Verisk's buyback-built EPS beat meets a court order to close the $2.35 billion AccuLynx deal

Verisk·+6.88% — Verisk, up 6.88 percent as of its last quote, the Jersey City analytics firm that prices risk for insurers, delivered the quarter its holders expect this morning: revenue of $809 million, up 5.3 percent↗, or 7.4 percent in organic constant currency, which strips out currency swings and acquisitions ¹. Adjusted EPS of $1.96 beat the $1.92 Zacks consensus by four cents ².

Guidance held at a $7.60 adjusted EPS midpoint, though StockStory scored the $7.45–7.75 range slightly short of the Street↗, and the stock rose 4.5 percent to $208.26, about 27 times that midpoint ³. The wires had framed the morning as a test with the AccuLynx acquisition still pending ⁴.

The cash under the beat

The same filing carries the other numbers. GAAP net income fell 2.8 percent to $219 million on net interest expense of $53 million, up from $42.2 million, and losses on cost-based investments ¹. Operating cash flow fell 33.8 percent to $267.2 million, and free cash flow fell 40.5 percent to $200 million, on higher cash taxes, collection timing and interest payments of $75.2 million, triple the prior year's $24.9 million ¹.

The 14 percent adjusted EPS growth is mostly the denominator ¹. Adjusted net income rose 5.4 percent to $253.8 million while diluted shares fell 7.7 percent, to 129.2 million from 139.9 million ¹.

CFO Elizabeth Mann's capital-return desk funded $1.9 billion of repurchases, about 10.5 million shares at an average $185.46, in nine months ¹. The 10-Q shows the plumbing↗: a $750 million draw on the revolving credit line, a facility borrowers draw and repay at will, repaid inside the quarter, plus a $500 million term loan and $999 million of new notes, against a stockholders' equity deficit of $1.11 billion ¹⁵.

A $2.35 billion order from Delaware

The AccuLynx bill sits behind all of it. On July 29, 2025 Verisk agreed to buy ExactLogix, which operates as AccuLynx↗ and sells job-management software to roofing contractors alongside Verisk's own Xactimate estimating tools, for $2.35 billion ⁵⁶. It terminated on December 26, 2025, after the Federal Trade Commission missed the review deadline, then redeemed the $1.5 billion of deal notes at 101 percent, a $33.9 million loss ⁵.

A deadline Verisk missed itself, and a court that would not look away

The missed deadline was self-inflicted, the court found: Verisk told the FTC it had never cut off integration talks with an AccuLynx competitor, and the FTC had evidence it had done exactly that with ServiceTitan·−0.74% — ServiceTitan, down 0.74 percent as of its last quote ⁶. Judge Bonnie David of Delaware's Court of Chancery entered a final order on August 14 requiring Verisk to keep pursuing FTC clearance and close; the Delaware Supreme Court affirmed on October 23↗ without adding new analysis ⁵⁸. Verisk says it will proceed, subject to FTC review, with no guarantee of closing↗ ⁶⁷.

What the cash has to cover

Cash on hand is $556.8 million and the undrawn revolving line holds $1,245.1 million ⁵. A closing at $2.35 billion implies fresh borrowing on interest expense already guided to $190–200 million for 2026 ¹.

The counterpoint belongs to Mann: nine-month free cash flow is down 10 percent, not 40, the drop reflects timing, collections and cash taxes, and subscriptions grew 8.2 percent in constant currency ¹. Watch fourth-quarter cash conversion, the FTC docket and the $700 million of buyback authorization still standing ¹. Each of those dollars now competes with a court-ordered $2.35 billion purchase ⁵⁶⁷.