H&R Block posts earnings of $3.16 a share vs. $3.15 a share expected

Richard Washington
H&R Block
Mary Knox Merrill | The Christian Science Monitor | Getty Images

H&R Block posted quarterly results Thursday that beat expectations, and said it would boost its dividend.

The tax preparation company reported adjusted earnings of $3.16 per share on $2.3 billion in revenue for its fiscal 2016 fourth quarter. Those figures compare with earnings of $2.68 per share and sales of $2.3 billion in the prior-year period.

Analysts expected H&R Block to report earnings of $3.15 a share on $2.28 billion in revenue, according to a Thomson Reuters consensus estimate.

H&R Block also announced it had approved an increase in its quarterly cash dividend to 22 cents per share.

Shares of the company popped more than 7 percent in after-hours trading.

The results encompass the key tax season for H&R Block. The quarter is typically the company's strongest.

In late April, H&R Block said the number of tax returns it handled this year fell by nearly 6 percent. It also announced restructuring and leadership changes.

H&R Block shares have plunged 35 percent this year.