H&R Block (HRB) to Report Q3 Earnings: What's in the Offing?

Zacks Equity Research
·3 min read

H&R Block, Inc. HRB is scheduled to report third-quarter fiscal 2021 results on Mar 9, after market close. The company has a trailing four-quarter earnings surprise of 5.55%, on average.

Expectations This Time Around

Higher expenses, lower tax rate and lower shares outstanding are likely to have put pressure on the company’s fiscal third-quarter fiscal bottom line.

WEX Inc. Price and EPS Surprise

WEX Inc. Price and EPS Surprise
WEX Inc. Price and EPS Surprise

WEX Inc. price-eps-surprise | WEX Inc. Quote

The Zacks Consensus Estimate for the bottom line is pegged at a loss of $1.25, indicating deterioration from a loss of 59 cents in the year-ago quarter. In second-quarter fiscal 2021, the company reported adjusted loss per share of $1.09 per share compared with loss of 85 cents per share in the year-ago quarter.

The Zacks Consensus Estimate for revenues is pegged at $228 .4 million, indicating year-over-year decline of 56%. In second-quarter fiscal 2021, revenues of $177 million increased 9.8% year over year.

What Our Model Says

Our proven Zacks model does not conclusively predict an earnings beat for H&R Block this season. The combination of a positive Earnings ESP, and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

H&R Block has an Earnings ESP of -8.97% and carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Performance of Other Business Services Companies

Rollins’ ROL fourth-quarter 2020 adjusted earnings of 13 cents per share came ahead of the consensus estimate as well as the year-ago quarter’s figure by 18.2%. Revenues of $536.3 million beat the consensus mark by 1.7% and rose 6% year over year.

IHS Markit’s INFO fourth-quarter fiscal 2020 adjusted earnings per share of 72 cents beat the Zacks Consensus Estimate by 7.5% and increased 11% on a year-over-year basis. Total revenues came in at $1.11 billion, marginally missing the consensus mark and declining 1% from the year-ago quarter’s levels on a reported basis.

Automatic Data Processing’s ADP second-quarter fiscal 2021 adjusted earnings per share of $1.52 beat the consensus mark by 17.8% and were flat year over year. Total revenues of $3.69 billion beat the consensus mark by 3.2% and moved up 0.7% year over year.

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Automatic Data Processing, Inc. (ADP) : Free Stock Analysis Report

H&R Block, Inc. (HRB) : Free Stock Analysis Report

Rollins, Inc. (ROL) : Free Stock Analysis Report

IHS Markit Ltd. (INFO) : Free Stock Analysis Report

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