This summary is based on the first quarter fiscal 2008 earnings call conducted by Intuit Inc. (INTU: chart) on November 15, 2007.

Management:

President, CEO, Director: Stephen M. Bennett
CFO, SVP and General Manager Consumer Tax Group: Kiran M. Patel
Chairman of the Executive Committee, Director: Scott D. Cook
SVP, General Manager Small Business Division: Brad D. Smith
VP Investor Relations and Financial Planning and Analysis: Bob Lawson

Key Investors Issues

- Revenue rose by 27% to $445 million.
- The firm realized a loss of $20.8 million or 6 cents a share.
- A total of $215 million was used to purchase 8.1 million shares of stock.

First Quarter Highlights

Revenue of $444.9 million was up 27% from the prior year driven by strong performance in Small Business and the acquisition of Digital Insight.

- The firm realized a net loss of $20.8 million, compared with a net loss of $58.9 million in 2006, representing a net loss per share of 6 cents a share, compared with a net loss per share of 17 cents a share in the prior year.
- Results include a $24 million pre-tax gain from the sale of outsourced payroll assets and a $27 million gain from the sale of discontinued operations.
- Expenses rose by 22.1% to $548 million following increased in R&D expenses and acquisition related charges.

Segment Highlights:

- QuickBooks segment had revenue of $147 million, up 9% from the year ago quarter and on track with expectations.
- Software units were 298,000, up 6% from the prior year and these are reported on a sell-through basis and revenue includes sales into the retail channel that have not yet sold through to end customers.

- Payroll and Payments segment had revenue of $131 million, up 5% from 2006.
- Growth was driven by a 22% increase in payments customers and a 3% growth in transactions per payment customer.
- Total small business which combines QuickBooks and Payroll and Payments segments showed revenue growth of 7%.
- Consumer tax revenue was $13.3 million driven by late filers from tax year 2006.
- Protax revenue was $11 million, up 13% over last year. In September, the firm combined its professional tax division and professional accountant channel under a single leadership team.

Financial institutions revenue was $72 million and included the results of Digital Insight© which was acquired in February and the financial institutions business previously reported in the other business segment.

- Internet banking and end user acquisition continues to show good momentum with 13% growth and a base of 8.1 million end users.
- Bill pay end users also continue to grow impressively with 23% growth and a base of more than 2.2 million end users.
- Growth would have been higher, but one of the larger accounts was acquired through moving about 73,000 internet banking end users and 18,000 bill pay end users from the customer base.
- The other business segments had revenues of $70 million, up 11%.

The firm had $1 billion in cash and short term investments with cash used in operating activities of $161 million.

- Capital expenditures was $65 million, up $36 million versus last year as the company builds its new data center and expand office capacity to support growth.
- A total of $215 million was used to purchase 8.1 million shares of stock and the firm has $550 million in authority for future share repurchases and a 10b5-1 plan in place to allow for the consistent repurchase of stock through the year.

Strategic Perspectives:

- The firm continues to execute on its gross strategy of being in good businesses and attracting new markets that have large, unmet or underserved needs that it can solve well. - In small business, the company released QuickBooks 2008 to enthusiastic reviews with CNET giving it an excellent rating.
- The company continues to look for areas where it can expand the value provided for small businesses via partnerships or acquisitions.
- The financial institutions business continues to show progress, with the firm experiencing the largest new bookings quarter in the history of DI.

Second Quarter Outlook:

- Revenue is expected to be $833 million to $848 million, up 11-13% versus the year ago quarter.
- Operating income is expected to be $185 million to $195 million, down from $237 million in 2006.
- EPS of 34 cents to 36 cents anticipated, down from 44 cents in 2006.
- In addition, $23 million of Protax revenue will shift to the third quarter because delivery of electronic filing services component of the bundled tax software offering will not occur until then.

Key questions and answers from the first quarter earnings call conducted by Intuit Inc. on November 15, 2007.

Adam Holt (JP Morgan): In the financial institutions business, DI has focused on smaller institutions, is there any trickle-down affect or how would you anticipate the Digital Insight business being resilient live in a volatile environment?