H&R Block Inc (HRB)
Working capital turnover
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Apr 30, 2021 | Mar 31, 2021 | Jan 31, 2021 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (ttm) | US$ in thousands | 3,760,990 | 3,712,610 | 3,620,340 | 3,620,353 | 3,610,343 | 3,579,863 | 3,488,683 | 3,476,005 | 3,472,190 | 3,490,110 | 3,458,220 | 3,450,631 | 3,463,270 | 2,666,961 | 2,911,941 | 3,354,155 | 3,447,914 | 5,522,333 | 3,360,945 | 3,068,142 |
| Total current assets | US$ in thousands | 1,162,550 | 1,246,540 | 777,353 | 611,603 | 1,239,480 | 1,265,350 | 898,885 | 631,840 | 1,187,490 | 1,302,820 | 775,855 | 724,438 | 1,384,460 | 1,868,040 | 1,239,600 | 1,495,750 | 1,699,720 | 1,699,720 | 1,699,720 | 1,220,640 |
| Total current liabilities | US$ in thousands | 1,298,610 | 1,589,800 | 1,059,360 | 795,885 | 977,328 | 1,243,560 | 745,587 | 792,786 | 938,782 | 1,115,580 | 645,833 | 790,223 | 998,813 | 1,692,880 | 1,171,440 | 752,969 | 1,163,080 | 1,163,080 | 1,163,080 | 691,483 |
| Working capital turnover | — | — | — | — | 13.77 | 164.29 | 22.76 | — | 13.96 | 18.64 | 26.60 | — | 8.98 | 15.23 | 42.72 | 4.52 | 6.43 | 10.29 | 6.26 | 5.80 |
June 30, 2025 calculation
Working capital turnover = Revenue (ttm) ÷ (Total current assets – Total current liabilities)
= $3,760,990K ÷ ($1,162,550K – $1,298,610K)
= —
The working capital turnover ratio of H&R Block Inc exhibits notable fluctuations over the periods analyzed. In the fiscal year ending January 31, 2021, the ratio was recorded at 5.80, indicating a moderate efficiency in utilizing working capital to generate sales. This ratio increased somewhat during the following quarter to 6.26 and then rose significantly to 10.29 by April 30, 2021, suggesting improved operational efficiency or a relative increase in sales activity compared to working capital during that period. The ratio declined to 6.43 by June 30, 2021, and further decreased to 4.52 as of September 30, 2021, reflecting potential challenges in sales efficiency or a buildup in working capital relative to sales.
A dramatic change occurred at the end of 2021, with the ratio surging sharply to 42.72 on December 31, 2021, then rising further to 15.23 at the end of the first quarter of 2022. Subsequently, the ratio normalized somewhat to 8.98 by June 30, 2022, and further declined to an unspecified level in September 2022. By the end of 2022, the ratio was at 26.60, indicating a significant shift in working capital utilization or changes in sales performance.
In the first quarter of 2023, the ratio decreased to 18.64, and then to 13.96 by June 30, 2023. The third quarter data for 2023 is not available, but at the end of 2023, the ratio stood at 22.76, signifying continued variability. The most notable change is observed in the first quarter of 2024, with the ratio escalating sharply to 164.29, indicating a substantial change in either working capital levels or sales volume relative to working capital.
Subsequent quarters show a decline to 13.77 by June 30, 2024, with data for September 2024 and beyond unavailable. Overall, the working capital turnover ratio demonstrates periods of volatility, with occasional spikes potentially driven by strategic shifts, seasonal factors, or accounting adjustments that significantly impact the ratio's stability over time.
This pattern reflects varying efficiencies in managing working capital relative to sales performance, highlighting periods where the company either utilized its working capital more aggressively to generate sales or experienced shifts in operational financial structure. The extreme fluctuation, especially the extraordinary spike in early 2024, warrants further investigation into underlying factors such as changes in working capital components, sales cycles, or accounting practices.
Peer comparison
Jun 30, 2025