Intuit Acquires Income Dynamics

The software maker looks to bolster its product line in personal-finance software.
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Software maker

Intuit

(INTU) - Get Report

acquired privately held

Income Dynamics

in order to bolster its product line in personal-finance software.

Intuit, which is paying $10 million for the acquisition, said it doesn't expect the deal to make a material change to its fiscal 2003 or fiscal 2004 earnings guidance. The company expects earnings per share of $1.36 to $1.39 on revenue of $1.65 billion to $1.66 billion for its fiscal year ending July 31. It has projected earnings of $1.57 to $1.67 a share on revenue of $1.85 billion to $1.95 billion for fiscal 2004.

Wall Street projects earnings for Intuit of $1.36 for fiscal 2003, according to a survey of 13 analysts conducted by Thomson First Call. They estimate the company's earnings will reach $1.62 for fiscal 2004.

"Income Dynamics' ItsDeductible software is an excellent fit for Intuit and our 'Right for Me' TurboTax strategy," said Steve Bennett, Intuit's president and chief executive officer, in a statement. "Customers can use the software to quickly and easily obtain the fair market values of hundreds of commonly donated items -- including clothing, toys and household goods. This enables taxpayers to stop guessing and claim the full deduction to which they're entitled."

Shares of Intuit were up 2.9%, or $1.25, at $44.55 around midday Monday.