MOUNTAIN VIEW, Calif. - Aug. 21, 2008 - Intuit Inc. (Nasdaq: INTU) today announced fourth-quarter revenue of $478 million, an 11 percent increase over the year-ago quarter. Revenue for fiscal year 2008, which ended July 31, was $3.1 billion, a 15 percent increase over the prior year.
"We had another successful tax season and a solid finish in small business," said Brad Smith, Intuit's president and chief executive officer. "With our focus on innovation and on solving customer problems with connected services, we are looking forward to another strong year in fiscal 2009."
Fiscal 2008 Financial Highlights
- Revenue of $3.1 billion increased 15 percent from fiscal 2007. Growth was driven by strong performance in Intuit's tax business and the acquisition of Digital Insight in February 2007.
- GAAP (Generally Accepted Accounting Principles) operating income of $651 million increased 2 percent from fiscal 2007. GAAP diluted earnings per share of $1.41 increased 14 percent from fiscal 2007.
- Non-GAAP operating income of $856 million increased 12 percent from fiscal 2007. Non-GAAP diluted earnings per share of $1.60 increased 12 percent from fiscal 2007.
Fiscal 2008 Business Segment Results
- QuickBooks revenue was $622 million, an increase of 6 percent from the prior year.
- Payroll and Payments revenue was $561 million, an increase of 9 percent from the prior year.
- Consumer Tax revenue was $929 million, an increase of 14 percent from the prior year.
- Accounting Professionals revenue was $327 million, an increase of 4 percent from the prior year. This segment was formerly known as Professional Tax.
- Financial Institutions revenue was $299 million and includes the results of Digital Insight, which was acquired on Feb. 6, 2007.
- Other Businesses revenue was $334 million, an increase of 14 percent from the prior year.
Fourth-Quarter 2008 Financial Highlights
- Revenue of $478 million increased 11 percent from the year-ago quarter.
- GAAP operating loss of $94 million compared with a GAAP operating loss of $57 million in the year-ago quarter. GAAP loss per share of $0.19 compared with a GAAP loss per share of $0.04 in the year-ago quarter.
- Non-GAAP operating loss of $41 million compared with a non-GAAP operating loss of $17 million in the year-ago quarter. Non-GAAP loss per share of $0.08 compared with a non-GAAP loss per share of $0.02 in the year-ago quarter.
Intuit typically posts a seasonal loss in its fourth quarter when there is little revenue from its tax businesses but expenses remain relatively constant. The 2008 loss includes a $23 million pretax charge for severance and facilities closures. The 2007 loss includes a pretax gain of $31 million from the sale of outsourced payroll assets.
Forward-looking Guidance
Intuit provided its financial guidance for fiscal 2009, which will end on July 31, 2009. The company expects:
- Revenue of $3.35 billion to $3.43 billion, or growth of 9 percent to 12 percent.
- Non-GAAP operating income of $970 million to $990 million, or growth of 13 percent to 16 percent. GAAP operating income is expected to be $724 million to $744 million.
- Non-GAAP diluted earnings per share, or EPS, is expected to be $1.86 to $1.90, or growth of 16 percent to 19 percent. GAAP diluted EPS is expected to be $1.41 to $1.45.
Fiscal 2009 Business Segment Guidance
Intuit's expected results for its business segments for fiscal 2009 are:
- QuickBooks revenue of $670 million to $695 million, or growth of 8 percent to 12 percent.
- Payroll and Payments revenue of $639 million to $662 million, or growth of 14 percent to 18 percent.
- Consumer Tax revenue of $1.0 billion to $1.04 billion, or growth of 8 percent to 12 percent.
- Accounting Professionals revenue of $345 million to $358 million, or growth of 5 percent to 9 percent.
- Financial Institutions revenue of $313 million to $325 million, or growth of 5 percent to 9 percent.
- Other Businesses revenue of $354 million to $367 million, or growth of 6 percent to 10 percent.
First-Quarter Fiscal 2009 Guidance
Intuit's expected results for the first quarter of 2009, which will end on Oct. 31, 2008, are:
- Revenue of $480 million to $492 million, or growth of 8 percent to 11 percent.
- Non-GAAP operating loss of $65 million to $50 million and a GAAP operating loss of $122 million to $107 million. Intuit typically posts a seasonal loss in its first quarter when it has little revenue from its tax businesses but expenses remain relatively constant.
- Non-GAAP net loss per share of $0.14 to $0.11 and a GAAP net loss per share of $0.26 to $0.23.
Webcast and Conference Call Information
A live audio webcast of Intuit's fourth-quarter 2008 conference call is available at http://www.intuit.com/about_intuit/investors/webcast.jsp. The call begins today at 1:30 p.m. Pacific time. The replay of the audio webcast will remain on Intuit's Web site for one week after the conference call. Intuit has also posted this press release, including the attached tables and non-GAAP to GAAP reconciliations on its Web site and will post the conference call script shortly after the conference call concludes. These documents may be found at http://intuit.com/about_intuit/investors/earnings/2008/.
The conference call number is 866-814-1918 in the United States or 703-639-1362 from international locations. No reservation or access code is needed. A replay of the call will be available for one week by calling 888-266-2081, or 703-925-2533 from international locations. The access code for this call is 1262029.
About Non-GAAP Financial Measures
Cautions About Forward-Looking Statements
(Financial Statements follow)