H&R Block, Inc.

Fiscal 2026 revenue was $3.95 billion, up 4.9% year over year. Total operating expenses were $3.04 billion, up 3.6%. EBITDA was $1.06 billion, up 8.3%, with 80 basis points of margin expansion. Effective tax rate was 14% versus 22% in the prior year. Net income from continuing operations was $736 million and EPS from continuing operations was $5.69; adjusted net income was $688 million and adjusted EPS was $5.31, up 13.9%. Free cash flow was $756 million, and H&R Block returned $714 million to shareholders through dividends and share repurchases. For fiscal 2027, management guided to revenue of $4.11 billion to $4.16 billion, adjusted EBITDA of $1.11 billion to $1.14 billion, an effective tax rate of approximately 23%, and adjusted diluted EPS of $6.14 to $6.24. The company also said it expects about $8.3 million of severance in Q1 fiscal 2027, excluded from outlook, and about $400 million of share repurchases; the quarterly dividend was raised 10% to $0.46 per share.

Curtis A. Campbell framed fiscal 2026 as proof that H&R Block’s “expert led technology enabled” strategy is working. He emphasized a move away from transactional tax prep toward a consultative model, with technology used to remove manual work so tax pros can provide more advice, judgment, and accountability. His tone was confident and forward-looking, repeatedly saying the company is early in the journey but better positioned than it has been in years.

Tiffany L. Mason said fiscal 2026 was H&R Block’s strongest financial performance of the past five years, with revenue up 4.9%, EBITDA up 8.3%, and adjusted EPS up 13.9%. She pointed to higher NAC and company-owned assisted volume, Wave’s second straight year of double-digit revenue growth, and disciplined expense management that still allowed for strategic investment. She also highlighted $756 million of free cash flow, $500 million spent repurchasing and retiring about 10.5 million shares, a total of $714 million returned to shareholders, and a 10% dividend increase to $0.46 per share.

Analysts focused on whether the strong gains in conversion and retention can persist, with management saying the opportunity is still early because Blocknext is only in its first phase. Questions also centered on DIY trends, pricing, investment priorities, second look utilization, international performance, and the impact of the tax law changes. Management said low single-digit pricing remains the plan, investment will go into consultative experiences, automation, and small business, second look is being automated to expand usage, and international results were helped by FX but mixed by country. On AI, Curtis argued the company is structurally advantaged because tax prep is high-stakes and clients want trust, judgment, and accountability, so AI should amplify expertise rather than replace it.