Intuit Sells Data Center, Revises Outlook
19 July 2018 - 12:18AM
Dow Jones News
By Aisha Al-Muslim
Intuit Inc. (INTU) has sold its largest data center as the
business-software company migrates its services to the public cloud
and moves away from investing in owning hosting platforms.
The Mountain View, Calif.-based company, whose products include
TurboTax and QuickBooks, said Wednesday it sold its data center in
Quincy, Wash., to H5 Data Centers, a privately-owned data center
operators in the U.S. Terms of the sale weren't disclosed.
Intuit said it is moving to Amazon Web Services to accelerate
developer productivity and innovation and to accommodate spikes in
customer usage through the tax season.
During the latter part of this tax season, TurboTax Online
customers were served entirely from Amazon Web Services, Intuit
said. The company said it expects to finish transitioning
QuickBooks Online this year.
As a result of the data center sale, Intuit said it expects to
book an operating loss of $75 million to $85 million during the
quarter, offset by tax benefits related to the sale, share-based
compensation and a subsidiary reorganization.
The company also cut its full-year operating income guidance to
$1.47 billion to $1.48 billion from its previous guidance of $1.55
billion to $1.56 billion.
Intuit backed its fiscal year revenue and adjusted profit and
operating income outlook.
Write to Aisha Al-Muslim at aisha.al-muslim@wsj.com
(END) Dow Jones Newswires
July 18, 2018 10:03 ET (14:03 GMT)
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