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A company that runs the internet's address book, Verisign operates the registries for .com, .net, .name, and .cc, and provides back-end services for .edu — the extensions behind most global e-commerce. It also maintains the DNS root zone and runs two of the thirteen global root servers, handling hundreds of billions of queries daily.
Verisign's .web TLD was delegated to the company, ending a multi-year dispute.
The TLD was delegated to Verisign, closing a multi-year dispute. rose 6.6% to $428.9M and rose 11.4% to $2.34 as the and domain base grew and price increases took hold. The company now operates .web alongside a deepening negative equity position of $2,213.4M.
Key takeaways
The TLD was delegated into the root zone with Verisign as registry operator, resolving the Independent Review Process against ICANN that had left the namespace undelegated since 2022. rose 6.6% to $428.9M in Q2 2026 and 6.6% to $863.5M in H1 2026, driven by price increases and a 5% rise in the domain name base to 179.1M registrations. rose 11.4% to $2.34 and rose 8.3% to $293.6M, with at 68.5% as cost of revenues rose only 2%. SG&A expenses rose 12% to $60.8M in Q2 on a $3.1M increase in tied to higher projected achievement on performance-based . fell 6.5% to $272.4M in Q2 from higher employee, vendor and tax payments and lower customer receipts, while H1 operating cash flow rose to $504.0M from $493.8M. The company repurchased $196.8M in shares in Q2 under a new $1.50B authorization effective July 23, 2026, and declared a $0.81 per share ; was negative $2,213.4M.
Section summaries
Management's Discussion and Analysis
Revenue rose 6% to $434.6M in Q2 2026, driven by .com price increases and domain base growth to 179.1M registrations.
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Revenues increased 6% to $434.6M in Q2 2026 and $863.5M in H1 2026, primarily due to .com price increases and a 5% rise in the domain name base to 179.1M registrations.
What changed
Q2 2026 and domain base: earlier filings flagged whether the 4% Q1 growth held; the base rose to 179.1M, up 5% , extending growth from the 2.6% 2025 annual print. : flagged after the deficit reached $2,154.2M; it deepened to negative $2,213.4M with the new July 2026 authorization in place. Afilias' second IRP: flagged for an ICANN decision after April 2026 briefing; the dispute resolved confidentially and .web was delegated to Verisign, ending the hold on NDC's application. China/APAC : flagged after four quarters without a disclosed China figure; this filing did not report a China or APAC revenue figure. November 1, 2026 .com wholesale fee increase to $10.97 was set in Q1 and remains pending contribution to FY2026 revenue.
What to watch
Q3 2026 and domain base print to confirm the 5% growth to 179.1M holds or accelerates. contribution from the November 1, 2026 .com wholesale fee increase to $10.97. Next print after the deficit deepened to negative $2,213.4M with the $1.50B July 2026 capacity. First revenue or registrations from the newly delegated TLD.
grew 6% to $296.3M in Q2 2026, with at 68.2%, as cost of revenues rose only 2% and R&D 7%, while SG&A jumped 12% on higher .
SG&A expenses increased 12% to $60.8M in Q2 2026, mainly from a $3.1M rise in tied to higher projected achievement on performance-based RSUs.
was $504.0M in H1 2026, up from $493.8M, helped by lower income tax and interest payments and higher customer receipts, partly offset by higher employee and vendor payments.
The company issued $550M of 2026 Notes and used proceeds plus cash to redeem $550M of 2017 Notes; share repurchases totaled $196.8M in Q2, with a new $1.50B authorization effective July 23, 2026.
A quarterly of $0.81 per share was declared, and the .web TLD was delegated into the root zone with Verisign as registry operator.
Disputes related to the award and delegation of the .web TLD to Verisign, including the Independent Review Process against ICANN, have been resolved. The terms of the resolution are confidential and not material to our financial statements. As a result of the resolution, the .we…
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Disputes related to the award and delegation of the .web TLD to Verisign, including the Independent Review Process against ICANN, have been resolved. The terms of the resolution are confidential and not material to our financial statements. As a result of the resolution, the .web TLD has been awarded and delegated to Verisign.
We are also involved in various investigations, claims and lawsuits arising in the normal conduct of our business, none of which, in our opinion, will have a material adverse effect on our financial condition, results of operations, or cash flows. We cannot assure you that we will prevail in any litigation. Regardless of the outcome, any litigation may require us to incur significant litigation expense and may result in significant diversion of management attention.
Our business, operating results, financial condition, reputation, cash flows or prospects can be materially adversely affected by a number of factors, including but not limited to those described in Part I, Item 1A of the 2025 Form 10-K under the heading “Risk Factors.” In such…
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Our business, operating results, financial condition, reputation, cash flows or prospects can be materially adversely affected by a number of factors, including but not limited to those described in Part I, Item 1A of the 2025 Form 10-K under the heading “Risk Factors.” In such case, the trading price of our common stock could decline and you could lose part or all of your investment. Additional risks and uncertainties not currently known to us or that we currently deem immaterial may also materially adversely affect our business, operating results, financial condition, reputation, cash flows and prospects. Actual results could differ materially from those projected in the forward-looking statements contained in this Form 10-Q as a result of the risk factors described in Part I, Item 1A of the 2025 Form 10-K and in other filings we make with the SEC. There have been no material changes to the Company’s risk factors since the 2025 Form 10-K.
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