Coming due

“And as you look at the longer-term growth that we talked about, 4% type growth for the company longer term, I still feel good about that.”

“I feel good about our ability to grow profit greater than sales as we talked to in February.”

“We expect ROI to go up over time.”

“On an annualized basis, we expect ADG to negatively impact consolidated adjusted operating margin by approximately 15 basis points.”

“Intend to maintain our solid investment-grade credit ratings of triple B plus and Baa1.”

“We will continue to invest first in growth to support our 35% dividend payout target and return excess capital to shareholders through share repurchases.”

“And we expect to do this while maintaining the same revenue per patient and being neutral to diabetes gross margin.”

“while this is a strong after-tax return on an absolute basis, it's one of the many financial measures we expect will improve over time.”

“And based on our growth initiatives, ongoing efficiency work and continued opportunity to reduce the impact of inventory shrink, we expect to see additional progress in the years ahead.”

“We plan to open another 35 warehouses in fiscal year 2026, of which five are relocations.”

“We would therefore expect to continue to see a small decline in our renewal rate as this change in membership mix gets fully reflected in our renewal rate calculation.”

“So we'd expect 2026 to have capital expenditure that would grow over 2025 and probably a little bit higher than sales again for the same reasons in '26 or '25.”

“And I wouldn't see any reason why that would change dramatically in the future because that's working for us well in terms of continuing to grow our overall sales and grow our overall profitability in the markets in which we operate.”

“We currently expect to have 28 net new openings in fiscal year '26 and are targeting 30-plus new openings per year in the coming years.”

“We estimate CapEx for the full year will be approximately $6.5 billion as we continue to invest in building a larger pipeline of new warehouses, remodeling our existing warehouses to drive continued growth in high-volume buildings, expanding our depot network to support operations and enhancing the member digital experience.”

“We have a clear road map for future digital enhancements and believe these will allow us to continue to grow digitally-enabled sales at a faster pace than overall sales.”

“As far as the new openings coming up, it won't have a negative effect on our membership.”

“But we do think through some of the efficiencies that we create, we can -- we are slightly expanding margin, but it's only slightly because, as Ron mentioned, really where we see meaningful benefit.”

“I would say we will have a small impact as a result of the change with Medicare and the pricing of the drugs involved there, but nothing that I would call out to think about as a material headwind for us in terms of our top line sales results as we see it today.”

“We currently expect to have 26 net new openings in fiscal year 20 down 2 buildings from the prior call with those 2 buildings now set to open in fiscal year 27.”

“We estimate CapEx for the full year will be approximately $6.5 billion as we continue to invest in building a larger pipeline of new warehouses, remodeling our existing warehouses to drive continued growth in high volume buildings, expanding our depot network to support operational efficiency, and in enhancing the member digital experience.”

“we are anticipating further inflation in a number of nonfood categories as higher resin costs start to flow into cost of goods.”

“We're going to see the impact of our price increase really hit the customer base over the next one to two to three years.”

“We now have over 53,000 skilled data and AI practitioners against our goal of doubling our data and AI workforce from 40,000 to 80,000 by the end of fiscal year 2026.”

“against our goal of doubling our data and AI workforce from 40,000 to 80,000 by the end of FY 2026”

“For the full fiscal year 2026, based upon how the rates have been trending over the last few weeks, we currently assume the impact of FX on our results in U.S. dollars will be approximately positive 2% compared to fiscal 2025.”

“In FY26, we expect to increase our headcount overall across our three markets, including in the U.S. and Europe, reflecting the demand we see in our business.”

“In FY26, we expect to increase our headcount overall across all three markets, including in the U.S. and in Europe, reflecting the demand we see in our business.”

“For our guidance for FY26, both consulting and managed services are balanced. We see both of them in the low to mid-single-digit range.”

“For our Gen AI projects and the pure Gen AI that we were, or advanced AI that we've been talking about, we do see pricing that is accretive overall to Accenture's average.”

“We think that for overall, we expect savings of over $1 billion from our business optimization program, which we expect that we will reinvest in our business and in our people because it's so important for our future growth.”

“We expect to reinvest that while still delivering modest margin expansion.”

“We think it'll stay in the zone, in the low 90s to that, and it'll fluctuate a little bit.”

“Just quickly on federal, we do see procurement is now starting to pick up, although it's still slower than it has been in the past.”

“What I would tell you is, look, we expect it to grow across all markets. We don't have a specific number that we're giving you, but based upon the demand that we see, we expect our headcount to grow.”

“Remember, right now, our utilization is really a reflection of the kind of momentum in demand that we're seeing. You saw the bookings, right? Our utilization, we would expect to continue to move around in the low 90%, so we don't have a structural change in utilization due to AI.”

“For the 2026, we expect revenues to be in the range of $17.35 billion to $18 billion.”

“For the full fiscal 2026, based upon how the rates have been trending over the last few weeks, we continue to assume that the impact of FX on our results in U.S. Dollars will be approximately positive 2% compared to fiscal 2025.”

“For the full fiscal 2026, we continue to expect revenue to be in the range of 2% to 5% growth in local currency over fiscal 2025, including an estimated one impact from our federal business.”

“Excluding the impact of federal, our revenue is expected to be an estimated 3% to 6%.”

“This year, we continue to expect an inorganic contribution of about 1.5% and we continue to expect to invest about $3 billion in acquisitions this fiscal year with the potential to do more.”

“For adjusted operating margin, we continue to expect fiscal year 2026 to be 15.7% to 15.9%, a 10 to 30 basis point expansion over adjusted fiscal 2025 results.”

“We continue to expect our annual adjusted effective tax rate to be in the range of 23.5% to 25.5%.”

“We continue to expect our full year adjusted diluted earnings per share for fiscal 2026 to be in the range of $13.52 to $13.90 or 5% to 8% growth over adjusted fiscal 2025 results.”

“Due to slightly higher business optimization costs in the quarter, which were $58 million above our original Q1 estimates, we now expect GAAP EPS of $13.12 to $13.50.”

“For the full fiscal 2026, we continue to expect operating cash flow to be in the range of $10.8 billion to $11.5 billion, property and equipment additions to be approximately $1 billion, and free cash flow to be in the range of $9.8 billion to $10.5 billion.”

“We continue to expect to return at least $9.3 billion through dividends and share repurchases, an increase of $1 billion or 12% from fiscal 2025.”

“So we expect that revenue per person growth to moderate over the course of the year, and that'll go up and down, you know, really based upon when we bring people in.”

“So this sort of revenue and headcount that sort of breakage has been going on for a long time. It really goes back all the way to the introduction of RPA. So we'd expect that to continue, but it's not tied exactly as Angie said to, like, what's happening quarter to quarter.”

“But importantly, there's no change to our overall adjusted our full year guidance for adjusted op margin, tax, or EPS, this is really timing.”

“As it relates to our headcount, look, we expect to we're doing our talent rotation and we expect to increase our headcount throughout the year. In The U.S. and in Europe.”

“we are on track in FY '26 to more than double our bookings over FY '25 from partnerships with our key emerging AI and data ecosystem partners”

“we will hire more entry-level reinventors in FY '26 than FY '25, which is important for our financial model”

“For the full fiscal '26, based upon how rates have been trending over the last few weeks, we continue to assume the impact of FX on our results in U.S. dollars will be approximately positive 2% compared to fiscal '25.”

“This year, we continue to expect an inorganic contribution of about 1.5%.”

“For adjusted operating margin, we continue to expect fiscal year '26 to be 15.7% to 15.9%, a 10 to 30 basis point expansion over adjusted fiscal '25 results.”

“We continue to expect our annual adjusted effective tax rate to be in the range of 23.5% to 25.5%.”

“For the full fiscal '26, we now expect operating cash flow to be in the range of $11.5 billion to $12.2 billion, property and equipment additions to now be approximately $700 million.”

“We are raising our free cash flow guidance by $1 billion and now expect free cash flow to be in the range of $10.8 billion to $11.5 billion.”

“We continue to expect to return at least $9.3 billion through dividends and share repurchases, an increase of $1 billion or 12% from fiscal '25, as we remain committed to returning a substantial portion of our cash generated to our shareholders.”

“we will anniversary AFS in the fourth quarter, the headwind from that, and we expect that to grow in the fourth quarter.”

“In terms of the inorganic contribution, we still expect about 1.5%, and that really is on timing.”

“we expect our headcount to -- we expect to add headcount in the second quarter -- in the second half.”

“David, we'll give you an update in September on that, but we feel really good about the fact that we are anniversarying the headwind, and we're getting back to growth in fourth quarter with our Federal business.”

“we now expect to deploy approximately $9 billion of capital this year based on the anticipated closing dates of the acquisitions.”

“Based upon these results, we are on track to deliver or exceed all aspects of our guidance provided in September.”

“Given the macro uncertainty, we expect more of the guided range to be in play for Q4.”

“For the fourth quarter of fiscal 2026, we expect revenues to be in the range of $17.75 billion to $18.4 billion.”

“This assumes the impact of FX will be approximately negative 0.5% compared to the fourth quarter of fiscal 2025 and reflects an estimated 1%-5% growth in local currency.”

“As it relates to our federal business, we expect to anniversary the headwind and get back to growth in the fourth quarter.”

“Based upon how the rates have been trending over the last few weeks, we assume the impact of FX on our results in US dollars will be positive 2% compared to fiscal 2025.”

“For the full fiscal 2026, we now expect our revenue to be in the range of 3%-4% growth in local currency over fiscal 2025, including an estimated 1% impact from our federal business.”

“Excluding the impact of federal, our revenue is expected to be an estimated 4%-5%.”

“We continue to expect an inorganic contribution of about 1.5%.”

“With our exciting announcement to expand into the OT security software market that we have just made, assuming those transactions close this fiscal year, we now expect to invest approximately $9 billion in acquisitions this fiscal year, and we continue to have a pipeline of attractive acquisitions for FY 2027.”

“For adjusted operating margin, we now expect fiscal year 2026 to be 15.8%, a 20 basis point expansion over adjusted fiscal 2025 results.”

“We now expect our annual adjusted effective tax rate to be in the range of 24%-25%.”

“We now expect our full-year diluted adjusted earnings per share for fiscal 2026 to be in the range of $13.78-$13.90, or 7%-8% growth over adjusted fiscal 2025 results.”

“For the full fiscal 2026, we continue to expect operating cash flow to be in the range of $11.5 billion to $12.2 billion, property and equipment additions to be approximately $700 million, and free cash flow to be in the range of $10.8 billion to $11.5 billion.”

“We now expect to return at least $9.5 billion through dividends and share repurchases as we continue to return a substantial portion of cash to our shareholders.”

“we expect to access the long-term debt market to increase our liquidity for M&A spend and general corporate purposes as we look to optimize our capital structure and reduce our cost of capital.”

“we expect to maintain a strong investment-grade credit rating with a low net leverage ratio.”

“Because the indirect impact really started in the last few weeks and mostly in discretionary spend, we do think that there will be more impact in Q4, which is why we're saying that more of the range is in play.”

“Secondly is our AFF headwind will sunset this quarter. We expect that it will return to growth this quarter.”

“Importantly, within our range for revenue of 1%-5% for the quarter margin in EPS, we expect strong overall margin in EPS expansion for the year.”

“We do expect in Q4, moving forward into Q4, AFS will return to growth, and we do expect a tick up, which is comprised of both the AFS returning to growth as well as we've had four consecutive quarters, as you call out, of consulting bookings growth.”

“Overall, the impact that we saw was really at the latter part or the last few weeks of the quarter. We expect that to continue for the full of Q4.”

“Overall for the year, we expect consulting to be in the low single digits and managed services to continue to be in the mid-single digits.”

“We are also on track to more than double our bookings from our key emerging AI and data partners compared with FY 2025, including Anthropic, Databricks, Gemini, Mistral AI, Nvidia, OpenAI, Palantir, and Snowflake.”

“We continue to see our fixed price work be over 60% and continuing to increase.”

“For Q3 FY 26, we are targeting total Adobe revenue of $6.67 billion to $6.72 billion”

“Business professionals and consumer subscription revenue of $1.87 billion to $1.89 billion”

“Creative and marketing professional subscription revenue of $4.61 billion to $4.64 billion”

“GAAP EPS of $4.4 to $4.45 and non GAAP EPS of $6.05 to $6.10”

“For Q3, we assume non GAAP operating of approximately 44% and a GAAP tax rate of approximately 23% and a non GAAP tax rate of approximately 18%.”

“We expect future reserves of approximately $8 million to $10 million per quarter until the arbitration is settled.”

“Consistent with this trend in Q3, we expect AI semiconductor revenue to accelerate to $16 billion, up over 200% year on year.”

“We will now be taping out our next generation 200-terabit switch this quarter.”

“Consistent with this trend in Q3 we forecast non AI semiconductor revenue to be approximately $4.5 billion, up 12% from a year ago.”

“In summary, we expect Q3 semiconductor revenue to be $20.5 billion, up 124% year on year.”

“For Q3, we forecast software revenue to be approximately $8.9 billion, up 31% year on year.”

“So to sum it up, for Q3 2026, we expect our consolidated revenue to grow to $29.4 billion, up 84% year on year.”

“We expect operating margin to be stable at approximately 67% of revenue and adjusted EBITDA to be at approximately 68% of revenue.”

“We forecast semiconductor revenue of approximately $20.5 billion, up 124% year on year.”

“Within this, we expect Q3 AI semiconductor revenue of $16 billion, up over 200% year on year.”

“We expect Q3 infrastructure software revenue of approximately $8.9 billion, up 31% year on year.”

“As the proportion of AI revenue significantly grows in Q3, we expect Q3 consolidated gross margin to be down to approximately 74%.”

“Regardless of the impact to gross margin, we expect Q3 operating margin to be 67% which is flat quarter on quarter, demonstrating our strong operating leverage.”

“expect the non GAAP diluted share count to be approximately In Q3, 4.94 billion shares, excluding the impact of potential share repurchase.”

“Based on our June 30 standalone share count at close and on an as-converted as-exchanged basis, we expect our total shares to be about 177 million.”

“As we look at our long-term plan, we would think just over half of those would likely be in the US, but just under half would be in our international markets, including Canada, Mexico, Asia, and Europe.”

“We do think over time, we can still be increasing our margin a little bit as part of that plan.”

“It really depend on there would not be a carryover from current inflation into 2026. But if inflation was to rise again, that could create a higher life LIFO charge in '26 or a lower LIFO charge if if tariffs reduced.”

“While delays with a couple of our buildings in Spain resulted in us revising our planned net new openings for fiscal year 2026 down to 28, we continue to plan for 30 plus net openings per year in future years.”

“We estimate capital expenditure for the full year will be approximately $6.5 billion.”

“Per Statute, an order is expected from the Maryland Public Service Commission in August of 2026.”

“A final order is expected in August.”

“Evidentiary hearings were held last week, and a final order is expected in August.”

“This is now under priority review, and we expect an FDA decision in August.”

“We are targeting a potential launch in late August for people with virally suppressed HIV, including those on complex regimens.”

“We expect a regulatory decision based on priority review in August.”

“And as we expand our e-procurement capabilities also with construction management software and integration platforms, we'll be rolling Pro Trade Credit out to those channels also within the second quarter.”

“we also now expect to close the divestitures of both Productivity Solutions and Services and Warehouse and Workflow Solutions business by early August.”

“So what we are seeing is very durable and not just for the next couple of quarters.”

“And last, we are increasingly confident we are on track to return to balanced growth in North America across both NIKE Direct and wholesale channels in the near term.”

“We expect performance across territories in APLA to remain mixed in the near term.”

“We have got a strong order book for summer.”

“As it relates to Greater China, we are managing sell-in. And by managing sell-in, we expect to continue the trend, like we saw this quarter, of sequential improvement in sell-through rates.”

“Our strategic back-office applications revenue was $2.4 billion and up 16%. We finished combining our industry-based cloud apps and our Fusion cloud apps under one selling organization in each region across the world, have been seeing increasing cross-selling synergies that are expected to drive higher cloud applications growth rates in the future.”

“In summary, the four segments of our business are growing at incredible rates. This will contribute to a continued acceleration in our infrastructure revenue in the coming quarters.”

“This is very meaningful because we see this business as continuing to accelerate going forward.”

“The cloud application deferred revenue is up 14%. That is higher than the cloud apps revenue growth of 11% just to reinforce my earlier statements, that we expect continued apps growth acceleration.”

“Looking ahead, we're executing well on a big and growing pipeline and I expect revenue and earnings growth to accelerate off an even larger base.”

“Second, this year's step-up in CapEx will drive higher start-up costs for new stores in the first half of the year.”

“Notably, in the quarter just ended, we faced the easiest prior year comparison of the year, and we'll be facing the hardest comparison in Q2, a nearly 2 percentage point difference as we begin lapping last year's launch of the Nintendo Switch 2.”

“Start of production is -- we're assuming is somewhere around the late July, August time frame.”

“As a result, for the second quarter, we expect total revenues of $120.3 million to $122.3 million or growth of 19% at the midpoint.”

“We expect non-GAAP operating income of $18.7 million to $19.7 million.”

“We would not be surprised to see this dynamic continue, especially given the recent elevated demand for migrations we called out last quarter.”

“It's an accelerating curve. It may take longer than we all want it to happen but definitely accelerating because the size of those -- and the size of the demand from those hyperscalers will totally rival that in the enterprise.”

“the renewal timing will probably take about three years, given the multi-year contracts that we have in place.”

“Second, our efficiency efforts are tracking slightly ahead of our expectations. Year-to-date, we achieved 170 basis points of in-store operational efficiencies along with great progress out of store, positioning us to deliver our $3 billion savings target through fiscal year 2026 with line of sight to even more opportunity beyond that.”

“Once all elements of Green Apron Service are fully implemented together and customers come to appreciate the improved experience, we believe these trends will continue to improve.”

“We have a new stand-alone prototype that will open in fiscal 2026 that has 32 seats, a drive-thru and a roughly 30% lower cost to build.”

“As a part of this work, we plan to sunset our mobile order and pickup-only concept in fiscal 2026.”

“We are pleased to be ahead of schedule with key foundational programs like Green Apron Service, and we are confident that 2026 will continue to improve as we see the effects of our Back to Starbucks strategy begin to scale.”

“A lot is happening today behind the scenes, and these efforts will come together more visibly by the end of next year. And when they do, I am highly confident that our financial performance will follow: first, in our comps; then in our earnings.”

“The good news is, once both of those things stick, we see transactions move in the right direction from there.”

“You are going to continue to see our CapEx grow. It's not going to be exponential growth, but it is going to grow substantially.”

“In general, I think as we've talked about before, we are expecting increases in our CapEx spending related to AI investments.”

“This will help power future Apple intelligence features, including a more personalized Siri coming this year.”

“We think looking forward that the Mac mini and the Mac Studio may take several months to reach supply-demand balance.”

“And this summer, in the US and Canada, Apple Maps will feature ads during key search and discovery moments, creating a new way for local businesses to reach customers and explore new places.”

“And we look forward to bringing a more personalized Siri to users coming this year.”

“Turning to neuroscience, in our movement disorder programs, an approval decision is anticipated in the third quarter for tevapadon in Parkinson's disease.”

“So we're gonna look at a comparator with a slightly lower dose of self-control, and then that'll read out, I would say, by Q3 or so.”

“A Phase IIb study is planned to begin this summer in patients with Crohn's disease and ulcerative colitis to evaluate Skyrizi in combination with both 382 and with our extended half-life TL1A antibody.”

“In Parkinson's disease, we remain on track for an approval decision for tavapadon in the third quarter.”

“We anticipate a response rate readout in the third quarter with potential to also see an interim analysis on progression-free survival.”

“Our Phase II program is now expected to begin in the third quarter.”

“we expect to transition from limited market to a full market release in the third quarter.”

“Which includes our expectation for exchange to have a negative impact of approximately 1% on third quarter sales.”

“For the third quarter, we forecast adjusted earnings per share of $1.38 to $1.46”

“we haven't seen -- at our clients, and we haven't seen anything yet being impacted by the war. But obviously, there is a big uncertainty because of the war, but we're very confident based on the information we have right now on what we see for the next 2 quarters.”

“We expect net investment income growth going forward to be more in line with asset growth given the current and projected level of global interest rates.”

“One portfolio transfer happened in April this year and the second one is expected in Q3.”

“To be clear, the wiring issue will not affect our full year delivery goals or plans to increase production to 47 per month this summer.”

“We believe our internal and external supply chains are well positioned for this next rate increase.”

“We continue to expect a production increase to 47 per month in Renton this summer and will benefit from buffer inventory during the transition.”

“So first of all, let me reiterate, we've done a really nice job of stabilizing at 42. That was our plan, and we've done a nice job of that. So the rate increase from 42 will be done by this summer.”

“Right now, we see very strong performance this quarter, and we expect it to continue based on the market conditions.”

“And we plan to increase our dividend by 12%.”

“And as a reminder, we plan to increase our quarterly common stock dividend by 12% beginning in the 3rd quarter subject to quarterly board approval.”

“We're working with the California Public Utilities commission towards the summer close.”

“As of the end of the third quarter, including the impact of the Cox and Liberty Broadband transactions and including the impact of our second quarter debt repurchases and assuming the success of the exchange offer announced yesterday evening, we expect our ratio of net debt to last 12-month adjusted EBITDA to be just above 3.9x.”

“Given the pending Cox closing and its financing, and our focus on liability management, we have paused our share repurchases through the end of the third quarter.”

“Broadband ARPU will improve sequentially in Q3.”

“And we'll have a tailwind from the rate for the cost pass-through that's hitting in late July and early August.”

“At the same time, we indicated that trends should improve beyond the second quarter as we lap the initial go-to-market investments and as free wireless lines convert into paying relationships in greater volumes. That remains our expectation, and we expect modest improvements starting in the third quarter.”

“Not something that we think is a -- while we see it continuing into the third quarter, not something that we think is a permanent change in the outlook at all because we continue to see continued consumer appeal and satisfaction in all the things we look at as it relates to the excitement that people have about our parks.”

“but we expect to have fully transitioned new originations by the end of Q3.”

“On the Discover front book, 50% of Discover originations are now on Capital 1's tech platform, and we expect to be fully on our tech stack for new originations by the end of the third quarter.”

“So as you suggest, looking ahead there should be a bit of a NIM catch-up that happens in the third quarter as the average cash catches up to the ending cash.”

“TCO have to conserve some cash because they've got 2 loan repayments to make next year, one in the first quarter and one in the third quarter.”

“We expect third quarter revenue growth to be approximately 2%-3%, which includes an approximately 250 basis point year-over-year headwind from respiratory testing.”

“This implies that core growth excluding respiratory will be approximately 5%, an acceleration versus what we saw in the second quarter.”

“Finally, we expect a third quarter adjusted operating profit margin of approximately 26.5%.”

“The Q3 guide assumes slight improvement off of Q2, call it 5%.”

“We think it's about 250 basis point headwind in Q3, and those headwinds essentially go away year-on-year in Q4.”

“we will be expanding our fleet by adding two more ships in fiscal '25 and another in fiscal '26, nearly doubling our worldwide capacity.”

“We do think that product will be additive to us in 2026. And yes, there'll be an investment, then that's part of the 2025 guide. But that investment, we're looking to pay back relatively quickly in 2026.”

“with a business that is going to have the growth that we have expectations for in the streaming business, there will clearly be leverage that just comes out of the revenue growth itself.”

“Basically, from a book tax perspective, it won't have any material impact on the company. From a cash perspective, it will be a positive to us.”

“As we sit here today, we're already basically half booked out for all of next year, and the newer ships are even higher in that regard.”

“When we combine -- when we gave people an opportunity to have a more seamless experience between Disney+ and Hulu, we saw engagement increasing. And we would hope that when we take this next step, which is basically full integration that, that engagement will go up even more.”

“In addition to that, as it relates to content spend, I'd say that from a domestic perspective, you shouldn't expect that we need to increase the spend on content significantly. Where we believe we should be investing is to grow our international businesses.”

“As a result of that, I would tell you, we certainly don't intend to stop at 10% margin. We think there's still lots of margin opportunity once we hit double digits, but we're going to do it through a growth-oriented strategy, not through a cost-oriented strategy.”

“Overall, as we've talked about in the past, the intent is to grow through both increased attendance and increased per caps in a balanced way, and I expect that's what we're going to continue to do.”

“For fiscal 2026, we expect to deliver double-digit adjusted EPS growth compared to the prior year.”

“We are targeting $7 billion in share repurchases in 2026, double the $3.5 billion we repurchased in fiscal 2025.”