Accenture is Dege’s first corporate victim, the actions are submerged in warning contracts

Actions of Accentuate SLID on Thursday after the consulting firm said that efforts to harden federal expenditure have begun to weigh their income.

The shares fell 7.3% after the Accenture executive director said in a profit call from the second fiscal quarter that the company’s federal services business has lost contracts with the United States government after recent revisions.

“Federal represented approximately 8% of our global income and 16% of our America’s income in fiscal year 2024. As you know, the new administration has a clear objective of administering the federal government more efficiently. During this process, many procurement actions have been decelerated, which is negatively affecting our sales and income,” said executive director Julie Sweet Sweet in Thursday’s call to several Wall Street analysts.

Accenture is one of the first corporate giants of the United States to be beaten by the so -called Efficiency Department of the Trump administration government, an effort headed by billionaire Elon Musk a Reduced federal agencies and consolidate its office spaces.

Sweet said that Federal Accenture services were also affected by the orientation of the United States General Services Administration to all federal agencies to review their contracts with the 10 main improved consulting companies that hire with the United States government, and then end the contracts that are not considered critical of the mission to the relevant agencies.

“While we continue to believe that our work for federal clients is critical, we anticipate continuous uncertainty as government priorities evolve and these evaluations develop,” Sweet said.

“We are seeing a high level of what was already a significant uncertainty in the global economic and geopolitical environment, marking a change of our first quarter’s profit report for the fiscal year of 2025 in December,” Sweet added. “At the same time, we believe that the foundations of our industry remain strong.”

Investor concerns about the risks linked to the slowdown in the United States government spending exceeded quarterly gains and better quarterly results in Accenture, the income results published before the market in the market on Thursday. The company reported earnings of $ 2.82 per share in revenue of $ 16.66 billion, only more than the expectations of $ 2.81 per share in income in revenue of $ 16.62 billion, for skillful.

Accenture shares have collapsed 22.9% during the past month, reducing actions almost 14.5% to date.

Consulting actions Booz Allen Hamilton He slipped 8.1% on Thursday in sympathy.