EarningsQ3 2026 Earnings Report
MX:VRSN Q3 2026 EPS Results
Actual EPS$43.91
Consensus EPS$46.05
Beat/MissMissed by -$2.15
One Year Ago EPS$42.41
MX:VRSN Q3 2026 Revenue Results
Actual Revenue$8.28B
Expected Revenue$8.23B
Beat/MissBeat by +$45.25M
YoY Revenue Growth+5.70%
Earnings Announcement Details
QuarterQ3 2026
Date10/22/2026
TimeAfter Close
Conference CallThursday, October 22, 2026
MX:VRSN Upcoming Earnings
Verisign's next earnings date is estimated for February 11, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:VRSN Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was broadly positive, supported by record new registrations, 6.1% year-over-year domain base growth, 5.7% revenue growth, increased domain growth guidance, strong core DNS reliability, and progress toward launching .web and VeriSign Informed. The main challenges were lower renewal rates caused by mix, higher operating expenses from a $7.5 million asset-related loss, lower year-over-year cash flow, sequentially lower net income and EPS, and expected seasonal and mix-related renewal pressure in the fourth quarter.Company Guidance
Domain Name Base Reached 183 Million
The combined .com and .net domain name base totaled 183 million names at the end of the third quarter, up 6.1% year over year and 3.4 million from the prior quarter.
Record New Registrations
New registrations reached a record 13.1 million in the third quarter, compared with 12.7 million in the prior quarter and 10.6 million in the third quarter of last year. Management attributed the strength to registrar marketing programs, customer acquisition efforts, AI tools that make domain and website creation easier, new business formation, and continued growth in online services.
Strong Third-Quarter Revenue and Operating Income
Third-quarter revenue was $443 million, up 5.7% year over year. Operating income was $296 million, up $12 million, or 4.2%, from the prior year and flat sequentially.
Guidance Increased for Domain Base Growth
Based on performance through the first three quarters and expectations for the rest of the year, VeriSign increased and narrowed its 2026 domain name base growth guidance to between 6.5% and 7%.
Updated Full-Year Financial Guidance
Full-year 2026 revenue guidance is now $1.755 billion to $1.760 billion, while operating income guidance is $1.188 billion to $1.192 billion. Interest expense and net nonoperating income remain expected to be an expense of $59 million to $65 million, capital expenditures remain expected at $55 million to $65 million, and the GAAP effective tax rate remains expected at 22% to 25%.
Shareholder Returns and Capital Allocation
VeriSign returned $1.14 billion to shareholders over the last 12 months through share repurchases and dividends. The Board approved a quarterly cash dividend of $0.81 per share, and $1.36 billion remained authorized for share repurchases at quarter end.
Stable Liquidity Position
The company ended the quarter with $476 million in cash, cash equivalents, and marketable securities. Management said its financial and liquidity position remains stable.
Continued Reliability of Core DNS Infrastructure
VeriSign highlighted more than 29 years of uninterrupted global .com and .net DNS availability. The infrastructure processes approximately 800 billion DNS queries per day on average and returns cryptographically protected answers within milliseconds.
Regional and Registrar Demand Strength
The United States and EMEA were identified as the regions with the strongest growth during the third quarter. Registrars were described as successfully engaging with VeriSign's marketing programs and remaining focused on customer acquisition.
.web Launch Remains on Track
VeriSign is actively preparing for the .web launch. The planned 30-day sunrise period is expected to begin in mid-December, a limited registration period is planned to begin in mid-January and could run into early April 2027, and general availability is expected thereafter.
.web Provides Pricing and Marketing Flexibility
The .web registry agreement allows pricing flexibility, including premium names, and provides more flexibility in marketing and registrar engagement than the regulated .com and .net agreements. During the limited registration period, most .com registrants are expected to have an opportunity to register an exact-match .web domain.
VeriSign Informed Is Operational
VeriSign Informed, a security service designed to provide current information on whether digital certificates have been revoked, is fully operational in VeriSign's infrastructure. Management stated that all 2024 financial data and 2026 guidance already include the service's expenses.
VeriSign Informed Production Timing and Distribution
Pricing for VeriSign Informed is being finalized and is expected to be completed by year-end, with production service delivery expected in the first half of 2027. The service can be provisioned through VeriSign's existing registrar channel, PKI service providers, application vendors, or a self-service facility.
VeriSign Informed Targets Multiple Digital Credential Use Cases
The service is intended to support digital credentials used for corporate network access, secure email, secure software distribution and app updates, financial chip cards, and web certificates. Management said it is designed to support trust decisions at global scale using VeriSign's high-assurance infrastructure.
VeriSign Applied for the .pki TLD
VeriSign said it applied only for the .pki TLD, viewing it as closely aligned with the company's PKI history and its VeriSign Informed security services.
Long-Term Digital Adoption Tailwinds
Management cited continued growth in digital services, cloud service providers, businesses moving online, AI-enabled efficiency, agentic AI, and the enduring value of domain names as factors supporting the longer-term demand outlook.
.com Remains Competitively Priced
Management stated that the $0.71 .com wholesale price increase still leaves .com competitively priced relative to other generic TLDs, whose average prices were described as much higher.
Expected Revenue Timing from .com Price Increase
Management reiterated that approximately 50% of the .com price increase is expected to flow through revenue in 2027, with most of the remainder expected in 2028.
Consistent Renewal Performance by Cohort
First-time renewal rates remained fairly steady in the mid-40% range through the third quarter, while previously renewed names remained fairly steady in the mid-80% range. Management said there had not been a great deal of movement in either cohort.
Investment Grade Status Maintained as a Goal
Management noted that VeriSign achieved investment grade status in 2021 and intends to maintain it, while continuing disciplined capital allocation and selecting new services aligned with its risk tolerance and core competencies.
MX:VRSN Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed