Accenture Plc. (ACN - Analyst Report) is consistently winning deals. This time the company won a deal from one of the leading brewery companies, Carlsberg, to implement a SAP solution which will support six functional businesses in Western Europe.
This system would be implemented to improve the efficiency and customer service throughout the European Union. The company did not disclose the financial terms of the contract which spans over a period of three years.
The system will be implemented during fiscal year 2015, when it will cover all key markets across Carlsberg’s European operations. This solution will replace a series of separate systems which now operate in the region. The new system is expected to benefit the sales, finance, production, logistics and the sourcing department of Carlsberg.
Apart from this, the company has secured another contract from the Network Rail Infrastructure Limited (Network Rail). The company is in the process of building new infrastructure technology to manage Network Rail’s passenger strength effectively over the next 30 years. The four-year framework agreement includes activities such as identification, building, designing and integration of the IT solution support to facilitate the entire railway operation.
Accenture has a dedicated team that focuses on securing deals at regular intervals. So, the company’s deal flow spans across various sectors. This business model provides the necessary support to the company’s revenue stream.
In spite of the regular deal wins, competition continues to increase at a steady pace. Accenture continues to face competition from companies like IBM Corp. (IBM - Analyst Report). Additionally, a strained spending environment as well as a broad European exposure may temper growth to some extent.
Currently, Accenture has a Zacks Rank #2 (Buy).
Investors may also consider the shares of SanDisk Corp. (SNDK - Analyst Report) and Information Services Group Inc. (III - Snapshot Report), both carrying a Zacks Rank #1 (Strong Buy).