H&R Block (NYSE:HRB) Releases Earnings Results, Beats Expectations By $0.12 EPS

H&R Block (NYSE:HRB) posted its earnings results on Tuesday. The company reported ($1.84) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($1.96) by $0.12, FiscalAI reports. The firm had revenue of $198.87 million during the quarter, compared to the consensus estimate of $187.36 million. H&R Block had a net margin of 16.19% and a negative return on equity of 297.94%. The company’s revenue was up 11.1% on a year-over-year basis. During the same quarter in the prior year, the company earned ($1.73) EPS. H&R Block updated its FY 2026 guidance to 4.850-5.000 EPS.

Here are the key takeaways from H&R Block’s conference call:

• H&R Block reported Q2 revenue of $199M (+11% YoY) and reaffirmed its fiscal 2026 guidance (revenue $3.875–$3.895B, EBITDA $1.015–$1.035B, adjusted EPS $4.85–$5.00), signaling confidence in the season ahead.
• The company returned $508M to shareholders in H1 via dividends and buybacks and has approximately $700M remaining on its repurchase program, underscoring continued capital-return priorities.
• Management is scaling product and tech initiatives—notably embedding Second Look into new-client onboarding, launching an AI-enabled tax-pro assistant, and integrating Wave into small-business offerings—to drive long-term assisted and SMB growth.
• Off-season results remain loss-making: Q2 EBITDA loss was $266M (vs. $261M prior year) and net loss from continuing ops was $242M; operating expenses rose 5% due to higher field wages and consulting costs, and adjusted loss per share widened to $1.84.

H&R Block Price Performance

Shares of H&R Block stock traded down $0.91 during trading on Thursday, reaching $33.65. The company’s stock had a trading volume of 4,324,552 shares, compared to its average volume of 2,176,598. The company has a market capitalization of $4.25 billion, a P/E ratio of 7.77, a price-to-earnings-growth ratio of 0.60 and a beta of 0.36. The business has a 50 day moving average price of $42.05 and a 200-day moving average price of $47.67. H&R Block has a 12-month low of $33.27 and a 12-month high of $64.62. The company has a quick ratio of 0.76, a current ratio of 0.76 and a debt-to-equity ratio of 12.86.

H&R Block Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, April 6th. Stockholders of record on Wednesday, March 4th will be given a dividend of $0.42 per share. This represents a $1.68 annualized dividend and a dividend yield of 5.0%. The ex-dividend date is Wednesday, March 4th. H&R Block’s payout ratio is currently 38.80%.

Insider Buying and Selling at H&R Block

In other news, CEO Jeffrey J. Jones II sold 128,818 shares of the business’s stock in a transaction that occurred on Wednesday, November 19th. The stock was sold at an average price of $44.54, for a total transaction of $5,737,553.72. Following the completion of the transaction, the chief executive officer directly owned 861,313 shares in the company, valued at approximately $38,362,881.02. The trade was a 13.01% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. 1.40% of the stock is owned by insiders.

Institutional Trading of H&R Block

Hedge funds have recently modified their holdings of the company. AQR Capital Management LLC raised its holdings in shares of H&R Block by 60.4% in the 3rd quarter. AQR Capital Management LLC now owns 2,593,290 shares of the company’s stock valued at $130,961,000 after acquiring an additional 976,069 shares in the last quarter. Boston Partners grew its holdings in shares of H&R Block by 20.2% during the third quarter. Boston Partners now owns 3,886,544 shares of the company’s stock valued at $196,542,000 after buying an additional 652,690 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in shares of H&R Block by 335.4% in the third quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 749,298 shares of the company’s stock worth $37,892,000 after acquiring an additional 577,200 shares during the period. Arrowstreet Capital Limited Partnership increased its position in H&R Block by 24.5% in the third quarter. Arrowstreet Capital Limited Partnership now owns 1,990,367 shares of the company’s stock worth $100,653,000 after buying an additional 391,711 shares in the last quarter. Finally, Northern Trust Corp lifted its position in shares of H&R Block by 10.9% in the third quarter. Northern Trust Corp now owns 2,750,413 shares of the company’s stock valued at $139,088,000 after acquiring an additional 269,581 shares in the last quarter. 90.14% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of equities analysts have recently weighed in on HRB shares. Weiss Ratings downgraded H&R Block from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Tuesday. Barrington Research decreased their price target on shares of H&R Block from $62.00 to $50.00 and set an “outperform” rating on the stock in a research report on Wednesday. One research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus price target of $49.00.

H&R Block News Summary

Here are the key news stories impacting H&R Block this week:

• Positive Sentiment: Board declared a quarterly cash dividend of $0.42 per share (yield ~4.8%), payable April 6 to shareholders of record March 4 — supports income-focused investors and signals confidence in cash flow. H-R-Block-Announces-Quarterly-Cash-Dividend
• Positive Sentiment: Q2 results: revenue beat estimates and EPS (a narrower-than-expected loss of $1.84 vs. Street loss estimate of $1.96) — shows underlying sales strength during the period. H-R-Block-(HRB)-Reports-Q2-Loss,-Beats-Revenue-Estimates
• Positive Sentiment: Management reaffirmed full‑year revenue guidance and outlined a CEO-led, tech-driven strategy intended to drive higher-margin growth — a constructive long-term narrative if execution continues. H-and-R-Block-reaffirms-3_875b-3_895b-revenue-guidance-as-CEO-launches-tech-driven-strategy
• Neutral Sentiment: Detailed earnings call transcript and presentation are available for review — useful for parsing management’s tone on demand trends, buyback/dividend policy, and margin drivers. H-and-R-Block-(HRB)-Q2-2026-Earnings-Call-Transcript
• Negative Sentiment: Market reaction turned negative: a Zacks note highlights a ~7.1% share decline since the report, citing the loss and guidance tone that suggests demand may be flat — investors appear to be trading risk around seasonality and near-term top-line momentum. H-R-Block-Stock-Declines-7.1%-Since-Reporting-Fiscal-Q2-Loss
• Negative Sentiment: FY‑2026 EPS guidance of $4.85–$5.00 is essentially in line with consensus but slightly below the midpoint the market expected; that and commentary about demand are weighing on near-term sentiment. (Company guidance release / earnings materials)

H&R Block Company Profile

H&R Block (NYSE: HRB) is a leading provider of tax preparation services and software solutions, serving individual and small-business clients through a combination of retail offices, online platforms and mobile applications. The company offers assisted tax preparation at its network of retail offices, where clients work with trained tax professionals, as well as do-it-yourself (DIY) software and online filing services designed to guide users through the complexities of federal and state tax returns.

Founded in 1955 by brothers Henry W.