After the market closed today Verisign (NASDAQ: VRSN) reported earnings for the third quarter ended Sept. 30, 2011.
VeriSign, Inc. reported revenue of $197 million for the third quarter of 2011, up 4% from the prior quarter and up 14% from the same quarter in 2010.
As you can see below the quarter closed with over 112 Million domains registered and Verisign having over $1.2 Billion in the bank:
Verisign reported net income of $59 million and diluted earnings per share of $0.36 for the third quarter of 2011. This is compared to net income attributable to Verisign stockholders of $785 million and earnings per share attributable to Verisign stockholders of $4.48 on a diluted basis in the same quarter in 2010, which included a net gain of $737 million, net of tax of $244 million, on the sale of the Authentication Services business.
The operating margin was 45.2% for the third quarter of 2011 compared to 34.8% for the same quarter in 2010.
Financial Highlights
- During the third quarter of 2011, Verisign repurchased approximately 7.9 million shares of the company’s common stock for a cost of $235 million.
- Verisign ended the third quarter of 2011 with Cash, Cash Equivalents, Marketable Securities and Restricted Cash of $1.239 billion, a decrease of $160 million from the prior quarter and a decrease of $1.313 billion from the same quarter in 2010.
- Cash flow from operations was $108 million for the third quarter of 2011.
- Deferred revenues ended the third quarter of 2011 totaling $723 million, an increase of $9 million from the prior quarter and $69 million from the same quarter in 2010.
Business and Corporate Highlights
- Verisign Registry Services ended the quarter with 112 million active domain names in the adjusted zone for .com and .net, representing an 8% increase year-over-year.
- In the third quarter of 2011, Verisign processed 7.9 million new domain name registrations, representing a 6% increase year-over-year.
- On Sept. 26, 2011 Verisign announced that the company had appointed John Calys, vice president and controller to the additional position of interim chief financial officer.
- Verisign ended the third quarter of 2011 with 1,010 employees, compared to 1,040 at the end of the prior quarter.
Sure makes it easier when they continuously & blatantly engage in monoplistic pricing increase practices…enabled by ICANN’t … Ugggg !
Especially annoying is that we have been mostly in a deflationary environment as well as a bad economy over the past few years and Verisign has unabasedly been jacking up base prices on domains…with the next incease coming in just over 2 months…..$#!+
Then the icing on the cake is that their buddies over at ICANN’t just this week authorized Pay Increases for top staff and set new Bonus guidelines/goals for CEO Rod Beckstrom….with most of the money coming out of our pockets unjustifiably… including having meetings at expensive and/or exotic places…. Dang !!!
Good Night & Good Luck !
I’ve heard of a $280mm pile of capital run by 3 men, who are planning to compete with Verisign in the near-term. Domain prices will plummet, one-digit extensions are on the way…
So why do they need to raise .com and .net prices in Jan 2012.
Because they can
Impressive Figure and information but not surprising.