Accenture Plc announced on Thursday that it will slash around 19,000 positions and decrease its annual revenue and profit expectations, the latest indication that the deteriorating global economic outlook is squeezing corporate spending on IT services.
On Thursday, the corporation also reduced its yearly revenue growth and profit expectations, citing concerns that recession-weary businesses could cut IT budgets.
The business now anticipates yearly sales growth in the range of 8% to 10% in local currency, up from 8% to 11% before.
As its first-quarter revenue projection fell short of market expectations, rival Cognizant Technology Solutions forecasted “muted” growth in bookings, or the agreements IT services businesses have in the pipeline, in 2022.
Accenture now forecasts earnings per share to be in the $10.84 to $11.06 range, down from $11.20 to $11.52 before.
