Shares fell 1.4% after earnings, a roughly flat reaction that suggests investors took the quarter largely in stride. Domain growth guidance was raised, while lower year-over-year free cash flow and a modest decline in the expected renewal rate were counterpoints.
- The combined .com and .net base reached 183 million names, up 6.1% year over year; VeriSign raised its 2026 domain-base growth guidance to 6.5%–7%.
- Q3 new registrations were 13.1 million, versus 12.7 million last quarter and 10.6 million a year earlier. The expected renewal rate was 74.3%, down from 75.4% a year ago.
- Revenue rose 5.7% year over year to $443 million. Operating income increased 4.2% to $296 million; net income was $213 million, flat year over year, and diluted EPS was $2.35 versus $2.27.
- Free cash flow fell to $261 million from $303 million a year earlier, primarily due to higher cash taxes and payments to employees and vendors.
- Q3 included a $7.5 million pretax loss on assets held for sale, reducing EPS by $0.06. VeriSign’s full-year revenue guidance is $1.755 billion–$1.760 billion.
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