Summary
Intuit Inc. (INTU) reported strong performance for the fiscal year ended July 31, 2018, with total net revenue growing 15% to $6.0 billion. This growth was driven by robust performance across its key segments, particularly Small Business & Self-Employed, which saw an 18% increase in revenue, and the Consumer segment, which grew revenue by 14%. The company highlighted the significant expansion of its online ecosystem and strong customer acquisition, particularly in QuickBooks Online. Diluted net income per share increased by a substantial 25% to $4.64, aided by a lower effective tax rate resulting from the Tax Cuts and Jobs Act. Intuit continues to invest heavily in product development, with R&D expenses representing 20% of total net revenue. The company also demonstrated a commitment to returning capital to shareholders, with significant stock repurchases and an increase in quarterly dividends. Looking ahead, Intuit is focused on its 'One Intuit Ecosystem' strategy, leveraging artificial intelligence and machine learning to deliver personalized experiences and expanding its platform through partnerships. Despite facing intense competition and ongoing technological evolution, Intuit's strategic focus on innovation and customer needs positions it for continued growth.
Financial Highlights
56 data points| Revenue | $6.03B |
| R&D Expenses | $1.19B |
| Operating Expenses | $4.46B |
| Operating Income | $1.56B |
| Interest Expense | $20.00M |
| Net Income | $1.33B |
| EPS (Basic) | $5.18 |
| EPS (Diluted) | $5.09 |
| Shares Outstanding (Basic) | 256.00M |
| Shares Outstanding (Diluted) | 261.00M |
Key Highlights
- 1Total net revenue increased by 15% to $6.0 billion in fiscal year 2018.
- 2Small Business & Self-Employed segment revenue grew 18%, driven by customer acquisition in the Online Ecosystem, with QuickBooks Online subscribers reaching 3.4 million.
- 3Consumer segment revenue increased 14% due to higher average revenue per customer and growth in TurboTax federal units.
- 4Diluted net income per share rose 25% to $4.64, benefiting from a lower effective tax rate.
- 5Research and Development (R&D) expenses were $1.2 billion, representing 20% of total net revenue, underscoring a commitment to innovation.
- 6Intuit returned significant capital to shareholders through $407 million in dividends and substantial stock repurchases, with $1.2 billion remaining under its authorization at the end of the fiscal year.
- 7The company is strategically focused on developing its 'One Intuit Ecosystem' through personalization, an open platform, and indispensable connections, utilizing AI and machine learning.