MOUNTAIN VIEW (dpa-AFX) - Intuit Inc. (INTU) Tuesday reported an increase in third-quarter profit, as the accounting software maker's revenue grew 13 percent on strong performance at the consumer tax unit.
Intuit, which makes software like QuickBooks and TurboTax to file taxes, said revenues for the quarter grew 13 percent to $2.18 billion from $1.93 billion a year ago.
Fourteen analysts polled by Thomson Reuters had a consensus revenue estimate of $2.18 billion for the quarter.
Intuit generates about half of its annual revenues in the third quarter, due to the tax season. Revenue growth for the quarter reflects strong performance at Consumer Tax division, the biggest segment, where revenues grew 14 percent to $1.22 billion.
Chief Executive Brad Smith said, 'TurboTax paid units increased 4 percent, and we expect TurboTax revenue growth of about 4 percent for the fiscal year. While it was a challenging tax season overall, we made progress in several key areas, growing new customers including first-time filers and former tax store customers, and significantly increasing mobile adoption.'
Mountain View, California-based Intuit's third-quarter profit rose to $822 million or $2.71 per share from $734 million or $2.42 per share last year. Excluding items, earnings rose to $2.97 per share from $2.52 per share last year.
On average, 19 analysts expected earnings of $2.93 per share for the quarter. Analysts' estimates typically exclude special items.
Late last month, Intuit had lowered its third-quarter and full year outlook, hurt by a 2 percent decline in Internal Revenue Service returns received in the recent tax season.
Looking forward to the fourth quarter, Intuit expects earnings of $0.07 to $0.11 per share, adjusted earnings of $0.03 to $0.07 per share and revenues of $702 million to $727 million.
Analysts currently estimate earnings of $0.11 per share with revenues of $726.72 million for the fourth quarter.
For the full year 2013, Intuit expects earnings of $2.77 to $2.81 per share, down from previous estimate of $2.90 to $2.94 per share.
The company, however, continues to see adjusted earnings of $3.31 to $3.35 per share and revenues of $4.50 billion to $4.52 billion.
Analysts currently estimate earnings of $3.33 per share on revenues of $4.51 billion for the year.
INTU closed Tuesday's trading at $57.89, down $1.75 or 2.93%, on the Nasdaq. The stock, however gained $0.23 or 0.40%, in after hours trade.
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