VeriSign, Inc. (NASDAQ: VRSN), a global provider of domain name
registry services and internet infrastructure, today reported
financial results for the second quarter of 2023.
VeriSign, Inc. and its subsidiaries (“Verisign”) reported
revenue of $372 million for the second quarter of 2023, up 5.7
percent from the same quarter in 2022. Operating income was $249
million for the second quarter of 2023, compared to $236 million
for the same quarter of 2022. Verisign reported net income of $186
million and diluted earnings per share (diluted “EPS”) of $1.79 for
the second quarter of 2023, compared to net income of $167 million
and diluted EPS of $1.54 for the same quarter of 2022.
“Earlier this month we passed 26 years of 100 percent
availability for the .com/.net domain name resolution system. Our
effective stewardship of this key infrastructure allowed us to
deliver another successful quarter, marked by solid financial
results and the renewal of the .net registry agreement,” said Jim
Bidzos, Executive Chairman and Chief Executive Officer.
Financial Highlights
- Verisign ended the second quarter of 2023 with cash, cash
equivalents and marketable securities of $936 million, a decrease
of $45 million from year-end 2022.
- Cash flow from operations was $145 million for the second
quarter of 2023, unchanged from the same quarter of 2022.
- Deferred revenues as of June 30, 2023 totaled $1.26 billion, an
increase of $41 million from year-end 2022.
- During the second quarter of 2023, Verisign repurchased 1.0
million shares of its common stock for an aggregate cost of $220
million.
- Effective July 27, 2023 the Board of Directors approved an
additional authorization for share repurchases of approximately
$1.14 billion of common stock, which brings the total amount to
$1.5 billion authorized and available under Verisign’s share
repurchase program, which has no expiration.
Business Highlights
- On June 30, 2023, Verisign announced the renewal of the .net
Registry Agreement with the Internet Corporation for Assigned Names
and Numbers (ICANN), pursuant to which Verisign will remain the
sole registry operator for the .net registry through June 30,
2029.
- Verisign ended the second quarter of 2023 with 174.4 million
.com and .net domain name registrations in the domain name base, a
0.1 percent increase from the end of the second quarter of 2022,
and a net decrease of 0.32 million domain names during the second
quarter of 2023.
- During the second quarter of 2023, Verisign processed 10.2
million new domain name registrations for .com and .net, as
compared to 10.1 million for the same quarter of 2022.
- The final .com and .net renewal rate for the first quarter of
2023 was 75.5 percent compared to 75.9 percent for the same quarter
of 2022. Renewal rates are not fully measurable until 45 days after
the end of the quarter.
- Verisign announces that it will increase the annual
registry-level wholesale fee for each new and renewal .net domain
name registration from $9.92 to $10.91, effective Feb. 1,
2024.
Today’s Conference Call
Verisign will host a live conference call today at 4:30 p.m.
(EDT) to review the second quarter 2023 results. The call will be
accessible by direct dial at (888) 676-VRSN (U.S.) or (786)
789-4797 (international), conference ID: Verisign. A listen-only
live web cast of the conference call and accompanying slide
presentation will also be available at
https://investor.verisign.com. An audio archive of the call will be
available at https://investor.verisign.com/events.cfm. This news
release and the financial information discussed on today’s
conference call are available at https://investor.verisign.com.
About Verisign
Verisign, a global provider of domain name registry services and
internet infrastructure, enables internet navigation for many of
the world’s most recognized domain names. Verisign enables the
security, stability, and resiliency of key internet infrastructure
and services, including providing root zone maintainer services,
operating two of the 13 global internet root servers, and providing
registration services and authoritative resolution for the .com and
.net top-level domains, which support the majority of global
e-commerce. To learn more about what it means to be Powered by
Verisign, please visit verisign.com.
VRSNF
Statements in this announcement other than historical data and
information constitute forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 as amended and
Section 21E of the Securities Exchange Act of 1934 as amended.
These statements involve risks and uncertainties that could cause
our actual results to differ materially from those stated or
implied by such forward-looking statements. The potential risks and
uncertainties include, among others, attempted security breaches,
cyber-attacks, and DDoS attacks against our systems and services;
the introduction of undetected or unknown defects in our systems or
services; vulnerabilities in the global routing system; system
interruptions or system failures; damage or interruptions to our
data centers, data center systems or resolution systems; risks
arising from our operation of root servers and our performance of
the Root Zone Maintainer functions; any loss or modification of our
right to operate the .com and .net gTLDs; changes or challenges to
the pricing provisions of the .com Registry Agreement; new or
existing governmental laws and regulations in the U.S. or other
applicable non-U.S. jurisdictions; new laws, regulations,
directives or ICANN policies that require us to obtain and maintain
personal information of registrants; economic, legal, regulatory,
and political risks associated with our international operations;
unfavorable changes in, or interpretations of, tax rules and
regulations; risks from the adoption of ICANN’s consensus and
temporary policies, technical standards and other processes; the
weakening of, changes to, the multi-stakeholder model of internet
governance; the outcome of claims, lawsuits, audits or
investigations; deterioration of economic conditions; our ability
to compete in the highly competitive business environment in which
we operate; changes in internet practices and behavior and the
adoption of substitute technologies, or the negative impact of
wholesale price increases; our ability to expand our services into
developing and emerging economies; our ability to maintain strong
relationships with registrars and their resellers; our ability to
attract, retain and motivate highly skilled employees; and our
ability to protect and enforce our intellectual property rights.
More information about potential factors that could affect our
business and financial results is included in our filings with the
SEC, including in our Annual Report on Form 10-K for the year ended
Dec. 31, 2022, Quarterly Reports on Form 10-Q and Current Reports
on Form 8-K. Verisign undertakes no obligation to update any of the
forward-looking statements after the date of this announcement.
©2023 VeriSign, Inc. All rights reserved. VERISIGN, the VERISIGN
logo, and other trademarks, service marks, and designs are
registered or unregistered trademarks of VeriSign, Inc. and its
subsidiaries in the United States and in foreign countries. All
other trademarks are property of their respective owners.
VERISIGN, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS
(In millions, except par
value)
(Unaudited)
June 30, 2023
December 31,
2022
ASSETS
Current assets:
Cash and cash equivalents
$
343.9
$
373.6
Marketable securities
591.7
606.8
Other current assets
61.8
58.3
Total current assets
997.4
1,038.7
Property and equipment, net
222.8
232.0
Goodwill
52.5
52.5
Deferred tax assets
231.6
234.6
Deposits to acquire intangible assets
145.0
145.0
Other long-term assets
27.9
30.6
Total long-term assets
679.8
694.7
Total assets
$
1,677.2
$
1,733.4
LIABILITIES AND STOCKHOLDERS’ DEFICIT
Current liabilities:
Accounts payable and accrued
liabilities
$
202.2
$
226.5
Deferred revenues
939.5
890.4
Total current liabilities
1,141.7
1,116.9
Long-term deferred revenues
321.1
328.7
Senior notes
1,789.0
1,787.9
Long-term tax and other liabilities
43.3
62.1
Total long-term liabilities
2,153.4
2,178.7
Total liabilities
3,295.1
3,295.6
Commitments and contingencies
Stockholders’ deficit:
Preferred stock—par value $.001 per share;
Authorized shares: 5.0; Issued and outstanding shares: none
—
—
Common stock and additional paid-in
capital—par value $.001 per share; Authorized shares: 1,000; Issued
shares: 354.8 at June 30, 2023 and 354.5 at December 31, 2022;
Outstanding shares: 103.4 at June 30, 2023 and 105.3 at December
31, 2022
12,225.1
12,644.5
Accumulated deficit
(13,839.6
)
(14,204.0
)
Accumulated other comprehensive loss
(3.4
)
(2.7
)
Total stockholders’ deficit
(1,617.9
)
(1,562.2
)
Total liabilities and stockholders’
deficit
$
1,677.2
$
1,733.4
VERISIGN, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF COMPREHENSIVE INCOME
(In millions, except per share
data)
(Unaudited)
Three Months Ended June
30,
Six Months Ended June
30,
2023
2022
2023
2022
Revenues
$
372.0
$
351.9
$
736.4
$
698.8
Costs and expenses:
Cost of revenues
50.3
49.5
100.2
100.2
Research and development
22.2
20.3
46.4
43.2
Selling, general and administrative
50.8
46.1
99.8
94.6
Total costs and expenses
123.3
115.9
246.4
238.0
Operating income
248.7
236.0
490.0
460.8
Interest expense
(18.9
)
(18.9
)
(37.7
)
(37.7
)
Non-operating income, net
12.7
1.6
24.0
1.9
Income before income taxes
242.5
218.7
476.3
425.0
Income tax expense
(56.8
)
(51.4
)
(111.9
)
(100.2
)
Net income
185.7
167.3
364.4
324.8
Other comprehensive (loss) income
(0.7
)
0.1
(0.7
)
(0.1
)
Comprehensive income
$
185.0
$
167.4
$
363.7
$
324.7
Earnings per share:
Basic
$
1.79
$
1.54
$
3.49
$
2.97
Diluted
$
1.79
$
1.54
$
3.49
$
2.96
Shares used to compute earnings per
share
Basic
103.9
108.8
104.4
109.5
Diluted
104.0
108.8
104.5
109.6
VERISIGN, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(In millions)
(Unaudited)
Six Months Ended June
30,
2023
2022
Cash flows from operating activities:
Net income
$
364.4
$
324.8
Adjustments to reconcile net
income to net cash provided by operating activities:
Depreciation of property and
equipment
22.9
23.8
Stock-based compensation
expense
29.5
27.9
Other, net
(7.3
)
1.5
Changes in operating assets and
liabilities:
Other assets
(1.0
)
1.1
Accounts payable and accrued
liabilities
(48.7
)
(55.4
)
Deferred revenues
41.5
28.2
Net deferred income taxes
3.0
0.1
Net cash provided by operating
activities
404.3
352.0
Cash flows from investing
activities:
Proceeds from maturities and
sales of marketable securities
721.3
1,057.4
Purchases of marketable
securities
(697.6
)
(465.2
)
Purchases of property and
equipment
(12.2
)
(12.8
)
Net cash provided by investing
activities
11.5
579.4
Cash flows from financing activities:
Repurchases of common stock
(453.4
)
(556.1
)
Proceeds from employee stock purchase
plan
8.0
8.2
Net cash used in financing activities
(445.4
)
(547.9
)
Effect of exchange rate changes on cash,
cash equivalents, and restricted cash
(0.2
)
(0.7
)
Net (decrease) increase in cash, cash
equivalents, and restricted cash
(29.8
)
382.8
Cash, cash equivalents, and restricted
cash at beginning of period
379.0
228.8
Cash, cash equivalents, and restricted
cash at end of period
$
349.2
$
611.6
Supplemental cash flow disclosures:
Cash paid for interest
$
36.4
$
36.4
Cash paid for income taxes, net of refunds
received
$
132.4
$
113.3
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230727711074/en/
Investor Relations: David Atchley, datchley@verisign.com,
703-948-3447 Media Relations: David McGuire,
davmcguire@verisign.com, 703-948-3800
VeriSign (NASDAQ:VRSN)
Gráfico Histórico do Ativo
De Abr 2024 até Mai 2024
VeriSign (NASDAQ:VRSN)
Gráfico Histórico do Ativo
De Mai 2023 até Mai 2024