Verisign (VRSN) FY2021 results: revenue $1.3 billion, up 4.9% on the year

Verisign Inc. (VRSN) reported revenue of $1.3 billion for fiscal 2021, the year ended 31 December 2021, up 4.9% on the year before. Net income was $785 million, down 3.7%, and diluted earnings per share $7.00. The figures are the company's own, from the 10-K it filed with the SEC on 18 February 2022.

Revenue

$1.3 billion

+4.9% on the year

FY2014FY2021

Operating margin

65.3%

65.2% a year earlier

FY2014FY2021

Net income

$785 million

-3.7% on the year

FY2014FY2021

Diluted EPS

$7.00

-1.0% on the year

FY2014FY2021

this yearthe year beforeHover a bar for its figure.

The year in brief

The quarters: Q4 FY2021

Income statement (profit and loss)

$ million	FY2021	FY2020	FY2019	On the year
Revenue	1,328	1,265	1,232	+4.9%
Cost of revenue	192	180	180	+6.5%
Gross profit	1,136	1,085	1,051	+4.7%
Gross margin	85.5%	85.8%	85.3%
Research and development	80.5	74.7	60.8	+7.8%
Selling, general and administrative	188	186	n/a	+1.3%
Operating income	867	824	806	+5.2%
Operating margin	65.3%	65.2%	65.5%
Interest expense	83.3	90.1	90.6	-7.6%
Pre-tax income	782	750	759	+4.3%
Income tax	-2.6	-64.6	146
Effective tax rate	-0.3%	-8.6%	19.3%
Net income	785	815	612	-3.7%
Net margin	59.1%	64.4%	49.7%
Diluted EPS	$7.00	$7.07	$5.15	-1.0%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2021	FY2020	FY2019	On the year
Operating cash flow	807	730	754	+10.5%
Capital expenditure	53.0	43.4	40.3	+22.2%
Free cash flow	754	687	714	+9.8%
Free cash flow margin	56.8%	54.3%	57.9%
Cash from investing	-269	-72.3	167
Cash from financing	-719	-765	-770
Depreciation and amortisation	47.9	46.4	46.3	+3.4%
Share-based compensation	53.4	48.2	50.6	+10.8%
Buybacks	723	777	783	-7.1%
Dividends paid	0.0	0.0	0.0
Diluted shares, weighted	112m	115m	119m	-2.7%
Shares outstanding at period end	111m	113m	117m	-2.6%

Balance sheet

$ million	FY2021	FY2020	FY2019	On the year
Shareholders' equity	-1,261	-1,390	-1,490
Debt	1,786	1,790	1,788	-0.2%
Operating lease liabilities	n/a	5.2	4.6
Other liabilities	1,459	1,362	1,552	+7.1%
Total liabilities and equity	1,984	1,767	1,854	+12.3%
Fixed assets	251	246	250	+2.3%
Goodwill	52.5	52.5	52.5	0.0%
Investments	982	766	710	+28.3%
Cash and equivalents	223	401	508	-44.3%
Receivables	5.3	4.6	1.5	+14.2%
Other assets	469	297	332	+57.7%
Total assets	1,984	1,767	1,854	+12.3%

10-K for the year ended 31 December 2021, filed 18 February 2022: the filing.