Intuit Q2 Earnings Surpass Estimates, Revenues Increase Y/Y

Intuit INTU reported fiscal second-quarter 2025 non-GAAP earnings of $3.32 per share, which beat the Zacks Consensus Estimate by 28.68%. The bottom line jumped 26% from the year-ago quarter.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Revenues of $3.96 billion beat the consensus mark by 3.67% and increased 17% year over year.Intuit Inc. Price, Consensus and EPS Surprise Intuit Inc. price-consensus-eps-surprise-chart | Intuit Inc. QuoteQuarter DetailsGlobal Business Solutions Group revenues (67.39% of total revenues) grew 19% year over year to $2.67 billion.Within the segment, total Online Ecosystem revenues climbed 21% year over year to $2.04 billion. QuickBooks Online Accounting revenues were up 22% year over year to $1 billion, driven primarily by higher effective prices, customer growth, and mix-shift to INTU’s full-service offering. Online Services revenues, which include payroll, payments, time tracking and capital, jumped 19% year over year to $1.03 billion. This was driven by strong performances of Mailchimp, payroll and Money, which includes payments, capital and bill pay.Total international online revenues increased 9% year over year on a constant-currency basis.Total Desktop Ecosystem revenues rose 14% year over year during the reported quarter to $633 million.Revenues from Consumer Group (12.84% of total revenues) increased 3% to $509 million. Further, ProTax Group's professional tax revenues (6.86% of total revenues) rose 1% year over year to $272 million.The Credit Karma business contributed $511 million to Intuit’s fiscal second-quarter total revenues, which increased 36% year over year, driven by strength in credit cards, personal loans, and auto insurance.INTU’s non-GAAP operating income climbed 26% to $1.26 billion. Non-GAAP operating margin increased 230 basis points to 31.8% year over year.Balance Sheet and Cash FlowAs of Jan. 31, 2025, Intuit’s cash and investments were $2.5 billion compared with $3.4 billion as of Oct. 31, 2024. The company exited the fiscal second quarter with a long-term debt of $5.76 billion.Intuit repurchased $721 million of stock during the fiscal second quarter. The company entered into a $4.5 billion revolving credit facility on Jan. 30, 2025, that it is using to fund its 5-Day Earlyrefund offering. This facility expires on April 30, 2025.INTU announced that its board approved a quarterly dividend of $1.04 per share to be paid on April 18, 2025. The newly approved dividend represents a year-over-year increase of 16%.OutlookFor the fiscal third quarter of 2025, INTU expects revenues to grow between 12% and 13% on a year-over-year basis. Revenues are expected to be in the range of $7.55-$7.60 billion. Non-GAAP earnings for the quarter are estimated in the range of $10.89-$10.95 per share.Intuit projects fiscal 2025 revenues in the band of $18.16-$18.347 billion, indicating 12-13% growth.Further in its business segments, the Global Business Solutions segment revenues are expected in the range of $11.01-$11.106 billion, suggesting growth of 16-17% on a year-over-year basis. Consumer Group revenues are expected in the range of $4.739-$4.784 billion, indicating 7-8% growth. Credit Karma revenues are expected in the band of $1.795-$1.837 billion, suggesting 5-8% growth. ProTax revenues are forecasted between $615 million and $620 million, suggesting 3-4% growth.The company anticipates non-GAAP operating income between $7.241 billion and $7.316 billion.Intuit expects fiscal 2025 non-GAAP earnings per share between $19.16 and $19.36.Zacks Rank & Key PicksIntuit carries a Zacks Rank #3 (Hold) at present. Shares of INTU have lost 7.2% in the year-to-date period.Some better-ranked stocks from the broader Computer and Technology sector are Cogent Communications CCOI, Cambium Networks CMBM and Definitive Healthcare DH, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Cogent Communications, Cambium Networks and Definitive Healthcare are set to report their respective fourth-quarter 2024 results on Feb. 27.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Intuit Inc. (INTU): Free Stock Analysis Report Cogent Communications Holdings, Inc. (CCOI): Free Stock Analysis Report Cambium Networks Corporation (CMBM): Free Stock Analysis Report Definitive Healthcare Corp. (DH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks