Intuit Inc. (NASDAQ:INTU)

The analysis focuses on four key turnover ratios observed over multiple quarterly periods, highlighting distinct trends and fluctuations.

Net Fixed Asset Turnover

This ratio exhibits a generally upward trend across the examined quarters. Starting from a value above 10.5, it shows an initial dip, followed by consistent growth from mid-2021 onwards. The increase is steady, reaching above 20 by the last observed period, indicating an improving efficiency in utilizing fixed assets to generate revenue.

Net Fixed Asset Turnover (Including Operating Lease, Right-of-Use Asset)

This adjusted ratio displays more variability compared to the standard net fixed asset turnover. Beginning around 8, it experiences some fluctuations, including a decline and partial recoveries. Notably, in mid-2022, there is a decrease followed by gradual growth peaking slightly above 12 before a small decline at the end. Overall, it suggests moderate improvement in asset use efficiency that accounts for leased assets, but with less consistency.

Total Asset Turnover

Total asset turnover starts relatively high but drops sharply in the early periods observed. From a low point in early 2022, the ratio maintains a fairly stable pattern with slight incremental movements within a narrow range between 0.45 and 0.59 throughout the remainder of the timeline. This stability suggests limited changes in the efficiency of total asset utilization over the recent years.

Equity Turnover

The equity turnover ratio mirrors a somewhat similar pattern to total asset turnover but with moderately higher values. After an initial decline from above 1.4 to under 0.9, it fluctuates within the 0.73 to 1.01 range. Recent periods show slight upward movement towards the higher end, indicating a modest enhancement in how effectively equity is used to generate revenue.

In summary, the company demonstrates a marked improvement in leveraging fixed assets, especially when excluding operating leases. However, broader efficiency ratios such as total asset turnover show relative stability with minor improvements, while equity turnover provides evidence of cautious recovery. These patterns underscore an operational environment where capital deployment in fixed assets has become more effective, yet overall asset and equity utilization demonstrate steady but less pronounced development.

Net Revenue Trends

Net revenue exhibited notable fluctuations throughout the examined periods. Initial values demonstrated a peak in April 2021 followed by a sharp decline in July 2021. From October 2021 onwards, revenue showed a general uptrend with increased magnitudes, experiencing cyclical peaks roughly every four quarters, specifically in April and October. The highest revenue instances appeared in October 2025 and July 2025, surpassing previous peaks significantly. This cyclical behavior suggests seasonal influences or periodic business cycles affecting revenue generation.

Property and Equipment, Net

The net value of property and equipment demonstrated a gradual and stable increase over time until January 2024, peaking at 1,049 million USD. Thereafter, a mild declining trend was observed with values decreasing slightly across subsequent periods to a low of 961 million USD by July 2025, before a mild uptick at the last data point. These trends indicate moderate investment and depreciation patterns, with asset base expansion plateauing and slightly contracting towards the later periods.

Net Fixed Asset Turnover Ratio

The net fixed asset turnover ratio showed a robust and consistent upward trend throughout the periods, rising from 10.55 initially to 20.14 in the final period. This growing ratio indicates an improving efficiency in utilizing fixed assets to generate revenue. Despite the relatively stable or slightly declining asset base towards the later periods, the ratio increased due to the substantial and growing net revenues, reflecting enhanced operational productivity and asset management.

Overall Insights

The data suggests that while fixed assets experienced modest fluctuations and slight reduction in the later periods, revenue continued to grow strongly, contributing to significant improvements in asset turnover efficiency. The cyclical nature of revenue implies underlying seasonality or operational cycles. The company's ability to generate increasing revenue from a relatively stable asset base points to effective capital utilization and potentially strong market demand or improved business strategies over time.

Net Revenue Trends

The net revenue demonstrates substantial fluctuations over the reported quarters. It initially rises sharply from 1323 million US dollars in October 2020 to 4173 million in April 2021, followed by a decline to 2007 million by October 2021. Subsequently, there is a recurring pattern of increases and decreases, with net revenue reaching a peak of 7754 million US dollars in October 2025. Overall, the trend indicates strong growth potential despite intermittent declines.

Property and Equipment, Net

The net value of property and equipment, including operating lease right-of-use assets, exhibits a relatively stable trend over the period. Starting at 975 million US dollars in October 2020, the figure increases gradually to reach 1561 million in October 2025. Minor fluctuations are observed, but the asset base maintains a generally consistent growth pattern, supporting operational capacity expansion.

Net Fixed Asset Turnover Ratio

The net fixed asset turnover ratio shows a clear upward trajectory throughout the periods. Beginning at 8.04 in October 2020, the ratio declines slightly to 6.52 by January 2021 but recovers shortly thereafter. From April 2021 onwards, the ratio steadily improves, reaching 12.45 by October 2025. This suggests enhanced efficiency in utilizing fixed assets to generate net revenue over time.

Summary and Insights

The combination of rising net revenue and a stable yet moderately growing asset base results in increasing asset turnover efficiency. Despite some volatility in quarterly revenues, the overall long-term trend suggests improved operational productivity and potentially effective asset management strategies. The incremental increases in property and equipment investments appear to be effectively leveraged to generate larger revenue volumes, reflecting positively on the company’s asset utilization practices.

The analysis of the quarterly financial data reveals distinct trends in net revenue, total assets, and total asset turnover over the reported periods.

Net Revenue

The net revenue exhibits significant fluctuations with a notable pattern of substantial increases in specific quarters, followed by moderate declines. Generally, there is a trend of growth over the entire period. Peak values often appear every four quarters, suggesting seasonality or quarterly cycles influencing revenue. For example, revenue peaks around Apr 30 of each year, with amounts frequently exceeding 5,000 million US dollars, while the quarters immediately following show decreased but still substantial revenue figures. The overall direction is upward, with revenues increasing from approximately 1,323 million US dollars in late 2020 to over 7,700 million US dollars by late 2025 in peak quarters, indicating strong top-line expansion.

Total Assets

Total assets demonstrate a steady upward trajectory over the entire period, rising from approximately 9,707 million US dollars at the end of October 2020 to a peak around 36,958 million US dollars in early 2025 before showing a slight downturn towards the end of the timeline. The growth is relatively smooth with minor fluctuations, reflecting ongoing asset accumulation or acquisitions. The peak asset base usually coincides closely with the peak revenue quarters but with less volatility, suggesting a stable asset management strategy to support business expansion. Overall, total assets nearly quadruple during the covered timeframe.

Total Asset Turnover

The total asset turnover ratio, which measures the efficiency of asset utilization in generating revenue, displays a pattern of decline followed by stabilization and mild fluctuation. Initially, the ratio falls from a relatively high 0.81 in late 2020 to a low near 0.43 in early 2022. After this trough, it stabilizes mostly between 0.49 and 0.54 with some variations, showing marginal improvements towards the end of the period, reaching around 0.59 by mid-2025. This suggests that while asset base expanded rapidly, the efficiency in using these assets to generate revenue weakened initially but later improved, achieving more consistent operational performance. Fluctuations could be associated with the strong seasonality observed in revenue.

In summary, the company shows robust growth in both revenue and asset base over the analyzed quarters, with periodic revenue peaks signaling a recurring cyclical pattern. Asset growth supports this expansion, albeit with some decline in asset utilization efficiency that later stabilizes. The data reflects successful scaling coupled with operational adjustments to optimize asset use in revenue generation.

Net Revenue Analysis

The net revenue exhibits considerable volatility over the observed periods. Initial figures show a moderate revenue around US$1,323 million in late 2020, rising substantially to a peak of US$6,737 million by Q2 2024. This growth, however, is marked by pronounced fluctuations; notable spikes occur in April quarters of 2021, 2022, 2023, and 2024, corresponding to higher revenue values exceeding US$5,600 million in each of those periods. Intervening quarters reflect relatively lower revenue, typically ranging between approximately US$2,000 million and US$3,800 million. Overall, there is an upward trajectory in revenue with quarter-to-quarter variability that appears seasonal or cyclical in nature.

Stockholders’ Equity

Stockholders' equity demonstrates a general growth trend over the timeframe, increasing from US$5,245 million in late 2020 to a peak near US$20,125 million in Q3 2025. The growth is relatively steady with fewer abrupt changes compared to net revenue. Equity increased markedly in early 2021, nearly doubling from late 2020 levels, and continued to gradually rise afterward with modest fluctuations. Toward the latter periods, equity stabilizes somewhat, oscillating slightly around the US$17,000 to US$20,000 million range, indicating sustained growth and a relatively solid financial base.

Equity Turnover Ratio

The equity turnover ratio, calculated as net revenue divided by stockholders' equity, shows a pattern of moderate variation but lacks a clear directional trend. Starting at 1.49 in late 2020, the ratio declines sharply to below 1.0 in the subsequent periods through early 2022, indicating that revenue growth did not keep pace proportionally with equity increases during that time. From mid-2022 onward, the ratio gradually recovers toward and slightly above 1.0 by late 2025, suggesting improving efficiency in generating revenue from equity. The fluctuations appear to mirror the revenue volatility, while equity growth contributes to smoothing the ratio over time.

Overall Insights

Collectively, the data suggest the company is experiencing sustained revenue growth with evident seasonality or cyclical spikes in specific quarters, likely related to business cycle factors. The steady increase in stockholders' equity points to strengthening capital structure and potentially ongoing reinvestment or accumulation of retained earnings. The equity turnover ratio’s recovery toward unity in recent periods may indicate enhanced operational effectiveness or better capital utilization. Despite some quarterly variability, the financial trends portray a company expanding its revenue base alongside a growing equity foundation, balancing growth with financial stability.