Intuit (INTU) 4Q 2015 Earnings Call Transcript

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Intuit (INTU) CEO Brad Smith mentioned they took market share

“TurboTax Online units grew 12% through February 20, with total units up 9%. We’re growing our accepted e-files season-to-date faster than the category, which implies that we’re once again taking share.  So right now, season to-date, we’re seeing market share increases in TurboTax Online. We’re seeing market share increases in TurboTax desktop at retail, and we’re also seeing an increase in the number of Free File Alliance customers using TurboTax. So it’s across the board.”

And you can now take a picture of your W-2 form and import the data digitally to help file your taxes

This season, all mobile and online customers can snap a photo of their W-2, and TurboTax will import the information into their tax return, whether they are on a phone, a tablet or a computer, which also saves time and reduces errors.

Intuit (INTU) CEO Brad Smith said the economic landscape remains murky but Intuit’s products remain essential regardless of economic climate

“Now we recognize that the macro environment looks choppy. But if you look back over the three-plus decades as a company, it is during uncertain times that our products are needed most by our customers. They still need to file their taxes, pay their bills, and look for ways to stretch their hard-earned dollars as far as they can. And we’ve never been in a stronger position to serve our customers.”

Intuit (INTU) CFO Neil Williams reiterated the company’s internal 15% return on investment criteria

We continue to take a disciplined approach to capital management, investing the cash we generate in opportunities that yield an expected return on investment greater than 15% over five years.”

Intuit (INTU) CEO Brad Smith said they focus on the lifetime value of a customer

In terms of volume relationship, our goal is always to expand the category and then to grow customers faster than revenue, because as you know ultimately, over time, those customers tax situations will become more complex. And over multiple years we can maximize the lifetime value.”

Intuit (INTU) CEO Brad Smith stated they still have a sizable target market opportunity in front of them

In terms of opportunity ahead in total addressable market, there’s about 29 million small businesses in the U.S. If you back out the self-employed, you’re still looking at the neighborhood of between eight million and 12 million, and we currently have one million that are using QuickBooks Online. So we aren’t running out of any sort of opportunities to grow. It’s just a matter of us continuing to lean in and execute.”