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Accenture Beats Expectations, Stock Jumps Up to 22%

Accenture reported strong fourth-quarter fiscal 2026 results, beating analyst expectations for revenue and bookings, and raised its outlook for fiscal 2027. The company's stock surged up to 22% in New York trading, the largest one-day gain since its listing. Total quarterly revenue reached $18.7 billion, a 7% increase year-over-year, exceeding the $18.04 billion consensus. New bookings totaled $22.2 billion, above the expected $20 billion. Revenue in the Communications, Media, and Technology segment grew 11% to $3.26 billion. Accenture also announced separate contracts with Google Cloud, AI firm Anthropic, and Amazon Web Services. CEO Julie Sweet highlighted broad-based growth and noted that the results challenge the narrative that IT services firms are losers in the AI boom. For fiscal 2027, Accenture expects revenue between $18.95 billion and $19.6 billion.

• Accenture's Q4 FY2026 revenue reached $18.7 billion, a 7% increase year-over-year.
• New bookings totaled $22.2 billion, exceeding analyst expectations of $20 billion.
• Accenture raised its fiscal 2027 revenue outlook to between $18.95 billion and $19.6 billion.

Anthropic launches cheaper AI model Sonnet 5.5

Anthropic has released Claude Sonnet 5.5, the second model in the Claude 5.5 series, positioned as a complementary workhorse to the more powerful Opus 5.5 for well-defined daily tasks like coding, bug fixing, and document creation. Priced unchanged at $2 per million input tokens and $10 per million output tokens, it runs over 30% faster than Sonnet 5 and costs up to 30% less per task due to reduced token usage. While not advancing frontier capabilities, it shows near-Opus performance on several benchmarks, including GDPval-AA v2.1 and OSWorld 2.1, and outperforms Opus 5.5 on agentic coding tasks, achieving 70.6% on Terminal-Bench 4.0 versus 10.3% for Sonnet 5. Due to significant cyber capabilities, it is the first Sonnet model subject to the same cybersecurity safeguards as Opus 5. Available via Claude, AWS, Google Cloud, and Microsoft Azure, an updated Haiku model is expected in the coming weeks.

• Anthropic released Claude Sonnet 5.5 on September 28, 2026, priced at $2 per million input tokens and $10 per million output tokens.
• Sonnet 5.5 is over 30% faster than Sonnet 5, and cost per task can drop by up to 30% due to reduced token usage.
• The model outperforms Opus 5.5 on agentic coding benchmarks and reaches 70.6% on Terminal-Bench 4.0, versus 10.3% for Sonnet 5.

Kroger AI Shopping Assistant Drives Larger Baskets

Kroger reported that customers using its AI-powered shopping assistant are adding more items to their carts, contrary to expectations. The tool, launched in July across Kroger's websites and apps, helps with meal planning, recipe discovery, and cart building based on budgets and dietary needs. Yael Cosset, Kroger's EVP and Chief Digital Officer, discussed the basket size growth at Groceryshop 2026. Kroger is integrating more personalization features, leveraging its loyalty data from over 63 million households. The retailer also uses AI for demand forecasting and operational functions. Kroger partners with Google Cloud for Gemini Enterprise to power the assistant. The article also mentions similar results at Albertsons and increased conversion from AI-referred traffic per Adobe Digital Insights. Kroger's retail media business, Kroger Precision Marketing, is integrating sponsored products within the assistant.

• Kroger's AI shopping assistant is driving larger basket sizes, though the exact increase is undisclosed.
• The assistant was rolled out across Kroger's websites and apps in July.
• Yael Cosset discussed the basket increase at Groceryshop 2026.

Forward Deployed Engineering is having a moment.

CloudFactory highlights its long-standing expertise in forward deployed engineering, embedding engineers to get enterprise AI into production. Also featured: a new blog post on AI ethics by design, emphasizing responsible data sourcing.