VRSK Earnings Prediction
The chart below shows how VRSK performed 10 days before and after its earnings report, based on data from the past quarters. Typically, VRSK sees a +1.22% change in stock price 10 days leading up to the earnings, and a +3.05% change 10 days following the report. On the earnings day itself, the stock moves by +0.40%. This data can give you a slight idea of what to expect for the next quarter's release.
VRSK Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
725.30M
7.04%
1.19%
Gross Margin
58.67%
1.24%
0.09%
Operating Margin
42.98%
3.57%
-3.33%
Net Margin
30.33%
9.65%
-29.37%
EPS
1.54
19.38%
-28.37%
No Data Available
VRSK Earnings Analysis
Verisk Analytics, Inc. Common Stock Corporation (VRSK.O) Earnings Conference Call
Positive
Quarterly Revenue Increase: Third quarter revenue was $725 million, up 7% versus the prior year, reflecting consistent levels of growth across both underwriting and claims.
Earnings Growth Overview: Income from continuing operations was $220 million, up 17.4% versus the prior year, while diluted GAAP earnings per share from continuing operations were $1.54, up 19.4% versus the prior year.
Diluted EPS Increase Factors: The increase in diluted GAAP EPS was driven by strong operating performance, a litigation reserve expense in the prior year period, and a lower effective tax rate.
Consistent Revenue Growth: Our operating results demonstrated consistent growth across both underwriting and claims, with OCC revenues growing 6.8%, with growth of 6.5% in underwriting and 7.4% in claims.
Subscription Revenue Growth: Our subscription revenues, which comprised 82% of our total revenue in the quarter, grew 9.1% on an OCC basis during the third quarter, building upon the 9.3% OCC growth we delivered last year.
Negative
Revenue Growth Slowdown: The third quarter revenue was $725 million, up only 7% versus the prior year, indicating a slowdown in growth.
Operational Revenue Decline: The operational revenue growth was 6.8%, down from 9.4% in the previous year, reflecting a decline in performance.
Transactional Revenue Decline: The transactional revenues declined by 2.5% on an OCC basis, indicating a decrease in business activity.
Net Interest Expense Increase: The net interest expense increased to $32 million compared to $29 million in the same period last year, reflecting higher costs.
Adjusted Net Income Growth: The adjusted net income increased by only 7.8% to $239 million, suggesting limited growth potential.
VRSK FAQs
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VRSK Earning Call Sentiment
Verisk Analytics, Inc. (VRSK) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
VRSK.O
2.34%Positive
The earnings call reflects strong financial performance with significant growth in income, EPS, and cash flow. Subscription revenue growth is robust, and the company is returning capital to shareholders through increased dividends and buybacks. Despite some headwinds and uncertainties, optimistic guidance and strategic initiatives like Core Lines Reimagine indicate potential growth. The Q&A reveals some concerns about headwinds and management's reluctance to quantify certain impacts, slightly tempering the overall sentiment. However, the positive aspects outweigh the negatives, suggesting a positive stock price movement over the next two weeks.