ZACKS·2026-01-22 17:40Core Insights - H&R Block (HRB) has a Growth Score of B, indicating a fair assessment of its growth quality and sustainability [2] - Earnings are projected to increase by 6% in fiscal 2026 and 7.9% in fiscal 2027, while revenues are expected to grow by 3.3% in fiscal 2026 and 2.4% in fiscal 2027 [2][9] Revenue Growth Drivers - Revenue growth is primarily driven by increased volume in U.S. assisted tax preparation, attributed to a rise in net average charge (NAC) and higher company-owned tax return volumes [3] - The DIY software offers comprehensive tax preparation services, empowering clients to manage their taxes independently through various platforms [3] Customer Relationship Enhancement - The Second Look offering reviews clients' past three years' tax returns to identify missed refund opportunities, thereby strengthening customer relationships [4] Technology Integration - H&R Block's commitment to technology advancement fosters customer trust and loyalty, with AI-powered tools enhancing the DIY tax preparation experience [5] Diversification and Client Base Expansion - Additional offerings such as Refund Transfers, credit products, and the Spruc mobile banking platform demonstrate the company's strategy to diversify and expand its client base [6] - The Spruc platform has achieved approximately 476,000 sign-ups and $1.75 billion in customer deposits by the end of fiscal 2025 [6][9]