VeriSign Inc (VRSN) Reports Q3 2023 Earnings: Revenue and Net Income Rise
VeriSign Inc (NASDAQ:VRSN) reported a revenue of $376 million, a 5.4% increase from Q3 2022.
The company's net income was $188 million, up from $169 million in the same quarter of the previous year.
Operating income for Q3 2023 was $254 million, compared to $237 million in Q3 2022.
VeriSign ended Q3 2023 with cash, cash equivalents and marketable securities of $943 million.
VeriSign Inc (NASDAQ:VRSN), a global provider of critical internet infrastructure and domain name registry services, released its earnings report for the third quarter of 2023 on October 26, 2023. The company reported a revenue of $376 million, marking a 5.4% increase from the same quarter in 2022. The net income for the quarter was $188 million, up from $169 million in Q3 2022. The diluted earnings per share (EPS) for Q3 2023 was $1.83, compared to $1.58 in Q3 2022.
Financial Highlights
VeriSign ended the third quarter of 2023 with cash, cash equivalents and marketable securities of $943 million, a decrease of $37 million from year-end 2022. The company's cash flow from operations was $245 million for the third quarter of 2023, compared to $262 million for the same quarter of 2022. Deferred revenues as of September 30, 2023, totaled $1.26 billion, an increase of $43 million from year-end 2022.
During the third quarter of 2023, VeriSign repurchased 1.1 million shares of its common stock for an aggregate cost of $220 million. As of September 30, 2023, there was $1.34 billion remaining for future share repurchases under the share repurchase program, which has no expiration.
Business Highlights
VeriSign ended the third quarter of 2023 with 173.9 million .com and .net domain name registrations in the domain name base, a 0.1 percent decrease from the end of the third quarter of 2022, and a net decrease of 0.5 million domain names during the third quarter of 2023. During the third quarter of 2023, VeriSign processed 9.9 million new domain name registrations for .com and .net, the same as for the third quarter last year.
The final .com and .net renewal rate for the second quarter of 2023 was 73.4 percent compared to 73.8 percent for the same quarter of 2022. Renewal rates are not fully measurable until 45 days after the end of the quarter.
CEO's Commentary
We remain focused on our long-term strategy of value creation and return to shareholders through responsible expense management and efficient capital allocation, which has produced another solid quarter, said Jim Bidzos, Executive Chairman and Chief Executive Officer.
For more details on VeriSign Inc (NASDAQ:VRSN)'s Q3 2023 earnings, please visit the official website.
Explore the complete 8-K earnings release (here) from VeriSign Inc for further details.
This article first appeared on GuruFocus.
