Verisk Analytics, Inc.

What they do

Verisk collects and analyzes billions of records using proprietary and contributory data assets to provide solutions integrated into client workflows. Solutions take the form of proprietary data assets, statistical models, tailored analytics and software platforms, sold via hosted subscriptions, advisory/consulting services and transactional arrangements. In 2025, clients included all of the top 100 U.S. property and casualty insurance providers for the P&C lines Verisk serves. The company completed the sale of its Energy business on February 1, 2023.

Revenue drivers

• Hosted subscription solutions — Insurance revenues are predominantly subscription-based, with approximately 84% of first-half 2026 insurance revenues from hosted subscriptions under agreements generally running one to five years; these are typically paid quarterly or in full in advance.
• Advisory/consulting services — Verisk provides consulting engagements that help customers extract more value from its analytics, complementing subscription offerings.
• Transactional solutions — Recurring and non-recurring transactional arrangements, including solutions such as standardized coverage language, claims fraud database and actuarial services, generate revenue outside standard subscriptions.

Recent performance

For second quarter 2026, revenue was $806 million, up 4.3% reported and up 5.8% on an organic constant currency (OCC) basis, with underlying subscription growth of 8.0%. Net income was $229 million, down 9.8%, while adjusted EBITDA was $464 million, up 4.2% and up 7.4% on an OCC basis. Diluted GAAP EPS was $1.75, down 3.3%, and diluted adjusted EPS was $1.98, up 5.3%. Net cash provided by operating activities was $366 million, up 49.7%, and free cash flow was $298 million, up 57.9%. The company paid a $0.50 per share dividend on June 30, 2026 and executed a $200 million accelerated share repurchase program.

Strategy

Verisk aims to be the leading strategic data, analytics and technology partner to the global insurance industry, driving consistent and predictable growth through client relationships and expansion within insurance. It is modernizing core solutions with cloud technology, machine learning and AI, and adding new data assets while building leadership in adjacent spaces including life insurance, specialty business solutions, and resilience and sustainability. The company emphasizes operating efficiency and productivity through advanced technology and a global talent workforce. Capital allocation prioritizes organic reinvestment, then selective strategic acquisitions, with excess capital returned to shareholders.

Risks

• Competition — Verisk operates in highly competitive markets and may not compete effectively against rivals with greater resources or new entrants, particularly as it expands into new lines of business.
• Data source dependence — The company relies on data from external sources including customers and government records; it generally does not own this data, and contributors could discontinue or limit access or raise prices.
• Client concentration in insurance — Verisk serves all top 100 U.S. P&C insurers for its offered lines, so adverse conditions in the insurance industry or loss of major clients could materially affect results.
• Technology and AI execution — The strategy depends on deploying advanced technologies including AI and machine learning; failure to innovate or keep pace with changing client preferences and emerging technologies could weaken its competitive position.

Outlook

Management reaffirmed its financial outlook for 2026 and said growth should return to levels consistent with its Investor Day targets in the second half of the year. CFO Elizabeth Mann cited sequential acceleration in growth and confidence in the durability of the subscription model. CEO Lee Shavel pointed to continued investment in proprietary datasets and AI to support future growth.