Intuit Earnings Beat Estimates as Company Leans Into AI Strategy

Intuit reiterated its financial outlook for fiscal 2026. (Eilon Paz/Bloomberg)

Intuit reported better-than-expected fiscal first-quarter financials on Thursday. The results come as the maker of TurboTax looks to boost its growth through artificial intelligence products.

Intuit reported adjusted earnings of $3.34 a share on revenue of $3.89 billion. Analysts surveyed by FactSet were expecting earnings of $3.09 a share on revenue of $3.76 billion.

In the same period last year, Intuit posted earnings of $2.50 a share on revenue of $3.28 billion.

“Really excited about the momentum that we showed in our Q1 results,” Chief Financial Officer Sandeep Aujla told Barron’s. “It’s basically the continuation of our strategy, and the execution of the strategy, carrying the momentum that we had in fiscal 2025 into Q1.”

Shares of Intuit were up 0.4% in after-hours trading following the results.

Intuit said it expects fiscal-second quarter earnings, which ends Jan. 31, to be between $3.63 a share to $3.68 a share. That’s below Wall Street’s estimate of $3.85 a share. Revenue, though, is seen exceeding estimates, with the company forecasting growth of 14% to 15%. That would imply revenue of $4.52 billion to $4.56 billion, ahead of Wall Street’s estimate for $4.46 billion.

The company reiterated its forecast for fiscal 2026.

Aujla told Barron’s that Intuit doesn’t raise its financial guidance before the company is finished with the crucial tax season, which brings in the most revenue for the company each year.

“We got plenty of game left to play and we still have a full tax season ahead of us,” he said.

Intuit has been implementing AI into its products, including TurboTax and Credit Karma, to improve customer experiences, and it’s investing more money into those endeavors.

On Tuesday,tThe company disclosed a $100 million deal with OpenAI. Intuit said it will be expanding the use of OpenAI’s models to help power AI agents across its platform. Also, customers who link their TurboTax accounts to OpenAI’s ChatGPT can now get more personalized answers to specific financial questions.

He said that 45% of customers are telling the company that by using the AI accounting agent in QuickBooks, they are saving 12 hours a month.

Intuit itself has cited $135 million worth of cost savings from the technology. “We’re using AI to address customers questions, so they get the answers they want without ever having to talk to a human expert,” Aujla said.

Write to Angela Palumbo at angela.palumbo@dowjones.com