Verisign (VRSN) FY2022 results: revenue $1.4 billion, up 7.3% on the year

Verisign Inc. (VRSN) reported revenue of $1.4 billion for fiscal 2022, the year ended 31 December 2022, up 7.3% on the year before. Net income was $674 million, down 14.1%, and diluted earnings per share $6.24. The figures are the company's own, from the 10-K it filed with the SEC on 17 February 2023.

Revenue

$1.4 billion

+7.3% on the year

FY2015FY2022

Operating margin

66.2%

65.3% a year earlier

FY2015FY2022

Net income

$674 million

-14.1% on the year

FY2015FY2022

Diluted EPS

$6.24

-10.9% on the year

FY2015FY2022

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2022 · Q2 FY2022 · Q3 FY2022 · Q4 FY2022

Income statement (profit and loss)

$ million	FY2022	FY2021	FY2020	On the year
Revenue	1,425	1,328	1,265	+7.3%
Cost of revenue	201	192	180	+4.6%
Gross profit	1,224	1,136	1,085	+7.8%
Gross margin	85.9%	85.5%	85.8%
Research and development	85.7	80.5	74.7	+6.4%
Selling, general and administrative	195	188	186	+3.7%
Operating income	943	867	824	+8.8%
Operating margin	66.2%	65.3%	65.2%
Interest expense	75.3	83.3	90.1	-9.6%
Pre-tax income	880	782	750	+12.5%
Income tax	206	-2.6	-64.6
Effective tax rate	23.4%	-0.3%	-8.6%
Net income	674	785	815	-14.1%
Net margin	47.3%	59.1%	64.4%
Diluted EPS	$6.24	$7.00	$7.07	-10.9%

$ 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	FY2022	FY2021	FY2020	On the year
Operating cash flow	831	807	730	+3.0%
Capital expenditure	27.4	53.0	43.4	-48.3%
Free cash flow	804	754	687	+6.6%
Free cash flow margin	56.4%	56.8%	54.3%
Cash from investing	356	-269	-72.3
Cash from financing	-1,036	-719	-765
Depreciation and amortisation	46.9	47.9	46.4	-2.2%
Share-based compensation	58.6	53.4	48.2	+9.7%
Buybacks	1,048	723	777	+45.0%
Dividends paid	0.0	0.0	0.0
Diluted shares, weighted	108m	112m	115m	-3.7%
Shares outstanding at period end	105m	111m	113m	-4.7%

Balance sheet

$ million	FY2022	FY2021	FY2020	On the year
Shareholders' equity	-1,562	-1,261	-1,390
Debt	1,788	1,786	1,790	+0.1%
Operating lease liabilities	n/a	n/a	5.2
Other liabilities	1,508	1,459	1,362	+3.4%
Total liabilities and equity	1,733	1,984	1,767	-12.6%
Fixed assets	232	251	246	-7.7%
Goodwill	52.5	52.5	52.5	-0.1%
Investments	607	982	766	-38.2%
Cash and equivalents	374	223	401	+67.2%
Receivables	6.2	5.3	4.6	+17.0%
Other assets	462	469	297	-1.4%
Total assets	1,733	1,984	1,767	-12.6%

10-K for the year ended 31 December 2022, filed 17 February 2023: the filing.