Technology outsourcing and consulting firm Accenture has cut 7 percent of its senior executives and announced it will take charges that will lower its fiscal fourth-quarter profit. The New York-based company also said it is also taking steps to reduce office space as it seeks to drive growth, reported Reuters. Accenture said the cost-cutting actions would result in a pre-tax restructuring charge of around $247 million in the fiscal fourth quarter ending Aug 31. It continues to expect net revenues for the fourth quarter in the range of $5 billion to $5.2 billion with operating margins between 13.4 percent to 13.7 percent. The company said it expects the restructuring charges to reduce its earnings per share for both the fourth quarter and the full year by 24 cents.
Accenture Cuts Executive Ranks by 7 Percent
Accenture will cut its executive team by seven percent, expecting restructuring changes to reduce costs.
August 21, 2009