Financial Data and Key Metrics Changes - In Q3 2025, consolidated revenue was $768 million, reflecting a 5.9% increase year-over-year, with net income rising 2.5% to $226 million and diluted GAAP earnings per share increasing 5% to $1.61 [19][28] - Organic constant currency (OCC) revenue growth was 5.5%, with subscription revenue growth at 8.7% [6][21] - OCC adjusted EBITDA growth was 8.8%, with an adjusted EBITDA margin of 55.8%, up 60 basis points from the prior year [25][26] Business Line Data and Key Metrics Changes - Subscription revenues, comprising 84% of total revenue, grew 8.7% on an OCC basis, while transactional revenues, making up 16% of total revenues, declined 8.8% due to lower weather activity [21][23] - Underwriting revenues grew 5.8%, and claims revenues increased by 5% on an OCC basis [19][20] - The decline in transactional revenue was primarily attributed to lower claims assignments in property estimating solutions due to historically low weather activity [23][24] Market Data and Key Metrics Changes - Weather events in Q3 2025 were 18% lower than the previous year and 31% below the five-year average, marking the lowest level of storm events in the U.S. since 2017 [24] - The company noted that 2025 is on track to be the first year since 2015 without a named U.S. hurricane making landfall [24] Company Strategy and Development Direction - The company is focused on enhancing AI capabilities and integrating them into existing solutions, which is seen as a significant growth opportunity [10][11] - Strategic engagement with clients has increased, leading to more pipeline opportunities and a strong sales year anticipated for 2025 [9][17] - The company is committed to investing in integrations and new technologies to deliver value to clients [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth targets despite temporary factors impacting Q3 results, such as low weather activity and a reduction in a government contract [20][28] - The company expects to maintain strong subscription growth and sees AI as a critical component for future value delivery [10][11][68] - Guidance for 2025 was adjusted to exclude any material financial benefit from the pending AccuLynx acquisition, with expected consolidated revenue between $3.05 billion and $3.08 billion [29][30] Other Important Information - The acquisition of AccuLynx is still under review by the FTC, with no expected material benefit in 2025 [18][34] - The company has increased its cash dividend by 15% to $0.45 per share and repurchased $100 million of common stock [29] Q&A Session Summary Question: Update on AccuLynx deal and ServiceTitan agreement - Management confirmed ongoing collaboration with the FTC regarding the AccuLynx deal and clarified that ServiceTitan is not the main competitor of AccuLynx [33][34] Question: Competitive landscape regarding AI startups - Management acknowledged the presence of AI startups but emphasized the company's strong position due to proprietary data and industry expertise [36][38] Question: Future pricing opportunities amid decelerating net written premiums - Management sees opportunities for pricing adjustments based on the value delivered through AI enhancements and integration of data sets [41][43] Question: Impact of auto underwriting market dynamics - Management indicated that the auto underwriting business is not directly linked to premium growth and that shopping activity remains stable [47][49] Question: Clarification on guidance reduction due to AccuLynx deal - Management did not break down the guidance changes but indicated that the overall guidance reflects the impact of temporary factors [51][52] Question: Cash flow and free cash flow growth - Management highlighted strong free cash flow growth driven by improved collections and lower cash taxes, with expectations for continued growth [57][59] Question: Competitive pressure in the auto market - Management reiterated ongoing competitive pressures in the auto market but emphasized efforts to differentiate products [60][61] Question: Industry premium growth expectations - Management noted high single-digit premium growth in 2024, normalizing to mid-single digits in 2025 [64][66]

Financial Performance - Revenue reached $768 million, a 5.9% increase year-over-year, with organic constant currency (OCC) growth of 5.5%[12] - Adjusted EBITDA grew to $429 million, up 7.2% year-over-year, with OCC growth of 8.8%[12] - Adjusted EBITDA margin expanded by 60 bps to 55.8%[9, 12] - Diluted adjusted EPS increased by 3.0% to $1.72[9, 12] - Free cash flow surged by 39.6% to $336 million[9, 12] Revenue Breakdown and Growth - Underwriting revenue increased by 5.8% OCC[9, 16] - Claims revenue increased by 5.0% OCC[9, 16] - Subscription revenue grew by 8.7%[18] - Transactional revenue declined by 8.8%[18] Capital Allocation - $163 million was returned to shareholders through dividends and share repurchases[8] - $100 million of shares were repurchased in 3Q25[27] - A dividend of $0.45 per share was paid in 3Q25, totaling $63 million[27] Outlook - The updated total revenue outlook for 2025 is $3050 - $3080 million[24]

Data analytics firm Verisk Analytics cut its annual revenue forecast below Wall Street estimates on Wednesday, sending shares down 8.7% in premarket trading. ...

Revenue Performance - Revenue for the three months ended September 30, 2025, was $768.3 million, representing a year-over-year growth of 5.9% compared to $725.3 million in 2024[119] - For the nine months ended September 30, 2025, revenue reached $2,293.9 million, a 6.9% increase from $2,146.1 million in the same period of 2024[119] - Revenues for Q3 2025 were $768.3 million, a 5.9% increase from $725.3 million in Q3 2024, driven by a $35.2 million increase in underwriting revenue (6.9%) and a $7.8 million increase in claims revenue (3.6%) [123] - For the nine months ended September 30, 2025, revenues reached $2,293.9 million, up 6.9% from $2,146.1 million in the same period of 2024, with underwriting revenue increasing by $110.9 million (7.3%) and claims revenue by $36.9 million (5.8%) [135] EBITDA and Margins - EBITDA for the three months ended September 30, 2025, was $426.6 million, reflecting an 8.3% growth from $393.8 million in 2024[119] - The EBITDA margin for the nine months ended September 30, 2025, was calculated as EBITDA of $1,288.2 million against revenues of $2,293.9 million, indicating a margin improvement[119] - EBITDA for Q3 2025 was $426.6 million, with an EBITDA margin of 55.5%, up from $393.8 million and 54.3% in Q3 2024, reflecting revenue growth and cost discipline [133] - EBITDA for the nine months ended September 30, 2025 was $1,288.2 million, with an EBITDA margin of 56.2%, down from 59.3% in the prior year [147] Net Income - Net income for the three months ended September 30, 2025, was $225.5 million, a 2.5% increase from $220.0 million in 2024[119] - Net income for Q3 2025 was $225.5 million, a slight increase from $220.0 million in Q3 2024, while net income for the nine months ended September 30, 2025, was $711.1 million, down from $747.2 million in the same period of 2024[149] - For the nine months ended September 30, 2025, net income was $711.1 million, down 4.8% from $747.2 million in the same period of 2024, with a net income margin of 31.0% compared to 34.8% [146] Expenses - Personnel expenses accounted for approximately 56% of total operating expenses for the nine months ended September 30, 2025[113] - The cost of revenues for the three months ended September 30, 2025, was $229.5 million, a 2.7% increase from $223.4 million in 2024[119] - Selling, general and administrative expenses decreased by 3.0% to $110.6 million for the three months ended September 30, 2025, compared to $114.0 million in 2024[119] - Cost of revenues for Q3 2025 was $229.5 million, a 2.7% increase from $223.4 million in Q3 2024, with a net increase of $8.1 million attributed to IT expenses, salaries, and data costs [125] - Selling, general and administrative expenses decreased by 3.0% to $110.6 million in Q3 2025 from $114.0 million in Q3 2024, despite a net increase of $3.4 million from recent acquisitions [126] Cash Flow and Debt - Cash and cash equivalents totaled $2,108.7 million as of September 30, 2025, significantly up from $292.5 million at the end of 2024[150] - Net cash provided by operating activities increased by 36.2% to $403.5 million in Q3 2025 from $296.2 million in Q3 2024[159] - Total debt increased to $4,750 million as of September 30, 2025, up from $3,050 million at the end of 2024[153] - The company repurchased $400.2 million of its common stock during the nine months ended September 30, 2025, compared to $750.0 million in the same period of 2024[152] - The company entered into a $750.0 million Term Credit Agreement on August 15, 2025, to finance the acquisition of AccuLynx[156] - Net cash used in investing activities for Q3 2025 was $234.5 million, primarily due to acquisitions totaling $160.4 million[161] - Net cash provided by financing activities for Q3 2025 was $1,305.3 million, driven by proceeds from short-term debt issuance[163] Tax and Interest - The provision for income taxes for Q3 2025 was $76.6 million, with an effective tax rate of 25.3%, compared to $65.3 million and 22.9% in Q3 2024 [131] - Interest expense for Q3 2025 increased by 31.5% to $42.2 million from $32.1 million in Q3 2024, primarily due to new Senior Notes issuance [130] Management and Accounting - Management's discussion and analysis are based on condensed consolidated financial statements prepared in accordance with U.S. GAAP[167] - Management evaluates estimates related to acquisition purchase price allocations, revenue recognition, and goodwill[167] - No material changes to critical accounting policies and estimates since the last annual report on Form 10-K[167] - Market risks as of September 30, 2025, have not materially changed from those discussed in the previous annual report[168] Operational Efficiency - The company aims to grow its headcount while managing personnel expenses at a lower rate than revenue growth, indicating a focus on operational efficiency[115]

Exhibit 99.1 Verisk Reports Third-Quarter 2025 Financial Results JERSEY CITY, N.J., October 29, 2025 — Verisk (Nasdaq: VRSK), a leading global data analytics and technology provider, today announced results for the third quarter ended September 30, 2025. The earnings release is available on the company's Investor Relations website at investor.verisk.com. Lee Shavel, President and CEO, Verisk: Summary of Results (GAAP and Non-GAAP) from Continuing Operations (in millions, except per share amounts) Note: Adju ...

Core Insights - Verisk is on track to meet its long-term growth targets, with strategic engagements leading to new opportunities and an expanded client base [2][3] - The company reported a 5.5% organic constant currency revenue growth in Q3 2025, despite temporary factors affecting growth [3][7] - Strong operating leverage resulted in an 8.8% growth in adjusted EBITDA and a 40% increase in free cash flow, showcasing the company's cash flow generation potential [3][7] Financial Performance - Q3 2025 revenues reached $768 million, a 5.9% increase from $725 million in Q3 2024 [5][7] - Net income for Q3 2025 was $226 million, up 2.5% from $220 million in Q3 2024 [5][9] - Adjusted EBITDA for Q3 2025 was $429 million, reflecting a 7.2% increase compared to $401 million in Q3 2024 [5][10] - Diluted EPS attributable to Verisk increased by 4.5% to $1.61, while diluted adjusted EPS rose by 3.0% to $1.72 [5][11] Revenue Breakdown - Underwriting revenues increased by 6.9% in Q3 2025, driven by forms, rules, loss cost services, and extreme event solutions [12] - Claims revenues grew by 3.6% in Q3 2025, primarily due to anti-fraud and casualty solutions [12] Cash Flow and Capital Return - Net cash provided by operating activities increased by 36.2% to $404 million in Q3 2025 [15][18] - Free cash flow for Q3 2025 was $336 million, a 39.6% increase from $241 million in Q3 2024 [15][18] - The company declared a cash dividend of $0.45 per share, reflecting a 15.4% increase from the previous year [15][18] Full Year 2025 Outlook - The updated revenue guidance for 2025 is projected between $3,050 million and $3,080 million [16] - Adjusted EBITDA is expected to be in the range of $1,690 million to $1,720 million, with a margin of 55.0% to 55.8% [16]

Core Insights - Verisk (VRSK) is set to release its third-quarter fiscal 2025 results on October 29, before market open, with expectations of surpassing earnings estimates based on historical performance [1][11] Revenue Expectations - The Zacks Consensus Estimate for revenues is $774.7 million, reflecting a 6.8% increase from the same quarter last year, driven by subscription revenues, particularly in underwriting and claims [2][11] - Estimated revenues from the United States are $612.4 million, indicating a 5.5% year-over-year growth, while revenues from the U.K. are projected at $60.7 million, suggesting a 13.9% increase [3] - Revenues from other countries are expected to rise by 11.1% year-over-year to $75.4 million [3] Earnings Projections - The consensus estimate for earnings per share (EPS) is $1.69, which represents a 1.2% increase from the previous year, attributed to prudent cost control and margin expansion [4][11] - The model predicts an earnings beat for Verisk, supported by a positive Earnings ESP of +4.25% and a Zacks Rank of 3 (Hold) [5] Comparative Analysis - Other companies in the business services sector, such as Payoneer Global and Republic Services, are also expected to report earnings, with varying growth rates and earnings surprises [6][7][9]

Core Insights - Verisk Analytics, Inc. (NASDAQ: VRSK) is currently flagged as having a high risk of poor performance, which may deter potential investors [1] Group 1 - The warning about Verisk Analytics could impact investor sentiment negatively [1] - Robert F. Abbott, an experienced investor since 1995, has diversified his investment strategies by incorporating options such as covered calls and collars [1]

Core Insights - Verisk Analytics, Inc. (NASDAQ: VRSK) is currently flagged as having a high risk of poor performance, which may deter potential investors [1] Group 1 - The warning about Verisk Analytics is prominently displayed on the Seeking Alpha summary page, indicating significant concerns regarding the company's future performance [1] - Robert F. Abbott, an experienced investor since 1995, has been managing his family's accounts and has incorporated options trading into his strategy since 2010, suggesting a level of sophistication in investment approaches [1]

Core Insights - Conestoga Capital Advisors reported that equity markets reached new all-time highs in Q3 2025, but their Mid Cap Composite returned -3.2% net-of-fees, underperforming the Russell Midcap Growth Index which gained 2.8% [1] Company Overview - Verisk Analytics, Inc. (NASDAQ:VRSK) provides data analytics and technology solutions primarily for the insurance industry [3] - As of October 21, 2025, Verisk's stock closed at $237.03 per share, with a market capitalization of $33.117 billion [2] Performance Metrics - Verisk's one-month return was -2.17%, and its shares lost 11.42% over the last 52 weeks [2] - In Q2 2025, Verisk generated $773 million in revenue, reflecting a 7.8% increase from Q2 2024 [4] - The company reported organic revenue growth of 7.9% in Q2 2025, exceeding market expectations across various financial metrics [3] Strategic Developments - Verisk announced a $2.5 billion acquisition of AccuLynx, a SAAS-based software business, but the market reacted negatively to the 15x revenue multiple paid for this acquisition [3] - The decline in Verisk's stock is attributed to moderating organic growth expectations for the latter half of the year [3] Market Sentiment - Verisk Analytics is not among the 30 most popular stocks among hedge funds, with 49 hedge fund portfolios holding the stock at the end of Q2 2025, up from 45 in the previous quarter [4] - While Verisk is recognized for its potential, certain AI stocks are viewed as having greater upside potential and less downside risk [4]