01—Abstract
Summary
Summary of the 10-Q filed July 30, 2025. Cited figures are marked; the original filing is the authoritative source.
Verisk Analytics, Inc. reported second-quarter 2025 revenues of $772.6 milliona, up 7.8% from $716.8 million a year earlier, with underwriting revenue up 8.3% and claims revenue up 6.6%.
Operating income rose to $354.3 millionb from $318.7 million, but net income fell to $253.3 million from $307.8 million, as the prior-year period included large non-operating gains from the settlement of retained interests in past divestitures (investment gain of $99.8 million in Q2 2024 versus $9.1 million in Q2 2025) and a debt extinguishment gain. Diluted EPS was $1.81 versus $2.15, and EBITDA was $445.7 million versus $499.3 million, with EBITDA margin at 57.7% versus 69.7%. For the six months, revenues were $1,525.6 million (up 7.4%) and net income was $485.6 million versus $527.2 million.
Net cash provided by operating activities rose 16.3% to $689.2 millionc. Verisk issued $700.0 million of 5.250% senior notes due 2035, used $500.0 million to repay its 4.000% notes due 2025, and repurchased $300.1 million of common stock. Total debt rose to $3,250.2 million, and cash and cash equivalents increased to $628.7 million from $291.2 million at year-end 2024.
Subsequent to the quarter, the company completed the $162.5 milliond cash acquisition of SuranceBay on July 17, 2025, and on July 29, 2025 entered into a definitive agreement to acquire AccuLynx for $2.35 billion in cash, subject to customary closing conditions including regulatory approval. The filing also discloses ongoing litigation, including telematics class actions in which the company states it cannot reasonably estimate potential liability.
02—Key points
Key Highlights
- Revenues of $772.6 million for Q2 2025, up 7.8% from $716.8 million; underwriting up 8.3% and claims up 6.6%.
- Net income fell to $253.3 million from $307.8 million, reflecting prior-year investment gains of $99.8 million tied to settlements of retained interests from past divestitures.
- Operating income rose 11.2% to $354.3 million in Q2 2025, compared with $318.7 million in Q2 2024.
- Diluted EPS was $1.81 for Q2 2025 versus $2.15 in Q2 2024; EBITDA was $445.7 million versus $499.3 million, with EBITDA margin of 57.7% versus 69.7%.
- Issued $700.0 million of 5.250% senior notes due 2035 and repaid $500.0 million of 4.000% senior notes due 2025; total debt rose to $3,250.2 million.
- Repurchased $300.1 million of common stock in the six months ended June 30, 2025; $1,291.5 million remained available under the authorization.
- Subsequent events include the $162.5 million SuranceBay acquisition (completed July 17, 2025) and a definitive agreement to acquire AccuLynx for $2.35 billion in cash (July 29, 2025).
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q2 FY2025, Verisk Analytics kept $0.33.
- Revenue$772.6M100.0%
- Cost of revenue−$229.5M29.7%
- Gross profit$543.1M70.3%
- Operating costs−$188.8M24.4%
- Operating income$354.3M45.9%
- Interest, other & tax−$101.0M13.1%
- Net income$253.3M32.8%
04—Financials
Financial Highlights
Figures from 10-QQ2 FY2025filed July 30, 2025Financial Statements
Q2 FY2025 against Q2 FY2024
| Line item | Q2 FY2025Q2 FY2024 | Change |
|---|---|---|
| Revenue | $772.60M$716.80M | +7.8% |
| Cost of Revenue | $229.50M$219.40M | +4.6% |
| Gross Profit | $543.10M$497.40M | +9.2% |
| SG&A Expenses | $106.50M$101.50M | +4.9% |
| Operating Expenses | $418.30M$398.10M | +5.1% |
| Operating Income | $354.30M$318.70M | +11.2% |
| Net Income | $253.30M$308.10M | −17.8% |
| EPS (Basic) | $1.81$2.16 | −16.2% |
| EPS (Diluted) | $1.81$2.15 | −15.8% |
| Shares Outstanding (Basic) | 139.82M142.71M | −2.0% |
| Shares Outstanding (Diluted) | 140.34M143.29M | −2.1% |
05—Questions
Frequently Asked Questions
Why did net income decline despite higher revenue and operating income?
The prior-year quarter included a $99.8 million investment gain, largely from settling retained interests tied to past sales of the healthcare business in 2016 and the specialized markets business in 2022, plus a $3.6 million gain on early debt extinguishment. The Q2 2025 investment gain was only $9.1 million, so total other income swung from $74.3 million to negative $26.4 million.
How did revenue growth break down by category?
Underwriting revenue was $549.6 million, up 8.3% from $507.5 million, and claims revenue was $223.0 million, up 6.6% from $209.3 million. Excluding recent acquisitions and dispositions, total insurance revenue grew 8.4% in the quarter, and the filing attributes underwriting growth to annual price increases and expanded solutions in extreme event, specialty and life solutions.
How did the company change its capital structure in 2025?
In March 2025 it issued $700.0 million of 5.250% senior notes due 2035 and used part of the proceeds in April to repay $500.0 million of 4.000% senior notes due 2025. Total debt was $3,250.2 million at June 30, 2025, versus $3,061.1 million at December 31, 2024. The $1,000.0 million syndicated revolving credit facility had $995.4 million of available capacity.
What pending acquisition is most significant for investors?
On July 29, 2025, Verisk agreed to acquire AccuLynx, a SaaS platform for residential property contractors with roofing expertise, for $2.35 billion in cash. The filing states it will become part of property estimating solutions in the claims category, subject to customary closing conditions including regulatory approval.
What legal matters does the filing highlight?
The company faces telematics class action litigation involving General Motors, OnStar, LexisNexis, Hyundai and Verisk, alleging unauthorized sharing of driver behavior data; a Delaware commercial lawsuit over earn-out targets from the Data Driven Safety acquisition; a Nepalese tax indemnification claim; and a New Jersey Daniel's Law privacy suit. For each, the company states it is not possible to reasonably estimate the liability at this stage.
06—Continue