Summary
Intuit's fiscal 2026 third quarter, which ended April 30, 2026, delivered revenue of $8.56 billion, up 10.4 percent from the prior-year quarter. Revenue for the first nine months was $17.09 billion, up 14.0 percent. Operating income was $4.02 billion in the quarter, up 8.1 percent, and $5.41 billion year to date, up 18.0 percent. Net income came in at $3.06 billion for the quarter, up 8.7 percent, and $4.20 billion year to date, up 20.5 percent. Diluted earnings per share was $11.09 in the quarter, up 10.7 percent, and $15.05 year to date, up 22.1 percent. Operating margin was 47.0% in the quarter, down 1.0 percentage point from the prior-year quarter, while the year-to-date operating margin was 31.6%, up 1.1 percentage points.
Global Business Solutions revenue grew 15 percent in the quarter, and Consumer revenue grew 8 percent. Inside Global Business Solutions, Online Ecosystem revenue rose 19 percent, with QuickBooks Online Accounting revenue up 22 percent and Online Services revenue up 15 percent. TurboTax revenue grew 7 percent, Credit Karma revenue grew 15 percent on strength in personal loans, auto insurance and home loans, and ProTax revenue was flat. Management expects TurboTax Live revenue to grow 36 percent for the full fiscal year, with TurboTax Live customers up 38 percent. TurboTax Online paying units are expected to grow 2 percent, and average revenue per user is expected to rise approximately 11 percent as customers choose assisted offerings and faster access to refunds. Total TurboTax Online units are expected to decline approximately 2 percent, and TurboTax share of e-files is expected to decline approximately 1 point. Pay-nothing customers are expected to be approximately 7 million, down from 8 million last year.
Cash generation stayed strong. Operating cash flow was $5.30 billion in the quarter, up 20.6 percent, and $7.51 billion year to date, up 28.9 percent. Capital expenditures were $64 million in the quarter, up 82.9 percent, and $148 million year to date, up 49.5 percent. Deferred revenue, current portion, was $1.06 billion, up 10.2 percent from the prior-year quarter. Cash and investments totaled $6.8 billion and debt was $6.2 billion as of April 30, 2026. The company repurchased $1.6 billion of stock in the quarter and won board approval for a new $8 billion repurchase authorization. The board also approved a quarterly dividend of $1.20 per share, payable July 17, 2026, a 15 percent increase per share versus the same period last year.
Guidance moved up. Intuit raised full-year fiscal 2026 guidance for revenue and all non-GAAP metrics. Full-year revenue growth is expected at approximately 13 to 14 percent, with non-GAAP operating income growth of approximately 16 percent and non-GAAP diluted earnings per share growth of approximately 18 percent. Full-year non-GAAP diluted earnings per share guidance is $23.80 to $23.85. For the fourth quarter of fiscal 2026, which ends July 31, the company expects revenue growth of approximately 11 to 12 percent, with non-GAAP diluted earnings per share of $3.56 to $3.62. Segment guidance was updated as well, with Global Business Solutions growth raised to approximately 16 percent and Consumer growth raised to approximately 10 percent.
The quarter came with a sizable organizational reset. Intuit is cutting its full-time workforce by 17 percent and estimates restructuring charges of $300 million to $340 million, largely recognized in the fourth fiscal quarter ending July 31, 2026, with the actions expected to be substantially complete by the first quarter of fiscal 2027. The plan includes winding down the Reno and Woodland Hills offices, reducing overlapping roles across TurboTax and Credit Karma, and reducing investments in areas including Mailchimp. Guidance for GAAP metrics includes $300 million in restructuring charges. Management flags risks that include macroeconomic uncertainty, geopolitical conditions, competition, regulatory scrutiny, the development and deployment of artificial intelligence, cybersecurity incidents, fraud, and the need to attract and retain talent. The tax business remains seasonal, with TurboTax and ProTax revenue concentrated from November through April, and the 1.0 percentage point decline in quarterly operating margin alongside the coming charges are the items to watch.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q3 FY2026 | Q2 FY2026 | QoQ | Q3 FY2025 | YoY |
|---|---|---|---|---|---|
| Revenue | $8.56B | $4.65B | +84.0% | $7.75B | +10.4% |
| Research & development | $840.0M | $836.0M | +0.5% | $707.0M | +18.8% |
| Sales & marketing | $1.79B | $1.40B | +28.5% | $1.62B | +10.8% |
| General & administrative | $409.0M | $401.0M | +2.0% | $394.0M | +3.8% |
| Total operating expenses | $4.54B | $3.80B | +19.5% | $4.03B | +12.5% |
| Operating income (loss) | $4.02B | $855.0M | +370.2% | $3.72B | +8.1% |
| Operating margin | 47.0% | 18.4% | +28.6 pp | 48.0% | -1.0 pp |
| Net income (loss) | $3.06B | $693.0M | +342.1% | $2.82B | +8.7% |
| Net margin | 35.8% | 14.9% | +20.9 pp | 36.4% | -0.6 pp |
| Diluted EPS | $11.09 | $2.48 | +$8.61 | $10.02 | +$1.07 |
Risks
Intuit faces intense competition from large platforms and start-ups using AI to reduce demand for its products, and MD&A says AI, GenAI, and agentic AI are transforming financial technology and creating a more dynamic, highly competitive environment. The company is investing heavily in its AI-driven expert platform, but there is no assurance customers will realize expected benefits.
The consumer tax business faces increasing competition from federal and state taxing authorities that may provide government tax software or return preparation at public expense, including the legacy IRS Free File Program and continued advocacy for direct filing despite suspension of the IRS free direct filing system. Government-funded services that curtail taxpayer self-preparation could materially reduce revenue.
Intuit hosts large amounts of sensitive personal and financial data, and risk factors say cyberattacks are increasingly likely, with AI enabling more automated, targeted, and coordinated attacks. A security incident could trigger FTC order obligations for Credit Karma member data, litigation, fines, and reputational harm.
Fraudulent activities by malicious third parties are increasing and becoming more sophisticated, including through AI. If Intuit cannot combat fraud, government authorities may refuse to allow it to process tax returns electronically, causing significant adverse impact on business, earnings, and revenue.
Competition for skilled employees in SaaS, fintech, data science, AI, and cybersecurity is intense, especially in California and India. Equity awards may become less effective if the stock price underperforms, and the 2026 Plan to reduce workforce and consider site closures may disrupt operations and retention.
Tax products have rigid development timetables and must incorporate late tax law changes, creating risk of errors, launch delays, or suspensions. AI features may not function as designed, and expert advice through TurboTax Expert Assist or QuickBooks Live could be erroneous, harming customers and reputation.
The legal and regulatory landscape for AI is rapidly evolving, including the EU AI Act in force February 2025 and state frameworks such as Utah, Colorado, and California. Compliance may add significant costs, limit AI deployment, and create uncertainty around intellectual property validity and enforceability.
Growth depends on third-party partners, including financial institutions, credit reporting bureaus, core processors, and distribution platforms like Apple App Store and Google Play Store. Platform owners have wide discretion to change pricing and terms, and financial institution failures or consolidation could impair services.
Adverse macroeconomic conditions, including inflation, rising interest rates, reduced consumer confidence, and government fiscal policies, could cause customers to delay purchases, reduce Credit Karma engagement, lower payment processing volumes, and decrease tax returns filed. The majority of revenue is U.S.-derived, increasing sensitivity.
QuickBooks Capital provides access to capital to small and mid-market businesses and consumers, exposing Intuit to borrower repayment risk. Credit decisioning models may be ineffective, and adverse macro conditions such as inflation and rising rates may increase defaults; funding depends on financial institution credit arrangements.
In May 2026, management approved the 2026 Plan to simplify organizational structure, reduce full-time workforce, and consider closing certain sites. Intuit estimates $300 million to $340 million in restructuring charges, primarily in Q4 FY2026, with actions substantially complete by Q1 FY2027.
Complex and evolving privacy and data protection regulations, including GDPR and cross-border transfer frameworks, impose significant limitations and compliance costs. The EU-U.S. Data Privacy Framework faces legal challenges, creating uncertainty.
SaaS KPIs
All quarters →Total Customers
Online Ecosystem revenue
Online Services revenue
Non-GAAP operating income
QuickBooks Online Accounting revenue
Credit Karma revenue
Summary, forecast, risks and KPIs are extracted from INTUIT INC.'s SEC filings for Q3 FY2026 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 2, 2026.