Intuit Inc. (NASDAQ:INTU)’s President and CEO Brad Smith spoke with Jon Fortt on CNBC today and discussed the company’s most recent earnings report and their organizational shift to a cloud and mobile-based service company.
“[…] We are accelerating to the cloud, we have over 30 million of our 45 million customers already in the cloud, and quarter over quarter it continues to grow. In small business this quarter we grew 40% in terms of subscriber growth, up from 36% the prior quarter. And outside the United States the growth was over 150%,” Smith said.
Intuit Inc. (NASDAQ:INTU) is the accounting software developer behind QuickBooks, which has now been migrated to QuickBooks Online, a subscription-based service, as well as the DIY accounting software TurboTax.
As Smith added, this is not Intuit Inc. (NASDAQ:INTU)’s first platform shift. The 30-year-old company first began on DOS, and has since migrated through several platforms before now making the move to the cloud and mobile. Smith believes they have a clear path to the future and that they will continue to be the market leader in accounting software.
Intuit Inc. (NASDAQ:INTU) has had a rough go on the markets today after they announced their fiscal fourth-quarter results yesterday. For the period ending July 31, the company had a loss of $39 million, though revenue was up 13% on the year to $714 million. Their fiscal 2015 projections also came in well below the earlier expectations of analysts surveyed by Thomson Reuters. Despite the results and estimates, Barclays raised their price target on Intuit today to $90. The stock has fallen more than 2% today to under $84, though it remains up about 10% year-to-date.
Generation Investment Management, a fund run by David Blood and former US Vice President Al Gore, are the largest shareholders in Intuit Inc. (NASDAQ:INTU) with more than 4.2 million shares as of their most recent 13F filing.