NEW YORK (Reuters) - H&R Block Inc posted a higher-than-expected quarterly profit on Friday as it charged more for tax services heading into its critical U.S. tax filing season.
The largest U.S. tax preparer reported net earnings of $47.4 million, or 14 cents per share, for the third quarter that ended January 31, compared with a year-earlier loss of $47.4 million, or 15 cents a share.
Income from operations rose to $66.8 million, or 20 cents per shares, more than double the analysts' average forecast of 9 cents per share, according to Reuters Estimates, Year-earlier profit from continuing operations was $7 million, or 2 cents per share.
Revenue climbed 11 percent to $993.4 million. Tax services revenue improved 15.1 percent as total retail tax returns through January 31 rose 1.6 percent.
The company said it had cut its debt load by $2.5 billion.
H&R Block also said that through February, total tax preparation revenues were up 6.5 percent, but total tax returns prepared were down 1.8 percent.
(Reporting by Christopher Kaufman; Editing by Lisa Von Ahn)