Nasdaq:INTU
INTUIT INC.
A leading provider of cloud-based business management software and consumer financial products with strong recurring revenue from its subscription ecosystem.
Key Metrics
Investment Thesis
Bull Case
The company's diversified subscription model provides high visibility into future cash flows and protects against single-product volatility. Consistent double-digit revenue growth and expanding profit margins suggest a resilient business that can weather economic cycles while increasing shareholder value through buybacks and dividends.
Bear Case
Valuation multiples may be stretched given the premium paid for its dominant market position and predictable earnings stream. Heavy reliance on US markets and potential regulatory actions could materially impact future growth rates and margin expansion.
About INTUIT INC.
Intuit Inc. provides business management software and services to small and mid-sized businesses, primarily through its TurboTax, QuickBooks, Credit Karma, and Macrium platforms. The company operates across the United States, Canada, Australia, New Zealand, India, and Japan, serving millions of individual consumers and enterprise clients. Its diversified portfolio spans tax preparation, accounting automation, banking services, and small business financial management tools.
Analysis
Management Discussion
Intuit demonstrated robust financial health with revenue growing from $14.37B in 2023 to $18.83B in 2025, driven by successful product diversification beyond its core tax business. Net income expanded significantly alongside revenue, rising from $2.38B to $3.87B over the same period, indicating strong operational leverage and pricing power.
Industry Overview
The global business management software market is experiencing a rapid shift toward cloud-native SaaS solutions, favoring companies with established ecosystem lock-ins like Intuit. However, the sector faces increasing competition from large tech giants and AI startups attempting to replicate core functionalities at lower price points.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue | $14.37B | $16.29B | $18.83B |
| Cost of Revenue | $0 | $0 | $0 |
| Gross Profit | $14.37B | $16.29B | $18.83B |
| Operating Expenses | $11.23B | $12.65B | $13.91B |
| Operating Income | $3.14B | $3.63B | $4.92B |
| R&D | $2.54B | $2.75B | $2.93B |
| G&A | $1.30B | $1.42B | $1.60B |
| Marketing | $3.76B | $4.31B | $5.04B |
| Stock-Based Comp | $1.71B | $1.94B | $1.97B |
| Depreciation | $160.0M | $159.0M | $172.0M |
| Amortization | $483.0M | $483.0M | $481.0M |
| Other OpEx | $3.63B | $4.17B | $4.34B |
| Non-Operating Income | $-152.0M | $-80.0M | $-89.0M |
| Pre-Tax Income | $2.99B | $3.55B | $4.83B |
| Income Tax | $605.0M | $587.0M | $965.0M |
| Continuing Ops | $2.38B | $2.96B | $3.87B |
| Discontinued Ops | $0 | $0 | $0 |
| Net Income | $2.38B | $2.96B | $3.87B |
| Minority Interest | $0 | $0 | $0 |
| Net to Common | $2.38B | $2.96B | $3.87B |
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Current Assets | $5.56B | $9.68B | $14.11B |
| Cash & Equivalents | $2.85B | $3.61B | $2.88B |
| Accounts Receivable | $405.0M | $457.0M | $530.0M |
| Prepaid Expenses | $354.0M | $366.0M | $496.0M |
| Other Current Assets | $1.95B | $5.25B | $10.20B |
| Long-Term Assets | $22.22B | $22.45B | $22.85B |
| PP&E (Net) | $969.0M | $1.01B | $961.0M |
| Goodwill | $13.78B | $13.84B | $13.98B |
| Operating Leases | $469.0M | $411.0M | $541.0M |
| LT Investments | $105.0M | $131.0M | $94.0M |
| Other LT Assets | $6.90B | $7.06B | $7.28B |
| Total Assets | $27.78B | $32.13B | $36.96B |
| Current Liabilities | $3.79B | $7.49B | $10.37B |
| Accounts Payable | $638.0M | $721.0M | $792.0M |
| Current Debt | $0 | $499.0M | $0 |
| Current Leases | $89.0M | $71.0M | $69.0M |
| Deferred Revenue | $921.0M | $872.0M | $1.02B |
| Taxes Payable | $698.0M | $8.0M | — |
| Other Current Liab | $1.44B | $5.32B | $8.49B |
| Long-Term Liabilities | $6.72B | $6.21B | $6.88B |
| Long-Term Debt | $6.12B | $5.54B | $5.97B |
| LT Operating Leases | $480.0M | $458.0M | $597.0M |
| Other LT Liab | $40.0M | $47.0M | $66.0M |
| Total Liabilities | $10.51B | $13.70B | $17.25B |
| Shareholders' Equity | $17.27B | $18.44B | $19.71B |
| Retained Earnings | $15.07B | $16.99B | $19.67B |
| AOCI | $-55.0M | $-54.0M | $-50.0M |
| Treasury Stock | $16.77B | $18.75B | $21.54B |
| Total L&E | $27.78B | $32.13B | $36.96B |
| Metric | 2023 | 2024 | 2025 |
|---|---|---|---|
| Net Income (CFO) | $2.38B | $2.96B | $3.87B |
| Non-Cash Adjustments | $2.72B | $1.66B | $1.68B |
| Working Capital Changes | $-62.0M | $260.0M | $654.0M |
| Cash from Operations | $5.05B | $4.88B | $6.21B |
| Capital Expenditures | $210.0M | $191.0M | $84.0M |
| Cash from Investing | $-922.0M | $-227.0M | $-2.32B |
| Debt Repayments | $1.01B | $4.20B | $500.0M |
| Share Buybacks | $1.97B | $1.99B | $2.77B |
| Dividends Paid | $889.0M | $1.03B | $1.19B |
| Cash from Financing | $-4.27B | $-397.0M | $-1.51B |
| FX Effect | $0 | $-13.0M | $3.0M |
| Net Change in Cash | $-145.0M | $4.25B | $2.38B |
| Beginning Cash | $3.00B | $2.85B | $7.10B |
| Ending Cash | $2.85B | $7.10B | $9.48B |
Frequently Asked Questions
How does INTUIT INC. make money?
TurboTax for individual income tax preparation; QuickBooks for small business accounting and payroll; Credit Karma Connect offering free financial monitoring and banking services; Macrium providing enterprise-grade risk management and compliance solutions.
What are the main risks for INTU?
Regulatory headwinds from increasing US federal scrutiny regarding tax preparation practices; potential disruption from AI-driven competitors lowering barriers to entry; macroeconomic downturns affecting SMB spending on software subscriptions; and concentration risk in the North American market.
What is INTU's competitive advantage?
Deeply entrenched network effects within the SMB market that create high switching costs; a powerful proprietary data flywheel enhancing product relevance; and a dominant brand reputation built on trust and ease of use.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.