H&R Block kept its fiscal 2027 revenue forecast after a wider first-quarter loss and plans to bring its client consultation pilot to roughly 650 offices for Tax Season ’27.
The company left its revenue outlook at $4.11 billion to $4.16 billion in its fiscal 2027 first-quarter earnings release, filed as an exhibit to a Nov. 9 Form 8-K with the Securities and Exchange Commission. It also maintained adjusted EBITDA guidance of $1.11 billion to $1.14 billion, adjusted diluted earnings per share of $6.04 to $6.24 and an effective tax rate of about 23%.
H&R Block’s first-quarter results showed revenue for the three months ended Sept. 30 rising 10.2% from a year earlier to $224.3 million. The loss from continuing operations widened 13.8% to $188.1 million. Adjusted loss per share was $1.40, compared with $1.20 a year earlier; the reported loss from continuing operations was $1.53 per share, up from $1.26.
H&R Block credited revenue growth to its international services, tax protection and identity services, small-business services and U.S. tax preparation businesses. Operating expenses rose 11.1% to $456.2 million. The company cited higher field compensation and benefits, general corporate expenses, and occupancy and equipment costs. The quarter also included $8 million in severance and related costs tied to a previously announced change in leadership for seasonal offices; H&R Block excluded the charge from adjusted results.
H&R Block said tax preparation’s seasonal nature means the opening quarter typically contributes a small share of annual revenue and records a net loss. It repurchased 2.2 million shares for $100.3 million during the quarter, at an average of $45.68 per share. The board declared a quarterly dividend of 46 cents per share, payable Jan. 6 to shareholders of record Dec. 3.
