857b0d988cfe9729a666b985e75317eab445bbf8a9cb835121f29ed33450956c

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

07530f8cc6fe9a4ae6a2cf8f3443c24d70540ca2158072b8bd1ae4337fc80078

Insurance

- Underwriting

- Underwriting & Rating

- Claims

Specialized Markets

Energy and Specialized Markets

Financial Services

Healthcare

Industry-standard Insurance Programs

Property-specific Rating and Underwriting Info

Total Revenue

0640e9e5d3e27d1cf025fc6f8d997c21a2cce903deb0221c09636714f1ca7ad5

United States

United Kingdom

Other countries

- Revenues from countries outside of the U.S. (%)

5feaec2ca6bb6406606c08b065fc4fc9c9e66621102175ba67fcce7e367095b0

Year-over-year underwriting revenue growth (percentage)

Year-over-year underwriting revenue growth excluding recent acquisitions (percentage)

Year-over-year claims revenue growth (percentage)

Year-over-year claims revenue growth excluding recent acquisitions (percentage)

Year-over-year total insurance revenue growth (percentage)

Year-over-year total insurance revenue growth excluding recent acquisitions (percentage)

fa47b023e6a400abc04b09087a9de723f292b34f5278cd25a73b6a763201b4d4

131c2a1121efd7bfe659c3e2d9665f965e4521bc094bb02a2306368a5d646793

Net cash provided by operating activities (USD, millions)

Net cash (used in) provided by investing activities (USD, millions)

Net cash used in financing activities (USD, millions)

Net (decrease) increase in cash and cash equivalents (USD, millions)

Income taxes paid (USD, millions)

Interest paid (USD, millions)

Cash and cash equivalents, end of period (USD, millions)

34a4aa3c38c083e3ff3c6a896000d74c269eb6f2fc4048d284523f58ad8f6954

32be78dafb98ed55a481efb006188fc3e53d52b57e2aba0599cea89ed5ff23e4

The large increase in cash and cash equivalents in Q2 2024 was driven by multiple factors. **Proceeds from the settlement of investments** added **$112 million** to cash, while **net cash provided by operating activities** contributed **$211.7 million** through strong operational performance.  **[VRSK_3395274_6]** **[0001437749-24-023984_ex_687125.htm:9]**  Additionally, **financing activities**, including the issuance of **$600 million in senior notes** and the tendering of **$400 million in notes**, further boosted the cash balance, despite outflows from **capital expenditures** of **$57.8 million** and **share repurchases** of **$350 million**.  **[0001437749-24-023985_vrsk20240630_10q.htm:39]** **[VRSK_3395274_5]** **[0001437749-24-023984_ex_687125.htm:9]** 

What drove the large increase in cash and cash equivalents in Q2 2024?

The short-term debt spiked dramatically in **Q2 2024** because **Verisk Analytics** reclassified **$499.3 million** of **4.000% senior notes** (maturing on **June 15, 2025**) from long-term debt to short-term debt as the maturity date approached.  **[0001437749-24-023985_vrsk20240630_10q.htm:2]** **[0001437749-24-023985_vrsk20240630_10q.htm:15]** 

Why did the short-term debt spike so dramatically in Q2 2024?

The significant drop in total assets by FY 2023 was mainly due to the **sale of the Energy Business**, which resulted in the removal of **$2,728.6 million** in noncurrent assets held-for-sale and **$362.6 million** in current assets held-for-sale. In addition, although there was a modest increase in cash and cash equivalents and only slight changes in intangible assets and goodwill, these factors were not enough to counterbalance the substantial asset removal from the divestiture. This strategic reorganization aimed to focus more on core insurance analytics operations led to the sharp decline in total assets.  **[0001437749-24-004939_vrsk20231231c_10k.htm:92]** **[0001437749-24-004939_vrsk20231231c_10k.htm:125]** 

What led to the significant drop in total assets by FY 2023?

The surge in **Total Stockholders’ Equity** in Q2 2024 was primarily driven by a **strong net income of $527.7 million** which significantly boosted retained earnings. This positive impact was partially offset by a **common stock dividend of $111.3 million** and **treasury stock repurchases of $387.7 million**. Additionally, adjustments from treasury stock transfers related to exercised stock options and restricted stock awards (adding **$62.9 million** and **$2.1 million**, respectively), as well as a **stock-based compensation expense of $25.6 million**, further contributed to the net increase, despite a **$15.5 million accumulated other comprehensive loss** and a **$7.2 million reduction in noncontrolling interests**.  **[0001437749-24-023985_vrsk20240630_10q.htm:5]** 

What caused the surge in total stockholders’ equity in Q2 2024?

4e814e5b0ac83721edf8a37c813959dbddb870e1a15af2334e6b996130e49dde

Operating Cash Flow in Q2 2024 increased primarily because the company experienced **higher operating profit** during the quarter, which boosted the net cash provided by operating activities by approximately **$18.8 million (9.7%)** compared to Q2 2023. Additionally, while there was a **$37.0 million payment** related to a Department of Justice inquiry that partially offset the increase, the overall improvement in operating performance was the main driver of the increase.  **[0001437749-24-023985_vrsk20240630_10q.htm:41]** **[0001437749-24-023985_vrsk20240630_10q.htm:40]** 

Why did Operating Cash Flow increase in Q2 2024?

The large swing in investing cash flows in Q4 2023 was primarily driven by the **proceeds from the sale of its Energy business**, which generated **$3,066.4 million** in inflows. This major inflow, compared to the more modest asset sales in previous periods, substantially boosted cash from investing activities. Additionally, **capital expenditures of $230.0 million** and **acquisitions and escrow funding expenses of $87.1 million** partially offset this inflow, contributing to the overall net cash change in the period.  **[0001437749-24-004939_vrsk20231231c_10k.htm:65]** **[0001437749-24-014064_vrsk20240331_10q.htm:36]** 

What drove the large swing in investing cash flows in Q4 2023?

The financing cash outflows spiked in **Q4 2023** primarily due to a combination of significant financing activities. These included **share repurchases** totaling **$2,762.3 million**, substantial **debt repayment** of **$1,265.0 million**, and **dividend payments** amounting to **$196.8 million**. Although there were **proceeds from stock options exercised** of **$141.9 million** that helped offset some of the outflows, the net result was a dramatic increase in cash used for financing, reaching **$3,786.5 million** overall.  **[0001437749-24-004939_vrsk20231231c_10k.htm:96]** **[0001437749-24-004939_vrsk20231231c_10k.htm:65]** 

Why did financing cash outflows spike in Q4 2023?

The jump in net cash change in Q2 2024 was primarily driven by improvements across all cash flow activities. **Operating activities** generated higher cash flow, increasing from **$192.9 million** in Q2 2023 to **$211.7 million** in Q2 2024. **Investing activities** turned positive, as the company received **$112.1 million** upon settlement of retained interests—resulting in a net cash inflow of **$56.1 million** compared to a **$108.3 million** outflow in Q2 2023—despite ongoing capital expenditures of **$57.8 million**. Additionally, **financing activities** saw a drastic reduction in cash outflow, with lesser repurchases of common stock and lower debt repayments, resulting in cash used of **$242.5 million** in Q2 2024 versus **$3,405.0 million** in Q2 2023.  **[0001437749-24-023984_ex_687125.htm:9]** **[0001437749-24-023985_vrsk20240630_10q.htm:41]** **[0001437749-24-023984_ex_687125.htm:9]** **[0001437749-24-014063_ex_631742.htm:8]** 

What led to the significant jump in net cash change in Q2 2024?

7aed4b36225959742af520bb4313807af8456c388a5d29685821142740664cda

Verisk Analytics Inc (VRSK)

Financials