Intuit Reiterates Q1, FY16 Outlook; Sees Higher Earnings In FY17

(RTTNews) - Accounting software maker Intuit Inc (INTU) on Thursday reiterated its financial outlook for the first quarter and fiscal 2016. The company also forecast higher earnings for fiscal 2017 compared to the preceding year.

Intuit is hosting its annual investor day today at its Mountain View, California headquarters. The company's president and chief executive officer Brad Smith will address the company's sharpened focus in its businesses that strengthen the ecosystem and align with its strategic goals.

In addition to Smith's presentation, Chief Financial Officer Neil Williams will present Intuit's financials, including an overview of drivers of subscriber and earnings growth. The session will also include overviews of Intuit's strategic priorities, presented by the company's senior leaders.

For the first quarter of fiscal 2016, Intuit reiterated its outlook for reported loss of $0.27 to $0.26 per share, adjusted loss of $0.04 to $0.03 per share, and revenues of $660 million to $680 million.

On average, analysts polled by Thomson Reuters currently expect the company to report loss of $0.04 per share for the quarter on revenues of $670.29 million. Analysts' estimates typically exclude special items.

For fiscal 2016, Intuit reaffirmed its outlook for reported earnings of $2.50 to $2.55 per share, adjusted earnings of $3.40 to $3.45 per share, and revenues of $4.525 billion to $4.600 billion. The Street expects the company to earn $3.43 per share for the year on revenues of $4.57 billion.

For fiscal 2017, Intuit forecast reported earnings of $3.25 to $3.75 per share and adjusted earnings of $4.00 to $4.50 per share. Analysts expect earnings of $4.61 per share for the year on revenues of $5.09 billion.

The company projects QuickBooks Online subscribers of 2.0 million to 2.2 million in fiscal 2017, implying average year-over-year growth of more than 40 percent over the next two years.

In late August, Intuit reported a turnaround to profit in the fourth quarter, driven by gains from discontinued operations, even as increased operating expenses offset a 7 percent climb in revenues.

INTU is trading at $86.77, down $2.70 or 3.02 percent on a volume of 1.16 million shares.