Fair Isaac Corporation Announces Unaudited Consolidated Earnings Results for the First Quarter Ended December 31 2017; Revises Earnings Guidance for the Full Year of Fiscal 2018
January 25, 2018 at 05:03 pm EST
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Fair Isaac Corporation announced unaudited consolidated earnings results for the first quarter ended December 31 2017. For the quarter, the company reported total revenue was $235.321 million against $219.600 million a year ago. Operating income was $39.904 million against $34.927 million a year ago. Income before income tax was $33.957 million against $28.655 million a year ago. Net income was $27.299 million against $37.901 million a year ago. Diluted earnings per share were $0.86 against $1.16 a year ago. Net cash provided by operating activities was $28.777 million against $32.978 million a year ago. Purchases of property and equipment were $4.044 million against $4.319 million a year ago. Non-GAAP net income was $41.145 million against $33.492 million a year ago. Non-GAAP diluted earnings per share were $1.30 against $1.03 a year ago. Free cash flow was $24.733 million against $28.041 million a year ago. The effective tax rate was about 20% this quarter.
The company revised earnings guidance for the fiscal 2018. The company expects revenue of $990 million. GAAP net income expected $136 million or $4.34 per diluted share against $119 million or $3.71 per diluted share of previous guidance. Non-GAAP net income expected $191 million or $6.09 per diluted share against $171 million or $5.32 per diluted share of previous guidance. The company expects a reduction in tax expense of $14.0 million as a result of a tax rate change from tax reform legislation. The company expects Operating margin to be between 26.5% and 28% for the full year. It anticipate a reduction in tax rate will result in a savings in fiscal 2018 of about $14 million. The company still evaluating the long-term impact of the tax reform but expect cash rate to be in the low to mid-20s over the remainder of 2018.
Fair Isaac Corporation (FICO) specializes in the development and marketing of online software solutions for businesses and financial institutions. Net sales break down by family of products as follows:
- consumer credit rating and risk assessment solutions (51.3%);
- decision analysis and optimization solutions (48.7%).
Net sales are distributed geographically as follows: Americas (85%), Europe/Middle East/Africa (9.4%) and Asia/Pacific (5.6%).
Fair Isaac Corporation Announces Unaudited Consolidated Earnings Results for the First Quarter Ended December 31 2017; Revises Earnings Guidance for the Full Year of Fiscal 2018