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Intuit: TurboTax Use Rose 6% From Year-Ago Tax Season, Warns On 3Q Revenue

DOW JONES NEWSWIRES Use of Intuit Inc.'s (INTU) TurboTax tax-preparation service rose 6% from a year earlier, though the digital category's growth was at the low end of its expectations. Shares slid 3.5% to $58.76 in recent trading. Shares are up 12% this year. For the tax season ended Wednesday, TurboTax handled a total of 24.5 million federal filings, up from 23.1 million a year earlier. The company said filings through TurboTax online rose 11%, while use of TurboTax desktop software fell 3.5%. Intuit, which makes TurboTax and QuickBooks, has posted topline growth as cost-conscious consumers and businesses have been choosing less-expensive software to handle financial accounting and reporting tasks. Intuit also is adding cloud services, mobile apps and other features to make the online utilities more useful. Intuit backed its full-year forecast and said fiscal third-quarter revenue should be at or slightly below its guidance. The company reported in February its fiscal second-quarter profit climbed 62% as the shift to online services generated better-than-expected tax business and contributed to a 16% revenue increase. -By Melodie Warner, Dow Jones Newswires; 212-416-2283; [email protected]

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