VeriSign Reports $402.3 Million Revenue in Q1 2025, 5% Increase Year-Over-Year

VeriSign, Inc. reported a revenue of $402.3 million for the first quarter of 2025, marking a 5% increase from $384.3 million in the same period of 2024. The company's operating income also rose by 5%, reaching $271.2 million compared to $258.9 million a year earlier. Net income for the quarter was $199.3 million, up from $194.1 million in the prior year, resulting in earnings per share of $2.10 on a diluted basis, compared to $1.92 in the first quarter of 2024. The increase in revenue was primarily attributed to price increases for .com and .net domain registrations, despite a slight decline in the total number of domain name registrations.

In terms of operational metrics, VeriSign reported a total of 169.8 million .com and .net registrations as of March 31, 2025, which represents a 1.5% decrease from the previous year but a net increase of 0.8 million registrations since December 31, 2024. The company processed 10.1 million new domain name registrations during the quarter, an increase from 9.5 million in the same period last year. The renewal rate for .com and .net domains improved to 74.0% for the fourth quarter of 2024, up from 73.2% in the previous year, indicating a positive trend in customer retention.

VeriSign's financial position showed significant changes, with total assets increasing to $1.45 billion from $1.41 billion at the end of 2024. Cash and cash equivalents surged to $575.4 million, up from $206.7 million, while marketable securities decreased to $73.1 million from $393.2 million. The company also reported total liabilities of $3.42 billion, an increase from $3.36 billion, driven by the issuance of $500 million in senior unsecured notes in March 2025, which were used to repay existing debt. The company’s stockholders’ deficit widened slightly to $1.98 billion from $1.96 billion.

Strategically, VeriSign continued its share repurchase program, buying back 1.0 million shares for $229.9 million during the quarter, leaving approximately $792.7 million available for future repurchases. The Board of Directors declared a cash dividend of $0.77 per share, payable on May 28, 2025, reflecting the company's commitment to returning value to shareholders. Looking ahead, VeriSign anticipates that its existing cash, cash equivalents, and marketable securities, along with operational cash flows, will be sufficient to meet its working capital and capital expenditure needs, as well as to service its debt obligations in the coming year.