Accenture shares decline 5 percent after revenue guidance cut

Sales increased 2.5 percent year-over-year as revenue from the communications, media, and technology segments fell 16 percent year-on-year. The CMT business has seen a decline of 8 percent year-on-year as strategy and consulting segments have seen growth lower than expectations.

Speaking post the earnings, Accenture said CMT business is unlikely to see growth in the guided range for at least the near term. Also, North America, which grew 2 percent year-on-year this quarter, is expected to be flat next quarter. Cloud momentum continued with double-digit growth. Managed Services continue to grow in double digits.

"Expect double-digit growth in managed services and expect consulting to decline in Q4 as well," Accenture said.

On order bookings, Accenture said, "Clients are holding on to small stuff while continuing to spend on large transformation projects. It will take some time to turn around. Booking is expected to be the same in Q4 as we did in Q3 with the same breakup."

In the third quarter, it reported total bookings of $17.2 billion, a growth of 2 percent year-on-year in $ and 4 percent in local currency.