Bussiness
Intuit Says Small Businesses Adopt Digital Solutions to Improve Cash Flow
Small and medium-sized businesses (SMBs) are increasingly adopting digital solutions to help them improve their cash flow, Intuit executives said Thursday (Aug. 22).
The company, which owns TurboTax, Credit Karma, QuickBooks and Mailchimp, saw the revenue growth in its SMB unit outpace that of its other segments during the fourth quarter and the full fiscal year ended July 31, according to a Thursday earnings release.
“This momentum demonstrates the power of our small and mid-market business platform and the mission-critical nature of our offerings as customers look to grow their business and improve cash flow in any economic environment,” Intuit Chief Financial Officer Sandeep Aujla said Thursday during the company’s quarterly earnings call.
For the full year, Intuit’s Small Business and Self-Employed Group revenue rose 19% year over year, compared to the company’s total revenue growth of 13%, according to the release. For the fourth quarter alone, the group’s revenue was up 20%, while the company’s total revenue rose 17%.
To better reflect the scope of the offerings of the Small Business and Self-Employed Group, Intuit changed the name of the business unit in August, calling it the Global Business Solutions Group.
“This new name better aligns with the global reach of the Mailchimp and QuickBooks platform, our focus on serving both small and mid-market businesses, and our vision to become the end-to-end platform that customers use to grow and run their businesses,” Intuit CEO Sasan Goodarzi said during the call.
Goodarzi also delivered an update on Intuit’s rollout of artificial intelligence (AI)-driven offerings, which he said position the company for future growth. The company is deploying this technology across its products for consumers, small and mid-market businesses.
“This is enabling us to disrupt the categories in which we operate,” Goodarzi said during the call.
The progress Intuit has made so far has bolstered its confidence in the project and led the company to accelerate its investments in AI.
Over the past fiscal year, Intuit made its generative AI-powered financial assistant available to millions of consumers and about 1 million small and mid-market businesses. This assistant, Intuit Assist, delivers personalized financial insights.
“With the introduction of GenAI, we are now delivering reimagined customer experiences and bolstering businesses’ growth potential while driving efficiencies in how work gets done within Intuit,” Goodarzi said.