Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Aug. 31, 2016 | Oct. 14, 2016 | Feb. 29, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Aug. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | ACN | ||
Entity Registrant Name | Accenture plc | ||
Entity Central Index Key | 1,467,373 | ||
Current Fiscal Year End Date | --08-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 62,548,022,041 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Class A Ordinary Shares | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 655,397,748 | ||
Class X Ordinary Shares | |||
Document Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 21,875,907 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 4,905,609 | $ 4,360,766 |
Short-term investments | 2,875 | 2,448 |
Receivables from clients, net | 4,072,180 | 3,840,920 |
Unbilled services, net | 2,150,219 | 1,884,504 |
Other current assets | 845,339 | 611,436 |
Total current assets | 11,976,222 | 10,700,074 |
NON-CURRENT ASSETS: | ||
Unbilled services, net | 68,145 | 15,501 |
Investments | 198,633 | 45,027 |
Property and equipment, net | 956,542 | 801,884 |
Goodwill | 3,609,437 | 2,929,833 |
Deferred contract costs | 733,219 | 655,482 |
Deferred income taxes, net | 2,077,312 | 2,089,928 |
Other non-current assets | 989,494 | 964,918 |
Total non-current assets | 8,632,782 | 7,502,573 |
TOTAL ASSETS | 20,609,004 | 18,202,647 |
CURRENT LIABILITIES: | ||
Current portion of long-term debt and bank borrowings | 2,773 | 1,848 |
Accounts payable | 1,280,821 | 1,151,464 |
Deferred revenues | 2,364,728 | 2,251,617 |
Accrued payroll and related benefits | 4,040,751 | 3,687,468 |
Accrued consumption taxes | 358,359 | 319,350 |
Income taxes payable | 362,963 | 516,827 |
Other accrued liabilities | 468,529 | 562,432 |
Total current liabilities | 8,878,924 | 8,491,006 |
NON-CURRENT LIABILITIES: | ||
Long-term debt | 24,457 | 25,587 |
Deferred revenues | 754,812 | 524,455 |
Retirement obligation | 1,494,789 | 1,108,623 |
Deferred income taxes, net | 111,020 | 91,372 |
Income taxes payable | 850,709 | 996,077 |
Other non-current liabilities | 304,917 | 317,956 |
Total non-current liabilities | 3,540,704 | 3,064,070 |
COMMITMENTS AND CONTINGENCIES | ||
SHAREHOLDERS’ EQUITY: | ||
Restricted share units | 1,004,128 | 1,031,203 |
Additional paid-in capital | 2,924,729 | 4,516,810 |
Treasury shares, at cost: Ordinary, 40,000 shares as of August 31, 2016 and August 31, 2015; Class A ordinary, 33,529,739 and 178,056,462 shares as of August 31, 2016 and August 31, 2015, respectively | (2,591,907) | (11,472,400) |
Retained earnings | 7,879,960 | 13,470,008 |
Accumulated other comprehensive loss | (1,661,720) | (1,411,972) |
Total Accenture plc shareholders’ equity | 7,555,262 | 6,133,725 |
Noncontrolling interests | 634,114 | 513,846 |
Total shareholders’ equity | 8,189,376 | 6,647,571 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | 20,609,004 | 18,202,647 |
Ordinary Shares | ||
SHAREHOLDERS’ EQUITY: | ||
Ordinary shares, value | 57 | 57 |
Class A Ordinary Shares | ||
SHAREHOLDERS’ EQUITY: | ||
Ordinary shares, value | 15 | 18 |
Class X Ordinary Shares | ||
SHAREHOLDERS’ EQUITY: | ||
Ordinary shares, value | $ 0 | $ 1 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) | Aug. 31, 2016$ / sharesshares | Aug. 31, 2016€ / sharesshares | Aug. 31, 2015$ / sharesshares | Aug. 31, 2015€ / sharesshares |
Ordinary Shares | ||||
Ordinary shares, par value | € / shares | € 1 | € 1 | ||
Ordinary shares, shares authorized | 40,000 | 40,000 | 40,000 | 40,000 |
Ordinary shares, shares issued | 40,000 | 40,000 | 40,000 | 40,000 |
Treasury shares, ordinary shares | 40,000 | 40,000 | 40,000 | 40,000 |
Class A Ordinary Shares | ||||
Ordinary shares, par value | $ / shares | $ 0.0000225 | $ 0.0000225 | ||
Ordinary shares, shares authorized | 20,000,000,000 | 20,000,000,000 | 20,000,000,000 | 20,000,000,000 |
Ordinary shares, shares issued | 654,202,813 | 654,202,813 | 804,757,785 | 804,757,785 |
Treasury shares, ordinary shares | 33,529,739 | 33,529,739 | 178,056,462 | 178,056,462 |
Class X Ordinary Shares | ||||
Ordinary shares, par value | $ / shares | $ 0.0000225 | $ 0.0000225 | ||
Ordinary shares, shares authorized | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 |
Ordinary shares, shares issued | 21,917,155 | 21,917,155 | 23,335,142 | 23,335,142 |
Ordinary shares, shares outstanding | 21,917,155 | 21,917,155 | 23,335,142 | 23,335,142 |
CONSOLIDATED INCOME STATEMENTS
CONSOLIDATED INCOME STATEMENTS - USD ($) $ in Thousands | 12 Months Ended | ||||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |||
REVENUES: | |||||
Revenues before reimbursements (“Net revenues”) | $ 32,882,723 | $ 31,047,931 | $ 30,002,394 | [1] | |
Reimbursements | 1,914,938 | 1,866,493 | 1,872,284 | [1] | |
Revenues | 34,797,661 | 32,914,424 | 31,874,678 | [1] | |
Cost of services: | |||||
Cost of services before reimbursable expenses | 22,605,296 | 21,238,692 | 20,317,928 | ||
Reimbursable expenses | 1,914,938 | 1,866,493 | 1,872,284 | ||
Cost of services | 24,520,234 | 23,105,185 | 22,190,212 | ||
Sales and marketing | 3,580,439 | 3,505,045 | 3,582,833 | ||
General and administrative costs | 1,886,543 | 1,803,943 | 1,819,136 | ||
Pension settlement charge | 0 | 64,382 | 0 | ||
Reorganization benefits, net | 0 | 0 | (18,015) | ||
Total operating expenses | 29,987,216 | 28,478,555 | 27,574,166 | ||
OPERATING INCOME | 4,810,445 | 4,435,869 | 4,300,512 | ||
Interest income | 30,484 | 33,991 | 30,370 | ||
Interest expense | (16,258) | (14,578) | (17,621) | ||
Other expense, net | (69,922) | (44,752) | (15,560) | ||
Gain on sale of businesses | 848,823 | 0 | 0 | ||
INCOME BEFORE INCOME TAXES | 5,603,572 | 4,410,530 | 4,297,701 | ||
Provision for income taxes | 1,253,969 | 1,136,741 | 1,121,743 | ||
Net Income | 4,349,603 | 3,273,789 | 3,175,958 | ||
Net income attributable to noncontrolling interests in Accenture Holdings plc and Accenture Canada Holdings Inc. | [2] | (195,560) | (178,925) | (187,107) | |
Net income attributable to noncontrolling interests – other | (42,151) | (41,283) | (47,353) | ||
NET INCOME ATTRIBUTABLE TO ACCENTURE PLC | $ 4,111,892 | $ 3,053,581 | $ 2,941,498 | ||
Weighted average Class A ordinary shares: | |||||
Basic (in shares) | 624,797,820 | 626,799,586 | 634,216,250 | ||
Diluted (in shares) | 667,770,274 | 678,757,070 | 692,389,966 | ||
Earnings per Class A ordinary share: | |||||
Basic (in dollars per share) | $ 6.58 | $ 4.87 | $ 4.64 | ||
Diluted (in dollars per share) | 6.45 | 4.76 | 4.52 | ||
Cash dividends per share (in dollars per share) | $ 2.20 | $ 2.04 | $ 1.86 | ||
[1] | Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. | ||||
[2] | Diluted earnings per share assumes the redemption of all Accenture Holdings plc ordinary shares owned by holders of noncontrolling interests and the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares, on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests—other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net Income | $ 4,349,603 | $ 3,273,789 | $ 3,175,958 |
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX: | |||
Foreign currency translation | (66,459) | (528,908) | 89,805 |
Defined benefit plans | (285,885) | 7,524 | (105,739) |
Cash flow hedges | 101,299 | (17,079) | 196,732 |
Marketable securities | 1,297 | (1,561) | 0 |
OTHER COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO ACCENTURE PLC | (249,748) | (540,024) | 180,798 |
Other comprehensive income (loss) attributable to noncontrolling interests | (7,881) | 10,160 | 9,183 |
COMPREHENSIVE INCOME | 4,091,974 | 2,743,925 | 3,365,939 |
COMPREHENSIVE INCOME ATTRIBUTABLE TO ACCENTURE PLC | 3,862,144 | 2,513,557 | 3,122,296 |
Comprehensive income attributable to noncontrolling interests | 229,830 | 230,368 | 243,643 |
COMPREHENSIVE INCOME | $ 4,091,974 | $ 2,743,925 | $ 3,365,939 |
CONSOLIDATED SHAREHOLDERS' EQUI
CONSOLIDATED SHAREHOLDERS' EQUITY STATEMENTS - USD ($) $ in Thousands | Total | Ordinary Shares | Class A Ordinary Shares | Class X Ordinary Shares | Restricted Share Units | Additional Paid-in Capital | Treasury Shares | Retained Earnings | Accumulated Other Comprehensive Loss | Total Accenture plc Shareholder's Equity | Noncontrolling Interests |
Beginning Balance at Aug. 31, 2013 | $ 5,427,829 | $ 57 | $ 17 | $ 1 | $ 875,156 | $ 2,393,936 | $ (7,326,079) | $ 10,069,844 | $ (1,052,746) | $ 4,960,186 | $ 467,643 |
Beginning Balance (in shares) at Aug. 31, 2013 | 40,000 | 771,302,000 | 30,312,000 | ||||||||
Beginning Balance Treasury (in shares) at Aug. 31, 2013 | (135,299,000) | ||||||||||
Ending Balance at Aug. 31, 2014 | 6,285,337 | $ 57 | $ 18 | $ 1 | 921,586 | 3,347,392 | $ (9,423,202) | 11,758,131 | (871,948) | 5,732,035 | 553,302 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net Income | 3,175,958 | 2,941,498 | 2,941,498 | 234,460 | |||||||
Other comprehensive income (loss) | 189,981 | 180,798 | 180,798 | 9,183 | |||||||
Income tax benefit on share-based compensation plans | 78,421 | 78,421 | 78,421 | ||||||||
Purchases of Class A ordinary shares | (2,403,373) | 128,395 | $ (2,403,373) | (2,274,978) | (128,395) | ||||||
Purchases of Class A ordinary shares (in shares) | (30,629,000) | ||||||||||
Share-based compensation expense | 671,301 | 625,792 | 45,509 | 671,301 | |||||||
Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares | (156,061) | (147,278) | (147,278) | (8,783) | |||||||
Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares (in shares) | (2,255,000) | ||||||||||
Issuances of Class A ordinary shares: | |||||||||||
Employee share programs | 558,497 | $ 1 | (634,619) | 858,012 | $ 306,250 | 529,644 | 28,853 | ||||
Employee share programs (in shares) | 14,325,000 | 7,518,000 | |||||||||
Upon redemption of Accenture Holdings plc ordinary shares (in shares) | 1,242,000 | ||||||||||
Upon redemption of Accenture Holdings plc ordinary shares | 0 | 5,784 | 5,784 | (5,784) | |||||||
Dividends | (1,254,916) | 55,257 | (1,234,147) | (1,178,890) | (76,026) | ||||||
Other, net | (2,300) | (15,387) | (19,064) | (34,451) | 32,151 | ||||||
Ending Balance Treasury (in shares) at Aug. 31, 2014 | (158,410,000) | ||||||||||
Ending Balance (in shares) at Aug. 31, 2014 | 40,000 | 786,869,000 | 28,057,000 | ||||||||
Ending Balance at Aug. 31, 2015 | 6,647,571 | $ 57 | $ 18 | $ 1 | 1,031,203 | 4,516,810 | $ (11,472,400) | 13,470,008 | (1,411,972) | 6,133,725 | 513,846 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net Income | 3,273,789 | 3,053,581 | 3,053,581 | 220,208 | |||||||
Other comprehensive income (loss) | (529,864) | (540,024) | (540,024) | 10,160 | |||||||
Income tax benefit on share-based compensation plans | 202,868 | 202,868 | 202,868 | ||||||||
Purchases of Class A ordinary shares | (2,273,933) | 112,476 | $ (2,273,933) | (2,161,457) | (112,476) | ||||||
Purchases of Class A ordinary shares (in shares) | (25,449,000) | ||||||||||
Share-based compensation expense | 680,329 | 634,195 | 46,134 | 680,329 | |||||||
Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares | (179,056) | (170,168) | (170,168) | (8,888) | |||||||
Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares (in shares) | (4,722,000) | ||||||||||
Issuances of Class A ordinary shares: | |||||||||||
Employee share programs | 554,149 | (575,979) | 878,939 | $ 224,735 | 527,695 | 26,454 | |||||
Employee share programs (in shares) | 11,649,000 | 5,763,000 | |||||||||
Upon redemption of Accenture Holdings plc ordinary shares (in shares) | 6,240,000 | ||||||||||
Upon redemption of Accenture Holdings plc ordinary shares | 0 | 29,815 | 29,815 | (29,815) | |||||||
Dividends | (1,353,471) | 51,401 | (1,328,188) | (1,276,787) | (76,684) | ||||||
Other, net | (12,577) | 69,354 | (13,516) | 55,838 | (68,415) | ||||||
Ending Balance Treasury (in shares) at Aug. 31, 2015 | (178,096,000) | ||||||||||
Ending Balance (in shares) at Aug. 31, 2015 | 40,000 | 804,758,000 | 23,335,000 | ||||||||
Ending Balance at Aug. 31, 2016 | 8,189,376 | $ 57 | $ 15 | $ 0 | 1,004,128 | 2,924,729 | $ (2,591,907) | 7,879,960 | (1,661,720) | 7,555,262 | 634,114 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net Income | 4,349,603 | 4,111,892 | 4,111,892 | 237,711 | |||||||
Other comprehensive income (loss) | (257,629) | $ (249,748) | (249,748) | (7,881) | |||||||
Income tax benefit on share-based compensation plans | 112,562 | 112,562 | 112,562 | ||||||||
Purchases of Class A ordinary shares | (2,532,796) | 103,760 | (2,532,796) | (2,429,036) | (103,760) | ||||||
Cancellation of treasury shares | $ 0 | $ (4) | (2,923,579) | $ 11,199,016 | (8,275,433) | 0 | |||||
Cancellation of treasury shares (in shares) | (163,016,000) | 163,016,000 | |||||||||
Purchases of Class A ordinary shares (in shares) | (23,847,521) | (23,848,000) | |||||||||
Share-based compensation expense | $ 758,176 | 701,923 | 56,253 | 758,176 | |||||||
Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares | (72,193) | $ (1) | (68,481) | (68,482) | (3,711) | ||||||
Purchases/redemptions of Accenture Holdings plc ordinary shares, Accenture Canada Holdings Inc. exchangeable shares and Class X ordinary shares (in shares) | (1,418,000) | ||||||||||
Issuances of Class A ordinary shares: | |||||||||||
Employee share programs | 591,357 | $ 1 | (785,141) | 1,138,304 | $ 214,273 | 567,437 | 23,920 | ||||
Employee share programs (in shares) | 11,686,000 | 5,358,000 | |||||||||
Upon redemption of Accenture Holdings plc ordinary shares (in shares) | 775,000 | ||||||||||
Upon redemption of Accenture Holdings plc ordinary shares | 0 | 3,541 | 3,541 | (3,541) | |||||||
Dividends | (1,438,138) | 51,137 | (1,423,316) | (1,372,179) | (65,959) | ||||||
Other, net | $ 30,863 | $ 5,006 | $ (14,441) | $ (3,191) | $ (12,626) | $ 43,489 | |||||
Ending Balance Treasury (in shares) at Aug. 31, 2016 | (33,570,000) | ||||||||||
Ending Balance (in shares) at Aug. 31, 2016 | 40,000 | 654,203,000 | 21,917,000 |
CONSOLIDATED CASH FLOWS STATEME
CONSOLIDATED CASH FLOWS STATEMENTS - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
Net Income | $ 4,349,603 | $ 3,273,789 | $ 3,175,958 | |
Adjustments to reconcile Net income to Net cash provided by operating activities— | ||||
Depreciation, amortization and asset impairments | [1] | 729,052 | 645,923 | 620,743 |
Reorganization benefits, net | 0 | 0 | (18,015) | |
Share-based compensation expense | 758,176 | 680,329 | 671,301 | |
Gain on sale of businesses | (848,823) | 0 | 0 | |
Deferred income taxes, net | 65,940 | (459,109) | (74,092) | |
Other, net | (53,706) | (237,876) | 104,950 | |
Change in assets and liabilities, net of acquisitions— | ||||
Receivables from clients, net | (177,156) | (158,990) | (464,639) | |
Unbilled services, current and non-current, net | (192,912) | (268,135) | (239,893) | |
Other current and non-current assets | (655,876) | (400,524) | (343,392) | |
Accounts payable | 72,626 | 113,548 | 72,526 | |
Deferred revenues, current and non-current | 302,738 | 182,836 | 93,927 | |
Accrued payroll and related benefits | 386,018 | 586,548 | (138,618) | |
Income taxes payable, current and non-current | (251,255) | 105,037 | 108,860 | |
Other current and non-current liabilities | 90,690 | 28,761 | (83,531) | |
Net cash provided by operating activities | 4,575,115 | 4,092,137 | 3,486,085 | |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||
Proceeds from sales of property and equipment | 4,220 | 5,784 | 5,526 | |
Purchases of property and equipment | (496,566) | (395,017) | (321,870) | |
Purchases of businesses and investments, net of cash acquired | (932,542) | (791,704) | (740,067) | |
Proceeds from the sale of businesses and investments, net of cash transferred | 814,538 | 10,553 | 0 | |
Net cash used in investing activities | (610,350) | (1,170,384) | (1,056,411) | |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||
Proceeds from issuance of ordinary shares | 591,357 | 554,149 | 558,497 | |
Purchases of shares | (2,604,989) | (2,452,989) | (2,559,434) | |
Proceeds from (repayments of) long-term debt, net | (1,059) | 701 | 543 | |
Cash dividends paid | (1,438,138) | (1,353,471) | (1,254,916) | |
Excess tax benefits from share-based payment arrangements | 92,285 | 84,026 | 114,293 | |
Other, net | (36,389) | (34,712) | (24,399) | |
Net cash used in financing activities | (3,396,933) | (3,202,296) | (3,165,416) | |
Effect of exchange rate changes on cash and cash equivalents | (22,989) | (279,996) | 25,162 | |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 544,843 | (560,539) | (710,580) | |
CASH AND CASH EQUIVALENTS, beginning of period | 4,360,766 | 4,921,305 | 5,631,885 | |
CASH AND CASH EQUIVALENTS, end of period | 4,905,609 | 4,360,766 | 4,921,305 | |
SUPPLEMENTAL CASH FLOW INFORMATION: | ||||
Interest paid | 16,285 | 14,810 | 17,595 | |
Income taxes paid | $ 1,425,480 | $ 1,433,538 | $ 962,976 | |
[1] | Amounts include depreciation on property and equipment and amortization of intangible assets controlled by each operating segment, as well as an allocation for amounts they do not directly control. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Description of Business and Accounting Policies | Accenture plc is one of the world’s leading organizations providing consulting, technology and outsourcing services and operates globally with one common brand and business model designed to enable it to provide clients around the world with the same high level of service. Drawing on a combination of industry and functional expertise, technology capabilities and alliances, and global delivery resources, Accenture plc seeks to provide differentiated services that help clients measurably improve their business performance and create sustainable value for their customers and stakeholders. Accenture plc’s global delivery model enables it to provide an end-to-end delivery capability by drawing on its global resources to deliver high-quality, cost-effective solutions to clients. Basis of Presentation The Consolidated Financial Statements include the accounts of Accenture plc, an Irish company, and its controlled subsidiary companies (collectively, the “Company”). Accenture plc’s only business is to hold ordinary and deferred shares in, and to act as the controlling shareholder of, its subsidiary, Accenture Holdings plc, an Irish public limited company. The Company operates its business through Accenture Holdings plc and subsidiaries of Accenture Holdings plc. Accenture plc controls Accenture Holdings plc’s management and operations and consolidates Accenture Holdings plc’s results in its Consolidated Financial Statements. On April 10, 2015, Accenture Holdings plc was incorporated in Ireland, as a public limited company, in order to further consolidate Accenture’s presence in Ireland. On August 26, 2015, Accenture SCA merged with and into Accenture Holdings plc, with Accenture Holdings plc as the surviving entity. This merger was a transaction between entities under common control and had no effect on the Company’s Consolidated Financial Statements. All references to Accenture Holdings plc included in this report with respect to periods prior to August 26, 2015 reflect the activity and/or balances of Accenture SCA (the predecessor of Accenture Holdings plc). The shares of Accenture Holdings plc and Accenture Canada Holdings Inc. held by persons other than the Company are treated as a noncontrolling interest in the Consolidated Financial Statements. The noncontrolling interest percentages were 4% and 5% as of August 31, 2016 and 2015 , respectively. All references to years, unless otherwise noted, refer to the Company’s fiscal year, which ends on August 31. For example, a reference to “fiscal 2016 ” means the 12-month period that ended on August 31, 2016 . All references to quarters, unless otherwise noted, refer to the quarters of the Company’s fiscal year. The preparation of the Consolidated Financial Statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future, actual results may be different from those estimates. Revenue Recognition Revenues from contracts for technology integration consulting services where the Company designs/redesigns, builds and implements new or enhanced systems applications and related processes for its clients are recognized on the percentage-of-completion method, which involves calculating the percentage of services provided during the reporting period compared to the total estimated services to be provided over the duration of the contract. Contracts for technology integration consulting services generally span six months to two years. Estimated revenues used in applying the percentage-of-completion method include estimated incentives for which achievement of defined goals is deemed probable. This method is followed where reasonably dependable estimates of revenues and costs can be made. Estimates of total contract revenues and costs are continuously monitored during the term of the contract, and recorded revenues and estimated costs are subject to revision as the contract progresses. Such revisions may result in increases or decreases to revenues and income and are reflected in the Consolidated Financial Statements in the periods in which they are first identified. If the Company’s estimates indicate that a contract loss will occur, a loss provision is recorded in the period in which the loss first becomes probable and reasonably estimable. Contract losses are determined to be the amount by which the estimated total direct and indirect costs of the contract exceed the estimated total revenues that will be generated by the contract and are included in Cost of services and classified in Other accrued liabilities. Revenues from contracts for non-technology integration consulting services with fees based on time and materials or cost-plus are recognized as the services are performed and amounts are earned. The Company considers amounts to be earned once evidence of an arrangement has been obtained, services are delivered, fees are fixed or determinable, and collectibility is reasonably assured. In such contracts, the Company’s efforts, measured by time incurred, typically are provided in less than a year and represent the contractual milestones or output measure, which is the contractual earnings pattern. For non-technology integration consulting contracts with fixed fees, the Company recognizes revenues as amounts become billable in accordance with contract terms, provided the billable amounts are not contingent, are consistent with the services delivered and are earned. Contingent or incentive revenues relating to non-technology integration consulting contracts are recognized when the contingency is satisfied and the Company concludes the amounts are earned. Outsourcing contracts typically span several years and involve complex delivery, often through multiple workforces in different countries. In a number of these arrangements, the Company hires client employees and becomes responsible for certain client obligations. Revenues are recognized on outsourcing contracts as amounts become billable in accordance with contract terms, unless the amounts are billed in advance of performance of services, in which case revenues are recognized when the services are performed and amounts are earned. Revenues from time-and-materials or cost-plus contracts are recognized as the services are performed. In such contracts, the Company’s effort, measured by time incurred, represents the contractual milestones or output measure, which is the contractual earnings pattern. Revenues from unit-priced contracts are recognized as transactions are processed based on objective measures of output. Revenues from fixed-price contracts are recognized on a straight-line basis, unless revenues are earned and obligations are fulfilled in a different pattern. Outsourcing contracts can also include incentive payments for benefits delivered to clients. Revenues relating to such incentive payments are recorded when the contingency is satisfied and the Company concludes the amounts are earned. Costs related to delivering outsourcing services are expensed as incurred with the exception of certain transition costs related to the set-up of processes, personnel and systems, which are deferred during the transition period and expensed evenly over the period outsourcing services are provided. The deferred costs are specific internal costs or incremental external costs directly related to transition or set-up activities necessary to enable the outsourced services. Generally, deferred amounts are protected in the event of early termination of the contract and are monitored regularly for impairment. Impairment losses are recorded when projected remaining undiscounted operating cash flows of the related contract are not sufficient to recover the carrying amount of contract assets. Deferred transition costs were $709,444 and $630,420 as of August 31, 2016 and 2015 , respectively, and are included in Deferred contract costs. Amounts billable to the client for transition or set-up activities are deferred and recognized as revenue evenly over the period outsourcing services are provided. Deferred transition revenues were $604,674 and $522,968 as of August 31, 2016 and 2015 , respectively, and are included in non-current Deferred revenues. Contract acquisition and origination costs are expensed as incurred. The Company enters into contracts that may consist of multiple deliverables. These contracts may include any combination of technology integration consulting services, non-technology integration consulting services or outsourcing services described above. Revenues for contracts with multiple deliverables are allocated based on the lesser of the element’s relative selling price or the amount that is not contingent on future delivery of another deliverable. The selling price of each deliverable is determined by obtaining third party evidence of the selling price for the deliverable and is based on the price charged when largely similar services are sold on a standalone basis by the Company to similarly situated customers. If the amount of non-contingent revenues allocated to a deliverable accounted for under the percentage-of-completion method of accounting is less than the costs to deliver such services, then such costs are deferred and recognized in future periods when the revenues become non-contingent. Revenues are recognized in accordance with the Company’s accounting policies for the separate deliverables when the services have value on a stand-alone basis, selling price of the separate deliverables exists and, in arrangements that include a general right of refund relative to the completed deliverable, performance of the in-process deliverable is considered probable and substantially in the Company’s control. While determining fair value and identifying separate deliverables require judgment, generally fair value and the separate deliverables are readily identifiable as the Company also sells those deliverables unaccompanied by other deliverables. Revenues recognized in excess of billings are recorded as Unbilled services. Billings in excess of revenues recognized are recorded as Deferred revenues until revenue recognition criteria are met. Client prepayments (even if nonrefundable) are deferred and recognized over future periods as services are delivered or performed. Revenues before reimbursements (“net revenues”) include the margin earned on computer hardware, software and related services resale, as well as revenues from alliance agreements. Reimbursements include billings for travel and other out-of-pocket expenses and third-party costs, such as the cost of hardware, software and related services resales. In addition, Reimbursements include allocations from gross billings to record an amount equivalent to reimbursable costs, where billings do not specifically identify reimbursable expenses. The Company reports revenues net of any revenue-based taxes assessed by governmental authorities that are imposed on and concurrent with specific revenue-producing transactions. Employee Share-Based Compensation Arrangements Share-based compensation expense is recognized over the requisite service period for awards of equity instruments to employees based on the grant date fair value of those awards expected to ultimately vest. Forfeitures are estimated on the date of grant and revised if actual or expected forfeiture activity differs materially from original estimates. Income Taxes The Company calculates and provides for income taxes in each of the tax jurisdictions in which it operates. Deferred tax assets and liabilities, measured using enacted tax rates, are recognized for the future tax consequences of temporary differences between the tax and financial statement bases of assets and liabilities. A valuation allowance reduces the deferred tax assets to the amount that is more likely than not to be realized. The Company establishes liabilities or reduces assets for uncertain tax positions when the Company believes those tax positions are not more likely than not of being sustained if challenged. Each fiscal quarter, the Company evaluates these uncertain tax positions and adjusts the related tax assets and liabilities in light of changing facts and circumstances. Translation of Non-U.S. Currency Amounts Assets and liabilities of non-U.S. subsidiaries whose functional currency is not the U.S. dollar are translated into U.S. dollars at fiscal year-end exchange rates. Revenue and expense items are translated at average foreign currency exchange rates prevailing during the fiscal year. Translation adjustments are included in Accumulated other comprehensive loss. Gains and losses arising from intercompany foreign currency transactions that are of a long-term investment nature are reported in the same manner as translation adjustments. Cash and Cash Equivalents Cash and cash equivalents consist of all cash balances and liquid investments with original maturities of three months or less, including certificates of deposit and time deposits. Cash and cash equivalents also include restricted cash of $45,478 and $45,935 as of August 31, 2016 and 2015 , respectively, which primarily relates to cash held to meet certain insurance requirements. As a result of certain subsidiaries’ cash management systems, checks issued but not presented to the banks for payment may create negative book cash balances. Such negative balances are classified as Current portion of long term debt and bank borrowings. Client Receivables, Unbilled Services and Allowances The Company records its client receivables and unbilled services at their face amounts less allowances. On a periodic basis, the Company evaluates its receivables and unbilled services and establishes allowances based on historical experience and other currently available information. As of August 31, 2016 and 2015 , total allowances recorded for client receivables and unbilled services were $79,440 and $70,165 , respectively. The allowance reflects the Company’s best estimate of collectibility risks on outstanding receivables and unbilled services. In limited circumstances, the Company agrees to extend financing to certain clients. The terms vary by contract, but generally payment for services is contractually linked to the achievement of specified performance milestones. Concentrations of Credit Risk The Company’s financial instruments, consisting primarily of cash and cash equivalents, foreign currency exchange rate instruments, client receivables and unbilled services, are exposed to concentrations of credit risk. The Company places its cash and cash equivalents and foreign exchange instruments with highly-rated financial institutions, limits the amount of credit exposure with any one financial institution and conducts ongoing evaluations of the credit worthiness of the financial institutions with which it does business. Client receivables are dispersed across many different industries and countries; therefore, concentrations of credit risk are limited. Investments All liquid investments with an original maturity greater than three months but less than one year are considered to be short-term investments. Non-current investments are primarily non-marketable equity securities of privately held companies and are accounted for using either the equity or cost methods of accounting, in accordance with the requirements of Accounting Standards Codification 323, Investments—Equity Method and Joint Ventures. Marketable securities are classified as available-for-sale investments and reported at fair value with changes in unrealized gains and losses recorded as a separate component of Accumulated other comprehensive loss until realized. Interest and amortization of premiums and discounts for debt securities are included in Interest income. Cost method investments are periodically assessed for other-than-temporary impairment. For investments in privately held companies, if there are no identified events or circumstances that would have a significant adverse effect on the fair value of the investment, the fair value is not estimated. If an investment is deemed to have experienced an other-than-temporary decline below its cost basis, the Company reduces the carrying amount of the investment to its quoted or estimated fair value, as applicable, and establishes a new cost basis for the investment. Property and Equipment Property and equipment is stated at cost, net of accumulated depreciation. Depreciation of property and equipment is computed on a straight-line basis over the following estimated useful lives: Computers, related equipment and software 2 to 7 years Furniture and fixtures 5 to 10 years Leasehold improvements Lesser of lease term or 15 years Goodwill Goodwill represents the excess of the purchase price of an acquired entity over the fair value of net assets acquired. The Company reviews the recoverability of goodwill by reportable operating segment annually, or more frequently when indicators of impairment exist. Based on the results of its annual impairment analysis, the Company determined that no impairment existed as of August 31, 2016 and 2015 , as each reportable operating segment’s estimated fair value substantially exceeded its carrying value. Long-Lived Assets Long-lived assets, including deferred contract costs and identifiable intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or group of assets may not be recoverable. Recoverability of long-lived assets or groups of assets is assessed based on a comparison of the carrying amount to the estimated future net cash flows. If estimated future undiscounted net cash flows are less than the carrying amount, the asset is considered impaired and a loss is recorded equal to the amount required to reduce the carrying amount to fair value. Intangible assets with finite lives are generally amortized using the straight-line method over their estimated economic useful lives, ranging from one to fifteen years. Operating Expenses Selected components of operating expenses were as follows: Fiscal 2016 2015 2014 Training costs $ 940,509 $ 841,440 $ 786,517 Research and development costs 643,407 625,541 639,513 Advertising costs 80,601 79,899 87,559 Provision for (release of) doubtful accounts (1) 15,312 (10,336 ) (12,867 ) _______________ (1) For additional information, see “Client Receivables, Unbilled Services and Allowances”. Recently Adopted Accounting Pronouncement In August 2016, the Company early adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2015-17, Balance Sheet Classification of Deferred Taxes, which amends existing guidance on income taxes to require the classification of all deferred tax assets and liabilities as non-current on the balance sheet. The Company adopted this ASU using the retrospective method which required reclassification of current deferred taxes as previously reported on the Company’s August 31, 2015 Consolidated Balance Sheets to non-current, resulting in an increase to non-current deferred tax assets of $815,909 and a decrease to noncurrent deferred tax liabilities of $22,218 . New Accounting Pronouncements On March 31, 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting, which simplifies the accounting for share-based payment transactions. The new guidance requires excess tax benefits and tax deficiencies to be recorded in the income statement when the awards vest or are settled. In addition, the ASU includes provisions that impact the classification of awards as either equity or liabilities and the classification of excess tax benefits on the cash flow statements. The Company will early adopt the standard effective September 1, 2016. Following adoption, the primary impact on the Company’s Consolidated Financial Statements will be the recognition of excess tax benefits in the provision for income taxes rather than Additional paid-in capital, which will likely result in increased volatility in the reported amounts of income tax expense and net income. The Company estimates this change will reduce its fiscal 2017 effective tax rate by less than two percentage points. The actual impact of adopting this standard on the effective tax rate will vary depending on the Company’s share price during fiscal 2017. Provisions of the new guidance related to changes to classification of excess tax benefits in the cash flow statements are expected to be adopted retrospectively. The Company is continuing to evaluate the impacts of the adoption of this guidance and its preliminary assessments are subject to change. On March 15, 2016, the FASB issued ASU No. 2016-07, Simplifying the Transition to the Equity Method of Accounting, which eliminates the requirement to retrospectively apply equity method accounting when an entity increases ownership or influence in a previously held investment. The ASU will be effective for the Company beginning September 1, 2017, including interim periods in its fiscal year 2018. The Company does not expect the adoption of this ASU to have a material impact on its Consolidated Financial Statements. On February 25, 2016, the FASB issued ASU No. 2016-02, Leases, which amends existing guidance to require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by long-term leases and to disclose additional quantitative and qualitative information about leasing arrangements. The ASU will be effective for the Company beginning September 1, 2019, including interim periods in its fiscal year 2020, and allows for a modified retrospective method upon adoption. The Company is assessing the impact of this ASU on its Consolidated Financial Statements. On January 5, 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities, which amends certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The ASU will be effective for the Company beginning September 1, 2018, including interim periods in its fiscal year 2019. The Company does not expect the adoption of this ASU to have a material impact on its Consolidated Financial Statements. On May 28, 2014, the FASB issued ASU No. 2014-09 (Accounting Standard Codification 606), Revenue from Contracts with Customers, which will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU will be effective for the Company beginning September 1, 2018, including interim periods in its fiscal year 2019, and allows for both retrospective and modified retrospective methods of adoption. The Company will adopt the guidance on September 1, 2018 and apply the modified retrospective method. The Company is assessing the impact of this ASU on its Consolidated Financial Statements. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Aug. 31, 2016 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | Basic and diluted earnings per share were calculated as follows: Fiscal 2016 2015 2014 Basic Earnings per share Net income attributable to Accenture plc $ 4,111,892 $ 3,053,581 $ 2,941,498 Basic weighted average Class A ordinary shares 624,797,820 626,799,586 634,216,250 Basic earnings per share $ 6.58 $ 4.87 $ 4.64 Diluted Earnings per share Net income attributable to Accenture plc $ 4,111,892 $ 3,053,581 $ 2,941,498 Net income attributable to noncontrolling interests in Accenture Holdings plc and Accenture Canada Holdings Inc. (1) 195,560 178,925 187,107 Net income for diluted earnings per share calculation $ 4,307,452 $ 3,232,506 $ 3,128,605 Basic weighted average Class A ordinary shares 624,797,820 626,799,586 634,216,250 Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1) 29,712,982 36,693,816 40,333,904 Diluted effect of employee compensation related to Class A ordinary shares 13,105,585 15,094,672 17,689,942 Diluted effect of share purchase plans related to Class A ordinary shares 153,887 168,996 149,870 Diluted weighted average Class A ordinary shares 667,770,274 678,757,070 692,389,966 Diluted earnings per share $ 6.45 $ 4.76 $ 4.52 _______________ (1) Diluted earnings per share assumes the redemption of all Accenture Holdings plc ordinary shares owned by holders of noncontrolling interests and the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares, on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests—other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 12 Months Ended |
Aug. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive loss attributable to Accenture plc: Fiscal 2016 2015 2014 Foreign currency translation Beginning balance $ (853,504 ) $ (324,596 ) $ (414,401 ) Foreign currency translation (67,884 ) (524,729 ) 91,170 Income tax benefit 2,120 6,520 2,236 Portion attributable to noncontrolling interests (695 ) (10,699 ) (3,601 ) Foreign currency translation, net of tax (66,459 ) (528,908 ) 89,805 Ending balance (919,963 ) (853,504 ) (324,596 ) Defined benefit plans Beginning balance (523,619 ) (531,143 ) (425,404 ) Actuarial losses (481,331 ) (77,228 ) (177,243 ) Pension settlement — 64,382 — Prior service costs arising during the period 1,561 (79 ) (468 ) Reclassifications into net periodic pension and post-retirement expense 26,639 27,538 20,026 Income tax benefit (expense) 153,869 (6,725 ) 45,459 Portion attributable to noncontrolling interests 13,377 (364 ) 6,487 Defined benefit plans, net of tax (285,885 ) 7,524 (105,739 ) Ending balance (1) (809,504 ) (523,619 ) (531,143 ) Cash flow hedges Beginning balance (33,288 ) (16,209 ) (212,941 ) Unrealized gains (losses) 180,196 (17,207 ) 222,100 Reclassification adjustments into Cost of services (23,004 ) (15,207 ) 101,026 Income tax (expense) benefit (51,153 ) 14,508 (114,325 ) Portion attributable to noncontrolling interests (4,740 ) 827 (12,069 ) Cash flow hedges, net of tax 101,299 (17,079 ) 196,732 Ending balance (2) 68,011 (33,288 ) (16,209 ) Marketable securities Beginning balance (1,561 ) — — Unrealized gain (loss) 2,231 (2,693 ) — Income tax (expense) benefit (873 ) 1,056 — Portion attributable to noncontrolling interests (61 ) 76 — Marketable securities, net of tax 1,297 (1,561 ) — Ending balance (264 ) (1,561 ) — Accumulated other comprehensive loss $ (1,661,720 ) $ (1,411,972 ) $ (871,948 ) _______________ (1) As of August 31, 2016 , $50,410 of net losses is expected to be reclassified into net periodic pension expense recognized in Cost of services, Sales and marketing and General and administrative costs in the next twelve months. (2) As of August 31, 2016 , $61,135 of net unrealized gains related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next twelve months. |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended |
Aug. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | The components of Property and equipment, net were as follows: August 31, 2016 August 31, 2015 Buildings and land $ 2,914 $ 2,939 Computers, related equipment and software 1,428,134 1,386,226 Furniture and fixtures 354,523 310,971 Leasehold improvements 900,996 750,716 Property and equipment, gross 2,686,567 2,450,852 Total accumulated depreciation (1,730,025 ) (1,648,968 ) Property and equipment, net $ 956,542 $ 801,884 |
BUSINESS COMBINATIONS AND DIVES
BUSINESS COMBINATIONS AND DIVESTITURE | 12 Months Ended |
Aug. 31, 2016 | |
Business Combination, Goodwill [Abstract] | |
BUSINESS COMBINATIONS AND DIVESTITURE | Fiscal 2016 Business Combinations On October 20, 2015 , the Company acquired Cloud Sherpas (through its holding company, Declarative Holdings, Inc.), a leader in cloud advisory and technology services, for approximately $409,424 , net of cash acquired. This acquisition enhances the Company’s ability to provide clients with cloud strategy and technology consulting, as well as cloud application implementation, integration and management services, and resulted in approximately 1,100 employees joining the Company. In connection with this acquisition, the Company recorded goodwill of $385,337 , which was allocated to all five reportable operating segments, and intangible assets of $66,522 , primarily related to customer-related intangibles. The goodwill is non-deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to seven years. The pro forma effects of this acquisition on the Company’s operations were not material. During fiscal 2016, the Company also completed other individually immaterial acquisitions for total consideration of $458,892 , net of cash acquired. These acquisitions were completed primarily to expand the Company’s services and solutions offerings. In connection with these acquisitions, the Company recorded goodwill of $382,326 , which was allocated among the reportable operating segments, and intangible assets of $109,981 , primarily consisting of customer-related and technology intangibles. The goodwill is partially deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to ten years. The pro forma effects of these acquisitions on the Company’s operations were not material. Divestiture On January 26, 2016 , the Company completed the sale of Navitaire LLC (“Navitaire”), a wholly owned subsidiary of the Company that provides technology and business solutions to the airline industry, to Amadeus IT Group, S.A. (“Amadeus”). Concurrent with the sale, the Company also entered into several arrangements to provide services to Amadeus, principally infrastructure outsourcing, over the next five years. The Company received a total of $825,644 , net of transaction costs and cash divested, of which $214,500 was recorded as deferred revenue attributable to arrangements to provide services to Amadeus. In connection with the sale of Navitaire, the Company recorded a gain of $547,584 (reported in “Gain on sale of businesses” in the Consolidated Income Statements) and recorded related income taxes of $55,759 . Approximately 600 Navitaire employees transferred to Amadeus as a part of this sale. Joint Venture On August 1, 2016 , the Company completed the transfer of its Duck Creek business to Apax Partners LLP in exchange for $196,198 , net of transaction costs and cash divested, and a 40% non-controlling interest in the newly formed joint venture, Duck Creek Technologies LLC (“Duck Creek”). Duck Creek’s business is to accelerate the innovation of claims, billing and policy administration software for the insurance industry. In connection with the transaction, which resulted in the recording of the retained non-controlling interest at fair value, the Company recorded a gain of $301,239 (reported in “Gain on sale of businesses” in the Consolidated Income Statements) and related income tax expense of $48,286 . The fair value of the Company’s retained interest in Duck Creek was calculated based on the terms of the transfer and other factors related to the valuation of the non-controlling interest. Adjustments related to the completion of certain post-closing matters may be recorded in subsequent periods. Approximately 1,000 employees moved to Duck Creek as a part of this transaction. Fiscal 2015 Acquisitions On March 25, 2015, the Company acquired Agilex Technologies, Inc., a provider of digital solutions for the U.S. federal government, for $264,444 , net of cash acquired. This acquisition enhanced Accenture’s digital capabilities in analytics, cloud and mobility for federal agencies and resulted in approximately 730 employees joining the Company. In connection with this acquisition, the Company recorded goodwill of $206,123 , which was allocated to the Health & Public Service operating segment, and intangible assets of $50,800 , primarily consisting of customer-related intangibles. The goodwill is non-deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to eight years. The pro forma effects of this acquisition on the Company’s operations were not material. During fiscal 2015 , the Company also completed other individually immaterial acquisitions for total consideration of $510,236 , net of cash acquired. These acquisitions were completed primarily to expand the Company’s services and solutions offerings. In connection with these acquisitions, the Company recorded goodwill of $427,435 , which was allocated among the reportable operating segments, and intangible assets of $120,970 , primarily consisting of customer-related and technology intangibles. The goodwill is partially deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to eleven years. The pro forma effects of these acquisitions on the Company’s operations were not material. Fiscal 2014 Acquisitions On December 4, 2013, the Company acquired Procurian Inc. (“Procurian”), a provider of procurement business process solutions, for $386,407 , net of cash acquired. This acquisition enhanced Accenture’s capabilities in procurement business process outsourcing across a range of industries and resulted in approximately 780 employees joining Accenture. In connection with this acquisition, the Company recorded goodwill of $305,627 , which was allocated to all five reportable operating segments, and intangible assets of $60,514 , primarily consisting of customer-related and technology intangibles. The goodwill is substantially non-deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to twelve years. The pro forma effects of this acquisition on the Company’s operations were not material. During fiscal 2014, the Company also completed other individually immaterial acquisitions for total consideration of $320,225 , net of cash acquired. These acquisitions were completed primarily to expand the Company’s services and solutions offerings. In connection with these acquisitions, the Company recorded goodwill of $256,704 , which was allocated among the reportable operating segments, and intangible assets of $80,305 , primarily consisting of customer-related and technology intangibles. The goodwill is partially deductible for U.S. federal income tax purposes. The intangible assets are being amortized over one to twelve years. The pro forma effects of these acquisitions on the Company’s operations were not material. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended |
Aug. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | Goodwill The changes in the carrying amount of goodwill by reportable operating segment were as follows: August 31, Additions/ Foreign August 31, Additions/ Foreign August 31, Communications, Media & $ 338,855 $ 42,797 $ (16,828 ) $ 364,824 $ 194,365 $ (12,623 ) $ 546,566 Financial Services 707,093 35,060 (28,723 ) 713,430 149,811 (8,865 ) 854,376 Health & Public Service 375,052 218,461 (4,620 ) 588,893 130,787 (3,831 ) 715,849 Products 836,858 198,274 (33,364 ) 1,001,768 134,607 (23,384 ) 1,112,991 Resources 138,036 144,844 (21,962 ) 260,918 123,613 (4,876 ) 379,655 Total $ 2,395,894 $ 639,436 $ (105,497 ) $ 2,929,833 $ 733,183 $ (53,579 ) $ 3,609,437 Goodwill includes immaterial adjustments related to divestitures and prior period acquisitions. Intangible Assets The Company’s definite-lived intangible assets by major asset class were as follows: August 31, 2016 August 31, 2015 Intangible Asset Class Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer-related $ 532,753 $ (159,774 ) $ 372,979 $ 449,219 $ (120,841 ) $ 328,378 Technology 100,363 (48,270 ) 52,093 104,824 (44,988 ) 59,836 Patents 118,906 (57,951 ) 60,955 114,979 (54,064 ) 60,915 Other 43,804 (19,680 ) 24,124 31,480 (15,702 ) 15,778 Total $ 795,826 $ (285,675 ) $ 510,151 $ 700,502 $ (235,595 ) $ 464,907 Total amortization related to the Company’s intangible assets was $117,882 , $99,633 and $75,232 for fiscal 2016, 2015 and 2014 , respectively. Estimated future amortization related to intangible assets held at August 31, 2016 is as follows: Fiscal Year Estimated Amortization 2017 $ 107,291 2018 92,066 2019 74,617 2020 65,658 2021 45,747 Thereafter 124,772 Total $ 510,151 |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 12 Months Ended |
Aug. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | In the normal course of business, the Company uses derivative financial instruments to manage foreign currency exchange rate risk. Derivative transactions are governed by a uniform set of policies and procedures covering areas such as authorization, counterparty exposure and hedging practices. Positions are monitored using techniques such as market value and sensitivity analyses. The Company does not enter into derivative transactions for trading purposes. The Company classifies cash flows from its derivative programs as cash flows from operating activities in the Consolidated Cash Flows Statements. Certain derivatives also give rise to credit risks from the possible non-performance by counterparties. Credit risk is generally limited to the fair value of those contracts that are favorable to the Company, and the maximum amount of loss due to credit risk, based on the gross fair value of all of the Company’s derivative financial instruments, was $129,603 as of August 31, 2016 . The Company also utilizes standard counterparty master agreements containing provisions for the netting of certain foreign currency transaction obligations and for set-off of certain obligations in the event of an insolvency of one of the parties to the transaction. These provisions may reduce the Company’s potential overall loss resulting from the insolvency of a counterparty and reduce a counterparty’s potential overall loss resulting from the insolvency of the Company. Additionally, these agreements contain early termination provisions triggered by adverse changes in a counterparty’s credit rating, thereby enabling the Company to accelerate settlement of a transaction prior to its contractual maturity and potentially decrease the Company’s realized loss on an open transaction. Similarly, a decrement in the Company’s credit rating could trigger a counterparty’s early termination rights, thereby enabling a counterparty to accelerate settlement of a transaction prior to its contractual maturity and potentially increase the Company’s realized loss on an open transaction. The aggregate fair value of the Company’s derivative instruments with credit-risk-related contingent features that are in a liability position as of August 31, 2016 was $33,774 . The Company’s derivative financial instruments consist of deliverable and non-deliverable foreign currency forward contracts. Fair values for derivative financial instruments are based on prices computed using third-party valuation models and are classified as Level 2 in accordance with the three-level hierarchy of fair value measurements. All of the significant inputs to the third-party valuation models are observable in active markets. Inputs include current market-based parameters such as forward rates, yield curves and credit default swap pricing. For additional information related to the three-level hierarchy of fair value measurements, see Note 10 (Retirement and Profit Sharing Plans) to these Consolidated Financial Statements. Cash Flow Hedges Certain of the Company’s subsidiaries are exposed to currency risk through their use of resources supplied by the Company’s Global Delivery Network. To mitigate this risk, the Company uses foreign currency forward contracts to hedge the foreign exchange risk of the forecasted intercompany expenses denominated in foreign currencies for up to three years in the future. The Company has designated these derivatives as cash flow hedges. As of August 31, 2016 and 2015 , the Company held no derivatives that were designated as fair value or net investment hedges. In order for a derivative to qualify for hedge accounting, the derivative must be formally designated as a fair value, cash flow or net investment hedge by documenting the relationship between the derivative and the hedged item. The documentation includes a description of the hedging instrument, the hedged item, the risk being hedged, the Company’s risk management objective and strategy for undertaking the hedge, the method for assessing the effectiveness of the hedge and the method for measuring hedge ineffectiveness. Additionally, the hedge relationship must be expected to be highly effective at offsetting changes in either the fair value or cash flows of the hedged item at both inception of the hedge and on an ongoing basis. The Company assesses the ongoing effectiveness of its hedges using the Hypothetical Derivative Method, which measures hedge ineffectiveness based on a comparison of the change in fair value of the actual derivative designated as the hedging instrument and the change in fair value of a hypothetical derivative. The hypothetical derivative would have terms that identically match the critical terms of the hedged item. The Company measures and records hedge ineffectiveness at the end of each fiscal quarter. For a cash flow hedge, the effective portion of the change in estimated fair value of a hedging instrument is recorded in Accumulated other comprehensive loss as a separate component of Shareholders’ Equity and is reclassified into Cost of services in the Consolidated Income Statement during the period in which the hedged transaction is recognized. The amounts related to derivatives designated as cash flow hedges that were reclassified into Cost of services were a net gain of $23,004 and $15,207 during fiscal 2016 and 2015 , respectively, and a net loss of $101,026 during fiscal 2014 . The ineffective portion of the change in fair value of a cash flow hedge is recognized immediately in Other expense, net in the Consolidated Income Statement and for fiscal 2016, 2015 and 2014 , was not material. In addition, the Company did not discontinue any cash flow hedges during fiscal 2016 and 2015 or 2014 . Other Derivatives The Company also uses foreign currency forward contracts, which have not been designated as hedges, to hedge balance sheet exposures, such as intercompany loans. These instruments are generally short-term in nature, with typical maturities of less than one year, and are subject to fluctuations in foreign exchange rates. Realized gains or losses and changes in the estimated fair value of these derivatives were a net loss of $84,293 and $257,783 for fiscal 2016 and 2015 , respectively, and a net gain of $78,446 for fiscal 2014 . Gains and losses on these contracts are recorded in Other expense, net in the Consolidated Income Statement and are offset by gains and losses on the related hedged items. Fair Value of Derivative Instruments The notional and fair values of all derivative instruments were as follows: August 31, August 31, Assets Cash Flow Hedges Other current assets $ 71,955 $ 28,282 Other non-current assets 45,683 13,503 Other Derivatives Other current assets 11,965 18,233 Total assets $ 129,603 $ 60,018 Liabilities Cash Flow Hedges Other accrued liabilities $ 10,820 $ 48,683 Other non-current liabilities 5,547 48,746 Other Derivatives Other accrued liabilities 17,407 31,862 Total liabilities $ 33,774 $ 129,291 Total fair value $ 95,829 $ (69,273 ) Total notional value $ 7,604,486 $ 6,363,110 The Company utilizes standard counterparty master agreements containing provisions for the netting of certain foreign currency transaction obligations and for the set-off of certain obligations in the event of an insolvency of one of the parties to the transaction. In the Consolidated Balance Sheets, the Company records derivative assets and liabilities at gross fair value. The potential effect of netting derivative assets against liabilities under the counterparty master agreements was as follows: August 31, August 31, Net derivative assets $ 114,785 $ 36,661 Net derivative liabilities 18,956 105,934 Total fair value $ 95,829 $ (69,273 ) |
BORROWINGS AND INDEBTEDNESS
BORROWINGS AND INDEBTEDNESS | 12 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
BORROWINGS AND INDEBTEDNESS | As of August 31, 2016 , the Company had the following borrowing facilities, including the issuance of letters of credit, to support general working capital purposes: Facility Borrowings Syndicated loan facility (1) $ 1,000,000 $ — Separate, uncommitted, unsecured multicurrency revolving credit facilities (2) 515,873 — Local guaranteed and non-guaranteed lines of credit (3) 164,692 — Total $ 1,680,565 $ — _______________ (1) On December 22, 2015 , the Company replaced its $1,000,000 syndicated loan facility maturing on October 31, 2016 with a $1,000,000 syndicated loan facility maturing on December 22, 2020 . This facility provides unsecured, revolving borrowing capacity for general working capital purposes, including the issuance of letters of credit. Financing is provided under this facility at the prime rate or at the London Interbank Offered Rate plus a spread. This facility requires the Company to: (1) limit liens placed on its assets to (a) liens incurred in the ordinary course of business (subject to certain qualifications) and (b) other liens securing obligations not to exceed 30% of its consolidated assets; and (2) maintain an Adjusted Indebtedness-to-EBITDA ratio not exceeding 1.75 to 1.00 . The Company continues to be in compliance with relevant covenant terms. The facility is subject to annual commitment fees. As of August 31, 2016 and 2015 , the Company had no borrowings under either the current or the prior loan facility. (2) The Company maintains separate, uncommitted and unsecured multicurrency revolving credit facilities. These facilities provide local currency financing for the majority of the Company’s operations. Interest rate terms on the revolving facilities are at market rates prevailing in the relevant local markets. As of August 31, 2016 and 2015 , the Company had no borrowings under these facilities. (3) The Company also maintains local guaranteed and non-guaranteed lines of credit for those locations that cannot access the Company’s global facilities. As of August 31, 2016 and 2015 , the Company had no borrowings under these various facilities. Under the borrowing facilities described above, the Company had an aggregate of $168,663 and $166,506 of letters of credit outstanding as of August 31, 2016 and 2015 , respectively. In addition, the Company had total outstanding debt of $27,230 and $27,435 as of August 31, 2016 and 2015 , respectively. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Aug. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | Fiscal 2016 2015 2014 Current taxes U.S. federal $ 314,121 $ 617,488 $ 397,722 U.S. state and local 38,255 72,133 46,854 Non-U.S. 835,653 906,229 751,259 Total current tax expense 1,188,029 1,595,850 1,195,835 Deferred taxes U.S. federal 8,588 (94,621 ) 26,941 U.S. state and local 1,056 (11,245 ) 2,911 Non-U.S. 56,296 (353,243 ) (103,944 ) Total deferred tax expense (benefit) 65,940 (459,109 ) (74,092 ) Total $ 1,253,969 $ 1,136,741 $ 1,121,743 The components of Income before income taxes were as follows: Fiscal 2016 2015 2014 U.S. sources $ 1,047,909 $ 1,321,511 $ 1,119,627 Non-U.S. sources 4,555,663 3,089,019 3,178,074 Total $ 5,603,572 $ 4,410,530 $ 4,297,701 The reconciliation of the U.S. federal statutory income tax rate to the Company’s effective income tax rate was as follows: Fiscal 2016 2015 2014 U.S. federal statutory income tax rate 35.0 % 35.0 % 35.0 % U.S. state and local taxes, net 1.1 1.3 1.3 Non-U.S. operations taxed at lower rates (12.0 ) (15.4 ) (12.1 ) Final determinations (1) (2.1 ) (5.1 ) (1.7 ) Other net activity in unrecognized tax benefits 2.7 3.2 3.0 Change in indefinite reinvestment assertion (0.6 ) 5.6 — Divestitures (3.4 ) — — Other, net 1.7 1.2 0.6 Effective income tax rate 22.4 % 25.8 % 26.1 % _______________ (1) Final determinations include final agreements with tax authorities and expirations of statutes of limitations. During fiscal 2015 , the Company concluded that substantially all of the undistributed earnings of its U.S. subsidiaries would no longer be considered indefinitely reinvested and recorded an estimated tax liability of $247,097 for withholding taxes payable on the distribution of these earnings. These earnings were distributed in the form of a U.S. dividend declared and paid on August 26, 2015 . The Company intends to indefinitely reinvest any future U.S. earnings. As of August 31, 2016 , the Company had not recognized a deferred tax liability on $1,297,932 of undistributed earnings for certain foreign subsidiaries, because these earnings are intended to be indefinitely reinvested. If such earnings were distributed, some countries may impose additional taxes. The unrecognized deferred tax liability (the amount payable if distributed) is approximately $116,000 . Portions of the Company’s operations are subject to reduced tax rates or are free of tax under various tax holidays which expire between fiscal 2017 and 2021 . Some of the holidays are renewable at reduced levels, under certain conditions, with possible renewal periods through 2031 . The income tax benefits attributable to the tax status of these subsidiaries were estimated to be approximately $100,000 , $111,000 and $91,000 in fiscal 2016, 2015 and 2014 , respectively. The effect on deferred tax assets and liabilities of enacted changes in tax laws and tax rates did not have a material impact on the Company’s effective tax rate. The components of the Company’s deferred tax assets and liabilities included the following: August 31, August 31, Deferred tax assets Pensions $ 306,776 $ 278,944 Revenue recognition 113,890 112,113 Compensation and benefits 797,707 558,127 Share-based compensation 262,508 262,040 Tax credit carryforwards 1,161,084 1,179,988 Net operating loss carryforwards 131,018 119,463 Depreciation and amortization 97,015 97,218 Deferred amortization deductions 687,351 687,406 Indirect effects of unrecognized tax benefits 354,544 357,031 Other 139,105 157,449 4,050,998 3,809,779 Valuation allowance (1,243,207 ) (1,229,146 ) Total deferred tax assets 2,807,791 2,580,633 Deferred tax liabilities Revenue recognition (109,749 ) (75,352 ) Depreciation and amortization (205,431 ) (167,467 ) Investments in subsidiaries (330,673 ) (213,351 ) Other (195,646 ) (125,907 ) Total deferred tax liabilities (841,499 ) (582,077 ) Net deferred tax assets $ 1,966,292 $ 1,998,556 The Company recorded valuation allowances of $1,243,207 and $1,229,146 as of August 31, 2016 and 2015 , respectively, against deferred tax assets principally associated with certain tax credit and tax net operating loss carryforwards, as the Company believes it is more likely than not that these assets will not be realized. For all other deferred tax assets, the Company believes it is more likely than not that the results of future operations will generate sufficient taxable income to realize these deferred tax assets. During fiscal 2016 , the Company recorded a net increase of $14,061 in the valuation allowance. The majority of this change related to valuation allowances on certain tax net operating loss carryforwards, as the Company believes it is more likely than not that these assets will not be realized. The Company had tax credit carryforwards as of August 31, 2016 of $1,161,084 , of which $30,288 will expire between 2017 and 2026 , $828 will expire between 2027 and 2036 , and $1,129,968 has an indefinite carryforward period. The Company had net operating loss carryforwards as of August 31, 2016 of $518,475 . Of this amount, $254,978 expires between 2017 and 2026 , $2,130 expires between 2027 and 2036 , and $261,367 has an indefinite carryforward period. As of August 31, 2016 , the Company had $985,755 of unrecognized tax benefits, of which $508,313 , if recognized, would favorably affect the Company’s effective tax rate. As of August 31, 2015 , the Company had $997,935 of unrecognized tax benefits, of which $534,929 , if recognized, would favorably affect the Company’s effective tax rate. The remaining unrecognized benefits as of August 31, 2016 and 2015 of $477,442 and $463,006 , respectively, represent items recorded as adjustments to equity and offsetting tax benefits associated with the correlative effects of potential transfer pricing adjustments, state income taxes and timing adjustments. A reconciliation of the beginning and ending amounts of unrecognized tax benefits was as follows: Fiscal 2016 2015 Balance, beginning of year $ 997,935 $ 1,333,606 Additions for tax positions related to the current year 163,097 155,637 Additions for tax positions related to prior years 126,353 97,694 Reductions for tax positions related to prior years (63,782 ) (470,147 ) Statute of limitations expirations (208,295 ) (28,116 ) Settlements with tax authorities (3,703 ) (33,743 ) Foreign currency translation (25,850 ) (56,996 ) Balance, end of year $ 985,755 $ 997,935 The Company recognizes interest and penalties related to unrecognized tax benefits in the Provision for income taxes. During fiscal 2016, 2015 and 2014 , the Company recognized expense (benefit) of $8,681 , $(17,373) and $16,370 in interest and penalties, respectively. Accrued interest and penalties related to unrecognized tax benefits of $109,269 ( $95,057 , net of tax benefits) and $101,843 ( $84,530 , net of tax benefits) were reflected on the Company’s Consolidated Balance Sheets as of August 31, 2016 and 2015 , respectively. The Company is participatin g in the U.S. Internal Revenue Service (“IRS”) Compliance Assurance Program (“CAP”) beginning with the 2016 fiscal year. As part of CAP, tax years are audited on a contemporaneous basis so that all or most issues are resolved prior to the filing of the tax return. The Company is currently under audit by the IRS for fiscal 2013 and 2014. The Company is also currently under audit in numerous state and non-U.S. tax jurisdictions. Although the outcome of tax audits is always uncertain and could result in significant cash tax payments, the Company does not believe the outcome of these audits will have a material adverse effect on the Company’s consolidated financial position or results of operations. With limited exceptions, the Company is no longer subject to income tax audits by taxing authorities for the years before 2007. The Company believes that it is reasonably possible that its unrecognized tax benefits could decrease by approximately $562,000 or increase by approximately $169,000 in the next 12 months as a result of settlements, lapses of statutes of limitations and other adjustments. The majority of these amounts relate to transfer pricing matters in both U.S. and non-U.S. tax jurisdictions. |
RETIREMENT AND PROFIT SHARING P
RETIREMENT AND PROFIT SHARING PLANS | 12 Months Ended |
Aug. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
RETIREMENT AND PROFIT SHARING PLANS | Defined Benefit Pension and Postretirement Plans In the United States and certain other countries, the Company maintains and administers defined benefit retirement plans and postretirement medical plans for certain current, retired and resigned employees. In addition, the Company’s U.S. defined benefit pension plans include a frozen plan for former pre-incorporation partners, which is unfunded. Benefits under the employee retirement plans are primarily based on years of service and compensation during the years immediately preceding retirement or termination of participation in the plan. The defined benefit pension disclosures include the Company’s U.S. and material non-U.S. defined benefit pension plans. Assumptions The weighted-average assumptions used to determine the defined benefit pension obligations as of August 31 and the net periodic pension expense were as follows: Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, 2016 August 31, 2015 August 31, 2014 U.S. Non-U.S. Plans U.S. Non-U.S. Plans U.S. Non-U.S. Plans U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Discount rate for determining projected benefit obligation 3.50 % 2.40 % 4.50 % 3.47 % 4.25 % 3.53 % 3.51 % 4.46 % 4.25 % Discount rate for determining net periodic pension expense 4.50 % 3.47 % 4.25 % 3.53 % 5.00 % 4.18 % 4.46 % 4.25 % 4.96 % Long term rate of return on plan assets 4.75 % 3.99 % 5.50 % 4.55 % 5.50 % 4.79 % 4.54 % 5.05 % 4.87 % Rate of increase in future compensation for determining projected benefit obligation 2.57 % 3.47 % 3.65 % 3.56 % 3.65 % 3.75 % N/A N/A N/A Rate of increase in future compensation for determining net periodic pension expense 3.60 % 3.56 % 3.65 % 3.75 % 3.60 % 3.79 % N/A N/A N/A Beginning in fiscal 2016, the Company changed the method it uses to estimate the service and interest cost components of net periodic pension expense. Historically, the Company selected a discount rate for the U.S. plans by matching the plans’ cash flows to that of the average of two yield curves that provide the equivalent yields on zero-coupon corporate bonds for each maturity. The discount rate assumption for the non-U.S. Plans primarily reflected the market rate for high-quality, fixed-income debt instruments. Beginning in fiscal 2016, the Company utilized a full yield curve approach to estimate these components by applying specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows. The Company made this change to improve the correlation between projected benefit cash flows and the corresponding yield curve spot rates and to provide a more precise measurement of service and interest costs. This change does not affect the measurement of the Company’s total benefit obligations. The Company accounted for this change as a change in estimate and, accordingly, recognized its effect prospectively beginning in fiscal 2016. The discount rate assumptions are based on the expected duration of the benefit payments for each of the Company’s defined benefit pension and postretirement plans as of the annual measurement date and are subject to change each year. The expected long-term rate of return on plan assets should, over time, approximate the actual long-term returns on defined benefit pension and postretirement plan assets and is based on historical returns and the future expectations for returns for each asset class, as well as the target asset allocation of the asset portfolio. Assumed U.S. Health Care Cost Trend The Company’s U.S. postretirement plan assumed annual rate of increase in the per capita cost of health care benefits is 6.8% for the plan year ending June 30, 2017. The rate is assumed to decrease on a straight-line basis to 4.5% for the plan year ending June 30, 2027 and remain at that level thereafter. A one percentage point increase in the assumed health care cost trend rates would increase the benefit obligation by $81,422 , while a one percentage point decrease would reduce the benefit obligation by $62,615 . U.S. Defined Benefit Pension Plan Settlement Charge During fiscal 2015, the Company offered a voluntary one-time lump sum payment option to certain eligible former employees who had vested benefits under the Company’s U.S. pension plan that, if accepted, would settle the Company’s pension obligations to them. This resulted in lump sum payments from plan assets of $279,571 during fiscal 2015. As a result of this settlement and the adoption of the new U.S. mortality tables released by the Society of Actuaries, the Company remeasured the assets and liabilities of the U.S. pension plan, which in aggregate resulted in a net reduction to the projected benefit obligation of $179,938 as well as a non-cash settlement charge of $64,382 , pre-tax, during fiscal 2015. Pension and Postretirement Expense Pension expense for fiscal 2016, 2015 and 2014 was $94,827 , $143,968 (including the above noted settlement charge) and $87,422 , respectively. Postretirement expense for fiscal 2016, 2015 and 2014 was not material to the Company’s Consolidated Financial Statements. Benefit Obligation, Plan Assets and Funded Status The changes in the benefit obligations, plan assets and funded status of the Company’s pension and postretirement benefit plans for fiscal 2016 and 2015 were as follows: Pension Plans Postretirement Plans August 31, August 31, August 31, 2016 August 31, 2015 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Reconciliation of benefit obligation Benefit obligation, beginning of year $ 1,635,744 $ 1,439,225 $ 1,909,651 $ 1,519,007 $ 403,095 $ 375,312 Service cost 7,305 72,502 8,899 67,471 18,565 17,784 Interest cost 63,470 43,827 76,969 48,199 15,618 15,602 Participant contributions — 9,857 — 6,081 — — Acquisitions/divestitures/transfers — 41,719 — (364 ) — — Amendments — (1,561 ) — 79 — — Curtailment — (689 ) — — 84 — Pension settlement — — (279,571 ) — — — Special termination benefits — 1,332 — — — — Actuarial (gain) loss 371,294 261,252 (35,478 ) 14,618 74,213 14,180 Benefits paid (47,807 ) (52,549 ) (44,726 ) (39,685 ) (11,143 ) (11,186 ) Exchange rate impact — (56,805 ) — (176,181 ) 532 (8,597 ) Benefit obligation, end of year $ 2,030,006 $ 1,758,110 $ 1,635,744 $ 1,439,225 $ 500,964 $ 403,095 Reconciliation of fair value of plan assets Fair value of plan assets, beginning of year $ 1,596,186 $ 982,471 $ 1,883,789 $ 1,032,378 $ 24,643 $ 29,484 Actual return on plan assets 242,112 97,638 25,580 39,797 3,856 92 Acquisitions/divestitures/transfers — 24,052 — — — — Employer contributions 10,944 71,046 11,114 52,033 9,774 6,253 Participant contributions — 9,857 — 6,081 — — Pension settlement — — (279,571 ) — — — Benefits paid (47,807 ) (52,549 ) (44,726 ) (39,685 ) (11,143 ) (11,186 ) Exchange rate impact — (51,361 ) — (108,133 ) — — Fair value of plan assets, end of year $ 1,801,435 $ 1,081,154 $ 1,596,186 $ 982,471 $ 27,130 $ 24,643 Funded status, end of year $ (228,571 ) $ (676,956 ) $ (39,558 ) $ (456,754 ) $ (473,834 ) $ (378,452 ) Amounts recognized in the Consolidated Balance Sheets Non-current assets $ — $ 59,335 $ 102,686 $ 64,690 $ — $ — Current liabilities (11,091 ) (16,691 ) (11,148 ) (10,287 ) (1,579 ) (1,416 ) Non-current liabilities (217,480 ) (719,600 ) (131,096 ) (511,157 ) (472,255 ) (377,036 ) Funded status, end of year $ (228,571 ) $ (676,956 ) $ (39,558 ) $ (456,754 ) $ (473,834 ) $ (378,452 ) Accumulated Other Comprehensive Loss The pre-tax accumulated net loss and prior service (credit) cost recognized in Accumulated other comprehensive loss as of August 31, 2016 and 2015 was as follows: Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Net loss $ 592,873 $ 480,408 $ 397,065 $ 295,098 $ 143,777 $ 75,224 Prior service (credit) cost — (6,860 ) — (7,281 ) 31,569 35,173 Accumulated other comprehensive loss, pre-tax $ 592,873 $ 473,548 $ 397,065 $ 287,817 $ 175,346 $ 110,397 Funded Status for Defined Benefit Plans The accumulated benefit obligation for defined benefit pension plans as of August 31, 2016 and 2015 was as follows: August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. Accumulated benefit obligation $ 2,017,437 $ 1,592,598 $ 1,626,972 $ 1,313,946 The following information is provided for defined benefit pension plans and postretirement plans with projected benefit obligations in excess of plan assets and for defined benefit pension plans with accumulated benefit obligations in excess of plan assets as of August 31, 2016 and 2015 : Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Projected benefit obligation in excess of plan assets Projected benefit obligation $ 2,030,006 $ 1,400,510 $ 142,244 $ 757,741 $ 500,964 $ 403,095 Fair value of plan assets 1,801,435 664,220 — 236,297 27,130 24,643 August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. Accumulated benefit obligation in excess of plan assets Accumulated benefit obligation $ 2,017,437 $ 1,233,952 $ 142,244 $ 629,524 Fair value of plan assets 1,801,435 627,738 — 204,076 Investment Strategies U.S. Pension Plans The overall investment objective of the defined benefit pension plans is to match the duration of the plans’ assets to the plans’ liabilities while managing risk in order to meet current defined benefit pension obligations. The plans’ future prospects, their current financial conditions, the Company’s current funding levels and other relevant factors suggest that the plans can tolerate some interim fluctuations in market value and rates of return in order to achieve long-term objectives without undue risk to the plans’ ability to meet their current benefit obligations. The Company recognizes that asset allocation of the defined benefit pension plans’ assets is an important factor in determining long-term performance. Actual asset allocations at any point in time may vary from the target asset allocations and will be dictated by current and anticipated market conditions, required cash flows and investment decisions of the investment committee and the pension plans’ investment funds and managers. Ranges are established to provide flexibility for the asset allocation to vary around the targets without the need for immediate rebalancing. Non-U.S. Pension Plans Plan assets in non-U.S. defined benefit pension plans conform to the investment policies and procedures of each plan and to relevant legislation. The pension committee or trustee of each plan regularly, but at least annually, reviews the investment policy and the performance of the investment managers. In certain countries, the trustee is also required to consult with the Company. Asset allocation decisions are made to provide risk adjusted returns that align with the overall investment strategy for each plan. Generally, the investment return objective of each plan is to achieve a total annualized rate of return that exceeds inflation over the long term by an amount based on the target asset allocation mix of that plan. In certain countries, plan assets are invested in funds that are required to hold a majority of assets in bonds, with a smaller proportion in equities. Also, certain plan assets are entirely invested in contracts held with the plan insurer, which determines the strategy. Defined benefit pension plans in certain countries are unfunded. Risk Management Plan investments are exposed to risks including market, interest rate and operating risk. In order to mitigate significant concentrations of these risks, the assets are invested in a diversified portfolio primarily consisting of fixed income instruments and equities. To minimize asset volatility relative to the liabilities, plan assets allocated to debt securities appropriately match the duration of individual plan liabilities. Equities are diversified between U.S. and non-U.S. index funds and are intended to achieve long term capital appreciation. Plan asset allocation and investment managers’ guidelines are reviewed on a regular basis. Plan Assets The Company’s target allocation for fiscal 2017 and weighted-average plan assets allocations as of August 31, 2016 and 2015 by asset category for defined benefit pension plans were as follows: 2017 Target 2016 2015 U.S. Non-U.S. U.S. Non-U.S. U.S. Non-U.S. Asset Category Equity securities — % 36 % — % 29 % 10 % 30 % Debt securities 77 51 75 58 87 56 Cash and short-term investments 23 3 25 2 3 3 Insurance contracts — 7 — 7 — 6 Other — 3 — 4 — 5 Total 100 % 100 % 100 % 100 % 100 % 100 % Fair Value Measurements Fair value is the price that would be received upon sale of an asset or paid upon transfer of a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market for that asset or liability. The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity. The three-level hierarchy of fair value measurements is based on whether the inputs to those measurements are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. The fair-value hierarchy requires the use of observable market data when available and consists of the following levels: • Level 1—Quoted prices for identical instruments in active markets; • Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are observable in active markets; and • Level 3—Valuations derived from valuation techniques in which one or more significant inputs are unobservable. The fair values of defined benefit pension and postretirement plan assets as of August 31, 2016 were as follows: U.S. Plans Level 1 Level 2 Level 3 Total Fixed Income U.S. government, state and local debt securities — 359,583 — 359,583 Non-U.S. government debt securities — 38,232 — 38,232 U.S. corporate debt securities — 614,136 — 614,136 Non-U.S. corporate debt securities — 79,124 — 79,124 Mutual fund debt securities 286,360 — — 286,360 Cash and short-term investments — 451,130 — 451,130 Total $ 286,360 $ 1,542,205 $ — $ 1,828,565 Non-U.S. Plans Level 1 Level 2 Level 3 Total Equity Mutual fund equity securities $ — $ 311,324 $ — $ 311,324 Fixed Income Non-U.S. government debt securities 91,745 — — 91,745 Mutual fund debt securities 15,608 524,472 — 540,080 Cash and short-term investments 19,382 4,048 — 23,430 Insurance contracts — 72,525 — 72,525 Other — 42,050 — 42,050 Total $ 126,735 $ 954,419 $ — $ 1,081,154 There were no transfers between Levels 1 and 2 during fiscal 2016 . Expected Contributions Generally, annual contributions are made at such times and in amounts as required by law and may, from time to time, exceed minimum funding requirements. The Company estimates it will pay approximately $80,077 in fiscal 2017 related to contributions to its U.S. and non-U.S. defined benefit pension plans and benefit payments related to the unfunded frozen plan for former pre-incorporation partners. The Company has not determined whether it will make additional voluntary contributions for its defined benefit pension plans. The Company’s postretirement plan contributions in fiscal 2017 are not expected to be material to the Company’s Consolidated Financial Statements. Estimated Future Benefit Payments Benefit payments for defined benefit pension plans and postretirement plans, which reflect expected future service, as appropriate, are expected to be paid as follows: Pension Plans Postretirement Plans U.S. Plans (1) Non-U.S. U.S. and Non-U.S. Plans 2017 $ 46,881 $ 44,537 $ 10,259 2018 49,865 50,094 11,469 2019 53,277 55,964 12,598 2020 56,950 66,225 13,942 2021 61,361 75,166 15,830 2022-2026 373,921 416,507 110,756 _______________ (1) Excludes the impact of the anticipated U.S. pension plan termination noted below. U.S. Pension Plan Termination On March 18, 2016 , Accenture plc’s Board of Directors approved an amendment to terminate the Company’s U.S. pension plan, effective May 30, 2016 , for all active and former employees who are no longer accruing benefits in the pension plan (approximately 16,200 people). The amendment also provides for the creation of a separate defined benefit plan with substantially the same terms for approximately 600 active employees who are currently eligible to accrue benefits. The U.S. pension plan is expected to be settled in 12 to 18 months from the termination effective date, subject to receipt of customary regulatory approvals. The Company’s ultimate settlement obligation will depend upon both the nature and timing of participant settlements and prevailing market conditions. Upon settlement, the Company expects to recognize additional expense, consisting of unrecognized actuarial losses included in Accumulated other comprehensive loss that totaled approximately $467,000 as of August 31, 2016 , adjusted for the difference between the ultimate settlement obligation and the Company’s accrued pension obligation. The Company does not expect the settlement of the U.S. pension plan obligations to have a material impact on its cash position. Defined Contribution Plans In the United States and certain other countries, the Company maintains and administers defined contribution plans for certain current, retired and resigned employees. Total expenses recorded for defined contribution plans were $419,932 , $397,123 and $331,801 in fiscal 2016, 2015 and 2014 , respectively. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended |
Aug. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
SHARE-BASED COMPENSATION | Share Incentive Plans The Amended and Restated Accenture plc 2010 Share Incentive Plan, as amended and approved by the Company’s shareholders in 2016 (the “Amended 2010 SIP”), is administered by the Compensation Committee of the Board of Directors of Accenture and provides for the grant of nonqualified share options, incentive stock options, restricted share units and other share-based awards. A maximum of 83,000,000 Accenture plc Class A ordinary shares are currently authorized for awards under the Amended 2010 SIP. As of August 31, 2016 , there were 23,167,880 shares available for future grants. Accenture plc Class A ordinary shares covered by awards that terminate, lapse or are cancelled may again be used to satisfy awards under the Amended 2010 SIP. The Company issues new Accenture plc Class A ordinary shares and shares from treasury for shares delivered under the Amended 2010 SIP. A summary of information with respect to share-based compensation is as follows: Fiscal 2016 2015 2014 Total share-based compensation expense included in Net income $ 758,176 $ 680,329 $ 671,301 Income tax benefit related to share-based compensation included in Net income 236,423 212,019 206,007 Restricted Share Units Under the Amended 2010 SIP, participants may be, and previously under the predecessor 2001 Share Incentive Plan were, granted restricted share units, each of which represent an unfunded, unsecured right to receive an Accenture plc Class A ordinary share on the date specified in the participant’s award agreement. The fair value of the awards is based on the Company’s stock price on the date of grant. The restricted share units granted under these plans are subject to cliff or graded vesting, generally ranging from two to seven years. For awards with graded vesting, compensation expense is recognized over the vesting term of each separately vesting portion. Compensation expense is recognized on a straight-line basis for awards with cliff vesting. Restricted share unit activity during fiscal 2016 was as follows: Number of Restricted Weighted Average Nonvested balance as of August 31, 2015 24,733,581 $ 71.83 Granted (1) 9,699,688 105.16 Vested (2) (10,987,988 ) 72.50 Forfeited (1,481,576 ) 77.82 Nonvested balance as of August 31, 2016 21,963,705 $ 85.81 _______________ (1) The weighted average grant-date fair value for restricted share units granted for fiscal 2016, 2015 and 2014 was $105.16 , $89.63 and $80.61 , respectively. (2) The total grant-date fair value of restricted share units vested for fiscal 2016, 2015 and 2014 was $796,620 , $581,936 and $628,999 , respectively. As of August 31, 2016 , there was $677,433 of total restricted share unit compensation expense related to nonvested awards not yet recognized, which is expected to be recognized over a weighted average period of 1.3 years. As of August 31, 2016 , there were 930,652 restricted share units vested but not yet delivered as Accenture plc Class A ordinary shares. Stock Options There were no stock options granted during fiscal 2016, 2015 or 2014 . As of August 31, 2016 we had 23,310 stock options outstanding and exercisable at a weighted average exercise price of $37.46 and a weighted average remaining contractual term of 2.5 years. Employee Share Purchase Plan 2010 ESPP The Amended and Restated Accenture plc 2010 Employee Share Purchase Plan (the “2010 ESPP”) is a nonqualified plan that provides eligible employees of Accenture plc and its designated affiliates with an opportunity to purchase Accenture plc Class A ordinary shares through payroll deductions. Under the 2010 ESPP, eligible employees may purchase Accenture plc Class A ordinary shares through the Employee Share Purchase Plan (the “ESPP”) or the Voluntary Equity Investment Program (the “VEIP”). Under the ESPP, eligible employees may elect to contribute 1% to 10% of their eligible compensation during each semi-annual offering period (up to $7.5 per offering period) to purchase Accenture plc Class A ordinary shares at a discount. Under the VEIP, eligible members of Accenture Leadership may elect to contribute up to 30% of their eligible compensation towards the monthly purchase of Accenture plc Class A ordinary shares at fair market value. At the end of the VEIP program year, Accenture Leadership participants who did not withdraw from the program will be granted restricted share units under the Amended 2010 SIP equal to 50% of the number of shares purchased during that year and held by the participant as of the grant date. A maximum of 90,000,000 Accenture plc Class A ordinary shares may be issued under the 2010 ESPP. As of August 31, 2016 , the Company had issued 42,579,575 Accenture plc Class A ordinary shares under the 2010 ESPP. The Company issued 5,850,113 , 6,232,031 and 7,067,832 shares to employees in fiscal 2016, 2015 and 2014 , respectively, under the 2010 ESPP. |
SHAREHOLDERS' EQUITY
SHAREHOLDERS' EQUITY | 12 Months Ended |
Aug. 31, 2016 | |
Equity [Abstract] | |
SHAREHOLDERS' EQUITY | Accenture plc Ordinary Shares The Company has 40,000 authorized ordinary shares, par value €1 per share. Each ordinary share of Accenture plc entitles its holder to receive payments upon a liquidation of Accenture plc; however a holder of an ordinary share is not entitled to vote on matters submitted to a vote of shareholders of Accenture plc or to receive dividends. Class A Ordinary Shares An Accenture plc Class A ordinary share entitles its holder to one vote per share, and holders of those shares do not have cumulative voting rights. Each Class A ordinary share entitles its holder to a pro rata part of any dividend at the times and in the amounts, if any, which Accenture plc’s Board of Directors from time to time determines to declare, subject to any preferred dividend rights attaching to any preferred shares. Each Class A ordinary share is entitled on a winding-up of Accenture plc to be paid a pro rata part of the value of the assets of Accenture plc remaining after payment of its liabilities, subject to any preferred rights on liquidation attaching to any preferred shares. Class X Ordinary Shares An Accenture plc Class X ordinary share entitles its holder to one vote per share, and holders of those shares do not have cumulative voting rights. A Class X ordinary share does not entitle its holder to receive dividends, and holders of those shares are not entitled to be paid any amount upon a winding-up of Accenture plc. Most of the Company’s partners who received Accenture SCA Class I common shares or Accenture Canada Holdings Inc. exchangeable shares in connection with the Company’s transition to a corporate structure received a corresponding number of Accenture plc Class X ordinary shares. Accenture plc may redeem, at its option, any Class X ordinary share for a redemption price equal to the par value of the Class X ordinary share. Accenture plc has separately agreed with the original holders of Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. exchangeable shares not to redeem any Class X ordinary share of such holder if the redemption would reduce the number of Class X ordinary shares held by that holder to a number that is less than the number of Accenture Holdings plc ordinary shares or Accenture Canada Holdings Inc. exchangeable shares owned by that holder, as the case may be. Accenture plc will redeem Class X ordinary shares upon the redemption or exchange of Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. exchangeable shares so that the aggregate number of Class X ordinary shares outstanding at any time does not exceed the aggregate number of Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. exchangeable shares outstanding. Class X ordinary shares are not transferable without the consent of Accenture plc. Equity of Subsidiaries Redeemable or Exchangeable for Accenture plc Class A Ordinary Shares Accenture Holdings plc Ordinary Shares Members of Accenture Leadership in certain countries, including the United States, received Accenture SCA Class I common shares in connection with the Company’s transition to a corporate structure. On August 26, 2015, Accenture SCA merged with and into Accenture Holdings plc, with Accenture Holdings plc as the surviving entity. In connection with this transaction, holders of Accenture SCA Class I common shares (other than Accenture SCA itself) received, on a one-for-one basis, ordinary shares of Accenture Holdings plc. Only Accenture plc, Accenture Holdings plc, Accenture International S.à.r.l. and certain current and former members of Accenture Leadership and their permitted transferees hold Accenture Holdings plc ordinary shares. Each Accenture Holdings plc share entitles its holder to one vote on all matters submitted to a vote of shareholders of Accenture Holdings plc and entitles its holders to dividends and liquidation payments. Accenture Holdings plc is obligated, at the option of the holder, to redeem any outstanding Accenture Holdings plc ordinary share at a redemption price per share generally equal to its current market value as determined in accordance with Accenture Holdings plc’s memorandum and articles of association. Under Accenture Holdings plc’s memorandum and articles of association, the market value of an ordinary share will be deemed to be equal to (i) the average of the high and low sales prices of an Accenture plc Class A ordinary share as reported on the New York Stock Exchange, net of customary brokerage and similar transaction costs, or (ii) if Accenture sells its Class A ordinary shares on the date that the redemption price is determined (other than in a transaction with any employee or an affiliate or pursuant to a preexisting obligation), the weighted average sales price of an Accenture plc Class A ordinary share on the New York Stock Exchange, net of customary brokerage and similar transaction costs. Accenture Holdings plc may, at its option, pay this redemption price with cash or by causing Accenture plc to deliver Class A ordinary shares on a one -for-one basis. Each holder of Accenture Holdings plc ordinary shares is entitled to a pro rata part of any dividend and to the value of any remaining assets of Accenture Holdings plc after payment of its liabilities upon dissolution. Accenture Canada Holdings Inc. Exchangeable Shares Partners resident in Canada and New Zealand received Accenture Canada Holdings Inc. exchangeable shares in connection with the Company’s transition to a corporate structure. Holders of Accenture Canada Holdings Inc. exchangeable shares may exchange their shares for Accenture plc Class A ordinary shares at any time on a one-for-one basis. The Company may, at its option, satisfy this exchange with cash at a price per share generally equal to the market price of an Accenture plc Class A ordinary share at the time of the exchange. Each exchangeable share of Accenture Canada Holdings Inc. entitles its holder to receive distributions equal to any distributions to which an Accenture plc Class A ordinary share entitles its holder. |
MATERIAL TRANSACTIONS AFFECTING
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY | 12 Months Ended |
Aug. 31, 2016 | |
Equity [Abstract] | |
MATERIAL TRANSACTION AFFECTING SHAREHOLDERS' EQUITY | Share Purchases and Redemptions The Board of Directors of Accenture plc has authorized funding for the Company’s publicly announced open-market share purchase program for acquiring Accenture plc Class A ordinary shares and for purchases and redemptions of Accenture plc Class A ordinary shares, Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. exchangeable shares held by current and former members of Accenture Leadership and their permitted transferees. As of August 31, 2016 , the Company’s aggregate available authorization was $5,386,517 for its publicly announced open-market share purchase and these other share purchase programs. The Company’s share purchase activity during fiscal 2016 was as follows: Accenture plc Class A Accenture Holdings plc Shares Amount Shares Amount Open-market share purchases (1) 19,989,726 $ 2,122,066 — $ — Other share purchase programs — — 653,222 72,193 Other purchases (2) 3,857,795 410,730 — — Total 23,847,521 $ 2,532,796 653,222 $ 72,193 _______________ (1) The Company conducts a publicly announced open-market share purchase program for Accenture plc Class A ordinary shares. These shares are held as treasury shares by Accenture plc and may be utilized to provide for select employee benefits, such as equity awards to the Company’s employees. (2) During fiscal 2016 , as authorized under the Company’s various employee equity share plans, the Company acquired Accenture plc Class A ordinary shares primarily via share withholding for payroll tax obligations due from employees and former employees in connection with the delivery of Accenture plc Class A ordinary shares under those plans. These purchases of shares in connection with employee share plans do not affect the Company’s aggregate available authorization for the Company’s publicly announced open-market share purchase and the other share purchase programs. Other Share Redemptions During fiscal 2016 , the Company issued 775,023 Accenture plc Class A ordinary shares upon redemptions of an equivalent number of Accenture Holdings plc ordinary shares pursuant to its registration statement on Form S-3 (the “registration statement”). The registration statement allows the Company , at its option, to issue freely tradable Accenture plc Class A ordinary shares in lieu of cash upon redemptions of Accenture Holdings plc ordinary shares held by current and former members of Accenture Leadership and their permitted transferees. Cancellation of Treasury Shares During fiscal 2016, the Company received authorization from the Board of Directors of Accenture plc to cancel 163,015,507 Accenture plc Class A ordinary shares that were held as treasury shares and had an aggregate cost of $11,199,016 . The effect of the cancellation of these treasury shares was recognized in Class A ordinary shares and Additional paid-in capital with the residual recorded in Retained earnings. There was no effect on total shareholders’ equity as a result of this cancellation. Dividends The Company’s dividend activity during fiscal 2016 was as follows: Dividend Per Accenture plc Class A Accenture Holdings plc Ordinary Total Cash Dividend Payment Date Record Date Cash Outlay Record Date Cash Outlay November 13, 2015 $ 1.10 October 16, 2015 $ 687,285 October 13, 2015 $ 33,391 $ 720,676 May 13, 2016 1.10 April 15, 2016 684,894 April 12, 2016 32,568 717,462 Total Dividends $ 1,372,179 $ 65,959 $ 1,438,138 The payment of the cash dividends also resulted in the issuance of an immaterial number of additional restricted share units to holders of restricted share units. Subsequent Event On September 27, 2016 , the Board of Directors of Accenture plc declared a semi-annual cash dividend of $1.21 per share on its Class A ordinary shares for shareholders of record at the close of business on October 21, 2016 . On September 28, 2016 , the Board of Directors of Accenture Holdings plc declared a semi-annual cash dividend of $1.21 per share on its ordinary shares for shareholders of record at the close of business on October 18, 2016 . Both dividends are payable on November 15, 2016 . The payment of the cash dividends will result in the issuance of an immaterial number of additional restricted share units to holders of restricted share units. |
LEASE COMMITMENTS
LEASE COMMITMENTS | 12 Months Ended |
Aug. 31, 2016 | |
Leases [Abstract] | |
LEASE COMMITMENTS | The Company has operating leases, principally for office space, with various renewal options. Substantially all operating leases are non-cancelable or cancelable only by the payment of penalties. Rental expense in agreements with rent holidays and scheduled rent increases is recorded on a straight-line basis over the lease term. Rental expense, including operating costs and taxes, and sublease income from third parties during fiscal 2016, 2015 and 2014 was as follows: Fiscal 2016 2015 2014 Rental expense $ 578,149 $ 547,206 $ 539,711 Sublease income from third parties (26,403 ) (27,293 ) (29,482 ) Future minimum rental commitments under non-cancelable operating leases as of August 31, 2016 were as follows: Operating Operating 2017 $ 516,622 $ (16,147 ) 2018 445,853 (15,410 ) 2019 375,393 (13,996 ) 2020 318,828 (12,324 ) 2021 257,949 (11,074 ) Thereafter 902,659 (50,350 ) $ 2,817,304 $ (119,301 ) |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Aug. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | Commitments The Company has the right to purchase or may also be required to purchase substantially all of the remaining outstanding shares of its Avanade Inc. subsidiary (“Avanade”) not owned by the Company at fair value if certain events occur. Certain holders of Avanade common stock and options to purchase the stock have put rights that, under certain circumstances and conditions, would require Avanade to redeem shares of its stock at fair value. As of August 31, 2016 and 2015 , the Company has reflected the fair value of $54,221 and $79,023 , respectively, related to Avanade’s redeemable common stock and the intrinsic value of the options on redeemable common stock in Other accrued liabilities in the Consolidated Balance Sheets. Indemnifications and Guarantees In the normal course of business and in conjunction with certain client engagements, the Company has entered into contractual arrangements through which it may be obligated to indemnify clients with respect to certain matters. These arrangements with clients can include provisions whereby the Company has joint and several liability in relation to the performance of certain contractual obligations along with third parties also providing services and products for a specific project. In addition, the Company’s consulting arrangements may include warranty provisions that the Company’s solutions will substantially operate in accordance with the applicable system requirements. Indemnification provisions are also included in arrangements under which the Company agrees to hold the indemnified party harmless with respect to third-party claims related to such matters as title to assets sold or licensed or certain intellectual property rights. Typically, the Company has contractual recourse against third parties for certain payments made by the Company in connection with arrangements where third-party nonperformance has given rise to the client’s claim. Payments by the Company under any of the arrangements described above are generally conditioned on the client making a claim, which may be disputed by the Company typically under dispute resolution procedures specified in the particular arrangement. The limitations of liability under these arrangements may be expressly limited or may not be expressly specified in terms of time and/or amount. As of August 31, 2016 and 2015 , the Company’s aggregate potential liability to its clients for expressly limited guarantees involving the performance of third parties was approximately $749,000 and $655,000 , respectively, of which all but approximately $113,000 and $43,000 , respectively, may be recovered from the other third parties if the Company is obligated to make payments to the indemnified parties as a consequence of a performance default by the other third parties. For arrangements with unspecified limitations, the Company cannot reasonably estimate the aggregate maximum potential liability, as it is inherently difficult to predict the maximum potential amount of such payments, due to the conditional nature and unique facts of each particular arrangement. To date, the Company has not been required to make any significant payment under any of the arrangements described above. The Company has assessed the current status of performance/payment risk related to arrangements with limited guarantees, warranty obligations, unspecified limitations and/or indemnification provisions and believes that any potential payments would be immaterial to the Consolidated Financial Statements, as a whole. Legal Contingencies As of August 31, 2016 , the Company or its present personnel had been named as a defendant in various litigation matters. The Company and/or its personnel also from time to time are involved in investigations by various regulatory or legal authorities concerning matters arising in the course of its business around the world. Based on the present status of these matters, management believes the range of reasonably possible losses in addition to amounts accrued, net of insurance recoveries, will not have a material effect on the Company’s results of operations or financial condition. |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Aug. 31, 2016 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | Operating segments are components of an enterprise where separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision-making group, in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision maker is its Chief Executive Officer. The Company’s operating segments are managed separately because each operating segment represents a strategic business unit providing consulting and outsourcing services to clients in different industries. The Company’s reportable operating segments are the five operating groups, which are Communications, Media & Technology, Financial Services, Health & Public Service, Products and Resources. Information regarding the Company’s reportable operating segments is as follows: Fiscal 2016 Communications, Media & Financial Health & Products Resources Other Total Net revenues $ 6,615,717 $ 7,031,053 $ 5,986,878 $ 8,395,038 $ 4,838,963 $ 15,074 $ 32,882,723 Depreciation and amortization (1) 141,356 139,518 134,788 206,806 106,584 — 729,052 Operating income 965,574 1,127,750 807,012 1,282,461 627,648 — 4,810,445 Net assets as of August 31 (2) 923,764 123,827 892,569 1,281,551 820,273 (137,761 ) 3,904,223 2015 Net revenues $ 6,349,372 $ 6,634,771 $ 5,462,550 $ 7,596,051 $ 4,988,627 $ 16,560 $ 31,047,931 Depreciation and amortization (1) 152,329 128,413 115,010 168,731 81,440 — 645,923 Operating income 871,388 1,079,397 700,960 1,082,351 701,773 — 4,435,869 Net assets as of August 31 (2) 798,623 186,739 812,278 1,158,953 723,113 (59,371 ) 3,620,335 2014 Net revenues $ 5,923,821 $ 6,511,228 $ 5,021,692 $ 7,394,980 $ 5,135,309 $ 15,364 $ 30,002,394 Depreciation and amortization (1) 136,029 139,759 101,345 169,704 73,906 — 620,743 Operating income 770,166 957,347 678,663 991,844 902,492 — 4,300,512 Net assets as of August 31 (2) 926,952 128,179 791,084 974,546 735,048 (127,396 ) 3,428,413 _______________ (1) Amounts include depreciation on property and equipment and amortization of intangible assets controlled by each operating segment, as well as an allocation for amounts they do not directly control. (2) The Company does not allocate total assets by operating segment. Operating segment assets directly attributed to an operating segment and provided to the chief operating decision maker include Receivables from clients, current and non-current Unbilled services, Deferred contract costs and current and non-current Deferred revenues. The accounting policies of the operating segments are the same as those described in Note 1 (Summary of Significant Accounting Policies) to these Consolidated Financial Statements. Revenues are attributed to geographic regions and countries based on where client services are supervised. Information regarding geographic regions and countries is as follows: Fiscal North America Europe Growth Markets Total 2016 Net revenues $ 15,653,290 $ 11,448,361 $ 5,781,072 $ 32,882,723 Reimbursements 970,248 635,362 309,328 1,914,938 Revenues 16,623,538 12,083,723 6,090,400 34,797,661 Property and equipment, net as of August 31 244,351 220,500 491,691 956,542 2015 Net revenues $ 14,209,387 $ 10,929,572 $ 5,908,972 $ 31,047,931 Reimbursements 891,443 628,342 346,708 1,866,493 Revenues 15,100,830 11,557,914 6,255,680 32,914,424 Property and equipment, net as of August 31 230,359 179,925 391,600 801,884 2014 (1) Net revenues $ 12,796,846 $ 11,254,953 $ 5,950,595 $ 30,002,394 Reimbursements 882,481 624,219 365,584 1,872,284 Revenues 13,679,327 11,879,172 6,316,179 31,874,678 Property and equipment, net as of August 31 240,886 190,450 362,108 793,444 _______________ (1) Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. The Company’s business in the United States represented 46% , 43% and 40% of its consolidated net revenues during fiscal 2016, 2015 and 2014 , respectively. No other country individually comprised 10% or more of the Company’s consolidated net revenues during these periods. Business in Ireland, the Company’s country of domicile, represented approximately 1% of its consolidated net revenues during each of fiscal 2016, 2015 and 2014 . The Company conducts business in Ireland and in the following countries that hold 10% or more of its total consolidated Property and equipment, net: August 31, 2016 August 31, 2015 August 31, 2014 United States 25 % 28 % 29 % India 25 26 22 Ireland 4 2 2 Revenues by type of work were as follows: Fiscal 2016 2015 2014 Consulting $ 17,867,891 $ 16,203,915 $ 15,737,661 Outsourcing 15,014,832 14,844,016 14,264,733 Net revenues 32,882,723 31,047,931 30,002,394 Reimbursements 1,914,938 1,866,493 1,872,284 Revenues $ 34,797,661 $ 32,914,424 $ 31,874,678 |
QUARTERLY DATA
QUARTERLY DATA | 12 Months Ended |
Aug. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY DATA | Fiscal 2016 First Second Third Fourth Annual Net revenues $ 8,013,163 $ 7,945,565 $ 8,434,757 $ 8,489,238 $ 32,882,723 Reimbursements 452,821 451,488 534,287 476,342 1,914,938 Revenues 8,465,984 8,397,053 8,969,044 8,965,580 34,797,661 Cost of services before reimbursable expenses 5,450,644 5,575,749 5,745,205 5,833,698 22,605,296 Reimbursable expenses 452,821 451,488 534,287 476,342 1,914,938 Cost of services 5,903,465 6,027,237 6,279,492 6,310,040 24,520,234 Operating income 1,221,260 1,088,044 1,305,943 1,195,198 4,810,445 Net income 868,681 1,399,858 950,283 1,130,781 4,349,603 Net income attributable to Accenture plc 818,899 1,326,520 897,247 1,069,226 4,111,892 Weighted average Class A ordinary shares: —Basic 626,463,124 626,523,793 623,725,913 622,555,642 624,797,820 —Diluted 671,300,744 668,125,087 666,403,323 665,365,231 667,770,274 Earnings per Class A ordinary share: —Basic $ 1.31 $ 2.12 $ 1.44 $ 1.72 $ 6.58 —Diluted 1.28 2.08 1.41 1.68 6.45 Ordinary share price per share: —High $ 109.86 $ 109.65 $ 119.72 $ 120.78 $ 120.78 —Low 91.68 91.40 101.00 108.66 91.40 Fiscal 2015 First Second Third Fourth Annual Net revenues $ 7,895,715 $ 7,493,329 $ 7,770,382 $ 7,888,505 $ 31,047,931 Reimbursements 447,542 438,261 504,684 476,006 1,866,493 Revenues 8,343,257 7,931,590 8,275,066 8,364,511 32,914,424 Cost of services before reimbursable expenses 5,356,425 5,252,690 5,245,477 5,384,100 21,238,692 Reimbursable expenses 447,542 438,261 504,684 476,006 1,866,493 Cost of services 5,803,967 5,690,951 5,750,161 5,860,106 23,105,185 Operating income 1,187,709 1,021,033 1,133,519 1,093,608 4,435,869 Net income 892,242 743,192 850,230 788,125 3,273,789 Net income attributable to Accenture plc 831,530 690,726 793,697 737,628 3,053,581 Weighted average Class A ordinary shares: —Basic 628,439,218 628,254,759 625,969,418 624,715,181 626,799,586 —Diluted 682,333,149 679,165,137 677,825,768 675,749,438 678,757,070 Earnings per Class A ordinary share: —Basic $ 1.32 $ 1.10 $ 1.27 $ 1.18 $ 4.87 —Diluted 1.29 1.08 1.24 1.15 4.76 Ordinary share price per share: —High $ 86.49 $ 91.94 $ 97.95 $ 105.37 $ 105.37 —Low 73.98 81.66 86.40 88.43 73.98 |
SUMMARY OF SIGNIFICANT ACCOUN25
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The Consolidated Financial Statements include the accounts of Accenture plc, an Irish company, and its controlled subsidiary companies (collectively, the “Company”). Accenture plc’s only business is to hold ordinary and deferred shares in, and to act as the controlling shareholder of, its subsidiary, Accenture Holdings plc, an Irish public limited company. The Company operates its business through Accenture Holdings plc and subsidiaries of Accenture Holdings plc. Accenture plc controls Accenture Holdings plc’s management and operations and consolidates Accenture Holdings plc’s results in its Consolidated Financial Statements. On April 10, 2015, Accenture Holdings plc was incorporated in Ireland, as a public limited company, in order to further consolidate Accenture’s presence in Ireland. On August 26, 2015, Accenture SCA merged with and into Accenture Holdings plc, with Accenture Holdings plc as the surviving entity. This merger was a transaction between entities under common control and had no effect on the Company’s Consolidated Financial Statements. All references to Accenture Holdings plc included in this report with respect to periods prior to August 26, 2015 reflect the activity and/or balances of Accenture SCA (the predecessor of Accenture Holdings plc). The shares of Accenture Holdings plc and Accenture Canada Holdings Inc. held by persons other than the Company are treated as a noncontrolling interest in the Consolidated Financial Statements. The noncontrolling interest percentages were 4% and 5% as of August 31, 2016 and 2015 , respectively. All references to years, unless otherwise noted, refer to the Company’s fiscal year, which ends on August 31. For example, a reference to “fiscal 2016 ” means the 12-month period that ended on August 31, 2016 . All references to quarters, unless otherwise noted, refer to the quarters of the Company’s fiscal year. |
Use of Estimates | The preparation of the Consolidated Financial Statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect amounts reported in the Consolidated Financial Statements and accompanying disclosures. Although these estimates are based on management’s best knowledge of current events and actions that the Company may undertake in the future, actual results may be different from those estimates. |
Revenue Recognition | Revenues from contracts for technology integration consulting services where the Company designs/redesigns, builds and implements new or enhanced systems applications and related processes for its clients are recognized on the percentage-of-completion method, which involves calculating the percentage of services provided during the reporting period compared to the total estimated services to be provided over the duration of the contract. Contracts for technology integration consulting services generally span six months to two years. Estimated revenues used in applying the percentage-of-completion method include estimated incentives for which achievement of defined goals is deemed probable. This method is followed where reasonably dependable estimates of revenues and costs can be made. Estimates of total contract revenues and costs are continuously monitored during the term of the contract, and recorded revenues and estimated costs are subject to revision as the contract progresses. Such revisions may result in increases or decreases to revenues and income and are reflected in the Consolidated Financial Statements in the periods in which they are first identified. If the Company’s estimates indicate that a contract loss will occur, a loss provision is recorded in the period in which the loss first becomes probable and reasonably estimable. Contract losses are determined to be the amount by which the estimated total direct and indirect costs of the contract exceed the estimated total revenues that will be generated by the contract and are included in Cost of services and classified in Other accrued liabilities. Revenues from contracts for non-technology integration consulting services with fees based on time and materials or cost-plus are recognized as the services are performed and amounts are earned. The Company considers amounts to be earned once evidence of an arrangement has been obtained, services are delivered, fees are fixed or determinable, and collectibility is reasonably assured. In such contracts, the Company’s efforts, measured by time incurred, typically are provided in less than a year and represent the contractual milestones or output measure, which is the contractual earnings pattern. For non-technology integration consulting contracts with fixed fees, the Company recognizes revenues as amounts become billable in accordance with contract terms, provided the billable amounts are not contingent, are consistent with the services delivered and are earned. Contingent or incentive revenues relating to non-technology integration consulting contracts are recognized when the contingency is satisfied and the Company concludes the amounts are earned. Outsourcing contracts typically span several years and involve complex delivery, often through multiple workforces in different countries. In a number of these arrangements, the Company hires client employees and becomes responsible for certain client obligations. Revenues are recognized on outsourcing contracts as amounts become billable in accordance with contract terms, unless the amounts are billed in advance of performance of services, in which case revenues are recognized when the services are performed and amounts are earned. Revenues from time-and-materials or cost-plus contracts are recognized as the services are performed. In such contracts, the Company’s effort, measured by time incurred, represents the contractual milestones or output measure, which is the contractual earnings pattern. Revenues from unit-priced contracts are recognized as transactions are processed based on objective measures of output. Revenues from fixed-price contracts are recognized on a straight-line basis, unless revenues are earned and obligations are fulfilled in a different pattern. Outsourcing contracts can also include incentive payments for benefits delivered to clients. Revenues relating to such incentive payments are recorded when the contingency is satisfied and the Company concludes the amounts are earned. Costs related to delivering outsourcing services are expensed as incurred with the exception of certain transition costs related to the set-up of processes, personnel and systems, which are deferred during the transition period and expensed evenly over the period outsourcing services are provided. The deferred costs are specific internal costs or incremental external costs directly related to transition or set-up activities necessary to enable the outsourced services. Generally, deferred amounts are protected in the event of early termination of the contract and are monitored regularly for impairment. Impairment losses are recorded when projected remaining undiscounted operating cash flows of the related contract are not sufficient to recover the carrying amount of contract assets. Deferred transition costs were $709,444 and $630,420 as of August 31, 2016 and 2015 , respectively, and are included in Deferred contract costs. Amounts billable to the client for transition or set-up activities are deferred and recognized as revenue evenly over the period outsourcing services are provided. Deferred transition revenues were $604,674 and $522,968 as of August 31, 2016 and 2015 , respectively, and are included in non-current Deferred revenues. Contract acquisition and origination costs are expensed as incurred. The Company enters into contracts that may consist of multiple deliverables. These contracts may include any combination of technology integration consulting services, non-technology integration consulting services or outsourcing services described above. Revenues for contracts with multiple deliverables are allocated based on the lesser of the element’s relative selling price or the amount that is not contingent on future delivery of another deliverable. The selling price of each deliverable is determined by obtaining third party evidence of the selling price for the deliverable and is based on the price charged when largely similar services are sold on a standalone basis by the Company to similarly situated customers. If the amount of non-contingent revenues allocated to a deliverable accounted for under the percentage-of-completion method of accounting is less than the costs to deliver such services, then such costs are deferred and recognized in future periods when the revenues become non-contingent. Revenues are recognized in accordance with the Company’s accounting policies for the separate deliverables when the services have value on a stand-alone basis, selling price of the separate deliverables exists and, in arrangements that include a general right of refund relative to the completed deliverable, performance of the in-process deliverable is considered probable and substantially in the Company’s control. While determining fair value and identifying separate deliverables require judgment, generally fair value and the separate deliverables are readily identifiable as the Company also sells those deliverables unaccompanied by other deliverables. Revenues recognized in excess of billings are recorded as Unbilled services. Billings in excess of revenues recognized are recorded as Deferred revenues until revenue recognition criteria are met. Client prepayments (even if nonrefundable) are deferred and recognized over future periods as services are delivered or performed. Revenues before reimbursements (“net revenues”) include the margin earned on computer hardware, software and related services resale, as well as revenues from alliance agreements. Reimbursements include billings for travel and other out-of-pocket expenses and third-party costs, such as the cost of hardware, software and related services resales. In addition, Reimbursements include allocations from gross billings to record an amount equivalent to reimbursable costs, where billings do not specifically identify reimbursable expenses. The Company reports revenues net of any revenue-based taxes assessed by governmental authorities that are imposed on and concurrent with specific revenue-producing transactions. |
Employee Share-Based Compensation Arrangements | Share-based compensation expense is recognized over the requisite service period for awards of equity instruments to employees based on the grant date fair value of those awards expected to ultimately vest. Forfeitures are estimated on the date of grant and revised if actual or expected forfeiture activity differs materially from original estimates. |
Income Taxes | The Company calculates and provides for income taxes in each of the tax jurisdictions in which it operates. Deferred tax assets and liabilities, measured using enacted tax rates, are recognized for the future tax consequences of temporary differences between the tax and financial statement bases of assets and liabilities. A valuation allowance reduces the deferred tax assets to the amount that is more likely than not to be realized. The Company establishes liabilities or reduces assets for uncertain tax positions when the Company believes those tax positions are not more likely than not of being sustained if challenged. Each fiscal quarter, the Company evaluates these uncertain tax positions and adjusts the related tax assets and liabilities in light of changing facts and circumstances. |
Translation of Non-U.S. Currency Amounts | Assets and liabilities of non-U.S. subsidiaries whose functional currency is not the U.S. dollar are translated into U.S. dollars at fiscal year-end exchange rates. Revenue and expense items are translated at average foreign currency exchange rates prevailing during the fiscal year. Translation adjustments are included in Accumulated other comprehensive loss. Gains and losses arising from intercompany foreign currency transactions that are of a long-term investment nature are reported in the same manner as translation adjustments. |
Cash and Cash Equivalents | Cash and cash equivalents consist of all cash balances and liquid investments with original maturities of three months or less, including certificates of deposit and time deposits. Cash and cash equivalents also include restricted cash of $45,478 and $45,935 as of August 31, 2016 and 2015 , respectively, which primarily relates to cash held to meet certain insurance requirements. As a result of certain subsidiaries’ cash management systems, checks issued but not presented to the banks for payment may create negative book cash balances. Such negative balances are classified as Current portion of long term debt and bank borrowings. |
Client Receivables, Unbilled Services and Allowances | The Company records its client receivables and unbilled services at their face amounts less allowances. On a periodic basis, the Company evaluates its receivables and unbilled services and establishes allowances based on historical experience and other currently available information. As of August 31, 2016 and 2015 , total allowances recorded for client receivables and unbilled services were $79,440 and $70,165 , respectively. The allowance reflects the Company’s best estimate of collectibility risks on outstanding receivables and unbilled services. In limited circumstances, the Company agrees to extend financing to certain clients. The terms vary by contract, but generally payment for services is contractually linked to the achievement of specified performance milestones. |
Concentrations of Credit Risk | The Company’s financial instruments, consisting primarily of cash and cash equivalents, foreign currency exchange rate instruments, client receivables and unbilled services, are exposed to concentrations of credit risk. The Company places its cash and cash equivalents and foreign exchange instruments with highly-rated financial institutions, limits the amount of credit exposure with any one financial institution and conducts ongoing evaluations of the credit worthiness of the financial institutions with which it does business. Client receivables are dispersed across many different industries and countries; therefore, concentrations of credit risk are limited. |
Investments | All liquid investments with an original maturity greater than three months but less than one year are considered to be short-term investments. Non-current investments are primarily non-marketable equity securities of privately held companies and are accounted for using either the equity or cost methods of accounting, in accordance with the requirements of Accounting Standards Codification 323, Investments—Equity Method and Joint Ventures. Marketable securities are classified as available-for-sale investments and reported at fair value with changes in unrealized gains and losses recorded as a separate component of Accumulated other comprehensive loss until realized. Interest and amortization of premiums and discounts for debt securities are included in Interest income. Cost method investments are periodically assessed for other-than-temporary impairment. For investments in privately held companies, if there are no identified events or circumstances that would have a significant adverse effect on the fair value of the investment, the fair value is not estimated. If an investment is deemed to have experienced an other-than-temporary decline below its cost basis, the Company reduces the carrying amount of the investment to its quoted or estimated fair value, as applicable, and establishes a new cost basis for the investment. |
Property and Equipment | Property and equipment is stated at cost, net of accumulated depreciation. Depreciation of property and equipment is computed on a straight-line basis over the following estimated useful lives: Computers, related equipment and software 2 to 7 years Furniture and fixtures 5 to 10 years Leasehold improvements Lesser of lease term or 15 years |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill represents the excess of the purchase price of an acquired entity over the fair value of net assets acquired. The Company reviews the recoverability of goodwill by reportable operating segment annually, or more frequently when indicators of impairment exist. Based on the results of its annual impairment analysis, the Company determined that no impairment existed as of August 31, 2016 and 2015 , as each reportable operating segment’s estimated fair value substantially exceeded its carrying value. |
Long-Lived Assets | Long-lived assets, including deferred contract costs and identifiable intangible assets, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or group of assets may not be recoverable. Recoverability of long-lived assets or groups of assets is assessed based on a comparison of the carrying amount to the estimated future net cash flows. If estimated future undiscounted net cash flows are less than the carrying amount, the asset is considered impaired and a loss is recorded equal to the amount required to reduce the carrying amount to fair value. Intangible assets with finite lives are generally amortized using the straight-line method over their estimated economic useful lives, ranging from one to fifteen years. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncement In August 2016, the Company early adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2015-17, Balance Sheet Classification of Deferred Taxes, which amends existing guidance on income taxes to require the classification of all deferred tax assets and liabilities as non-current on the balance sheet. The Company adopted this ASU using the retrospective method which required reclassification of current deferred taxes as previously reported on the Company’s August 31, 2015 Consolidated Balance Sheets to non-current, resulting in an increase to non-current deferred tax assets of $815,909 and a decrease to noncurrent deferred tax liabilities of $22,218 . New Accounting Pronouncements On March 31, 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting, which simplifies the accounting for share-based payment transactions. The new guidance requires excess tax benefits and tax deficiencies to be recorded in the income statement when the awards vest or are settled. In addition, the ASU includes provisions that impact the classification of awards as either equity or liabilities and the classification of excess tax benefits on the cash flow statements. The Company will early adopt the standard effective September 1, 2016. Following adoption, the primary impact on the Company’s Consolidated Financial Statements will be the recognition of excess tax benefits in the provision for income taxes rather than Additional paid-in capital, which will likely result in increased volatility in the reported amounts of income tax expense and net income. The Company estimates this change will reduce its fiscal 2017 effective tax rate by less than two percentage points. The actual impact of adopting this standard on the effective tax rate will vary depending on the Company’s share price during fiscal 2017. Provisions of the new guidance related to changes to classification of excess tax benefits in the cash flow statements are expected to be adopted retrospectively. The Company is continuing to evaluate the impacts of the adoption of this guidance and its preliminary assessments are subject to change. On March 15, 2016, the FASB issued ASU No. 2016-07, Simplifying the Transition to the Equity Method of Accounting, which eliminates the requirement to retrospectively apply equity method accounting when an entity increases ownership or influence in a previously held investment. The ASU will be effective for the Company beginning September 1, 2017, including interim periods in its fiscal year 2018. The Company does not expect the adoption of this ASU to have a material impact on its Consolidated Financial Statements. On February 25, 2016, the FASB issued ASU No. 2016-02, Leases, which amends existing guidance to require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by long-term leases and to disclose additional quantitative and qualitative information about leasing arrangements. The ASU will be effective for the Company beginning September 1, 2019, including interim periods in its fiscal year 2020, and allows for a modified retrospective method upon adoption. The Company is assessing the impact of this ASU on its Consolidated Financial Statements. On January 5, 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities, which amends certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The ASU will be effective for the Company beginning September 1, 2018, including interim periods in its fiscal year 2019. The Company does not expect the adoption of this ASU to have a material impact on its Consolidated Financial Statements. On May 28, 2014, the FASB issued ASU No. 2014-09 (Accounting Standard Codification 606), Revenue from Contracts with Customers, which will replace most existing revenue recognition guidance in U.S. GAAP. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU will be effective for the Company beginning September 1, 2018, including interim periods in its fiscal year 2019, and allows for both retrospective and modified retrospective methods of adoption. The Company will adopt the guidance on September 1, 2018 and apply the modified retrospective method. The Company is assessing the impact of this ASU on its Consolidated Financial Statements. |
SUMMARY OF SIGNIFICANT ACCOUN26
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Property and Equipment [Table Text Block] | Computers, related equipment and software 2 to 7 years Furniture and fixtures 5 to 10 years Leasehold improvements Lesser of lease term or 15 years |
Selected Components of Operating Expenses | Fiscal 2016 2015 2014 Training costs $ 940,509 $ 841,440 $ 786,517 Research and development costs 643,407 625,541 639,513 Advertising costs 80,601 79,899 87,559 Provision for (release of) doubtful accounts (1) 15,312 (10,336 ) (12,867 ) _______________ (1) For additional information, see “Client Receivables, Unbilled Services and Allowances”. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Share | Fiscal 2016 2015 2014 Basic Earnings per share Net income attributable to Accenture plc $ 4,111,892 $ 3,053,581 $ 2,941,498 Basic weighted average Class A ordinary shares 624,797,820 626,799,586 634,216,250 Basic earnings per share $ 6.58 $ 4.87 $ 4.64 Diluted Earnings per share Net income attributable to Accenture plc $ 4,111,892 $ 3,053,581 $ 2,941,498 Net income attributable to noncontrolling interests in Accenture Holdings plc and Accenture Canada Holdings Inc. (1) 195,560 178,925 187,107 Net income for diluted earnings per share calculation $ 4,307,452 $ 3,232,506 $ 3,128,605 Basic weighted average Class A ordinary shares 624,797,820 626,799,586 634,216,250 Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1) 29,712,982 36,693,816 40,333,904 Diluted effect of employee compensation related to Class A ordinary shares 13,105,585 15,094,672 17,689,942 Diluted effect of share purchase plans related to Class A ordinary shares 153,887 168,996 149,870 Diluted weighted average Class A ordinary shares 667,770,274 678,757,070 692,389,966 Diluted earnings per share $ 6.45 $ 4.76 $ 4.52 _______________ (1) Diluted earnings per share assumes the redemption of all Accenture Holdings plc ordinary shares owned by holders of noncontrolling interests and the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares, on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests—other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares. |
ACCUMULATED OTHER COMPREHENSI28
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Components of Accumulated Other Comprehensive Loss | Fiscal 2016 2015 2014 Foreign currency translation Beginning balance $ (853,504 ) $ (324,596 ) $ (414,401 ) Foreign currency translation (67,884 ) (524,729 ) 91,170 Income tax benefit 2,120 6,520 2,236 Portion attributable to noncontrolling interests (695 ) (10,699 ) (3,601 ) Foreign currency translation, net of tax (66,459 ) (528,908 ) 89,805 Ending balance (919,963 ) (853,504 ) (324,596 ) Defined benefit plans Beginning balance (523,619 ) (531,143 ) (425,404 ) Actuarial losses (481,331 ) (77,228 ) (177,243 ) Pension settlement — 64,382 — Prior service costs arising during the period 1,561 (79 ) (468 ) Reclassifications into net periodic pension and post-retirement expense 26,639 27,538 20,026 Income tax benefit (expense) 153,869 (6,725 ) 45,459 Portion attributable to noncontrolling interests 13,377 (364 ) 6,487 Defined benefit plans, net of tax (285,885 ) 7,524 (105,739 ) Ending balance (1) (809,504 ) (523,619 ) (531,143 ) Cash flow hedges Beginning balance (33,288 ) (16,209 ) (212,941 ) Unrealized gains (losses) 180,196 (17,207 ) 222,100 Reclassification adjustments into Cost of services (23,004 ) (15,207 ) 101,026 Income tax (expense) benefit (51,153 ) 14,508 (114,325 ) Portion attributable to noncontrolling interests (4,740 ) 827 (12,069 ) Cash flow hedges, net of tax 101,299 (17,079 ) 196,732 Ending balance (2) 68,011 (33,288 ) (16,209 ) Marketable securities Beginning balance (1,561 ) — — Unrealized gain (loss) 2,231 (2,693 ) — Income tax (expense) benefit (873 ) 1,056 — Portion attributable to noncontrolling interests (61 ) 76 — Marketable securities, net of tax 1,297 (1,561 ) — Ending balance (264 ) (1,561 ) — Accumulated other comprehensive loss $ (1,661,720 ) $ (1,411,972 ) $ (871,948 ) _______________ (1) As of August 31, 2016 , $50,410 of net losses is expected to be reclassified into net periodic pension expense recognized in Cost of services, Sales and marketing and General and administrative costs in the next twelve months. (2) As of August 31, 2016 , $61,135 of net unrealized gains related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next twelve months. |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Components of Property and Equipment, Net | August 31, 2016 August 31, 2015 Buildings and land $ 2,914 $ 2,939 Computers, related equipment and software 1,428,134 1,386,226 Furniture and fixtures 354,523 310,971 Leasehold improvements 900,996 750,716 Property and equipment, gross 2,686,567 2,450,852 Total accumulated depreciation (1,730,025 ) (1,648,968 ) Property and equipment, net $ 956,542 $ 801,884 |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | The changes in the carrying amount of goodwill by reportable operating segment were as follows: August 31, Additions/ Foreign August 31, Additions/ Foreign August 31, Communications, Media & $ 338,855 $ 42,797 $ (16,828 ) $ 364,824 $ 194,365 $ (12,623 ) $ 546,566 Financial Services 707,093 35,060 (28,723 ) 713,430 149,811 (8,865 ) 854,376 Health & Public Service 375,052 218,461 (4,620 ) 588,893 130,787 (3,831 ) 715,849 Products 836,858 198,274 (33,364 ) 1,001,768 134,607 (23,384 ) 1,112,991 Resources 138,036 144,844 (21,962 ) 260,918 123,613 (4,876 ) 379,655 Total $ 2,395,894 $ 639,436 $ (105,497 ) $ 2,929,833 $ 733,183 $ (53,579 ) $ 3,609,437 Goodwill includes immaterial adjustments related to divestitures and prior period acquisitions. |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | The Company’s definite-lived intangible assets by major asset class were as follows: August 31, 2016 August 31, 2015 Intangible Asset Class Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Customer-related $ 532,753 $ (159,774 ) $ 372,979 $ 449,219 $ (120,841 ) $ 328,378 Technology 100,363 (48,270 ) 52,093 104,824 (44,988 ) 59,836 Patents 118,906 (57,951 ) 60,955 114,979 (54,064 ) 60,915 Other 43,804 (19,680 ) 24,124 31,480 (15,702 ) 15,778 Total $ 795,826 $ (285,675 ) $ 510,151 $ 700,502 $ (235,595 ) $ 464,907 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | August 31, 2016 is as follows: Fiscal Year Estimated Amortization 2017 $ 107,291 2018 92,066 2019 74,617 2020 65,658 2021 45,747 Thereafter 124,772 Total $ 510,151 |
DERIVATIVE FINANCIAL INSTRUME31
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Notional and Fair Values of All Derivative Instruments | August 31, August 31, Assets Cash Flow Hedges Other current assets $ 71,955 $ 28,282 Other non-current assets 45,683 13,503 Other Derivatives Other current assets 11,965 18,233 Total assets $ 129,603 $ 60,018 Liabilities Cash Flow Hedges Other accrued liabilities $ 10,820 $ 48,683 Other non-current liabilities 5,547 48,746 Other Derivatives Other accrued liabilities 17,407 31,862 Total liabilities $ 33,774 $ 129,291 Total fair value $ 95,829 $ (69,273 ) Total notional value $ 7,604,486 $ 6,363,110 |
OffsettingDerivativeAssetsandLiabilities [Table Text Block] | August 31, August 31, Net derivative assets $ 114,785 $ 36,661 Net derivative liabilities 18,956 105,934 Total fair value $ 95,829 $ (69,273 ) |
BORROWINGS AND INDEBTEDNESS (Ta
BORROWINGS AND INDEBTEDNESS (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Amounts of Borrowing Facilities and Borrowings Under Facilities, Table | August 31, 2016 , the Company had the following borrowing facilities, including the issuance of letters of credit, to support general working capital purposes: Facility Borrowings Syndicated loan facility (1) $ 1,000,000 $ — Separate, uncommitted, unsecured multicurrency revolving credit facilities (2) 515,873 — Local guaranteed and non-guaranteed lines of credit (3) 164,692 — Total $ 1,680,565 $ — _______________ (1) On December 22, 2015 , the Company replaced its $1,000,000 syndicated loan facility maturing on October 31, 2016 with a $1,000,000 syndicated loan facility maturing on December 22, 2020 . This facility provides unsecured, revolving borrowing capacity for general working capital purposes, including the issuance of letters of credit. Financing is provided under this facility at the prime rate or at the London Interbank Offered Rate plus a spread. This facility requires the Company to: (1) limit liens placed on its assets to (a) liens incurred in the ordinary course of business (subject to certain qualifications) and (b) other liens securing obligations not to exceed 30% of its consolidated assets; and (2) maintain an Adjusted Indebtedness-to-EBITDA ratio not exceeding 1.75 to 1.00 . The Company continues to be in compliance with relevant covenant terms. The facility is subject to annual commitment fees. As of August 31, 2016 and 2015 , the Company had no borrowings under either the current or the prior loan facility. (2) The Company maintains separate, uncommitted and unsecured multicurrency revolving credit facilities. These facilities provide local currency financing for the majority of the Company’s operations. Interest rate terms on the revolving facilities are at market rates prevailing in the relevant local markets. As of August 31, 2016 and 2015 , the Company had no borrowings under these facilities. (3) The Company also maintains local guaranteed and non-guaranteed lines of credit for those locations that cannot access the Company’s global facilities. As of August 31, 2016 and 2015 , the Company had no borrowings under these various facilities. |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Current and Deferred Income Taxes by Period | Fiscal 2016 2015 2014 Current taxes U.S. federal $ 314,121 $ 617,488 $ 397,722 U.S. state and local 38,255 72,133 46,854 Non-U.S. 835,653 906,229 751,259 Total current tax expense 1,188,029 1,595,850 1,195,835 Deferred taxes U.S. federal 8,588 (94,621 ) 26,941 U.S. state and local 1,056 (11,245 ) 2,911 Non-U.S. 56,296 (353,243 ) (103,944 ) Total deferred tax expense (benefit) 65,940 (459,109 ) (74,092 ) Total $ 1,253,969 $ 1,136,741 $ 1,121,743 |
Components of Income Before Income Taxes | Fiscal 2016 2015 2014 U.S. sources $ 1,047,909 $ 1,321,511 $ 1,119,627 Non-U.S. sources 4,555,663 3,089,019 3,178,074 Total $ 5,603,572 $ 4,410,530 $ 4,297,701 |
Reconciliation of the U.S. federal statutory income tax rate to effective tax rate [Table Text Block] | Fiscal 2016 2015 2014 U.S. federal statutory income tax rate 35.0 % 35.0 % 35.0 % U.S. state and local taxes, net 1.1 1.3 1.3 Non-U.S. operations taxed at lower rates (12.0 ) (15.4 ) (12.1 ) Final determinations (1) (2.1 ) (5.1 ) (1.7 ) Other net activity in unrecognized tax benefits 2.7 3.2 3.0 Change in indefinite reinvestment assertion (0.6 ) 5.6 — Divestitures (3.4 ) — — Other, net 1.7 1.2 0.6 Effective income tax rate 22.4 % 25.8 % 26.1 % _______________ (1) Final determinations include final agreements with tax authorities and expirations of statutes of limitations. |
Components of Deferred Tax Assets And Liabilities | August 31, August 31, Deferred tax assets Pensions $ 306,776 $ 278,944 Revenue recognition 113,890 112,113 Compensation and benefits 797,707 558,127 Share-based compensation 262,508 262,040 Tax credit carryforwards 1,161,084 1,179,988 Net operating loss carryforwards 131,018 119,463 Depreciation and amortization 97,015 97,218 Deferred amortization deductions 687,351 687,406 Indirect effects of unrecognized tax benefits 354,544 357,031 Other 139,105 157,449 4,050,998 3,809,779 Valuation allowance (1,243,207 ) (1,229,146 ) Total deferred tax assets 2,807,791 2,580,633 Deferred tax liabilities Revenue recognition (109,749 ) (75,352 ) Depreciation and amortization (205,431 ) (167,467 ) Investments in subsidiaries (330,673 ) (213,351 ) Other (195,646 ) (125,907 ) Total deferred tax liabilities (841,499 ) (582,077 ) Net deferred tax assets $ 1,966,292 $ 1,998,556 |
Reconciliation of Unrecognized Tax Benefits | Fiscal 2016 2015 Balance, beginning of year $ 997,935 $ 1,333,606 Additions for tax positions related to the current year 163,097 155,637 Additions for tax positions related to prior years 126,353 97,694 Reductions for tax positions related to prior years (63,782 ) (470,147 ) Statute of limitations expirations (208,295 ) (28,116 ) Settlements with tax authorities (3,703 ) (33,743 ) Foreign currency translation (25,850 ) (56,996 ) Balance, end of year $ 985,755 $ 997,935 |
RETIREMENT AND PROFIT SHARING34
RETIREMENT AND PROFIT SHARING PLANS (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of Weighted-Average Assumptions Used to Determine the Fiscal Year-End Pension Benefit | Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, 2016 August 31, 2015 August 31, 2014 U.S. Non-U.S. Plans U.S. Non-U.S. Plans U.S. Non-U.S. Plans U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Discount rate for determining projected benefit obligation 3.50 % 2.40 % 4.50 % 3.47 % 4.25 % 3.53 % 3.51 % 4.46 % 4.25 % Discount rate for determining net periodic pension expense 4.50 % 3.47 % 4.25 % 3.53 % 5.00 % 4.18 % 4.46 % 4.25 % 4.96 % Long term rate of return on plan assets 4.75 % 3.99 % 5.50 % 4.55 % 5.50 % 4.79 % 4.54 % 5.05 % 4.87 % Rate of increase in future compensation for determining projected benefit obligation 2.57 % 3.47 % 3.65 % 3.56 % 3.65 % 3.75 % N/A N/A N/A Rate of increase in future compensation for determining net periodic pension expense 3.60 % 3.56 % 3.65 % 3.75 % 3.60 % 3.79 % N/A N/A N/A |
Schedule of Changes in Benefit Obligation, Plan Assets and Funded Status | 2016 and 2015 were as follows: Pension Plans Postretirement Plans August 31, August 31, August 31, 2016 August 31, 2015 U.S. Plans Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Reconciliation of benefit obligation Benefit obligation, beginning of year $ 1,635,744 $ 1,439,225 $ 1,909,651 $ 1,519,007 $ 403,095 $ 375,312 Service cost 7,305 72,502 8,899 67,471 18,565 17,784 Interest cost 63,470 43,827 76,969 48,199 15,618 15,602 Participant contributions — 9,857 — 6,081 — — Acquisitions/divestitures/transfers — 41,719 — (364 ) — — Amendments — (1,561 ) — 79 — — Curtailment — (689 ) — — 84 — Pension settlement — — (279,571 ) — — — Special termination benefits — 1,332 — — — — Actuarial (gain) loss 371,294 261,252 (35,478 ) 14,618 74,213 14,180 Benefits paid (47,807 ) (52,549 ) (44,726 ) (39,685 ) (11,143 ) (11,186 ) Exchange rate impact — (56,805 ) — (176,181 ) 532 (8,597 ) Benefit obligation, end of year $ 2,030,006 $ 1,758,110 $ 1,635,744 $ 1,439,225 $ 500,964 $ 403,095 Reconciliation of fair value of plan assets Fair value of plan assets, beginning of year $ 1,596,186 $ 982,471 $ 1,883,789 $ 1,032,378 $ 24,643 $ 29,484 Actual return on plan assets 242,112 97,638 25,580 39,797 3,856 92 Acquisitions/divestitures/transfers — 24,052 — — — — Employer contributions 10,944 71,046 11,114 52,033 9,774 6,253 Participant contributions — 9,857 — 6,081 — — Pension settlement — — (279,571 ) — — — Benefits paid (47,807 ) (52,549 ) (44,726 ) (39,685 ) (11,143 ) (11,186 ) Exchange rate impact — (51,361 ) — (108,133 ) — — Fair value of plan assets, end of year $ 1,801,435 $ 1,081,154 $ 1,596,186 $ 982,471 $ 27,130 $ 24,643 Funded status, end of year $ (228,571 ) $ (676,956 ) $ (39,558 ) $ (456,754 ) $ (473,834 ) $ (378,452 ) Amounts recognized in the Consolidated Balance Sheets Non-current assets $ — $ 59,335 $ 102,686 $ 64,690 $ — $ — Current liabilities (11,091 ) (16,691 ) (11,148 ) (10,287 ) (1,579 ) (1,416 ) Non-current liabilities (217,480 ) (719,600 ) (131,096 ) (511,157 ) (472,255 ) (377,036 ) Funded status, end of year $ (228,571 ) $ (676,956 ) $ (39,558 ) $ (456,754 ) $ (473,834 ) $ (378,452 ) |
Schedule of Defined Benefit Plan in Accumulated Other Comprehensive Income (Loss) | August 31, 2016 and 2015 was as follows: Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Net loss $ 592,873 $ 480,408 $ 397,065 $ 295,098 $ 143,777 $ 75,224 Prior service (credit) cost — (6,860 ) — (7,281 ) 31,569 35,173 Accumulated other comprehensive loss, pre-tax $ 592,873 $ 473,548 $ 397,065 $ 287,817 $ 175,346 $ 110,397 |
Schedule of Estimated Amounts to be Amortized From AOCI | Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Net loss $ 592,873 $ 480,408 $ 397,065 $ 295,098 $ 143,777 $ 75,224 Prior service (credit) cost — (6,860 ) — (7,281 ) 31,569 35,173 Accumulated other comprehensive loss, pre-tax $ 592,873 $ 473,548 $ 397,065 $ 287,817 $ 175,346 $ 110,397 |
Schedule of Accumulated Benefit Obligation | August 31, 2016 and 2015 was as follows: August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. Accumulated benefit obligation $ 2,017,437 $ 1,592,598 $ 1,626,972 $ 1,313,946 |
Schedule of Projected Benefit Obligation in Excess of Plan Assets | August 31, 2016 and 2015 : Pension Plans Postretirement Plans August 31, August 31, August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. U.S. and Non-U.S. Plans U.S. and Non-U.S. Plans Projected benefit obligation in excess of plan assets Projected benefit obligation $ 2,030,006 $ 1,400,510 $ 142,244 $ 757,741 $ 500,964 $ 403,095 Fair value of plan assets 1,801,435 664,220 — 236,297 27,130 24,643 |
Schedule of Accumulated Benefit Obligation in Excess of Plan Assets | August 31, August 31, U.S. Plans Non-U.S. U.S. Plans Non-U.S. Accumulated benefit obligation in excess of plan assets Accumulated benefit obligation $ 2,017,437 $ 1,233,952 $ 142,244 $ 629,524 Fair value of plan assets 1,801,435 627,738 — 204,076 |
Schedule of Weighted-Average Plan Assets Allocation | 2017 and weighted-average plan assets allocations as of August 31, 2016 and 2015 by asset category for defined benefit pension plans were as follows: 2017 Target 2016 2015 U.S. Non-U.S. U.S. Non-U.S. U.S. Non-U.S. Asset Category Equity securities — % 36 % — % 29 % 10 % 30 % Debt securities 77 51 75 58 87 56 Cash and short-term investments 23 3 25 2 3 3 Insurance contracts — 7 — 7 — 6 Other — 3 — 4 — 5 Total 100 % 100 % 100 % 100 % 100 % 100 % |
Schedule of Fair Value of Plan Assets | August 31, 2016 were as follows: U.S. Plans Level 1 Level 2 Level 3 Total Fixed Income U.S. government, state and local debt securities — 359,583 — 359,583 Non-U.S. government debt securities — 38,232 — 38,232 U.S. corporate debt securities — 614,136 — 614,136 Non-U.S. corporate debt securities — 79,124 — 79,124 Mutual fund debt securities 286,360 — — 286,360 Cash and short-term investments — 451,130 — 451,130 Total $ 286,360 $ 1,542,205 $ — $ 1,828,565 Non-U.S. Plans Level 1 Level 2 Level 3 Total Equity Mutual fund equity securities $ — $ 311,324 $ — $ 311,324 Fixed Income Non-U.S. government debt securities 91,745 — — 91,745 Mutual fund debt securities 15,608 524,472 — 540,080 Cash and short-term investments 19,382 4,048 — 23,430 Insurance contracts — 72,525 — 72,525 Other — 42,050 — 42,050 Total $ 126,735 $ 954,419 $ — $ 1,081,154 |
Estimated Future Benefit Payments | Pension Plans Postretirement Plans U.S. Plans (1) Non-U.S. U.S. and Non-U.S. Plans 2017 $ 46,881 $ 44,537 $ 10,259 2018 49,865 50,094 11,469 2019 53,277 55,964 12,598 2020 56,950 66,225 13,942 2021 61,361 75,166 15,830 2022-2026 373,921 416,507 110,756 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Share-Based Compensation | Fiscal 2016 2015 2014 Total share-based compensation expense included in Net income $ 758,176 $ 680,329 $ 671,301 Income tax benefit related to share-based compensation included in Net income 236,423 212,019 206,007 |
Restricted Share Units | 2016 was as follows: Number of Restricted Weighted Average Nonvested balance as of August 31, 2015 24,733,581 $ 71.83 Granted (1) 9,699,688 105.16 Vested (2) (10,987,988 ) 72.50 Forfeited (1,481,576 ) 77.82 Nonvested balance as of August 31, 2016 21,963,705 $ 85.81 _______________ (1) The weighted average grant-date fair value for restricted share units granted for fiscal 2016, 2015 and 2014 was $105.16 , $89.63 and $80.61 , respectively. (2) The total grant-date fair value of restricted share units vested for fiscal 2016, 2015 and 2014 was $796,620 , $581,936 and $628,999 , respectively. |
MATERIAL TRANSACTIONS AFFECTI36
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Equity [Abstract] | |
Share Purchase and Redemption Activity | 2016 was as follows: Accenture plc Class A Accenture Holdings plc Shares Amount Shares Amount Open-market share purchases (1) 19,989,726 $ 2,122,066 — $ — Other share purchase programs — — 653,222 72,193 Other purchases (2) 3,857,795 410,730 — — Total 23,847,521 $ 2,532,796 653,222 $ 72,193 _______________ (1) The Company conducts a publicly announced open-market share purchase program for Accenture plc Class A ordinary shares. These shares are held as treasury shares by Accenture plc and may be utilized to provide for select employee benefits, such as equity awards to the Company’s employees. (2) During fiscal 2016 , as authorized under the Company’s various employee equity share plans, the Company acquired Accenture plc Class A ordinary shares primarily via share withholding for payroll tax obligations due from employees and former employees in connection with the delivery of Accenture plc Class A ordinary shares under those plans. These purchases of shares in connection with employee share plans do not affect the Company’s aggregate available authorization for the Company’s publicly announced open-market share purchase and the other share purchase programs. |
Dividend Activity | 2016 was as follows: Dividend Per Accenture plc Class A Accenture Holdings plc Ordinary Total Cash Dividend Payment Date Record Date Cash Outlay Record Date Cash Outlay November 13, 2015 $ 1.10 October 16, 2015 $ 687,285 October 13, 2015 $ 33,391 $ 720,676 May 13, 2016 1.10 April 15, 2016 684,894 April 12, 2016 32,568 717,462 Total Dividends $ 1,372,179 $ 65,959 $ 1,438,138 |
LEASE COMMITMENTS (Tables)
LEASE COMMITMENTS (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Leases [Abstract] | |
Rental Expense, Including Operating Costs and Taxes and Sublease Income from Third Parties | 2016, 2015 and 2014 was as follows: Fiscal 2016 2015 2014 Rental expense $ 578,149 $ 547,206 $ 539,711 Sublease income from third parties (26,403 ) (27,293 ) (29,482 ) |
Future Minimum Rental Commitments under Non-cancelable Operating Leases | August 31, 2016 were as follows: Operating Operating 2017 $ 516,622 $ (16,147 ) 2018 445,853 (15,410 ) 2019 375,393 (13,996 ) 2020 318,828 (12,324 ) 2021 257,949 (11,074 ) Thereafter 902,659 (50,350 ) $ 2,817,304 $ (119,301 ) |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Segment Reporting [Abstract] | |
Reportable Operating Segments | Fiscal 2016 Communications, Media & Financial Health & Products Resources Other Total Net revenues $ 6,615,717 $ 7,031,053 $ 5,986,878 $ 8,395,038 $ 4,838,963 $ 15,074 $ 32,882,723 Depreciation and amortization (1) 141,356 139,518 134,788 206,806 106,584 — 729,052 Operating income 965,574 1,127,750 807,012 1,282,461 627,648 — 4,810,445 Net assets as of August 31 (2) 923,764 123,827 892,569 1,281,551 820,273 (137,761 ) 3,904,223 2015 Net revenues $ 6,349,372 $ 6,634,771 $ 5,462,550 $ 7,596,051 $ 4,988,627 $ 16,560 $ 31,047,931 Depreciation and amortization (1) 152,329 128,413 115,010 168,731 81,440 — 645,923 Operating income 871,388 1,079,397 700,960 1,082,351 701,773 — 4,435,869 Net assets as of August 31 (2) 798,623 186,739 812,278 1,158,953 723,113 (59,371 ) 3,620,335 2014 Net revenues $ 5,923,821 $ 6,511,228 $ 5,021,692 $ 7,394,980 $ 5,135,309 $ 15,364 $ 30,002,394 Depreciation and amortization (1) 136,029 139,759 101,345 169,704 73,906 — 620,743 Operating income 770,166 957,347 678,663 991,844 902,492 — 4,300,512 Net assets as of August 31 (2) 926,952 128,179 791,084 974,546 735,048 (127,396 ) 3,428,413 _______________ (1) Amounts include depreciation on property and equipment and amortization of intangible assets controlled by each operating segment, as well as an allocation for amounts they do not directly control. (2) The Company does not allocate total assets by operating segment. Operating segment assets directly attributed to an operating segment and provided to the chief operating decision maker include Receivables from clients, current and non-current Unbilled services, Deferred contract costs and current and non-current Deferred revenues. The accounting policies of the operating segments are the same as those described in Note 1 (Summary of Significant Accounting Policies) to these Consolidated Financial Statements. |
Revenues Attributed to Geographic Areas | Fiscal North America Europe Growth Markets Total 2016 Net revenues $ 15,653,290 $ 11,448,361 $ 5,781,072 $ 32,882,723 Reimbursements 970,248 635,362 309,328 1,914,938 Revenues 16,623,538 12,083,723 6,090,400 34,797,661 Property and equipment, net as of August 31 244,351 220,500 491,691 956,542 2015 Net revenues $ 14,209,387 $ 10,929,572 $ 5,908,972 $ 31,047,931 Reimbursements 891,443 628,342 346,708 1,866,493 Revenues 15,100,830 11,557,914 6,255,680 32,914,424 Property and equipment, net as of August 31 230,359 179,925 391,600 801,884 2014 (1) Net revenues $ 12,796,846 $ 11,254,953 $ 5,950,595 $ 30,002,394 Reimbursements 882,481 624,219 365,584 1,872,284 Revenues 13,679,327 11,879,172 6,316,179 31,874,678 Property and equipment, net as of August 31 240,886 190,450 362,108 793,444 _______________ (1) Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. |
Concentration of Assets by Country | August 31, 2016 August 31, 2015 August 31, 2014 United States 25 % 28 % 29 % India 25 26 22 Ireland 4 2 2 |
Net Revenues by Type of Work | Fiscal 2016 2015 2014 Consulting $ 17,867,891 $ 16,203,915 $ 15,737,661 Outsourcing 15,014,832 14,844,016 14,264,733 Net revenues 32,882,723 31,047,931 30,002,394 Reimbursements 1,914,938 1,866,493 1,872,284 Revenues $ 34,797,661 $ 32,914,424 $ 31,874,678 |
QUARTERLY DATA (Tables)
QUARTERLY DATA (Tables) | 12 Months Ended |
Aug. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Fiscal 2016 First Second Third Fourth Annual Net revenues $ 8,013,163 $ 7,945,565 $ 8,434,757 $ 8,489,238 $ 32,882,723 Reimbursements 452,821 451,488 534,287 476,342 1,914,938 Revenues 8,465,984 8,397,053 8,969,044 8,965,580 34,797,661 Cost of services before reimbursable expenses 5,450,644 5,575,749 5,745,205 5,833,698 22,605,296 Reimbursable expenses 452,821 451,488 534,287 476,342 1,914,938 Cost of services 5,903,465 6,027,237 6,279,492 6,310,040 24,520,234 Operating income 1,221,260 1,088,044 1,305,943 1,195,198 4,810,445 Net income 868,681 1,399,858 950,283 1,130,781 4,349,603 Net income attributable to Accenture plc 818,899 1,326,520 897,247 1,069,226 4,111,892 Weighted average Class A ordinary shares: —Basic 626,463,124 626,523,793 623,725,913 622,555,642 624,797,820 —Diluted 671,300,744 668,125,087 666,403,323 665,365,231 667,770,274 Earnings per Class A ordinary share: —Basic $ 1.31 $ 2.12 $ 1.44 $ 1.72 $ 6.58 —Diluted 1.28 2.08 1.41 1.68 6.45 Ordinary share price per share: —High $ 109.86 $ 109.65 $ 119.72 $ 120.78 $ 120.78 —Low 91.68 91.40 101.00 108.66 91.40 Fiscal 2015 First Second Third Fourth Annual Net revenues $ 7,895,715 $ 7,493,329 $ 7,770,382 $ 7,888,505 $ 31,047,931 Reimbursements 447,542 438,261 504,684 476,006 1,866,493 Revenues 8,343,257 7,931,590 8,275,066 8,364,511 32,914,424 Cost of services before reimbursable expenses 5,356,425 5,252,690 5,245,477 5,384,100 21,238,692 Reimbursable expenses 447,542 438,261 504,684 476,006 1,866,493 Cost of services 5,803,967 5,690,951 5,750,161 5,860,106 23,105,185 Operating income 1,187,709 1,021,033 1,133,519 1,093,608 4,435,869 Net income 892,242 743,192 850,230 788,125 3,273,789 Net income attributable to Accenture plc 831,530 690,726 793,697 737,628 3,053,581 Weighted average Class A ordinary shares: —Basic 628,439,218 628,254,759 625,969,418 624,715,181 626,799,586 —Diluted 682,333,149 679,165,137 677,825,768 675,749,438 678,757,070 Earnings per Class A ordinary share: —Basic $ 1.32 $ 1.10 $ 1.27 $ 1.18 $ 4.87 —Diluted 1.29 1.08 1.24 1.15 4.76 Ordinary share price per share: —High $ 86.49 $ 91.94 $ 97.95 $ 105.37 $ 105.37 —Low 73.98 81.66 86.40 88.43 73.98 |
SUMMARY OF SIGNIFICANT ACCOUN40
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) - USD ($) | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
Basis of Presentation [Line Items] | ||
Deferred contract costs | $ 709,444,000 | $ 630,420,000 |
Deferred transition revenues | 604,674,000 | 522,968,000 |
Restricted Cash and Cash Equivalents | 45,478,000 | 45,935,000 |
Allowance for doubtful accounts receivable and unbilled services | $ 79,440,000 | 70,165,000 |
IncreaseDecreaseInNoncurrentDeferredTaxAsset | 815,909,000 | |
IncreaseDecreaseInNoncurrentDeferredTaxLiabilities | $ 22,218,000 | |
Minimum | ||
Basis of Presentation [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 1 year | |
Maximum | ||
Basis of Presentation [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 15 years | |
Technology Integration Consulting Services | Minimum | ||
Basis of Presentation [Line Items] | ||
Contracts period | 6 months | |
Technology Integration Consulting Services | Maximum | ||
Basis of Presentation [Line Items] | ||
Contracts period | 2 years | |
Non-Technology Integration Consulting Services | Maximum | ||
Basis of Presentation [Line Items] | ||
Contracts period | 1 year | |
Subsidiaries [Member] | ||
Basis of Presentation [Line Items] | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 4.00% | 5.00% |
SUMARY OF SIGNIFICANT ACCOUNTIN
SUMARY OF SIGNIFICANT ACCOUNTING POLICIES - Estimated Useful Lives of Property and Equipment (Details) | 12 Months Ended |
Aug. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |
Property and Equipment [Table Text Block] | Computers, related equipment and software 2 to 7 years Furniture and fixtures 5 to 10 years Leasehold improvements Lesser of lease term or 15 years |
Computers, related equipment and software | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Computers, related equipment and software | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Furniture and fixtures | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Furniture and fixtures | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Estimated Useful Lives | Lesser of lease term or 15 years |
SUMMARY OF SIGNIFICANT ACCOUN42
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Selected Components of Operating Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
Accounting Policies [Abstract] | ||||
Training costs | $ 940,509 | $ 841,440 | $ 786,517 | |
Research and development costs | 643,407 | 625,541 | 639,513 | |
Advertising costs | 80,601 | 79,899 | 87,559 | |
Provision for (release of) doubtful accounts (1) | [1] | $ 15,312 | $ (10,336) | $ (12,867) |
[1] | For additional information, see “Client Receivables, Unbilled Services and Allowances”. |
EARNINGS PER SHARE - Basic and
EARNINGS PER SHARE - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Aug. 31, 2016 | May 31, 2016 | Feb. 29, 2016 | Nov. 30, 2015 | Aug. 31, 2015 | May 31, 2015 | Feb. 28, 2015 | Nov. 30, 2014 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
Basic Earnings per share | ||||||||||||
Net income attributable to Accenture plc | $ 1,069,226 | $ 897,247 | $ 1,326,520 | $ 818,899 | $ 737,628 | $ 793,697 | $ 690,726 | $ 831,530 | $ 4,111,892 | $ 3,053,581 | $ 2,941,498 | |
Basic weighted average Class A ordinary shares (in shares) | 622,555,642 | 623,725,913 | 626,523,793 | 626,463,124 | 624,715,181 | 625,969,418 | 628,254,759 | 628,439,218 | 624,797,820 | 626,799,586 | 634,216,250 | |
Basic earnings per share (in dollars per share) | $ 1.72 | $ 1.44 | $ 2.12 | $ 1.31 | $ 1.18 | $ 1.27 | $ 1.10 | $ 1.32 | $ 6.58 | $ 4.87 | $ 4.64 | |
Diluted Earnings per share | ||||||||||||
Net income attributable to Accenture plc | $ 1,069,226 | $ 897,247 | $ 1,326,520 | $ 818,899 | $ 737,628 | $ 793,697 | $ 690,726 | $ 831,530 | $ 4,111,892 | $ 3,053,581 | $ 2,941,498 | |
Net income attributable to noncontrolling interests in Accenture Holdings plc and Accenture Canada Holdings Inc. (1) | [1] | 195,560 | 178,925 | 187,107 | ||||||||
Net income for diluted earnings per share calculation | $ 4,307,452 | $ 3,232,506 | $ 3,128,605 | |||||||||
Basic weighted average Class A ordinary shares (in shares) | 622,555,642 | 623,725,913 | 626,523,793 | 626,463,124 | 624,715,181 | 625,969,418 | 628,254,759 | 628,439,218 | 624,797,820 | 626,799,586 | 634,216,250 | |
Class A ordinary shares issuable upon redemption/exchange of noncontrolling interests (1) | [1] | 29,712,982 | 36,693,816 | 40,333,904 | ||||||||
Diluted effect of employee compensation related to Class A ordinary shares | 13,105,585 | 15,094,672 | 17,689,942 | |||||||||
Diluted effect of share purchase plans related to Class A ordinary shares | 153,887 | 168,996 | 149,870 | |||||||||
Diluted weighted average Class A ordinary shares (in shares) | 665,365,231 | 666,403,323 | 668,125,087 | 671,300,744 | 675,749,438 | 677,825,768 | 679,165,137 | 682,333,149 | 667,770,274 | 678,757,070 | 692,389,966 | |
Diluted earnings per share (in dollars per share) | $ 1.68 | $ 1.41 | $ 2.08 | $ 1.28 | $ 1.15 | $ 1.24 | $ 1.08 | $ 1.29 | $ 6.45 | $ 4.76 | $ 4.52 | |
[1] | Diluted earnings per share assumes the redemption of all Accenture Holdings plc ordinary shares owned by holders of noncontrolling interests and the exchange of all Accenture Canada Holdings Inc. exchangeable shares for Accenture plc Class A ordinary shares, on a one-for-one basis. The income effect does not take into account “Net income attributable to noncontrolling interests—other,” since those shares are not redeemable or exchangeable for Accenture plc Class A ordinary shares. |
ACCUMULATED OTHER COMPREHENSI44
ACCUMULATED OTHER COMPREHENSIVE LOSS Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||||
Foreign currency translation | ||||||
Beginning balance | $ (853,504) | $ (324,596) | $ (414,401) | |||
Foreign currency translation | (67,884) | (524,729) | 91,170 | |||
Income tax benefit | 2,120 | 6,520 | 2,236 | |||
Portion attributable to noncontrolling interests | (695) | (10,699) | (3,601) | |||
Foreign currency translation, net of tax | (66,459) | (528,908) | 89,805 | |||
Ending balance | (919,963) | (853,504) | (324,596) | |||
Defined benefit plans | ||||||
Beginning balance | (523,619) | [1] | (531,143) | [1] | (425,404) | |
Actuarial losses | (481,331) | (77,228) | (177,243) | |||
Pension settlement | 0 | 64,382 | 0 | |||
Prior service costs arising during the period | 1,561 | (79) | (468) | |||
Reclassifications into net periodic pension and post-retirement expense | 26,639 | 27,538 | 20,026 | |||
Income tax benefit (expense) | 153,869 | (6,725) | 45,459 | |||
Portion attributable to noncontrolling interests | 13,377 | (364) | 6,487 | |||
Defined benefit plans, net of tax | (285,885) | 7,524 | (105,739) | |||
Ending balance (1) | [1] | (809,504) | (523,619) | (531,143) | ||
Cash flow hedges | ||||||
Beginning balance | (33,288) | [2] | (16,209) | [2] | (212,941) | |
Unrealized gains (losses) | 180,196 | (17,207) | 222,100 | |||
Reclassification adjustments into Cost of services | (23,004) | (15,207) | 101,026 | |||
Income tax (expense) benefit | (51,153) | 14,508 | (114,325) | |||
Portion attributable to noncontrolling interests | (4,740) | 827 | (12,069) | |||
Cash flow hedges, net of tax | 101,299 | (17,079) | 196,732 | |||
Ending balance (2) | [2] | 68,011 | (33,288) | (16,209) | ||
Marketable securities | ||||||
Beginning balance | (1,561) | 0 | 0 | |||
Unrealized gain (loss) | 2,231 | (2,693) | 0 | |||
Income tax (expense) benefit | (873) | 1,056 | 0 | |||
Portion attributable to noncontrolling interests | (61) | 76 | 0 | |||
Marketable securities, net of tax | 1,297 | (1,561) | 0 | |||
Ending balance | (264) | (1,561) | 0 | |||
Accumulated other comprehensive loss | (1,661,720) | $ (1,411,972) | $ (871,948) | |||
Defined Benefit Plan, Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year | (50,410) | |||||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | $ 61,135 | |||||
[1] | (1)As of August 31, 2016, $50,410 of net losses is expected to be reclassified into net periodic pension expense recognized in Cost of services, Sales and marketing and General and administrative costs in the next twelve months. | |||||
[2] | August 31, 2016, $61,135 of net unrealized gains related to derivatives designated as cash flow hedges is expected to be reclassified into Cost of services in the next twelve months. |
PROPERTY AND EQUIPMENT - Compon
PROPERTY AND EQUIPMENT - Components of Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | [1] |
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | $ 2,686,567 | $ 2,450,852 | ||
Total accumulated depreciation | (1,730,025) | (1,648,968) | ||
Property and equipment, net | 956,542 | 801,884 | $ 793,444 | |
Buildings and land | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 2,914 | 2,939 | ||
Computers, related equipment and software | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 1,428,134 | 1,386,226 | ||
Furniture and fixtures | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 354,523 | 310,971 | ||
Leasehold improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | $ 900,996 | $ 750,716 | ||
[1] | Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. |
BUSINESS COMBINATIONS AND DIV46
BUSINESS COMBINATIONS AND DIVESTITURE - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016USD ($)employee | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) | |
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 932,542 | $ 791,704 | $ 740,067 |
Goodwill | 3,609,437 | 2,929,833 | 2,395,894 |
Gain on sale of businesses | $ 848,823 | 0 | 0 |
Minimum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Maximum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 15 years | ||
Cloud Sherpas [Member] | |||
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 409,424 | ||
Goodwill | 385,337 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 66,522 | ||
Entity Number of Employees | employee | 1,100 | ||
Cloud Sherpas [Member] | Minimum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Cloud Sherpas [Member] | Maximum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 7 years | ||
Series of Individually Immaterial Business Acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 458,892 | 510,236 | 320,225 |
Goodwill | 382,326 | 427,435 | 256,704 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 109,981 | $ 120,970 | $ 80,305 |
Series of Individually Immaterial Business Acquisitions [Member] | Minimum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | 1 year | 1 year |
Series of Individually Immaterial Business Acquisitions [Member] | Maximum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 10 years | 11 years | 12 years |
Navitaire [Member] | |||
Business Acquisition [Line Items] | |||
Entity Number of Employees | employee | 600 | ||
acn_ProceedsfromDivestitureofBusinessesNetofCashDivestedandTransactionCosts | $ 825,644 | ||
acn_DivestitureProceedAllocatedtoServiceArrangement | 214,500 | ||
Gain on sale of businesses | 547,584 | ||
acn_GainOnDispositionOfBusinessTax | $ 55,759 | ||
Duck Creek [Member] | |||
Business Acquisition [Line Items] | |||
Entity Number of Employees | employee | 1,000 | ||
acn_TheCompanyJointVenturePercentageOwnership | 40.00% | ||
acn_ProceedsfromDivestitureofBusinessesNetofCashDivestedandTransactionCosts | $ 196,198 | ||
Gain on sale of businesses | 301,239 | ||
acn_GainOnDispositionOfBusinessTax | $ 48,286 | ||
Agilex [Member] | |||
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 264,444 | ||
Goodwill | 206,123 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 50,800 | ||
Entity Number of Employees | 730 | ||
Agilex [Member] | Minimum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Agilex [Member] | Maximum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 8 years | ||
Procurian [Member] | |||
Business Acquisition [Line Items] | |||
Payments to Acquire Businesses, Net of Cash Acquired | $ 386,407 | ||
Goodwill | 305,627 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 60,514 | ||
Entity Number of Employees | 780 | ||
Procurian [Member] | Minimum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Procurian [Member] | Maximum | |||
Business Acquisition [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 12 years |
GOODWILL AND INTANGIBLE ASSET47
GOODWILL AND INTANGIBLE ASSETS GOODWILL AND INTANGIBLE ASSETS - Goodwill Rollforward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Goodwill [Line Items] | |||
Goodwill | $ 3,609,437 | $ 2,929,833 | $ 2,395,894 |
Goodwill Acquired During Period And Adjustments | 733,183 | 639,436 | |
Goodwill, Translation Adjustments | (53,579) | (105,497) | |
Goodwill | 3,609,437 | 2,929,833 | 2,395,894 |
Communications, Media & Technology | |||
Goodwill [Line Items] | |||
Goodwill | 546,566 | 364,824 | 338,855 |
Goodwill Acquired During Period And Adjustments | 194,365 | 42,797 | |
Goodwill, Translation Adjustments | (12,623) | (16,828) | |
Goodwill | 546,566 | 364,824 | 338,855 |
Financial Services | |||
Goodwill [Line Items] | |||
Goodwill | 854,376 | 713,430 | 707,093 |
Goodwill Acquired During Period And Adjustments | 149,811 | 35,060 | |
Goodwill, Translation Adjustments | (8,865) | (28,723) | |
Goodwill | 854,376 | 713,430 | 707,093 |
Health & Public Service | |||
Goodwill [Line Items] | |||
Goodwill | 715,849 | 588,893 | 375,052 |
Goodwill Acquired During Period And Adjustments | 130,787 | 218,461 | |
Goodwill, Translation Adjustments | (3,831) | (4,620) | |
Goodwill | 715,849 | 588,893 | 375,052 |
Products | |||
Goodwill [Line Items] | |||
Goodwill | 1,112,991 | 1,001,768 | 836,858 |
Goodwill Acquired During Period And Adjustments | 134,607 | 198,274 | |
Goodwill, Translation Adjustments | (23,384) | (33,364) | |
Goodwill | 1,112,991 | 1,001,768 | 836,858 |
Resources | |||
Goodwill [Line Items] | |||
Goodwill | 379,655 | 260,918 | 138,036 |
Goodwill Acquired During Period And Adjustments | 123,613 | 144,844 | |
Goodwill, Translation Adjustments | (4,876) | (21,962) | |
Goodwill | $ 379,655 | $ 260,918 | $ 138,036 |
GOODWILL AND INTANGIBLE ASSET48
GOODWILL AND INTANGIBLE ASSETS - Intangible Table by Major Class (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 795,826 | $ 700,502 |
Accumulated Amortization | (285,675) | (235,595) |
Net Carrying Amount | 510,151 | 464,907 |
Customer-related | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 532,753 | 449,219 |
Accumulated Amortization | (159,774) | (120,841) |
Net Carrying Amount | 372,979 | 328,378 |
Technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 100,363 | 104,824 |
Accumulated Amortization | (48,270) | (44,988) |
Net Carrying Amount | 52,093 | 59,836 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 118,906 | 114,979 |
Accumulated Amortization | (57,951) | (54,064) |
Net Carrying Amount | 60,955 | 60,915 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 43,804 | 31,480 |
Accumulated Amortization | (19,680) | (15,702) |
Net Carrying Amount | $ 24,124 | $ 15,778 |
GOODWILL AND INTANGIBLE ASSET49
GOODWILL AND INTANGIBLE ASSETS - Amortization (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization of Intangible Assets | $ 117,882 | $ 99,633 | $ 75,232 |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract] | |||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | 107,291 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 92,066 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 74,617 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 65,658 | ||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 45,747 | ||
Finite-Lived Intangible Assets, Amortization Expense, after Year Five | 124,772 | ||
Net Carrying Amount | $ 510,151 | $ 464,907 |
DERIVATIVE FINANCIAL INSTRUME50
DERIVATIVE FINANCIAL INSTRUMENTS - Notional and Fair Values of All Derivative Instruments (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Assets | ||
Fair value of derivative assets | $ 129,603 | $ 60,018 |
Liabilities | ||
Fair value of derivative liabilities | 33,774 | 129,291 |
Total fair value | 95,829 | (69,273) |
Total notional value | 7,604,486 | 6,363,110 |
Cash Flow Hedging | Other current assets | ||
Assets | ||
Fair value of derivative assets | 71,955 | 28,282 |
Cash Flow Hedging | Other non-current assets | ||
Assets | ||
Fair value of derivative assets | 45,683 | 13,503 |
Cash Flow Hedging | Other accrued liabilities | ||
Liabilities | ||
Fair value of derivative liabilities | 10,820 | 48,683 |
Cash Flow Hedging | Other non-current liabilities | ||
Liabilities | ||
Fair value of derivative liabilities | 5,547 | 48,746 |
Other Derivatives | Other current assets | ||
Assets | ||
Fair value of derivative assets | 11,965 | 18,233 |
Other Derivatives | Other accrued liabilities | ||
Liabilities | ||
Fair value of derivative liabilities | $ 17,407 | $ 31,862 |
DERIVATIVE FINANCIAL INSTRUME51
DERIVATIVE FINANCIAL INSTRUMENTS - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Derivative [Line Items] | |||
Fair value of derivative assets | $ 129,603 | $ 60,018 | |
Fair value of derivative instruments with credit-risk-related contingent features in a liability position | 33,774 | ||
Reclassification adjustments into Cost of services | 23,004 | 15,207 | $ (101,026) |
(Loss) gain recognized in income on derivatives | (84,293) | (257,783) | $ 78,446 |
Offsetting Derivative Asset and Liabilities [Abstract] | |||
Net derivative assets | 114,785 | 36,661 | |
Net derivative liabilities | 18,956 | 105,934 | |
Total fair value | $ 95,829 | $ (69,273) |
BORROWINGS AND INDEBTEDNESS - B
BORROWINGS AND INDEBTEDNESS - Borrowing Facilities including Letters of Credit (Details) $ in Thousands | 12 Months Ended | |
Aug. 31, 2016USD ($) | ||
Debt Instrument [Line Items] | ||
Facility Amount | $ 1,680,565 | |
Borrowing Under Facilities | $ 0 | |
Line of Credit Facility, Covenant Compliance, Liens Securing Obligations Percentage of Assets | 30.00% | |
Line of Credit Facility, Covenant Compliance, Debt to Cash Flow Ratio Maximum | 1.75 | |
LineOfCreditFacilityCovenantComplianceDebtToCashFlowRatioMinimum | 1 | |
Syndicated Loan Facility Due December 22, 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Facility Amount | $ 1,000,000 | [1] |
Borrowing Under Facilities | 0 | [1] |
Syndicated Loan Facility Due October 31, 2016 [Member] | ||
Debt Instrument [Line Items] | ||
Facility Amount | 1,000,000 | |
Separate, uncommitted, unsecured multicurrency revolving credit facilities | ||
Debt Instrument [Line Items] | ||
Facility Amount | 515,873 | [2] |
Borrowing Under Facilities | 0 | [2] |
Local guaranteed and non-guaranteed lines of credit | ||
Debt Instrument [Line Items] | ||
Facility Amount | 164,692 | [3] |
Borrowing Under Facilities | $ 0 | [3] |
[1] | October 31, 2016 with a $1,000,000 syndicated loan facility maturing on December 22, 2020. This facility provides unsecured, revolving borrowing capacity for general working capital purposes, including the issuance of letters of credit. Financing is provided under this facility at the prime rate or at the London Interbank Offered Rate plus a spread. This facility requires the Company to: (1) limit liens placed on its assets to (a) liens incurred in the ordinary course of business (subject to certain qualifications) and (b) other liens securing obligations not to exceed 30% of its consolidated assets; and (2) maintain an Adjusted Indebtedness-to-EBITDA ratio not exceeding 1.75 to 1.00. The Company continues to be in compliance with relevant covenant terms. The facility is subject to annual commitment fees. As of August 31, 2016 and 2015, the Company had no borrowings under either the current or the prior loan facility. | |
[2] | August 31, 2016 and 2015, the Company had no borrowings under these facilities. | |
[3] | August 31, 2016 and 2015, the Company had no borrowings under these various facilities. |
BORROWINGS AND INDEBTEDNESS - A
BORROWINGS AND INDEBTEDNESS - Additional Information (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Debt Disclosure [Abstract] | ||
Letters of credit outstanding under borrowing facilities | $ 168,663 | $ 166,506 |
Total outstanding debt | $ 27,230 | $ 27,435 |
INCOME TAXES - Components of In
INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Current taxes | |||
U.S. federal | $ 314,121 | $ 617,488 | $ 397,722 |
U.S. state and local | 38,255 | 72,133 | 46,854 |
Non-U.S. | 835,653 | 906,229 | 751,259 |
Total current tax expense | 1,188,029 | 1,595,850 | 1,195,835 |
Deferred taxes | |||
U.S. federal | 8,588 | (94,621) | 26,941 |
U.S. state and local | 1,056 | (11,245) | 2,911 |
Non-U.S. | 56,296 | (353,243) | (103,944) |
Total deferred tax expense (benefit) | 65,940 | (459,109) | (74,092) |
Total | $ 1,253,969 | $ 1,136,741 | $ 1,121,743 |
INCOME TAXES - Components of 55
INCOME TAXES - Components of Income before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
U.S. sources | $ 1,047,909 | $ 1,321,511 | $ 1,119,627 |
Non-U.S. sources | 4,555,663 | 3,089,019 | 3,178,074 |
INCOME BEFORE INCOME TAXES | $ 5,603,572 | $ 4,410,530 | $ 4,297,701 |
INCOME TAXES - Reconciliation o
INCOME TAXES - Reconciliation of U.S. Federal Statutory Income Tax Rate to Effective Income Tax Rate (Details) | 12 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
Income Tax Disclosure [Abstract] | ||||
U.S. federal statutory income tax rate | 35.00% | 35.00% | 35.00% | |
U.S. state and local taxes, net | 1.10% | 1.30% | 1.30% | |
Non-U.S. operations taxed at lower rates | (12.00%) | (15.40%) | (12.10%) | |
Final determinations (1) | [1] | (2.10%) | (5.10%) | (1.70%) |
Other net activity in unrecognized tax benefits | 2.70% | 3.20% | 3.00% | |
Change in indefinite reinvestment assertion | (0.60%) | 5.60% | 0.00% | |
Effective Income Tax Rate Reconciliation, change in permanent reinvestment assertion | (3.40%) | 0.00% | 0.00% | |
Other, net | 1.70% | 1.20% | 0.60% | |
Effective income tax rate | 22.40% | 25.80% | 26.10% | |
[1] | Final determinations include final agreements with tax authorities and expirations of statutes of limitations. |
INCOME TAXES - Components of De
INCOME TAXES - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Deferred tax assets | ||
Pensions | $ 306,776 | $ 278,944 |
Revenue recognition | 113,890 | 112,113 |
Compensation and benefits | 797,707 | 558,127 |
Share-based compensation | 262,508 | 262,040 |
Tax credit carryforwards | 1,161,084 | 1,179,988 |
Net operating loss carryforwards | 131,018 | 119,463 |
Depreciation and amortization | 97,015 | 97,218 |
Deferred amortization deductions | 687,351 | 687,406 |
Indirect effects of unrecognized tax benefits | 354,544 | 357,031 |
Other | 139,105 | 157,449 |
Deferred Tax Assets, Gross, Total | 4,050,998 | 3,809,779 |
Valuation allowance | (1,243,207) | (1,229,146) |
Total deferred tax assets | 2,807,791 | 2,580,633 |
Deferred tax liabilities | ||
Revenue recognition | (109,749) | (75,352) |
Depreciation and amortization | (205,431) | (167,467) |
Investments in subsidiaries | (330,673) | (213,351) |
Other | (195,646) | (125,907) |
Total deferred tax liabilities | (841,499) | (582,077) |
Net deferred tax assets | $ 1,966,292 | $ 1,998,556 |
INCOME TAXES - Reconciliation58
INCOME TAXES - Reconciliation of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Balance, beginning of year | $ 997,935 | $ 1,333,606 |
Additions for tax positions related to the current year | 163,097 | 155,637 |
Additions for tax positions related to prior years | 126,353 | 97,694 |
Reductions for tax positions related to prior years | (63,782) | (470,147) |
Statute of limitations expirations | (208,295) | (28,116) |
Settlements with tax authorities | (3,703) | (33,743) |
Foreign currency translation | (25,850) | (56,996) |
Balance, end of year | $ 985,755 | $ 997,935 |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Income Taxes [Line Items] | |||
Undistributed Earnings of Foreign Subsidiaries | $ 1,297,932 | ||
Unrecognized deferred tax liability from undistributed earnings of foreign subsidiaries | 116,000 | ||
Tax holiday income tax benefits | 100,000 | $ 111,000 | $ 91,000 |
Deferred tax assets valuation allowance | 1,243,207 | 1,229,146 | |
Increase in deferred tax valuation allowance | 14,061 | ||
Tax credit carryforwards | 1,161,084 | 1,179,988 | |
Operating Loss Carryforwards | 518,475 | ||
Unrecognized tax benefits | 985,755 | 997,935 | 1,333,606 |
Unrecognized tax benefits potential to favorably impact effective tax rate | 508,313 | 534,929 | |
Unrecognized tax benefits from adjustments to equity | 477,442 | 463,006 | |
Unrecognized tax benefits, interest and penalties expense | 8,681 | (17,373) | $ 16,370 |
Unrecognized tax benefits, interest and penalties accrued pre-tax | 109,269 | 101,843 | |
Unrecognized tax benefits, interest and penalties accrued net of tax benefits | 95,057 | $ 84,530 | |
Decrease in Unrecognized Tax Benefits is Reasonably Possible | 562,000 | ||
Increase in Unrecognized Tax Benefits is Reasonably Possible | 169,000 | ||
Tax Credit Carryforwards Expiring Between 2017 and 2026 | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 30,288 | ||
Tax Credit Carryforwards Expiring Between 2027 and 2036 | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 828 | ||
Tax Credit Carryforwards with Indefinite Carryforward Period | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 1,129,968 | ||
Net Operating Loss Carryforwards Expiring Between 2017 and 2026 | |||
Income Taxes [Line Items] | |||
Operating Loss Carryforwards | 254,978 | ||
Net Operating Loss Carryforwards Expiring Between 2027 and 2036 | |||
Income Taxes [Line Items] | |||
Operating Loss Carryforwards | 2,130 | ||
Net Operating Loss Carryforwards with Indefinite Carryforward Period | |||
Income Taxes [Line Items] | |||
Operating Loss Carryforwards | $ 261,367 |
RETIREMENT AND PROFIT SHARING60
RETIREMENT AND PROFIT SHARING PLANS - Weighted-Average Assumptions Used to Determine the Fiscal Year-end Defined Benefit Pension Obligations (Details) | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate for determining projected benefit obligation | 3.50% | 4.50% | 4.25% |
Discount rate for determining net periodic pension expense | 4.50% | 4.25% | 5.00% |
Long term rate of return on plan assets | 4.75% | 5.50% | 5.50% |
Rate of increase in future compensation for determining projected benefit obligation | 2.57% | 3.65% | 3.65% |
Rate of increase in future compensation for determining net periodic pension expense | 3.60% | 3.65% | 3.60% |
Non-U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate for determining projected benefit obligation | 2.40% | 3.47% | 3.53% |
Discount rate for determining net periodic pension expense | 3.47% | 3.53% | 4.18% |
Long term rate of return on plan assets | 3.99% | 4.55% | 4.79% |
Rate of increase in future compensation for determining projected benefit obligation | 3.47% | 3.56% | 3.75% |
Rate of increase in future compensation for determining net periodic pension expense | 3.56% | 3.75% | 3.79% |
U.S. and Non-U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate for determining projected benefit obligation | 3.51% | 4.46% | 4.25% |
Discount rate for determining net periodic pension expense | 4.46% | 4.25% | 4.96% |
Long term rate of return on plan assets | 4.54% | 5.05% | 4.87% |
RETIREMENT AND PROFIT SHARING61
RETIREMENT AND PROFIT SHARING PLANS - Changes in the Defined Benefit Pension Obligations, Plan Assets and Funded Status of Material Defined Benefit Pension Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
Reconciliation of benefit obligation | ||
Pension settlement | $ 179,938 | |
Reconciliation of fair value of plan assets | ||
Pension settlement | 279,571 | |
Amounts recognized in the Consolidated Balance Sheets | ||
Non-current liabilities | $ (1,494,789) | (1,108,623) |
Total | (50,410) | |
U.S. Plans | ||
Reconciliation of benefit obligation | ||
Benefit obligation, beginning of year | 1,635,744 | 1,909,651 |
Service cost | 7,305 | 8,899 |
Interest cost | 63,470 | 76,969 |
Participant contributions | 0 | 0 |
Acquisitions/divestitures/transfers | 0 | 0 |
Amendments | 0 | 0 |
Curtailment | 0 | 0 |
Pension settlement | 0 | 279,571 |
Special termination benefits | 0 | 0 |
Actuarial (gain) loss | 371,294 | (35,478) |
Benefits paid | (47,807) | (44,726) |
Exchange rate impact | 0 | 0 |
Benefit obligation, end of year | 2,030,006 | 1,635,744 |
Reconciliation of fair value of plan assets | ||
Fair value of plan assets, beginning of year | 1,596,186 | 1,883,789 |
Actual return on plan assets | 242,112 | 25,580 |
Acquisitions/divestitures/transfers | 0 | 0 |
Employer contributions | 10,944 | 11,114 |
Participant contributions | 0 | 0 |
Pension settlement | 0 | (279,571) |
Benefits paid | (47,807) | (44,726) |
Exchange rate impact | 0 | 0 |
Fair value of plan assets, end of year | 1,801,435 | 1,596,186 |
Funded status, end of year | (228,571) | (39,558) |
Amounts recognized in the Consolidated Balance Sheets | ||
Non-current assets | 0 | 102,686 |
Current liabilities | (11,091) | (11,148) |
Non-current liabilities | (217,480) | (131,096) |
Funded status, end of year | (228,571) | (39,558) |
Non-U.S. Plans | ||
Reconciliation of benefit obligation | ||
Benefit obligation, beginning of year | 1,439,225 | 1,519,007 |
Service cost | 72,502 | 67,471 |
Interest cost | 43,827 | 48,199 |
Participant contributions | 9,857 | 6,081 |
Acquisitions/divestitures/transfers | 41,719 | (364) |
Amendments | (1,561) | 79 |
Curtailment | (689) | 0 |
Pension settlement | 0 | 0 |
Special termination benefits | 1,332 | 0 |
Actuarial (gain) loss | 261,252 | 14,618 |
Benefits paid | (52,549) | (39,685) |
Exchange rate impact | (56,805) | (176,181) |
Benefit obligation, end of year | 1,758,110 | 1,439,225 |
Reconciliation of fair value of plan assets | ||
Fair value of plan assets, beginning of year | 982,471 | 1,032,378 |
Actual return on plan assets | 97,638 | 39,797 |
Acquisitions/divestitures/transfers | 24,052 | 0 |
Employer contributions | 71,046 | 52,033 |
Participant contributions | 9,857 | 6,081 |
Pension settlement | 0 | 0 |
Benefits paid | (52,549) | (39,685) |
Exchange rate impact | (51,361) | (108,133) |
Fair value of plan assets, end of year | 1,081,154 | 982,471 |
Funded status, end of year | (676,956) | (456,754) |
Amounts recognized in the Consolidated Balance Sheets | ||
Non-current assets | 59,335 | 64,690 |
Current liabilities | (16,691) | (10,287) |
Non-current liabilities | (719,600) | (511,157) |
Funded status, end of year | (676,956) | (456,754) |
U.S. and Non-U.S. Plans | ||
Reconciliation of benefit obligation | ||
Benefit obligation, beginning of year | 403,095 | 375,312 |
Service cost | 18,565 | 17,784 |
Interest cost | 15,618 | 15,602 |
Participant contributions | 0 | 0 |
Acquisitions/divestitures/transfers | 0 | 0 |
Amendments | 0 | 0 |
Curtailment | 84 | 0 |
Pension settlement | 0 | 0 |
Special termination benefits | 0 | 0 |
Actuarial (gain) loss | 74,213 | 14,180 |
Benefits paid | (11,143) | (11,186) |
Exchange rate impact | 532 | (8,597) |
Benefit obligation, end of year | 500,964 | 403,095 |
Reconciliation of fair value of plan assets | ||
Fair value of plan assets, beginning of year | 24,643 | 29,484 |
Actual return on plan assets | 3,856 | 92 |
Acquisitions/divestitures/transfers | 0 | 0 |
Employer contributions | 9,774 | 6,253 |
Participant contributions | 0 | 0 |
Pension settlement | 0 | 0 |
Benefits paid | (11,143) | (11,186) |
Exchange rate impact | 0 | 0 |
Fair value of plan assets, end of year | 27,130 | 24,643 |
Funded status, end of year | (473,834) | (378,452) |
Amounts recognized in the Consolidated Balance Sheets | ||
Non-current assets | 0 | 0 |
Current liabilities | (1,579) | (1,416) |
Non-current liabilities | (472,255) | (377,036) |
Funded status, end of year | $ (473,834) | $ (378,452) |
RETIREMENT AND PROFIT SHARING62
RETIREMENT AND PROFIT SHARING PLANS - Pre-Tax Accumulated Net Actuarial Loss and Prior Service Cost (credit) Recognized in Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Net loss | $ (467,000) | |
U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net loss | 592,873 | $ 397,065 |
Prior service (credit) cost | 0 | 0 |
Accumulated other comprehensive loss, pre-tax | 592,873 | 397,065 |
Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net loss | 480,408 | 295,098 |
Prior service (credit) cost | (6,860) | (7,281) |
Accumulated other comprehensive loss, pre-tax | 473,548 | 287,817 |
U.S. and Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net loss | 143,777 | 75,224 |
Prior service (credit) cost | 31,569 | 35,173 |
Accumulated other comprehensive loss, pre-tax | $ 175,346 | $ 110,397 |
RETIREMENT AND PROFIT SHARING63
RETIREMENT AND PROFIT SHARING PLANS - Estimated Amounts that will be Amortized from Accumulated Other Comprehensive Loss (Details) $ in Thousands | 12 Months Ended |
Aug. 31, 2016USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |
Total | $ (50,410) |
RETIREMENT AND PROFIT SHARING64
RETIREMENT AND PROFIT SHARING PLANS - Accumulated Benefit Obligation for Material Defined Benefit Pension Plans (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | $ 2,017,437 | $ 1,626,972 |
Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | $ 1,592,598 | $ 1,313,946 |
RETIREMENT AND PROFIT SHARING65
RETIREMENT AND PROFIT SHARING PLANS - Information for Material Defined Benefit Pension Plans with Projected Benefit Obligations in Excess of Plan Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | $ 2,030,006 | $ 142,244 |
Fair value of plan assets | 1,801,435 | 0 |
Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 1,400,510 | 757,741 |
Fair value of plan assets | 664,220 | 236,297 |
U.S. and Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Projected benefit obligation | 500,964 | 403,095 |
Fair value of plan assets | $ 27,130 | $ 24,643 |
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 4.50% |
RETIREMENT AND PROFIT SHARING66
RETIREMENT AND PROFIT SHARING PLANS - Information for Material Defined Benefit Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | $ 2,017,437 | $ 142,244 |
Fair value of plan assets | 1,801,435 | 0 |
Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Accumulated benefit obligation | 1,233,952 | 629,524 |
Fair value of plan assets | $ 627,738 | $ 204,076 |
RETIREMENT AND PROFIT SHARING67
RETIREMENT AND PROFIT SHARING PLANS - Target Allocation for Fiscal 2017 and Weighted-Average Plan Assets Allocations by Asset Category, for Material Defined Benefit Pension Plans (Details) | 12 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 100.00% | |
Actual Plan Asset Allocation | 100.00% | 100.00% |
Non-U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 100.00% | |
Actual Plan Asset Allocation | 100.00% | 100.00% |
Equity securities | U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 0.00% | |
Actual Plan Asset Allocation | 0.00% | 10.00% |
Equity securities | Non-U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 36.00% | |
Actual Plan Asset Allocation | 29.00% | 30.00% |
Debt securities | U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 77.00% | |
Actual Plan Asset Allocation | 75.00% | 87.00% |
Debt securities | Non-U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 51.00% | |
Actual Plan Asset Allocation | 58.00% | 56.00% |
Cash and short-term investments | U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 23.00% | |
Actual Plan Asset Allocation | 25.00% | 3.00% |
Cash and short-term investments | Non-U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 3.00% | |
Actual Plan Asset Allocation | 2.00% | 3.00% |
Insurance contracts | U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 0.00% | |
Actual Plan Asset Allocation | 0.00% | 0.00% |
Insurance contracts | Non-U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 7.00% | |
Actual Plan Asset Allocation | 7.00% | 6.00% |
Other | U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 0.00% | |
Actual Plan Asset Allocation | 0.00% | 0.00% |
Other | Non-U.S. Plans | ||
2017 Target Allocation | ||
2017 Target Allocation | 3.00% | |
Actual Plan Asset Allocation | 4.00% | 5.00% |
RETIREMENT AND PROFIT SHARING68
RETIREMENT AND PROFIT SHARING PLANS - Fair Values of the Material U.S. and Non-U.S. Defined Benefit Pension Plans Assets (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 |
U.S. and Non-U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | $ 27,130 | $ 24,643 | $ 29,484 |
Non-U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 1,081,154 | $ 982,471 | $ 1,032,378 |
Non-US | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 1,081,154 | ||
Non-US | Mutual fund equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 311,324 | ||
Non-US | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 91,745 | ||
Non-US | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 540,080 | ||
Non-US | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 23,430 | ||
Non-US | Insurance contracts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 72,525 | ||
Non-US | Other | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 42,050 | ||
Non-US | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 126,735 | ||
Non-US | Level 1 | Mutual fund equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 1 | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 91,745 | ||
Non-US | Level 1 | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 15,608 | ||
Non-US | Level 1 | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 19,382 | ||
Non-US | Level 1 | Insurance contracts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 1 | Other | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 954,419 | ||
Non-US | Level 2 | Mutual fund equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 311,324 | ||
Non-US | Level 2 | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 2 | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 524,472 | ||
Non-US | Level 2 | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 4,048 | ||
Non-US | Level 2 | Insurance contracts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 72,525 | ||
Non-US | Level 2 | Other | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 42,050 | ||
Non-US | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 3 | Mutual fund equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 3 | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 3 | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 3 | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 3 | Insurance contracts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
Non-US | Level 3 | Other | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 1,828,565 | ||
United States | U.S. government, state and local debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 359,583 | ||
United States | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 38,232 | ||
United States | U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 614,136 | ||
United States | Non-U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 79,124 | ||
United States | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 286,360 | ||
United States | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 451,130 | ||
United States | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 286,360 | ||
United States | Level 1 | U.S. government, state and local debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 1 | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 1 | U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 1 | Non-U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 1 | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 286,360 | ||
United States | Level 1 | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 1,542,205 | ||
United States | Level 2 | U.S. government, state and local debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 359,583 | ||
United States | Level 2 | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 38,232 | ||
United States | Level 2 | U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 614,136 | ||
United States | Level 2 | Non-U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 79,124 | ||
United States | Level 2 | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 2 | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 451,130 | ||
United States | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 3 | U.S. government, state and local debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 3 | Non-U.S. government debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 3 | U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 3 | Non-U.S. corporate debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 3 | Mutual fund debt securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | 0 | ||
United States | Level 3 | Cash and short-term investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total pension plan assets | $ 0 |
RETIREMENT AND PROFIT SHARING69
RETIREMENT AND PROFIT SHARING PLANS - Estimated Future Benefit Payments (Details) $ in Thousands | Aug. 31, 2016USD ($) | |
U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2,017 | $ 46,881 | [1] |
2,018 | 49,865 | [1] |
2,019 | 53,277 | [1] |
2,020 | 56,950 | [1] |
2,021 | 61,361 | [1] |
2022-2026 | 373,921 | [1] |
Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2,017 | 44,537 | |
2,018 | 50,094 | |
2,019 | 55,964 | |
2,020 | 66,225 | |
2,021 | 75,166 | |
2022-2026 | 416,507 | |
U.S. and Non-U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
2,017 | 10,259 | |
2,018 | 11,469 | |
2,019 | 12,598 | |
2,020 | 13,942 | |
2,021 | 15,830 | |
2022-2026 | $ 110,756 | |
[1] | (1) Excludes the impact of the anticipated U.S. pension plan termination noted below. |
RETIREMENT AND PROFIT SHARING70
RETIREMENT AND PROFIT SHARING PLANS - Additional Information (Details) | Mar. 18, 2016employee | Aug. 31, 2016USD ($) | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) |
Defined Benefit Plan Disclosure [Line Items] | ||||
Pension settlement | $ 279,571,000 | |||
Pension settlement | 179,938,000 | |||
Pension settlement charge | $ 0 | 64,382,000 | $ 0 | |
Pension expense | 94,827,000 | 143,968,000 | 87,422,000 | |
Contributions to U.S. and non-U.S. defined benefit pension plans, cash funding for retiree medical plans and benefit payments related to the unfunded frozen plan for former pre-incorporation partners | 80,077,000 | |||
Total expenses recorded for the United States and the United Kingdom defined contribution retirement plans | 419,932,000 | 397,123,000 | $ 331,801,000 | |
CompanysU.S.PensionPlanActiveAndTerminatedEmployeesWhoAreNoLongerAccruingBenefitsinthePensionPlan | employee | 16,200 | |||
ActiveEmployeesintheU.S.PensionPlanWhoAreCurrentlyEligibletoAccrueBenefitsUnderCreationofaSeparateDefinedBenefitPlan | employee | 600 | |||
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | $ 467,000,000 | |||
U.S. and Non-U.S. Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed for Next Fiscal Year | 6.80% | |||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 4.50% | |||
Pension settlement | $ 0 | 0 | ||
Pension settlement | 0 | 0 | ||
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | (143,777,000) | (75,224,000) | ||
Defined Benefit Plan, Effect of One-Percentage Point Change in Assumed Health Care Cost Trend Rates [Abstract] | ||||
Defined Benefit Plan, Effect of One Percentage Point Increase on Accumulated Postretirement Benefit Obligation | 81,422 | |||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Accumulated Postretirement Benefit Obligation | 62,615 | |||
U.S. Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Pension settlement | 0 | (279,571,000) | ||
Pension settlement | 0 | 279,571,000 | ||
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | $ (592,873,000) | $ (397,065,000) | ||
Minimum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
DefinedBenefitPlanInvestmentsEstimatedLiquidationPeriod | 12 months | |||
Maximum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
DefinedBenefitPlanInvestmentsEstimatedLiquidationPeriod | 18 months |
SHARE-BASED COMPENSATION - Summ
SHARE-BASED COMPENSATION - Summary of Information with Respect to Share-Based Compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Total share-based compensation expense included in Net income | $ 758,176 | $ 680,329 | $ 671,301 |
Income tax benefit related to share-based compensation included in Net income | $ 236,423 | $ 212,019 | $ 206,007 |
SHARE-BASED COMPENSATION - Rest
SHARE-BASED COMPENSATION - Restricted Share Unit Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |||
Number of Restricted Share Units | |||||
Nonvested balance as of August 31, 2013 (in shares) | 24,733,581 | ||||
Granted (in shares) (1) | [1] | 9,699,688 | |||
Vested (in shares) (2) | [2] | (10,987,988) | |||
Forfeited (in shares) | (1,481,576) | ||||
Nonvested balance as of August 31, 2014 (in shares) | 21,963,705 | 24,733,581 | |||
Weighted Average Grant-Date Fair Value | |||||
Nonvested balance as of August 31, 2013 (in dollars per share) | $ 71.83 | ||||
Granted (in dollars per share) (1) | 105.16 | [1] | $ 89.63 | $ 80.61 | |
Vested (in dollars per share) (2) | [2] | 72.50 | |||
Forfeited (in dollars per share) | 77.82 | ||||
Nonvested balance as of August 31, 2014 (in dollars per share) | $ 85.81 | $ 71.83 | |||
Vested, grant-date fair value | $ 796,620 | $ 581,936 | $ 628,999 | ||
[1] | 2016, 2015 and 2014 was $105.16, $89.63 and $80.61, respectively. | ||||
[2] | 2016, 2015 and 2014 was $796,620, $581,936 and $628,999, respectively. |
SHARE-BASED COMPENSATION - Stoc
SHARE-BASED COMPENSATION - Stock Option Activity (Details) | 12 Months Ended |
Aug. 31, 2016$ / sharesshares | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | shares | 23,310 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ / shares | $ 37.46 |
Weighted Average Remaining Contractual Term | |
Options outstanding as of August 31, (in years) | 2 years 6 months |
SHARE-BASED COMPENSATION - Addi
SHARE-BASED COMPENSATION - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized under SIP plan | 83,000,000 | ||
Shares available for future grants under SIP plan | 23,167,880 | ||
Restricted Share Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense related to nonvested awards not yet recognized | $ 677,433,000 | ||
Compensation expense related to nonvested awards not yet recognized, expected weighted average period of recognition | 1 year 4 months | ||
Restricted share units vested but not yet delivered | 930,652 | ||
Restricted Share Units | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation arrangement vesting period | 2 years | ||
Restricted Share Units | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation arrangement vesting period | 7 years | ||
ESPP 2,010 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum employee deferral into share purchase plan per offering | $ 7,500 | ||
Percentage of senior executive compensation contributed into share purchase plan maximum | 30.00% | ||
Percentage of shares purchased granted as restricted share units granted under the V.E.I.P. | 50.00% | ||
Number of shares authorized employee share purchase plan | 90,000,000 | ||
Shares issued under employee share purchase plan total | 42,579,575 | ||
Shares issued, during period, under the employee share purchase plan | 5,850,113 | 6,232,031 | 7,067,832 |
ESPP 2010 | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of employee compensation contributed into share purchase plan | 1.00% | ||
ESPP 2010 | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of employee compensation contributed into share purchase plan | 10.00% |
SHAREHOLDERS' EQUITY - Addition
SHAREHOLDERS' EQUITY - Additional Information (Detail) | 12 Months Ended | |||
Aug. 31, 2016$ / sharesshares | Aug. 31, 2016€ / sharesshares | Aug. 31, 2015$ / sharesshares | Aug. 31, 2015€ / sharesshares | |
Class of Stock [Line Items] | ||||
Number of shares used to redeem one share (in shares) | 1 | |||
Ordinary Shares | ||||
Class of Stock [Line Items] | ||||
Ordinary shares, shares authorized (in shares) | 40,000 | 40,000 | 40,000 | 40,000 |
Ordinary shares, par value (in euros per share) | € / shares | € 1 | € 1 | ||
Class A Ordinary Shares | ||||
Class of Stock [Line Items] | ||||
Ordinary shares, shares authorized (in shares) | 20,000,000,000 | 20,000,000,000 | 20,000,000,000 | 20,000,000,000 |
Ordinary shares, par value (in euros per share) | $ / shares | $ 0.0000225 | $ 0.0000225 | ||
Common Stock, Voting Rights | 1 | |||
Class X Ordinary Shares | ||||
Class of Stock [Line Items] | ||||
Ordinary shares, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 |
Ordinary shares, par value (in euros per share) | $ / shares | $ 0.0000225 | $ 0.0000225 | ||
Common Stock, Voting Rights | 1 | |||
SCA Class I Common Shares | ||||
Class of Stock [Line Items] | ||||
Common Stock, Voting Rights | 1 |
MATERIAL TRANSACTIONS AFFECTI76
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY - Company's Share Purchase Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
Share Purchase and Redemption Activity [Line Items] | ||||
Accenture plc Class A Ordinary Shares (in shares) | 23,847,521 | |||
Accenture plc Class A Ordinary Shares | $ 2,532,796 | $ 2,273,933 | $ 2,403,373 | |
Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc. Exchangeable Shares (in shares) | 653,222 | |||
Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. Exchangeable Shares | $ 72,193 | $ 179,056 | $ 156,061 | |
Open-market share purchases (1) | ||||
Share Purchase and Redemption Activity [Line Items] | ||||
Accenture plc Class A Ordinary Shares (in shares) | [1] | 19,989,726 | ||
Accenture plc Class A Ordinary Shares | [1] | $ 2,122,066 | ||
Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc. Exchangeable Shares (in shares) | [1] | 0 | ||
Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. Exchangeable Shares | [1] | $ 0 | ||
Other share purchase programs | ||||
Share Purchase and Redemption Activity [Line Items] | ||||
Accenture plc Class A Ordinary Shares (in shares) | 0 | |||
Accenture plc Class A Ordinary Shares | $ 0 | |||
Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc. Exchangeable Shares (in shares) | 653,222 | |||
Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. Exchangeable Shares | $ 72,193 | |||
Other purchases (2) | ||||
Share Purchase and Redemption Activity [Line Items] | ||||
Accenture plc Class A Ordinary Shares (in shares) | [2] | 3,857,795 | ||
Accenture plc Class A Ordinary Shares | [2] | $ 410,730 | ||
Accenture SCA Class I Common Shares and Accenture Canada Holdings Inc. Exchangeable Shares (in shares) | [2] | 0 | ||
Accenture Holdings plc ordinary shares and Accenture Canada Holdings Inc. Exchangeable Shares | [2] | $ 0 | ||
[1] | The Company conducts a publicly announced open-market share purchase program for Accenture plc Class A ordinary shares. These shares are held as treasury shares by Accenture plc and may be utilized to provide for select employee benefits, such as equity awards to the Company’s employees. | |||
[2] | 2016, as authorized under the Company’s various employee equity share plans, the Company acquired Accenture plc Class A ordinary shares primarily via share withholding for payroll tax obligations due from employees and former employees in connection with the delivery of Accenture plc Class A ordinary shares under those plans. These purchases of shares in connection with employee share plans do not affect the Company’s aggregate available authorization for the Company’s publicly announced open-market share purchase and the other share purchase programs. |
MATERIAL TRANSACTIONS AFFECTI77
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY - Dividend Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Dividends [Line Items] | |||
Dividend Per Share | $ 2.20 | $ 2.04 | $ 1.86 |
Cash Outlay | $ 1,438,138 | ||
Dividend Payment November 2015 [Member] | |||
Dividends [Line Items] | |||
Dividend Payment Date Day Month And Year | Nov. 13, 2015 | ||
Dividend Per Share | $ 1.10 | ||
Cash Outlay | $ 720,676 | ||
Dividend Payment May 2016 [Member] | |||
Dividends [Line Items] | |||
Dividend Payment Date Day Month And Year | May 13, 2016 | ||
Dividend Per Share | $ 1.10 | ||
Cash Outlay | $ 717,462 | ||
Accenture Holdings plc Ordinary Shares and Accenture Canada Holdings Inc Exchangeable Shares | |||
Dividends [Line Items] | |||
Cash Outlay | $ 65,959 | ||
Accenture Holdings plc Ordinary Shares and Accenture Canada Holdings Inc Exchangeable Shares | Dividend Payment November 2015 [Member] | |||
Dividends [Line Items] | |||
Dividend Payment Date Of Record Day Month And Year | Oct. 13, 2015 | ||
Cash Outlay | $ 33,391 | ||
Accenture Holdings plc Ordinary Shares and Accenture Canada Holdings Inc Exchangeable Shares | Dividend Payment May 2016 [Member] | |||
Dividends [Line Items] | |||
Dividend Payment Date Of Record Day Month And Year | Apr. 12, 2016 | ||
Cash Outlay | $ 32,568 | ||
Accenture plc Class A Ordinary Shares | |||
Dividends [Line Items] | |||
Cash Outlay | $ 1,372,179 | ||
Accenture plc Class A Ordinary Shares | Dividend Payment November 2015 [Member] | |||
Dividends [Line Items] | |||
Dividend Payment Date Of Record Day Month And Year | Oct. 16, 2015 | ||
Cash Outlay | $ 687,285 | ||
Accenture plc Class A Ordinary Shares | Dividend Payment May 2016 [Member] | |||
Dividends [Line Items] | |||
Dividend Payment Date Of Record Day Month And Year | Apr. 15, 2016 | ||
Cash Outlay | $ 684,894 |
MATERIAL TRANSACTIONS AFFECTI78
MATERIAL TRANSACTIONS AFFECTING SHAREHOLDERS' EQUITY - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | Sep. 27, 2016 | Aug. 31, 2016 |
Equity [Abstract] | ||
TreasuryStockSharesRetire | 163,015,507,000 | |
Cancellation of treasury shares | $ 0 | |
Aggregate available authorization for open market share purchase program | $ 5,386,517 | |
Accenture plc Class A ordinary shares issued upon redemption of Accenture SCA Class I common shares | 775,023 | |
Accenture Holdings plc ordinary [Member] | Dividend Declared | ||
Dividends Payable [Line Items] | ||
Cash dividend declared date | Sep. 28, 2016 | |
Cash dividend declared | $ 1.21 | |
Cash dividend record date | Oct. 18, 2016 | |
Cash dividend payment date | Nov. 15, 2016 | |
Class A Ordinary Shares | Dividend Declared | ||
Dividends Payable [Line Items] | ||
Cash dividend declared date | Sep. 27, 2016 | |
Cash dividend declared | $ 1.21 | |
Cash dividend record date | Oct. 21, 2016 | |
Cash dividend payment date | Nov. 15, 2016 | |
Treasury Stock [Member] | ||
Equity [Abstract] | ||
Cancellation of treasury shares | $ 11,199,016 |
LEASE COMMITMENTS - Rental Expe
LEASE COMMITMENTS - Rental Expense, including Operating Costs and Taxes and Sublease Income from Third Parties (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
Leases [Abstract] | |||
Rental expense | $ 578,149 | $ 547,206 | $ 539,711 |
Sublease income from third parties | $ (26,403) | $ (27,293) | $ (29,482) |
LEASE COMMITMENTS - Future Mini
LEASE COMMITMENTS - Future Minimum Rental Commitments under Non-cancelable Operating Leases (Details) $ in Thousands | Aug. 31, 2016USD ($) |
Operating lease payments | |
2,017 | $ 516,622 |
2,018 | 445,853 |
2,019 | 375,393 |
2,020 | 318,828 |
2,021 | 257,949 |
Thereafter | 902,659 |
Operating lease payments | 2,817,304 |
Operating sublease income | |
2,017 | (16,147) |
2,018 | (15,410) |
2,019 | (13,996) |
2,020 | (12,324) |
2,021 | (11,074) |
Thereafter | (50,350) |
Operating sublease income | $ (119,301) |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Additional Information (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Aug. 31, 2015 |
Loss Contingencies [Line Items] | ||
Fair value of Avanade redeemable common stock and options | $ 54,221 | $ 79,023 |
Expressly limited performance guarantee | 749,000 | 655,000 |
Portion of guarantee not recoverable | $ 113,000 | $ 43,000 |
SEGMENT REPORTING - Company's R
SEGMENT REPORTING - Company's Reportable Operating Segments (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Aug. 31, 2016USD ($) | May 31, 2016USD ($) | Feb. 29, 2016USD ($) | Nov. 30, 2015USD ($) | Aug. 31, 2015USD ($) | May 31, 2015USD ($) | Feb. 28, 2015USD ($) | Nov. 30, 2014USD ($) | Aug. 31, 2016USD ($) | Aug. 31, 2015USD ($) | Aug. 31, 2014USD ($) | |||
Segment Reporting Information [Line Items] | |||||||||||||
Number of Reportable Segments | 5 | ||||||||||||
Net revenues | $ 8,489,238 | $ 8,434,757 | $ 7,945,565 | $ 8,013,163 | $ 7,888,505 | $ 7,770,382 | $ 7,493,329 | $ 7,895,715 | $ 32,882,723 | $ 31,047,931 | $ 30,002,394 | [1] | |
Depreciation and amortization | [2] | 729,052 | 645,923 | 620,743 | |||||||||
Operating income | 1,195,198 | $ 1,305,943 | $ 1,088,044 | $ 1,221,260 | 1,093,608 | $ 1,133,519 | $ 1,021,033 | $ 1,187,709 | 4,810,445 | 4,435,869 | 4,300,512 | ||
Net assets | [3] | 3,904,223 | 3,620,335 | 3,904,223 | 3,620,335 | 3,428,413 | |||||||
Assets | 20,609,004 | 18,202,647 | 20,609,004 | 18,202,647 | |||||||||
Communications, Media & Technology | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net revenues | 6,615,717 | 6,349,372 | 5,923,821 | ||||||||||
Depreciation and amortization | [2] | 141,356 | 152,329 | 136,029 | |||||||||
Operating income | 965,574 | 871,388 | 770,166 | ||||||||||
Net assets | [3] | 923,764 | 798,623 | 923,764 | 798,623 | 926,952 | |||||||
Financial Services | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net revenues | 7,031,053 | 6,634,771 | 6,511,228 | ||||||||||
Depreciation and amortization | [2] | 139,518 | 128,413 | 139,759 | |||||||||
Operating income | 1,127,750 | 1,079,397 | 957,347 | ||||||||||
Net assets | [3] | 123,827 | 186,739 | 123,827 | 186,739 | 128,179 | |||||||
Health & Public Service | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net revenues | 5,986,878 | 5,462,550 | 5,021,692 | ||||||||||
Depreciation and amortization | [2] | 134,788 | 115,010 | 101,345 | |||||||||
Operating income | 807,012 | 700,960 | 678,663 | ||||||||||
Net assets | [3] | 892,569 | 812,278 | 892,569 | 812,278 | 791,084 | |||||||
Products | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net revenues | 8,395,038 | 7,596,051 | 7,394,980 | ||||||||||
Depreciation and amortization | [2] | 206,806 | 168,731 | 169,704 | |||||||||
Operating income | 1,282,461 | 1,082,351 | 991,844 | ||||||||||
Net assets | [3] | 1,281,551 | 1,158,953 | 1,281,551 | 1,158,953 | 974,546 | |||||||
Resources | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net revenues | 4,838,963 | 4,988,627 | 5,135,309 | ||||||||||
Depreciation and amortization | [2] | 106,584 | 81,440 | 73,906 | |||||||||
Operating income | 627,648 | 701,773 | 902,492 | ||||||||||
Net assets | [3] | 820,273 | 723,113 | 820,273 | 723,113 | 735,048 | |||||||
Other | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Net revenues | 15,074 | 16,560 | 15,364 | ||||||||||
Depreciation and amortization | [2] | 0 | 0 | 0 | |||||||||
Operating income | 0 | 0 | 0 | ||||||||||
Net assets | [3] | $ (137,761) | $ (59,371) | $ (137,761) | $ (59,371) | $ (127,396) | |||||||
[1] | Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. | ||||||||||||
[2] | Amounts include depreciation on property and equipment and amortization of intangible assets controlled by each operating segment, as well as an allocation for amounts they do not directly control. | ||||||||||||
[3] | The Company does not allocate total assets by operating segment. Operating segment assets directly attributed to an operating segment and provided to the chief operating decision maker include Receivables from clients, current and non-current Unbilled services, Deferred contract costs and current and non-current Deferred revenues. |
SEGMENT REPORTING - Information
SEGMENT REPORTING - Information Regarding Geography and Countries (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Aug. 31, 2016 | May 31, 2016 | Feb. 29, 2016 | Nov. 30, 2015 | Aug. 31, 2015 | May 31, 2015 | Feb. 28, 2015 | Nov. 30, 2014 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | [1] | |
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | $ 8,489,238 | $ 8,434,757 | $ 7,945,565 | $ 8,013,163 | $ 7,888,505 | $ 7,770,382 | $ 7,493,329 | $ 7,895,715 | $ 32,882,723 | $ 31,047,931 | $ 30,002,394 | |
Reimbursements | 476,342 | 534,287 | 451,488 | 452,821 | 476,006 | 504,684 | 438,261 | 447,542 | 1,914,938 | 1,866,493 | 1,872,284 | |
Revenues | 8,965,580 | $ 8,969,044 | $ 8,397,053 | $ 8,465,984 | 8,364,511 | $ 8,275,066 | $ 7,931,590 | $ 8,343,257 | 34,797,661 | 32,914,424 | 31,874,678 | |
Property and equipment, net as of August 31 | 956,542 | 801,884 | 956,542 | 801,884 | 793,444 | |||||||
North America | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | 15,653,290 | 14,209,387 | 12,796,846 | |||||||||
Reimbursements | 970,248 | 891,443 | 882,481 | |||||||||
Revenues | 16,623,538 | 15,100,830 | 13,679,327 | |||||||||
Property and equipment, net as of August 31 | 244,351 | 230,359 | 244,351 | 230,359 | 240,886 | |||||||
Europe | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | 11,448,361 | 10,929,572 | 11,254,953 | |||||||||
Reimbursements | 635,362 | 628,342 | 624,219 | |||||||||
Revenues | 12,083,723 | 11,557,914 | 11,879,172 | |||||||||
Property and equipment, net as of August 31 | 220,500 | 179,925 | 220,500 | 179,925 | 190,450 | |||||||
Growth Markets | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | 5,781,072 | 5,908,972 | 5,950,595 | |||||||||
Reimbursements | 309,328 | 346,708 | 365,584 | |||||||||
Revenues | 6,090,400 | 6,255,680 | 6,316,179 | |||||||||
Property and equipment, net as of August 31 | $ 491,691 | $ 391,600 | $ 491,691 | $ 391,600 | $ 362,108 | |||||||
[1] | Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. |
SEGMENT REPORTING - Consolidate
SEGMENT REPORTING - Consolidated Net Revenues by Country (Details) | 12 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | |
United States | |||
Segment Reporting Information [Line Items] | |||
Net revenues, percentage by country | 46.00% | 43.00% | 40.00% |
IRELAND | |||
Segment Reporting Information [Line Items] | |||
Net revenues, percentage by country | 1.00% | 1.00% | 1.00% |
SEGMENT REPORTING - Consolida85
SEGMENT REPORTING - Consolidated Property and Equipment, Net by Country (Details) | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 |
United States | |||
Segment Reporting Information [Line Items] | |||
Property and Equipment, net, percentage by country | 25.00% | 28.00% | 29.00% |
India | |||
Segment Reporting Information [Line Items] | |||
Property and Equipment, net, percentage by country | 25.00% | 26.00% | 22.00% |
IRELAND | |||
Segment Reporting Information [Line Items] | |||
Property and Equipment, net, percentage by country | 4.00% | 2.00% | 2.00% |
SEGMENT REPORTING - Net Revenue
SEGMENT REPORTING - Net Revenues by Type of Work (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Aug. 31, 2016 | May 31, 2016 | Feb. 29, 2016 | Nov. 30, 2015 | Aug. 31, 2015 | May 31, 2015 | Feb. 28, 2015 | Nov. 30, 2014 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | $ 8,489,238 | $ 8,434,757 | $ 7,945,565 | $ 8,013,163 | $ 7,888,505 | $ 7,770,382 | $ 7,493,329 | $ 7,895,715 | $ 32,882,723 | $ 31,047,931 | $ 30,002,394 | [1] |
Reimbursements | 476,342 | 534,287 | 451,488 | 452,821 | 476,006 | 504,684 | 438,261 | 447,542 | 1,914,938 | 1,866,493 | 1,872,284 | [1] |
Revenues | $ 8,965,580 | $ 8,969,044 | $ 8,397,053 | $ 8,465,984 | $ 8,364,511 | $ 8,275,066 | $ 7,931,590 | $ 8,343,257 | 34,797,661 | 32,914,424 | 31,874,678 | [1] |
Consulting | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | 17,867,891 | 16,203,915 | 15,737,661 | |||||||||
Outsourcing | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Net revenues | $ 15,014,832 | $ 14,844,016 | $ 14,264,733 | |||||||||
[1] | Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. |
QUARTERLY DATA (Details)
QUARTERLY DATA (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Aug. 31, 2016 | May 31, 2016 | Feb. 29, 2016 | Nov. 30, 2015 | Aug. 31, 2015 | May 31, 2015 | Feb. 28, 2015 | Nov. 30, 2014 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2014 | ||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||
Net revenues | $ 8,489,238 | $ 8,434,757 | $ 7,945,565 | $ 8,013,163 | $ 7,888,505 | $ 7,770,382 | $ 7,493,329 | $ 7,895,715 | $ 32,882,723 | $ 31,047,931 | $ 30,002,394 | [1] |
Reimbursements | 476,342 | 534,287 | 451,488 | 452,821 | 476,006 | 504,684 | 438,261 | 447,542 | 1,914,938 | 1,866,493 | 1,872,284 | [1] |
Revenues | 8,965,580 | 8,969,044 | 8,397,053 | 8,465,984 | 8,364,511 | 8,275,066 | 7,931,590 | 8,343,257 | 34,797,661 | 32,914,424 | 31,874,678 | [1] |
Cost of services before reimbursable expenses | 5,833,698 | 5,745,205 | 5,575,749 | 5,450,644 | 5,384,100 | 5,245,477 | 5,252,690 | 5,356,425 | 22,605,296 | 21,238,692 | 20,317,928 | |
Reimbursable expenses | 476,342 | 534,287 | 451,488 | 452,821 | 476,006 | 504,684 | 438,261 | 447,542 | 1,914,938 | 1,866,493 | 1,872,284 | |
Cost of services | 6,310,040 | 6,279,492 | 6,027,237 | 5,903,465 | 5,860,106 | 5,750,161 | 5,690,951 | 5,803,967 | 24,520,234 | 23,105,185 | 22,190,212 | |
OPERATING INCOME | 1,195,198 | 1,305,943 | 1,088,044 | 1,221,260 | 1,093,608 | 1,133,519 | 1,021,033 | 1,187,709 | 4,810,445 | 4,435,869 | 4,300,512 | |
Net Income | 1,130,781 | 950,283 | 1,399,858 | 868,681 | 788,125 | 850,230 | 743,192 | 892,242 | 4,349,603 | 3,273,789 | 3,175,958 | |
NET INCOME ATTRIBUTABLE TO ACCENTURE PLC | $ 1,069,226 | $ 897,247 | $ 1,326,520 | $ 818,899 | $ 737,628 | $ 793,697 | $ 690,726 | $ 831,530 | $ 4,111,892 | $ 3,053,581 | $ 2,941,498 | |
Weighted average Class A ordinary shares: | ||||||||||||
-Basic (in shares) | 622,555,642 | 623,725,913 | 626,523,793 | 626,463,124 | 624,715,181 | 625,969,418 | 628,254,759 | 628,439,218 | 624,797,820 | 626,799,586 | 634,216,250 | |
-Diluted (in shares) | 665,365,231 | 666,403,323 | 668,125,087 | 671,300,744 | 675,749,438 | 677,825,768 | 679,165,137 | 682,333,149 | 667,770,274 | 678,757,070 | 692,389,966 | |
Earnings per Class A ordinary share: | ||||||||||||
Basic earnings per share (in dollars per share) | $ 1.72 | $ 1.44 | $ 2.12 | $ 1.31 | $ 1.18 | $ 1.27 | $ 1.10 | $ 1.32 | $ 6.58 | $ 4.87 | $ 4.64 | |
Diluted earnings per share (in dollars per share) | 1.68 | 1.41 | 2.08 | 1.28 | 1.15 | 1.24 | 1.08 | 1.29 | 6.45 | 4.76 | $ 4.52 | |
Ordinary share price per share: | ||||||||||||
-High (in dollars per share) | 120.78 | 119.72 | 109.65 | 109.86 | 105.37 | 97.95 | 91.94 | 86.49 | 120.78 | 105.37 | ||
-Low (in dollars per share) | $ 108.66 | $ 101 | $ 91.40 | $ 91.68 | $ 88.43 | $ 86.40 | $ 81.66 | $ 73.98 | $ 91.40 | $ 73.98 | ||
[1] | Effective September 1, 2014, we revised the reporting of the Company’s geographic regions as follows: North America (the United States and Canada); Europe; and Growth Markets (Asia Pacific, Latin America, Africa, the Middle East, Russia and Turkey). Fiscal 2014 amounts have been reclassified to conform to the current period presentation. |