Fair Isaac (FICO) beats earnings estimates with revenues increasing; positive.

From Nasdaq: 2024-04-26 11:07:00

Fair Isaac Corporation (FICO) reported second-quarter fiscal 2024 earnings of $6.14 per share, beating estimates by 5.86% and rising 28.5% year over year. Revenues of $433.8 million increased 14.1% and Americas, EMEA, and Asia Pacific contributed to total revenues.

Software revenues increased by 8.3% year over year to $196.9 million, with Software Annual Recurring Revenues growing by 14%. On-premises and SaaS Software increased by 14.6% to $177.2 million. Professional services were $19.7 million, down by 27.3%.

FICO’s Scores increased by 19.3% to $236.9 million, with B2B revenues rising by 28% but B2C revenues dropped by 4%. Mortgage originations revenues increased by 85%, with auto originations revenues declining by 1% and credit card and personal loan revenues decreasing by 9%.

Research & development expenses decreased by 120 basis points, while operating margin expanded to 44.9%. FICO had $135.7 million in cash and cash equivalents as of Mar 31, 2024, with total debt at $2.04 billion.

For fiscal 2024, FICO anticipates revenues to be $1.69 billion with non-GAAP earnings at $22.80 per share. The company holds a Zacks Rank #3 (Hold), with underperformance in the Computer & Technology sector. Other stocks like Pinterest, AMD, and NVIDIA are better-ranked options.

Pinterest, AMD, and NVIDIA have shown varying performances this year and are set to report their first-quarter results soon. Investors can also explore other stock options that may perform well leading up to Election Day.



Read more at Nasdaq: Fair Isaac (FICO) Q2 Earnings Beat Estimates, Revenues Up Y/Y