How H&R Block makes money

Period

FY2026

How does H&R Block make money? This Sankey traces every dollar of revenue through the income statement — into cost of revenue, R&D, SG&A, and taxes — and shows what's left as profit. Pick any fiscal year, recent quarter, or the trailing twelve months. Straight from SEC filings.

H&R Block Inc. · FY2026 · year ended 2026-06-30

Revenue$3.9BGross profit$1.7B · 44%Cost of revenue$2.2B · 56%Operating income$908M · 23%Operating expenses$841M · 21%SG&A$841M · 21%Pre-tax income$851M · 22%Other expense$57M · 1%Net income$734M · 19%Income tax$118M · 3%Service$3.7B · 93%Royalty$281M · 7%

Each fiscal year from SEC filings. Percentages are share of revenue, so the green profit nodes read directly as gross / operating / net margin. Line items a company doesn't break out are derived from their siblings so the flows balance; small residuals show as “Other.” For informational purposes only.