H&R Block's loss widens as global tax filing fees fall


* Q2 adjusted loss/share from continuing ops bigger thanexpected

* Revenue falls 2 pct to $134.3 mln

Dec 10 (Reuters) - U.S. tax preparer H&R Block Inc reported a bigger-than-expected loss for the second quarter dueto a fall in international tax preparation fees.

The company has been realigning to focus on its core taxpreparing business after several years of losing customers todo-it-yourself tax filing services like Intuit Inc's TurboTax and Liberty Tax Service.

H&R Block has been trying to sell its banking assets sinceJuly to avoid a sharp rise in costs associated with theintroduction of stricter banking rules by the U.S. FederalReserve.

The company failed to close the sale of its banking unit toRepublic Bancorp Inc in October as it could not getthe necessary regulatory approvals.

H&R Block's revenue declined 2 percent to $134.3 million inthe quarter ended Oct. 31, while its international taxpreparation fees fell 19 percent to $41.6 million.

The company's net loss from continuing operations widened to$103 million, or 38 cents per share, from $101.2 million, or 37cents per share, a year earlier.

Excluding items, it lost 42 cents per share. Analysts onaverage had expected a loss of 37 cents per share, according toThomson Reuters I/B/E/S.

The second quarter is seasonally a weak one for taxpreparers. They earn most of their profits in the third andfourth quarters when most people file their taxes.

Kansas City, Missouri-based H&R Block's shares were down 1percent in extended trading after closing at $28.80 on the NewYork Stock Exchange on Tuesday.

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