On Nov. 30, after the market closed, tax preparer H&R Block
- Total revenue fell 6.9% to $563.2 million. Core tax-service revenue grew 2%, and business service sales grew 37%, but mortgage services continue to be a thorn in the side of overall operations -- revenue fell 40% at that unit.
- The company reported a total loss of $0.49 per diluted share, but this type of showing is common in the first and second fiscal quarters, which fall outside the lucrative tax season.
- Management lowered its revenue guidance on Nov. 6 because of mortgage woes and now expects fiscal 2007 earnings of $1.20-$1.45 per share.
- Check out our Foolish Take on H&R Block's current state of affairs.
(Figures in thousands, except per-share data)
Income Statement Highlights
|
Avg. Est. |
Q2 2006 |
Q2 2005 |
Change |
|
|---|---|---|---|---|
|
Sales |
$582,160 |
$563,241 |
$605,043 |
(6.9%) |
|
Net Profit |
-- |
($156,460) |
($81,249) |
N/A |
|
EPS |
($0.32) |
($0.49) |
($0.25) |
N/A |
|
Diluted Shares |
321,742 |
326,047 |
(1.3%) |
Get back to basics with a look at the income statement.
Margin Checkup
Q2 2006 | Q2 2005 | Change* | |
|---|---|---|---|
Operating Margin | (45.45%) | (20.43%) | (25.02) |
Net Margin | (27.78%) | (13.43%) | (14.35) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets | Q2 2006 | Q2 2005 | Change |
|---|---|---|---|
Cash + ST Invest. | $935,414 | $971,106 | (3.7%) |
Accounts Rec. | $413,237 | $577,506 | (28.4%) |
Liabilities | Q2 2006 | Q2 2005 | Change |
|---|---|---|---|
Accounts Payable | $700,673 | $846,913 | (17.3%) |
Long-Term Debt | $411,705 | $917,884 | (55.1%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
YTD 2006 | YTD 2005 | Change | |
|---|---|---|---|
Cash From Ops. | ($1,190,292) | ($704,859) | ($485,433) |
Capital Expenditures | $94,787 | $77,635 | $17,152 |
Free Cash Flow | ($1,285,079) | ($782,494) | ($502,585) |
Find out why Fools always follow the money.
Related Companies:
- Jackson Hewitt
(NYSE:JTX) - Intuit
(NASDAQ:INTU)
Related Foolishness:
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.com for more of our in-depth discussion of what the numbers mean.
Intuit is a formerInside Valuerecommendation. Try out the Foolish newsletter dedicated to finding the market's best bargains by taking it for a free, 30-day spin.
Fool contributor Ryan Fuhrmann has no financial interest in any company mentioned. Feel free to email him with feedback or to discuss any companies mentioned further. The Fool has an ironclad disclosure policy.
