H&R Block Announces Interim Tax Results
KANSAS CITY, MO, Feb 23, 2012 (MARKETWIRE via COMTEX) --H&R Block, Inc. (NYSE: HRB) today released its first of three interim period tax results, reflecting U.S. returns prepared fiscal year-to-date through Feb. 15, 2012. Total tax returns prepared grew 6.7 percent compared to the prior year. Total digital tax returns increased 16.7 percent, led by online1 unit growth of more than 24 percent. Total retail returns prepared increased 2.1 percent for the comparable period.
"It is still early, but we believe that we are clearly on pace to gain share in both our retail and digital channels this tax season," said Bill Cobb, H&R Block's president and chief executive officer.
The company believes that part of its growth in total filings through Feb. 15 is attributable to favorable comparisons to the prior year, during which the tax season was delayed due to the inability of the IRS to accept certain filings prior to Feb. 14. As a result, the company expects its growth in total filings to moderate throughout the remainder of February.
Third Quarter Earnings
Additional commentary will be available when the company reports fiscal 2012 third quarter financial results on Wednesday, March 7, after the New York Stock Exchange market close. At 4:30 p.m. Eastern on March 7, the company will host a conference call for analysts, institutional investors and shareholders. To access the call, please dial the number below approximately 5 to 10 minutes prior to the scheduled starting time:
U.S./Canada (877) 809-6980 or International (706) 634-7287
Conference ID: 48334982
The call will also be webcast in a listen-only format for the media and public. The link to the webcast can be accessed on the company's investor relations Web site at www.hrblock.com
A replay of the call will be available beginning at 6:30 p.m. Eastern on March 7 and continuing until March 20, 2012, and may be accessed by dialing (855) 859-2056 (U.S./Canada) or (404) 537-3406 (International). The conference ID is 48334982. The webcast will be available for replay beginning on March 8.
Forward Looking Statements This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "will," "would," "should," "could" or "may." Forward-looking statements provide management's current expectations or predictions of future conditions, events or results. They may include projections of revenues, income, earnings per share, capital expenditures, dividends, liquidity, capital structure or other financial items, descriptions of management's plans or objectives for future operations, products or services, or descriptions of assumptions underlying any of the above. All forward-looking statements speak only as of the date they are made and reflect the company's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, the company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes, except as required by federal securities laws. By their nature, forward-looking statements are subject to risks and uncertainties. For a discussion of these and other factors that could cause the company's future results to differ materially from any forward-looking statements, see the section entitled "Risk Factors" in the company's 2011 Annual Report on Form 10-K and in other filings by the company with the Securities and Exchange Commission.
About H&R Block H&R Block, Inc. (NYSE: HRB) has prepared more than 575 million tax returns worldwide since 1955, making it the country's largest tax services provider. In fiscal 2011, H&R Block had annual revenues of nearly $3 billion and prepared more than 24.5 million tax returns worldwide, including Canada and Australia. Tax return preparation services are provided in company-owned and franchise retail tax offices by approximately 100,000 professional tax preparers, and through H&R Block At Home(TM) digital products. H&R Block Bank provides affordable banking products and services. For more information, visit the H&R Block Online Press Center.
(1)Total online returns prepared exclude software-based and Free File Alliance ("FFA") returns.
H&R BLOCK
Preliminary U.S. Tax Operating Data
---------------------------------------------------------------------------
(in thousands)
-------- -------- -------- -------- -------- --------
Fiscal Fiscal Fiscal Fiscal
Year to Year to Year to Year to
Date as Date as Date as Date as
of of Percent of of Percent
1/31/12 1/31/11 change 2/15/12 2/15/11 change
-------- -------- -------- -------- -------- --------
Total returns prepared:
(1,2)
Company-owned
operations 2,351 2,238 5.0% 4,555 4,435 2.7%
Franchise operations 1,581 1,528 3.5% 3,013 2,977 1.2%
-------- -------- ------- -------- -------- -------
Total retail
operations 3,932 3,766 4.4% 7,568 7,412 2.1%
-------- -------- ------- -------- -------- -------
Software 664 627 5.9% 1,093 1,046 4.5%
Online 1,330 1,019 30.5% 2,426 1,951 24.3%
-------- -------- ------- -------- -------- -------
Sub-total 1,994 1,646 21.1% 3,519 2,997 17.4%
-------- -------- ------- -------- -------- -------
Free File Alliance 209 188 11.2% 408 367 11.2%
-------- -------- ------- -------- -------- -------
Total digital tax
solutions 2,202 1,834 20.0% 3,927 3,364 16.7%
-------- -------- ------- -------- -------- -------
6,134 5,600 9.5% 11,495 10,776 6.7%
======== ======== ======= ======== ======== =======
(1) Prior year numbers have been reclassified between company-owned and
franchise operations for offices which were refranchised during either
year.
(2) Off season is defined as May 1 through October 31; Off season Retail
returns (in thousands) for FY12 and FY11 are 306 and 339, respectively.
Digital off season returns (in thousands) for FY12 and FY11 were 151 and
124, respectively.
For Further Information Investor Relations: Derek Drysdale (816) 854-4513 Email Contact Media Relations: Gene King (816) 854-4672 Email Contact
SOURCE: H & R Block
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