H&R Block profit beats estimates
H&R Block Inc (HRB.N) posted a higher-than-expected quarterly profit on Friday as it charged more for tax services heading into its critical U.S. tax filing season, reported Reuters.
The largest U.S. tax preparer reported net earnings of $47.4 million, or 14 cents per share, for the third quarter that ended January 31, compared with a year-earlier loss of $47.4 million, or 15 cents a share.
Income from operations rose to $66.8 million, or 20 cents per shares, more than double the analysts' average forecast of 9 cents per share, according to Reuters Estimates, Year-earlier profit from continuing operations was $7 million, or 2 cents per share.
Revenue climbed 11 percent to $993.4 million. Tax services revenue improved 15.1 percent as total retail tax returns through January 31 rose 1.6 percent.
The company said it had cut its debt load by $2.5 billion.
H&R Block also said that through February, total tax preparation revenues were up 6.5 percent, but total tax returns prepared were down 1.8 percent.