Aug 25 (Reuters) - Intuit forecast annual revenue below Wall Street expectations on Tuesday, as the TurboTax maker said its push for customer growth and market-share gains would weigh on near-term sales.
Shares of the company, which have fallen more than 44% so far this year, were down over 10% in extended trading.
The enterprise software provider forecast fiscal 2027 revenue of $23.28 billion to $23.51 billion, representing 9% to 10% growth — a slowdown from 14% in 2026 and below analysts' estimate of $23.72 billion, according to LSEG-compiled data.
Intuit attributed the deceleration to weaker sales at its marketing platform Mailchimp, a continued decline in its desktop products and lower average revenue per TurboTax customer following changes designed to attract more users.
"Looking ahead, we're focused on scaling our Big Bets, accelerating customer growth, and making deliberate choices to create a stronger foundation for durable long-term growth," CEO Sasan Goodarzi said.
Revenue for the fourth quarter, however, grew 13.6% to $4.35 billion, beating an estimate of $4.27 billion.
The fourth quarter "backs up Intuit's argument that AI is expanding its business rather than hollowing it out, yet the slower growth guide suggests the company itself isn't promising the acceleration continues at the same pace," said Gadjo Sevilla, analyst at Emarketer.
Intuit forecast TurboTax revenue growth of 2% to 3% in 2027, compared with 7% growth in 2026.
"Price is now the number one reason customers leave TurboTax," Goodarzi said on a post-earnings call, adding that customers moved to lower-cost providers this year.
It expects revenue at Mailchimp to be flat to down 1% in 2027. Intuit will begin reporting it as a separate segment in the first quarter.
The company sees annual earnings per share in the range of $22.88 to $23.12 on an adjusted basis, including a $5.81 impact from share-based compensation expense. Analysts expect earnings of $27.32.
Intuit forecast first-quarter revenue between $4.29 billion and $4.31 billion, below an estimate of $4.36 billion.
(Reporting by Juby Babu in Mexico City and Anzar Mehraj in Bengaluru; Editing by Vijay Kishore)
