Accenture Rides Cloud Wave, Scholastic Loss Widens

Mukesh Buch
23 Mar, 2017
New York City

Accenture net plunged on higher costs but revenues jumped. Conagra Brands net tumbled 12%. Commercial Metals net soared on 8% jump in revenues. Cintas profit rose. Five Below net and revenues soared. PVH net declined 25% on flat revenues. Scholastic net loss widened.

[R]1:25 PM New York – Accenture net plunged on higher costs but revenues jumped. Conagra Brands net tumbled 12%. Commercial Metals net soared on 8% jump in revenues. Cintas profit rose. Five Below net and revenues soared. PVH net declined 25% on flat revenues. Scholastic net loss widened.[/R]

Tollbooth Index rose 18.82 or 0.2% to 11,583.94.

Earnings Review

Accenture Plc ((ACN)) slumped 3.5% or $4.47 to $122.02 after the Ireland-based outsourcing services provider reported revenues in the second-quarter ending in February jumped 5% from a year ago to $8.8 billion.

Net income in the quarter plunged 36.9% to $838.8 million or $1.33 per diluted share from $1.4 billion or $2.08 in the same quarter last year.

Accenture said revenues increased on strong demand in digital, cloud and security-related services and profits declined on higher costs and year-ago quarter was benefited by $553.6 million gain on the sale of some assets.

Accenture forecasted net revenues in the third-quarter in the range of $8.65 billion to $8.90 billion, a growth of 5% to 8% compared to same period a year ago.

In fiscal 2017, net revenue to jump between 6% and 8% and diluted earnings per share in the range of $5.31 to $5.48.

Conagra Brands Inc, formerly ConAgra Foods, Inc ((CAG)) rose 21 cents to $40.68 after the branded packaged food maker said revenues in the third-quarter ending on February 26 declined 9.9% from a year ago to $1.98 billion.

Net income in the quarter tumbled 12.2% to $179.7 million or 41 cents per diluted share from $204.6 million or 46 cents in the same quarter last year.

Commercial Metals Company ((CMC)) soared 4.7% or 86 cents to $19.16 after the steel and metal products recycler said revenues in the second-quarter ending in February advanced 7.8% from a year ago to $1.1 billion.

Net income in the quarter soared 188.6% to $30.3 million or 26 cents per diluted share from $10.5 million or 9 cents in the same quarter last year.

Cintas Corporation ((CTAS)) increased 2.5% or $3.08 to $127.45 after the uniforms provider reported revenues in the third-quarter ending in February 28 jumped 5.3% from a year ago to $1.3 billion.

Net income in the quarter rose 0.6% to $118 million or $1.07 per diluted share from $117.3 million or $1.05 in the same quarter last year.

Five Below Inc ((FIVE)) surged 12.7% or $4.84 to $42.97 after the specialty retailer stated revenues in the fourth-quarter ending on January 28 soared 18.9% from a year ago to $388.1 million.

Net income in the quarter jumped 18.5% to $49.8 million or 90 cents per diluted share from $42 million or 77 cents in the same quarter last year.

PVH Corporation ((PVH)) soared 9.2% or $8.32 to $99.17 after the apparels maker reported revenues in the fourth-quarter ending on January 29 were flat from a year ago to $2.1 billion.

Net income in the quarter declined 24.9% to $100.7 million or $1.26 per diluted share from $134.2 million or $1.63 in the same quarter last year.

Scholastic Corp ((SCHL)) dropped 2.9% or $1.31 to $43.58 after the book publisher stated revenues in the third-quarter ending in February 28 plummeted 8% from a year ago to $336.2 million.

Net loss in the quarter widened 15.4% to $15.4 million or 44 cents per diluted share from $9 million or 26 cents in the same quarter last year.

Scholastic reaffirmed fiscal 2017 total revenue forecast between $1.7 billion and $1.8 billion and diluted earnings per share in the range of $1.60 to $1.70.