Liberty Tax says it hopes to recover from a disappointing tax season with a new executive, a new brand and advertising aimed at NASCAR fans and NFL alums after its profit dropped 33 percent to $13 million for the year.

The Virginia Beach-based seller of tax preparation franchises reported its annual earnings per share dropped to 94 cents from $1.41 a year ago, missing analyst expectations of $1.33 per share, according to research firm FactSet.The company said it would issue a 16-cent dividend to shareholders.

Liberty Tax filed 1.66 million U.S. returns last year, down from 1.8 million, a decrease the company blamed on the proliferation of "shadow" tax preparers, not do-it-yourself filers. Fees from customers paying for its financial products, including refund advances and transfers, grew 14 percent to $51.8 million.

Fees it collected from franchisees dropped by nearly half to $2.7 million. The company has said it struggled to sell new locations amid press coverage of IRS and state regulators shutting down several large franchise owners during the 2016 tax season.

Liberty Tax says the stores it took over from franchisees ensnared by the IRS and state regulators performed more poorly than expected, leading it to close about 50 locations and claim an impairment charge of $4.9 million.

These results are totally unacceptable," CEO John Hewitt told analysts Wednesday morning. This is something we need to change."

The company spent $1.2 million on its compliance task force efforts during the year and invited the director of the IRS return preparer office to speak at its recent annual convention.

The company had also hired Edward Brunot, a former executive with military commissary supplier SpartanNash MDV, to fill a years-long vacant chief operating officer position. Brunot will focus on turning around Liberty Tax' company-owned stores.

Hewitt said the company will be sponsoring four NASCAR events and free tax preparation to the NFL Alumni Association, made up of former players, coaches and their families.

The company's stock price was trading below $12 on Wednesday, its lowest level since October 2016, after trading above $13 a week ago.

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Profit drops by $6.4 million at Liberty Tax for year - Virginian-Pilot