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H&R Block (HRB) Reports Narrower-Than-Expected Loss in Q1
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H&R Block, Inc. (HRB - Free Report) reported first-quarter fiscal 2022 loss (excluding 7 cents from non-recurring items) of 78 cents per share, narrower than the Zacks Consensus Estimate of a loss of $1.05. Operating revenues of $192.6 million surpassed the Zacks Consensus Estimate by 14.8%.
Shares of H&R Block have gained 32.1% in the past year against a 5.8% decline of the industry.
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Quarterly Numbers in Detail
U.S. assisted tax preparation, U.S. royalties, U.S. DIY tax preparation and international revenues came in at $33.6 million, $7.4 million, $4.1 million and $58.3 million, respectively.
Emerald Card, Peace of Mind Extended Service Plan and Wave revenues were $28.3 million, $24.8 million and $19.1 million, respectively.
Pretax loss came in at $197.3 million compared with a loss of $32.9 million in the year-ago quarter. Total operating expenses were $367 million, down 12% year over year (driven by lower tax pro compensation on lighter return volumes as the quarter took place after the 2021 filing deadline).
H&R Block exited the quarter with cash and cash equivalents of $891.7 million compared with $934.3 million at the end of the prior quarter. Long-term debt was $1.98 billion compared with $1.5 billion (long-term debt and line of credit borrowings) at the end of the previous quarter.
H&R Block used $3.1 billion of cash from operating activities and capex was $15.6 million. The company repurchased $166 million of shares and paid out dividends worth $48.9 million in the quarter.
Performance of Some Other Business Services Companies
Equifax’s (EFX - Free Report) third-quarter 2021 adjusted earnings of $1.85 per share beat the Zacks Consensus Estimate by 7.6%. The bottom line declined on a year-over-year basis. Revenues of $1.22 billion outpaced the consensus estimate by 3.6%. The top line increased 14.5% year over year on a reported basis and 14% on a local-currency basis.
IQVIA’s (IQV - Free Report) third-quarter 2021 adjusted earnings per share of $2.17 beat the consensus mark by 1.9% and rose 33.1% on a year-over-year basis. Total revenues of $3.39 billion outpaced the consensus estimate by 1%. The top line increased 21.7% year over year on a reported basis and 21.1% on a constant-currency basis.
Omnicom’s (OMC - Free Report) third-quarter 2021 adjusted earnings of $1.65 per share beat the consensus mark by 20.4% and increased 36.4% year over year. Total revenues of $3.4 billion surpassed the consensus estimate by 0.6% and increased 7.1% year over year.
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H&R Block (HRB) Reports Narrower-Than-Expected Loss in Q1
H&R Block, Inc. (HRB - Free Report) reported first-quarter fiscal 2022 loss (excluding 7 cents from non-recurring items) of 78 cents per share, narrower than the Zacks Consensus Estimate of a loss of $1.05. Operating revenues of $192.6 million surpassed the Zacks Consensus Estimate by 14.8%.
Shares of H&R Block have gained 32.1% in the past year against a 5.8% decline of the industry.
Quarterly Numbers in Detail
U.S. assisted tax preparation, U.S. royalties, U.S. DIY tax preparation and international revenues came in at $33.6 million, $7.4 million, $4.1 million and $58.3 million, respectively.
Emerald Card, Peace of Mind Extended Service Plan and Wave revenues were $28.3 million, $24.8 million and $19.1 million, respectively.
Pretax loss came in at $197.3 million compared with a loss of $32.9 million in the year-ago quarter. Total operating expenses were $367 million, down 12% year over year (driven by lower tax pro compensation on lighter return volumes as the quarter took place after the 2021 filing deadline).
H&R Block exited the quarter with cash and cash equivalents of $891.7 million compared with $934.3 million at the end of the prior quarter. Long-term debt was $1.98 billion compared with $1.5 billion (long-term debt and line of credit borrowings) at the end of the previous quarter.
H&R Block used $3.1 billion of cash from operating activities and capex was $15.6 million. The company repurchased $166 million of shares and paid out dividends worth $48.9 million in the quarter.
H&R Block, Inc. Price, Consensus and EPS Surprise
H&R Block, Inc. price-consensus-eps-surprise-chart | H&R Block, Inc. Quote
H&R Block currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Performance of Some Other Business Services Companies
Equifax’s (EFX - Free Report) third-quarter 2021 adjusted earnings of $1.85 per share beat the Zacks Consensus Estimate by 7.6%. The bottom line declined on a year-over-year basis. Revenues of $1.22 billion outpaced the consensus estimate by 3.6%. The top line increased 14.5% year over year on a reported basis and 14% on a local-currency basis.
IQVIA’s (IQV - Free Report) third-quarter 2021 adjusted earnings per share of $2.17 beat the consensus mark by 1.9% and rose 33.1% on a year-over-year basis. Total revenues of $3.39 billion outpaced the consensus estimate by 1%. The top line increased 21.7% year over year on a reported basis and 21.1% on a constant-currency basis.
Omnicom’s (OMC - Free Report) third-quarter 2021 adjusted earnings of $1.65 per share beat the consensus mark by 20.4% and increased 36.4% year over year. Total revenues of $3.4 billion surpassed the consensus estimate by 0.6% and increased 7.1% year over year.