Bengaluru: Accenture has slashed its FY20 revenue growth expectation, despite strong strong quarter growth, as result of the spreading Covid-19 epidemic, a move that will likely be replicated when Indian IT companies begin to report their results in AprilThe New York-listed IT services giant follows a September to August financial year and is the first company to make an earnings announcement since the global pandemic began.The coronavirus (COVID-19) crisis is rapidly evolving and has created a significant amount of uncertainty.
Accentures third-quarter and full-year 2020 business outlook reflects its assumptions, as of today, regarding the potential effect of the coronavirus pandemic, the company said in its second-quarter earnings release.
For fiscal 2020, the company now expects revenue growth to be in the range of 3 per cent to 6 per cent in local currency, compared with 6 per cent to 8 per cent previously.
It expects revenues for the third quarter of fiscal 2020 to be $10.75-$11.15 billion, or negative 2 per cent to positive 2 per cent growth in local currency.
In the second-quarter, Accentures revenue grew 7 per cent in dollar terms, or 8 per cent in local currency, to $11.1 billion.
The world is now facing a global health crisis and significant disruption in the global economy.
I am incredibly proud of how our leadership team and all our people have rallied to ensure the safety and well-being of each other while continuing to serve our clients at this time of great need, Julie Sweet, Accenture CEO, said.