VeriSign, Inc. (VRSN), the registry for .Com and .Net reported its financial results for the second quarter of 2014 after the market closed today and lets face it .com and net growth are basically stalled.
VeriSign, Inc. reported revenue of $250 million for the second quarter of 2014, up 4.6% from the same quarter in 2013.
Verisign reported net income of $100 million and diluted earnings per share (EPS) of $0.71 for the second quarter of 2014, compared to net income of $87 million and diluted EPS of $0.55 in the same quarter in 2013.
The operating margin was 57.2 percent for the second quarter of 2014 compared to 55.2 percent for the same quarter in 2013.
Second Quarter Non-GAAP Financial Results
Verisign reported, on a non-GAAP basis, net income of $96 million and diluted EPS of $0.68 for the second quarter of 2014, compared to net income of $92 million and diluted EPS of $0.58 for the same quarter in 2013.
Verisign ended the second quarter with cash, cash equivalents and marketable securities of $1.5 billion, a decrease of $178 million as compared with year-end 2013.
Cash flow from operations was $121 million for the second quarter compared with $147 million for the same quarter in 2013.
On July 23, 2014, the Board of Directors approved an additional authorization for share repurchases of approximately $491 million of common stock, which brings the total amount to $1 billion authorized and available under Verisign’s share buyback program, which has no expiration.
Verisign Registry Services added 0.42 million net new names during the second quarter, ending with 128.9 million active domain names in the zone for .com and .net, which represents a 3.7 percent increase over the zone at the end of the second quarter in 2013.
In the second quarter, Verisign processed 8.5 million new domain name registrations for .com and .net as compared to 8.7 million for the same period in 2013.
The final .com and .net renewal rate for the first quarter of 2014 was 72.6 percent compared with 73.2 percent for the same quarter in 2013. Renewal rates are not fully measurable until 45 days after the end of the quarter.
Verisign announced an increase in the annual fee for a .net domain name registration from $6.18 to $6.79, effective February 1, 2015, per its agreement with the Internet Corporation for Assigned Names and Numbers (ICANN).