Shares of Intuit Inc. (INTU) fell today after the company, which provides accounting software and tax solutions through its QuickBooks and TurboTax subsidiaries, announcement financial results for the second quarter of fiscal 2022.
The company increased its total revenue by 70% to $2.7 billion thanks to the acquisition of Mailchimp, which it completed in the second quarter, and a full quarter of Credit Karma, which it acquired in 2020.
However, excluding Mailchimp and Credit Karma, total revenue increased by 39%.
Increase in small business income
Intuit saw strong growth in its small business segment during the quarter.
QuickBooks Online Accounting revenue increased 35% in the quarter, primarily due to higher effective pricing, customer growth and change in membership.
“We are seeing continued strong momentum across the company as we focus on our mission to power prosperity and solve our customers’ biggest financial problems,” said Sasan Goodarzi, CEO of Intuit.
“Our platform continues to thrive as digitalization is more important than ever. As we navigate tax season, we’re proud to help customers get the biggest refund they deserve.”
Online Services revenue also grew to $574 million, up 139%, driven by the addition of Mailchimp and growth in QuickBooks Online Payroll and QuickBooks Online Payments, up from $240 million. dollars the previous year.
Intuit expects third-quarter revenue of $12.16 billion to $12.3 billion and growth of around 26-28% (including MailChimp)
Excluding Mailchimp, revenue growth is expected between 18-20%.
GAAP diluted earnings per share are expected to be between $7.00 and $7.16, down approximately 7-5%.
Intuit is still working to finalize the purchase price accounting process for its purchase of MailChimp, which could have a one-time impact on its second quarter GAAP results and fiscal year 2022 GAAP guidance released today.