H&R Block Inc (HRB)
Current ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 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 |
| Current ratio | 0.90 | 0.78 | 0.73 | 0.77 | 1.27 | 1.02 | 1.21 | 0.80 | 1.26 | 1.17 | 1.20 | 0.92 | 1.39 | 1.10 | 1.06 | 1.99 | 1.46 | 1.46 | 1.46 | 1.77 |
June 30, 2025 calculation
Current ratio = Total current assets ÷ Total current liabilities
= $1,162,550K ÷ $1,298,610K
= 0.90
The analysis of H&R Block Inc.'s current ratio over the period from January 2021 to June 2025 reveals notable fluctuations that reflect the company's short-term liquidity position.
Initially, in January 2021, the current ratio stood at 1.77, suggesting a robust ability to cover short-term liabilities with current assets. However, over subsequent quarters in 2021, this ratio experienced a decline, reaching 1.46 from March through June, before increasing significantly to 1.99 in September 2021. This period indicates an optimization of liquidity, with the ratio peaking at nearly two, implying strong coverage of current liabilities.
At the close of 2021, the ratio decreased sharply to 1.06 in December, and exhibited modest variation through the first half of 2022, with values of 1.10 in March and 1.39 in June. Notably, there was a downward trend in the latter part of 2022, with the ratio dropping to 0.92 in September and slightly rebounding to 1.20 in December. This decline below 1.0 during September 2022 signals potential liquidity concerns, indicating that current liabilities outpaced current assets at that time.
Throughout 2023, the ratio experienced marginal fluctuations, remaining within a range of approximately 0.80 to 1.26. The ratio of 0.80 in September 2023 denotes that current liabilities slightly exceeded current assets, suggesting a weakened short-term liquidity position. The subsequent quarters saw modest recoveries, with ratios of 1.21 in December 2023 and 1.02 in March 2024, before a slight decline to 0.77 in September 2024 and further to 0.73 in December 2024. These values, primarily below 1.0, highlight periods where the company's current liabilities potentially exceeded its current assets, raising concerns about short-term financial stability.
In the most recent periods analyzed, there were signs of improvement, with ratios returning to 0.78 in March 2025 and a slight increase to 0.90 in June 2025. Despite this, the overall trend indicates that H&R Block's short-term liquidity has experienced significant fluctuations, often remaining near or below the critical threshold of 1.0, which is generally considered the minimum acceptable level for healthy liquidity.
Overall, the pattern demonstrates periods of relative strength interspersed with phases of liquidity strain. Continuous monitoring and management of current assets and liabilities are essential for maintaining financial stability, especially given the recurring dips below the critical 1.0 level.
Peer comparison
Jun 30, 2025