Core Insights - The article discusses the evolving landscape of consumer behavior in China, emphasizing the shift from passive acceptance to active engagement in the market, driven by changing values, emotional connections, and technological advancements [1][2]. Group 1: Changes in Consumer Preferences - Domestic brands are gaining popularity, with consumers prioritizing local products over international ones. For instance, the percentage of consumers preferring domestic beauty and skincare brands rose from 12% in 2021 to 43% in 2025, while preference for domestic 3C digital products increased from 23% to 55%, and for home appliances from 33% to 69% [3]. - Consumers are re-evaluating their life priorities, focusing more on health and financial stability. The proportion of consumers valuing health increased by 9 percentage points to 87%, and those valuing wealth rose by 12 percentage points to 47% [8]. Group 2: Shifts in Information Channels and Brand Loyalty - The channels through which consumers obtain shopping information are diversifying, with traditional marketing methods becoming less effective. E-commerce platforms remain the primary source for 60% of consumers, but video platforms like Douyin and Kuaishou have become significant, with usage rising to about 50% [9]. - Brand loyalty is diminishing, with 55% of consumers frequently comparing multiple brands even if they have a favorite, an increase of 13 percentage points since 2021. Nearly 70% of consumers feel indifferent or resistant to marketing content [10]. Group 3: The Role of AI in Consumer Behavior - AI is becoming a crucial factor in consumer decision-making, with nearly 80% of Chinese consumers using AI weekly or daily. About 37% have utilized AI tools in shopping, primarily for assistance in unfamiliar categories or for quick comparisons [10][21]. - Brands must adapt to interact with AI as a representative of consumers, providing structured and accurate content to influence AI-generated recommendations, which will affect brand visibility and conversion rates [18][21]. Group 4: Brand Strategies in a Changing Landscape - Brands are encouraged to demonstrate tangible value to consumers, moving beyond just price to emphasize visible and verifiable product benefits. This shift is evident in the focus on quantifiable effects and scientific backing in product descriptions [12][15]. - Creating integrated experiences that resonate emotionally with consumers is essential. Brands should aim for a multi-channel ecosystem that combines online and offline experiences, enhancing consumer engagement and satisfaction [16]. Group 5: Consumer Expectations and Brand Accountability - Consumers are increasingly seeking stability and meaningful engagement from brands, evaluating their relevance, consistency, and ability to fulfill promises. This reflects a deeper human need for trust and connection [22]. - Companies aiming to capture the Chinese consumer market face challenges from outdated growth models but also have opportunities to respond effectively to these profound changes with courage and adaptability [22].

Financial Performance - Total revenues reached $18.7 billion, a 5% increase in local currency[2] - Adjusted earnings per share increased by 10% to $3.94, excluding a $0.40 per share business optimization impact[3] - Adjusted operating margin increased by 30 bps to 17.0%, excluding a 170 bps business optimization impact[4] - Free cash flow was $1.5 billion[5] Revenue Breakdown - Consulting revenues were $9.4 billion, a 3% increase in local currency[3] - Managed Services revenues were $9.3 billion, a 7% increase in local currency[3] - Americas revenues were $9.1 billion, a 4% increase in local currency[2] - EMEA revenues were $6.9 billion, a 4% increase in local currency[2] - Asia Pacific revenues were $2.7 billion, a 9% increase in local currency[2] - Communications, Media & Technology revenues were $3.1 billion, an 8% increase in local currency[2] - Financial Services revenues were $3.6 billion, a 12% increase in local currency[2] Cash Return and Bookings - $1 billion was paid in dividends and $2.3 billion in share repurchases[5] - New bookings totaled $20.9 billion, reflecting 10% local currency growth, with a book-to-bill ratio of 1.1[5] AI and Ecosystem - Advanced AI bookings were $2.2 billion, with revenues of $1.1 billion, representing YoY growth of 76% and 120% respectively in USD[22] - Over 60% of revenue was driven by the top 10 ecosystem partners in Q1 FY26[11] Fiscal Year 2026 Outlook - Revenue growth in local currency is projected to be between 2% and 5%[8] - Adjusted earnings per share are expected to increase by 5% to 8% over FY25, reaching $13.52 - $13.90[8] - Free cash flow is projected to be between $9.8 billion and $10.5 billion[8] - At least $9.3 billion of cash is expected to be returned to shareholders, a 12% or $1 billion increase over FY25[29]

Core Insights - The technology consulting company reported higher first-quarter sales driven by growth in its AI business [1] Group 1 - The increase in sales is attributed to the expansion of the company's AI offerings [1]

Accenture stock was rising early on Thursday after it reported earnings and revenue ahead of expectations, while confirming its outlook. ...

Financial Performance - Revenues for the first quarter of fiscal 2026 were $18.7 billion, representing a 6% increase in U.S. dollars and a 5% increase in local currency compared to the first quarter of fiscal 2025[73]. - New bookings reached $20.9 billion, an increase of 12% in U.S. dollars and 10% in local currency[73]. - Operating margin for the first quarter of fiscal 2026 was 15.3%, down from 16.7% in the first quarter of fiscal 2025; adjusted operating margin was 17.0%[73]. - Diluted earnings per share were $3.54, a 1% decrease from $3.59 in the first quarter of fiscal 2025; adjusted earnings per share increased 10% to $3.94[73]. - Revenues in managed services increased 8% in U.S. dollars and 7% in local currency compared to the first quarter of fiscal 2025[76]. - Consulting revenues increased 4% in U.S. dollars and 3% in local currency compared to the first quarter of fiscal 2025[75]. - Revenues for the first quarter of fiscal 2026 were $18,742 million, a 6% increase compared to $17,690 million in the same period of fiscal 2025[85]. - Operating income decreased by $75 million, or 3%, to $2,874 million, with an operating margin of 15.3%, down from 16.7% in the previous year[95]. Shareholder Returns - Cash returned to shareholders totaled $3.3 billion, including dividends of $1.0 billion and share purchases of $2.3 billion[73]. - During the first quarter of fiscal 2026, the company repurchased 9,496,660 shares for a total of $2.33 billion[114]. - The company intends to continue using a significant portion of cash generated from operations for share repurchases throughout fiscal 2026[116]. Operating Metrics - Utilization rate for the first quarter of fiscal 2026 was 93%, up from 91% in the first quarter of fiscal 2025[78]. - Annualized voluntary attrition was 13%, compared to 12% in the first quarter of fiscal 2025[79]. - Operating expenses increased by $1,127 million, or 8%, to $15,868 million, representing 84.7% of revenues, up from 83.3% in the prior year[86][89]. - Managed services bookings typically convert to revenue over a longer period compared to consulting bookings, impacting revenue recognition[82]. Cash Flow and Investments - Operating cash flows increased by $642 million to $1,664 million for the three months ended November 30, 2025, compared to $1,022 million for the same period in 2024[110]. - Cash used in investing activities increased by $119 million, primarily due to higher spending on business acquisitions[110]. - Financing activities saw a decrease of $5,663 million, attributed to lower net proceeds from borrowings and increased share repurchases[110]. Debt and Liquidity - As of November 30, 2025, cash and cash equivalents decreased to $9.6 billion from $11.5 billion as of August 31, 2025[109]. - The company had outstanding long-term debt of $5 billion as of November 30, 2025, with maturities ranging from 2027 to 2034[112]. Tax and Other Financial Considerations - The effective tax rate increased to 24.5% from 21.6% due to reduced benefits from adjustments to prior year tax liabilities[103]. - Interest income rose by $30 million, or 40%, to $106 million, primarily due to a higher average cash balance[100]. - Business optimization costs of $308 million were recorded, primarily for employee severance, impacting overall operating income[93]. Risk and Control - There were no material changes in market risk exposure during the three months ended November 30, 2025[119]. - The company has not been required to make significant payments under indemnification arrangements with clients[118]. - There were no changes in internal control over financial reporting that materially affected the company's controls during the first quarter of fiscal 2026[121].

Dec 18 (Reuters) - Accenture beat Wall Street expectations for first-quarter revenue on Thursday, buoyed by robust demand ​for its artificial intelligence-driven IT services as the ‌company advances its AI strategy to capture greater market share. The company's aggressive ‌AI push underscores a wider industry trend of enterprises using machine learning tools to help speed up mundane and complex tasks, freeing up resources to focus elsewhere, as investors ⁠bet on these ‌processes to massively boost growth. ...

Accenture beat Wall Street expectations for first-quarter revenue on Thursday, driven by robust demand for its artificial intelligence solutions that help clients integrate the technology to enhance p... ...

Accenture delivers strong new bookings and revenue growth at the top of the company's guided range, with strong profitability and free cash flow; Confirms outlook for fiscal 2026 revenue growth, and adjusted operating margin and EPS Accenture Reports First-Quarter Fiscal 2026 Results NEW YORK; December 18, 2025 — Accenture (NYSE: ACN) reported financial results for the first quarter of fiscal 2026 ended November 30, 2025. All comparisons are to the first quarter of fiscal 2025, unless noted otherwise. Accen ...

The Spanish government has ordered 100 Airbus helicopters, the European aerospace group said on Thursday, in what it says will be the largest helicopter purchase to date by the Spanish defence procure... ...

First Quarter Fiscal 2026 Key Metrics NEW YORK--(BUSINESS WIRE)--Accenture (NYSE: ACN) reported financial results for the first quarter of fiscal 2026 ended November 30, 2025. All comparisons are to the first quarter of fiscal 2025, unless noted otherwise. Accenture Chair and CEO Julie Sweet "I am very pleased with our $21 billion in new bookings, including 33 clients with quarterly bookings greater than $100 million. We delivered revenue growth of 5% in local currency, at the top of our guided range, while ...