Scores segment revenues increased to $235.675 million, a 23% increase compared to $192.112 million in the prior year. This growth was primarily attributable to a higher unit price and an increase in volume of mortgage originations.

Software segment revenues increased to $204.293 million, an 8% increase compared to $189.947 million in the prior year. This growth was primarily attributable to an increase in license revenue recognized at a point in time due to a large license renewal and an increase in revenue recognized over time largely driven by SaaS growth for our Platform products.

ARR for on-premises and SaaS software reached $729.3 million, a 6% increase compared to the prior year. This growth reflects continued adoption of FICO's subscription-based offerings.

Operating income increased to $179.528 million, a 19% increase compared to $151.359 million in the prior year. This increase reflects strong revenue growth and improved operating efficiency.

The DBNRR indicates that FICO is successfully retaining and growing revenue from its existing software customers. This metric demonstrates the effectiveness of FICO's customer relationship management and product offerings.

FICO is a defendant in consolidated putative class action lawsuits alleging antitrust claims in connection with the distribution of FICO Scores. While some claims have been dismissed, a Sherman Act Section 2 claim and accompanying state law claims against FICO were allowed to proceed through the discovery stage of the litigation.

FICO has interest rate risk with respect to its unsecured revolving line of credit and term loans. Interest rates on amounts borrowed under the revolving line of credit and term loans are based on variable rates, which could increase interest expense if rates rise.

FICO expended $159.7 million during the quarter ended December 31, 2024 under the July 2024 stock repurchase program. This demonstrates management's commitment to returning capital to shareholders.

In July 2024, the Board of Directors approved a new stock repurchase program authorizing repurchases of shares of common stock from time to time up to an aggregate cost of $1.0 billion in the open market or in negotiated transactions.