10-KPeriod: FY2025

FAIR ISAAC CORP Annual Report, Year Ended Sep 30, 2025

Filed November 7, 2025For Securities:FICO

Summary

Fair Isaac Corporation (FICO) reported strong financial performance for fiscal year 2025, with total revenues reaching $2.0 billion, marking a 16% increase year-over-year. This growth was primarily driven by a robust 27% increase in its Scores segment, which generated $1.2 billion in revenue. The Software segment also saw growth, with Annual Recurring Revenue (ARR) increasing by 4% to $747.3 million and a Dollar-Based Net Retention Rate (DBNRR) of 102%, indicating solid performance in its subscription-based software offerings. The company demonstrated improved profitability, with operating income rising 26% and net income increasing by 27% to $651.9 million, translating to a diluted EPS of $26.54. FICO also returned significant capital to shareholders through its stock repurchase program, repurchasing approximately $1.4 billion worth of shares in fiscal year 2025. The company's strategic focus on its FICO® Platform continues to drive innovation and expand its market reach, with platform-based ARR representing 35% of total software ARR. FICO continues to solidify its position as a leader in analytics software, with its FICO® Score remaining the industry standard for credit risk assessment. Key product developments in fiscal year 2025 included the launch of FICO® Score 10 BNPL and FICO® Score 10 T BNPL, incorporating Buy Now, Pay Later data to enhance credit scoring accuracy. The company also expanded its global presence with a FICO Score launch in Kenya. The robust financial results, coupled with ongoing product innovation and strategic investments in its FICO® Platform, position FICO for continued growth and value creation for its shareholders. The company's solid cash flow from operations and disciplined capital allocation, including significant share repurchases, underscore its financial health and commitment to shareholder returns.

Financial Highlights

51 data points
Beta

Revenue

$1.99B

82.2% Gross Margin

Net Income

$651.95M

32.7% Net Margin

EPS (Diluted)

$26.54

Total Assets

$1.87B

Cash & Equivalents

$134.14M

Free Cash Flow

$769.88M

Financial Statements
Beta
Revenue$1.99B
Cost of Revenue$353.72M
Gross Profit$1.64B
R&D Expenses$188.35M
SG&A Expenses$513.03M
Operating Expenses$1.07B
Operating Income$924.85M
Net Income$651.95M
EPS (Basic)$26.90
EPS (Diluted)$26.54
Shares Outstanding (Basic)24.24M
Shares Outstanding (Diluted)24.56M

Key Highlights

  • 1Total revenues grew 16% to $2.0 billion in fiscal year 2025.
  • 2Scores segment revenue increased 27% to $1.2 billion.
  • 3Software segment ARR grew 4% to $747.3 million with a DBNRR of 102%.
  • 4Operating income increased 26% to $924.9 million, and net income rose 27% to $651.9 million.
  • 5Diluted EPS reached $26.54, a 30% increase year-over-year.
  • 6The company repurchased $1.4 billion of its common stock in fiscal year 2025.
  • 7FICO® Platform ARR represents 35% of total software ARR, highlighting strategic platform growth.

Frequently Asked Questions

Fair Isaac Corporation (FICO) is a global analytics software leader. Its business is divided into two operating segments: Scores and Software. The Scores segment includes B2B scoring solutions (like the FICO® Score) and B2C scoring solutions (e.g., myFICO.com). The Software segment offers analytic and decision management solutions for various business needs, available as SaaS or on-premises, including solutions built on the FICO® Platform.

FICO experienced significant growth in fiscal year 2025, with total revenues up 16% to $2.0 billion. This was largely fueled by a substantial 27% revenue increase in the Scores segment, driven by higher unit prices and increased volume in mortgage originations. The Software segment also contributed positively with a 4% increase in ARR and a strong DBNRR of 102%, indicating effective customer retention and expansion.

FICO generated strong cash flow from operations, amounting to $778.8 million in fiscal year 2025. The company actively manages its capital structure, as evidenced by issuing $1.5 billion in senior notes and repaying term loans. Furthermore, FICO demonstrated a commitment to shareholder returns by repurchasing $1.4 billion of its common stock in fiscal year 2025 under its approved stock repurchase program.

FICO's core strategy involves advancing its FICO® Platform, which now represents 35% of its software ARR, enabling advanced analytics and decision-making for clients. Key product developments in fiscal year 2025 include the launch of FICO® Score 10 BNPL and FICO® Score 10 T BNPL, integrating Buy Now, Pay Later data into credit scoring. The company also expanded its international reach with a FICO Score launch in Kenya and introduced tools like the FICO® Score Mortgage Simulator to enhance consumer financial literacy.