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Compared to Estimates, H&R Block (HRB) Q1 Earnings: A Look at Key Metrics

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H&R Block (HRB - Free Report) reported $193.81 million in revenue for the quarter ended September 2024, representing a year-over-year increase of 5.5%. EPS of -$1.17 for the same period compares to -$1.05 a year ago.

The reported revenue represents a surprise of +2.66% over the Zacks Consensus Estimate of $188.78 million. With the consensus EPS estimate being -$1.21, the EPS surprise was +3.31%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how H&R Block performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenues- U.S. assisted tax preparation: $42.96 million versus the two-analyst average estimate of $39.93 million. The reported number represents a year-over-year change of +9.4%.
  • Revenues- U.S. royalties: $5.85 million versus the two-analyst average estimate of $5.54 million. The reported number represents a year-over-year change of +2.7%.
  • Revenues- U.S. DIY tax preparation: $3.24 million compared to the $4.13 million average estimate based on two analysts. The reported number represents a change of -15.9% year over year.
  • Revenues- International: $64.86 million versus $61.36 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +7.1% change.
  • Revenues- Tax Identity Shield: $3.91 million versus the two-analyst average estimate of $4.46 million. The reported number represents a year-over-year change of -14.7%.
  • Revenues- Emerald Card: $8.83 million versus the two-analyst average estimate of $8.92 million. The reported number represents a year-over-year change of +2.2%.
  • Revenues- Peace of Mind Extended Service Plan: $23.10 million versus the two-analyst average estimate of $24.85 million. The reported number represents a year-over-year change of -7%.
  • Revenues- Other: $13.81 million versus the two-analyst average estimate of $11.85 million. The reported number represents a year-over-year change of +25.8%.
  • Revenues- Wave: $26.40 million versus the two-analyst average estimate of $26.51 million. The reported number represents a year-over-year change of +10.3%.
  • Revenues- Refund Transfers: $0.86 million versus the two-analyst average estimate of $1.16 million. The reported number represents a year-over-year change of -24.7%.
View all Key Company Metrics for H&R Block here>>>

Shares of H&R Block have returned +1.3% over the past month versus the Zacks S&P 500 composite's +3.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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