Intuit(US:INTU)2022-05-23 16:00Revenue Growth - Total net revenue for the three months ended April 30, 2022, was $5,632 million, a 35% increase from $4,173 million in the same period of 2021[10]. - Service and other revenue increased to $5,078 million for the three months ended April 30, 2022, up 39% from $3,640 million in the prior year[10]. - For the nine months ended April 30, 2022, Intuit reported a net income of $2,122 million, an increase from $1,682 million in the same period of the previous year, representing a growth of 26%[20]. - Total net revenue for Q3 FY22 increased by $1.5 billion or 35% compared to Q3 FY21, reaching $5.632 billion[163]. - Total net revenue for the first nine months of fiscal 2022 increased by $3.2 billion or 46% compared to the same period in fiscal 2021[167]. Income and Earnings - Net income for the three months ended April 30, 2022, was $1,794 million, representing a 22.5% increase compared to $1,464 million in the same period of 2021[10]. - Basic net income per share rose to $6.35 for the three months ended April 30, 2022, compared to $5.36 in the same period of 2021[10]. - Operating income for the total segments was $3,600 million for the three months ended April 30, 2022, compared to $2,706 million in the same period of 2021, reflecting a 33% increase[129]. - Net income for Q3 FY22 increased by $330 million or 23% compared to Q3 FY21, totaling $1.794 billion[166]. - Operating income for the first nine months of fiscal 2022 increased by $548 million or 26% compared to the same period in fiscal 2021[168]. Cash and Assets - Cash and cash equivalents increased to $3,531 million as of April 30, 2022, up from $2,562 million as of July 31, 2021[14]. - Total assets grew to $28,514 million as of April 30, 2022, compared to $15,516 million as of July 31, 2021[14]. - Intuit's total cash, cash equivalents, restricted cash, and restricted cash equivalents at the end of the period was $3,870 million, compared to $3,312 million at the end of the previous year, marking a 17% increase[21]. - The balance of common stock at April 30, 2022, was $17,479 million, an increase from $10,382 million at the same time in the previous year, representing a growth of 68%[18]. - As of April 30, 2022, total cash equivalents amounted to $2,627 million, an increase from $1,660 million as of July 31, 2021, reflecting a growth of 58.2%[53]. Debt and Liabilities - Long-term debt increased to $6,853 million as of April 30, 2022, from $2,034 million as of July 31, 2021[14]. - The company has a $4.7 billion unsecured term loan maturing on November 1, 2024, which was fully drawn to fund the Mailchimp acquisition[84]. - Future principal payments for long-term debt total $6.87 billion, with $5.2 billion due in 2025[87]. - The present value of lease liabilities as of April 30, 2022, was $492 million, an increase from $446 million in the previous year[93]. Acquisitions and Investments - The company completed acquisitions totaling $5,682 million during the nine months ended April 30, 2022, compared to $3,064 million in the same period of 2021, representing an increase of 85%[20]. - The acquisition of Mailchimp was completed for a total purchase consideration of $12.0 billion, including $5.7 billion in cash and approximately $6.3 billion in Intuit common stock[72]. - Mailchimp contributed $257 million in revenue for the three months and $497 million for the nine months ended April 30, 2022[71]. - Goodwill increased to $13,731 million as of April 30, 2022, from $5,613 million on July 31, 2021, primarily due to the acquisition of Mailchimp[67]. Shareholder Returns - The company plans to return excess cash generated by operations to stockholders through stock repurchases and cash dividends[9]. - Intuit's stock repurchases amounted to $1,337 million during the nine months ended April 30, 2022, compared to $542 million in the prior year, indicating a significant increase of 147%[20]. - The company declared dividends totaling $580 million for the nine months ended April 30, 2022, compared to $482 million in the same period of 2021, which is a 20% increase[21]. Segment Performance - Small Business & Self-Employed segment revenue reached $1,667 million for the three months ended April 30, 2022, up 42% from $1,177 million in the prior year[129]. - Consumer segment revenue increased to $3,239 million for the three months ended April 30, 2022, compared to $2,445 million in the same period of 2021, representing a 32% growth[129]. - Credit Karma generated $468 million in revenue for the three months ended April 30, 2022, a 48% increase from $316 million in the same quarter of 2021[130]. - Revenue for the Small Business & Self-Employed segment increased by $490 million or 42% in Q3 FY22 and $1.3 billion or 37% in the first nine months of FY22 compared to the same periods in FY21[180]. Operating Expenses - Total operating expenses for Q3 FY22 increased by $749 million or 45%, reaching $2.413 billion, while total net revenue increased by $1.5 billion or 35%[201]. - Total operating expenses for the first nine months of FY22 increased by $2.1 billion or 56%, totaling $5.860 billion, against a revenue increase of $3.2 billion or 46%[202]. - Selling and marketing expenses for Q3 FY22 were $1.227 billion, accounting for 22% of total net revenue, compared to $857 million or 21% in Q3 FY21[200]. Future Outlook - The company expects to continue investing significantly in product development and marketing to drive future growth[9]. - Intuit anticipates that total service and other revenue as a percentage of total revenue will continue to grow[9]. - The company expects total service and other revenue, which was $7.9 billion or 82% of total revenue in fiscal 2021, to continue growing in the future[159].