:max_bytes(150000):strip_icc()/GettyImages-2021273212-a68655c81a5c48a098f871060420f455.jpg "Intuit Is Biggest S&P 500 Decliner After Surprise Loss, Soft Profit Outlook")
:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2021273212-a68655c81a5c48a098f871060420f455.jpg)
Key Takeaways
- Intuit’s fiscal 2025 first-quarter and full-year profit guidance fell short of expectations.
- The TurboTax and Credit Karma parent also reported a surprise loss in the fourth quarter.
- Intuit previously said it planned to replace employees it laid off with new staffers with a focus on AI in fiscal 2025.
Intuit (INTU) is the S&P 500‘s worst performer Friday, a day after the company reported a surprise fourth-quarter loss and a soft profit outlook.
The TurboTax and Credit Karma parent sees fiscal 2025 first-quarter earnings per share (EPS) between 61 cents and 66 cents, below the consensus estimate of analysts polled by Visible Alpha. For the full year, Intuit expects EPS between $12.34 to $12.54, also short of expectations.
Intuit Swings To Unexpected Q4 Loss
Intuit posted fourth-quarter revenue of $3.18 billion, up 17% year-over-year and above estimates. However, the company swung to a per-share loss of 7 cents from a profit of 32 cents a year ago, missing analysts’ expectations of a 22-cent profit.
The results come after Intuit announced plans in July to lay off 1,800 employees, roughly 10% of its workforce, but replace them with a nearly equal number of staffers focused on artificial intelligence (AI) in fiscal 2025.
Shares of Intuit dropped more than 7% to $616.39 as of 2 p.m. ET Friday to fall into negative territory for the year.