FICO(FICO)2024-07-31 20:16Financial Performance - Total revenues for the quarter ended June 30, 2024, were 241.5 million during the quarter ended June 30, 2024, a 20% increase from the same quarter in 2023[69]. - Annual Recurring Revenue for the Software segment as of June 30, 2024, was 190.3 million, a 7% increase from the same quarter in 2023[69]. - Net income for the quarter ended June 30, 2024, was 5.05, a 1% decrease from the same quarter in 2023[69]. - For the nine months ended June 30, 2024, total revenues reached 1.12 billion in the same period of 2023[83]. - Net income for the nine months ended June 30, 2024, was 328.0 million in the same period of 2023[86]. Cash Flow and Debt - Cash flows from operating activities for the nine months ended June 30, 2024, were 304.9 million for the same period in 2023[69]. - Total debt balance as of June 30, 2024, was 1.9 billion as of September 30, 2023[69]. - Net cash used in financing activities increased to 271.2 million in the prior year, primarily due to increased stock repurchases[117]. - The company has a total credit capacity of 600 million unsecured revolving line of credit and a 118.0 million in borrowings under the revolving line of credit at a weighted-average interest rate of 6.688%[123]. Segment Performance - The Scores segment revenues for the quarter ended June 30, 2024, were 201.8 million in the same quarter of 2023[81]. - The Software segment revenues for the quarter ended June 30, 2024, were 196.9 million in the same quarter of 2023[81]. - The platform segment's ARR grew from 164.1 million, reflecting a year-over-year increase of 45.2%[76]. - The non-platform segment's ARR increased from 496.2 million, showing a year-over-year growth of 13.5%[76]. - Scores segment operating income increased by 39.7 million increase in segment revenue, resulting in an operating income margin of 88%[106]. - Software segment operating income decreased by 14.8 million increase in operating expenses, with an operating income margin dropping to 34% from 38%[107]. Expenses and Operating Metrics - Total operating expenses for Q2 2024 increased to 221.7 million in Q2 2023[85]. - Research and development expenses for Q2 2024 were 124.9 million, accounting for 28% of revenues, up from 27% in Q2 2023[93]. - Interest expense for Q2 2024 was 24.5 million in Q2 2023[85]. - The effective income tax rate for Q2 2024 was 24.5%, compared to 18.4% in Q2 2023[102]. Stock and Shareholder Returns - Total share repurchases during the quarter ended June 30, 2024, were 98.6 million during the same quarter in 2023[69]. - The company approved a new stock repurchase program in July 2024, authorizing repurchases up to $1.0 billion[120]. Future Outlook - The company anticipates continued growth in both platform and non-platform segments, with a focus on expanding SaaS offerings and enhancing customer retention strategies[78].