Revenue Analysis: Total revenue for Q4 2024 was $3.2 billion, up 17% YoY.
- GAAP Operating Loss: $151 million, reflecting a restructuring charge.
- Non-GAAP Operating Income: Increased to $730 million, up 16% YoY.
- Net Income: Loss of $20 million, down from an income of $89 million in the same quarter last year.
Profitability Ratios: Gross profit margin improved to 75.4%, but operating margin saw a decline to -4.7%. Management stressed that the growth from AI integrations in TurboTax Live and QuickBooks Live would drive margin expansion moving forward.
Balance Sheet Overview: The cash and cash equivalents stood at $3.609 billion, with total assets at $32.132 billion, providing a solid liquidity base for ongoing investments. Total debt was recorded at $6.567 billion, demonstrating a debt-to-equity ratio of approximately 0.36, which remains manageable in the tech sector.
Cash Flow: Free cash flow for Q4 was $375 million, underlining operational efficiency even amidst restructuring efforts, indicating healthy cash generation capabilities.