H&R Block Delivers Strong FY2026, Guides FY2027 EPS Above Consensus, and Hikes Dividend 10%
HRB sits 87% above its 52-week low of $28.16 on elevated volume (2.0× avg).
Summary
H&R Block posted FY2026 revenue of $3.95B and adjusted EPS of $5.31, both ahead of expectations, and guided FY2027 adjusted EPS to $6.04–$6.24, above consensus. The quarterly dividend was raised 10%, and $500M in shares were repurchased.
Key Events · Earnings and Guidance · HRB
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FY2026 Revenue and Earnings Beat
Revenue grew 4.9% to $3.95 billion, driven by a higher net average charge and increased assisted tax preparation volume. Adjusted EPS rose 13.9% to $5.31, exceeding expectations.
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FY2027 Guidance Above Consensus
The company expects FY2027 adjusted EPS of $6.04–$6.24, a range that likely exceeds current analyst estimates, on revenue of $4.11–$4.16 billion.
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Dividend Increased 10%
The quarterly dividend was raised to $0.46 per share, marking the ninth consecutive annual increase, payable October 6, 2026.
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Aggressive Share Repurchases
In FY2026, 10.5 million shares (7.9% of outstanding) were repurchased for $500.3 million, with $600 million remaining on the $1.5 billion authorization.
Analysis · HRB · Trade & Services
A solid fiscal 2026 saw revenue climb 5% to $3.95 billion and adjusted EPS advance 14% to $5.31, fueled by a higher net average charge and growth in assisted tax preparation volume. Looking ahead, FY2027 adjusted EPS guidance of $6.04–$6.24 likely surpasses current analyst expectations, underscoring management's confidence in sustained momentum. Returning capital remains a priority: a 10% dividend increase and $500 million in share repurchases highlight that commitment. Together, the better-than-expected results, upbeat outlook, and shareholder-friendly moves make this a notable positive catalyst.
At the time of this filing, HRB was trading at $52.65 on NYSE in the Trade & Services sector, with a market capitalization of approximately $5.9B. The 52-week trading range was $28.16 to $55.95. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.