STOCK TITAN
  1. Home
  2. Sec-filings
  3. HRB
  4. [8-K] H&R BLOCK INC Reports Material Event

H&R Block (NYSE: HRB) lifts 2026 outlook after $2.4B Q3 revenue

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

H&R Block reported strong fiscal 2026 third-quarter results, with revenue of $2.40 billion, up 5.3% from a year ago. Growth was driven mainly by higher pricing and volume in U.S. assisted tax preparation, international revenue, and increased Refund Transfer volume.

Net income from continuing operations rose 17.4% to $848.8 million, and diluted EPS from continuing operations increased 24.2% to $6.61, helped by an $84.1 million one-time non-cash tax benefit and share repurchases. Adjusted diluted EPS grew 11.9% to $6.02. EBITDA from continuing operations reached $1.07 billion. The company raised its full-year 2026 outlook, now guiding revenue to $3.910–$3.920 billion, EBITDA to $1.025–$1.035 billion, and adjusted diluted EPS to $5.10–$5.20, implying year-over-year increases at the midpoints. H&R Block also reaffirmed a $0.42 quarterly dividend, highlighted 110% dividend growth since 2016, and expanded its share repurchase capacity by authorizing an additional $100 million, with $700 million remaining under the existing $1.5 billion program and $560.9 million already returned to shareholders year-to-date.

Positive

  • Raised full-year 2026 guidance for revenue to $3.910–$3.920 billion, EBITDA to $1.025–$1.035 billion, and adjusted diluted EPS to $5.10–$5.20, implying a 10.5% year-over-year EPS increase at the midpoint.
  • Strong Q3 profitability with net income from continuing operations up 17.4% to $848.8 million and diluted EPS from continuing operations up 24.2% to $6.61, supported by higher-margin business mix and a favorable tax item.
  • Robust capital returns, including a $0.42 quarterly dividend (110% growth since 2016), $560.9 million returned year-to-date, approximately $700 million remaining under a $1.5 billion repurchase program, and an incremental $100 million buyback authorization for Q4 fiscal 2026.

Negative

  • None.

Insights

H&R Block delivered solid Q3 growth, boosted guidance, and accelerated capital returns.

H&R Block posted Q3 revenue of $2.40 billion, up 5.3%, with net income from continuing operations rising 17.4% to $848.8 million. Diluted EPS from continuing operations increased 24.2% to $6.61, aided by an $84.1 million one-time non-cash tax benefit from an IRS examination and prior share repurchases.

On an adjusted basis, net income from continuing operations grew 5.8% to $773.7 million, and adjusted diluted EPS rose 11.9% to $6.02, showing underlying earnings strength beyond the tax benefit. EBITDA from continuing operations reached $1.07 billion, up from $1.01 billion a year earlier.

The company raised its fiscal 2026 outlook to revenue of $3.910–$3.920 billion, EBITDA of $1.025–$1.035 billion, and adjusted diluted EPS of $5.10–$5.20, implying mid-single-digit revenue growth and a 10.5% EPS increase at the midpoint. With a $0.42 quarterly dividend, a remaining $700 million under its $1.5 billion repurchase program, and an additional $100 million authorized for Q4, H&R Block is emphasizing substantial shareholder returns alongside moderate growth.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Q3 2026 revenue $2.40 billion Total revenues for three months ended March 31, 2026; up 5.3% year-over-year
Q3 net income from continuing ops $848.8 million Three months ended March 31, 2026; up 17.4% year-over-year
Q3 diluted EPS from continuing ops $6.61 Three months ended March 31, 2026; up 24.2% year-over-year
Q3 adjusted diluted EPS $6.02 Adjusted diluted EPS from continuing operations; up 11.9% year-over-year
Q3 EBITDA from continuing ops $1.07 billion EBITDA from continuing operations for three months ended March 31, 2026
Fiscal 2026 revenue outlook $3.910–$3.920 billion Guidance range; 4.1% year-over-year increase at midpoint
Fiscal 2026 adjusted EPS outlook $5.10–$5.20 Adjusted diluted EPS guidance; 10.5% year-over-year increase at midpoint
Remaining repurchase authorization $700 million + $100 million incremental Approximately $700M left under $1.5B program; additional $100M authorized for Q4 2026
EBITDA from continuing operations financial
"We measure the performance of our business using a variety of metrics, including earnings before interest, taxes, depreciation and amortization (EBITDA) from continuing operations"
Adjusted diluted earnings per share financial
"Adjusted diluted earnings per share from continuing operations increased 11.9% to $6.02"
Adjusted diluted earnings per share is the company’s net profit per share after accounting for potential extra shares (from options or convertible securities) and removing one‑time or unusual items so the number reflects ongoing business results. Think of it like timing a runner’s steady pace after excluding a few unexpected stops; it gives investors a clearer view of sustainable profit available to each share. Investors use it to compare companies and judge underlying profitability and valuation without short‑term distortions.
Refund Transfers financial
"The increase was primarily the result of higher net average charge (NAC) and volume in the U.S. assisted tax preparation category, growth in international revenue, and an increase in Refund Transfer volume"
Peace of Mind® Extended Service Plan financial
"Peace of Mind® Extended Service Plan | 14,347 | | | 15,625"
Tax Identity Shield® financial
"Tax Identity Shield® | 8,485 | | | 7,025"
Non-GAAP financial measures financial
"This press release and the accompanying tables include non-GAAP financial information"
Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.
Revenue $2.40 billion +5.3% year-over-year
Net income from continuing operations $848.8 million +17.4% year-over-year
Diluted EPS from continuing operations $6.61 +24.2% year-over-year
Adjusted diluted EPS from continuing operations $6.02 +11.9% year-over-year
EBITDA from continuing operations $1.07 billion
Fiscal 2026 revenue outlook $3.910–$3.920 billion +4.1% YoY at midpoint
Fiscal 2026 adjusted diluted EPS outlook $5.10–$5.20 +10.5% YoY at midpoint
Guidance

For fiscal 2026, H&R Block expects revenue of $3.910–$3.920 billion, EBITDA of $1.025–$1.035 billion, an effective tax rate of about 14%, and adjusted diluted EPS of $5.10–$5.20.

Understanding 8-K Material Events →
0000012659false00000126592026-05-062026-05-0600000126592025-11-062025-11-06


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (date of earliest event reported): May 6, 2026

H&R BLOCK, INC.
(Exact name of registrant as specified in charter)
Missouri1-0608944-0607856
(State or other jurisdiction of(Commission File Number)(I.R.S. Employer
incorporation or organization)Identification No.)

One H&R Block Way, Kansas City, MO 64105
(Address of Principal Executive Offices) (Zip Code)

(816) 854-3000
(Registrant's telephone number, including area code)

Not Applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
☐    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, without par valueHRBNew York Stock Exchange
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐


Item 2.02.    Results of Operations and Financial Condition.
On May 6, 2026, H&R Block, Inc. (the "Company") issued a press release regarding the Company’s results of operations for the fiscal quarter ended March 31, 2026. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.
Item 9.01.    Financial Statements and Exhibits.
(d) Exhibits
Exhibit Number    Description
99.1    Press Release Issued May 6, 2026.
104    Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
H&R BLOCK, INC.
Date:
May 6, 2026
By:/s/ Katharine M. Haynes
Katharine M. Haynes
Vice President and Corporate Secretary



image3.jpg
Exhibit 99.1

News Release
For Immediate Release: May 6, 2026

H&R Block Reports Fiscal 2026 Third Quarter Results
— Maintains Assisted Channel Market Share, Marking Third Consecutive Year of Improvement —
— Revenue Increased 5.3% —
— Announces Plans for Incremental Fiscal 2026 Share Repurchases —
— Raises Fiscal 2026 Outlook —

KANSAS CITY, Mo. - H&R Block, Inc. (NYSE: HRB) (the "Company") today released financial results1 for its fiscal 2026 third quarter ended March 31, 2026.
"This season marked an important inflection point, demonstrating that our strategy is driving higher-quality business outcomes," said Curtis Campbell, president and chief executive officer. "Our assisted market share trend improved meaningfully after several years of pressure, reflecting stronger execution across the season. Clients are choosing H&R Block for confidence, trust, and expert help, and our disciplined, expert-led, technology-enabled approach is delivering meaningful value."
Fiscal 2026 Third Quarter Results and Key Financial Metrics
"This quarter demonstrates strong execution across the business, with solid revenue growth and enhanced profitability," said Tiffany Mason, chief financial officer. "Progress this tax season with higher complexity clients underscores the durability of our financial model, and our year‑to‑date performance reinforces our confidence as we raise our full year outlook."
For the third quarter, the Company delivered total revenue of $2.4 billion, an increase of $121.0 million, or 5.3%, versus the prior year. The increase was primarily the result of higher net average charge (NAC) and volume in the U.S. assisted tax preparation category, growth in international revenue, and an increase in Refund Transfer volume.
Total operating expenses of $1.4 billion increased by $62.5 million, or 4.8%, versus the prior year. The increase was primarily due to higher field wages as a result of increased assisted tax preparation revenue.
During the quarter, the Company recognized a one-time non-cash tax benefit related to the resolution of an IRS examination. This $84.1 million benefit reduced income tax expense, providing a $0.65 benefit to earnings per share.
Net income from continuing operations increased by $125.9 million, or 17.4%, to $848.8 million, and earnings per share from continuing operations2 increased 24.2% to $6.61 driven by the one-time tax benefit, fewer shares outstanding from share repurchases, and higher net income.
Adjusted net income from continuing operations2 increased by $42.4 million, or 5.8%, to $773.7 million, and adjusted earnings per share from continuing operations2 increased 11.9% to $6.02.
1All amounts in this release are unaudited. Unless otherwise noted, all comparisons refer to the current period compared to the corresponding prior year period.
2All per share amounts are based on fully diluted shares at the end of the corresponding period. The Company reports non-GAAP financial measures of performance, including adjusted net income, adjusted earnings per share (EPS) and earnings before interest, tax, depreciation, and amortization (EBITDA) from continuing operations, which it considers to be useful metrics for management and investors to evaluate and compare the ongoing operating performance of the Company. See "About Non-GAAP Financial Information" below for more information regarding financial measures not prepared in accordance with generally accepted accounting principles (GAAP).

Capital Allocation
The Company reported the following related to its capital structure:
•As previously announced, a quarterly cash dividend of $0.42 per share will be paid on July 7th to shareholders of record as of June 3rd. H&R Block has paid quarterly dividends consecutively since the Company became public in 1962. Since 2016, the Company has grown the dividend 110%3.
•The Company has approximately $700 million remaining on its previously announced $1.5 billion share repurchase program. The Company's board of directors has authorized management to repurchase an incremental $100 million of common stock in the fourth quarter of fiscal 2026 under that repurchase program, which has been reflected in the updated outlook below.
•Year-to-date, the Company has returned $560.9 million to shareholders in the form of dividends and share repurchases.
Fiscal Year 2026 Outlook
As a result of year-to-date performance, including a strong tax season, the Company now expects:
•Revenue to be in the range of $3.910 to $3.920 billion, representing a 4.1% year-over-year increase at the midpoint.
•EBITDA4 to be in the range of $1.025 to $1.035 billion, a 5.5% year-over-year increase at the midpoint.
•Effective tax rate to be approximately 14%.
•Adjusted Diluted Earnings Per Share4 to be in the range of $5.10 to $5.20, a 10.5% year-over-year increase at the midpoint.
Conference Call
The Company will host a conference call for analysts and investors to discuss third quarter 2026 results at 4:30 p.m. ET on Wednesday, May 6, 2026. To join live, participants must register at https://register-conf.media-server.com/register/BI154683d0918449469ffebfc9d427b4b3. Once registered, the participant will receive a dial-in number and unique PIN to access the call. Please join approximately 5 minutes prior to the scheduled start time.
The call, along with a presentation for viewing, will also be webcast in a listen-only format for the media and general public. The webcast can be accessed directly at https://edge.media-server.com/mmc/p/ygejpbdc/lan/en and will be available for replay 2 hours after the call is concluded and continuing for 90 days.
About H&R Block
H&R Block, Inc. (NYSE: HRB) provides help and inspires confidence in its clients and communities everywhere through global tax preparation services, financial products, and small-business solutions. The company blends digital innovation with human expertise and care as it helps people get the best outcome at tax time and also be better with money using its mobile banking app, Spruce. Through Block Advisors and Wave, the company helps small-business owners thrive with year-round bookkeeping, payroll, advisory, and payment processing solutions. For more information, visit H&R Block News.
About Non-GAAP Financial Information
This press release and the accompanying tables include non-GAAP financial information. For a description of these non-GAAP financial measures, including the reasons management uses each measure, and reconciliations of these non-GAAP financial measures to the most directly comparable
3Dividend growth is calculated as percentage growth from the April 2016 dividend.
4Adjusted Diluted EPS and EBITDA from continuing operations are non-GAAP financial measures. Future period non-GAAP outlook includes adjustments for items not indicative of our core operations, which may include, without limitation, items described in the below section titled “Non-GAAP Financial Information” and in the accompanying tables. Such adjustments may be affected by changes in ongoing assumptions and judgments, as well as nonrecurring, unusual, or unanticipated charges, expenses or gains, or other items that may not directly correlate to the underlying performance of our business operations. The exact amounts of these adjustments are not currently determinable but may be significant. It is therefore not practicable to provide the comparable GAAP measures or reconcile this non-GAAP outlook to the most comparable GAAP measures.

financial measures prepared in accordance with generally accepted accounting principles, please see the section of the accompanying tables titled "Non-GAAP Financial Information."
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the securities laws. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words or variation of words such as "expects," "anticipates," "intends," "plans," "believes," "commits," "seeks," "estimates," "projects," "forecasts," "targets," "would," "will," "should," "goal," "could" or "may" or other similar expressions. Forward-looking statements provide management's current expectations or predictions of future conditions, events or results. All statements that address operating performance, events or developments that we expect or anticipate will occur in the future are forward-looking statements. They may include estimates of revenues, client trajectory, income, effective tax rate, earnings per share, cost savings, capital expenditures, dividends, share repurchases, liquidity, capital structure, market share, industry volumes or other financial items, descriptions of management’s plans or objectives for future operations, products or services, or descriptions of assumptions underlying any of the above. They may also include the expected impact of external events beyond the Company’s control, such as outbreaks of infectious disease, severe weather events, natural or manmade disasters, or changes in the regulatory environment in which we operate. All forward-looking statements speak only as of the date they are made and reflect the Company's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance or events. Furthermore, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions, factors, or expectations, new information, data or methods, future events or other changes, except as required by law. By their nature, forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Factors that might cause such differences include, but are not limited to a variety of economic, competitive and regulatory factors, many of which are beyond the Company's control, that are described in our Annual Report on Form 10-K for the most recently completed fiscal year in the section entitled "Risk Factors" and additional factors we may describe from time to time in other filings with the Securities and Exchange Commission. You may get such filings for free at our website at https://investors.hrblock.com. In addition, factors that may cause the Company’s actual estimated effective tax rate to differ from estimates include the Company’s actual results from operations compared to current estimates, future discrete items, changes in interpretations and assumptions the Company has made, future actions of the Company, or increases in applicable tax rates in jurisdictions where the Company operates. You should understand that it is not possible to predict or identify all such factors and, consequently, you should not consider any such list to be a complete set of all potential risks or uncertainties.
For Further Information
Investor Relations:Jessica Hazel, (816) 854-4214, jessica.hazel@hrblock.com
Media Relations:Media Desk, mediadesk@hrblock.com

TABLES FOLLOW



image3.jpg
FINANCIAL RESULTS(unaudited, in 000s - except per share amounts)
Three months ended March 31,Nine months ended March 31,
2026202520262025
REVENUES:
U.S. tax preparation and related services:
Assisted tax preparation$1,742,135 $1,635,877 $1,846,698 $1,727,220 
Royalties128,182 133,961 139,139 143,312 
DIY tax preparation215,245 214,666 235,797 231,646 
Refund Transfers119,935 113,732 121,416 115,229 
Peace of Mind® Extended Service Plan14,347 15,625 54,087 54,867 
Tax Identity Shield®8,485 7,025 16,851 14,947 
Other15,000 14,582 41,321 40,215 
Total U.S. tax preparation and related services2,243,329 2,135,468 2,455,309 2,327,436 
Financial services:
Emerald Card® and SpruceSM
39,590 40,195 56,566 59,169 
Interest and fee income on Emerald Advance®15,198 14,286 28,644 26,594 
Total financial services54,788 54,481 85,210 85,763 
International70,119 60,438 170,498 157,104 
Wave29,871 26,717 89,506 79,681 
Total revenues$2,398,107 $2,277,104 $2,800,523 $2,649,984 
Compensation and benefits:
Field wages577,513 532,916 741,405 682,575 
Other wages78,703 74,621 230,987 230,687 
Benefits and other compensation118,151 111,575 194,802 188,731 
774,367 719,112 1,167,194 1,101,993 
Occupancy127,312 119,709 339,700 326,026 
Marketing and advertising185,388 196,667 208,725 221,502 
Depreciation and amortization31,519 29,221 90,442 87,247 
Bad debt39,806 40,479 63,827 62,625 
Other202,891 193,603 399,721 393,900 
Total operating expenses1,361,283 1,298,791 2,269,609 2,193,293 
Other income (expense), net3,941 4,554 15,077 19,215 
Interest expense on borrowings(24,307)(24,686)(65,087)(62,285)
Pretax income1,016,458 958,181 480,904 413,621 
Income taxes167,678 235,253 39,058 104,580 
Net income from continuing operations848,780 722,928 441,846 309,041 
Net loss from discontinued operations(879)(598)(1,930)(2,707)
Net income$847,901 $722,330 $439,916 $306,334 
DILUTED EARNINGS PER SHARE
Continuing operations$6.61 $5.32 $3.40 $2.23 
Discontinued operations(0.01)(0.01)(0.02)(0.02)
Consolidated$6.60 $5.31 $3.38 $2.21 
WEIGHTED AVERAGE DILUTED SHARES127,813 135,329 129,489 137,944 
Adjusted diluted EPS (1)
$6.02 $5.38 $2.95 $2.41 
EBITDA (1)
$1,072,284 $1,012,088 $636,433 $563,153 
(1) All non-GAAP measures are results from continuing operations. See "Non-GAAP Financial Information" for a reconciliation of non-GAAP measures.


image3.jpg

CONSOLIDATED BALANCE SHEETS(unaudited, in 000s - except per share data)
As ofMarch 31, 2026June 30, 2025
ASSETS
Cash and cash equivalents$867,008 $983,277 
Cash and cash equivalents - restricted19,737 19,862 
Receivables, net297,636 63,621 
Prepaid expenses and other current assets104,102 95,788 
Total current assets1,288,483 1,162,548 
Property and equipment, net147,694 135,068 
Operating lease right of use assets522,885 521,215 
Intangible assets, net275,966 259,412 
Goodwill815,620 802,053 
Deferred tax assets and income taxes receivable270,090 317,691 
Other noncurrent assets70,980 65,911 
Total assets$3,391,718 $3,263,898 
LIABILITIES AND STOCKHOLDERS’ EQUITY
LIABILITIES:
Accounts payable and accrued expenses$303,595 $144,046 
Accrued salaries, wages and payroll taxes299,695 107,375 
Accrued income taxes and reserves for uncertain tax positions262,533 296,244 
Current portion of long-term debt— 349,893 
Operating lease liabilities209,269 209,203 
Deferred revenue and other current liabilities219,321 191,849 
Total current liabilities1,294,413 1,298,610 
Long-term debt1,490,933 1,143,305 
Deferred tax liabilities and reserves for uncertain tax positions187,707 306,134 
Operating lease liabilities325,561 322,847 
Deferred revenue and other noncurrent liabilities117,476 104,106 
Total liabilities3,416,090 3,175,002 
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS’ EQUITY:
Common stock, no par, stated value $.01 per share1,565 1,644 
Additional paid-in capital776,872 766,998 
Accumulated other comprehensive loss(55,346)(47,755)
Retained earnings (deficit)(110,471)12,061 
Less treasury shares, at cost(636,992)(644,052)
Total stockholders' equity (deficiency)(24,372)88,896 
Total liabilities and stockholders' equity$3,391,718 $3,263,898 


image3.jpg

CONSOLIDATED STATEMENTS OF CASH FLOWS(unaudited, in 000s)
Nine months ended March 31,20262025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income$439,916 $306,334 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization90,442 87,247 
Provision for credit losses57,523 56,042 
Deferred taxes3,044 (12,503)
Stock-based compensation22,177 25,420 
Changes in assets and liabilities, net of acquisitions:
Receivables(289,209)(335,605)
Prepaid expenses, other current and noncurrent assets(17,548)(7,504)
Accounts payable, accrued expenses, salaries, wages and payroll taxes340,925 240,246 
Deferred revenue, other current and noncurrent liabilities41,186 20,684 
Income tax receivables, accrued income taxes and income tax reserves(99,767)50,049 
Other, net(1,972)(1,088)
Net cash provided by operating activities586,717 429,322 
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures(67,144)(71,784)
Payments made for business acquisitions, net of cash acquired(55,047)(35,323)
Franchise loans funded(18,201)(21,455)
Payments from franchisees16,503 11,478 
Other, net1,329 6,194 
Net cash used in investing activities(122,560)(110,890)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayments of line of credit borrowings(2,375,000)(1,950,000)
Proceeds from line of credit borrowings2,375,000 1,950,000 
Repayments of long-term debt(350,000)— 
Proceeds from issuance of long-term debt346,980 — 
Dividends paid(157,766)(147,136)
Repurchase of common stock, including shares surrendered(412,686)(436,516)
Other, net(6,009)(11,854)
Net cash used in financing activities(579,481)(595,506)
Effects of exchange rate changes on cash(1,070)(8,429)
Net decrease in cash and cash equivalents, including restricted balances(116,394)(285,503)
Cash, cash equivalents and restricted cash, beginning of period1,003,139 1,075,193 
Cash, cash equivalents and restricted cash, end of period$886,745 $789,690 
SUPPLEMENTARY CASH FLOW DATA:
Income taxes paid, net (includes payments for purchased investment tax credits)$135,460 $65,505 
Interest paid on borrowings76,480 63,251 
Accrued additions to property and equipment2,020 2,448 
New operating right of use assets and related lease liabilities182,343 135,372 
Accrued dividends payable to common shareholders53,239 50,194 


image3.jpg
(in 000s)
Three months ended March 31,Nine months ended March 31,
NON-GAAP FINANCIAL MEASURE - EBITDA2026202520262025
Net income - as reported$847,901 $722,330 $439,916 $306,334 
Discontinued operations, net879 598 1,930 2,707 
Net income from continuing operations - as reported848,780 722,928 441,846 309,041 
Add back:
Income taxes167,678 235,253 39,058 104,580 
Interest expense24,307 24,686 65,087 62,285 
Depreciation and amortization31,519 29,221 90,442 87,247 
223,504 289,160 194,587 254,112 
EBITDA from continuing operations$1,072,284 $1,012,088 $636,433 $563,153 
(in 000s, except per share amounts)
Three months ended March 31,Nine months ended March 31,
NON-GAAP FINANCIAL MEASURES - ADJUSTED NET INCOME AND ADJUSTED EPS2026202520262025
Net income from continuing operations - as reported$848,780 $722,928 $441,846 $309,041 
Adjustments:
Amortization of intangibles related to acquisitions (pretax)12,170 11,278 34,401 33,316 
Discrete tax impact of IRS examination settlements(84,113)— (84,113)— 
Tax effect of pretax adjustments (1)
(3,145)(2,927)(8,381)(8,111)
Adjusted net income from continuing operations$773,692 $731,279 $383,753 $334,246 
Diluted earnings per share from continuing operations - as reported$6.61 $5.32 $3.40 $2.23 
Adjustments, net of tax(0.59)0.06 (0.45)0.18 
Adjusted diluted earnings per share from continuing operations$6.02 $5.38 $2.95 $2.41 
(1)Tax effect of adjustments is the difference between the tax provision calculated on a GAAP basis and on an adjusted non-GAAP basis.
Non-GAAP Financial Information
Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. Because these measures are not measures of financial performance under GAAP and are susceptible to varying calculations, they may not be comparable to similarly titled measures for other companies.
We consider our non-GAAP financial measures to be performance measures and a useful metric for management and investors to evaluate and compare the ongoing operating performance of our business. We make adjustments for certain non-GAAP financial measures related to material discrete tax impacts of IRS examination settlements, amortization of intangibles from acquisitions and goodwill impairments. We may consider whether other significant items that arise in the future should be excluded from our non-GAAP financial measures.
We measure the performance of our business using a variety of metrics, including earnings before interest, taxes, depreciation and amortization (EBITDA) from continuing operations, adjusted EBITDA


from continuing operations, adjusted net income from continuing operations, and adjusted diluted earnings per share from continuing operations. We also use EBITDA from continuing operations and pretax income from continuing operations, each subject to permitted adjustments, as performance metrics in incentive compensation calculations for our employees.

Source: View Original Filing on SEC EDGAR

FAQ

How did H&R Block (HRB) perform in its fiscal 2026 third quarter?

H&R Block reported fiscal 2026 Q3 revenue of $2.40 billion, up 5.3% year-over-year. Net income from continuing operations rose to $848.8 million, a 17.4% increase, and diluted EPS from continuing operations grew 24.2% to $6.61.

What were H&R Block’s key profitability metrics for Q3 2026?

Net income from continuing operations reached $848.8 million, up 17.4% year-over-year, while adjusted net income from continuing operations was $773.7 million, up 5.8%. Adjusted diluted EPS from continuing operations increased 11.9% to $6.02, and EBITDA from continuing operations totaled $1.07 billion.

What fiscal 2026 outlook did H&R Block (HRB) provide?

For fiscal 2026, H&R Block expects revenue of $3.910–$3.920 billion, EBITDA of $1.025–$1.035 billion, and adjusted diluted EPS of $5.10–$5.20. At the midpoints, this implies 4.1% revenue growth, 5.5% EBITDA growth, and 10.5% EPS growth year-over-year.

How is H&R Block returning capital to shareholders in 2026?

H&R Block declared a quarterly dividend of $0.42 per share, payable July 7 to shareholders of record June 3, and notes dividends have grown 110% since 2016. Year-to-date, it has returned $560.9 million via dividends and share repurchases.

What share repurchase capacity does H&R Block (HRB) have remaining?

The company has about $700 million remaining under its previously announced $1.5 billion repurchase program. Its board also authorized management to repurchase an additional $100 million of common stock in the fiscal 2026 fourth quarter under the same program.

Did any one-time items affect H&R Block’s Q3 2026 results?

Yes. H&R Block recognized an $84.1 million one-time non-cash tax benefit related to resolution of an IRS examination. This reduced income tax expense and provided a $0.65 benefit to diluted earnings per share from continuing operations in the quarter.

Filing Exhibits & Attachments

4 documents

Press Releases

Other Documents