FICO announced that more than 40 lenders, including community banks such as TLC Community Credit Union, Magnolia Bank, and William Raveis Mortgage, and the first HELOC lender, Spring EQ, have joined its Score 10T Adopter Program for non‑conforming mortgage loans.
The program offers Score 10T at no additional fee alongside the classic FICO Score and is projected to increase loan approvals by up to 5% while reducing delinquencies by up to 17% for participating lenders.
Score 10T is FICO’s most predictive model, leveraging trended data and validated by the Federal Housing Finance Agency for use by Fannie Mae and Freddie Mac. Its adoption signals a broader industry shift toward advanced analytics and trended‑data scoring, positioning FICO ahead of competitors such as VantageScore 4.0.
In its Q1 2026 earnings, FICO reported non‑GAAP earnings per share of $7.33, beating the consensus estimate of $7.07 by $0.26 (a 3.7% beat). Total revenue reached $512 million, surpassing the $500.72 million estimate by $11.28 million (a 2.2% beat). The Scores segment generated $305 million in revenue, up 29% year‑over‑year, driven by higher mortgage origination scores unit pricing and increased volume. The earnings beat was largely attributable to strict cost controls and pricing power in the Scores segment, which offset modest cost inflation in other areas.
Despite the earnings beat, FICO’s shares fell in after‑hours trading because the company reiterated its full‑year revenue guidance at $2.35 billion, below the analyst expectation of $2.441 billion. Investors focused on the guidance miss, which tempered enthusiasm for the strong quarterly performance.
Devin Norales, head of mortgage and capital markets at FICO, said the rapid adoption demonstrates lenders’ confidence in predictive insight and the ability to expand access to sustainable homeownership. CEO Will Lansing highlighted the direct‑licensing initiative, stating it will increase transparency, reduce mark‑ups, and give lenders more control over pricing.
The combination of widespread Score 10T adoption and robust Q1 results positions FICO to capture additional market share in the mortgage scoring space, but the cautious full‑year outlook signals management’s concern about near‑term macro conditions and the need to maintain profitability through disciplined cost management.
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