Blucora said market volatility held down growth in its Avatax wealth management business for the second quarter ended June 30. The company this month reported a revenue increase of 1 percent over last year’s corresponding period as a result.The culprit was an $8.9-million decrease in commission revenue, which partially offset a $7.6-million increase in advisory revenue and $1.4-million rise in asset-based revenue.
Overall, the company reported net income of $39.4 million in the most recently ended period, up 24.7 percent from $31.5 million a year ago. Revenue was $256.9 million, compared to $254.3 million a year ago. Wealth.management revenue rose to $162.7 million from $162.4 million.
Revenue from its TaxAct tax software business was $94. million, an increase of 2.5 percent from $919 million in last year’s corresponding period.
However, TaxAct revenues were up 9.1 percent for the company and Blucora said it still expects double-digit increase for the segment in 2022. Sales to tax professionals reached $3.2 million in the recently ended quarter, an increase of 3.8 percent year-over-year. For the half, professional revenue, showed a rise of 16.3 percent
Continue to expect double-digit top line growth for TaxAct for tax year 2021.
