MOUNTAIN VIEW, Calif. - May 23, 2023 - Intuit Inc. (Nasdaq: INTU) the global financial technology platform that makes TurboTax, Credit Karma, QuickBooks, and Mailchimp,

•Grew total revenue to $6.0 billion, up 7 percent.

•Increased Small Business and Self-Employed Group revenue to $2.0 billion, up 21 percent; grew Online Ecosystem revenue to $1.5 billion, up 23 percent.

•Increased Consumer Group revenue to $3.3 billion, up 3 percent.

•Reported Credit Karma revenue of $410 million, down 12 percent.

•Reported ProTax Group revenue of $246 million, down 5 percent.

•A decline in total IRS returns of 2 percent, and a decline in DIY category share of nearly three quarters of a point. The company believes this was driven by taxpayers who filed in order to receive pandemic-era stimulus and tax credits during the past several years but did not file taxes this season.

•For the same reasons as above, TurboTax share of total IRS returns to decline approximately 80 basis points, total TurboTax units to decline 5 percent, and TurboTax Online paying units to decline 1 percent.

•Average revenue per return to increase approximately 12 percent, as the company expects TurboTax Live revenue to grow approximately 19 percent and TurboTax Live customers to grow approximately 13 percent.

•QuickBooks Online Accounting revenue grew 25 percent in the quarter, driven primarily by customer growth, higher effective prices, and mix-shift.

•Online Services revenue grew 21 percent, driven by growth in Mailchimp, QuickBooks Online payroll, and QuickBooks Online payments.

•Total international online revenue grew 12 percent on a constant currency basis.

•The decline in Credit Karma revenue in the quarter was driven by headwinds in personal loans, home loans, auto loans and auto insurance, partially offset by growth in Credit Karma Money and credit cards.

•Reported a total cash and investments balance of approximately $4.3 billion and $6.6 billion in debt as of April 30, 2023.

•Repurchased $483 million of shares, with $2.0 billion remaining on the company's share repurchase authorization.

•Received Board approval for a quarterly dividend of $0.78 per share, payable July 18, 2023. This represents a 15 percent increase compared to the same period last year.

•Revenue of $14.279 billion to $14.317 billion, growth of approximately 12 to 13 percent, up from previous guidance for growth of 10 to 12 percent.

•GAAP operating income of $3.071 billion to $3.091 billion, growth of approximately 19 to 20 percent, up from previous guidance for growth of 9 to 13 percent.

•Non-GAAP operating income of $5.441 billion to $5.461 billion, growth of approximately 21 percent, up from previous guidance for growth of 17 to 19 percent.

•GAAP diluted earnings per share of $7.78 to $7.83, growth of approximately 7 to 8 percent, up from previous guidance for a decline of approximately 5 to 1 percent.

•Non-GAAP diluted earnings per share of $14.20 to $14.25, growth of approximately 20 percent, up from previous guidance for growth of 15 to 17 percent.

•Small Business and Self-Employed Group: growth of 24 percent, up from previous guidance for growth of 19 to 20 percent.

•Consumer Group: growth of 5 to 6 percent, down from previous guidance for growth of 9 to 10 percent.

•ProTax Group: growth of 2 to 3 percent, down from previous guidance for growth of 3 percent.

•Credit Karma: a decline of 11 percent, updated from previous guidance of a decline of 15 to 10 percent.

•Revenue to grow approximately 9 to 10 percent.

•GAAP loss per share of $0.34 to $0.29.

•Non-GAAP diluted earnings per share of $1.43 to $1.48.

Intuit is the global financial technology platform that powers prosperity for the people and communities we serve. With more than 100 million customers worldwide using TurboTax, Credit Karma, QuickBooks, and Mailchimp, we believe that everyone should have the opportunity to prosper. We never stop working to find new, innovative ways to make that possible. Please visit us at Intuit.com and find us on social for the latest information about Intuit and our products and services.

[A]The following table summarizes the total share-based compensation expense that we recorded in operating income for the periods shown. 

[B]We compute our provision for or benefit from income taxes by applying the estimated annual effective tax rate to income or loss from recurring operations and adding the effects of any discrete income tax items specific to the period.

•Share-based compensation expense

•Amortization of acquired technology

•Amortization of other acquired intangible assets

•Goodwill and intangible asset impairment charges

•Gains and losses on disposals of businesses and long-lived assets

•Professional fees and transaction costs for business combinations

•Gains and losses on debt and equity securities and other investments

•Income tax effects and adjustments

•Discontinued operations

Share-based compensation expenses. These consist of non-cash expenses for stock options, restricted stock units, and our Employee Stock Purchase Plan. When considering the impact of equity awards, we place greater emphasis on overall shareholder dilution rather than the accounting charges associated with those awards.

Amortization of acquired technology and amortization of other acquired intangible assets. When we acquire a business in a business combination, we are required by GAAP to record the fair values of the intangible assets of the business and amortize them over their useful lives. Amortization of acquired technology in cost of revenue includes amortization of software and other technology assets of acquired businesses. Amortization of other acquired intangible assets in operating expenses includes amortization of assets such as customer lists, covenants not to compete, and trade names.

Goodwill and intangible asset impairment charges. We exclude from our non-GAAP financial measures non-cash charges to adjust the carrying values of goodwill and other acquired intangible assets to their estimated fair values.

Gains and losses on disposals of businesses and long-lived assets. We exclude from our non-GAAP financial measures gains and losses on disposals of businesses and long-lived assets because they are unrelated to our ongoing business operating results.

Professional fees and transaction costs for business combinations. We exclude from our non-GAAP financial measures the professional fees we incur to complete business combinations. These include investment banking, legal, and accounting fees.

Gains and losses on debt securities and other investments. We exclude from our non-GAAP financial measures credit losses on available-for-sale debt securities and gains and losses on other investments.

Income tax effects and adjustments. We use a long-term non-GAAP tax rate for evaluating operating results and for planning, forecasting, and analyzing future periods. This long-term non-GAAP tax rate excludes the income tax effects of the non-GAAP pre-tax adjustments described above, and eliminates the effects of non-recurring and period specific items which can vary in size and frequency. Based on our current long-term projections, we are using a long-term non-GAAP tax rate of 24% for fiscal 2022 and fiscal 2023. This long-term non-GAAP tax rate could be subject to change for various reasons including significant acquisitions, changes in our geographic earnings mix or fundamental tax law changes in major jurisdictions in which we operate. We will evaluate this long-term non-GAAP tax rate on an annual basis and whenever any significant events occur which may materially affect this rate.

Operating results and gains and losses on the sale of discontinued operations. From time to time, we sell or otherwise dispose of selected operations as we adjust our portfolio of businesses to meet our strategic goals. In accordance with GAAP, we segregate the operating results of discontinued operations as well as gains and losses on the sale of these discontinued operations from continuing operations on our GAAP statements of operations but continue to include them in GAAP net income or loss and net income or loss per share. We exclude these amounts from our non-GAAP financial measures.