Intuit Q3 Earnings Surpass Estimates, Revenues Increase Y/Y

Core Insights - Intuit (INTU) reported fiscal third-quarter 2025 non-GAAP earnings of $11.65 per share, exceeding the Zacks Consensus Estimate by 6.98%, with an 18% increase year-over-year [1] - Revenues reached $7.75 billion, surpassing the consensus mark by 2.78% and reflecting a 15.1% year-over-year growth [1] Revenue Breakdown - Global Business Solutions Group revenues, accounting for 36.7% of total revenues, grew 19.4% year-over-year to $2.85 billion [2] - Online Ecosystem revenues within this segment increased 18% year-over-year to $2.1 billion [2] - QuickBooks Online Accounting revenues rose 21% year-over-year to $1.04 billion, driven by higher effective prices, customer growth, and mix-shift [2] - Online Services revenues, including payroll and payments, jumped 18% year-over-year to $1.05 billion [3] - Consumer Group revenues, making up 52.2% of total revenues, increased 10.8% to $4.05 billion [3] - ProTax Group's professional tax revenues rose 9.4% year-over-year to $278 million [3] - Credit Karma contributed $579 million to total revenues, marking a 30.7% year-over-year increase [4] Financial Performance - Non-GAAP operating income climbed 17% to $4.34 billion, with a non-GAAP operating margin increase of 90 basis points to 56% [4] - As of April 30, 2025, Intuit's cash and investments totaled $6.2 billion, up from $2.5 billion as of January 31, 2025 [5] - The company had long-term debt of $5.9 billion and repurchased $754 million of stock during the fiscal third quarter [5] - A quarterly dividend of $1.04 per share was approved, representing a 16% year-over-year increase [5] Future Outlook - For fiscal fourth quarter 2025, revenues are expected to grow between 17% and 18% year-over-year, projected in the range of $3.72-$3.76 billion [6] - Non-GAAP earnings for the quarter are estimated between $2.63-$2.68 per share [6] - Fiscal 2025 revenues are projected to be between $18.72-$18.76 billion, indicating approximately 15% growth [6] - Global Business Solutions segment revenues are expected to grow 16% year-over-year, while Consumer Group revenues are anticipated to grow around 10% [7] - Credit Karma revenues are projected to grow 28%, and ProTax revenues are forecasted to grow 3-4% [7] - Non-GAAP operating income is expected to be between $7.54 billion and $7.56 billion, with non-GAAP earnings per share projected between $20.07 and $20.12 for fiscal 2025 [7]