Accenture hits $2 billion-mark in GenAI sales

IT consultancy firm Accenture has announced that it registered new books of generative artificial intelligence (GenAI) projects worth $900 million in its third quarter financial results declared on Thursday. This takes the fiscal year-to-date to $2 billion. 

“We achieved strong new bookings of over $21 billion, up 22% over last year, and continued to accelerate our strategy to be the reinvention partner of choice, with another 23 clients with quarterly bookings of over $100 million, bringing the total of such bookings to 92 year-to-date. We also achieved two significant milestones this quarter — with $2 billion in Generative AI sales year-to-date and $500 million in revenue year-to-date — which demonstrate our early lead in this critical technology,” said Julie Sweet, chair and CEO, Accenture. 

For the quarter ending December 31, Accenture declared a GenAI pipeline valued at $450 million. According to a report by Moneycontrol, citing UnearthInsight research, this pipeline surpasses the combined value of the top 10 Indian IT services companies, which stands at $150-250 million. Even in the most recent financial results for the January-March quarter, many Indian IT companies acknowledged a demand for GenAI, yet this interest has not yet resulted in substantial deal sizes.

In its most recent results announcement, Accenture reported $16.47 billion in revenue for the quarter, down from $16.56 billion in the third quarter of 2023. The profit of $1.93 billion was also down from last year's $2.01 billion. New bookings for the quarter were $21.1 billion, with consulting bookings of $9.3 billion and managed services bookings of $11.8 billion.