H&R Block Inc key statistics and ratios

In fiscal 2026, H&R Block Inc had a net margin of 18.6%, debt equal to 1269.5% of equity and a current ratio of 1.13. Each ratio below is calculated from the figures on its income statement, balance sheet and cash flow pages.

Financial ratios

US$ thousands unless shown otherwise. Fiscal years, plus the last twelve months (LTM) when newer.

H&R Block Inc: financial ratios, annual
Fiscal year	2010Apr 2010	2011Apr 2011	2012Apr 2012	2013Apr 2013	2014Apr 2014	2015Apr 2015	2016Apr 2016	2017Apr 2017	2018Apr 2018	2019Apr 2019	2020Apr 2020	2021Apr 2021	2022Jun 2022	2023Jun 2023	2024Jun 2024	2025Jun 2025	2026Jun 2026
Gross margin	39.6%	39.7%	41.2%	47.3%	48.0%	47.0%	44.5%	45.8%	44.9%	43.2%	35.1%	46.0%	45.7%	44.6%	44.8%	44.5%	44.3%
Operating margin	23.7%	20.9%	19.6%	24.0%	25.2%	—	—	—	—	—	—	—	—	—	—	—	—
Net margin	15.9%	13.8%	9.2%	14.9%	15.7%	15.4%	12.3%	13.5%	19.4%	13.7%	−0.3%	17.1%	16.0%	15.9%	16.5%	16.1%	18.6%
Free-cash-flow margin	16.5%	15.3%	9.7%	13.2%	21.9%	16.4%	14.6%	15.2%	23.8%	16.5%	1.0%	16.8%	21.6%	21.7%	18.2%	15.9%	19.2%
Return on equity	33.3%	28.1%	19.2%	33.5%	33.7%	27.9%	40.3%	—	—	90.4%	−2.5%	—	196.3%	—	—	—	—
Return on assets	9.1%	7.7%	5.4%	9.4%	10.3%	10.3%	10.2%	14.8%	21.0%	13.1%	−0.2%	13.3%	16.0%	17.5%	18.9%	18.7%	22.5%
Asset turnover	0.57	0.56	0.58	0.63	0.66	0.67	0.83	1.10	1.08	0.96	0.63	0.78	1.00	1.10	1.15	1.16	1.21
Current ratio	1.14	1.30	0.99	1.22	1.35	1.57	1.17	1.43	2.24	2.16	1.96	1.46	1.39	1.26	1.27	0.90	1.13
Debt to equity	72.1%	71.8%	126.1%	71.8%	58.2%	27.6%	>999%	—	379.9%	275.6%	>999%	422.8%	702.6%	>999%	>999%	>999%	>999%
Interest cover (operating income ÷ interest)	7.9x	6.5x	6.1x	8.7x	13.3x	—	—	—	—	—	—	—	—	—	—	—	—
Effective tax rate	37.1%	37.5%	39.9%	33.7%	34.8%	34.5%	32.6%	33.1%	6.3%	18.3%	—	21.6%	14.9%	21.0%	21.6%	22.0%	13.8%
SG&A as % of revenue	15.9%	18.0%	21.4%	20.8%	20.9%	21.2%	23.7%	22.3%	21.1%	23.3%	28.2%	23.5%	24.2%	23.0%	22.5%	22.5%	21.3%
Capital spending as % of revenue	3.0%	2.1%	2.8%	3.9%	4.9%	4.0%	3.3%	2.9%	3.1%	3.1%	3.1%	1.5%	1.8%	2.0%	1.8%	2.2%	2.1%
Free cash flow ÷ net income	103.7%	110.7%	105.1%	88.5%	139.4%	106.3%	118.8%	113.2%	122.6%	121.0%	—	98.2%	134.8%	135.8%	110.4%	98.9%	103.1%
Dividends ÷ net income	41.9%	46.0%	78.5%	50.1%	46.1%	46.4%	53.9%	45.8%	32.7%	48.6%	—	33.4%	33.7%	32.1%	30.2%	32.6%	28.8%
Dividends and buybacks ÷ free cash flow	91.6%	41.6%	74.7%	56.6%	33.1%	43.7%	45.4%	40.4%	26.7%	40.2%	751.1%	34.0%	25.0%	23.7%	27.4%	33.0%	27.9%

US$ thousands unless shown otherwise. Fiscal quarters.

H&R Block Inc: financial ratios, quarterly
Quarter	2025 Q1Sept 2024	2025 Q2Dec 2024	2025 Q3Mar 2025	2025 Q4Jun 2025	2026 Q1Sept 2025	2026 Q2Dec 2025	2026 Q3Mar 2026	2026 Q4Jun 2026
Gross margin	−39.1%	−75.5%	57.4%	52.0%	−34.6%	−70.9%	57.0%	51.9%
Net margin	−89.0%	−135.9%	31.7%	27.0%	−81.5%	−121.8%	35.4%	25.7%
Free-cash-flow margin	−179.2%	−333.6%	57.2%	21.7%	−181.8%	−326.6%	64.2%	20.7%
Current ratio	0.77	0.73	0.78	0.90	0.76	1.29	1.00	1.13
Debt to equity	—	—	—	>999%	—	—	—	>999%
SG&A as % of revenue	78.7%	88.3%	14.5%	18.6%	67.1%	79.4%	13.7%	19.0%

Returns use average equity or assets over the year. Return on equity is left blank when equity is negative or so small that the ratio says nothing (above ±200%); interest cover is left blank above 200 times. Price-based ratios such as P/E are on the valuation page.

Financial health

2 of 5 checks passed · June 30, 2026

What it owns · $3.3bn

Short-term assets $1.1bnLonger-term assets $2.1bn

What it owes, and who funded it · $3.3bn

Short-term liabilities $993mLonger-term liabilities $2.1bnShareholders' equity $117m

Short-term assets cover short-term liabilities $1.1bn of assets due within a year against $993m of liabilities due within a year.
Short-term assets cover long-term liabilities $1.1bn short-term assets against $2.1bn of longer-dated liabilities.
More cash than debt $959m of cash against $1.5bn of debt.
Debt below 40% of shareholders' equity Debt is 1269% of equity.
Debt burden no higher than five years ago Five-year comparison not available. Not assessable.
A year's operating cash flow covers at least 20% of debt $839m of operating cash flow against $1.5bn of debt.
Operating profit covers interest at least five times over Interest not separately reported. Not assessable.

From H&R Block Inc's latest balance sheet as filed. Checks are fixed, documented rules (methodology), counted only where the company reports the figures — a dot means the filing doesn't break the item out. Descriptions of reported data, not advice.

Moat

84 /100

Strong moat

How hard H&R Block's competitive advantage looks for rivals to wear away, judged from 5 years of its own filings: returns on capital, pricing power, profit durability, cash conversion and discipline.

Returns on capital 20 / 20

Cash operating profit has been a median 25.1% of total assets over 5 years.
Pricing power 15 / 20

Gross margin has been a median 44.6%, moving by 0.5 percentage points (standard deviation) across 5 years.
Durability 14 / 20

Net margin has been a median 16.1%; its worst year was 15.9%.
Cash conversion 20 / 20

Free cash flow was positive in 5 of 5 years, at a median 19.2% of revenue.
Discipline 20 / 20

The diluted share count fell 31.7% over five years; stock-based pay has been a median 0.9% of revenue.

AI disruption exposure: Medium. In this industry, AI could change how the product is made or sold, without replacing the core asset. The score above includes a 5-point deduction for that exposure (89 before it).

A rules-based reading of reported figures, not a forecast and not investment advice. How the score is built: methodology.

Compare with peers

Head to head: HRB vs SCI BFAM vs HRB ADT vs HRB FTDR vs HRB

More: Specialized Consumer Services stocks compared, Consumer Discretionary sector, rankings of US companies

Figures from H&R Block Inc's SEC filings (10-K and 10-Q), retrieved October 20, 2026. How we read and check them: methodology and data sources. Not investment advice. Back to H&R Block Inc.