Intuit reported earnings August 23, 2016. Earnings were up 12% yet the guidance on future growth seemed to disappoint.
While these numbers top estimates, Intuit’s tepid revenue guidance for the current quarter sent its shares trending downward after hours.
Intuit said it expects Q1 EPS ranging from a penny a share to 3 cents a share, which falls well below analyst estimates for 13 cents a share. Revenue is expected to range from $740 to $760 million, which would also miss estimates of $772.96 million. – ZDNET
For fiscal 2016 Intuit:
- Reported revenue of $4.7 billion, up 12 percent.
- Increased total QuickBooks Online subscribers 41 percent, to finish the year with 1,513,000 paid subscribers.
- Grew Consumer Tax revenue 10 percent, with TurboTax Online units growing 15 percent and total TurboTax units growing 12 percent.
- Reported GAAP earnings per share of $3.69, versus $1.28 in fiscal 2015.
- Reported non-GAAP earnings per share of $3.78, up 46 percent.
- Unless otherwise noted, all growth rates refer to the current period versus the comparable prior-year period, and the business metrics and associated growth rates refer to worldwide business metrics.
Business Segment Results
- Total Small Business segment revenue increased 10 percent for the quarter and 9 percent for the year.
- Small business online ecosystem revenue grew 25 percent for the year, driven by online customer acquisition.
- QuickBooks Self-Employed subscribers ended the year at 85,000, versus 25,000 a year ago.
- Outside the U.S., QuickBooks Online grew to 287,000 paying subscribers, up 45 percent.
- Online payroll customers grew 17 percent for the year.
- Online active payments customers increased 6 percent, and online payments charge volume increased 15 percent.
Some forecast highlights:
The company expects the following segment revenue results for fiscal year 2017:
- Small Business: growth of 9 to 11 percent.
- Consumer Tax: growth of 6 to 8 percent.
- ProConnect: decline of 1 to 3 percent.
Intuit also announced guidance for full fiscal year 2017. The company expects:
- Revenue of $5 billion to $5.1 billion, growth of 7 to 9 percent.
- GAAP operating income of $1.33 billion to $1.38 billion, growth of 7 to 11 percent.
- Non-GAAP operating income of $1.675 billion to $1.725 billion, growth of 8 to 11 percent.
- GAAP diluted earnings per share of $3.35 to $3.45, versus $3.69 in fiscal 2016. Fiscal 2016 earnings per share includes $0.65 net income per share from discontinued operations.
- Non-GAAP diluted earnings per share of $4.30 to $4.40, growth of 14 to 16 percent.
- QuickBooks Online subscribers of 2.0 million to 2.2 million
A transcript of the conference call (PDF) can be downloaded from here.
Source: Intuit press release
Did you miss some of the featured keynotes and conversations at Sage Summit 2016? Here’s a chance to review recordings of a number of keynotes as well as many presentations made within the Sage show floor.
Continue reading “Sage Summit 2016 Featured Presentations Available for On-Demand Playback”
Despite rumors that Sage Summit 2017 would begin a multi-year stay in Atlanta, beginning May 2017, there apparently is no official word on where or when Sage’s next annual conference will be held. Initial rumors had it moving to the east coast and shifting dates from August to May.
Continue reading “Where Is Sage Summit 2017?”
Intuit today announced a strategic alliance with BDO USA, LLP in which QuickBooks will serve as a part of an expected new BDO offering this fall.
BDO is expected to launch a new cloud business management solution for clients later this fall. As part of the small business component of the new online offering, BDO will partner with QuickBooks to offer clients online tools and processes to help them better manage their accounting. This includes several preferred, integrated apps that work with QuickBooks, including TSheets, Expensify and Qvinci.
CPA firm strategic relationships are important to software publishers as the market for accounting and ERP solutions matures and shifts from the model of simply moving from paper to online to one where companies are increasingly looking to fully integrate their existing solutions.
Many small businesses who have completed the process of automating accounting are ready for the next step of fully integrating other solutions such as online e-commerce, paperless billing and other integrations.
Software publisher Sage has also been very active in this market with the November 2014 introduction of Sage View which integrates to Sage One Accounting – US Edition, Sage 50 – US Edition and Intuit QuickBooks (Pro and Premiere 2012-2015) to provide dashboards of client data.
Source: Intuit Press Release
I spotted this post – NetSuite CEO: We have the best channel programme for SaaS partners – on CRN touting the success of the Netsuite’s channel program.
NetSuite chief executive Zach Nelson has hailed his firm’s channel programme as being “the best” for SaaS partners as he talks up the company’s channel credentials.
NetSuite has more than 500 partners worldwide, with around 75 partners in the UK, and 40 per cent of its business is done through the channel.
Compare this to January 2014 when Nelson said:
I don’t think there’s any [software-as-a-service] company, quite frankly, that’s doing 40 percent of their new business through the channel,” the CEO said. He added that the breakdown of NetSuite’s direct and indirect sales is “getting pretty darn close to 50-50.
Looks as if Netsuite’s percentage of sales through channel has leveled off.
The Answer Company, a leading business management software & technology consulting firm, announced today that BurCom Consulting, a long time fellow Sage Software business partner, will be joining the firm. With this announcement, The Answer Company becomes the largest Sage Software Business Partner in Western Canada, and the second largest Business Partner nationwide.
Founded in 1992, BurCom Consulting has a long and distinguished history of providing Sage solutions with an elite level of management consulting & accounting expertise. With offices in Edmonton, Calgary and Winnipeg, BurCom has been one of the largest Sage 300 (formerly Accpac) business partners in Western Canada.
Seems as if this happened around the beginning of February 2016 and is just being announced now.
Aside from being “headhunter heaven” and a site that most business don’t block their employees from accessing online, I have never been able to find much technically to like about LinkedIn. The site resembles something built on old technology which makes forum discussion posts awkward to create, impossible to edit and difficult to moderate.
New discussion features recently removed the ability to flag topics as promotional which largely opened the floodgates for bloggers who create thinly veiled advertisements,
Weak forward guidance and the slowest quarterly rise in ad revenue for two years were to blame. The firm turned in a $8.4 million loss on revenues of $862 million for its Q415. That’s revenue growth of 34% year-on-year, while full year revenues were up 35% to $2.99 billion.
Via: LinkedIn takes a beating from Wall Street – diginomica
Will these be the most promising solution providers or the ones most willing to pay a $3,000 sponsorship?
Full text follows.
Continue reading “CIOREVIEW Most Promising Sage Solution Providers 2016”
I am unsure what this means long-term for Sage Live and other products built on the Salesforce platform. I don’t think I’d want to be developing a quote-to-cash application and competing with a now native Salesforce offering.
On December 23, 2015, salesforce.com, inc. (the “Company”) entered into a definitive agreement (the “Merger Agreement”) to acquire SteelBrick, Inc. (“SteelBrick”). SteelBrick is a next generation quote-to-cash platform, delivered 100 percent natively on the Salesforce platform, that offers apps for automating the entire deal close process-from generating quotes and configuring orders to collecting cash. Following the acquisition, SteelBrick will be a wholly owned subsidiary of the Company.
Under the terms of the Merger Agreement, upon consummation of the acquisition, the Company will issue shares of Company common stock and assume stock options and other equity awards of SteelBrick for an aggregate consideration valued at approximately $360 million ($300 million net of cash acquired) after deducting consideration attributable to Salesforce Ventures’ existing investment in SteelBrick, subject to customary purchase price adjustments.
After 18 years, Sage CTO and Head of Strategy Himanshu Palsule has reportedly departed. Himanshu was responsible for all product and technology development, as well as guiding the overall product strategy, for the Sage product and services portfolio in North America.
In addition to strategy, Himanshu guided product portfolio management, technology and architecture, product management, customer connected innovation, led the R&D organization.
Sage’s JuanMi Rodriguez will step in and assist with leading North America product delivery, which includes product management. JuanMi is currently EVP of operations and global product delivery, as well as responsible for all customer-facing online products and cloud services.
In addition to Himanshu, Gabrielle Boko, who started as EVP and Regional CMO Marketing, North America and four months ago was appointed Sage’s EVP Global Brand Experience, has reportedly left Sage. Boko had been with Sage almost 2.5 years and was most visible around the Sage Summit customer conference events.