Intuit Q4

Interesting update from Intuit.

Some key points
- Brad Smith making way
- Big growth yoy now 2.383m subs of which 360k are QBSE and 58% pcp growth in sub numbers (40% ex QBSE)
- 100K subscribers in Aus, UK, Canada
--> Rod tweeted that this probably equates to 100K in revenue, referencing Intuit's strategy in Australia
- Tangible product improvement- NPS improvement by 22
- AWS sounds like it is still quite awhile away- the transition may be longer than I thought previously
- They are aiming for several years of 40% growth

My takeaways:
- Intuit has really improved on product and has a larger market share in international markets compared to Xero's in the US. On one side of the coin, the international markets are much more developed but on the other the US is much larger. They can really grab market share if Xero doesn't continue to focus on product.
- The AWS delay is a big opportunity for Xero- there needs to be some blockbuster product updates that really improve things for clients accompanying this to gain traction, particularly in the US
- the runway is enormous, Intuit literally said they can see many more years of 40% growth to come, and that this is their target
- I am really waiting for Xero to get to cashflow breakeven so that they can start ploughing the retained earnings back into R&D and continue to innovate. Intuit only has a very very short period of time to establish dominance based on incumbency and I think that time has very nearly passed.