hrb-20250331

Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


(Mark One)
☑	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended	March 31, 2025
OR
☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the transition period from to

Commission file number 1-06089

H&R Block, Inc.

(Exact name of registrant as specified in its charter)


Missouri						44-0607856
(State or other jurisdiction of						(I.R.S. Employer
incorporation or organization)						Identification No.)

One H&R Block Way, Kansas City, Missouri 64105

(Address of principal executive offices, including zip code)

(816) 854-3000

(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, without par value	HRB	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ☑ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes ☑ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one)

Large accelerated filer ☑ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes ☐ No ☑

The number of shares outstanding of the registrant's Common Stock, without par value, at the close of business on April 30, 2025: 133,880,414 shares.

Table of Contents

Form 10-Q for the Period ended March 31, 2025

Table of Contents


	PART I
Item 1.	Consolidated Statements of Operations and Comprehensive Income Three and nine months ended March 31, 2025 and 2024	1
	Consolidated Balance Sheets As of March 31, 2025 and June 30, 2024	2
	Consolidated Statements of Cash Flows Nine months ended March 31, 2025 and 2024	3
	Consolidated Statements of Stockholders' Equity Three and nine months ended March 31, 2025 and 2024	4
	Notes to Consolidated Financial Statements	6
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	15
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	24
Item 4.	Controls and Procedures	24
	PART II
Item 1.	Legal Proceedings	24
Item 1A.	Risk Factors	24
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	25
Item 3.	Defaults Upon Senior Securities	25
Item 4.	Mine Safety Disclosures	25
Item 5.	Other Information	25
Item 6.	Exhibits	26
	Signatures	27

Table of Contents

PART I FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS


CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME:					(unaudited, in 000s, except per share amounts)
	Three months ended March 31,				Nine months ended March 31,
	2025		2024		2025		2024
REVENUES:
Service revenues	$	2,099,481	$	1,993,556	$	2,434,220	$	2,314,363
Royalty, product and other revenues	177,623		191,278		215,764		233,354
	2,277,104		2,184,834		2,649,984		2,547,717
OPERATING EXPENSES:
Costs of revenues	969,392		926,008		1,553,182		1,485,193
Selling, general and administrative	329,399		330,622		640,111		608,078
Total operating expenses	1,298,791		1,256,630		2,193,293		2,093,271

Other income (expense), net	4,554		5,224		19,215		20,982
Interest expense on borrowings	(24,686)		(26,070)		(62,285)		(63,304)
Income from continuing operations before income taxes	958,181		907,358		413,621		412,124
Income taxes	235,253		215,772		104,580		72,527
Net income from continuing operations	722,928		691,586		309,041		339,597
Net loss from discontinued operations, net of tax benefits of $180, $254, $811 and $627	(598)		(849)		(2,707)		(2,097)
NET INCOME	$	722,330	$	690,737	$	306,334	$	337,500
BASIC EARNINGS PER SHARE:
Continuing operations	$	5.38	$	4.94	$	2.26	$	2.37
Discontinued operations	(0.01)		(0.01)		(0.02)		(0.01)
Consolidated	$	5.37	$	4.93	$	2.24	$	2.36
DILUTED EARNINGS PER SHARE:
Continuing operations	$	5.32	$	4.87	$	2.23	$	2.34
Discontinued operations	(0.01)		(0.01)		(0.02)		(0.02)
Consolidated	$	5.31	$	4.86	$	2.21	$	2.32




DIVIDENDS DECLARED PER SHARE	$	0.375	$	0.32	$	1.125	$	0.96
COMPREHENSIVE INCOME:
Net income	$	722,330	$	690,737	$	306,334	$	337,500



Change in foreign currency translation adjustments	445		(9,882)		(22,472)		(9,237)
Other comprehensive income (loss)	445		(9,882)		(22,472)		(9,237)
Comprehensive income	$	722,775	$	680,855	$	283,862	$	328,263

See accompanying notes to consolidated financial statements.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			1

Table of Contents


CONSOLIDATED BALANCE SHEETS	(unaudited, in 000s, except share and per share amounts)
As of	March 31, 2025		June 30, 2024
ASSETS
Cash and cash equivalents	$	772,946	$	1,053,326
Cash and cash equivalents - restricted	16,744		21,867
Receivables, less allowance for credit losses of $49,315 and $61,182	352,398		69,075

Prepaid expenses and other current assets	104,450		95,208
Total current assets	1,246,538		1,239,476
Property and equipment, at cost, less accumulated depreciation and amortization of $864,681 and $838,814	146,456		131,319
Operating lease right of use assets	417,197		461,986
Intangible assets, net	270,007		264,102
Goodwill	785,936		785,226
Deferred tax assets and income taxes receivable	308,989		271,658
Other noncurrent assets	69,888		65,043
Total assets	$	3,245,011	$	3,218,810
LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES:
Accounts payable and accrued expenses	$	243,754	$	155,830
Accrued salaries, wages and payroll taxes	269,849		105,548
Accrued income taxes and reserves for uncertain tax positions	346,733		318,830
Current portion of long-term debt	349,787		—
Operating lease liabilities	173,902		206,070
Deferred revenue and other current liabilities	205,778		191,050
Total current liabilities	1,589,803		977,328
Long-term debt and line of credit borrowings	1,142,890		1,491,095
Deferred tax liabilities and reserves for uncertain tax positions	337,634		291,063
Operating lease liabilities	252,630		265,373
Deferred revenue and other noncurrent liabilities	114,892		103,357
Total liabilities	3,437,849		3,128,216
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Common stock, no par, stated value $0.01 per share, 800,000,000 shares authorized, shares issued of 164,367,434 and 170,915,771	1,644		1,709
Additional paid-in capital	758,821		762,583
Accumulated other comprehensive loss	(71,317)		(48,845)
Retained earnings (deficit)	(236,909)		12,654
Less treasury shares, at cost, of 30,487,639 and 31,324,609	(645,077)		(637,507)
Total stockholders' equity (deficiency)	(192,838)		90,594
Total liabilities and stockholders' equity	$	3,245,011	$	3,218,810

See accompanying notes to consolidated financial statements.


2			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents


CONSOLIDATED STATEMENTS OF CASH FLOWS	(unaudited, in 000s)
Nine months ended March 31,	2025		2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$	306,334	$	337,500
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	87,247		91,004
Provision for credit losses	56,042		61,359
Deferred taxes	(12,503)		(58,223)
Stock-based compensation	25,420		25,310

Changes in assets and liabilities, net of acquisitions:

Receivables	(335,605)		(348,106)
Prepaid expenses, other current and noncurrent assets	(7,504)		(18,037)

Accounts payable, accrued expenses, salaries, wages and payroll taxes	240,246		223,045

Deferred revenue, other current and noncurrent liabilities	20,684		12,483

Income tax receivables, accrued income taxes and income tax reserves	50,049		93,961
Other, net	(1,088)		(32)
Net cash provided by operating activities	429,322		420,264
CASH FLOWS FROM INVESTING ACTIVITIES:



Capital expenditures	(71,784)		(53,831)
Payments made for business acquisitions, net of cash acquired	(35,323)		(43,163)



Franchise loans funded	(21,455)		(18,815)
Payments from franchisees	11,478		12,884

Other, net	6,194		3,282
Net cash used in investing activities	(110,890)		(99,643)
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayments of line of credit borrowings	(1,950,000)		(1,025,000)
Proceeds from line of credit borrowings	1,950,000		1,025,000




Dividends paid	(147,136)		(135,127)
Repurchase of common stock, including shares surrendered	(436,516)		(379,018)

Other, net	(11,854)		(6,358)
Net cash used in financing activities	(595,506)		(520,503)
Effects of exchange rate changes on cash	(8,429)		(2,739)
Net decrease in cash and cash equivalents, including restricted balances	(285,503)		(202,621)
Cash, cash equivalents and restricted cash, beginning of period	1,075,193		1,015,316
Cash, cash equivalents and restricted cash, end of period	$	789,690	$	812,695
SUPPLEMENTARY CASH FLOW DATA:
Income taxes paid, net (includes payments for purchased investment tax credits)	$	65,505	$	35,888
Interest paid on borrowings	63,251		66,464


Accrued additions to property and equipment	2,448		1,477
New operating right of use assets and related lease liabilities	135,372		139,872
Accrued dividends payable to common shareholders	50,194		44,648

See accompanying notes to consolidated financial statements.


H&R Block, Inc. \| Q3 FY2025 Form 10-Q			3

Table of Contents


CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY					(amounts in 000s, except per share amounts)
	Common Stock			Additional Paid-in Capital	Accumulated Other Comprehensive Loss(1)		Retained Earnings (Deficit)		Treasury Stock			Total Stockholders’ Equity
	Shares	Amount									Shares			Amount
Balances as of July 1, 2024	170,916	$	1,709		$	762,583	$	(48,845)	$	12,654	(31,325)	$	(637,507)		$	90,594
Net loss	—	—			—		—		(172,576)		—	—			(172,576)
Other comprehensive income	—	—			—		6,117		—		—	—			6,117
Stock-based compensation	—	—			7,463		—		—		—	—			7,463
Stock-based awards exercised or vested	—	—			(23,990)		—		(2,611)		1,319	26,848			247
Acquisition of treasury shares(2)	—	—			—		—		—		(567)	(35,882)			(35,882)
Repurchase and retirement of common shares	(3,301)	(33)			(1,980)		—		(209,708)		—	—			(211,721)


Cash dividends declared - $0.375 per share	—	—			—		—		(52,307)		—	—			(52,307)
Balances as of September 30, 2024	167,615	$	1,676		$	744,076	$	(42,728)	$	(424,548)	(30,573)	$	(646,541)		$	(368,065)
Net loss	—	—			—		—		(243,420)		—	—			(243,420)
Other comprehensive loss	—	—			—		(29,034)		—		—	—			(29,034)
Stock-based compensation	—	—			9,156		—		—		—	—			9,156
Stock-based awards exercised or vested	—	—			810		—		(245)		54	1,144			1,709
Acquisition of treasury shares(2)	—	—			—		—		—		(4)	(253)			(253)
Repurchase and retirement of common shares	(3,248)	(32)			(1,949)		—		(190,396)		—	—			(192,377)


Cash dividends declared - $0.375 per share	—	—			—		—		(50,176)		—	—			(50,176)
Balances as of December 31, 2024	164,367	$	1,644		$	752,093	$	(71,762)	$	(908,785)	(30,523)	$	(645,650)		$	(872,460)
Net income	—	—			—		—		722,330		—	—			722,330
Other comprehensive income	—	—			—		445		—		—	—			445
Stock-based compensation	—	—			7,424		—		—		—	—			7,424
Stock-based awards exercised or vested	—	—			(696)		—		(260)		41	856			(100)
Acquisition of treasury shares(2)	—	—			—		—		—		(6)	(283)			(283)



Cash dividends declared - $0.375 per share	—	—			—		—		(50,194)		—	—			(50,194)
Balances as of March 31, 2025	164,367	$	1,644		$	758,821	$	(71,317)	$	(236,909)	(30,488)	$	(645,077)		$	(192,838)

(1) The balance of our accumulated other comprehensive loss consists of foreign currency translation adjustments.

(2) Represents shares swapped or surrendered to us in connection with the vesting or exercise of stock-based awards.

See accompanying notes to consolidated financial statements.


4			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents



					(amounts in 000s, except per share amounts)
	Common Stock			Additional Paid-in Capital	Accumulated Other Comprehensive Loss(1)		Retained Earnings (Deficit)		Treasury Stock			Total Stockholders’ Equity
	Shares	Amount									Shares			Amount
Balances as of July 1, 2023	178,936	$	1,789		$	770,376	$	(37,099)	$	(48,677)	(32,786)	$	(654,325)		$	32,064
Net loss	—	—			—		—		(163,482)		—	—			(163,482)
Other comprehensive loss	—	—			—		(10,914)		—		—	—			(10,914)
Stock-based compensation	—	—			6,211		—		—		—	—			6,211
Stock-based awards exercised or vested	—	—			(34,226)		—		(3,220)		1,867	37,348			(98)
Acquisition of treasury shares(2)	—	—			—		—		—		(823)	(28,464)			(28,464)
Repurchase and retirement of common shares	(3,265)	(32)			(1,927)		—		(131,341)		—	—			(133,300)


Cash dividends declared - $0.32 per share	—	—			—		—		(46,901)		—	—			(46,901)
Balances as of September 30, 2023	175,671	$	1,757		$	740,434	$	(48,013)	$	(393,621)	(31,742)	$	(645,441)		$	(344,884)
Net loss	—	—			—		—		(189,755)		—	—			(189,755)
Other comprehensive income	—	—			—		11,559		—		—	—			11,559
Stock-based compensation	—	—			9,270		—		—		—	—			9,270
Stock-based awards exercised or vested	—	—			(165)		—		(46)		348	7,087			6,876
Acquisition of treasury shares(2)	—	—			—		—		—		(3)	(125)			(125)
Repurchase and retirement of common shares	(4,755)	(48)			(2,805)		—		(217,467)		—	—			(220,320)


Cash dividends declared - $0.32 per share	—	—			—		—		(45,273)		—	—			(45,273)
Balances as of December 31, 2023	170,916	$	1,709		$	746,734	$	(36,454)	$	(846,162)	(31,397)	$	(638,479)		$	(772,652)
Net income	—	—			—		—		690,737		—	—			690,737
Other comprehensive loss	—	—			—		(9,882)		—		—	—			(9,882)
Stock-based compensation	—	—			7,140		—		—		—	—			7,140
Stock-based awards exercised or vested	—	—			(269)		—		(223)		16	300			(192)
Acquisition of treasury shares(2)	—	—			—		—		—		(7)	(309)			(309)



Cash dividends declared - $0.32 per share	—	—			—		—		(44,648)		—	—			(44,648)
Balances as of March 31, 2024	170,916	$	1,709		$	753,605	$	(46,336)	$	(200,296)	(31,388)	$	(638,488)		$	(129,806)

(1) The balance of our accumulated other comprehensive loss consists of foreign currency translation adjustments.

(2) Represents shares swapped or surrendered to us in connection with the vesting or exercise of stock-based awards.

See accompanying notes to consolidated financial statements.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			5

Table of Contents

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)

NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION – The consolidated balance sheets as of March 31, 2025 and June 30, 2024, the consolidated statements of operations and comprehensive income for the three and nine months ended March 31, 2025 and 2024, the consolidated statements of cash flows for the nine months ended March 31, 2025 and 2024, and the consolidated statements of stockholders' equity for the three and nine months ended March 31, 2025 and 2024 have been prepared by the Company, without audit. In the opinion of management, all adjustments, which include only normal recurring adjustments, necessary to present fairly the financial position, results of operations, and cash flows as of March 31, 2025 and 2024 and for all periods presented, have been made.

"H&R Block," "the Company," "we," "our," and "us" are used interchangeably to refer to H&R Block, Inc., to H&R Block, Inc. and its subsidiaries, or to H&R Block, Inc.'s operating subsidiaries, as appropriate to the context.

Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (GAAP) have been condensed or omitted. These consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in our June 30, 2024 Annual Report on Form 10-K. All amounts presented herein as of June 30, 2024 or for the year then ended are derived from our Annual Report on Form 10-K.

MANAGEMENT ESTIMATES – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates, assumptions and judgments are applied in the evaluation of contingent losses associated with pending claims and litigation, reserves for uncertain tax positions, and fair value of reporting units. Estimates have been prepared based on the best information available as of each balance sheet date. As such, actual results could differ materially from those estimates.

SEASONALITY OF BUSINESS – Our operating revenues are seasonal in nature with peak revenues typically occurring in the months of February through April. Therefore, results for interim periods are not indicative of results to be expected for the full year.

DISCONTINUED OPERATIONS – Our discontinued operations include the results of operations of Sand Canyon Corporation, previously known as Option One Mortgage Corporation, which exited its mortgage business in fiscal year 2008.


6			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

NOTE 2: REVENUE RECOGNITION

The majority of our revenues are from our United States (U.S.) tax services business. The following table disaggregates our U.S. revenues by major service line, with revenues from our international tax services businesses and from Wave included as separate lines:


							(in 000s)
	Three months ended March 31,				Nine months ended March 31,
	2025		2024		2025		2024
Revenues:
U.S. assisted tax preparation	$	1,635,877	$	1,534,825	$	1,727,220	$	1,622,430
U.S. royalties	133,961		141,915		143,312		153,070
U.S. DIY tax preparation	214,666		198,570		231,646		215,529
Refund Transfers	113,732		118,937		115,229		120,892
Peace of Mind® Extended Service Plan	15,625		16,813		54,867		59,100
Tax Identity Shield®	7,025		7,536		14,947		16,810
Emerald Card® and SpruceSM	40,195		41,160		59,169		61,493
Interest and fee income on Emerald Advance®	14,286		21,169		26,594		36,702
International	60,438		68,264		157,104		158,398
Wave	26,717		23,580		79,681		70,656
Other	14,582		12,065		40,215		32,637
Total revenues	$	2,277,104	$	2,184,834	$	2,649,984	$	2,547,717

Changes in the balances of deferred revenue and wages for our Peace of Mind® Extended Service Plan (POM) are as follows:


							(in 000s)
POM	Deferred Revenue				Deferred Wages
Nine months ended March 31,	2025		2024		2025		2024
Balance, beginning of the period	$	156,610	$	167,257	$	20,212	$	21,828
Amounts deferred	70,536		72,369		7,222		8,324
Amounts recognized on previous deferrals	(64,885)		(68,445)		(8,396)		(8,324)
Balance, end of the period	$	162,261	$	171,181	$	19,038	$	21,828

As of March 31, 2025, deferred revenue related to POM was $162.3 million. We expect that $91.8 million will be recognized over the next twelve months, while the remaining balance will be recognized over the following five years.

As of March 31, 2025 and 2024, Tax Identity Shield® (TIS) deferred revenue was $31.2 million and $31.6 million, respectively. Deferred revenue related to TIS was $21.4 million and $25.2 million as of June 30, 2024 and 2023, respectively. All deferred revenue related to TIS will be recognized through April 2026.

NOTE 3: EARNINGS PER SHARE AND STOCKHOLDERS' EQUITY

EARNINGS PER SHARE – Basic and diluted earnings (loss) per share is computed using the two-class method. The two-class method is an earnings allocation formula that determines net income per share for each class of common stock and participating security according to dividends declared and participation rights in undistributed earnings. Per share amounts are computed by dividing net income (loss) from continuing operations attributable to common shareholders by the weighted average shares outstanding during each period. Diluted earnings per share excludes the impact of shares of common stock issuable upon the lapse of certain restrictions or the exercise of options to purchase 0.6 million and 0.5 million shares for the three and nine months ended March 31, 2025,


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			7

Table of Contents

respectively, and one thousand and 0.2 million shares for the three and nine months ended March 31, 2024, respectively, as the effect would be antidilutive.

The computations of basic and diluted earnings per share from continuing operations are as follows:


(in 000s, except per share amounts)
	Three months ended March 31,				Nine months ended March 31,
	2025		2024		2025		2024
Net income from continuing operations attributable to shareholders	$	722,928	$	691,586	$	309,041	$	339,597
Amounts allocated to participating securities	(3,442)		(2,788)		(1,408)		(1,350)
Net income from continuing operations attributable to common shareholders	$	719,486	$	688,798	$	307,633	$	338,247

Basic weighted average common shares	133,853		139,525		136,207		142,724
Potential dilutive shares	1,476		2,015		1,737		1,870
Dilutive weighted average common shares	135,329		141,540		137,944		144,594

Earnings per share from continuing operations attributable to common shareholders:
Basic	$	5.38	$	4.94	$	2.26	$	2.37
Diluted	5.32		4.87		2.23		2.34

The decrease in the weighted average shares outstanding is due to share repurchases completed in the current and prior fiscal years.

STOCK-BASED COMPENSATION – We granted 1.1 million and 1.7 million shares, including adjustments for performance achievement and dividend equivalents, under our stock-based compensation plans during the nine months ended March 31, 2025 and 2024, respectively. Stock-based compensation expense of our continuing operations totaled $7.5 million and $25.4 million for the three and nine months ended March 31, 2025, respectively, and $7.8 million and $25.3 million for the three and nine months ended March 31, 2024, respectively. As of March 31, 2025, unrecognized compensation cost for nonvested shares and units totaled $50.8 million.

NOTE 4: RECEIVABLES

Receivables, net of their related allowance, consist of the following:


(in 000s)
As of	March 31, 2025				June 30, 2024
	Short-term		Long-term		Short-term		Long-term
Loans to franchisees	$	17,267	$	17,979	$	5,917	$	16,498
Receivables for U.S. assisted and DIY tax preparation and related fees	221,510		9,282		18,440		5,332
H&R Block's Instant Refund® receivables	24,162		808		2,947		207
Emerald Advance®	22,385		22,635		17,867		21,360
Software receivables from retailers	11,097		—		1,029		—
Royalties and other receivables from franchisees	32,394		—		5,808		—
Wave payment processing receivables	1,801		—		1,078		—
Other	21,782		612		15,989		427
Total	$	352,398	$	51,316	$	69,075	$	43,824


8			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

Balances presented above as short-term are included in receivables, while the long-term portions are included in other noncurrent assets in the consolidated balance sheets.

LOANS TO FRANCHISEES – Franchisee loan balances consist of term loans made primarily to finance the purchase of franchises and revolving lines of credit primarily for the purpose of funding working capital needs. Loans with a principal balance more than 90 days past due or on non-accrual status were $2.2 million and $1.1 million as of March 31, 2025 and June 30, 2024, respectively.

H&R BLOCK'S INSTANT REFUND® – H&R Block's Instant Refund® amounts are generally received from the Canada Revenue Agency within 60 days of filing the client's return, with the remaining balance collectible from the client.

We review the credit quality of our Instant Refund receivables based on pools, which are segregated by the tax return year of origination, with older years being deemed more unlikely to be repaid. We establish an allowance for credit losses at an amount that we believe reflects the receivable at net realizable value. In December of each year, we charge-off the receivables and the related allowance to an amount we believe represents the net realizable value.

Balances and amounts on non-accrual status, classified as impaired, or more than 60 days past due, by tax return year of origination, as of March 31, 2025 are as follows:


			(in 000s)

Tax return year of origination	Balance		More Than 60 Days Past Due
2024	$	24,713	$	—
2023 and prior	1,027		1,027

	25,740		$	1,027
Allowance	(770)
Net balance	$	24,970

EMERALD ADVANCE® – We review the credit quality of our purchased participation interests in Emerald Advance® (EA) receivables based on pools, which are segregated by the fiscal year of origination, with older years being deemed more unlikely to be repaid. We establish an allowance for credit losses at an amount that we believe reflects the receivable at net realizable value. Typically, in December of each year, we charge-off the receivables and the related allowance for EAs to an amount we believe represents the net realizable value.

Balances and amounts on non-accrual status, classified as impaired, or more than 60 days past due, by fiscal year of origination, as of March 31, 2025 are as follows:


(in 000s)
Fiscal year of origination	Balance		Non-Accrual
2025	$	40,017	$	—
2024 and prior	24,374		24,374

	64,391		$	24,374
Allowance	(19,371)
Net balance	$	45,020


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			9

Table of Contents

ALLOWANCE FOR CREDIT LOSSES – Activity in the allowance for credit losses for EA and all other short-term and long-term receivables for the nine months ended March 31, 2025 and 2024 is as follows:


(in 000s)
	EAs		All Other		Total
Balances as of July 1, 2024	$	33,536	$	45,327	$	78,863
Provision for credit losses	19,371		36,671		56,042
Charge-offs, recoveries and other	(33,536)		(45,864)		(79,400)
Balances as of March 31, 2025	$	19,371	$	36,134	$	55,505
Balances as of July 1, 2023	$	27,386	$	35,108	$	62,494
Provision for credit losses	21,011		40,348		61,359
Charge-offs, recoveries and other	(27,714)		(37,455)		(65,169)
Balances as of March 31, 2024	$	20,683	$	38,001	$	58,684

For the nine months ended March 31, 2025, there were $33.5 million of gross charge-offs related to EAs which were originated in fiscal year 2024.

NOTE 5: GOODWILL AND INTANGIBLE ASSETS

Changes in the carrying amount of goodwill for the nine months ended March 31, 2025 are as follows:


(in 000s)
	Goodwill		Accumulated Impairment Losses		Net
Balances as of July 1, 2024	$	923,523	$	(138,297)	$	785,226

Acquisitions(1)	15,374		—		15,374
Disposals and foreign currency changes, net	(14,664)		—		(14,664)
Impairments	—		—		—
Balances as of March 31, 2025	$	924,233	$	(138,297)	$	785,936

(1) All goodwill added during the period is expected to be tax-deductible for federal income tax reporting.

In conjunction with our annual impairment test, we tested goodwill for impairment during the quarter and did not identify any impairment.


10			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

Components of intangible assets are as follows:


(in 000s)
	Gross Carrying Amount		Accumulated Amortization		Net
As of March 31, 2025:
Reacquired franchise rights	$	415,419	$	(239,452)	$	175,967
Customer relationships	358,442		(286,040)		72,402
Internally-developed software	124,420		(122,357)		2,063
Noncompete agreements	23,190		(20,081)		3,109
Purchased technology	70,100		(56,099)		14,001
Trade name	5,800		(3,335)		2,465

	$	997,371	$	(727,364)	$	270,007
As of June 30, 2024:
Reacquired franchise rights	$	403,955	$	(228,157)	$	175,798
Customer relationships	331,435		(270,245)		61,190
Internally-developed software	122,673		(119,610)		3,063
Noncompete agreements	21,977		(19,494)		2,483

Purchased technology	70,100		(51,432)		18,668
Trade name	5,800		(2,900)		2,900
	$	955,940	$	(691,838)	$	264,102

We made payments to acquire businesses totaling $35.3 million and $43.2 million during the nine months ended March 31, 2025 and 2024, respectively. The amounts and weighted-average lives of intangible assets acquired during the nine months ended March 31, 2025, including amounts capitalized related to internally-developed software, are as follows:


(dollars in 000s)
	Amount		Weighted-Average Life (in years)
Customer relationships	$	27,435	5
Reacquired franchise rights	11,649		6
Internally-developed software	1,949		3
Noncompete agreements	1,254		5
Total	$	42,287	5

Amortization of intangible assets for the three and nine months ended March 31, 2025 was $11.3 million and $36.3 million, respectively, compared to $15.0 million and $46.2 million for the three and nine months ended March 31, 2024, respectively. Estimated amortization of intangible assets for fiscal years ending June 30, 2025, 2026, 2027, 2028, and 2029 is $47.6 million, $41.5 million, $34.7 million, $26.5 million and $18.1 million, respectively.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			11

Table of Contents

NOTE 6: LONG-TERM DEBT

The components of long-term debt are as follows:


			(in 000s)
As of	March 31, 2025		June 30, 2024
Senior Notes, 5.250%, due October 2025	$	350,000	$	350,000
Senior Notes, 2.500%, due July 2028	500,000		500,000
Senior Notes, 3.875%, due August 2030	650,000		650,000

Debt issuance costs and discounts	(7,323)		(8,905)
Total long-term debt	1,492,677		1,491,095
Less: Current portion	(349,787)		—
Long-term portion	$	1,142,890	$	1,491,095
Estimated fair value of long-term debt	$	1,422,000	$	1,391,000

Our unsecured committed line of credit (CLOC) provides for an unsecured senior revolving credit facility in the aggregate principal amount of $1.5 billion, which includes a $175.0 million sublimit for swingline loans and a $50.0 million sublimit for standby letters of credit. We may request increases in the aggregate principal amount of the revolving credit facility of up to $500.0 million, subject to obtaining commitments from lenders and meeting certain other conditions. The CLOC will mature on June 11, 2026, unless extended pursuant to the terms of the CLOC, at which time all outstanding amounts thereunder will be due and payable. Our CLOC includes an annual facility fee, which will vary depending on our then current credit ratings.

The CLOC is subject to various conditions, triggers, events or occurrences that could result in earlier termination and contains customary representations, warranties, covenants and events of default, including, without limitation: (1) a covenant requiring the Company to maintain a debt-to-EBITDA ratio, as defined by the CLOC agreement, calculated on a consolidated basis of no greater than (a) 3.50 to 1.00 as of the last day of each fiscal quarter ending on March 31, June 30, and September 30 of each year and (b) 4.50 to 1.00 as of the last day of each fiscal quarter ending on December 31 of each year; (2) a covenant requiring us to maintain an interest coverage ratio (EBITDA-to-interest expense) calculated on a consolidated basis of not less than 2.50 to 1.00 as of the last date of any fiscal quarter; and (3) covenants restricting our ability to incur certain additional debt, incur liens, merge or consolidate with other companies, sell or dispose of assets (including equity interests), liquidate or dissolve, engage in certain transactions with affiliates or enter into certain restrictive agreements. The CLOC includes provisions for an equity cure which could potentially allow us to independently cure certain defaults. Proceeds under the CLOC may be used for working capital needs or for other general corporate purposes. We were in compliance with these requirements as of March 31, 2025.

We had no outstanding balance under our CLOC and amounts available to borrow were not limited by the debt-to-EBITDA covenant as of March 31, 2025.

NOTE 7: INCOME TAXES

We file a consolidated federal income tax return in the U.S. with the Internal Revenue Service (IRS) and file tax returns in various state, local, and foreign jurisdictions.

We had gross unrecognized tax benefits of $284.0 million and $251.8 million as of March 31, 2025 and June 30, 2024, respectively. The gross unrecognized tax benefits increased by $32.2 million during the nine months ended March 31, 2025. The increase is primarily related to various current federal and state tax positions expected to be taken in our income tax returns. We believe it is reasonably possible that the balance of unrecognized tax benefits could decrease by approximately $148.4 million within the next twelve months. The anticipated decrease is due to the expiration of statutes of limitations, anticipated closure of various tax matters currently under examination, and settlements with tax authorities. For such matters where a change in the balance of unrecognized tax benefits is not yet deemed reasonably possible, no estimate has been included.


12			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

Our effective tax rate for continuing operations, including the effects of discrete tax items, was 25.3% and 17.6% for the nine months ended March 31, 2025 and 2024, respectively. Discrete items increased the effective tax rate by 0.9% for the nine months ended March 31, 2025 and decreased the effective tax rate by 6.3% for the nine months ended March 31, 2024. Discrete income tax expense of $3.8 million and benefit of $26.0 million were recorded in the nine months ended March 31, 2025, and 2024, respectively. The discrete tax expense recorded in the current period primarily resulted from interest expense on uncertain tax positions, partially offset by benefits related to investment tax credit purchases and stock-based compensation vesting. The discrete tax benefit recorded in the prior period primarily resulted from settlements with taxing authorities and state statute of limitations expirations. The impact discrete tax items have on our tax rate through the third quarter are slightly exaggerated versus the impact discrete tax items have on the full fiscal year tax rate.

NOTE 8: COMMITMENTS AND CONTINGENCIES

Our U.S. and Canadian businesses offer our 100% accuracy guarantee. Assisted tax returns are covered by our 100% accuracy guarantee, whereby we will reimburse a client for penalties and interest attributable to an H&R Block error on a return. DIY tax returns are covered by our 100% accuracy guarantee, whereby we will reimburse a client up to a maximum of $10,000 if our software makes an arithmetic error that results in payment of penalties and/or interest to the respective taxing authority that a client would otherwise not have been required to pay. Our liability related to estimated losses under the 100% accuracy guarantee was $11.3 million and $14.1 million as of March 31, 2025 and June 30, 2024, respectively. The short-term and long-term portions of this liability are included in deferred revenue and other liabilities in the consolidated balance sheets.

Liabilities related to acquisitions for (1) estimated contingent consideration based on expected financial performance of the acquired business and economic conditions at the time of acquisition and (2) estimated accrued compensation related to continued employment of key employees were $32.4 million and $26.9 million as of March 31, 2025 and June 30, 2024 respectively, with amounts recorded in deferred revenue and other liabilities. Should actual results differ from our estimates, future payments made will differ from the above estimate and any differences will be recorded in results from continuing operations.

We have contractual commitments to fund certain franchises with approved short-term lines of credit for the purpose of meeting their seasonal working capital needs. Our total obligation under these lines of credit was $21.0 million at March 31, 2025, and net of amounts drawn and outstanding, our remaining commitment to fund totaled $9.1 million.

During the nine months ended March 31, 2025, the Company entered into an agreement to purchase federal investment tax credits (ITC), if certain conditions are met. During the nine months ended March 31, 2025, we paid $22.9 million for ITCs. As of March 31, 2025, the Company has a remaining commitment to purchase additional ITCs, for approximately $75.1 million if certain conditions set forth in the agreement are satisfied, with the final payment anticipated to occur by June 30, 2025.

Emerald Advance® term loans are originated by Pathward®, N.A. (Pathward). We purchase participation interests, at par, in all EAs originated by Pathward in accordance with our participation agreement. Our participation interest varies by jurisdiction. At March 31, 2025, the principal balance of purchased participation interests for the current year totaled $260.6 million, which represents 87% of total EA volume originated by Pathward.

Refund Advance loans are originated by Pathward and offered to certain assisted U.S. tax preparation clients, based on client eligibility as determined by Pathward. We pay fees primarily based on loan size and customer type. We have provided a guarantee up to $18.0 million related to certain loans to clients prior to the IRS accepting electronic filing. At March 31, 2025, we accrued an estimated liability of $2.4 million related to this guarantee, compared to $1.4 million at June 30, 2024.

NOTE 9: LITIGATION AND OTHER RELATED CONTINGENCIES

We are a defendant in numerous litigation and arbitration matters, arising both in the ordinary course of business and otherwise, including as described below. The matters described below are not all of the lawsuits or arbitrations to which we are subject. In some of the matters, very large or indeterminate amounts, including punitive damages, may be sought. U.S. jurisdictions permit considerable variation in the assertion of monetary


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			13

Table of Contents

damages or other relief. Jurisdictions may permit claimants not to specify the monetary damages sought or may permit claimants to state only that the amount sought is sufficient to invoke the jurisdiction. In addition, jurisdictions may permit plaintiffs to allege monetary damages in amounts well exceeding reasonably possible verdicts in the jurisdiction for similar matters. We believe that the monetary relief which may be specified in a lawsuit or claim bears little relevance to its merits or disposition value due to this variability in pleadings and our experience in handling and resolving numerous claims over an extended period of time.

The outcome of a matter and the amount or range of potential loss at particular points in time may be difficult to ascertain. Among other things, uncertainties can include how fact finders will evaluate documentary evidence and the credibility and effectiveness of witness testimony, and how courts and arbitrators will apply the law. Disposition valuations are also subject to the uncertainty of how opposing parties and their counsel will view the relevant evidence and applicable law.

In addition to litigation and arbitration matters, we are also subject to other loss contingencies arising out of our business activities, including as described below.

We accrue liabilities for litigation, arbitration and other related loss contingencies and any related settlements when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. If a range of loss is estimated, and some amount within that range appears to be a better estimate than any other amount within that range, then that amount is accrued. If no amount within the range can be identified as a better estimate than any other amount, we accrue the minimum amount in the range.

For such matters where a loss is believed to be reasonably possible, but not probable, or the loss cannot be reasonably estimated, no accrual has been made. It is possible that such matters could require us to pay damages or make other expenditures or accrue liabilities in amounts that could not be reasonably estimated as of March 31, 2025. While the potential future liabilities could be material in the particular quarterly or annual periods in which they are recorded, based on information currently known, we do not believe any such liabilities are likely to have a material adverse effect on our business and our consolidated financial position, results of operations, and cash flows. Our accrued liabilities were $5.5 million and $7.2 million as of March 31, 2025 and June 30, 2024, respectively.

Our estimate of the aggregate range of reasonably possible losses includes (1) matters where a liability has been accrued and there is a reasonably possible loss in excess of the amount accrued for that liability, and (2) matters where a liability has not been accrued but we believe a loss is reasonably possible. This aggregate range only represents those losses as to which we are currently able to estimate a reasonably possible loss or range of loss. It does not represent our maximum loss exposure.

Matters for which we are not currently able to estimate the reasonably possible loss or range of loss are not included in this range. We are often unable to estimate the possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of the reasonably possible loss or range of loss, such as precise information about the amount of damages or other remedies being asserted, the defenses to the claims being asserted, discovery from other parties and investigation of factual allegations, rulings by courts or arbitrators on motions or appeals, analyses by experts, or the status or terms of any settlement negotiations.

The estimated range of reasonably possible loss is based upon currently available information and is subject to significant judgment and a variety of assumptions, as well as known and unknown uncertainties. The matters underlying the estimated range will change from time to time, and actual results may vary significantly from the current estimate. As of March 31, 2025, we believe the estimate of the aggregate range of reasonably possible losses in excess of amounts accrued, where the range of loss can be estimated, is not material.

At the end of each reporting period, we review relevant information with respect to litigation, arbitration and other related loss contingencies and update our accruals, disclosures, and estimates of reasonably possible loss or range of loss based on such reviews. Costs incurred with defending matters are expensed as incurred. Any receivable for insurance recoveries is recorded separately from the corresponding liability, and only if recovery is determined to be probable and reasonably estimable.


14			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

We believe we have meritorious defenses to the claims asserted in the various matters described in this note, and we intend to defend them vigorously. The amounts claimed in the matters are substantial, however, and there can be no assurances as to their outcomes. In the event of unfavorable outcomes, it could require modifications to our operations; in addition, the amounts that may be required to be paid to discharge or settle the matters could be substantial and could have a material adverse impact on our business and our consolidated financial position, results of operations, and cash flows.

We have received and are responding to certain governmental inquiries, class actions and mass arbitrations relating to the IRS Free File Program and other aspects of our DIY tax preparation services, including the use of pixels. An accrual related to these matters is included in our loss contingency accrual.

We are from time to time a party to litigation, arbitration and other loss contingencies not discussed herein arising out of our business operations. These matters may include actions by state attorneys general, other state regulators, federal regulators, individual plaintiffs, and cases in which plaintiffs seek to represent others who may be similarly situated.

While we cannot provide assurance that we will ultimately prevail in each instance, we believe the amount, if any, we are required to pay to discharge or settle these other matters will not have a material adverse impact on our business and our consolidated financial position, results of operations, and cash flows.

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

RESULTS OF OPERATIONS

Our subsidiaries provide assisted and do-it-yourself (DIY) tax preparation solutions through multiple channels (including in-person, online and mobile applications, virtual, and desktop software) and distribute H&R Block-branded products and services, including those of our bank partners, to the general public primarily in the United States (U.S.), Canada and Australia. Tax returns are either prepared by H&R Block tax professionals in one of our 6,701 company-owned or 2,013 franchise offices (as of March 31, 2025), virtually or via an online review or prepared and filed by our clients through our DIY tax solutions. We also offer small business solutions through our company-owned and franchise offices (including in-person, online and virtual) and online through Wave. We report a single segment that includes all of our continuing operations.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			15

Table of Contents


Consolidated – Financial Results			(in 000s, except per share amounts)
Three months ended March 31,	2025		2024		$ Change		% Change
Revenues:
U.S. tax preparation and related services:
Assisted tax preparation	$	1,635,877	$	1,534,825	$	101,052	6.6	%
Royalties	133,961		141,915		(7,954)		(5.6)	%
DIY tax preparation	214,666		198,570		16,096		8.1	%
Refund Transfers	113,732		118,937		(5,205)		(4.4)	%
Peace of Mind® Extended Service Plan	15,625		16,813		(1,188)		(7.1)	%
Tax Identity Shield®	7,025		7,536		(511)		(6.8)	%
Other	14,582		12,065		2,517		20.9	%
Total U.S. tax preparation and related services	2,135,468		2,030,661		104,807		5.2	%
Financial services:
Emerald Card® and SpruceSM	40,195		41,160		(965)		(2.3)	%
Interest and fee income on Emerald Advance®	14,286		21,169		(6,883)		(32.5)	%
Total financial services	54,481		62,329		(7,848)		(12.6)	%
International	60,438		68,264		(7,826)		(11.5)	%
Wave	26,717		23,580		3,137		13.3	%
Total revenues	$	2,277,104	$	2,184,834	$	92,270	4.2	%
Compensation and benefits:
Field wages	532,916		510,299		(22,617)		(4.4)	%
Other wages	74,621		75,356		735		1.0	%
Benefits and other compensation	111,575		99,653		(11,922)		(12.0)	%
	719,112		685,308		(33,804)		(4.9)	%
Occupancy	119,709		119,364		(345)		(0.3)	%
Marketing and advertising	196,667		194,349		(2,318)		(1.2)	%
Depreciation and amortization	29,221		30,672		1,451		4.7	%
Bad debt	40,479		41,008		529		1.3	%
Other	193,603		185,929		(7,674)		(4.1)	%
Total operating expenses	1,298,791		1,256,630		(42,161)		(3.4)	%
Other income (expense), net	4,554		5,224		(670)		(12.8)	%
Interest expense on borrowings	(24,686)		(26,070)		1,384		5.3	%
Pretax income	958,181		907,358		50,823		5.6	%
Income taxes	235,253		215,772		(19,481)		(9.0)	%
Net income from continuing operations	722,928		691,586		31,342		4.5	%
Net loss from discontinued operations	(598)		(849)		251		29.6	%
Net income	$	722,330	$	690,737	$	31,593	4.6	%
DILUTED EARNINGS PER SHARE
Continuing operations	$	5.32	$	4.87	$	0.45	9.2	%
Discontinued operations	(0.01)		(0.01)		—		**
Consolidated	$	5.31	$	4.86	$	0.45	9.3	%




Adjusted diluted EPS(1)	$	5.38	$	4.94	$	0.44	8.9	%
EBITDA (1)	$	1,012,088	$	964,100	$	47,988	5.0	%

(1) All non-GAAP measures are results from continuing operations. See "Non-GAAP Financial Information" at the end of this item for a reconciliation of non-GAAP measures.


16			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

Three months ended March 31, 2025 compared to March 31, 2024

Revenues increased $92.3 million, or 4.2%, from the prior year. U.S. assisted tax preparation revenues increased $101.1 million, or 6.6%, due to a 5.0% increase in net average charge combined with a 1.5% increase in company-owned tax return volumes in the current year. U.S. royalty revenue decreased $8.0 million, or 5.6%, due to lower franchise tax return volumes which was primarily driven by franchise acquisitions. During the year we purchased franchise offices which results in increasing tax preparation revenues and decreasing royalties as the revenues and returns become company-owned after the acquisition. For the three months ended March 31, 2025 our total assisted tax return volume, which includes both company-owned and franchise offices, decreased 0.6% from the prior year.

U.S. DIY tax preparation revenues increased $16.1 million, or 8.1%, primarily due to an 8.9% increase in online paid net average charge and higher desktop software sales, offset by slightly lower online paid volumes.

Interest and fee income on Emerald Advance® revenues decreased $6.9 million, or 32.5%, primarily due to a decrease in EA loans originated in the current year.

International tax preparation revenues decreased $7.8 million, or 11.5%, primarily due to lower tax return volumes in Canada combined with unfavorable foreign currency exchange rates.

Total operating expenses increased $42.2 million, or 3.4%, from the prior year. Field wages increased $22.6 million, or 4.4%, due to higher tax professional wages in the current year primarily due to the increase in company-owned volumes. Benefits and other compensation increased $11.9 million, or 12.0%, due to higher payroll taxes and 401K match in the current year.

Other operating expenses increased $7.7 million, or 4.1%. The components of other expenses are as follows:


							(in 000s)
Three months ended March 31,	2025		2024		$ Change		% Change
Consulting and outsourced services	$	38,887	$	37,896	$	(991)	(2.6)	%
Bank partner fees	30,836		29,681		(1,155)		(3.9)	%
Client claims and refunds	8,420		8,117		(303)		(3.7)	%
Employee and travel expenses	8,552		8,368		(184)		(2.2)	%
Technology-related expenses	34,472		30,623		(3,849)		(12.6)	%
Credit card/bank charges	39,605		36,702		(2,903)		(7.9)	%
Insurance	4,644		2,645		(1,999)		(75.6)	%
Legal fees and settlements	7,986		11,286		3,300		29.2	%
Supplies	10,407		11,231		824		7.3	%
Other	9,794		9,380		(414)		(4.4)	%
	$	193,603	$	185,929	$	(7,674)	(4.1)	%

We recorded an income tax expense of $235.3 million in the current year compared to $215.8 million in the prior year. The effective tax rate for the three months ended March 31, 2025, and 2024 was 24.6% and 23.8%, respectively.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			17

Table of Contents


Consolidated - Financial Results			(in 000s, except per share amounts)
Nine months ended March 31,	2025		2024		$ Change		% Change
Revenues:
U.S. tax preparation and related services:
Assisted tax preparation	$	1,727,220	$	1,622,430	$	104,790	6.5	%
Royalties	143,312		153,070		(9,758)		(6.4)	%
DIY tax preparation	231,646		215,529		16,117		7.5	%
Refund Transfers	115,229		120,892		(5,663)		(4.7)	%
Peace of Mind® Extended Service Plan	54,867		59,100		(4,233)		(7.2)	%
Tax Identity Shield®	14,947		16,810		(1,863)		(11.1)	%
Other	40,215		32,637		7,578		23.2	%
Total U.S. tax preparation and related services	2,327,436		2,220,468		106,968		4.8	%
Financial services:
Emerald Card® and SpruceSM	59,169		61,493		(2,324)		(3.8)	%
Interest and fee income on Emerald Advance®	26,594		36,702		(10,108)		(27.5)	%
Total financial services	85,763		98,195		(12,432)		(12.7)	%
International	157,104		158,398		(1,294)		(0.8)	%
Wave	79,681		70,656		9,025		12.8	%
Total revenues	$	2,649,984	$	2,547,717	$	102,267	4.0	%
Compensation and benefits:
Field wages	682,575		650,529		(32,046)		(4.9)	%
Other wages	230,687		222,125		(8,562)		(3.9)	%
Benefits and other compensation	188,731		170,964		(17,767)		(10.4)	%
	1,101,993		1,043,618		(58,375)		(5.6)	%
Occupancy	326,026		319,843		(6,183)		(1.9)	%
Marketing and advertising	221,502		211,135		(10,367)		(4.9)	%
Depreciation and amortization	87,247		91,004		3,757		4.1	%
Bad debt	62,625		67,560		4,935		7.3	%
Other	393,900		360,111		(33,789)		(9.4)	%
Total operating expenses	2,193,293		2,093,271		(100,022)		(4.8)	%
Other income (expense), net	19,215		20,982		(1,767)		(8.4)	%
Interest expense on borrowings	(62,285)		(63,304)		1,019		1.6	%
Pretax income	413,621		412,124		1,497		0.4	%
Income taxes	104,580		72,527		(32,053)		(44.2)	%
Net income from continuing operations	309,041		339,597		(30,556)		(9.0)	%
Net loss from discontinued operations	(2,707)		(2,097)		(610)		(29.1)	%
Net income	$	306,334	$	337,500	$	(31,166)	(9.2)	%
DILUTED EARNINGS PER SHARE
Continuing operations	$	2.23	$	2.34	$	(0.11)	(4.7)	%
Discontinued operations	(0.02)		(0.02)		—		—	%
Consolidated	$	2.21	$	2.32	$	(0.11)	(4.7)	%
Adjusted diluted EPS(1)	$	2.41	$	2.54	$	(0.13)	(5.1)	%
EBITDA (1)	$	563,153	$	566,432	$	(3,279)	(0.6)	%

(1) All non-GAAP measures are results from continuing operations. See "Non-GAAP Financial Information" at the end of this item for a reconciliation of non-GAAP measures.


18			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

Nine months ended March 31, 2025 compared to March 31, 2024

Revenues increased $102.3 million, or 4.0%, from the prior year. U.S. assisted tax preparation revenues increased $104.8 million, or 6.5%, primarily due to a 5.0% increase in net average charge combined with a 1.4% increase in company-owned tax return volumes in the current year. U.S. royalty revenue decreased $9.8 million, or 6.4%, primarily due to lower franchise tax return volumes which was primarily driven by franchise acquisitions. During the year we purchased franchise offices which results in increasing tax preparation revenues and decreasing royalties as the revenues and returns become company-owned after the acquisition. Through the nine months ended March 31, 2025 our total assisted tax return volume, which includes both company-owned and franchise offices, decreased 0.6% from the prior year.

U.S. DIY tax preparation revenues increased $16.1 million, or 7.5%, primarily due to a 8.4% increase in online paid net average charge and higher desktop software sales, partially offset by lower online paid volumes.

Interest and fee income on Emerald Advance® revenues decreased $10.1 million, or 27.5%, primarily due to a decrease in EA loans originated in the current year. Wave revenues increased $9.0 million, or 12.8%, due to higher accounting, invoicing and receipts subscriptions and small business payments processing volumes.

Total operating expenses increased $100.0 million, or 4.8%, from the prior year period. Field wages increased $32.0 million, or 4.9%, due to higher tax professional wages in the current year primarily due to the increase in company-owned volumes. Other wages increased $8.6 million, or 3.9%, primarily due to higher corporate wages due to salary increases in the current year. Benefits and other compensation increased $17.8 million, or 10.4%, due to higher payroll taxes, 401K match and higher employee insurance in the current year. Marketing and advertising expense increased $10.4 million, or 4.9%, due to the higher spend and lower vendor refunds for expired customer incentives in the current year.

Other operating expenses increased $33.8 million, or 9.4%. The components of other expenses are as follows:


							(in 000s)
Nine months ended March 31,	2025		2024		$ Change		% Change
Consulting and outsourced services	$	72,770	$	67,297	$	(5,473)	(8.1)	%
Bank partner fees	32,199		28,616		(3,583)		(12.5)	%
Client claims and refunds	18,696		17,463		(1,233)		(7.1)	%
Employee and travel expenses	27,164		26,429		(735)		(2.8)	%
Technology-related expenses	87,035		80,962		(6,073)		(7.5)	%
Credit card/bank charges	76,300		71,639		(4,661)		(6.5)	%
Insurance	12,444		8,071		(4,373)		(54.2)	%
Legal fees and settlements	29,640		19,715		(9,925)		(50.3)	%
Supplies	16,884		18,349		1,465		8.0	%
Other	20,768		21,570		802		3.7	%
	$	393,900	$	360,111	$	(33,789)	(9.4)	%

Legal expense increased $9.9 million, or 50.3%, primarily due to higher outside legal counsel spend.

We recorded income tax expense of $104.6 million in the current year compared to $72.5 million in the prior year. The effective tax rate for the nine months ended March 31, 2025, and 2024 was 25.3% and 17.6%, respectively. See Item 1, note 7 to the consolidated financial statements for additional discussion.

Assisted tax return volume, which includes our company-owned and franchise operations, decreased 0.8% from July 1, 2024 through April 30, 2025 compared to the prior year period. DIY online paid tax return volume from July 1, 2024 through April 30, 2025, decreased 0.3% compared to the prior year period. Our business is highly seasonal and results for the nine months ended March 31, as well as results for the period ended April 30, may not be indicative of results for the fiscal year ended June 30, 2025.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			19

Table of Contents

FINANCIAL CONDITION

These comments should be read in conjunction with the consolidated balance sheets and consolidated statements of cash flows included in Part 1, Item 1.

CAPITAL RESOURCES AND LIQUIDITY –

OVERVIEW – Our primary sources of capital and liquidity include cash from operations (including changes in working capital), draws on our unsecured committed line of credit (CLOC), and issuances of debt. We use our sources of liquidity primarily to fund working capital, service and repay debt, pay dividends, repurchase shares of our common stock, and acquire businesses.

Our operations are highly seasonal and substantially all of our revenues and cash flow are generated during the period from February through April in a typical year. Therefore, we normally require the use of cash to fund losses and working capital needs, periodically resulting in a working capital deficit, during the months of May through January. We typically have relied on available cash balances from the prior tax season and borrowings to meet liquidity needs.

Given the likely availability of a number of liquidity options discussed herein, we believe that, in the absence of any unexpected developments, our existing sources of capital as of March 31, 2025 are sufficient to meet our operating, investing and financing needs.

DISCUSSION OF CONSOLIDATED STATEMENTS OF CASH FLOWS – The following table summarizes our statements of cash flows for the nine months ended March 31, 2025 and 2024. See Item 1 for the complete consolidated statements of cash flows for these periods.


	(in 000s)
Nine months ended March 31,	2025		2024
Net cash provided by (used in):
Operating activities	$	429,322	$	420,264
Investing activities	(110,890)		(99,643)
Financing activities	(595,506)		(520,503)
Effects of exchange rates on cash	(8,429)		(2,739)
Net decrease in cash and cash equivalents, including restricted balances	$	(285,503)	$	(202,621)

Operating Activities. Cash provided by operations totaled $429.3 million for the nine months ended March 31, 2025 compared to $420.3 million in the prior year period. The increase is primarily due to changes in accounts payable and accounts receivable, partially offset by a lower net income in the current year.

Investing Activities. Cash used in investing activities totaled $110.9 million for the nine months ended March 31, 2025 compared to $99.6 million in the prior year period. The change is primarily due to higher capital expenditures, partially offset by lower payments made for business acquisitions in the current year.

Financing Activities. Cash used in financing activities totaled $595.5 million for the nine months ended March 31, 2025 compared to $520.5 million in the prior year period. The change is primarily due to higher repurchases of common stock and dividends in the current year.

CASH REQUIREMENTS –

Dividends and Share Repurchases. Returning capital to shareholders in the form of dividends and the repurchase of outstanding shares is, and has historically been, a significant component of our capital allocation plan.

We have consistently paid quarterly dividends. Dividends paid totaled $147.1 million and $135.1 million for the nine months ended March 31, 2025 and 2024, respectively. Although we have historically paid dividends and plan to continue to do so, there can be no assurances that circumstances will not change in the future that could affect our ability or decisions to pay dividends.


20			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

On August 15, 2024, the Board of Directors approved a $1.5 billion share repurchase program. The repurchase program does not have an expiration date and replaced the previously existing share repurchase program. During the nine months ended March 31, 2025, we repurchased $400.1 million of our common stock at an average price of $61.10 per share, excluding excise taxes in connection with such repurchases. In the prior year period, we repurchased $350.1 million of our common stock at an average price of $43.66 per share, excluding excise taxes in connection with such repurchases. Our current share repurchase program has remaining authorization of $1.1 billion and does not have an expiration date.

Share repurchases may be effectuated through open market transactions, some of which may be effectuated under SEC Rule 10b5-1. The Company may cancel, suspend, or extend the period for the purchase of shares at any time. Any repurchases will be funded primarily through available cash and cash from operations. Although we may continue to repurchase shares, there is no assurance that we will purchase up to the full Board authorization.

Capital Investment. Capital expenditures totaled $71.8 million and $53.8 million for the nine months ended March 31, 2025 and 2024, respectively. Our capital expenditures relate primarily to recurring improvements to retail offices, as well as investments in computers, software and related assets. In addition to our capital expenditures, we also made payments to acquire businesses. We acquired franchisee and competitor businesses totaling $35.3 million and $43.2 million during the nine months ended March 31, 2025 and 2024, respectively. See Item 1, note 5 for additional information on our acquisitions.

FINANCING RESOURCES – The CLOC has capacity up to $1.5 billion and is scheduled to expire in June 2026. Proceeds under the CLOC may be used for working capital needs or for other general corporate purposes. We had no outstanding balance under our CLOC and amounts available to borrow were not limited by the debt-to-EBITDA covenant as of March 31, 2025.

Our Senior Notes due in October 2025 (2025 Senior Notes) are classified as a current liability as of March 31, 2025. We are considering various financing options in regard to the maturing 2025 Senior Notes and anticipate these options will provide adequate liquidity to fund the cash requirements at or prior to maturity.

The following table provides ratings for debt issued by Block Financial LLC (Block Financial) as of March 31, 2025 and June 30, 2024:

As of

March 31, 2025

June 30, 2024

Short-term

Long-term

Outlook

Short-term

Long-term

Outlook

Moody's

P-3

Baa3

Stable

P-3

Baa3

Stable

S&P

A-2

BBB

Stable

A-2

BBB

Stable

Other than described above, there have been no material changes in our borrowings from those reported as of June 30, 2024 in our Annual Report on Form 10-K.

CASH AND OTHER ASSETS – As of March 31, 2025, we held cash and cash equivalents, excluding restricted amounts, of $772.9 million, including $153.0 million held by our foreign subsidiaries.

Foreign Operations. Seasonal borrowing needs of our Canadian operations are typically funded by our U.S. operations. To mitigate foreign currency risk, we sometimes enter into foreign exchange forward contracts. There were no forward contracts outstanding as of March 31, 2025.

We do not currently intend to repatriate non-borrowed funds held by our foreign subsidiaries in a manner that would trigger a tax liability.

The impact of changes in foreign exchange rates during the period on our international cash balances resulted in a decrease of $8.4 million during the nine months ended March 31, 2025 and in a decrease of $2.7 million during the nine months ended March 31, 2024.

CONTRACTUAL OBLIGATIONS AND COMMERCIAL COMMITMENTS – The Company entered into an agreement to purchase federal Investment tax credits (ITC). During the nine months ended March 31, 2025, we paid $22.9 million for ITCs. As of March 31, 2025, the Company has a remaining commitment to purchase additional ITCs, for


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			21

Table of Contents

approximately $75.1 million if certain conditions set forth in the agreement are satisfied, with the final closing payment anticipated to occur by June 30, 2025.

Effective October 18, 2024, we amended our Program Management Agreement (PMA) with Pathward®, N.A to extend the term of the PMA for two years until June 30, 2027. We purchased participation interests in EAs of $260.6 million during the nine months ended March 31, 2025. See Item 1, note 8 for additional information on our commitments.

There have been no other material changes in our contractual obligations and commercial commitments from those reported in our June 30, 2024 Annual Report on Form 10-K.

SUMMARIZED GUARANTOR FINANCIAL STATEMENTS – Block Financial is a 100% owned subsidiary of H&R Block, Inc. Block Financial is the Issuer and H&R Block, Inc. is the full and unconditional Guarantor of our Senior Notes, CLOC and other indebtedness issued from time to time.

The following table presents summarized financial information for H&R Block, Inc. (Guarantor) and Block Financial (Issuer) on a combined basis after intercompany eliminations and excludes investments in and equity earnings in non-guarantor subsidiaries.


SUMMARIZED BALANCE SHEET - GUARANTOR AND ISSUER			(in 000s)
As of	March 31, 2025		June 30, 2024
Current assets	$	74,093	$	44,423
Noncurrent assets	1,789,807		1,778,832
Current liabilities	432,944		77,848
Noncurrent liabilities	1,148,515		1,492,211


SUMMARIZED STATEMENTS OF OPERATIONS - GUARANTOR AND ISSUER			(in 000s)
	Nine months ended March 31, 2025		Twelve months ended June 30, 2024
Total revenues	$	104,642	$	144,206
Income from continuing operations before income taxes	45,242		75,819
Net income from continuing operations	34,837		57,441
Net income	32,129		54,795

The table above reflects $1.7 billion of non-current intercompany receivables due to the Issuer from non-guarantor subsidiaries as of March 31, 2025 and June 30, 2024.

REGULATORY ENVIRONMENT

There have been no material changes in our regulatory environment from what was reported in our June 30, 2024 Annual Report on Form 10-K.

NON-GAAP FINANCIAL INFORMATION

Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with U.S. generally accepted accounting principles (GAAP). Because these measures are not measures of financial performance under GAAP and are susceptible to varying calculations, they may not be comparable to similarly titled measures for other companies.

We consider our non-GAAP financial measures to be performance measures and a useful metric for management and investors to evaluate and compare the ongoing operating performance of our business. We make adjustments for certain non-GAAP financial measures related to amortization of intangibles from acquisitions and goodwill impairments. We may consider whether other significant items that arise in the future should be excluded from our non-GAAP financial measures.

We measure the performance of our business using a variety of metrics, including earnings before interest, taxes, depreciation and amortization (EBITDA) from continuing operations, adjusted EBITDA from continuing


22			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

operations, adjusted diluted earnings per share from continuing operations, free cash flow and free cash flow yield. We also use EBITDA from continuing operations and pretax income of continuing operations, each subject to permitted adjustments, as performance metrics in incentive compensation calculations for our employees.

The following is a reconciliation of net income to EBITDA from continuing operations, which is a non-GAAP financial measure:


							(in 000s)
	Three months ended March 31,				Nine months ended March 31,
	2025		2024		2025		2024
Net income - as reported	$	722,330	$	690,737	$	306,334	$	337,500
Discontinued operations, net	598		849		2,707		2,097
Net income from continuing operations - as reported	722,928		691,586		309,041		339,597
Add back:
Income taxes	235,253		215,772		104,580		72,527
Interest expense	24,686		26,070		62,285		63,304
Depreciation and amortization	29,221		30,672		87,247		91,004
	289,160		272,514		254,112		226,835
EBITDA from continuing operations	$	1,012,088	$	964,100	$	563,153	$	566,432

The following is a reconciliation of our results from continuing operations to our adjusted results from continuing operations, which is a non-GAAP financial measure:


(in 000s, except per share amounts)
	Three months ended March 31,				Nine months ended March 31,
	2025		2024		2025		2024
Net income from continuing operations - as reported	$	722,928	$	691,586	$	309,041	$	339,597
Adjustments:
Amortization of intangibles related to acquisitions (pretax)	11,278		12,869		33,316		37,693
Tax effect of adjustments (1)	(2,927)		(2,793)		(8,111)		(8,815)
Adjusted net income from continuing operations	$	731,279	$	701,622	$	334,246	$	368,475
Diluted earnings per share from continuing operations - as reported	$	5.32	$	4.87	$	2.23	$	2.34
Adjustments, net of tax	0.06		0.07		0.18		0.20
Adjusted diluted earnings per share from continuing operations	$	5.38	$	4.94	$	2.41	$	2.54

(1)Tax effect of adjustments is the difference between the tax provision calculated on a GAAP basis and on an adjusted non-GAAP basis.

FORWARD-LOOKING INFORMATION

This report and other documents filed with the Securities and Exchange Commission (SEC) may contain forward-looking statements. In addition, our senior management may make forward-looking statements orally to analysts, investors, the media and others. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words or variation of words such as "expects," "anticipates," "intends," "plans," "believes," "commits," "seeks," "estimates," "projects," "forecasts," "targets," "would," "will," "should," "could," "may" or other similar expressions. Forward-looking statements provide management's current expectations or predictions of future conditions, events or results. All statements that address operating performance, events or developments that we expect or anticipate will occur in the future are forward-looking statements. They may include estimates of revenues, client trajectory, income, effective tax rate, earnings per share, cost savings, capital expenditures, dividends, share repurchases, liquidity, capital structure,


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			23

Table of Contents

market share, industry volumes or other financial items, descriptions of management's plans or objectives for future operations, services or products, or descriptions of assumptions underlying any of the above. They may also include the expected impact of external events beyond the Company's control, such as outbreaks of infectious disease, severe weather events, natural or manmade disasters, or changes in the regulatory environment in which we operate.

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 or events. Furthermore, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions, factors, or expectations, new information, data or methods, future events or other changes, except as required by law.

By their nature, forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Factors that might cause such differences include, but are not limited to, a variety of economic, competitive, operational and regulatory factors, many of which are beyond the Company's control. In addition, factors that may cause the Company’s actual effective tax rate to differ from estimates include the Company’s actual results from operations compared to current estimates, future discrete items, changes in interpretations and assumptions the Company has made, future actions of the Company, and increases in applicable tax rates in jurisdictions where the Company operates. Investors should understand that it is not possible to predict or identify all such factors and, consequently, should not consider any such list to be a complete set of all potential risks or uncertainties.

Details about risks, uncertainties and assumptions that could affect various aspects of our business are included throughout our Annual Report on Form 10-K for the fiscal year ended June 30, 2024 and are also described from time to time in other filings with the SEC. Investors should carefully consider all of these risks, and should pay particular attention to Item 1A, "Risk Factors," and Item 7 under "Critical Accounting Policies" of our Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There have been no material changes in our market risks from those reported in our June 30, 2024 Annual Report on Form 10-K.

ITEM 4. CONTROLS AND PROCEDURES

EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES – As of the end of the period covered by this Form 10-Q, management, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)). Based on this evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that our disclosure controls and procedures were effective as of the end of the period covered by this Quarterly Report on Form 10-Q.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING – There were no changes during the three months ended March 31, 2025 that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

For a description of our material pending legal proceedings, see discussion in Part I, Item 1, note 9 to the consolidated financial statements.

ITEM 1A. RISK FACTORS

There have been no material changes in our risk factors from those reported in our June 30, 2024 Annual Report on Form 10-K.


24			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

A summary of our purchases of H&R Block common stock during the three months ended March 31, 2025 is as follows:


(in 000s, except per share amounts)
	Total Number of Shares Purchased (1)	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (2)	Maximum Dollar Value of Shares that May Yet Be Purchased Under the Plans or Programs (2)
January 1 - January 31	4	$	55.23	—	$	1,100,000
February 1 - February 28	2	$	54.43	—	$	1,100,000
March 1 - March 31	—	$	—	—	$	1,100,000
	6	$	55.05	—

(1)We purchased approximately 6 thousand shares in connection with funding employee income tax withholding obligations arising upon the lapse of restrictions on restricted share units.

(2)On August 15, 2024, we announced that our Board of Directors approved a $1.5 billion share repurchase program. The repurchase program does not have an expiration date.

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

None.

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable.

ITEM 5. OTHER INFORMATION

Director and Section 16 Officer Trading Arrangements

During the three months ended March 31, 2025, no director or Section 16 officer adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement," as each term is defined in Item 408(a) of Regulation S-K.


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			25

Table of Contents

ITEM 6. EXHIBITS

The following exhibits are numbered in accordance with the Exhibit Table of Item 601 of Regulation S-K:


22			List of Guarantor and Issuer Subsidiaries, filed as Exhibit 22 to the Company’s Annual Report on Form 10-K for the year ended June 30, 2024, file number 1-06089, is incorporated herein by reference.
31.1			Certification by Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2			Certification by Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1			Certification by Chief Executive Officer pursuant to 18 U.S.C. 1350, as adopted by Section 906 of the Sarbanes-Oxley Act of 2002.
32.2			Certification by Chief Financial Officer pursuant to 18 U.S.C. 1350, as adopted by Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS			Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document
101.SCH			Inline XBRL Taxonomy Extension Schema
101.CAL			Inline XBRL Extension Calculation Linkbase
101.LAB			Inline XBRL Taxonomy Extension Label Linkbase
101.PRE			Inline XBRL Taxonomy Extension Presentation Linkbase
101.DEF			Inline XBRL Taxonomy Extension Definition Linkbase
104			Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)


26			Q3 FY2025 Form 10-Q\| H&R Block, Inc.

Table of Contents

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


H&R BLOCK, INC.

/s/ Jeffrey J. Jones II
Jeffrey J. Jones II
President and Chief Executive Officer
May 7, 2025

/s/ Tiffany L. Mason
Tiffany L. Mason
Chief Financial Officer
May 7, 2025

/s/ Kellie J. Logerwell
Kellie J. Logerwell
Chief Accounting Officer
May 7, 2025


H&R Block, Inc. \|Q3 FY2025 Form 10-Q			27