Accenture quarterly earnings rise slightly

Accenture today said quarterly earnings rose marginally from the year before, as the consulting firm felt the pinch from Wall…

Accenture today said quarterly earnings rose marginally from the year before, as the consulting firm felt the pinch from Wall Street's reluctance to spend on large technology projects.

Accenture, like most management and technology services providers, is still suffering from the effects of corporate cost cutting, which has resulted in weak demand for expensive consulting services.

The Bermuda-based company reported a fiscal third-quarter profit of $114.5 million, or 27 cents a share, compared with $104.8 million, or 25 cents a share, a year earlier. It also affirmed its full-year and fourth-quarter earnings outlook.

On average, analysts expected a profit of 26 cents a share, with estimates ranging from 26 cents to 27 cents per share, according to research firm Thomson First Call.

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Net revenue rose slightly, to $2.98 billion from $2.95 billion the year earlier, as strong growth from outsourcing and government services was largely offset by a sharp fall in revenue from its financial services division.