FICO Announces Earnings of $5.44 per Share for Fourth Quarter Fiscal 2024
FICO reported strong Q4 fiscal 2024 results with revenues of $453.8 million, up 16% from the prior year. GAAP earnings reached $5.44 per share, while Non-GAAP EPS was $6.54. Scores revenues grew 27% to $249.2 million, driven by a 38% increase in B2B revenue. Software revenues increased 5% to $204.6 million, with Platform ARR growth of 31%. The company provided FY2025 guidance projecting revenues of $1.98 billion and GAAP EPS of $25.05.
FICO ha riportato forti risultati per il quarto trimestre dell'anno fiscale 2024, con ricavi di $453,8 milioni, in aumento del 16% rispetto all'anno precedente. Gli utili GAAP hanno raggiunto $5,44 per azione, mentre l'EPS Non-GAAP è stato di $6,54. I ricavi da Scores sono cresciuti del 27%, arrivando a $249,2 milioni, sostenuti da un aumento del 38% nei ricavi B2B. I ricavi da Software sono aumentati del 5%, per un totale di $204,6 milioni, con una crescita del 31% nell'ARR della piattaforma. L'azienda ha fornito indicazioni per l'anno fiscale 2025, prevedendo ricavi di $1,98 miliardi e un EPS GAAP di $25,05.
FICO reportó resultados fuertes para el cuarto trimestre del año fiscal 2024, con ingresos de $453.8 millones, un aumento del 16% en comparación con el año anterior. Las ganancias GAAP alcanzaron $5.44 por acción, mientras que el EPS No-GAAP fue de $6.54. Los ingresos de Scores crecieron un 27% hasta $249.2 millones, impulsados por un aumento del 38% en los ingresos B2B. Los ingresos por Software aumentaron un 5%, alcanzando $204.6 millones, con un crecimiento del 31% en el ARR de la plataforma. La compañía proporcionó proyecciones para el año fiscal 2025, anticipando ingresos de $1.98 mil millones y un EPS GAAP de $25.05.
FICO는 2024 회계연도 4분기 강력한 실적을 보고했으며, 수익은 $453.8 백만으로 전년 대비 16% 증가했습니다. GAAP 수익은 주당 $5.44에 도달했으며, 비 GAAP EPS는 $6.54였습니다. Scores의 수익은 27% 증가하여 $249.2 백만에 이르렀고, 이는 B2B 수익의 38% 증가에 기인합니다. 소프트웨어 수익은 5% 증가하여 $204.6 백만에 이르며, 플랫폼 ARR은 31% 성장했습니다. 회사는 2025 회계연도 매출을 $19.8 억 및 GAAP EPS를 $25.05로 예측하는 지침을 제공했습니다.
FICO a annoncé de bons résultats pour le quatrième trimestre de l'exercice 2024, avec des revenus de $453,8 millions, en hausse de 16% par rapport à l'année précédente. Les bénéfices GAAP ont atteint $5,44 par action, tandis que le BNPA Non-GAAP était de $6,54. Les revenus de Scores ont augmenté de 27% pour atteindre $249,2 millions, soutenus par une augmentation de 38% des revenus B2B. Les revenus logiciels ont augmenté de 5% pour s'élever à $204,6 millions, avec une croissance du ARR de la plateforme de 31%. L'entreprise a fourni des prévisions pour l'exercice 2025, prévoyant des revenus de $1,98 milliard et un BNPA GAAP de $25,05.
FICO berichtete über starke Ergebnisse im vierten Quartal des Geschäftsjahres 2024 mit einem Umsatz von $453,8 Millionen, der im Vergleich zum Vorjahr um 16% gestiegen ist. Die GAAP-Ergebnisse beliefen sich auf $5,44 pro Aktie, während das Non-GAAP-EPS bei $6,54 lag. Die Umsätze aus Scores wuchsen um 27% auf $249,2 Millionen, was durch einen Anstieg von 38% im B2B-Umsatz befeuert wurde. Die Softwareumsätze stiegen um 5% auf $204,6 Millionen, mit einem Wachstum des Plattform-ARR um 31%. Das Unternehmen gab eine Prognose für das Geschäftsjahr 2025 bekannt, die einen Umsatz von $1,98 Milliarden und ein GAAP-EPS von $25,05 vorsieht.
- Revenue increased 16% YoY to $453.8 million
- GAAP EPS grew 36% to $5.44
- Non-GAAP EPS increased 31% to $6.54
- B2B revenue surged 38%
- Platform ARR growth of 31%
- Software Dollar-Based Net Retention Rate at 123% for platform software
- Free cash flow improved 35% to $219.4 million
- B2C revenue decreased 1% due to lower myFICO.com volumes
- Non-platform software retention rate stagnant at 99%
- Professional services revenue declined
Insights
FICO delivered exceptional Q4 results with
Key metrics signal strong business fundamentals:
The
The impressive margin expansion and cash flow generation demonstrate FICO's operational leverage. Free cash flow increased
The divergence between platform (
Revenue of
Fourth Quarter Fiscal 2024 GAAP Results
Net income for the quarter totaled
Net cash provided by operating activities for the quarter was
Fourth Quarter Fiscal 2024 Non-GAAP Results
Non-GAAP Net Income for the quarter was
Fourth Quarter Fiscal 2024 GAAP Revenue
The company reported revenues of
“I am very proud of our performance in FY24, another record year for FICO financially,” said Will Lansing, chief executive officer. “I am also pleased to provide our FY 2025 guidance, which includes double-digit percentage growth for all our metrics.”
Revenues for the fourth quarter of fiscal 2024 for the company’s two operating segments were as follows:
-
Scores revenues, which include the company’s business-to-business (B2B) scoring solutions, and business-to-consumer (B2C) solutions, were
in the fourth quarter, compared to$249.2 million in the prior year period, an increase of$195.6 million 27% . B2B revenue increased38% , driven largely by higher unit prices. B2C revenue decreased1% from the prior year period due to lower volumes on myFICO.com business.
-
Software revenues, which include the company’s analytics and digital decisioning technology, were
in the fourth quarter, compared to$204.6 million in the prior year period, an increase of$194.2 million 5% , mainly due to increased recurring revenue, partially offset by a decrease in professional services. Software Annual Recurring Revenue was up8% year-over-year, consisting of31% platform ARR growth and no growth in non-platform. Software Dollar-Based Net Retention Rate was106% on September 30, 2024, with platform software at123% and non-platform software at99% .
Outlook
The company is providing the following guidance for fiscal 2025:
|
Fiscal 2025 Guidance |
Revenues |
|
GAAP Net Income |
|
GAAP EPS |
|
Non-GAAP Net Income |
|
Non-GAAP EPS |
|
The Non-GAAP financial measures are described in the financial table captioned “Reconciliation of Non-GAAP Guidance.”
Company to Host Conference Call
The company will host a webcast on November 6, 2024, at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time) to report its fourth quarter fiscal 2024 results and provide various strategic and operational updates. The call can be accessed at FICO's web site at www.fico.com/investors. A replay of the webcast will be available on our Past Events page through November 6, 2025.
About FICO
FICO (NYSE: FICO) powers decisions that help people and businesses around the world prosper. Founded in 1956, the company is a pioneer in the use of predictive analytics and data science to improve operational decisions. FICO holds more than 200 U.S. and foreign patents on technologies that increase profitability, customer satisfaction and growth for businesses in financial services, insurance, telecommunications, health care, retail and many other industries. Using FICO solutions, businesses in more than 80 countries do everything from protecting four billion payment cards from fraud, to improving financial inclusion, to increasing supply chain resiliency. The FICO® Score, used by
Learn more at https://www.fico.com/en
Join the conversation at https://x.com/FICO_corp & https://www.fico.com/blogs/
For FICO news and media resources, visit https://www.fico.com/en/newsroom
FICO is a registered trademark of Fair Isaac Corporation in the
Statement Concerning Forward-Looking Information
Except for historical information contained herein, the statements contained in this news release that relate to FICO or its business are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including the impact of macroeconomic conditions on FICO’s business, operations and personnel, the success of the Company’s Decision Management strategy and reengineering initiative, the maintenance of its existing relationships and ability to create new relationships with customers and key alliance partners, its ability to continue to develop new and enhanced products and services, its ability to recruit and retain key technical and managerial personnel, competition, regulatory changes applicable to the use of consumer credit and other data, the failure to protect such data, the failure to realize the anticipated benefits of any acquisitions, or divestitures, and material adverse developments in global economic conditions or in the markets we serve. Additional information on these risks and uncertainties and other factors that could affect FICO’s future results are described from time to time in FICO’s SEC reports, including its Annual Report on Form 10-K for the year ended September 30, 2024 and its subsequent filings with the SEC. If any of these risks or uncertainties materializes, FICO’s results could differ materially from its expectations. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made. FICO disclaims any intent or obligation to update these forward-looking statements, whether as a result of new information, future events or otherwise.
FAIR ISAAC CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) |
|||||||
|
September 30, 2024 |
|
September 30, 2023 |
||||
|
(In thousands) |
||||||
Assets |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents |
$ |
150,667 |
|
|
$ |
136,778 |
|
Accounts receivable, net |
|
426,642 |
|
|
|
387,947 |
|
Prepaid expenses and other current assets |
|
40,104 |
|
|
|
31,723 |
|
Total current assets |
|
617,413 |
|
|
|
556,448 |
|
Marketable securities |
|
45,289 |
|
|
|
33,014 |
|
Property and equipment, net |
|
38,465 |
|
|
|
10,966 |
|
Operating lease right-of-use assets |
|
29,580 |
|
|
|
25,703 |
|
Goodwill and intangible assets, net |
|
782,752 |
|
|
|
774,244 |
|
Other assets |
|
204,385 |
|
|
|
174,906 |
|
Total assets |
$ |
1,717,884 |
|
|
$ |
1,575,281 |
|
Liabilities and Stockholders’ Deficit |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable and other accrued liabilities |
$ |
102,285 |
|
|
$ |
78,487 |
|
Accrued compensation and employee benefits |
|
106,103 |
|
|
|
102,471 |
|
Deferred revenue |
|
156,897 |
|
|
|
136,730 |
|
Current maturities on debt |
|
15,000 |
|
|
|
50,000 |
|
Total current liabilities |
|
380,285 |
|
|
|
367,688 |
|
Long-term debt |
|
2,194,021 |
|
|
|
1,811,658 |
|
Operating lease liabilities |
|
21,963 |
|
|
|
23,903 |
|
Other liabilities |
|
84,294 |
|
|
|
60,022 |
|
Total liabilities |
|
2,680,563 |
|
|
|
2,263,271 |
|
|
|
|
|
||||
Stockholders’ deficit |
|
(962,679 |
) |
|
|
(687,990 |
) |
Total liabilities and stockholders’ deficit |
$ |
1,717,884 |
|
|
$ |
1,575,281 |
|
FAIR ISAAC CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) |
|||||||||||||||
|
Quarter Ended September 30, |
|
Year Ended September 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
(In thousands, except per share data) |
||||||||||||||
Revenues: |
|
|
|
|
|
|
|
||||||||
On-premises and SaaS software |
$ |
181,707 |
|
|
$ |
168,979 |
|
|
$ |
711,340 |
|
|
$ |
640,182 |
|
Professional services |
|
22,899 |
|
|
|
25,199 |
|
|
|
86,536 |
|
|
|
99,547 |
|
Scores |
|
249,203 |
|
|
|
195,555 |
|
|
|
919,650 |
|
|
|
773,828 |
|
Total revenues |
|
453,809 |
|
|
|
389,733 |
|
|
|
1,717,526 |
|
|
|
1,513,557 |
|
Operating expenses: |
|
|
|
|
|
|
|
||||||||
Cost of revenues |
|
89,574 |
|
|
|
82,832 |
|
|
|
348,206 |
|
|
|
311,053 |
|
Research and development |
|
44,208 |
|
|
|
41,596 |
|
|
|
171,940 |
|
|
|
159,950 |
|
Selling, general and administrative |
|
122,757 |
|
|
|
99,331 |
|
|
|
462,834 |
|
|
|
400,565 |
|
Amortization of intangible assets |
|
92 |
|
|
|
275 |
|
|
|
917 |
|
|
|
1,100 |
|
Gain on product line asset sale |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,941 |
) |
Total operating expenses |
|
256,631 |
|
|
|
224,034 |
|
|
|
983,897 |
|
|
|
870,727 |
|
Operating income |
|
197,178 |
|
|
|
165,699 |
|
|
|
733,629 |
|
|
|
642,830 |
|
Other expense, net |
|
(25,795 |
) |
|
|
(25,234 |
) |
|
|
(91,604 |
) |
|
|
(89,206 |
) |
Income before income taxes |
|
171,383 |
|
|
|
140,465 |
|
|
|
642,025 |
|
|
|
553,624 |
|
Provision for income taxes |
|
35,692 |
|
|
|
39,041 |
|
|
|
129,214 |
|
|
|
124,249 |
|
Net income |
$ |
135,691 |
|
|
$ |
101,424 |
|
|
$ |
512,811 |
|
|
$ |
429,375 |
|
Earnings per share: |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
5.54 |
|
|
$ |
4.09 |
|
|
$ |
20.78 |
|
|
$ |
17.18 |
|
Diluted |
$ |
5.44 |
|
|
$ |
4.01 |
|
|
$ |
20.45 |
|
|
$ |
16.93 |
|
Shares used in computing earnings per share: |
|
|
|
|
|
|
|
||||||||
Basic |
|
24,501 |
|
|
|
24,826 |
|
|
|
24,676 |
|
|
|
24,986 |
|
Diluted |
|
24,950 |
|
|
|
25,273 |
|
|
|
25,079 |
|
|
|
25,367 |
|
FAIR ISAAC CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) |
|||||||
|
Year Ended September 30, |
||||||
|
|
2024 |
|
|
|
2023 |
|
|
(In thousands) |
||||||
Cash flows from operating activities: |
|
|
|
||||
Net income |
$ |
512,811 |
|
|
$ |
429,375 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
13,827 |
|
|
|
14,638 |
|
Share-based compensation |
|
149,439 |
|
|
|
123,847 |
|
Changes in operating assets and liabilities |
|
(20,485 |
) |
|
|
(63,448 |
) |
Gain on product line asset sale |
|
— |
|
|
|
(1,941 |
) |
Other, net |
|
(22,628 |
) |
|
|
(33,556 |
) |
Net cash provided by operating activities |
|
632,964 |
|
|
|
468,915 |
|
Cash flows from investing activities: |
|
|
|
||||
Purchases of property and equipment |
|
(8,884 |
) |
|
|
(4,237 |
) |
Capitalized internal-use software costs |
|
(16,667 |
) |
|
|
— |
|
Net activity from marketable securities |
|
(2,442 |
) |
|
|
(5,591 |
) |
Cash transferred, net of proceeds, from product line asset sale |
|
— |
|
|
|
(6,126 |
) |
Net cash used in investing activities |
|
(27,993 |
) |
|
|
(15,954 |
) |
Cash flows from financing activities: |
|
|
|
||||
Proceeds from revolving line of credit and term loans |
|
947,000 |
|
|
|
407,000 |
|
Payments on revolving line of credit and term loans |
|
(602,000 |
) |
|
|
(402,000 |
) |
Proceeds from issuance of treasury stock under employee stock plans |
|
25,006 |
|
|
|
22,198 |
|
Taxes paid related to net share settlement of equity awards |
|
(139,188 |
) |
|
|
(76,673 |
) |
Repurchases of common stock |
|
(821,702 |
) |
|
|
(405,526 |
) |
Other, net |
|
(2,039 |
) |
|
|
— |
|
Net cash used in financing activities |
|
(592,923 |
) |
|
|
(455,001 |
) |
Effect of exchange rate changes on cash |
|
1,841 |
|
|
|
5,616 |
|
Increase in cash and cash equivalents |
|
13,889 |
|
|
|
3,576 |
|
Cash and cash equivalents, beginning of year |
|
136,778 |
|
|
|
133,202 |
|
Cash and cash equivalents, end of year |
$ |
150,667 |
|
|
$ |
136,778 |
|
FAIR ISAAC CORPORATION NON-GAAP RESULTS (Unaudited) |
|||||||||||||||
|
Quarter Ended September 30, |
|
Year Ended September 30, |
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
(In thousands, except per share data) |
||||||||||||||
GAAP net income |
$ |
135,691 |
|
|
$ |
101,424 |
|
|
$ |
512,811 |
|
|
$ |
429,375 |
|
Amortization of intangible assets |
|
92 |
|
|
|
275 |
|
|
|
917 |
|
|
|
1,100 |
|
Gain on product line asset sale |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,941 |
) |
Share-based compensation expense |
|
39,982 |
|
|
|
34,097 |
|
|
|
149,439 |
|
|
|
123,847 |
|
Income tax adjustments |
|
(10,134 |
) |
|
|
(8,760 |
) |
|
|
(38,083 |
) |
|
|
(30,806 |
) |
Excess tax benefit |
|
(2,429 |
) |
|
|
(852 |
) |
|
|
(29,774 |
) |
|
|
(12,586 |
) |
Adjustment to tax reserves and valuation allowance |
|
— |
|
|
|
560 |
|
|
|
— |
|
|
|
(8,940 |
) |
Non-GAAP net income |
$ |
163,202 |
|
|
$ |
126,744 |
|
|
$ |
595,310 |
|
|
$ |
500,049 |
|
|
|
|
|
|
|
|
|
||||||||
GAAP diluted earnings per share |
$ |
5.44 |
|
|
$ |
4.01 |
|
|
$ |
20.45 |
|
|
$ |
16.93 |
|
Amortization of intangible assets |
|
— |
|
|
|
0.01 |
|
|
|
0.04 |
|
|
|
0.04 |
|
Gain on product line asset sale |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(0.08 |
) |
Share-based compensation expense |
|
1.60 |
|
|
|
1.35 |
|
|
|
5.96 |
|
|
|
4.88 |
|
Income tax adjustments |
|
(0.41 |
) |
|
|
(0.35 |
) |
|
|
(1.52 |
) |
|
|
(1.21 |
) |
Excess tax benefit |
|
(0.10 |
) |
|
|
(0.03 |
) |
|
|
(1.19 |
) |
|
|
(0.50 |
) |
Adjustment to tax reserves and valuation allowance |
|
— |
|
|
|
0.02 |
|
|
|
— |
|
|
|
(0.35 |
) |
Non-GAAP diluted earnings per share |
$ |
6.54 |
|
|
$ |
5.01 |
|
|
$ |
23.74 |
|
|
$ |
19.71 |
|
|
|
|
|
|
|
|
|
||||||||
Free cash flow |
|
|
|
|
|
|
|
||||||||
Net cash provided by operating activities |
$ |
226,478 |
|
|
$ |
164,049 |
|
|
$ |
632,964 |
|
|
$ |
468,915 |
|
Capital expenditures |
|
(7,123 |
) |
|
|
(1,068 |
) |
|
|
(25,551 |
) |
|
|
(4,237 |
) |
Free cash flow |
$ |
219,355 |
|
|
$ |
162,981 |
|
|
$ |
607,413 |
|
|
$ |
464,678 |
|
Note: The numbers may not sum to total due to rounding. |
About Non-GAAP Financial Measures
To supplement the consolidated GAAP financial statements, the company uses the following non-GAAP financial measures: non-GAAP net income, non-GAAP EPS, and free cash flow. Non-GAAP net income and non-GAAP EPS exclude, to the extent applicable, such items as the impact of amortization expense, share-based compensation expense, restructuring and acquisition-related, excess tax benefit, and adjustment to tax valuation allowance items. Free cash flow excludes capital expenditures. The presentation of these financial measures is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
Management uses these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. Our management believes these non-GAAP financial measures provide meaningful supplemental information regarding our performance and liquidity by excluding certain items that may not be indicative of recurring business results including significant non-cash expenses. We believe management and investors benefit from referring to these non-GAAP financial measures in assessing our performance when planning, forecasting and analyzing future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to historical performance and liquidity as well as comparisons to our competitors’ operating results. We believe these non-GAAP financial measures are useful to investors because they allow for greater transparency with respect to key measures used by management in its financial and operating decision-making.
FAIR ISAAC CORPORATION RECONCILIATION OF NON-GAAP GUIDANCE (Unaudited) |
||||
|
|
Fiscal 2025 Guidance |
||
|
|
(In millions, except per share data) |
||
|
|
|
||
GAAP net income |
|
$ |
624 |
|
Share-based compensation expense |
|
|
157 |
|
Income tax adjustments |
|
|
(39 |
) |
Excess tax benefit |
|
|
(30 |
) |
Non-GAAP net income |
|
$ |
712 |
|
|
|
|
||
GAAP diluted earnings per share |
|
$ |
25.05 |
|
Share-based compensation expense |
|
|
6.31 |
|
Income tax adjustments |
|
|
(1.58 |
) |
Excess tax benefit |
|
|
(1.20 |
) |
Non-GAAP diluted earnings per share |
|
$ |
28.58 |
|
Note: The numbers may not sum to total due to rounding. |
About Non-GAAP Financial Measures
To supplement the consolidated GAAP financial statements, the company uses the following non-GAAP financial measures: non-GAAP net income, non-GAAP EPS, and free cash flow. Non-GAAP net income and non-GAAP EPS exclude, to the extent applicable, such items as the impact of amortization expense, share-based compensation expense, restructuring and acquisition-related, excess tax benefit, and adjustment to tax valuation allowance items. Free cash flow excludes capital expenditures. The presentation of these financial measures is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.
Management uses these non-GAAP financial measures for financial and operational decision-making and as a means to evaluate period-to-period comparisons. Our management believes these non-GAAP financial measures provide meaningful supplemental information regarding our performance and liquidity by excluding certain items that may not be indicative of recurring business results including significant non-cash expenses. We believe management and investors benefit from referring to these non-GAAP financial measures in assessing our performance when planning, forecasting and analyzing future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to historical performance and liquidity as well as comparisons to our competitors’ operating results. We believe these non-GAAP financial measures are useful to investors because they allow for greater transparency with respect to key measures used by management in its financial and operating decision-making.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241106263373/en/
Investors/Analysts:
Dave Singleton
Fair Isaac Corporation
(800) 459-7125
investor@fico.com
Source: FICO
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