This summary is based on the fourth quarter fiscal 2007 earnings call conducted by Intuit Inc. (INTU: chart) on August 22, 2007

Management:

President, CEO: Steve Bennett
CFO: Kiran Patel
SVP, Small Business: Brad Smith
IR: Bob Lawson

Key Investors Issues

- The earnings per share for the quarter were $1.24.
- Revenue increased by 17% to $2.7 billion.
- Digital Insight was acquired during the year.
- A total of 17 million shares were repurchased for $507 million.

Fourth Quarter Fiscal 2007 Financial Highlights

Revenue of $432.7 million increased 31% from the year-ago quarter.

Growth was driven by the acquisition of Digital Insight in February 2007 and strong performance in Small Business.

GAAP operating loss from continuing operations was $56.7 million compared with a GAAP operating loss from continuing operations of $56.9 million in the year-ago quarter.

Intuit typically posts a seasonal loss in its fourth quarter when it has little revenue from its tax businesses, but expenses remain relatively constant. On a non-GAAP basis, Intuit had an operating loss of $17.3 million versus a non-GAAP operating loss of $37.8 million in the year-ago quarter.

GAAP net loss was $13.6 million compared with a GAAP net loss of $18.9 million in the year-ago quarter.

This represents a net loss of 4 cents per share versus a net loss of 6 cents per share in the year-ago quarter. These results include a gain of $31 million from the sale of outsourced payroll assets.

Non-GAAP net loss of $7.4 million compared with a non-GAAP net loss of $11.4 million in the year ago quarter. This represents a non-GAAP net loss per share of 2 cents versus a non-GAAP net loss per share of 3 cents in the year-ago quarter.

Fiscal 2007 Financial Highlights

Net income increased from $417 million in 2006 to $440 million, following strong performance from the Consumer tax and Quickbook segments.

In addition, earnings were driven by operating income from continuing operations which amounted to $637.6 million, up 13% from $565.6 million in the prior year and gains from the disposal of outsourced payroll assets of $31.7 million. This represents diluted earnings per share, or EPS, of $1.24, up 7 percent from fiscal 2006.

Non-GAAP operating income of $764.8 million, up 17% from fiscal 2006 and non-GAAP diluted EPS of $1.43, up 18% from fiscal 2006.

Revenue was $2.67 billion, up 17% from the prior year resulting in a 7% growth in EPS to $1.24.

Results include the impact of the acquisition of Digital Insight, the sale of certain payroll assets to ADP, and the treatment of the Intuit Distribution Management Solutions business unit as a discontinued operation. Without those items, revenue growth would have been 12% for the year and EPS would have been $1.47, up 21%.

QuickBooks segment revenue was up 12% from the year ago quarter to $139.6 million or $598 million, up 11% for the full year. QuickBooks software units were up 10% from 2006 with strong growth in the premier products and in Simple Start.

The Payroll and Payments segment had revenue of $129 million, up 5% from the prior year. For the year, revenue was $517 million, up 12% reflecting 22% growth in payments customers, and 9% growth in transactions per customer as well as the sale of the firm’s fully outsourced payroll customers to ADP. Payroll subscribers exceeded one million.