H&R Block Inc (HRB)

Short-term

Turnover ratios

1. Inventory Turnover:

- The inventory turnover ratio measures how efficiently a company is managing its inventory.
- H&R Block Inc's inventory turnover has shown fluctuations over the periods provided, with noticeable peaks and troughs.
- The ratio was highest in March 2022 at 202.35, indicating that the company sold and replaced its inventory more than 200 times during that period.
- However, there are also periods like September 2023 and December 2022 where the inventory turnover was not available.
- Overall, the trend suggests varying levels of efficiency in managing inventory over time.

2. Receivables Turnover:

- The receivables turnover ratio indicates how effectively a company is collecting payments from its customers.
- H&R Block Inc's receivables turnover has displayed significant variability across the periods provided.
- The highest turnover was observed in July 2019 at 56.68, indicating that the company collected payments almost 57 times during that period.
- Conversely, the ratio was lowest in January 2021 at 4.94, suggesting slower collections during that period.
- The trend shows fluctuations in the efficiency of collecting receivables, with some periods being more effective than others.

3. Payables Turnover:

- Unfortunately, payables turnover data is not available for the periods provided.
- Without this information, it is challenging to assess how quickly H&R Block Inc is paying its suppliers.

4. Working Capital Turnover:

- The working capital turnover ratio reflects how efficiently a company is utilizing its working capital to generate sales.
- H&R Block Inc's working capital turnover varies significantly across the reported periods.
- The highest turnover was in March 2022 at 42.53, indicating that the company generated sales more than 42 times relative to its working capital during that period.
- Conversely, the ratio was lowest in July 2020 at 1.35, suggesting lower sales generation relative to working capital in that period.
- The trend indicates fluctuations in the efficiency of utilizing working capital to drive sales over time.

---

Average number of days

Days of Inventory on Hand (DOH) for H&R Block Inc have shown some fluctuations over the periods analyzed. The company managed inventory quite efficiently during some quarters, with as low as 1.80 days on hand. However, there were other periods where inventory levels were higher, reaching up to 4.00 days, which could indicate potential challenges in managing inventory turnover efficiently.

Days of Sales Outstanding (DSO) also varied significantly for H&R Block Inc. The company experienced a wide range of DSO, from as low as 6.32 days to as high as 98.14 days. This indicates that H&R Block Inc had varying success in collecting its accounts receivable over the periods analyzed, with some quarters showing strong collection efforts and others where collections were slower.

Unfortunately, no data is available for the number of days of payables for H&R Block Inc, so it is not possible to assess the company's efficiency in paying its suppliers and managing its trade credit policies.

---

Long-term

H&R Block Inc's fixed asset turnover ratio has shown fluctuations over the past few quarters, with a peak of 34.96 in the first quarter of 2022 and a low of 14.03 in the third quarter of 2020. This ratio indicates that the company generated $26.89 in revenue for every dollar invested in fixed assets in the most recent quarter, reflecting strong efficiency in utilizing its fixed assets.

On the other hand, the total asset turnover ratio has been more unstable, ranging from 0.51 in the first quarter of 2020 to 1.36 in the third quarter of 2023. This ratio suggests that H&R Block Inc generated $1.10 in revenue for every dollar invested in total assets in the most recent quarter, indicating moderate efficiency in utilizing its total assets to generate sales.

Overall, the company's long-term activity ratios reveal that it has been able to efficiently utilize its fixed assets to generate revenue consistently, while the utilization of total assets has been more volatile, possibly indicating fluctuations in the company's asset mix or operational efficiency.