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Technical Research on H&R Block and Service Corp. International: Industry to benefit from improving U.S. Economy

HRB, SCI
Technical Research on H&R Block and Service Corp. International: Industry to benefit from improving U.S. Economy

LONDON, February 21, 2013 /PRNewswire/ --

With the U.S. economy showing significant signs of improvement, increased private sector hiring, gains in housing and automobile markets and expansion of domestic energy production and manufacturing are among the macro-trends likely to instill more confidence in the economy. The improving economy will aid the personal services industry giants, especially the likes of H&R Block Inc. (NYSE: HRB) and Service Corporation International (NYSE:SCI), since these companies provide services which is very essential for any U.S. citizen. H&R Block is the world's largest tax services provider, having prepared more than 600 million tax returns worldwide since 1955 while Service Corporation International is North America's leading provider of death care products and services. StockCall has posted free technical research reports on H&R Block and Service Corp. International and these can be accessed by signing up at http://www.stockcall.com/analysis

H&R Block announces event series examining implications of Health Care reforms

HRB announced that it will embark on a multi-city tour and bring together policymakers, health-care and tax experts to discuss the Enrollment for and Tax implications of the Affordable Care Act (ACA), which includes the most significant health-care reform in decades and some of the wider changes to the tax code, creating unprecedented issues for taxpayers and uninsured. Download the free report on H&R Block Inc. upon registration at

http://www.StockCall.com/HRB022113.pdf  

Earlier, for the second quarter of 2013, HRB reported revenues of $137 million, growth of 6% over second quarter of 2012. The company seems to be on course to $85 to $100 million of pretax earnings from cost reduction initiatives in fiscal 2013. HRB announced a cash dividend of 20 cents per share, marking the company's 201st consecutive quarterly dividend.

Echoing the optimism, Bill Cobb, H&R Block's President and CEO said, "I'm very pleased with the improvement in our second quarter results, which reflect savings from our cost reduction initiatives and a strong tax season in Australia. The U.S. tax season is right around the corner and we believe we're on pace to deliver significant earnings and margin expansion in fiscal 2013."

Service Corporation announces results for fourth quarter and full year of 2012

Service Corporation's consolidated revenues were $629.4 million for the fourth quarter of 2012, while Net Income was $47.8 million, or diluted earnings per share being $0.22. For the full year of 2012, Revenues were $2.41 billion and Net Income was $175 million, or diluted earnings per share were $0.80. Funeral gross profit increased by $4.6 million while Cemetery gross profit increased by $13.6 million. Cemetery gross margins were 26.7%. Service Corp. International technical report can be accessed for free by signing up at http://www.StockCall.com/SCI022113.pdf  

Echoing on the performance, President and Chief Executive Officer Tom Ryan said, "We are very pleased with the solid operating performance of our business during the fourth quarter which capped-off an impressive 23% improvement in full-year EPS. Strong cemetery sales production and an increase in funeral services performed drove earnings above the high-end of our expectations. This operating momentum, when combined with an expanding footprint and growing preneed backlog, creates an exciting opportunity to continue to grow the company into the future and to enhance shareholder value."

SCI expects 2013 earnings to be in the range of $0.80 to $0.90 per diluted share, excluding special items.

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SOURCE StockCall.com



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