# Fair Isaac Corporation (FICO) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-13  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/FICO/thesis · /stocks/FICO/memo

## Financial Snapshot

---
ticker: FICO
step: 04
generated: 2026-05-12
source: quick-research
---

### Fair Isaac Corporation (FICO) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2022 | FY2023 | FY2024 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | ~$1.38B | ~$1.52B | $1.72B | +13% |
| Gross Margin | ~78% | ~80% | ~80% | flat |
| Operating Margin | ~38% | ~42% | ~43% | +1pp |
| Net Income | ~$390M | ~$455M | $513M | +13% |
| EPS (diluted, GAAP) | ~$14.30 | ~$17.35 | $20.45 | +18% |

*FICO fiscal year ends September 30. FY2025 (ended Sept 30, 2025): Revenue $1.99B (+16%); gross margin ~82.2%; operating margin ~46.5%; net income $652M; GAAP EPS $26.54 (+30%). FY2026 guidance (full year ending Sept 30, 2026): Revenue $2.45B (+23%); GAAP EPS $35.60; Non-GAAP EPS $40.45.*
*The extraordinary EPS growth of 30–40%+ annually is driven by: (1) Scores price increases (mortgage score B2B price rose 800% over 3 years); (2) margin expansion; and (3) aggressive share buybacks reducing share count.*

#### Cash Flow & Balance Sheet (FY2025)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$850M |
| Free Cash Flow | $770M (+22% YoY) |
| FCF Margin | ~39% |
| Cash & Equivalents | ~$0.2B |
| Total Debt | ~$2.3B |
| Net Debt | ~$2.1B (~2.7x Adj. EBITDA) |

#### Key Ratios (approximate, FY2025/2026)
- P/E (GAAP FY2025): ~65–70x | P/E (Non-GAAP FY2026E): ~45x | EV/FCF: ~55–60x
- FCF Yield: ~1.7–2.0% | Revenue Growth: +16% (FY2025), +23% guided (FY2026)
- Gross Margin: ~82% | Operating Margin: ~47% (FY2025) | Scores Segment Op. Margin: ~88%+
- ROIC: ~41% | Share count: declining ~5% annually from buybacks

#### Growth Profile
FICO's revenue growth has accelerated from ~8–10% to ~13–23% due almost entirely to Scores price increases — not volume growth. Mortgage origination volumes have been depressed (high rates suppressing refinancing), so the 60%+ YoY jump in mortgage scores revenue (Q3 2025) was driven by the price increase from ~$0.60 to ~$4.95 per score pull. This pricing power reflects FICO's monopoly position but also creates political and regulatory exposure. Software/Platform is growing at ~10–15% organically with Platform ARR (+33%) accelerating. The combination of Scores price leverage + Software mix shift toward higher-margin Platform + buybacks creates a ~25–35% EPS CAGR that is extraordinary for a company of this maturity.

#### Forward Estimates
- **FY2026**: Revenue $2.45B (+23%); GAAP EPS $35.60; Non-GAAP EPS $40.45; FCF ~$950M+
- **FY2027+**: Revenue growth expected to moderate to ~10–15% as price increase cycle matures; Software/Platform growth sustains at ~15%; buybacks continue reducing share count ~5%/year
- **Capital Allocation**: FICO returns nearly all FCF via buybacks (no dividend); ~$750M–1B annually in repurchases

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/FICO/fundamental

## Navigation

- Overview: /stocks/FICO
- Financials (this page): /stocks/FICO/financials
- Thesis: /stocks/FICO/thesis
- Investment Memo: /stocks/FICO/memo
- Coverage universe: /stocks