NEW YORK (TheStreet) -- Shares of H&R Block (HRB) - Get H&R Block, Inc. (HRB) Report were falling 6.57% to $22.61 in after-hours trading on Tuesday after the company reported results that fell short of analysts' projections for the 2017 fiscal first quarter.
After today's closing bell, the Kansas City, MO-based tax preparation company posted an adjusted loss of 55 cents per share, wider than analysts' estimates for a loss of 53 cents per share.
Revenue for the quarter was $125.2 million, which was below Wall Street's expectations of $132.6 million.
Revenue was down by $12.5 million year-over-year primarily due to impacts from the divesture of the company's bank unit in September 2015 to BofI (BOFI). This included payments to the company's third-party bank partner and the reclassification of certain revenue as other income.
"Because of the highly seasonal nature of our business, the fiscal first quarter is not indicative of our full year results," CEO Bill Cobb said in a statement.
"That said, all of the company's efforts remain laser-focused on executing a successful tax season," Cobb added.
The fiscal-first quarter typically represents less than 5% of H&R Block's annual revenues.
About 2.44 million of the company's shares traded today vs. the 30-day average volume of 1.85 million shares per day.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rated this stock as a "hold" with a ratings score of C.
The company's strengths can be seen in multiple areas, such as its notable return on equity, good cash flow from operations and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and generally higher debt management risk.
You can view the full analysis from the report here: HRB