Turbo Tax maker Intuit posts higher 2Q profit than expected, raises its full-year guidance

Turbo Tax maker Intuit reports 2Q profit up 34 pct

MOUNTAIN VIEW, Calif. — Intuit Inc. on Thursday said strong sales of its tax-preparation software helped lift its fiscal second-quarter profit 34 percent and beat Wall Street’s forecast. The company also raised its forecasts for full-year revenue and profit.

Intuit reported net income of $114 million, or 35 cents per share, for the three months that ended Jan. 31, up from a profit of $85 million, or 26 cents per share, in the period a year earlier.

Intuit recorded its strongest revenue growth, of 15 percent, at its consumer tax business, boosted by its Turbo Tax Online software. Its revenue overall rose 8 percent to $837 million from $773 million, while analysts forecast revenue of $813.6 million.

Selling its Intuit Real Estate Solutions unit last month boosted the company’s quarterly profit $34 million.

Not counting one-time items, Intuit earned 38 cents per share. Analysts surveyed by Thomson Reuters, who typically exclude one-time items, on average had expected it to earn 32 cents per share.

Based on its strength in the second quarter, Intuit said it was raising its full fiscal year outlook and now expects to earn $1.97 to $2.04 per share, excluding one-time items. On that basis, analysts are expecting a profit of $1.95 per share.

Intuit now expects full-year revenue of $3.3 billion to $3.4 billion, representing growth of 6 percent to 9 percent from the previous year. Analysts are expecting revenue of $3.34 billion, on average.

Intuit, based in Mountain View, Calif., reported results after the market’s close. During regular trading Thursday, its shares rose 41 cents to close at $30.32. After hours, the shares tacked on $1.86, or 6.1 percent, rising to $32.18.

The company reported smaller revenue gains at its payment solutions, employee management solutions, financial institutions and small business units. Those gains were partly offset by shrinking revenue at the financial management solutions and accounting professionals businesses.