NYSE$HRB

H&R Block Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

H&R Block reported strong fiscal year 2021 results, driven by growth in total filings, Wave performance, and proactive fiscal management.

H&R Block's fiscal year 2021 saw significant growth in revenue and earnings, driven by an increase in U.S. tax return volumes, a stronger mix in DIY, Emerald Card revenues related to federal stimulus payments, and strong growth from Wave. The company increased its quarterly dividend by 4% and repurchased 6% of its outstanding shares.

  • Total revenue increased by $774 million, or 29.3%, to $3.4 billion.
  • Pretax income improved significantly, reaching $669 million compared to a pretax loss of $3 million in the prior year.
  • Earnings per share from continuing operations increased to $3.11, while adjusted earnings per share increased to $3.39.
  • The company increased its quarterly dividend by 4% to $0.27 per share and repurchased 11.6 million shares for $188 million during the fiscal year.

Headline financials

Total Revenue

$2.33B

Previous: $1.81B+28.7%
EPS (adj)

$5.16

Previous: $3.01+71.4%
Weighted Average Diluted Shares

184.4K

No prior period
Capital Expenditures

$9.47M

Previous: $15.2M-37.6%
Free Cash Flow

$1.19B

Previous: $1.56B-23.5%
Net Income

$949M

Previous: $460M+106.2%
Operating Income

$1.09B

Previous: $642M+69.1%
Gross Profit

$1.43B

Previous: $1.04B+36.9%
Cash & Equivalents

$934M

Previous: $2.66B-64.9%
Total Assets

$3.65B

Previous: $5.11B-28.5%
Stock-Based Comp

$7.87M

Previous: $5.35M+47.3%

Revenue & EPS history

H&R Block · Revenue · Quarterly

$2.33B

Q4 2021+28.7%vs Q4 2020
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

H&R Block · $2.32B total across 10 segments · Q4 2021

  • U.S. Assisted Tax Preparation
    $1.49B+27.1%
  • U.S. DIY Tax Preparation
    $219M+31.1%
  • U.S. Royalties
    $159M+18.7%
  • Refund Transfers
    $152M+48.8%
  • International
    $118M+42.0%
  • Emerald Card® and Spruce℠
    $87.9M+64.0%
  • Peace of Mind® Extended Service Plan
    $26M-12.5%
  • Interest and fee income on Emerald Advance®
    $24.7M-8.9%
  • Tax Identity Shield®
    $21.5M+48.4%
  • Wave
    $17.1M+55.7%

Forward guidance

H&R Block announced a change to its fiscal year-end from April 30 to June 30. The Company plans to file a transition report on form 10-QT for the transition period of May 1, 2021, through June 30, 2021, later this summer. The Company’s fiscal 2022 will begin on July 1, 2021, and end on June 30, 2022.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+0.2%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+1.6%

Avg return

30 days after

39%

27 / 69 earnings

Positive

+23.5%

Q3 2026

Best reaction

-17.3%

Q4 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+23.5%+25.1%+29.8%
Q2 2026-2.9%-11.9%-13.3%
Q1 2026-3.5%-10.7%-18.2%
Q3 2025-5.4%-7.6%-5.5%
Q2 2025-0.1%-3.4%+2.0%
Q1 2025-5.3%-4.1%-8.3%
Q4 2024+13.2%+17.0%+11.0%
Q3 2024+10.3%+9.3%+2.8%
Q2 2024-1.1%-0.1%+2.9%
Q1 2024-0.0%+7.7%+9.6%
Q4 2023+10.3%+12.1%+12.1%
Q3 2023-2.9%-0.4%-1.5%
Q2 2023+0.1%-1.2%-8.0%
Q1 2023-6.4%-3.4%+5.6%
Q4 2022+13.1%+12.8%+12.6%
Q3 2022+17.1%+33.1%+47.3%
Q2 2022+5.1%+4.8%+13.7%
Q1 2022+5.0%+9.6%+2.8%
Q4 2021-7.4%+1.5%+3.9%
Q3 2021+2.4%+5.2%+11.9%
Q2 2021-7.5%-10.1%-10.1%
Q1 2021+2.0%+4.5%+14.9%
Q4 2020-8.0%-11.3%-15.7%
Q3 2020-9.5%-4.8%-45.4%
Q2 2020-1.0%-2.0%-0.6%
Q1 2020-9.4%-10.0%-13.3%
Q4 2019+4.2%+6.5%+4.4%
Q3 2019+6.0%+2.5%+5.9%
Q2 2019-1.7%+0.9%-7.5%
Q1 2019-1.1%+1.7%-2.4%
Q4 2018-17.3%-19.5%-18.1%
Q3 2018+11.4%+7.3%+0.2%
Q2 2018+4.2%+4.6%+1.9%
Q1 2018-9.5%-9.6%-8.0%
Q4 2017+10.2%+13.2%+18.2%
Q3 2017+14.2%+13.2%+12.4%
Q2 2017+0.4%+3.3%+5.8%
Q1 2017-11.8%-11.8%-7.7%
Q4 2016+15.3%+13.2%+12.3%
Q3 2016-14.8%
Q2 2016-7.5%
Q1 2016+4.1%
Q4 2015+1.5%
Q3 2015-5.0%
Q2 2015-6.0%
Q1 2015-2.4%
Q4 2014+5.3%
Q3 2014-2.4%
Q2 2014-3.5%
Q1 2014-0.8%
Q4 2013-1.7%
Q3 2013+8.0%
Q2 2013+5.8%
Q1 2013-1.5%
Q4 2012+3.0%
Q3 2012-0.1%
Q2 2012-7.3%
Q1 2012-11.3%
Q4 2011-1.3%
Q3 2011+5.5%
Q2 2011-3.6%
Q1 2011+1.0%
Q4 2008-3.4%
Q4 2010-3.4%
Q3 2010-0.1%
Q3 2009-0.1%
Q2 2010-0.2%
Q4 2009-1.7%
Q1 2010-1.7%

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