Intuit Beats Estimates as AI-Driven Tax Software Fuels Growth

Intuit, the maker of TurboTax, raised its revenue forecast for the third quarter, citing strong demand for its AI-powered financial software, Reuters reports.

The company's shares rose nearly 5% in extended trading following the announcement.

Intuit's Chief Financial Officer, Sandeep Aujla, expressed optimism about the full year, noting a robust start to the US tax season. This optimism is reflected in the company's raised revenue forecast, exceeding Wall Street expectations.

"We continue to feel very optimistic about the full year," Aujla stated, emphasizing the positive impact of the ongoing tax season on Intuit's software demand.

Intuit offers a range of financial management and compliance products, including TurboTax, Credit Karma, and QuickBooks. Its AI-powered assistant, Intuit Assist, is integrated across these platforms, providing personalized financial recommendations and automating tasks like bookkeeping.

The company launched its AI-powered tool for QuickBooks in November 2024, further enhancing its ability to support businesses in managing taxes and other financial tasks.

Despite the positive revenue outlook, Intuit's adjusted profit per share forecast for the third quarter fell short of analyst estimates.

Intuit reported second-quarter revenue exceeding expectations at $3.96 billion, and adjusted earnings per share also surpassed forecasts.

The company maintained its fiscal 2025 forecasts.

Intuit's strong performance highlights the growing demand for AI-driven financial services software, particularly during the crucial US tax season. The company's ability to leverage AI to enhance its products and provide personalized financial guidance is driving its growth trajectory.

"We ended up filling the roles at a faster pace than we had expected," Aujla said about the company's rehiring efforts following last year's workforce reduction.