H&R Block Inc
Q3 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +0.75%.
Did HRB Beat Earnings? Q3 2026 Results
H&R Block delivered a strong fiscal third quarter, posting adjusted diluted EPS of $6.02 against a consensus estimate of $5.77, a beat of 4.33%, while revenue of $2.40 billion cleared expectations by 2.67% and grew 5.3% year over year. The primary engine behind the results was higher net average charge and volume in U.S. assisted tax preparation, with the company also noting a third consecutive year of improvement in its assisted channel market share, a meaningful reversal from prior pressure. EBITDA from continuing operations climbed to $1.07 billion, and total operating expenses rose a more modest 4.8% to $1.36 billion, reflecting disciplined cost management even as field wages tracked higher with revenue. Capital return activity remained robust, with $560.90 million returned to shareholders year-to-date through buybacks and dividends, the latter now carrying a 60-year streak of consecutive quarterly payments. Encouraged by the momentum, management raised its full-year fiscal 2026 outlook, now guiding for revenue of $3.91 to $3.92 billion and adjusted diluted EPS of $5.10 to $5.20, representing roughly 10.5% growth at the midpoint.
- Higher net average charge (NAC) and volume in U.S. assisted tax preparation
- Growth in international revenue
- Increase in Refund Transfer volume
- One-time non-cash tax benefit of $84.1 million from IRS examination resolution
- Fewer shares outstanding from share repurchases
- Improved assisted channel market share for third consecutive year
- Progress with higher complexity clients
“This season marked an important inflection point, demonstrating that our strategy is driving higher-quality business outcomes. 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.”
H&R Block CEO, on the earnings call
Forward Guidance & Outlook
The company raised its fiscal 2026 full-year outlook. Revenue is now expected to be in the range of $3.910 to $3.920 billion, representing 4.1% year-over-year growth at the midpoint. EBITDA is expected to be $1.025 to $1.035 billion, a 5.5% year-over-year increase at the midpoint. Adjusted diluted EPS is expected to be $5.10 to $5.20, a 10.5% year-over-year increase at the midpoint. The effective tax rate is expected to be approximately 14%.
HRB YoY Financials
HRB Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.