Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
May. 31, 2015 | Jun. 11, 2015 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | May 31, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | ACN | |
Entity Registrant Name | Accenture plc | |
Entity Central Index Key | 1,467,373 | |
Current Fiscal Year End Date | --08-31 | |
Entity Filer Category | Large Accelerated Filer | |
Class A ordinary shares | ||
Entity Common Stock, Shares Outstanding | 797,580,908 | |
Class X Ordinary Shares | ||
Entity Common Stock, Shares Outstanding | 26,252,846 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | May. 31, 2015 | Aug. 31, 2014 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 4,026,189 | $ 4,921,305 |
Short-term investments | 2,383 | 2,602 |
Receivables from clients, net | 3,717,048 | 3,859,567 |
Unbilled services, net | 1,831,087 | 1,803,767 |
Deferred income taxes, net | 865,472 | 731,820 |
Other current assets | 627,342 | 585,381 |
Total current assets | 11,069,521 | 11,904,442 |
NON-CURRENT ASSETS: | ||
Unbilled services, net | 23,523 | 28,039 |
Investments | 43,763 | 66,783 |
Property and equipment, net | 752,362 | 793,444 |
Goodwill | 2,669,172 | 2,395,894 |
Deferred contract costs | 622,026 | 629,905 |
Deferred income taxes, net | 1,231,676 | 1,152,105 |
Other non-current assets | 896,684 | 959,840 |
Total non-current assets | 6,239,206 | 6,026,010 |
TOTAL ASSETS | 17,308,727 | 17,930,452 |
CURRENT LIABILITIES: | ||
Current portion of long-term debt and bank borrowings | 1 | 330 |
Accounts payable | 1,040,645 | 1,064,228 |
Deferred revenues | 2,142,085 | 2,348,034 |
Accrued payroll and related benefits | 3,305,945 | 3,380,748 |
Accrued consumption taxes | 328,180 | 360,430 |
Income taxes payable | 348,526 | 355,274 |
Deferred income taxes, net | 257,896 | 23,937 |
Other accrued liabilities | 465,164 | 625,098 |
Total current liabilities | 7,888,442 | 8,158,079 |
NON-CURRENT LIABILITIES: | ||
Long-term debt | 27,217 | 26,403 |
Deferred revenues relating to contract costs | 506,409 | 544,831 |
Retirement obligation | 1,053,204 | 1,107,931 |
Deferred income taxes, net | 190,733 | 198,734 |
Income taxes payable | 896,075 | 1,303,367 |
Other non-current liabilities | 280,416 | 305,770 |
Total non-current liabilities | $ 2,954,054 | $ 3,487,036 |
COMMITMENTS AND CONTINGENCIES | ||
SHAREHOLDERS’ EQUITY: | ||
Restricted share units | $ 1,113,827 | $ 921,586 |
Additional paid-in capital | 4,206,267 | 3,347,392 |
Treasury shares, at cost: Ordinary, 40,000 shares as of May 31, 2015 and August 31, 2014; Class A ordinary, 173,057,063 and 158,370,179 shares as of May 31, 2015 and August 31, 2014, respectively | (10,897,911) | (9,423,202) |
Retained earnings | 12,741,223 | 11,758,131 |
Accumulated other comprehensive loss | (1,252,268) | (871,948) |
Total Accenture plc shareholders’ equity | 5,911,214 | 5,732,035 |
Noncontrolling interests | 555,017 | 553,302 |
Total shareholders’ equity | 6,466,231 | 6,285,337 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | 17,308,727 | 17,930,452 |
Ordinary Shares | ||
SHAREHOLDERS’ EQUITY: | ||
Ordinary shares, value | 57 | 57 |
Class A ordinary shares | ||
SHAREHOLDERS’ EQUITY: | ||
Ordinary shares, value | 18 | 18 |
Class X Ordinary Shares | ||
SHAREHOLDERS’ EQUITY: | ||
Ordinary shares, value | $ 1 | $ 1 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) | May. 31, 2015$ / sharesshares | May. 31, 2015€ / sharesshares | Aug. 31, 2014$ / sharesshares | Aug. 31, 2014€ / sharesshares |
Ordinary Shares | ||||
Ordinary shares, par value | € / shares | € 1 | € 1 | ||
Ordinary shares, shares authorized | 40,000 | 40,000 | 40,000 | 40,000 |
Ordinary shares, shares issued | 40,000 | 40,000 | 40,000 | 40,000 |
Treasury shares, ordinary shares | 40,000 | 40,000 | 40,000 | 40,000 |
Class A ordinary shares | ||||
Ordinary shares, par value | $ / shares | $ 0.0000225 | $ 0.0000225 | ||
Ordinary shares, shares authorized | 20,000,000,000 | 20,000,000,000 | 20,000,000,000 | 20,000,000,000 |
Ordinary shares, shares issued | 797,407,240 | 797,407,240 | 786,868,852 | 786,868,852 |
Treasury shares, ordinary shares | 173,057,063 | 173,057,063 | 158,370,179 | 158,370,179 |
Class X Ordinary Shares | ||||
Ordinary shares, par value | $ / shares | $ 0.0000225 | $ 0.0000225 | ||
Ordinary shares, shares authorized | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 |
Ordinary shares, shares issued | 26,252,846 | 26,252,846 | 28,057,398 | 28,057,398 |
Ordinary shares, shares outstanding | 26,252,846 | 26,252,846 | 28,057,398 | 28,057,398 |
CONSOLIDATED INCOME STATEMENTS
CONSOLIDATED INCOME STATEMENTS - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | |
REVENUES: | ||||
Revenues before reimbursements (“Net revenues”) | $ 7,770,382 | $ 7,735,638 | $ 23,159,426 | $ 22,225,054 |
Reimbursements | 504,684 | 504,542 | 1,390,487 | 1,382,305 |
Revenues | 8,275,066 | 8,240,180 | 24,549,913 | 23,607,359 |
Cost of services: | ||||
Cost of services before reimbursable expenses | 5,245,477 | 5,199,281 | 15,854,592 | 15,009,208 |
Reimbursable expenses | 504,684 | 504,542 | 1,390,487 | 1,382,305 |
Cost of services | 5,750,161 | 5,703,823 | 17,245,079 | 16,391,513 |
Sales and marketing | 874,713 | 899,250 | 2,580,931 | 2,664,715 |
General and administrative costs | 452,291 | 458,341 | 1,317,260 | 1,347,999 |
Pension settlement charge | 64,382 | 0 | 64,382 | 0 |
Reorganization benefits, net | 0 | 0 | 0 | (18,015) |
Total operating expenses | 7,141,547 | 7,061,414 | 21,207,652 | 20,386,212 |
OPERATING INCOME | 1,133,519 | 1,178,766 | 3,342,261 | 3,221,147 |
Interest income | 6,441 | 7,513 | 25,880 | 22,229 |
Interest expense | (4,030) | (4,290) | (10,746) | (12,296) |
Other expense, net | (3,839) | (6,051) | (28,326) | (21,437) |
INCOME BEFORE INCOME TAXES | 1,132,091 | 1,175,938 | 3,329,069 | 3,209,643 |
Provision for income taxes | 281,861 | 294,125 | 843,405 | 793,853 |
NET INCOME | 850,230 | 881,813 | 2,485,664 | 2,415,790 |
Net income attributable to noncontrolling interests in Accenture SCA and Accenture Canada Holdings Inc. | (46,283) | (51,523) | (137,972) | (143,470) |
Net income attributable to noncontrolling interests – other | (10,250) | (12,954) | (31,739) | (31,838) |
NET INCOME ATTRIBUTABLE TO ACCENTURE PLC | $ 793,697 | $ 817,336 | $ 2,315,953 | $ 2,240,482 |
Weighted average Class A ordinary shares: | ||||
Basic | 625,969,418 | 633,128,417 | 627,523,298 | 635,231,759 |
Diluted | 677,825,768 | 691,038,145 | 679,719,183 | 693,943,009 |
Earnings per Class A ordinary share: | ||||
Basic | $ 1.27 | $ 1.29 | $ 3.69 | $ 3.53 |
Diluted | 1.24 | 1.26 | 3.61 | 3.44 |
Cash dividends per share | $ 1.02 | $ 0.93 | $ 2.04 | $ 1.86 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
NET INCOME | $ 850,230 | $ 881,813 | $ 2,485,664 | $ 2,415,790 |
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX: | ||||
Foreign currency translation | (90,613) | 63,690 | (433,613) | 144,650 |
Defined benefit plans | 3,156 | 3,056 | 11,285 | 11,024 |
Cash flow hedges | (31,921) | 93,343 | 42,008 | 190,660 |
OTHER COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO ACCENTURE PLC | (119,378) | 160,089 | (380,320) | 346,334 |
Other comprehensive income attributable to noncontrolling interests | 998 | 10,700 | 10,377 | 21,693 |
COMPREHENSIVE INCOME | 731,850 | 1,052,602 | 2,115,721 | 2,783,817 |
COMPREHENSIVE INCOME ATTRIBUTABLE TO ACCENTURE PLC | 674,319 | 977,425 | 1,935,633 | 2,586,816 |
Comprehensive income attributable to noncontrolling interests | 57,531 | 75,177 | 180,088 | 197,001 |
COMPREHENSIVE INCOME | $ 731,850 | $ 1,052,602 | $ 2,115,721 | $ 2,783,817 |
CONSOLIDATED SHAREHOLDERS' EQUI
CONSOLIDATED SHAREHOLDERS' EQUITY STATEMENT - 9 months ended May. 31, 2015 - USD ($) shares in Thousands, $ in Thousands | Total | 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 |
Beginning Balance at Aug. 31, 2014 | $ 6,285,337 | $ 57 | $ 18 | $ 1 | $ 921,586 | $ 3,347,392 | $ (9,423,202) | $ 11,758,131 | $ (871,948) | $ 5,732,035 | $ 553,302 |
Beginning Balance (in shares) at Aug. 31, 2014 | 40 | 786,869 | 28,057 | ||||||||
Beginning Balance Treasury (in shares) at Aug. 31, 2014 | (158,410) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 2,485,664 | 2,315,953 | 2,315,953 | 169,711 | |||||||
Other comprehensive income, net of tax | (369,943) | (380,320) | (380,320) | 10,377 | |||||||
Income tax benefit on share-based compensation plans | 181,329 | 181,329 | 181,329 | ||||||||
Purchases of Class A ordinary shares | (1,652,124) | 82,930 | $ (1,652,124) | (1,569,194) | (82,930) | ||||||
Purchases of Class A ordinary shares (in shares) | (19,231) | ||||||||||
Share-based compensation expense | 531,691 | 497,007 | 34,684 | 531,691 | |||||||
Purchases/redemptions of Accenture SCA Class I common shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares | (136,850) | (130,075) | (130,075) | (6,775) | |||||||
Purchases/redemptions of Accenture SCA Class I common shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares (in shares) | (1,804) | ||||||||||
Issuances of Class A ordinary shares | |||||||||||
Employee share programs | 496,339 | (356,997) | 652,135 | $ 177,415 | 472,553 | 23,786 | |||||
Employee share programs (in shares) | 9,427 | 4,544 | |||||||||
Upon redemption of Accenture SCA Class I common shares (shares) | 1,111 | ||||||||||
Upon redemption of Accenture SCA Class I common shares | 0 | 5,413 | 5,413 | (5,413) | |||||||
Dividends | (1,353,471) | 52,231 | (1,329,018) | (1,276,787) | (76,684) | ||||||
Other, net | (1,741) | 32,459 | (3,843) | 28,616 | (30,357) | ||||||
Ending Balance (in shares) at May. 31, 2015 | 40 | 797,407 | 26,253 | ||||||||
Ending Balance Treasury (in shares) at May. 31, 2015 | (173,097) | ||||||||||
Ending Balance at May. 31, 2015 | $ 6,466,231 | $ 57 | $ 18 | $ 1 | $ 1,113,827 | $ 4,206,267 | $ (10,897,911) | $ 12,741,223 | $ (1,252,268) | $ 5,911,214 | $ 555,017 |
CONSOLIDATED CASH FLOWS STATEME
CONSOLIDATED CASH FLOWS STATEMENTS - USD ($) $ in Thousands | 9 Months Ended | |
May. 31, 2015 | May. 31, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 2,485,664 | $ 2,415,790 |
Adjustments to reconcile Net income to Net cash provided by operating activities — | ||
Depreciation, amortization and asset impairments | 472,160 | 456,664 |
Reorganization benefits, net | 0 | (18,015) |
Share-based compensation expense | 531,691 | 519,989 |
Deferred income taxes, net | (124,961) | (203,605) |
Other, net | (244,399) | 133,014 |
Change in assets and liabilities, net of acquisitions — | ||
Receivables from clients, net | (68,144) | (331,649) |
Unbilled services, current and non-current, net | (245,320) | (166,744) |
Other current and non-current assets | (281,731) | (294,028) |
Accounts payable | 14,927 | (50,055) |
Deferred revenues, current and non-current | 93,404 | (64,010) |
Accrued payroll and related benefits | 181,678 | (544,946) |
Income taxes payable, current and non-current | (184,803) | 158,555 |
Other current and non-current liabilities | (42,615) | (174,087) |
Net cash provided by operating activities | 2,587,551 | 1,836,873 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Proceeds from sales of property and equipment | 2,734 | 4,095 |
Purchases of property and equipment | (246,980) | (220,413) |
Purchases of businesses and investments, net of cash acquired | (442,202) | (675,220) |
Proceeds from the sale of investments | 10,553 | 0 |
Net cash used in investing activities | (675,895) | (891,538) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from issuance of ordinary shares | 496,339 | 487,768 |
Purchases of shares | (1,788,974) | (1,901,867) |
Proceeds from long-term debt, net | 484 | 734 |
Cash dividends paid | (1,353,471) | (1,254,916) |
Excess tax benefits from share-based payment arrangements | 69,185 | 103,066 |
Other, net | (17,500) | (15,360) |
Net cash used in financing activities | (2,593,937) | (2,580,575) |
Effect of exchange rate changes on cash and cash equivalents | (212,835) | 52,214 |
NET DECREASE IN CASH AND CASH EQUIVALENTS | (895,116) | (1,583,026) |
CASH AND CASH EQUIVALENTS, beginning of period | 4,921,305 | 5,631,885 |
CASH AND CASH EQUIVALENTS, end of period | $ 4,026,189 | $ 4,048,859 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
May. 31, 2015 | |
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 (collectively, the “Company”) 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. 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, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC on October 24, 2014 . 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 the Company 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 and nine months ended May 31, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending August 31, 2015 . Allowances for Client Receivables and Unbilled Services As of May 31, 2015 and August 31, 2014 , total allowances recorded for client receivables and unbilled services were $82,442 and $82,643 , respectively. Accumulated Depreciation As of May 31, 2015 and August 31, 2014 , total accumulated depreciation was $1,769,090 and $1,752,965 , respectively. Income Taxes The Company applies an estimated annual effective tax rate to its year-to-date operating results to determine the interim provision for income tax expense. In addition, the Company recognizes 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. The Company’s effective tax rates for the three months ended May 31, 2015 and 2014 were 24.9% and 25.0% , respectively. The Company’s effective tax rates for the nine months ended May 31, 2015 and 2014 were 25.3% and 24.7% , respectively. Absent the tax impact of the pension settlement charge recorded during the three months ended May 31, 2015 (see Note 8 (Retirement and Profit Sharing Plans) to these Consolidated Financial Statements), the effective tax rates would have been 25.7% and 25.6% for the three and nine months ended May 31, 2015, respectively. During the nine months ended May 31, 2015 , the Company concluded that certain undistributed earnings of its U.S. subsidiaries would no longer be considered permanently reinvested and recorded an estimated deferred tax liability of $239,528 for withholding taxes that would be payable on the distribution of these earnings. The higher effective tax rate for the nine months ended May 31, 2015 was primarily due to expenses associated with this increase in deferred tax liabilities, partially offset by higher benefits related to final determinations of tax liabilities for prior years, including a $169,829 benefit related to final settlement of U.S. tax audits for fiscal years 2010 and 2011, and benefits related to changes in the geographic distribution of earnings. New Accounting Pronouncement On May 28, 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers, which will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU is expected to be effective for the Company beginning September 1, 2018, including interim periods in its fiscal year 2019, and allows for both retrospective and prospective methods of adoption. The Company is in the process of determining the method of adoption and assessing the impact of this ASU on its Consolidated Financial Statements. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 9 Months Ended |
May. 31, 2015 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic and diluted earnings per share were calculated as follows: Three Months Ended May 31, Nine Months Ended May 31, 2015 2014 2015 2014 Basic Earnings per share Net income attributable to Accenture plc $ 793,697 $ 817,336 $ 2,315,953 $ 2,240,482 Basic weighted average Class A ordinary shares 625,969,418 633,128,417 627,523,298 635,231,759 Basic earnings per share $ 1.27 $ 1.29 $ 3.69 $ 3.53 Diluted Earnings per share Net income attributable to Accenture plc $ 793,697 $ 817,336 $ 2,315,953 $ 2,240,482 Net income attributable to noncontrolling interests in Accenture SCA and Accenture Canada Holdings Inc. (1) 46,283 51,523 137,972 143,470 Net income for diluted earnings per share calculation $ 839,980 $ 868,859 $ 2,453,925 $ 2,383,952 Basic weighted average Class A ordinary shares 625,969,418 633,128,417 627,523,298 635,231,759 Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1) 36,484,854 39,902,188 37,362,504 40,694,983 Diluted effect of employee compensation related to Class A ordinary shares 15,309,466 17,936,287 14,746,871 17,971,546 Diluted effect of share purchase plans related to Class A ordinary shares 62,030 71,253 86,510 44,721 Diluted weighted average Class A ordinary shares 677,825,768 691,038,145 679,719,183 693,943,009 Diluted earnings per share $ 1.24 $ 1.26 $ 3.61 $ 3.44 _______________ (1) Diluted earnings per share assumes the redemption of all Accenture SCA Class I common shares owned by holders of noncontrolling interests and 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. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS (Notes) | 9 Months Ended |
May. 31, 2015 | |
Equity [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 May 31, Nine Months Ended May 31, 2015 2014 2015 2014 Foreign currency translation Beginning balance $ (667,596 ) $ (333,441 ) $ (324,596 ) $ (414,401 ) Foreign currency translation (87,630 ) 66,568 (429,264 ) 149,898 Income tax (expense) benefit (229 ) 1,860 2,962 3,822 Portion attributable to noncontrolling interests (2,754 ) (4,738 ) (7,311 ) (9,070 ) Foreign currency translation, net of tax (90,613 ) 63,690 (433,613 ) 144,650 Ending balance (758,209 ) (269,751 ) (758,209 ) (269,751 ) Defined benefit plans Beginning balance (523,014 ) (417,436 ) (531,143 ) (425,404 ) Actuarial losses (67,090 ) — (67,090 ) — Pension settlement 64,382 — 64,382 — Reclassifications into net periodic pension and 7,863 5,288 21,172 15,185 Income tax expense (1,828 ) (2,046 ) (6,530 ) (3,471 ) Portion attributable to noncontrolling interests (171 ) (186 ) (649 ) (690 ) Defined benefit plans, net of tax 3,156 3,056 11,285 11,024 Ending balance (519,858 ) (414,380 ) (519,858 ) (414,380 ) Cash flow hedges Beginning balance 57,720 (115,624 ) (16,209 ) (212,941 ) Unrealized (losses) gains (42,442 ) 130,182 75,374 223,807 Reclassification adjustments into Cost of services (8,736 ) 20,676 (13,458 ) 91,725 Income tax benefit (expense) 17,330 (51,739 ) (17,491 ) (112,939 ) Portion attributable to noncontrolling interests 1,927 (5,776 ) (2,417 ) (11,933 ) Cash flow hedges, net of tax (31,921 ) 93,343 42,008 190,660 Ending balance (2) 25,799 (22,281 ) 25,799 (22,281 ) Accumulated other comprehensive loss $ (1,252,268 ) $ (706,412 ) $ (1,252,268 ) $ (706,412 ) _______________ (1) Reclassifications into net periodic pension and post-retirement expense are recognized in Cost of services, Sales and marketing and General and administrative costs. (2) As of May 31, 2015 , $19,931 of net unrealized gains related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next 12 months. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 9 Months Ended |
May. 31, 2015 | |
Business Combination, Goodwill [Abstract] | |
BUSINESS COMBINATIONS | BUSINESS COMBINATIONS On March 25, 2015 , the Company acquired Agilex Technologies, Inc., a provider of digital solutions for the U.S. federal government, for $263,787 , net of cash acquired. This acquisition enhanced Accenture’s digital capabilities in analytics, cloud and mobility for federal agencies and resulted in approximately 730 employees joining the Company. In connection with this acquisition, the Company recorded goodwill of $208,267 , which was allocated to the Health & Public Service operating segment, and intangible assets of $49,700 , primarily related to customer-related intangibles. The goodwill is non-deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to eight years. The pro forma effects of this acquisition on the Company’s operations were not material. During the nine months ended May 31, 2015 , the Company completed other individually immaterial acquisitions for total consideration of $173,396 , net of cash acquired. The pro forma effects of these acquisitions on the Company’s operations were not material. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 9 Months Ended |
May. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | GOODWILL AND INTANGIBLE ASSETS Goodwill The changes in the carrying amount of goodwill by reportable operating segment were as follows: August 31, Additions/ Foreign May 31, Communications, Media & Technology $ 338,855 $ 11,919 $ (18,882 ) $ 331,892 Financial Services 707,093 9,714 (24,634 ) 692,173 Health & Public Service 375,052 216,643 (4,501 ) 587,194 Products 836,858 22,931 (30,746 ) 829,043 Resources 138,036 109,507 (18,673 ) 228,870 Total $ 2,395,894 $ 370,714 $ (97,436 ) $ 2,669,172 Goodwill includes immaterial adjustments related to prior period acquisitions. Intangible Assets The Company’s definite-lived intangible assets by major asset class are as follows: May 31, 2015 August 31, 2014 Intangible Asset Class Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer-related $ 401,581 $ (115,900 ) $ 285,681 $ 334,768 $ (88,447 ) $ 246,321 Technology 110,190 (48,786 ) 61,404 113,938 (41,536 ) 72,402 Patents 116,856 (56,761 ) 60,095 135,022 (70,299 ) 64,723 Other 30,018 (17,448 ) 12,570 37,524 (23,090 ) 14,434 Total $ 658,645 $ (238,895 ) $ 419,750 $ 621,252 $ (223,372 ) $ 397,880 |
MATERIAL TRANSACTIONS AFFECTING
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY | 9 Months Ended |
May. 31, 2015 | |
Equity [Abstract] | |
SHAREHOLDERS' EQUITY | MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS’ EQUITY Dividends The Company’s dividend activity during the nine months ended May 31, 2015 was as follows: Dividend Per Accenture plc Class A Accenture SCA Class I Common Total Cash Dividend Payment Date Record Date Cash Outlay Record Date Cash Outlay November 17, 2014 $ 1.02 October 17, 2014 $ 639,451 October 14, 2014 $ 39,285 $ 678,736 May 15, 2015 1.02 April 10, 2015 637,336 April 7, 2015 37,399 674,735 Total Dividends $ 1,276,787 $ 76,684 $ 1,353,471 The payment of the cash dividends also resulted in the issuance of an immaterial number of additional restricted share units to holders of restricted share units. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 9 Months Ended |
May. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTS In the normal course of business, the Company uses derivative financial instruments to manage foreign currency exchange rate risk. The Company’s 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 and nine months ended May 31, 2015 and 2014, as well as those expected to be reclassified into Cost of services in the next 12 months, see Note 3 (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 a net loss of $67,040 and $239,630 for the three and nine months ended May 31, 2015 , respectively. Realized gains or losses and changes in the estimated fair value of foreign currency forward contracts that have not been designated as hedges were a net gain of $21,039 and $119,515 for the three and nine months ended May 31, 2014 , respectively. Gains and losses on these contracts are recorded in Other 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 were as follows: May 31, 2015 August 31, 2014 Assets Cash Flow Hedges Other current assets $ 45,699 $ 21,148 Other non-current assets 33,900 20,875 Other Derivatives Other current assets 16,146 17,076 Total assets $ 95,745 $ 59,099 Liabilities Cash Flow Hedges Other accrued liabilities $ 25,767 $ 41,103 Other non-current liabilities 15,215 24,474 Other Derivatives Other accrued liabilities 29,853 15,392 Total liabilities $ 70,835 $ 80,969 Total fair value $ 24,910 $ (21,870 ) Total notional value $ 6,449,078 $ 5,989,011 The Company utilizes 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, the Company records derivative assets and liabilities at gross fair value. The potential effect of netting derivative assets against liabilities under the counterparty master agreements was as follows: May 31, August 31, Net derivative assets $ 68,318 $ 22,458 Net derivative liabilities 43,408 44,328 Total fair value $ 24,910 $ (21,870 ) |
RETIREMENT AND PROFIT SHARING P
RETIREMENT AND PROFIT SHARING PLANS RETIREMENT AND PROFIT SHARING PLANS (Notes) | 9 Months Ended |
May. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | RETIREMENT AND PROFIT SHARING PLANS U.S. Defined Benefit Pension Plan Settlement Charge On January 12, 2015, the Company announced a plan to offer a voluntary one-time lump sum payment option to certain eligible former employees who had vested benefits under the Company’s U.S. pension plan, that if accepted, would settle the Company’s pension obligations to them. The lump sum cash payment offer closed during the third quarter of fiscal 2015. In total, more than 4,800 former participants accepted the offer, resulting in lump sum payments from plan assets of $279,571 in May 2015. As a result of this settlement and the adoption of the new U.S. mortality tables released by the Society of Actuaries, the Company remeasured the assets and liabilities of the U.S. pension plan, which in aggregate resulted in a net reduction to the projected benefit obligation of $179,938 as well as a non-cash settlement charge of $64,382 , pre-tax, in the third quarter of fiscal 2015 . The funded status of the Company's U.S. pension plan after remeasurement was 104% . |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
May. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Commitments The Company has the right to purchase or may also be required to purchase substantially all of the remaining outstanding shares of its Avanade Inc. subsidiary (“Avanade”) not owned by the Company at fair value if certain events occur. As of May 31, 2015 and August 31, 2014 , the Company has reflected the fair value of $85,265 and $95,581 , respectively, related to Avanade’s redeemable common stock and the intrinsic value of the options on redeemable common stock in Other accrued liabilities in the Consolidated Balance Sheets. Indemnifications and Guarantees In the normal course of business and in conjunction with certain client engagements, the Company has entered into contractual arrangements through which it may be obligated to indemnify clients with respect to certain matters. As of May 31, 2015 and August 31, 2014 , the Company’s aggregate potential liability to its clients for expressly limited guarantees involving the performance of third parties was approximately $633,000 and $768,000 , respectively, of which all but approximately $14,000 and $8,000 , respectively, may be recovered from the other third parties if the Company is 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, the Company 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. To date, the Company has not been required to make any significant payment under any of the arrangements described above. The Company has assessed the current status of performance/payment risk related to arrangements with limited guarantees, warranty obligations, unspecified limitations and/or indemnification provisions and believes that any potential payments would be immaterial to the Consolidated Financial Statements, as a whole. Legal Contingencies As of May 31, 2015 , the Company or its present personnel had been named as a defendant in various litigation matters. The Company and/or its personnel also from time to time are involved in investigations by various regulatory or legal authorities concerning matters arising in the course of its 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 the Company’s results of operations or financial condition. |
SEGMENT REPORTING
SEGMENT REPORTING | 9 Months Ended |
May. 31, 2015 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING The Company’s reportable operating segments are the five operating groups, which are Communications, Media & Technology; Financial Services; Health & Public Service; Products; and Resources. Information regarding the Company’s reportable operating segments is as follows: Three Months Ended May 31, 2015 2014 Net Operating Net Operating Communications, Media & Technology $ 1,613,478 $ 237,902 $ 1,524,898 $ 222,957 Financial Services 1,638,313 265,863 1,677,066 252,928 Health & Public Service 1,383,639 202,644 1,313,840 213,099 Products 1,883,200 255,162 1,914,539 253,357 Resources 1,247,851 171,948 1,301,774 236,425 Other 3,901 — 3,521 — Total $ 7,770,382 $ 1,133,519 $ 7,735,638 $ 1,178,766 Nine Months Ended May 31, 2015 2014 Net Operating Net Operating Communications, Media & Technology $ 4,711,300 $ 628,320 $ 4,344,497 $ 558,140 Financial Services 4,944,075 791,606 4,838,687 725,634 Health & Public Service 4,071,998 568,277 3,727,642 538,018 Products 5,664,484 816,720 5,461,116 706,270 Resources 3,755,158 537,338 3,841,678 693,085 Other 12,411 — 11,434 — Total $ 23,159,426 $ 3,342,261 $ 22,225,054 $ 3,221,147 |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 9 Months Ended |
May. 31, 2015 | |
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 (collectively, the “Company”) 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. 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, 2014 included in the Company’s Annual Report on Form 10-K filed with the SEC on October 24, 2014 . 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 the Company 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 and nine months ended May 31, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending August 31, 2015 . |
Income Tax, Policy [Policy Text Block] | Income Taxes |
New Accounting Pronouncements, Policy | New Accounting Pronouncement On May 28, 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers, which will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU is expected to be effective for the Company beginning September 1, 2018, including interim periods in its fiscal year 2019, and allows for both retrospective and prospective methods of adoption. The Company is in the process of determining the method of adoption and assessing the impact of this ASU on its Consolidated Financial Statements. |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Policies) | 9 Months Ended |
May. 31, 2015 | |
Accounting Policies [Abstract] | |
Commitments and Contingencies, Policy [Policy Text Block] | Indemnifications and Guarantees In the normal course of business and in conjunction with certain client engagements, the Company has entered into contractual arrangements through which it may be obligated to indemnify clients with respect to certain matters. As of May 31, 2015 and August 31, 2014 , the Company’s aggregate potential liability to its clients for expressly limited guarantees involving the performance of third parties was approximately $633,000 and $768,000 , respectively, of which all but approximately $14,000 and $8,000 , respectively, may be recovered from the other third parties if the Company is 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, the Company 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. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 9 Months Ended |
May. 31, 2015 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Share | Basic and diluted earnings per share were calculated as follows: Three Months Ended May 31, Nine Months Ended May 31, 2015 2014 2015 2014 Basic Earnings per share Net income attributable to Accenture plc $ 793,697 $ 817,336 $ 2,315,953 $ 2,240,482 Basic weighted average Class A ordinary shares 625,969,418 633,128,417 627,523,298 635,231,759 Basic earnings per share $ 1.27 $ 1.29 $ 3.69 $ 3.53 Diluted Earnings per share Net income attributable to Accenture plc $ 793,697 $ 817,336 $ 2,315,953 $ 2,240,482 Net income attributable to noncontrolling interests in Accenture SCA and Accenture Canada Holdings Inc. (1) 46,283 51,523 137,972 143,470 Net income for diluted earnings per share calculation $ 839,980 $ 868,859 $ 2,453,925 $ 2,383,952 Basic weighted average Class A ordinary shares 625,969,418 633,128,417 627,523,298 635,231,759 Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1) 36,484,854 39,902,188 37,362,504 40,694,983 Diluted effect of employee compensation related to Class A ordinary shares 15,309,466 17,936,287 14,746,871 17,971,546 Diluted effect of share purchase plans related to Class A ordinary shares 62,030 71,253 86,510 44,721 Diluted weighted average Class A ordinary shares 677,825,768 691,038,145 679,719,183 693,943,009 Diluted earnings per share $ 1.24 $ 1.26 $ 3.61 $ 3.44 _______________ (1) Diluted earnings per share assumes the redemption of all Accenture SCA Class I common shares owned by holders of noncontrolling interests and 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. |
ACCUMULATED OTHER COMPREHENSI21
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 9 Months Ended |
May. 31, 2015 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Accenture plc: Three Months Ended May 31, Nine Months Ended May 31, 2015 2014 2015 2014 Foreign currency translation Beginning balance $ (667,596 ) $ (333,441 ) $ (324,596 ) $ (414,401 ) Foreign currency translation (87,630 ) 66,568 (429,264 ) 149,898 Income tax (expense) benefit (229 ) 1,860 2,962 3,822 Portion attributable to noncontrolling interests (2,754 ) (4,738 ) (7,311 ) (9,070 ) Foreign currency translation, net of tax (90,613 ) 63,690 (433,613 ) 144,650 Ending balance (758,209 ) (269,751 ) (758,209 ) (269,751 ) Defined benefit plans Beginning balance (523,014 ) (417,436 ) (531,143 ) (425,404 ) Actuarial losses (67,090 ) — (67,090 ) — Pension settlement 64,382 — 64,382 — Reclassifications into net periodic pension and 7,863 5,288 21,172 15,185 Income tax expense (1,828 ) (2,046 ) (6,530 ) (3,471 ) Portion attributable to noncontrolling interests (171 ) (186 ) (649 ) (690 ) Defined benefit plans, net of tax 3,156 3,056 11,285 11,024 Ending balance (519,858 ) (414,380 ) (519,858 ) (414,380 ) Cash flow hedges Beginning balance 57,720 (115,624 ) (16,209 ) (212,941 ) Unrealized (losses) gains (42,442 ) 130,182 75,374 223,807 Reclassification adjustments into Cost of services (8,736 ) 20,676 (13,458 ) 91,725 Income tax benefit (expense) 17,330 (51,739 ) (17,491 ) (112,939 ) Portion attributable to noncontrolling interests 1,927 (5,776 ) (2,417 ) (11,933 ) Cash flow hedges, net of tax (31,921 ) 93,343 42,008 190,660 Ending balance (2) 25,799 (22,281 ) 25,799 (22,281 ) Accumulated other comprehensive loss $ (1,252,268 ) $ (706,412 ) $ (1,252,268 ) $ (706,412 ) _______________ (1) Reclassifications into net periodic pension and post-retirement expense are recognized in Cost of services, Sales and marketing and General and administrative costs. (2) As of May 31, 2015 , $19,931 of net unrealized gains related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next 12 months. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 9 Months Ended |
May. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | August 31, Additions/ Foreign May 31, Communications, Media & Technology $ 338,855 $ 11,919 $ (18,882 ) $ 331,892 Financial Services 707,093 9,714 (24,634 ) 692,173 Health & Public Service 375,052 216,643 (4,501 ) 587,194 Products 836,858 22,931 (30,746 ) 829,043 Resources 138,036 109,507 (18,673 ) 228,870 Total $ 2,395,894 $ 370,714 $ (97,436 ) $ 2,669,172 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | May 31, 2015 August 31, 2014 Intangible Asset Class Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer-related $ 401,581 $ (115,900 ) $ 285,681 $ 334,768 $ (88,447 ) $ 246,321 Technology 110,190 (48,786 ) 61,404 113,938 (41,536 ) 72,402 Patents 116,856 (56,761 ) 60,095 135,022 (70,299 ) 64,723 Other 30,018 (17,448 ) 12,570 37,524 (23,090 ) 14,434 Total $ 658,645 $ (238,895 ) $ 419,750 $ 621,252 $ (223,372 ) $ 397,880 |
MATERIAL TRANSACTIONS AFFECTI23
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY (Tables) | 9 Months Ended |
May. 31, 2015 | |
Equity [Abstract] | |
Schedule of Dividend Activity | The Company’s dividend activity during the nine months ended May 31, 2015 was as follows: Dividend Per Accenture plc Class A Accenture SCA Class I Common Total Cash Dividend Payment Date Record Date Cash Outlay Record Date Cash Outlay November 17, 2014 $ 1.02 October 17, 2014 $ 639,451 October 14, 2014 $ 39,285 $ 678,736 May 15, 2015 1.02 April 10, 2015 637,336 April 7, 2015 37,399 674,735 Total Dividends $ 1,276,787 $ 76,684 $ 1,353,471 |
DERIVATIVE FINANCIAL INSTRUME24
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
May. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Notional and Fair Values of All Derivative Instruments | May 31, 2015 August 31, 2014 Assets Cash Flow Hedges Other current assets $ 45,699 $ 21,148 Other non-current assets 33,900 20,875 Other Derivatives Other current assets 16,146 17,076 Total assets $ 95,745 $ 59,099 Liabilities Cash Flow Hedges Other accrued liabilities $ 25,767 $ 41,103 Other non-current liabilities 15,215 24,474 Other Derivatives Other accrued liabilities 29,853 15,392 Total liabilities $ 70,835 $ 80,969 Total fair value $ 24,910 $ (21,870 ) Total notional value $ 6,449,078 $ 5,989,011 |
Offsetting Derivative Assets and Liabilities Table | May 31, August 31, Net derivative assets $ 68,318 $ 22,458 Net derivative liabilities 43,408 44,328 Total fair value $ 24,910 $ (21,870 ) |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 9 Months Ended |
May. 31, 2015 | |
Segment Reporting [Abstract] | |
Reportable Operating Segments | five operating groups, which are Communications, Media & Technology; Financial Services; Health & Public Service; Products; and Resources. Information regarding the Company’s reportable operating segments is as follows: Three Months Ended May 31, 2015 2014 Net Operating Net Operating Communications, Media & Technology $ 1,613,478 $ 237,902 $ 1,524,898 $ 222,957 Financial Services 1,638,313 265,863 1,677,066 252,928 Health & Public Service 1,383,639 202,644 1,313,840 213,099 Products 1,883,200 255,162 1,914,539 253,357 Resources 1,247,851 171,948 1,301,774 236,425 Other 3,901 — 3,521 — Total $ 7,770,382 $ 1,133,519 $ 7,735,638 $ 1,178,766 Nine Months Ended May 31, 2015 2014 Net Operating Net Operating Communications, Media & Technology $ 4,711,300 $ 628,320 $ 4,344,497 $ 558,140 Financial Services 4,944,075 791,606 4,838,687 725,634 Health & Public Service 4,071,998 568,277 3,727,642 538,018 Products 5,664,484 816,720 5,461,116 706,270 Resources 3,755,158 537,338 3,841,678 693,085 Other 12,411 — 11,434 — Total $ 23,159,426 $ 3,342,261 $ 22,225,054 $ 3,221,147 |
BASIS OF PRESENTATION - Additio
BASIS OF PRESENTATION - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | Aug. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||
Allowance for doubtful accounts receivable and unbilled services | $ 82,442 | $ 82,442 | $ 82,643 | ||
Accumulated depreciation | $ 1,769,090 | $ 1,769,090 | $ 1,752,965 | ||
Effective Income Tax Rate Reconciliation, Percent | 24.90% | 25.00% | 25.30% | 24.70% | |
Effective Income Tax Rate Excluding Effect Of Pension Settlement Charge | 25.70% | 25.60% | |||
Deferred Tax Liabilities, Undistributed Foreign Earnings | $ 239,528 | $ 239,528 | |||
Income Tax Examination, Liability (Refund) Adjustment from Settlement with Taxing Authority | $ (169,829) | $ (169,829) |
EARNINGS PER SHARE (Detail)
EARNINGS PER SHARE (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | ||
Basic Earnings per share | |||||
Net income attributable to Accenture plc | $ 793,697 | $ 817,336 | $ 2,315,953 | $ 2,240,482 | |
Basic weighted average Class A ordinary shares | 625,969,418 | 633,128,417 | 627,523,298 | 635,231,759 | |
Basic earnings per share | $ 1.27 | $ 1.29 | $ 3.69 | $ 3.53 | |
Diluted Earnings per share | |||||
Net income attributable to Accenture plc | $ 793,697 | $ 817,336 | $ 2,315,953 | $ 2,240,482 | |
Net income attributable to noncontrolling interests in Accenture SCA and Accenture Canada Holdings Inc. (1) | [1] | 46,283 | 51,523 | 137,972 | 143,470 |
Net income for diluted earnings per share calculation | $ 839,980 | $ 868,859 | $ 2,453,925 | $ 2,383,952 | |
Basic weighted average Class A ordinary shares | 625,969,418 | 633,128,417 | 627,523,298 | 635,231,759 | |
Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1) | [1] | 36,484,854 | 39,902,188 | 37,362,504 | 40,694,983 |
Diluted effect of employee compensation related to Class A ordinary shares | 15,309,466 | 17,936,287 | 14,746,871 | 17,971,546 | |
Diluted effect of share purchase plans related to Class A ordinary shares | 62,030 | 71,253 | 86,510 | 44,721 | |
Diluted weighted average Class A ordinary shares | 677,825,768 | 691,038,145 | 679,719,183 | 693,943,009 | |
Diluted earnings per share | $ 1.24 | $ 1.26 | $ 3.61 | $ 3.44 | |
[1] | Diluted earnings per share assumes the redemption of all Accenture SCA Class I common shares owned by holders of noncontrolling interests and 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. |
ACCUMULATED OTHER COMPREHENSI28
ACCUMULATED OTHER COMPREHENSIVE LOSS Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | Aug. 31, 2014 | ||||
Foreign currency translation | ||||||||
Beginning balance | $ (667,596) | $ (333,441) | $ (324,596) | $ (414,401) | ||||
Foreign currency translation | (87,630) | 66,568 | (429,264) | 149,898 | ||||
Income tax (expense) benefit | (229) | 1,860 | 2,962 | 3,822 | ||||
Portion attributable to noncontrolling interests | (2,754) | (4,738) | (7,311) | (9,070) | ||||
Foreign currency translation, net of tax | (90,613) | 63,690 | (433,613) | 144,650 | ||||
Ending balance | (758,209) | (269,751) | (758,209) | (269,751) | ||||
Defined benefit plans | ||||||||
Beginning balance | (523,014) | (417,436) | (531,143) | (425,404) | ||||
Actuarial losses | (67,090) | 0 | (67,090) | 0 | ||||
Pension settlement | 64,382 | 0 | 64,382 | 0 | ||||
Reclassifications into net periodic pension and post-retirement expense (1) | [1] | 7,863 | 5,288 | 21,172 | 15,185 | |||
Income tax expense | (1,828) | (2,046) | (6,530) | (3,471) | ||||
Portion attributable to noncontrolling interests | (171) | (186) | (649) | (690) | ||||
Defined benefit plans, net of tax | 3,156 | 3,056 | 11,285 | 11,024 | ||||
Ending balance | (519,858) | (414,380) | (519,858) | (414,380) | ||||
Cash flow hedges | ||||||||
Beginning balance | 57,720 | (115,624) | (16,209) | (212,941) | ||||
Unrealized (losses) gains | (42,442) | 130,182 | 75,374 | 223,807 | ||||
Reclassification adjustments into Cost of services | (8,736) | 20,676 | (13,458) | 91,725 | ||||
Income tax benefit (expense) | 17,330 | (51,739) | (17,491) | (112,939) | ||||
Portion attributable to noncontrolling interests | 1,927 | (5,776) | (2,417) | (11,933) | ||||
Cash flow hedges, net of tax | (31,921) | 93,343 | 42,008 | 190,660 | ||||
Ending balance (2) | 25,799 | [2] | (22,281) | 25,799 | [2] | (22,281) | ||
Accumulated other comprehensive loss | $ (1,252,268) | $ (706,412) | $ (1,252,268) | $ (706,412) | $ (871,948) | |||
[1] | Reclassifications into net periodic pension and post-retirement expense are recognized in Cost of services, Sales and marketing and General and administrative costs. | |||||||
[2] | As of May 31, 2015, $19,931 of net unrealized gains related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next 12 months. |
ACCUMULATED OTHER COMPREHENSI29
ACCUMULATED OTHER COMPREHENSIVE LOSS Derivatives Designated as Cash Flow Hedges (Details) $ in Thousands | 9 Months Ended |
May. 31, 2015USD ($) | |
Cost Of Services [Member] | Cash Flow Hedging | |
Derivative [Line Items] | |
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $ 19,931 |
BUSINESS COMBINATIONS- Addition
BUSINESS COMBINATIONS- Additional Information (Detail) $ in Thousands | 9 Months Ended | |
May. 31, 2015USD ($) | Aug. 31, 2014USD ($) | |
Business Acquisition [Line Items] | ||
Goodwill | $ 2,669,172 | $ 2,395,894 |
Agilex [Member] | ||
Business Acquisition [Line Items] | ||
Cash Consideration | $ 263,787 | |
Entity Number of Employees | 730 | |
Goodwill | $ 208,267 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 49,700 | |
Agilex [Member] | Minimum | ||
Business Acquisition [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 1 year | |
Agilex [Member] | Maximum [Member] | ||
Business Acquisition [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 8 years | |
Series of Individually Immaterial Business Acquisitions [Member] | ||
Business Acquisition [Line Items] | ||
Cash Consideration | $ 173,396 |
GOODWILL AND INTANGIBLE ASSET31
GOODWILL AND INTANGIBLE ASSETS - Goodwill Rollforward (Details) $ in Thousands | 9 Months Ended |
May. 31, 2015USD ($) | |
Goodwill [Line Items] | |
Goodwill | $ 2,395,894 |
Goodwill Acquired During Period And Adjustments | 370,714 |
Goodwill, Translation Adjustments | (97,436) |
Goodwill | 2,669,172 |
Communications, Media & Technology | |
Goodwill [Line Items] | |
Goodwill | 338,855 |
Goodwill Acquired During Period And Adjustments | 11,919 |
Goodwill, Translation Adjustments | (18,882) |
Goodwill | 331,892 |
Financial Services | |
Goodwill [Line Items] | |
Goodwill | 707,093 |
Goodwill Acquired During Period And Adjustments | 9,714 |
Goodwill, Translation Adjustments | (24,634) |
Goodwill | 692,173 |
Health & Public Service | |
Goodwill [Line Items] | |
Goodwill | 375,052 |
Goodwill Acquired During Period And Adjustments | 216,643 |
Goodwill, Translation Adjustments | (4,501) |
Goodwill | 587,194 |
Products | |
Goodwill [Line Items] | |
Goodwill | 836,858 |
Goodwill Acquired During Period And Adjustments | 22,931 |
Goodwill, Translation Adjustments | (30,746) |
Goodwill | 829,043 |
Resources | |
Goodwill [Line Items] | |
Goodwill | 138,036 |
Goodwill Acquired During Period And Adjustments | 109,507 |
Goodwill, Translation Adjustments | (18,673) |
Goodwill | $ 228,870 |
GOODWILL AND INTANGIBLE ASSET32
GOODWILL AND INTANGIBLE ASSETS - Intangible Table by Major Class (Details) - USD ($) $ in Thousands | May. 31, 2015 | Aug. 31, 2014 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 658,645 | $ 621,252 |
Accumulated Amortization | (238,895) | (223,372) |
Net Carrying Amount | 419,750 | 397,880 |
Customer-related | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 401,581 | 334,768 |
Accumulated Amortization | (115,900) | (88,447) |
Net Carrying Amount | 285,681 | 246,321 |
Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 110,190 | 113,938 |
Accumulated Amortization | (48,786) | (41,536) |
Net Carrying Amount | 61,404 | 72,402 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 116,856 | 135,022 |
Accumulated Amortization | (56,761) | (70,299) |
Net Carrying Amount | 60,095 | 64,723 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 30,018 | 37,524 |
Accumulated Amortization | (17,448) | (23,090) |
Net Carrying Amount | $ 12,570 | $ 14,434 |
MATERIAL TRANSACTIONS AFFECTI33
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY - Dividend Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | |
Dividends [Line Items] | ||||
Dividend Per Share | $ 1.02 | $ 0.93 | $ 2.04 | $ 1.86 |
Cash Outlay | $ 1,353,471 | |||
Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc Exchangeable Shares | ||||
Dividends [Line Items] | ||||
Cash Outlay | 76,684 | |||
Class A ordinary shares | ||||
Dividends [Line Items] | ||||
Cash Outlay | $ 1,276,787 | |||
Dividend Payment November 2014 [Member] | ||||
Dividends [Line Items] | ||||
Dividend Payment Date | Nov. 17, 2014 | |||
Dividend Per Share | $ 1.02 | |||
Cash Outlay | $ 678,736 | |||
Dividend Payment November 2014 [Member] | Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc Exchangeable Shares | ||||
Dividends [Line Items] | ||||
Record Date | Oct. 14, 2014 | |||
Cash Outlay | $ 39,285 | |||
Dividend Payment November 2014 [Member] | Class A ordinary shares | ||||
Dividends [Line Items] | ||||
Record Date | Oct. 17, 2014 | |||
Cash Outlay | $ 639,451 | |||
Dividend Payment May 2015 [Member] | ||||
Dividends [Line Items] | ||||
Dividend Payment Date | May 15, 2015 | |||
Dividend Per Share | $ 1.02 | |||
Cash Outlay | $ 674,735 | |||
Dividend Payment May 2015 [Member] | Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc Exchangeable Shares | ||||
Dividends [Line Items] | ||||
Record Date | Apr. 7, 2015 | |||
Cash Outlay | $ 37,399 | |||
Dividend Payment May 2015 [Member] | Class A ordinary shares | ||||
Dividends [Line Items] | ||||
Record Date | Apr. 10, 2015 | |||
Cash Outlay | $ 637,336 |
DERIVATIVE FINANCIAL INSTRUME34
DERIVATIVE FINANCIAL INSTRUMENTS - Notional and Fair Values of All Derivative Instruments (Detail) - USD ($) $ in Thousands | May. 31, 2015 | Aug. 31, 2014 |
Assets | ||
Fair value of derivative assets | $ 95,745 | $ 59,099 |
Liabilities | ||
Fair value of derivative liabilities | 70,835 | 80,969 |
Total fair value | 24,910 | (21,870) |
Total notional value | 6,449,078 | 5,989,011 |
Cash Flow Hedging | Other current assets | ||
Assets | ||
Fair value of derivative assets | 45,699 | 21,148 |
Cash Flow Hedging | Other non-current assets | ||
Assets | ||
Fair value of derivative assets | 33,900 | 20,875 |
Cash Flow Hedging | Other accrued liabilities | ||
Liabilities | ||
Fair value of derivative liabilities | 25,767 | 41,103 |
Cash Flow Hedging | Other non-current liabilities | ||
Liabilities | ||
Fair value of derivative liabilities | 15,215 | 24,474 |
Other Derivatives | Other current assets | ||
Assets | ||
Fair value of derivative assets | 16,146 | 17,076 |
Other Derivatives | Other accrued liabilities | ||
Liabilities | ||
Fair value of derivative liabilities | $ 29,853 | $ 15,392 |
DERIVATIVE FINANCIAL INSTRUME35
DERIVATIVE FINANCIAL INSTRUMENTS - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
Realized gains or (losses) and changes in the estimated fair value of derivatives not designated as hedges | $ (67,040) | $ 21,039 | $ (239,630) | $ 119,515 |
DERIVATIVE FINANCIAL INSTRUME36
DERIVATIVE FINANCIAL INSTRUMENTS DERIVATIVE FINANCIAL INSTRUMENTS - Offsetting Derivative Assets and Liabilities (Details) - USD ($) $ in Thousands | May. 31, 2015 | Aug. 31, 2014 |
Offsetting Derivative Assets and Liabilities [Abstract] | ||
Net derivative assets | $ 68,318 | $ 22,458 |
Net derivative liabilities | 43,408 | 44,328 |
Total fair value | $ 24,910 | $ (21,870) |
RETIREMENT AND PROFIT SHARING37
RETIREMENT AND PROFIT SHARING PLANS (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May. 31, 2015USD ($) | May. 31, 2014USD ($) | May. 31, 2015USD ($) | May. 31, 2014USD ($) | |
Compensation and Retirement Disclosure [Abstract] | ||||
Participants who accepted voluntary lump sum offer | 4,800 | 4,800 | ||
Defined Benefit Plan,Settlements, Increase (Decrease) in Plan Assets | $ (279,571) | |||
Defined Benefit Plan, Settlements, Benefit Obligation | 179,938 | |||
Pension settlement charge | $ (64,382) | $ 0 | $ (64,382) | $ 0 |
Defined Benefit Plan, Funded Percentage | 104.00% | 104.00% |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Additional Information (Detail) - USD ($) $ in Thousands | May. 31, 2015 | Aug. 31, 2014 |
Commitments [Abstract] | ||
Fair value of Avanade redeemable common stock and options | $ 85,265 | $ 95,581 |
Indemnifications and Guarantees [Abstract] | ||
Portion of guarantee not recoverable | 14,000 | 8,000 |
Expressly limited performance guarantee | $ 633,000 | $ 768,000 |
SEGMENT REPORTING - Reportable
SEGMENT REPORTING - Reportable Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
May. 31, 2015 | May. 31, 2014 | May. 31, 2015 | May. 31, 2014 | |
Segment Reporting Information [Line Items] | ||||
Net Revenues | $ 7,770,382 | $ 7,735,638 | $ 23,159,426 | $ 22,225,054 |
Operating Income | 1,133,519 | 1,178,766 | 3,342,261 | 3,221,147 |
Communications, Media & Technology | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 1,613,478 | 1,524,898 | 4,711,300 | 4,344,497 |
Operating Income | 237,902 | 222,957 | 628,320 | 558,140 |
Financial Services | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 1,638,313 | 1,677,066 | 4,944,075 | 4,838,687 |
Operating Income | 265,863 | 252,928 | 791,606 | 725,634 |
Health & Public Service | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 1,383,639 | 1,313,840 | 4,071,998 | 3,727,642 |
Operating Income | 202,644 | 213,099 | 568,277 | 538,018 |
Products | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 1,883,200 | 1,914,539 | 5,664,484 | 5,461,116 |
Operating Income | 255,162 | 253,357 | 816,720 | 706,270 |
Resources | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 1,247,851 | 1,301,774 | 3,755,158 | 3,841,678 |
Operating Income | 171,948 | 236,425 | 537,338 | 693,085 |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenues | 3,901 | 3,521 | 12,411 | 11,434 |
Operating Income | $ 0 | $ 0 | $ 0 | $ 0 |
SEGMENT REPORTING - Additional
SEGMENT REPORTING - Additional Information (Detail) | 9 Months Ended |
May. 31, 2015segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 5 |