FALSE2023Q100014673738/31P9MP1Y00014673732022-09-012022-11-300001467373us-gaap:CommonClassAMember2022-12-06xbrli:shares0001467373acn:CommonClassXMember2022-12-0600014673732022-11-30iso4217:USD00014673732022-08-310001467373acn:OrdinarySharesMember2022-11-30iso4217:EURxbrli:shares0001467373acn:OrdinarySharesMember2022-08-310001467373us-gaap:CommonClassAMember2022-08-31iso4217:USDxbrli:shares0001467373us-gaap:CommonClassAMember2022-11-300001467373acn:CommonClassXMember2022-11-300001467373acn:CommonClassXMember2022-08-3100014673732021-09-012021-11-300001467373acn:OrdinarySharesMemberus-gaap:CommonStockMember2022-08-310001467373us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-08-310001467373us-gaap:CommonStockMemberacn:CommonClassXMember2022-08-310001467373us-gaap:CommonStockMemberus-gaap:RestrictedStockUnitsRSUMember2022-08-310001467373us-gaap:AdditionalPaidInCapitalMember2022-08-310001467373us-gaap:TreasuryStockMember2022-08-310001467373us-gaap:RetainedEarningsMember2022-08-310001467373us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-08-310001467373us-gaap:ParentMember2022-08-310001467373us-gaap:NoncontrollingInterestMember2022-08-310001467373us-gaap:RetainedEarningsMember2022-09-012022-11-300001467373us-gaap:ParentMember2022-09-012022-11-300001467373us-gaap:NoncontrollingInterestMember2022-09-012022-11-300001467373us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-09-012022-11-300001467373us-gaap:AdditionalPaidInCapitalMember2022-09-012022-11-300001467373us-gaap:TreasuryStockMember2022-09-012022-11-300001467373us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-09-012022-11-300001467373us-gaap:CommonStockMemberus-gaap:RestrictedStockUnitsRSUMember2022-09-012022-11-300001467373us-gaap:CommonStockMemberacn:CommonClassXMember2022-09-012022-11-300001467373acn:OrdinarySharesMemberus-gaap:CommonStockMember2022-11-300001467373us-gaap:CommonClassAMemberus-gaap:CommonStockMember2022-11-300001467373us-gaap:CommonStockMemberacn:CommonClassXMember2022-11-300001467373us-gaap:CommonStockMemberus-gaap:RestrictedStockUnitsRSUMember2022-11-300001467373us-gaap:AdditionalPaidInCapitalMember2022-11-300001467373us-gaap:TreasuryStockMember2022-11-300001467373us-gaap:RetainedEarningsMember2022-11-300001467373us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-11-300001467373us-gaap:ParentMember2022-11-300001467373us-gaap:NoncontrollingInterestMember2022-11-300001467373acn:OrdinarySharesMemberus-gaap:CommonStockMember2021-08-310001467373us-gaap:CommonClassAMemberus-gaap:CommonStockMember2021-08-310001467373us-gaap:CommonStockMemberacn:CommonClassXMember2021-08-310001467373us-gaap:CommonStockMemberus-gaap:RestrictedStockUnitsRSUMember2021-08-310001467373us-gaap:AdditionalPaidInCapitalMember2021-08-310001467373us-gaap:TreasuryStockMember2021-08-310001467373us-gaap:RetainedEarningsMember2021-08-310001467373us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-08-310001467373us-gaap:ParentMember2021-08-310001467373us-gaap:NoncontrollingInterestMember2021-08-3100014673732021-08-310001467373us-gaap:RetainedEarningsMember2021-09-012021-11-300001467373us-gaap:ParentMember2021-09-012021-11-300001467373us-gaap:NoncontrollingInterestMember2021-09-012021-11-300001467373us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-09-012021-11-300001467373us-gaap:AdditionalPaidInCapitalMember2021-09-012021-11-300001467373us-gaap:TreasuryStockMember2021-09-012021-11-300001467373us-gaap:CommonStockMemberus-gaap:RestrictedStockUnitsRSUMember2021-09-012021-11-300001467373us-gaap:CommonStockMemberacn:CommonClassXMember2021-09-012021-11-300001467373us-gaap:CommonClassAMemberus-gaap:CommonStockMember2021-09-012021-11-300001467373acn:OrdinarySharesMemberus-gaap:CommonStockMember2021-11-300001467373us-gaap:CommonClassAMemberus-gaap:CommonStockMember2021-11-300001467373us-gaap:CommonStockMemberacn:CommonClassXMember2021-11-300001467373us-gaap:CommonStockMemberus-gaap:RestrictedStockUnitsRSUMember2021-11-300001467373us-gaap:AdditionalPaidInCapitalMember2021-11-300001467373us-gaap:TreasuryStockMember2021-11-300001467373us-gaap:RetainedEarningsMember2021-11-300001467373us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-11-300001467373us-gaap:ParentMember2021-11-300001467373us-gaap:NoncontrollingInterestMember2021-11-3000014673732021-11-300001467373acn:DuckCreekTechnologiesMember2022-11-30xbrli:pure00014673732022-12-012022-11-3000014673732023-09-012022-11-300001467373us-gaap:SeriesOfIndividuallyImmaterialBusinessAcquisitionsMember2022-09-012022-11-300001467373srt:NorthAmericaMember2022-08-310001467373srt:NorthAmericaMember2022-09-012022-11-300001467373srt:NorthAmericaMember2022-11-300001467373srt:EuropeMember2022-08-310001467373srt:EuropeMember2022-09-012022-11-300001467373srt:EuropeMember2022-11-300001467373acn:GrowthMarketsMember2022-08-310001467373acn:GrowthMarketsMember2022-09-012022-11-300001467373acn:GrowthMarketsMember2022-11-300001467373us-gaap:CustomerRelatedIntangibleAssetsMember2022-08-310001467373us-gaap:CustomerRelatedIntangibleAssetsMember2022-11-300001467373us-gaap:TechnologyBasedIntangibleAssetsMember2022-08-310001467373us-gaap:TechnologyBasedIntangibleAssetsMember2022-11-300001467373us-gaap:PatentsMember2022-08-310001467373us-gaap:PatentsMember2022-11-300001467373us-gaap:OtherIntangibleAssetsMember2022-08-310001467373us-gaap:OtherIntangibleAssetsMember2022-11-300001467373acn:DividendPaymentNovember2022Member2022-09-012022-11-300001467373acn:DividendPaymentNovember2022Memberus-gaap:CommonClassAMember2022-10-132022-10-130001467373acn:DividendPaymentNovember2022Memberacn:AccentureHoldingsPlcOrdinarySharesAndAccentureCanadaHoldingsIncExchangeableSharesMember2022-10-112022-10-110001467373us-gaap:RestrictedStockUnitsRSUMember2022-09-012022-11-300001467373us-gaap:SubsequentEventMember2022-12-150001467373us-gaap:OtherCurrentAssetsMemberus-gaap:CashFlowHedgingMember2022-11-300001467373us-gaap:OtherCurrentAssetsMemberus-gaap:CashFlowHedgingMember2022-08-310001467373us-gaap:OtherAssetsMemberus-gaap:CashFlowHedgingMember2022-11-300001467373us-gaap:OtherAssetsMemberus-gaap:CashFlowHedgingMember2022-08-310001467373us-gaap:OtherCurrentAssetsMemberacn:OtherDerivativeInstrumentsMember2022-11-300001467373us-gaap:OtherCurrentAssetsMemberacn:OtherDerivativeInstrumentsMember2022-08-310001467373us-gaap:OtherCurrentLiabilitiesMemberus-gaap:CashFlowHedgingMember2022-11-300001467373us-gaap:OtherCurrentLiabilitiesMemberus-gaap:CashFlowHedgingMember2022-08-310001467373us-gaap:OtherLiabilitiesMemberus-gaap:CashFlowHedgingMember2022-11-300001467373us-gaap:OtherLiabilitiesMemberus-gaap:CashFlowHedgingMember2022-08-310001467373acn:OtherDerivativeInstrumentsMemberus-gaap:OtherCurrentLiabilitiesMember2022-11-300001467373acn:OtherDerivativeInstrumentsMemberus-gaap:OtherCurrentLiabilitiesMember2022-08-31acn:reportableSegment0001467373srt:NorthAmericaMember2022-09-012022-11-300001467373srt:NorthAmericaMember2021-09-012021-11-300001467373srt:EuropeMember2022-09-012022-11-300001467373srt:EuropeMember2021-09-012021-11-300001467373acn:GrowthMarketsMember2022-09-012022-11-300001467373acn:GrowthMarketsMember2021-09-012021-11-300001467373acn:CommunicationsMediaAndTechnologyMember2022-09-012022-11-300001467373acn:CommunicationsMediaAndTechnologyMember2021-09-012021-11-300001467373acn:FinancialServicesSegmentMember2022-09-012022-11-300001467373acn:FinancialServicesSegmentMember2021-09-012021-11-300001467373acn:HealthAndPublicServiceSegmentMember2022-09-012022-11-300001467373acn:HealthAndPublicServiceSegmentMember2021-09-012021-11-300001467373acn:ProductsSegmentMember2022-09-012022-11-300001467373acn:ProductsSegmentMember2021-09-012021-11-300001467373acn:ResourcesSegmentMember2022-09-012022-11-300001467373acn:ResourcesSegmentMember2021-09-012021-11-300001467373acn:ConsultingRevenueMember2022-09-012022-11-300001467373acn:ConsultingRevenueMember2021-09-012021-11-300001467373acn:OutsourcingRevenueMember2022-09-012022-11-300001467373acn:OutsourcingRevenueMember2021-09-012021-11-30
Table of Contents


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
acn-20221130_g1.gif
Accenture plc
(Exact name of registrant as specified in its charter)
Ireland98-0627530
(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) (1646-2000
(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Class A ordinary shares, par value $0.0000225 per shareACNNew 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 filerAccelerated filerNon-accelerated filer
Smaller reporting companyEmerging 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.
Item 1.
Item 2.
Item 3.
Item 4.
Part II.
Item 1.
Item 1A.
Item 2.
Item 3.
Item 4.
Item 5.
Item 6.


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, 2022August 31, 2022
ASSETS(Unaudited)
CURRENT ASSETS:
Cash and cash equivalents$5,899,703 $7,889,833 
Short-term investments4,095 3,973 
Receivables and contract assets12,610,353 11,776,775 
Other current assets2,158,309 1,940,290 
Total current assets20,672,460 21,610,871 
NON-CURRENT ASSETS:
Contract assets68,730 46,844 
Investments324,382 317,972 
Property and equipment, net1,634,074 1,659,140 
Lease assets2,997,162 3,018,535 
Goodwill13,790,686 13,133,293 
Deferred contract costs832,653 807,940 
Deferred tax assets4,029,760 4,001,200 
Other non-current assets2,765,867 2,667,595 
Total non-current assets26,443,314 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 payable2,417,777 2,559,485 
Deferred revenues4,326,633 4,478,048 
Accrued payroll and related benefits6,872,860 7,611,794 
Income taxes payable694,354 646,471 
Lease liabilities707,863 707,598 
Other accrued liabilities1,431,329 1,510,925 
Total current liabilities16,460,246 17,523,496 
NON-CURRENT LIABILITIES:
Long-term debt45,122 45,893 
Deferred revenues710,017 712,715 
Retirement obligation1,601,619 1,692,152 
Deferred tax liabilities373,006 318,584 
Income taxes payable1,273,738 1,198,139 
Lease liabilities2,537,632 2,563,090 
Other non-current liabilities448,444 462,233 
Total non-current liabilities6,989,578 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 units2,167,437 2,091,382 
Additional paid-in capital11,051,309 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 earnings16,981,432 18,203,842 
Accumulated other comprehensive loss(2,055,672)(2,190,342)
Total Accenture plc shareholders’ equity22,974,611 22,106,097 
Noncontrolling interests691,339 640,991 
Total shareholders’ equity23,665,950 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.


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)
20222021
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 expenses13,154,702 12,530,859 
OPERATING INCOME2,593,100 2,434,294 
Interest income44,705 6,050 
Interest expense(7,280)(11,183)
Other income (expense), net (28,907)(23,029)
INCOME BEFORE INCOME TAXES2,601,618 2,406,132 
Income tax expense605,318 586,402 
NET INCOME1,996,300 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:
Basic630,137,262 632,280,932 
Diluted638,766,821 644,922,661 
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.


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)
20222021
NET INCOME$1,996,300 $1,819,730 
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX:
Foreign currency translation84,168 (220,763)
Defined benefit plans91,680 (12,961)
Cash flow hedges(41,178)(54,015)
OTHER COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO ACCENTURE PLC134,670 (287,739)
Other comprehensive income (loss) attributable to noncontrolling interests2,869 (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 interests34,219 23,034 
COMPREHENSIVE INCOME$2,133,839 $1,526,319 
The accompanying Notes are an integral part of these Consolidated Financial Statements.



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 SharesRetained
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 income1,964,950 1,964,950 31,350 1,996,300 
Other comprehensive income (loss)134,670 134,670 2,869 137,539 
Purchases of Class A shares1,304 (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 expense369,494 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 programs2,522 (319,202)491,630 329,937 966 (37,079)465,286 421 465,707 
Dividends25,763 (730,701)(704,938)(629)(705,567)
Other, net475 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.


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 SharesRetained
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 income1,791,024 1,791,024 28,706 1,819,730 
Other comprehensive income (loss)(287,739)(287,739)(5,672)(293,411)
Purchases of Class A shares824 (842,842)(2,435)(842,018)(824)(842,842)
Share-based compensation expense317,552 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 programs1,742 (163,251)430,539 171,708 693 (30,260)408,736 394 409,130 
Dividends26,281 (638,824)(612,543)(665)(613,208)
Other, net3,118 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.















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)
20222021
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 other506,229 500,865 
Share-based compensation expense425,469 365,691 
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-current115,187 188,972 
Other current and non-current liabilities(285,004)(182,786)
Net cash provided by (used in) operating activities495,398 530,871 
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 transferred596 87 
Other investing, net2,620 4,031 
Net cash provided by (used in) investing activities(782,074)(1,912,581)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of shares465,707 409,130 
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.




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, 2022August 31, 2022
Equity method investments$166,360 $164,164 
Investments without readily determinable fair values158,022 153,808 
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.







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, 2022November 30, 2021
Depreciation$144,049 $138,793 
Amortization - Deferred transition70,440 67,206 
Amortization - Intangible assets109,069 102,542 
Operating lease cost180,502 190,242 
Other2,169 2,082 
Total depreciation, amortization and other$506,229 $500,865 




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, 2022As 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.


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, 2022November 30, 2021
Basic earnings per share
Net income attributable to Accenture plc$1,964,950 $1,791,024 
Basic weighted average Class A ordinary shares630,137,262 632,280,932 
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 shares630,137,262 632,280,932 
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 shares7,847,787 11,727,163 
Diluted effect of share purchase plans related to Class A ordinary shares113,057 231,650 
Diluted weighted average Class A ordinary shares638,766,821 644,922,661 
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.


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, 2022November 30, 2021
Foreign currency translation
    Beginning balance$(1,852,320)$(975,064)
             Foreign currency translation86,984 (227,093)
             Income tax benefit (expense)  730 
             Portion attributable to noncontrolling interests(2,816)5,600 
             Foreign currency translation, net of tax84,168 (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 tax91,680 (12,961)
    Ending balance(257,091)(572,919)
Cash flow hedges
    Beginning balance10,749 115,525 
             Unrealized gain (loss) (59,879)(33,108)
             Reclassification adjustments into Cost of services2,606 (27,734)
             Income tax benefit (expense) 16,051 6,769 
             Portion attributable to noncontrolling interests44 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.


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 
Europe4,134,091 151,436 123,001 4,408,528 
Growth Markets1,254,620 242,861 (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, 2022November 30, 2022
Intangible Asset ClassGross Carrying AmountAccumulated AmortizationNet Carrying AmountGross Carrying AmountAccumulated AmortizationNet Carrying Amount
Customer-related$2,498,001 $(842,056)$1,655,945 $2,637,724 $(872,216)$1,765,508 
Technology283,251 (96,782)186,469 288,708 (110,107)178,601 
Patents126,950 (70,745)56,205 126,385 (70,784)55,601 
Other62,875 (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 YearEstimated Amortization
Remainder of 2023$333,744 
2024373,490 
2025339,358 
2026293,457 
2027232,307 
Thereafter457,658 
Total$2,030,014 



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 DateRecord DateCash OutlayRecord DateCash 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.



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, 2022August 31, 2022
Assets
Cash Flow Hedges
Other current assets$61,110 $89,867 
Other non-current assets54,177 69,209 
Other Derivatives
Other current assets44,147 8,657 
Total assets$159,434 $167,733 
Liabilities
Cash Flow Hedges
Other accrued liabilities$77,023 $61,156 
Other non-current liabilities34,649 42,537 
Other Derivatives
Other accrued liabilities5,562 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, 2022August 31, 2022
Net derivative assets$90,380 $140,073 
Net derivative liabilities48,180 159,825 
Total fair value$42,200 $(19,752)



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.


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, 2022November 30, 2021
Geographic Markets
North America$7,622,820 $6,907,215 
Europe5,072,050 5,100,068 
Growth Markets3,052,932 2,957,870 
Total Revenues$15,747,802 $14,965,153 
Industry Groups (1)
Communications, Media & Technology$2,980,203 $2,897,295 
Financial Services2,963,396 2,917,720 
Health & Public Service3,000,019 2,730,034 
Products4,665,788 4,467,897 
Resources2,138,396 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, 2022November 30, 2021
Geographic Markets
North America$1,309,883 $1,244,417 
Europe690,000 744,856 
Growth Markets593,217 445,021 
Total Operating Income$2,593,100 $2,434,294 <