The company typically loses money in the quarter after tax season ends as it ramps up spending to prepare for the next year's tax return filing. Also, JTH became a publicly held company late in 2011 and the current quarter included $525,000 in costs associated with being public that were not incurred a year earlier. JTH postponed an initial public offering and began reporting results and trading its stock publicly after it determined that the number of shareholders the company had required it to publish its financial reports.CEO John Hewitt said during this morning's earnings conference call that there were increased contacts by "mom-and pop operations that want to become franchisees or to be acquired by Liberty." These businesses are under pressure from factors that include the new regulation of tax preparers by the Internal Revenue Service and they must either seek affiliates "or get out,"
Last modified on Sunday, 02 June 2013