Fair Isaac (FICO) FY2025 results: revenue $2.0 billion, up 15.9% on the year

Fair Isaac Corporation sells the credit score that American lenders use, and software for making decisions on data. The filing describes the company as a global analytics software leader. It was founded in 1956, and its software and the FICO Score are used by businesses in more than 80 countries. There are two operating segments, Scores and Software.

Scores

The FICO Score is a three-digit number from 300 to 850, produced by applying the company's own algorithms to credit data held by the three US national consumer reporting agencies, Experian, TransUnion and Equifax. The filing calls it the standard measure of consumer credit risk in the United States and says it is used in most US credit decisions, by nearly all major banks, credit card issuers, mortgage lenders and auto loan originators. The money flows indirectly: a lender pays the consumer reporting agency for each score generated, and the agency pays a fee to Fair Isaac. Except for product development on de-personalised data, the company does not collect or store the credit data the scores are calculated from, and in most cases does not sell scores to lenders itself. Introduced in the United States in 1989, the score has been updated since: FICO Score 9 brought in reported rental payment history while de-emphasising medical debt and disregarding paid collections; FICO Score 10 and 10 T arrived in 2020, the latter using trended data that takes a longer historical view. Bankcard and Auto industry versions of Score 10 followed in 2021, and the FICO Resilience Index sits alongside the score to identify consumers more resilient to economic stress within the same score band, which the filing says lets a lender keep lending through a downturn. Two scores reach people with thin or inactive credit files: FICO Score XD, which uses public records, property data and phone and cable payment history and is distributed through LexisNexis Risk Solutions and Equifax, and the UltraFICO Score, which uses checking, savings and money market data the consumer permits. Scores have been made available in over 40 countries, with client-specific versions in over ten, and consumers buy their own through the myFICO.com subscription and through licensed partners including Experian.

Software

The software automates and connects decisions across a business, mostly on customer engagement: acquisition and pricing, onboarding, servicing and management, and fraud protection, with non-customer uses such as supply chain optimisation and scheduling. FICO Platform is the modular cloud environment customers configure themselves, bringing data together, applying analytics and turning the result into real-time workflows. The stated goal is to move substantially all the current software products onto it. In fiscal 2025, Platform-based products accounted for 35% of total software annual recurring revenue. That was $263.6 million. Everything is sold either as software-as-a-service or as on-premises software, individually or in bundles, with professional services alongside.

Who buys

Clients sit in banking, insurance, retail, healthcare and public agencies. End users include three-quarters of each of the largest 100 financial institutions in the United States and the largest 100 banks in the world, more than 600 insurers including eight of the top ten US property and casualty insurers, more than 300 retailers and general merchandisers, more than 200 government or public agencies, and seven of the top ten companies on the 2025 Fortune 500 list. The consumer products are marketed to more than 200 million US consumers whose credit relationships reach the three agencies. The agreements with Experian, TransUnion and Equifax together were 51% of total revenues in fiscal 2025, against 45% and 41% in the two years before. Financial services is the largest market at 92% of total revenue, and the Americas the largest geography at 87%.

Competition

The filing describes the market as intensely competitive and constantly changing, with competitors varying in size and in the range of what they offer. In fraud solutions for banking it names Nice Actimize, Experian, Pegasystems, BAE Systems Applied Intelligence, SAS, ACI Worldwide, IBM, Feedzai and Featurespace. In customer origination it names Experian, Equifax, Moody's, Meridian Link and CGI; in marketing services, Pegasystems, Equifax, Experian, SAS, Adobe and Salesforce; and in decision platforms, Pegasystems, IBM and SAS. The scoring models and the software behind them are kept as trade secrets rather than patented.

People

There were 3,811 employees across 28 countries at 30 September 2025: 1,506 in India, 1,335 in the United States and 271 in the United Kingdom. None are covered by a collective bargaining agreement except where local law requires it, and there were no work stoppages during fiscal 2025.

From Fair Isaac's annual report on Form 10-K for the year ended 30 September 2025. The filing

Written from the 10-K filed 7 November 2025: read the full 10-K.