Intuit (INTU) Financials

Intuit’s latest quarter shows a business that is still growing nicely, but the pace is more mixed than the headline numbers suggest. In Q3 2026, revenue rose to $8.56 billion from $4.65 billion in Q2 2026, and net income jumped to $3.06 billion. On a year-over-year basis versus Q3 2025, revenue and profit were also substantially higher. The company continues to generate strong cash flow and remains highly profitable, but operating trends and balance-sheet movements suggest investors should keep an eye on seasonality, capital returns, and working-capital swings.

What stands out over the last several years:

• Revenue has trended higher over time, with Q3 2026 revenue of $8.56 billion up meaningfully from $7.75 billion in Q3 2025 and well above the $6.02 billion reported in Q3 2023.
• Net income remains strong, at $3.06 billion in Q3 2026, compared with $2.82 billion in Q3 2025 and $2.09 billion in Q3 2023.
• Operating cash flow improved sharply in Q3 2026 to $5.3 billion, versus $4.4 billion in Q3 2025 and $3.6 billion in Q3 2023.
• Gross profit remains very healthy, reflecting strong pricing power and a software-driven model with relatively low cost of revenue.
• The company continues to return cash to shareholders through dividends and buybacks, while still producing solid free cash flow.
• Cash and equivalents plus short-term investments totaled about $6.78 billion at the end of Q3 2026, giving Intuit a sizable liquidity cushion.
• Intangible assets and goodwill remain very large, reflecting Intuit’s acquisition-heavy history and creating some balance-sheet complexity.
• Long-term debt was relatively steady around $5.4 billion to $5.9 billion across the periods shown, so leverage is manageable but not trivial.
• Operating expenses rose meaningfully in Q3 2026, especially marketing expense, which climbed to $1.79 billion and kept pressure on operating margins.
• The company’s quarterly results can be lumpy, with notable swings in operating income and cash flow tied to seasonality and working-capital timing.

Profitability trend: Intuit’s margins remain strong overall, but they have fluctuated. In Q1 2025 and Q4 2024, the company even posted very weak or negative operating income in some quarters, while later periods recovered strongly. That pattern suggests the business is still resilient, but not immune to cost pressure or timing effects in marketing and other operating expenses.

Balance sheet trend: Total assets increased from about $27.8 billion in FY 2022 to $39.3 billion in Q3 2026. Equity also increased over that stretch, but treasury stock remains a large negative balance, showing the effect of persistent share repurchases. Liabilities have risen and fallen with seasonality, but overall debt levels look fairly stable.

Cash flow trend: Intuit consistently converts earnings into cash, which is a major strength. Even when net income was under pressure in some quarters, operating cash flow stayed positive or rebounded quickly. The company also continues to spend heavily on buybacks, which supports EPS but uses a meaningful amount of cash.

Bottom line: Intuit still looks like a high-quality software franchise with strong earnings power, robust cash generation, and a strong balance sheet. The main watch items are expense growth, especially marketing, and the ongoing reliance on share repurchases to enhance per-share results.