Verisign (VRSN) FY2023 results: revenue $1.5 billion, up 4.8% on the year

Verisign Inc. (VRSN) reported revenue of $1.5 billion for fiscal 2023, the year ended 31 December 2023, up 4.8% on the year before. Net income was $818 million, up 21.3%, and diluted earnings per share $7.90. The figures are the company's own, from the 10-K it filed with the SEC on 15 February 2024.

Revenue

$1.5 billion

+4.8% on the year

FY2016FY2023

Operating margin

67.0%

66.2% a year earlier

FY2016FY2023

Net income

$818 million

+21.3% on the year

FY2016FY2023

Diluted EPS

$7.90

+26.6% on the year

FY2016FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	1,493	1,425	1,328	+4.8%
Cost of revenue	197	201	192	-1.7%
Gross profit	1,296	1,224	1,136	+5.8%
Gross margin	86.8%	85.9%	85.5%
Research and development	91.0	85.7	80.5	+6.2%
Selling, general and administrative	204	195	188	+4.5%
Operating income	1,001	943	867	+6.1%
Operating margin	67.0%	66.2%	65.3%
Interest expense	75.3	75.3	83.3	0.0%
Pre-tax income	976	880	782	+10.9%
Income tax	159	206	-2.6	-23.0%
Effective tax rate	16.3%	23.4%	-0.3%
Net income	818	674	785	+21.3%
Net margin	54.8%	47.3%	59.1%
Diluted EPS	$7.90	$6.24	$7.00	+26.6%

$ 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	FY2023	FY2022	FY2021	On the year
Operating cash flow	854	831	807	+2.7%
Capital expenditure	45.8	27.4	53.0	+67.2%
Free cash flow	808	804	754	+0.5%
Free cash flow margin	54.1%	56.4%	56.8%
Cash from investing	-97.4	356	-269
Cash from financing	-890	-1,036	-719
Depreciation and amortisation	44.1	46.9	47.9	-6.0%
Share-based compensation	59.7	58.6	53.4	+1.9%
Buybacks	901	1,048	723	-14.0%
Dividends paid	0.0	0.0	0.0
Dividend per share	$0.00	n/a	n/a
Diluted shares, weighted	104m	108m	112m	-4.2%
Shares outstanding at period end	101m	105m	111m	-3.8%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	-1,581	-1,562	-1,261
Debt	1,790	1,788	1,786	+0.1%
Other liabilities	1,540	1,508	1,459	+2.1%
Total liabilities and equity	1,749	1,733	1,984	+0.9%
Fixed assets	233	232	251	+0.5%
Goodwill	52.5	52.5	52.5	0.0%
Investments	686	607	982	+13.1%
Cash and equivalents	240	374	223	-35.7%
Receivables	6.3	6.2	5.3	+1.6%
Other assets	531	462	469	+14.8%
Total assets	1,749	1,733	1,984	+0.9%

10-K for the year ended 31 December 2023, filed 15 February 2024: the filing.