,827)
Defined benefit plans
Beginning balance	(348,771)	(559,958)
Reclassifications into net periodic pension and post-retirement expense	126,171	(17,548)
Income tax benefit (expense)	(34,394)	4,573
Portion attributable to noncontrolling interests	(97)	14
Defined benefit plans, net of tax	91,680	(12,961)
Ending balance	(257,091)	(572,919)
Cash flow hedges
Beginning balance	10,749	115,525
Unrealized gain (loss)	(59,879)	(33,108)
Reclassification adjustments into Cost of services	2,606	(27,734)
Income tax benefit (expense)	16,051	6,769
Portion attributable to noncontrolling interests	44	58
Cash flow hedges, net of tax	(41,178)	(54,015)
Ending Balance	(30,429)	61,510
Accumulated other comprehensive loss	(2,055,672)	$ (1,707,236)	$ (2,190,342)
Net unrealized losses expected to be reclassified in the next twelve months	$ 15,913

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Business Combinations (Details) $ in Thousands	3 Months Ended
	Nov. 30, 2022 USD ($)
Series of Individually Immaterial Business Acquisitions
Business Acquisitions [Line Items]
Cash Consideration	$ 684,001

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Goodwill and Intangible Assets - Goodwill Rollforward (Details) $ in Thousands	3 Months Ended
	Nov. 30, 2022 USD ($)
Goodwill [Line Items]
Goodwill, beginning balance	$ 13,133,293
Additions/ Adjustments	570,769
Foreign Currency Translation	86,624
Goodwill, ending balance	13,790,686
North America
Goodwill [Line Items]
Goodwill, beginning balance	7,744,582
Additions/ Adjustments	176,472
Foreign Currency Translation	(14,740)
Goodwill, ending balance	7,906,314
Europe
Goodwill [Line Items]
Goodwill, beginning balance	4,134,091
Additions/ Adjustments	151,436
Foreign Currency Translation	123,001
Goodwill, ending balance	4,408,528
Growth Markets
Goodwill [Line Items]
Goodwill, beginning balance	1,254,620
Additions/ Adjustments	242,861
Foreign Currency Translation	(21,637)
Goodwill, ending balance	$ 1,475,844

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Goodwill and Intangible Assets - Intangible Table by Major Class (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 3,117,160	$ 2,971,077
Accumulated Amortization	(1,087,146)	(1,040,269)
Net Carrying Amount	2,030,014	1,930,808
Customer-related
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	2,637,724	2,498,001
Accumulated Amortization	(872,216)	(842,056)
Net Carrying Amount	1,765,508	1,655,945
Technology
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	288,708	283,251
Accumulated Amortization	(110,107)	(96,782)
Net Carrying Amount	178,601	186,469
Patents
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	126,385	126,950
Accumulated Amortization	(70,784)	(70,745)
Net Carrying Amount	55,601	56,205
Other
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	64,343	62,875
Accumulated Amortization	(34,039)	(30,686)
Net Carrying Amount	$ 30,304	$ 32,189

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Goodwill and Intangible Assets - Amortization (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Aug. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization - Intangible assets	$ 109,069	$ 102,542
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract]
Remainder of 2023	333,744
2024	373,490
2025	339,358
2026	293,457
2027	232,307
Thereafter	457,658
Net Carrying Amount	$ 2,030,014		$ 1,930,808

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Shareholders' Equity - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021	Dec. 15, 2022
Dividends [Line Items]
Cancellation of treasury shares (in shares)	8,828,496
Cancellation of treasury shares	$ 2,595,281
Dividends	$ (705,567)	$ (613,208)
Subsequent Event
Dividends [Line Items]
Dividends Payable, Amount Per Share (in USD per share)			$ 1.12
Restricted Share Units
Dividends [Line Items]
Shares issued (in shares)	87,746
Restricted Share Units | Common Stock
Dividends [Line Items]
Dividends	$ 25,763	$ 26,281

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Shareholders' Equity - Dividend Activity (Details) - USD ($) $ / shares in Units, $ in Thousands			3 Months Ended
	Oct. 13, 2022	Oct. 11, 2022	Nov. 30, 2022	Nov. 30, 2021
Dividends [Line Items]
Dividend Per Share (in USD per share)			$ 1.12	$ 0.97
Dividend Payment November 2022
Dividends [Line Items]
Dividend Per Share (in USD per share)			$ 1.12
Cash Outlay			$ 705,567
Dividend Payment November 2022 | Accenture Canada Holdings Inc. Exchangeable Shares
Dividends [Line Items]
Cash Outlay		$ 629
Dividend Payment November 2022 | Class A Ordinary Shares
Dividends [Line Items]
Cash Outlay	$ 704,938

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Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Gain (loss) recognized in income on derivatives	$ (29,691)	$ (23,479)

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Financial Instruments - Notional and Fair Values of All Derivative Instruments (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Assets
Total assets	$ 159,434	$ 167,733
Liabilities
Total liabilities	117,234	187,485
Total fair value	42,200	(19,752)
Total notional value	10,646,500	11,095,604
Cash Flow Hedges | Other current assets
Assets
Total assets	61,110	89,867
Cash Flow Hedges | Other non-current assets
Assets
Total assets	54,177	69,209
Cash Flow Hedges | Other accrued liabilities
Liabilities
Total liabilities	77,023	61,156
Cash Flow Hedges | Other non-current liabilities
Liabilities
Total liabilities	34,649	42,537
Other Derivatives | Other current assets
Assets
Total assets	44,147	8,657
Other Derivatives | Other accrued liabilities
Liabilities
Total liabilities	$ 5,562	$ 83,792

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Financial Instruments - Offsetting Derivative Assets and Liabilities (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Net derivative assets	$ 90,380	$ 140,073
Net derivative liabilities	48,180	159,825
Total fair value	$ 42,200	$ (19,752)

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Income Taxes (Details)	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
Income Tax Disclosure [Abstract]
Effective Income Tax Rate Reconciliation, Percent	23.30%	24.40%

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Commitments and Contingencies (Details) - USD ($) $ in Thousands	Nov. 30, 2022	Aug. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Expressly limited performance guarantee	$ 1,519,000	$ 1,349,000
Portion of guarantee not recoverable	64,000	49,000
Letter of Credit and Surety Bonds Outstanding	$ 1,105,624	$ 1,116,298

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Segment Reporting - Additional Information (Details)	3 Months Ended
	Nov. 30, 2022 reportableSegment
Segment Reporting [Abstract]
Number of reportable segments	3

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Segment Reporting - Reportable Operating Segments (Details) - USD ($) $ in Thousands	3 Months Ended
	Nov. 30, 2022	Nov. 30, 2021
Segment Reporting Information [Line Items]
Total Revenues	$ 15,747,802	$ 14,965,153
Total Operating Income	2,593,100	2,434,294
Consulting
Segment Reporting Information [Line Items]
Total Revenues	8,444,367	8,392,409
Managed Services
Segment Reporting Information [Line Items]
Total Revenues	7,303,435	6,572,744
Communications, Media & Technology
Segment Reporting Information [Line Items]
Total Revenues	2,980,203	2,897,295
Financial Services
Segment Reporting Information [Line Items]
Total Revenues	2,963,396	2,917,720
Health & Public Service
Segment Reporting Information [Line Items]
Total Revenues	3,000,019	2,730,034
Products
Segment Reporting Information [Line Items]
Total Revenues	4,665,788	4,467,897
Resources
Segment Reporting Information [Line Items]
Total Revenues	2,138,396	1,952,207
North America
Segment Reporting Information [Line Items]
Total Revenues	7,622,820	6,907,215
Total Operating Income	1,309,883	1,244,417
Europe
Segment Reporting Information [Line Items]
Total Revenues	5,072,050	5,100,068
Total Operating Income	690,000	744,856
Growth Markets
Segment Reporting Information [Line Items]
Total Revenues	3,052,932	2,957,870
Total Operating Income	$ 593,217	$ 445,021