Intuit Inc. Stock Falls Despite Q3 Earnings Beat

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Intuit Inc. (NASDAQ:INTU) stock declined late Tuesday as the company reported its fiscal third-quarter earnings results, which topped Wall Street’s expectations.

Intuit Inc.The company excelled in its third quarter as it reported a net income of $1.2 billion, or $4.68 per share, thanks in part to strong sales over its 2018 tax season. On an adjusted basis, earnings came in at $4.82 per share, while revenue amounted to $2.93 billion, or 15% increase compared to the year-ago quarter.

Wall Street was calling for Intuit to bring in adjusted earnings of $4.68 per share, while revenue was slated to tally up to $2.85 billion. The company said that its QuickBooks Online business was a success as it grew the service’s total subscribers by 45%, with the third quarter ending with roughly 3.2 million customers worldwide.

Plus, Intuit’s revenue from its small business and self-employed group went up by 41% compared to the year-ago quarter. The tax preparation service doubled the base of QuickBooks Self-Employed subscribers to roughly 683,000, while its consumer group gained by 15% compared to the year-ago quarter.

“We achieved very strong results this quarter, with overall revenue growth of 15 percent, and double-digit growth in both the Consumer Group and the Small Business and Self-Employed Group,” said Intuit CEO Brad Smith.

“We are pleased with our momentum across the Online Ecosystem and we are encouraged by our strong performance through the tax season, including the successful debut of TurboTax Live, which we’ll continue to scale next season.”

INTU shares fell about 0.2% after the bell Tuesday.


Article printed from InvestorPlace Media, https://investorplace.com/2018/05/intuit-inc/.

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