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Fair Isaac Corporation’s $1.96 Billion Buyback: Bold Move Or Balance-Sheet Risk?

Fair Isaac Corporation (FICO) reported strong financial results for its third quarter of fiscal year 2026, with revenue reaching $674 million—a 26% increase year-over-year. The company’s GAAP net income rose 30% to $237 million, while GAAP earnings per share reported a 41% growth to $10.45. Non-GAAP metrics showed similar gains, with net income up 31% and earnings per share increasing 42% compared to the prior year. Free cash flow for Q3 totaled $370 million, reflecting a 28% increase over the previous four-quarter period. Notably, FICO executed substantial share repurchases during the quarter, totaling $1.96 billion, marking over three times the previous record. Segment-wise, the Scores business led revenue growth with $459 million, up 41% year-over-year, driven primarily by gains in B2B Scores amid a 49% increase in B2B revenue and a 5% increase in B2C revenues.