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Verisk's Q4 Earnings and Revenues Surpass Estimates, Increase Y/Y
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Key Takeaways
VRSK Q4 EPS rose 13% to $1.82, beating estimates as revenues climbed 5.9% to $778.8M.
VRSK's underwriting revenues jumped 8.7% to $556M, lifting adjusted EBITDA margin to 56.1%.
VRSK guides fiscal 2026 revenues of $3.19B-$3.24B and EPS of $7.45-$7.75, both below the consensus estimate.
Verisk (VRSK - Free Report) reported impressive fourth-quarter fiscal 2025 results, with both earnings and revenues beating the Zacks Consensus Estimate.
VRSK’s adjusted earnings were $1.82 per share, surpassing the Zacks Consensus Estimate by 13.8% and increasing 13% from the year-ago quarter. Total revenues came in at $778.8 million, beating the consensus estimate marginally and increasing 5.9% on a year-over-year basis.
VRSK shares have declined 39.5% in the past year compared with 28.6% decline of the industry. In contrast, the Zacks S&P 500 composite has risen 13.9% in the said time frame.
Verisk Analytics, Inc. Price, Consensus and EPS Surprise
Underwriting and Rating revenues witnessed a year-over-year increase of 8.7% on a reported basis and 7.2% at organic constant currency (OCC) to $556 million, surpassing the consensus estimate of $541.1 million. Claim revenues declined marginally on a reported basis but increased marginally at OCC to $223 million, missing the consensus estimate of $230.2 million.
Adjusted EBITDA rose 9.8% from the year-ago quarter on a reported basis and 6.2% on an OCC basis to $437 million. The adjusted EBITDA margin was 56.1%, increasing from the year-ago quarter’s 54.1%.
Key Balance Sheet & Cash Flow Figures
Verisk exited the reported quarter with cash and cash equivalents of $2.2 billion compared with $2.1 billion at the end of the third quarter of fiscal 2025. The long-term debt was $3.2 billion, flat compared with the preceding quarter.
Net cash utilized for operating activities was $343.3 million. The free cash flow used during the quarter was $276.1 million. The company repurchased shares worth $223.8 million in the quarter and returned $62.5 million as dividends to shareholders.
VRSK’s Fiscal 2026 Guidance
For fiscal 2026, Verisk estimates revenues to be in the range of $3.19 billion-$3.24 billion. The company’s guided range is lower than the Zacks Consensus Estimate of $3.25 billion. The adjusted EBITDA forecast is between $1.79 billion and $1.83 billion, while the adjusted EBITDA margin is anticipated to be 56%-56.5%. The tax rate is expected to be 23% to 26%. Dividend per share is expected to be $2.00.
The company continues to expect adjusted earnings per share (EPS) in the range of $7.45-$7.75. The midpoint ($7.60) of the guided range is lower than the consensus mark of $7.70.
Waste Connections’ adjusted earnings (excluding 28 cents from non-recurring items) of $1.29 per share marginally surpassed the Zacks Consensus Estimate and increased 11.2% year over year. WCN’s revenues of $2.4 billion met the consensus estimate and grew 5% from the year-ago quarter.
EFX’s adjusted earnings were $2.09 per share, outpacing the Zacks Consensus Estimate by 2.5% but declining 1.4% from the year-ago quarter. Equifax’s total revenues of $1.6 billion surpassed the consensus estimate by 1.3% and grew 9.2% on a year-over-year basis.
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Verisk's Q4 Earnings and Revenues Surpass Estimates, Increase Y/Y
Key Takeaways
Verisk (VRSK - Free Report) reported impressive fourth-quarter fiscal 2025 results, with both earnings and revenues beating the Zacks Consensus Estimate.
VRSK’s adjusted earnings were $1.82 per share, surpassing the Zacks Consensus Estimate by 13.8% and increasing 13% from the year-ago quarter. Total revenues came in at $778.8 million, beating the consensus estimate marginally and increasing 5.9% on a year-over-year basis.
VRSK shares have declined 39.5% in the past year compared with 28.6% decline of the industry. In contrast, the Zacks S&P 500 composite has risen 13.9% in the said time frame.
Verisk Analytics, Inc. Price, Consensus and EPS Surprise
Verisk Analytics, Inc. price-consensus-eps-surprise-chart | Verisk Analytics, Inc. Quote
Quarterly Details of Verisk
Underwriting and Rating revenues witnessed a year-over-year increase of 8.7% on a reported basis and 7.2% at organic constant currency (OCC) to $556 million, surpassing the consensus estimate of $541.1 million. Claim revenues declined marginally on a reported basis but increased marginally at OCC to $223 million, missing the consensus estimate of $230.2 million.
Adjusted EBITDA rose 9.8% from the year-ago quarter on a reported basis and 6.2% on an OCC basis to $437 million. The adjusted EBITDA margin was 56.1%, increasing from the year-ago quarter’s 54.1%.
Key Balance Sheet & Cash Flow Figures
Verisk exited the reported quarter with cash and cash equivalents of $2.2 billion compared with $2.1 billion at the end of the third quarter of fiscal 2025. The long-term debt was $3.2 billion, flat compared with the preceding quarter.
Net cash utilized for operating activities was $343.3 million. The free cash flow used during the quarter was $276.1 million. The company repurchased shares worth $223.8 million in the quarter and returned $62.5 million as dividends to shareholders.
VRSK’s Fiscal 2026 Guidance
For fiscal 2026, Verisk estimates revenues to be in the range of $3.19 billion-$3.24 billion. The company’s guided range is lower than the Zacks Consensus Estimate of $3.25 billion. The adjusted EBITDA forecast is between $1.79 billion and $1.83 billion, while the adjusted EBITDA margin is anticipated to be 56%-56.5%. The tax rate is expected to be 23% to 26%. Dividend per share is expected to be $2.00.
The company continues to expect adjusted earnings per share (EPS) in the range of $7.45-$7.75. The midpoint ($7.60) of the guided range is lower than the consensus mark of $7.70.
Verisk currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Earnings Snapshot
Waste Connections, Inc. (WCN - Free Report) reported impressive fourth-quarter 2025 results.
Waste Connections’ adjusted earnings (excluding 28 cents from non-recurring items) of $1.29 per share marginally surpassed the Zacks Consensus Estimate and increased 11.2% year over year. WCN’s revenues of $2.4 billion met the consensus estimate and grew 5% from the year-ago quarter.
Equifax Inc. (EFX - Free Report) posted impressive fourth-quarter 2025 results.
EFX’s adjusted earnings were $2.09 per share, outpacing the Zacks Consensus Estimate by 2.5% but declining 1.4% from the year-ago quarter. Equifax’s total revenues of $1.6 billion surpassed the consensus estimate by 1.3% and grew 9.2% on a year-over-year basis.