tapebrief
INTU · Q1 2026

INTU · Q2 2026 Earnings

Cautious

Intuit

Reported February 26, 2026

30-second summary

Q2 revenue grew 17% to $4.65B, beating Intuit's own guide by $102–132M, with Credit Karma +23% (still well above its 10–13% FY band) and GBSG +18%. Non-GAAP EPS of $4.15 cleared the high end by $0.47. For the second straight quarter management banked a ~$100M+ beat rather than passing it through — FY26 reaffirmed across every line — while setting Q3 revenue at $8.520–$8.553B, which works out to ~10% YoY against a $7.75B Q3 FY25 base. That is a material step-down from Q1's 18% and Q2's 17%, and the print does not explain why.

Headline numbers

EPS

Q2 FY2026

$4.15

Revenue

Q2 FY2026

$4.65B

+17.0% YoY

Gross margin

Q2 FY2026

78.8%

Operating margin

Q2 FY2026

18.4%

Key financials

Q2 FY2026
MetricQ2 FY2026YoYQ1 FY2026QoQ
Revenue$4.65B+17.0%$3.88B+19.7%
EPS$4.15—$3.34+24.3%
Gross margin78.8%—78.8%+0bps
Operating margin18.4%—13.7%+470bps

Guidance

Strong Q2 beats on revenue and earnings; company reaffirms full-year FY2026 guidance signaling confidence despite modest Q3 revenue growth outlook.

Guidance is issued for both next quarter and the full year. Both may appear below.

Actuals vs prior guidance

MetricPeriodPrior guideActualΔResult
RevenueQ2 FY2026$4.519 billion to $4.549 billion$4.651 billion+$0.102-0.132 billion above guideBeat
GAAP diluted earnings per shareQ2 FY2026$1.76 to $1.81$2.48+$0.67-0.72 above guideBeat
Non-GAAP diluted earnings per shareQ2 FY2026$3.63 to $3.68$4.15+$0.47-0.52 above guideBeat

New guidance

MetricPeriodGuideYoY
RevenueQ3 FY2026$8.520 billion to $8.553 billion+10.3 to +10.3% YoY
GAAP diluted earnings per shareQ3 FY2026$10.56 to $10.62—
Non-GAAP diluted earnings per shareQ3 FY2026$12.45 to $12.51—

Reaffirmed unchanged this quarter: Revenue ($20.997 billion to $21.186 billion), GAAP diluted earnings per share ($15.49 to $15.69), Non-GAAP diluted earnings per share ($22.98 to $23.18), Global Business Solutions revenue growth (14 to 15 percent), Consumer revenue growth (8 to 9 percent)

Segment performance

Q2 FY2026
SegmentQ2 FY2026YoY
Global Business Solutions$3.2B+18.0%
Online Ecosystem$2.5B+21.0%
Consumer$1.5B+15.0%
Credit Karma$0.616B+23.0%
TurboTax$0.581B+12.0%
ProTax$0.29B+7.0%
Online Services Revenue Growth18%—
Online Ecosystem Revenue (excluding Mailchimp)25% growth—

Profitability

Q2 FY2026
SegmentQ2 FY2026
Operating Margin (GAAP)18.4%
Operating Margin (Non-GAAP)33.3%

Other KPIs

Q2 FY2026
SegmentQ2 FY2026
International Online Revenue Growth (constant currency)9%
Share Repurchases$961 million
Quarterly Dividend Per Share$1.20
Dividend Growth YoY15%

Management tone

Q3 FY25 (clean raise across every segment, AI as operating model) → Q4 FY25 (AI agents live, forward growth bar reset) → Q1 FY26 (system of intelligence, IES +50% QoQ, FY held) → Q2 FY26 (AI+HI as defensible moat, FY held again, Q3 bar set low).

The defining tonal shift this quarter is the hardening of the "AI + human intelligence" framing as a competitive moat, not just a product architecture. Last quarter management talked about being a "system of intelligence" — capability-oriented language. This quarter, with both OpenAI and Anthropic partnerships now disclosed, the framing is structural: Intuit is "a category of one" because regulatory complexity and liability make Intuit's TAM uninteresting to LLM providers, and the partnerships are explicitly structured with no revenue share and no customer-data leakage. The Morgan Stanley Q&A exchange is the cleanest articulation yet: "customer data does not leave Intuit's four walls," APIs and MCPs contractually prevent data sharing, and Intuit retains the customer relationship. This is the first quarter where management has defended the moat against the AI-disruption thesis with contractual specifics rather than capability claims.

The AI agent disclosure also took a quantitative step forward. Last quarter the headline was 2.8M customers using agents. This quarter it is 3M customers with >85% repeat engagement, the accounting agent categorized 237M transactions in January alone (>50% of monthly total), the business tax agent is uncovering an average of $1,000+ in deductions, and the finance agent saves 17–18 hours per week. The dollar-value-per-customer numbers ($12–14 hours/month × labor cost ≈ $900 of monthly value) are the first time Intuit has anchored the agent value proposition to a per-customer dollar figure investors can underwrite. Still no ARPU lift, attach rate, or revenue contribution figure tied to agents specifically — but the engagement and value-per-customer disclosures bridge toward monetization.

Mid-market disclosure escalated again. Q4 FY25 mentioned new build customers "up nearly 2x" sequentially. Q1 FY26 disclosed IES contract count "nearly 50% higher" sequentially. This quarter the IES new-contracts number is again "+50% QoQ," and the new disclosure is that accountant influence on new contracts is up 10 percentage points QoQ — meaning a structural channel shift is emerging, not just one-time wins. The Forrester 300% three-year ROI study is now stock language. Still no revenue dollar figure for IES — now nine quarters of "growing 40%" commentary without a hard number — but the contract-velocity disclosure is improving each quarter.

What's notable for what isn't said: the Q3 +10% YoY guide is not explained anywhere in the press release narrative. Management's qualitative statements emphasize "double-digit revenue growth and expanding margin" for the year, which is technically consistent with +10% Q3 but does not address why the underlying growth rate is decelerating ~7 points from Q2. In the Q&A, the closest the team got to defending it was the Mizuho exchange, where Sandeep noted Q2 over-delivered and "costs shifted from Q2 to Q3" — that explains the EPS shape, not the revenue deceleration.

The Mailchimp commentary has now decoupled from the FY26 commitment. Q4 FY25 was "exit FY26 growing double digits." This quarter the statement is "We expect Mailchimp to return to double-digit growth some time beyond fiscal 2026." That is a quiet but meaningful walk-back: the FY26 exit-rate commitment is gone, replaced by an open-ended "beyond FY26" timeframe. Wolf Research's Alex Zukin asked directly and got a "multiple paths to scale" answer with "no specified timeline" — the cleanest signal that Mailchimp is now a strategic-options conversation rather than an operating-turnaround conversation.

Q&A highlights

Sidi Panegrahi · Mizuho

Market concerns about AI disrupting software/tax businesses; where is the disconnect and what opportunities does Intuit see to benefit rather than be disrupted? Also asked about Q3 operating margin guidance and safety in expenses.

Management emphasized Intuit is a category of one in regulated financial services where compliance, accuracy, security, and human expertise are critical differentiators. Highlighted that LLM providers (OpenAI, Anthropic) partner with Intuit rather than competing because they recognize the regulatory complexity and liability. Partnerships validate that AI+HI combination is defensible. Addressed margin: Q2 over-delivery and timing of marketing/customer success costs shifted to Q3; confident in full-year margin delivery.

17% Q2 revenue growth3 million customers using AI agents with >85% repeat engagementAccounting agents categorized 237 million transactions in January alone (>50% of monthly total)Business tax agent uncovering avg $1,000+ in tax deductions

Brad Zelnick · Deutsche Bank

As AI models continue to improve, how will the balance between AI and HI shift? Where do customers benefit most from advancing models?

Management highlighted three major areas: (1) Disrupting assisted tax segment (7x larger than DIY) where customers demand expert human help; (2) Winning in mid-market through AI-native ERP enabling 90% faster reconciliation and 17-18 hrs/week of automation; (3) AI agents (accounting, finance, payment) driving consumption of HI services like QuickBooks Live. Emphasized that testing showed customers willing to pay more for combined AI+HI experiences. Future roadmap includes bundling certain AI+HI solutions while other features drive consumption of premium services.

Assisted tax segment $2B+ in size, grew 45% last yearReconciliation time reduced 90% at month-end for IES customers16-18 accounting hours/week recovered through automationAccounting agents saving 12 hrs/month

Keith Weiss · Morgan Stanley

Is Intuit allowing Anthropic access to proprietary data and workflows, risking replication of business model? How are controls maintained?

Management emphasized partnership structure prevents data/domain-expertise leakage. Customer data does not leave Intuit's systems; interactions occur through APIs/MCPs with contracts enforcing boundaries. Intuit retains economic ownership and customer relationship. Anthropic/OpenAI have zero interest in domain expertise because regulatory complexity and high liability make addressable market too small for them. Partnerships structured so Intuit owns experience and relationship; providers benefit from distribution to Intuit's customers but cannot replicate core moat.

Customer data does not leave Intuit's four wallsDomain-specific AI capabilities remain proprietaryAPIs and MCPs contractually prevent data sharingIntuit owns experience and customer relationship

Mark Murphy · J.P. Morgan

Why highlight IRS returns down 5% if it's just timing? Are there broader implications for tax season? Also asked for economic health indicators for SMBs (employees, hours worked, cash balances, credit scores).

Management clarified IRS-down-5% statistic was timing context: IRS was down ~8pts through Feb 7 last year while Intuit grew 4%; this year IRS down 5pts and Intuit up 12%, showing stronger relative performance. On economics: hours worked by employees up ~4% (stronger than Oct); cash reserves stable for mid-market/SMB (micro down slightly); business revenue stable over 3 months; profit up several points. Health indicators suggest solid SMB health despite noisy consumer sentiment data. Diversified customer base across sizes/industries/geographies provides resilience.

IRS returns down 5% through Feb 6 vs down 8% through Feb 7 prior yearTurboTax revenue up 12% in Q2 vs up 4% last year under similar IRS conditionsEmployee hours worked up ~4% (improved from Oct)Cash reserves stable for mid-market and SMB

Alex Zukin · Wolf Research

How durable are AI-driven trends over coming quarters/years? Specific monetization plans for Anthropic partnership and gross margin impact? More color on Mailchimp path to returning to double-digit growth beyond FY26.

Management affirmed durability of three growth vectors: (1) assisted tax ($2B+, 45% growth, secular trend); (2) mid-market (50% qoq contract growth, accountant contribution up 10pts); (3) AI+HI on business platform (self-funding, significant pricing power). Anthropic economics: no revenue sharing; Intuit captures all economics of customer usage directly. Margin expansion driven by three levers: (1) pricing for value (agents save $12-14 hrs/month = ~$900 value); (2) agents cross-sell ecosystem at point-of-need; (3) HI upsells + ecosystem attach (22pts higher when engaged). On Mailchimp: evaluating multiple paths to scale; all strategic options remain on table; company focused on customer problem, not solution attachment.

IES new contracts up 50% QoQNew IES customers meaningful, not just base expansionAccountant influence on new contracts up 10pts QoQAccounting agent saving $12-14 hrs/month (~$900 value)

Answers to last quarter's watch list

Whether the FY26 guide gets raised at Q2 — FY26 was reaffirmed flat across revenue, GAAP EPS, Non-GAAP EPS, GBSG, and Consumer despite a $102–132M Q2 beat on top of Q1's $109–141M beat. ~$240M+ cumulative beats banked, not passed through. Either management is sandbagging or Q3/Q4 are expected to give back the beat — the Q3 guide at +10% YoY suggests the latter is at least partially in play. Status: Resolved negatively
Q2 FY26 revenue inside or above $4.519B–$4.549B with Credit Karma sustaining at least high-teens growth — Q2 revenue at $4.651B beat the high end by $102M (+17% YoY vs +14–15% guided). Credit Karma at +23%, decelerated from Q1's +27% but still well above the high-teens threshold and ~2x the FY band. Status: Resolved positively
Mailchimp's first disclosed quarterly growth rate — no quarterly Mailchimp growth rate disclosed. The Q4 FY25 "exit FY26 growing double digits" commitment was replaced with "double-digit growth some time beyond fiscal 2026" — meaning the commitment timeline was extended without a hard number ever being published. The disclosure gap continued and the commitment got softer. Status: Resolved negatively
IES contract count or revenue dollar figure — new IES contracts again disclosed as "up 50% QoQ," and accountant influence on new contracts disclosed as up 10 points QoQ for the first time. Still no IES revenue dollar figure, but the disclosure cadence continued and added a new metric. Status: Continue monitoring
AI agent monetization KPI — 3M customers using agents (vs 2.8M at Q1), >85% repeat engagement, agents save customers $12–14 hours/month (~$900 value), and 237M transactions categorized in January alone. Per-customer value-anchor disclosed for the first time, but still no ARPU lift, attach rate, or revenue contribution tied specifically to agents. Status: Continue monitoring
Tax-season early read at Q2 — TurboTax revenue +12% in Q2 (vs +4% in the same period last year under similar IRS-return-volume conditions). QuickBooks Live grew 50% YoY. No specific TurboTax Live customer count or full-service mix disclosed yet for the season. The relative-performance read is favorable vs the 8% FY Consumer bar. Status: Resolved positively
Accountant partnership revenue contribution — no pull-forward disclosure into Q2 guidance. The new disclosure that accountant influence on new IES contracts is up 10 points QoQ is the first quantification of the channel impact, but revenue contribution remains a back-half-of-FY26 / FY27 story. Status: Continue monitoring

What to watch into next quarter

Q3 revenue inside or above $8.520–$8.553B, with the underlying split between Credit Karma, TurboTax, and GBSG — the +10% YoY guide implies one of three things: Credit Karma normalizes hard, GBSG decelerates, or H2 has built-in conservatism. The segment-level Q3 print is the answer.

Whether the FY26 guide finally gets raised at Q3, given ~$240M+ cumulative H1 beat now banked — at Q3, with tax season largely closed, management will have run out of conservatism arguments. A third consecutive reaffirmation in the face of an H1 beat this size would be the strongest possible signal that H2 carries deliberate sandbagging.

Credit Karma growth trajectory — Q1 +27%, Q2 +23%. If Q3 lands in the high-teens, the FY band gets raised at Q3 or Q4. If it lands in the low-teens, the original FY band was correctly calibrated and the H1 outperformance was comp-driven.

First disclosed IES revenue dollar figure — nine quarters of "+40%" commentary without a hard number is the longest-running disclosure gap. New-contract velocity disclosure (+50% QoQ for two consecutive quarters, +10pp accountant influence) raises the bar; either a revenue dollar gets disclosed or the disclosure cadence breaks.

Mailchimp — with the FY26-exit commitment now extended to "beyond FY26," watch for either a disclosed quarterly growth rate, a strategic action (divestiture, restructuring), or a hard new timeline. The current silence is not stable.

AI agent revenue or attach-rate disclosure — per-customer value anchor ($900/month) is the bridge to monetization. The next inflection signal is either ARPU lift, attach rate, or a revenue contribution figure. Without one by Q3, the agent narrative remains a usage story.

Tax season operating proof points — TurboTax Live customer count, full-service mix, and conversion uplift from the 400→600 expert location expansion. Q3 is the season's print quarter; these data points underwrite or undermine the 8% FY Consumer bar.

Sources

  1. Intuit Q2 FY2026 Earnings Press Release, filed with SEC on 2026-02-26 — https://www.sec.gov/Archives/edgar/data/896878/000089687826000012/fy26q2earningspressrelease.htm
  2. Intuit Q2 FY2026 Earnings Call Q&A — analyst exchanges with Mizuho, Deutsche Bank, Morgan Stanley, J.P. Morgan, Wolf Research

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