H&R Block posts loss but gains some ground

H&R Block Inc. posted a second-quarter loss today but improved from the year-earlier period. The Kansas City, Mo.-based tax services provider reported a net loss of $134.9 million, or 41 cents a share, for the quarter ended Oct. 31, compared with a net loss of $502.3 million, or $1.55 cents a share, in the year- earlier period. The improvement was attributed to a decision to exit its subprime-mortgage business and the sale of its H&R Block Financial Advisors unit to Minneapolis-based Ameriprise Financial Inc. H&R Block pointed out that it typically reports a second-quarter operating loss due to receiving much of its business during tax season early in the year. "We are pursuing a variety of initiatives seeking to boost the rate of growth in our tax business while increasing efficiency and profit margins in all our activities," Richard C. Breeden, chairman of the board of H&R Block, said in a statement. "We are heading into tax season in a stronger position than last year, and we are excited about opportunities in the business."