Accenture becomes first IT services company to call out macro uncertainty

Dublin, Ireland-headquartered Accenture Plc became the first IT industry major to call out macroeconomic uncertainty in the US, the world’s top technology market, during a post-earnings interaction with analysts on Thursday. “In recent weeks, we are seeing an elevated level of what was already significant uncertainty in the global economic and geopolitical environment, marking a shift from our first quarter FY25 earnings report in December," said Julie Sweet, chief executive of Accenture, as part of her prepared comments in the company’s post-earnings call. Sweet added that the US government had instructed federal agencies to review their contracts with the country’s 10 largest consulting firms including Accenture Federal Services and determine those that are not mission critical. Accenture’s dim outlook stokes further uncertainty for India’s five largest software service providers including Tata Consultancy Services Ltd, Infosys Ltd, HCL Technologies Ltd, Wipro Ltd, and Tech Mahindra Ltd, which are expected to announce their FY25 earnings next month. For context, Accenture’s total order bookings from Gen AI alone are more than the FY24 revenue of LTIMindtree Ltd, India’s sixth largest software services company.