H&R Block (HRB) Q2 2026 earnings summary

Executive summary

• Achieved 11.1% year-over-year revenue growth in Q2, driven by strong demand in assisted, DIY, and Wave segments, with a focus on client-centricity, technology, and operational improvements.

• Leadership transition with a new CEO and Chief Accounting Officer, emphasizing long-term growth and enhanced client and tax professional experiences.

• Business remains highly seasonal, with Q2 typically contributing modestly to annual revenue and generating a net loss.

Financial highlights

• Q2 revenue was $198.9 million, up 11.1% year-over-year, driven by higher assisted tax prep, improved net average charge, and strong Wave and DIY software sales.

• Net loss from continuing operations was $241.6 million, a slight improvement from the prior year.

• EBITDA for Q2 was $(265.8) million, compared to $(261.4) million in the prior year.

• Adjusted loss per share was $(1.84), up from $(1.73) last year, mainly due to fewer shares outstanding.

• Operating expenses increased 5.4% to $497.7 million, mainly due to higher field wages and consulting costs.

Outlook and guidance

• Full-year revenue guidance reaffirmed at $3.875–$3.895 billion, EBITDA of $1.015–$1.035 billion, adjusted EPS of $4.85–$5.00, and effective tax rate around 25%.

• Assumes ~1% industry growth, continued focus on assisted and paid DIY channels, and expanding small business contributions.

• Management expects seasonality to offset interim losses with income in the third and fourth quarters.