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    INTU
    Earnings call· Jul 2025(Q4 FY25)

    INTUIT INC. INTU

    Aug 21, 2025 Source

    Executive summary

    Intuit Q4 FY25 — Strong FY25 Performance Driven by AI-Driven Expert Platform and Mid-Market Growth

    Intuit concluded FY25 with robust performance, driven by its AI-driven expert platform strategy and significant traction in the mid-market. The company's focus on consolidating customer tech stacks and spend, coupled with breakthrough adoption of TurboTax Live, fueled double-digit revenue growth and margin expansion. Management is confident in continued strong growth and margin expansion for FY26, leveraging AI agents and human expertise to deliver done-for-you experiences across its consumer and business platforms.

    Highlights

    5

    • Full year revenue grew 16%, accelerating 2 points from FY24, with strong operating margin expansion.

    • TurboTax Live revenue grew 47% in FY25, significantly exceeding the long-term expectation of 15% to 20%.

    • Credit Karma revenue grew 32% in FY25, contributing 1 point to tax revenue growth.

    • Online Ecosystem revenue for QBO Advanced and Intuit Enterprise Suite (mid-market) grew approximately 40% for the quarter and year.

    • Non-GAAP operating income grew 39% in Q4 FY25 to $1 billion.

    Concerns

    2

    • Mailchimp revenue was down slightly in Q4 FY25 and was a drag on overall growth, though expected to exit FY26 growing double digits.

    • Overall online paying customers grew 5%, reflecting headwinds in Mailchimp and international businesses.

    Guidance & targets

    20
    CategoryTargetConfidence
    Total Company Revenue Growth
    12% to 13%
    high materiality
    High
    Global Business Solutions Group Revenue Growth
    14% to 15%
    medium materiality
    High
    Global Business Solutions Group Revenue Growth (ex-Mailchimp)
    15.5% to 16.5%
    medium materiality
    High
    Consumer Group Revenue Growth
    8% to 9%
    medium materiality
    High
    TurboTax Growth
    8%
    medium materiality
    High
    Credit Karma Growth
    10% to 13%
    medium materiality
    High
    ProTax Growth
    2% to 3%
    medium materiality
    High
    GAAP Diluted Earnings Per Share Growth
    13% to 15%
    high materiality
    High
    Non-GAAP Diluted Earnings Per Share Growth
    14% to 15%
    high materiality
    High
    GAAP Tax Rate
    approximately 23%
    low materiality
    High
    Total Company Revenue Growth
    14% to 15%
    high materiality
    High
    GAAP Earnings Per Share
    $1.19 to $1.26
    high materiality
    High
    Non-GAAP Earnings Per Share
    $3.05 to $3.12
    high materiality
    High
    Long-term Global Business Solutions Group Revenue Growth
    15% to 20%
    high materiality
    High
    Long-term Online Paying ARPC Growth
    10% to 20%
    medium materiality
    High
    Long-term Online Paying Customer Growth
    5% to 10%
    medium materiality
    High
    Long-term TurboTax Revenue Growth
    6% to 10%
    high materiality
    High
    Long-term TurboTax Live Revenue Growth
    15% to 20%
    high materiality
    High
    Long-term Credit Karma Revenue Growth
    10% to 15%
    high materiality
    High
    Mailchimp Revenue Growth
    double digits
    medium materiality
    High

    Segment performance

    13
    SegmentRevenueYoYQoQMargin
    Global Business Solutions Group
    Q4 FY25 growth. Grew 21% excluding Mailchimp in Q4. Full year FY25 growth was 16%, or 18% excluding Mailchimp.
    		—18%——
    Online Ecosystem
    Q4 FY25 growth. Grew 26% excluding Mailchimp in Q4. Full year FY25 growth was 20%, or 25% excluding Mailchimp.
    		—21%——
    QuickBooks Online Accounting
    Q4 FY25 growth. Full year FY25 growth was 22%. Driven by higher effective prices, customer growth, and mix shift.
    		—23%——
    Online Services
    Q4 FY25 growth. Grew 29% excluding Mailchimp in Q4. Full year FY25 growth was 19%, or 29% excluding Mailchimp. Driven by money (payments, capital, bill pay) and payroll.
    		—19%——
    Mailchimp
    Q4 FY25 performance, in line with expectations. Expected to exit FY26 growing double digits.
    		—down slightly——
    Online Ecosystem (QBO Advanced and Intuit Enterprise Suite)
    Q4 and FY25 growth. Serves mid-market.
    		—40%——
    Online Ecosystem (Small Businesses and rest of base)
    Q4 and FY25 growth.
    		—18%——
    Desktop Ecosystem
    Q4 FY25 growth. Full year FY25 growth was 5%.
    		—10%——
    QuickBooks Desktop Enterprise
    Q4 FY25 growth. Full year FY25 growth was high single digits.
    		—mid-teens——
    Consumer Group
    FY25 revenue and growth. Outstanding tax performance.
    		$4.9 billion10%——
    TurboTax Live
    FY25 revenue growth, a 30-point acceleration from last year.
    Customer growth: 24%
    		—47%——
    ProTax Group
    FY25 revenue and growth.
    		$621 million4%——
    Credit Karma
    Q4 FY25 growth. Full year FY25 growth was 32%. Personal loans accounted for 15 points of growth, credit cards 13 points, and auto insurance 5 points in Q4. Drove 1 point of tax revenue growth in FY25.
    		—34%——

    Operational metrics

    29
    Full Year Revenue Growth
    16%up 2 points from FY24
    FY25

    Accelerated from prior year.

    Operating Margin Expansion
    strong
    FY25
    GAAP Operating Income Growth
    36%
    FY25
    Non-GAAP Operating Income Growth
    18%
    FY25
    Total Company Revenue Growth
    20%
    Q4 FY25

    Q4 FY25 revenue was $3.8 billion.

    GAAP Operating Income
    $339 millionversus a loss of $151 million last year
    Q4 FY25
    Non-GAAP Operating Income
    $1 billionup 39%
    Q4 FY25
    GAAP Diluted Earnings Per Share
    $1.35versus a diluted loss per share of $0.07 last year
    Q4 FY25
    Non-GAAP Diluted Earnings Per Share
    $2.75up 38%
    Q4 FY25
    Online Ecosystem ARPC Growth
    14%accelerated more than 3 points
    FY25
    Combined QBO Advanced and Intuit Enterprise Suite Customers Growth
    23%
    FY25
    U.S. QBO Customers Growth (ex-Self-Employed)
    8%
    FY25
    Overall Online Paying Customers Growth
    5%
    FY25

    Reflects headwinds in Mailchimp and international businesses.

    Total Online Payment Volume Growth
    18%relatively consistent with the range we have seen over the last several quarters
    Q4 FY25
    Cash and Investments Balance
    $4.6 billion
    Q4 FY25

    As of quarter end.

    Total Debt
    $6 billion
    Q4 FY25

    As of quarter end.

    Stock Repurchases
    $748 million
    Q4 FY25
    Stock Repurchases
    $2.8 billion
    FY25
    Quarterly Dividend Per Share
    $1.2015% increase versus last year
    Q1 FY26

    Payable on October 17, 2025.

    Mid-Market Customer Annual Revenue Range
    $2.5 million to $100 million
    Current

    Target customer segment for Intuit Enterprise Suite.

    Mid-Market Total Addressable Market (TAM)
    $89 billion
    Current
    Business Platform Total Addressable Market (TAM)
    $180 billion
    Current

    Roughly half of which is mid-market.

    Credit Karma In-App Users
    100 million
    Current

    Less than 1% of traffic from SEO search.

    AI Search Traffic Share
    1%
    Current

    Of overall traffic. Overall traffic is up significantly.

    Credit Card Balances Growth (Consumer)
    4%
    YoY

    Slower growth compared to double digits in prior years.

    Credit Scores Change (Consumer)
    down about 10 points
    Current

    Depending on credit band.

    Businesses on Platform (Profits and Cash Flows)
    up
    YoY

    Across 10 million customers.

    Businesses on Platform (Revenues)
    generally flat
    Current

    Across 10 million customers.

    Invoice Reminder Impact (Payments AI Agent)
    10%higher payments volume and conversion
    Current

    For customers using the invoice reminder feature.

    Industry KPIs

    4
    MetricValueDetails
    Revenue growth16%%
    Customer account count5%%
    Large deal new logo metrics2xmultiple
    Ai product adoption monetizationmillionscustomers

    Product announcements

    2
    ProductTypeDetails
    All-in-one business platform with virtual team of AI agents and AI-enabled human expertslaunch
    Intuit Enterprise Suite (IES) July Product Releaseupdate

    Deals & partnerships

    1
    Rapidly growing top 25 accounting and technology advisory firmPartnership to help accountants serve business customers more efficiently and grow practices profitably.

    Signed in Q4 FY25, focused on driving IES deals through accountants.

    Risks & headwinds

    4
    Mailchimp revenue dragQ4 FY25

    down slightly

    Mitigation: Focused on sales playbook for mid-market and product improvements for small businesses; expect to exit FY26 growing double digits.

    Headwinds in international businessesFY25

    impacted overall online paying customer growth of 5%

    Mitigation: Game plans in place to accelerate growth in the future.

    Consumer financial strainCurrent

    credit card balances up 4% YoY (slower than prior years), credit scores down ~10 points

    Mitigation: Focusing on less cyclical offerings like tax and insurance, and targeting prime customers within Credit Karma.

    Business revenue stagnation in some sectorsCurrent

    revenues generally flat across 10 million customers; sectors like real estate, advertising, manufacturing are down

    Mitigation: Leveraging AI agents and all-in-one platform to drive efficiency and growth for customers, leading to increased profits and cash flows overall.

    What to watch in Q1 FY26

    5

    Mailchimp Revenue Growth Trajectory

    next quarter / throughout FY26
    Currentdown slightly
    Targetshowing signs of ramp towards double-digit exit for FY26

    Why it matters

    Mailchimp was a drag on overall growth in FY25; its recovery is key to GBSG acceleration.

    We expect Mailchimp to exit fiscal 2026 growing double digits.

    Q&A highlights

    8

    What areas of GBSG are most exciting for FY26, what was learned from FY25 execution, and what is the view on lead generation given concerns about SEO search slowdown?

    Sasan highlighted strong customer growth in U.S. QBO (8%) and mid-market (23%), the all-in-one platform with AI agents driving engagement, and 40% growth in mid-market. He stated AI search is only 1% of traffic, overall traffic is up, and top brands have 10x visibility. Credit Karma is not reliant on SEO.

    “AI search is 1% of our overall traffic. And the top 25% brands actually have a 10x visibility in AI search.”

    asked by Sitikantha Panigrahi (Mizuho) · answered by Sasan Goodarzi

    2 min read6 chapters

    Detailed Narrative

    01

    AI-Driven Expert Platform Strategy

    Intuit's years of investment in data, AI, and human intelligence have fueled strong FY25 results, with a focus on delivering "done-for-you" experiences. The company launched a transformative all-in-one business platform featuring virtual AI agents and AI-enabled human experts, automating workflows and providing real-time insights to improve cash flow and fuel growth for customers. This strategy aims to consolidate customers' tech stack and spend, significantly increasing their ROI.

    02

    Mid-Market Penetration

    Intuit is making strong progress in the mid-market, targeting customers with $2.5 million to $100 million in annual revenue, representing an $89 billion TAM. The Intuit Enterprise Suite (IES) and QBO Advanced offerings are designed to automate complex tasks and provide insights. The company reported a nearly 2x increase in new billed IES customers in Q4 versus Q3, with successful adoption by large customers, including one with over 200 entities.

    03

    Consumer Platform Momentum

    The Consumer Group delivered an outstanding year with 10% revenue growth, driven by a 47% increase in TurboTax Live adoption and 24% customer growth. Credit Karma grew 32% in FY25 and contributed 1 point to tax revenue growth, demonstrating the opportunity for year-round engagement and monetization across the consumer platform. Investments are focused on durable double-digit growth.

    04

    Mailchimp Turnaround

    Mailchimp was a drag on growth in FY25, but management expects it to exit FY26 with double-digit growth. This confidence is based on a successful sales playbook targeting larger mid-market customers, increased sales headcount, and product improvements leading to the highest customer satisfaction since acquisition. The company is focused on ensuring small businesses can achieve initial benefits within 30 days.

    05

    AI Search Impact

    Management addressed concerns about AI search's impact, stating that AI search currently accounts for only 1% of Intuit's overall traffic, which was up significantly this year. Top brands like Intuit's (QuickBooks, Credit Karma, TurboTax, Mailchimp) benefit from 10x visibility in AI search. Credit Karma is not reliant on SEO search, with less than 1% of its traffic from this source. The majority of Intuit's growth comes from recommendations, with search overall representing less than 15% of its total traffic.

    06

    SMB Macro Environment

    Intuit observes that consumers are stretched, with credit card balances up 4% YoY (slower than prior years) and credit scores down ~10 points. For businesses on its platform, revenues are generally flat, but profits and cash flows are up YoY across its 10 million customers. Some sectors like real estate and manufacturing are down, while others are up, indicating a mixed but overall resilient SMB environment.

    AI-generated summary of the company’s earnings call. Not investment advice.