Earnings call analysis

Fair Isaac (FICO) Q4 FY2026 Earnings Call: Highlights and Analysis

FICO reported record fiscal 2026 results with $2.535 billion in revenue, though management declined to provide fiscal 2027 guidance due to ongoing mortgage pricing transitions.

Call date

Nov 4, 2026

Management tone

Positive +6

Sector

Information Technology, Software

Next report

Jan 27, 2027

View calendar

Key takeaways

FICO achieved record fiscal 2026 results with $2.535 billion in revenue, up 27% year-over-year.
Scores segment revenue reached $1.652 billion for the full year, representing a 41% increase.
Software segment revenue grew 19% in Q4 to $243 million, with platform revenue up 84%.
The company repurchased $3.028 billion of stock in fiscal 2026, representing about 10% of shares outstanding.
Management launched the FICO preferred program to offer lenders price certainty and access to FICO Score 10T.
The company is currently in a pricing transition for mortgage originations and declined to provide fiscal 2027 guidance.

Q4 FY2026 results

Metric	Result	Change
Q4 Revenue	$657 million	up 27%
Full Year Revenue	$2.535 billion	up 27%
Q4 GAAP EPS	$8.12	up 26%
Q4 Non-GAAP EPS	$11.10	up 43%
Q4 Free Cash Flow	$284 million	Not stated

Guidance and outlook

We are not providing fiscal year 2027 guidance at this time.

How management sounded

Positive (+6 on our -10 to +10 scale). Management highlighted record financial performance and strong software growth but opted against fiscal 2027 guidance due to ongoing mortgage pricing negotiations and market uncertainty. Management sounded more upbeat than on 8% of the 190 calls we cover; most companies sound positive on their own calls, so the comparison says more than the label.

Q&A summary

Mortgage Pricing

Asked: Analysts asked about the popularity and structure of the preferred program.

Answer: Management stated the program is popular and provides price certainty, but declined to share specific pricing or adoption details to maintain competitive flexibility.

FICO Score 10T

Asked: Analysts asked about the timeline for 10T implementation and GSE approval.

Answer: Management noted 10T is approved but awaiting final implementation by GSEs, while FHA will begin using it on January 1, 2027.

Software Growth

Asked: Analysts asked about the drivers of the 72% platform ARR growth.

Answer: Management attributed the strength to strong product-market fit, successful land-and-expand strategies, and increased adoption across the customer life cycle.

Capital Allocation

Asked: Analysts asked about the timeline for resuming share repurchases.

Answer: Management confirmed they are currently prioritizing debt repayment to lower leverage but intend to return to share repurchases as a primary use of cash.

What to watch before the next call

Final implementation and GSE approval status for FICO Score 10T.
Updates on mortgage pricing program uptake and the transition to bespoke customer agreements.
The impact of the restructuring program on fiscal 2027 operating expenses and margins.

More Dombey coverage of FICO

Fair Isaac (FICO) Stock: Why It Fell 8% on Flat Mortgage Pricing

Frequently asked questions

Did FICO provide fiscal 2027 guidance?

No, management declined to provide fiscal 2027 guidance due to ongoing mortgage pricing transitions and market uncertainty.

What was the revenue growth for FICO in Q4 2026?

FICO reported Q4 revenues of $657 million, which was up 27% over the prior year.

What is the status of FICO Score 10T?

FICO Score 10T is currently under review for implementation by the GSEs, though the FHA has announced it will be available for approved lenders beginning January 1, 2027.

Sources and method

Dombey's summary of the Fair Isaac Q4 FY2026 earnings call held Nov 4, 2026, written from the call itself. Every figure on this page was checked against what was said on the call; we do not add estimates or prices. The tone score is our read of management's wording, guidance and answers. Check figures against the company's SEC filings before acting. This is research, not investment advice.

Updated Nov 8, 2026. All earnings call analyses

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