Verisign(US:VRSN)2025-10-23 20:33Financial Performance - Revenues for the three and nine months ended September 30, 2025, were $419.1 million and $1,231.3 million, representing increases of 7% and 6% compared to the same periods in 2024[50] - Operating income for the same periods was $284.3 million and $836.2 million, reflecting increases of 6% and 5% respectively compared to 2024[50] - Cash flows from operating activities for the nine months ended September 30, 2025, were $801.5 million, compared to $671.1 million for the same period in 2024[50] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $801.5 million, an increase from $671.1 million in the prior year[77] Domain Registrations - As of September 30, 2025, the total number of .com and .net registrations was 171.9 million, a 1.4% increase from the previous year[50] - The company processed 10.6 million new domain name registrations for .com and .net during the three months ended September 30, 2025, compared to 9.3 million in the same period of 2024[50] - The renewal rate for .com and .net domains for Q2 2025 was 75.5%, up from 72.7% in Q2 2024[50] - Revenue growth was primarily driven by price increases for .com and .net registrations and an increase in the domain name base[56] Geographic Revenue Growth - Geographic revenue growth was notable in the U.S. and EMEA, with U.S. revenues increasing by 6% to $275.9 million for Q3 2025[59] Expenses - Research and development expenses for the three months ended September 30, 2025, increased to $25.4 million, a 10% increase from $23.2 million in the same period last year[63] - Research and development expenses for the nine months ended September 30, 2025, rose to $77.1 million, reflecting a 7% increase from $71.8 million in the prior year[64] - Selling, general and administrative expenses for the three months ended September 30, 2025, increased to $60.6 million, an 18% increase from $51.3 million in the same period last year[66] - Selling, general and administrative expenses for the nine months ended September 30, 2025, totaled $170.7 million, a 12% increase from $152.8 million in the prior year[67] Income and Tax - Interest income for the three months ended September 30, 2025, decreased to $6.7 million from $8.7 million in the same period last year, while total non-operating income, net, decreased to $6.3 million from $10.5 million[69] - Income tax expense for the three months ended September 30, 2025, was $58.9 million, with an effective tax rate of 22%, down from 23% in the same period last year[70] Cash and Share Repurchase - Cash and cash equivalents as of September 30, 2025, increased to $235.4 million from $206.7 million at the end of 2024, while total liquidity (cash and marketable securities) reached $617.7 million[72] - The company repurchased 0.8 million shares of common stock for $215.0 million during the three months ended September 30, 2025, with $1.33 billion remaining for future repurchases[55] - The company repurchased 0.8 million shares of common stock for $215.0 million during the three months ended September 30, 2025, with $1.33 billion remaining available for future repurchases[73] Dividends - A cash dividend of $0.77 per share was declared on October 21, 2025, payable on November 25, 2025[55] Financing Activities - Net cash used in financing activities for the nine months ended September 30, 2025, decreased to $777.3 million from $951.0 million in the same period last year[82]