Intuit

Intuit is known mainly for its QuickBooks package, but decided to break away from its roots - standalone financial managements software, accounting and tax calculations and give a "cloud" look to its products. The company's new, cloud-based offerings include QuickBooks Online, QuickBooks Online Payroll and Intuit Payments Solutions. The company has an office in Russia.

Performance indicators

Revenue growth of 13%

In fiscal 2019 Intuit , it raised $6.78 billion, up 13% from a year earlier. The reporting 12-month period for the company ended on July 31, 2019 calendar.

Intuit Small Business and Self-Employed Group, which develops payroll and payment processing services as well as QuickBooks Online accounting software, accounted for 52% of revenue compared to 51% and 50% a year and two years earlier, respectively. The revenue of this structure increased by 15% and reached $3.53 billion.

Intuit raised $6.78 billion in fiscal 2019, up 13% from a year earlier

The consumer business registered an 11% growth in turnover, up to $2.78 billion. The indicator in the Strategic Partner division (specializing in tax products) increased by 4% and turned out to be equal to $476 million.

The company's net profit in fiscal 2019 reached $1.56 billion, showing an increase of 17% compared to 2018. This rise was the result of an increase in operating profit, which was offset by an increase in the effective tax rate.

Net income in fiscal 2018 included tax relief related to the subsidiary's reorganization and revaluation of net deferred tax liabilities as a result of the new Tax Cuts and Jobs Act coming into effect.

Intuit Small Business and Self-Employed's profit was $1.5 billion, up 17%. In the consumer business, profits jumped 10% to $1.74 billion. In the direction of Strategic Partner, there was a profit equal to $318 million. This is 12% higher than the profit in the 2018 reporting year.

It also reported an increase in the number of users of QuickBooks Online in the United States by 25% on an annualized basis, to 3.2 million. Outside the American market, the number of customers increased by 5.8%, to 1.3 million. The number of QuickBooks Self-Employed subscribers has exceeded 1 million.^[1]

History

2024:10% staff cut to replace people with AI

In mid-July 2024, Intuit, which develops ON for business and finance, announced it was laying off 1,800 employees, about 10% of its workforce. The cuts are related to the company's desire to invest in technology development. artificial intelligence

Intuit CEO Sasan Goodarzi noted that the dismissal of employees is needed not to reduce costs, but to free up funds for additional investment and stimulate the growth of the company. Intuit has promised to hire 1,800 new people in software development and customer relations, but the timing of hiring new co-workers has not been specified. However, Goodarzi said the company's total headcount will grow starting in fiscal 2025.

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California Accent Lighting

The released funds will be used to create Intuit's AI-powered financial assistant, Intuit Assist, which, combined with a network of experts, will ensure uninterrupted customer experience. To achieve this, Intuit plans to invest heavily in big data and AI, using GenOS to transform traditional workflows into AI environments.

In addition, Intuit intends to direct additional funds to the development of a platform based on Big Bet 2 AI in order to improve the interaction between customers and experts in real time. The company will also increase investment in its fintech platform, solutions for the mid-sized market and international growth.

Intuit layoffs fit into a general trend of job cuts due to changing macroeconomic conditions, especially in raising new capital. So, Microsoft has reduced part of the staff in several regions, and the provider of software for automating robotic processes UiPath has announced plans to reduce 10% of its workforce.^[2]

2021

Sponsorship deal with Los Angeles Clippers

In mid-September 2021, the basketball club Los Angeles Clippers announced the start of a 23-year $500 million strategic partnership with financial ON developer Intuit. As part of the cooperation in the 24/25 season, it is planned to open an arena in Inglewood (state), California it will be called the Intuit Dome. More. here

Purchase of Mailchimp email software developer for $12 billion

On September 13, 2021, the sale of Mailchimp to Intuit for $12 billion was announced. The buyer will pay for this purchase with their shares and cash. This is the largest purchase for Intuit. Read more here.

OneSaas Sales Integration Software Developer Purchase

In early February 2021, Intuit announced the purchase of OneSaas at a price that they did not disclose. The acquisition will allow Intuit to implement support for omnichannel integration of sales data into its new QuickBooks Commerce product. Read more here.

2019: Purchase of analytical marketing tool developer Origami Logic

On May 28, 2019, Intuit announced the acquisition of analytical marketing tool developer Origami Logic to help the buyer expand its data infrastructure. Read more here.

2018

Revenue growth by 15% to $5.9 billion

In the 2018 fiscal year ended July 31, 2018 calendar year, Intuit's revenue reached $5.9 billion, an increase of 15% compared to the previous year.

Intuit Small Business and Self-Employed Group, which includes payroll and payment processing services, as well as QuickBooks Online accounting software, recorded revenues of $3 billion, which is 18% higher than a year ago.

Intuit financials

In the consumer (Consumer) direction, based on TurboTax tax software, revenue jumped 14% to $2.5 billion. Strategic Partner (which promotes the ProConnect suite of programs and services) saw a 4 percent revenue increase of $453 million. The number of ProConnect users for the year increased from 122 to 124 thousand customers.

In 2018, Intuit's net profit increased to $1.2 billion from $971 million a year earlier.

The number of subscribers to QuickBooks Online by the end of July 2018 exceeded 3.41 million against 2.38 million a year earlier. 385 thousand customers were subscribed to the QuickBooks Desktop version, while at the end of fiscal 2017 this figure was measured at 356 thousand. The number of customers who use the paid functions of QuickBooks reached 4.5 million, an increase of almost 1 million on an annualized basis.

The user base of QuickBooks Online in the United States in fiscal 2018 increased by 38% to about 2.6 million customers. Outside the American market, the size of the audience increased by 62%, to 800 thousand subscribers. QuickBooks Self-Employed has about 720 thousand users.

For the reporting year, Intuit bought back shares for $270 million. In addition, the director's board approved a new $2 billion buyback program, which will return $3.2 billion to investors, excluding dividend payments.^[3]

Sasan Goodarzi - the new CEO of Intuit

On August 23, 2018, Intuit announced a change of CEO. He appointed Sasan Goodarzi, who had previously served as executive vice president and general manager of the Small Business and Self-Employed Group for two years. Read more here.

2015: Profit drop almost triples

On August 20, 2015, Intuit released its annual financial report and reported significant business cuts. The accounting software maker intends to focus its operations on small customers.

According to official Intuit data, in the 2015 fiscal year, which ended July 31, 2015, the company's net profit amounted to $365 million, which is almost three times less than a year ago. Revenue for this period decreased by 1% to $4.2 billion.

Intuit decided to get rid of Demandforce, QuickBase and Quicken products

In the structure of annual sales, revenues from the sale of software products took $1.1 billion against $1.5 billion in fiscal 2014. Most of the revenue is still generated by various kinds of services, services and other sources of profit - Intuit earned $3 billion in all this in 2015, which is $300 million more than in the previous year.

Along with the publication of financial results, Intuit announced plans to curtail the work of Demandforce (business software for marketing and customer interaction), QuickBase (collaboration platform) and Quicken (software for financial reporting and planning). The company decided on this step in order to focus on small businesses and optimize the tax burden in the United States and Canada.

areas that will pay off very well in the long run. Intuit focuses on strong customers and revenue growth in fiscal 2016 and beyond, "said Intuit President and CEO Brad Smith.

The abandonment of three products will lead to a decrease in revenue by $250 million and profit by 10 cents per share in the 2016 fiscal year, which will last until July 2016, Intuit said in a statement. For this year, the company predicts sales in the range from $4.425 billion to $4.6 billion with adjusted profit at $3.4-3.45 per security.

Intuit says that small firms continue to strengthen the company's business, contributing to an increase in the number of subscribers to QuickBooks Online by 110 thousand in May-July 2015 - up to 1.075 million.

After the release of the annual report and plans to sell three divisions, Intuit shares fell 2.9% (to $99.9) during the extended exchange session on August 20, 2015.^[4]

Notes