ATLANTA, Nov. 7, 2024 /PRNewswire/ -- Equifax® (NYSE: EFX) today announced that Mark W. Begor will continue to serve as Chief Executive Officer (CEO) beyond the current expiration of his employment agreement in 2025."Over the last 6 years, Mark has provided a clear vision and strong, decisive leadership for Equifax. He has delivered strong financial results in the face of challenging economic conditions, growing revenue by 50% since 2018 despite a decline in the mortgage market of 34% in 2022 and 2023 and d ...

Core Insights - Equifax Canada has launched the Global Consumer Credit File to assist lenders in making informed credit lending decisions for newcomers to Canada [1][4] - The initiative aims to create a calibrated credit score using the credit histories of newcomers from their countries of origin, addressing the issue of thin credit files [2][3] Group 1: Newcomers and Credit Access - Canada is projected to welcome 500,000 new immigrants annually by 2025, many of whom have limited or no credit history recognized by Canadian financial institutions [2] - Newcomers often face challenges in accessing financial services such as credit cards and mortgages due to their thin credit files, which are generally defined as having two or fewer credit lines [2][3] Group 2: Global Consumer Credit File Features - The Global Consumer Credit File allows newcomers to leverage their international credit profiles, providing a secure connection to Equifax Consumer Credit bureaus worldwide [3] - The service will initially include credit information from India, with plans to expand to Brazil, Argentina, and Chile, ultimately covering 18 countries [3] Group 3: Company Commitment and Economic Impact - Equifax Canada aims to support the Canadian financial ecosystem by providing lenders with access to trusted global data, thereby expanding credit opportunities for newcomers [4][5] - The company emphasizes the importance of financial inclusion, stating that it is about creating opportunities for everyone to succeed and contribute to the economy [5]

My previous investment thought about Equifax (NYSE: EFX ) (published on 23 rd July) was a buy rating because I expected growth to accelerate back to high single-digit percentages and that the business FCF profile will get better. EFXI focus on long-term investments while incorporating short-term shorts to uncover alpha opportunities. My investment approach revolves around bottom-up analysis, delving into the fundamental strengths and weaknesses of individual companies. My investment duration is the medium t ...

Financial Performance - Operating revenue for the nine months ended September 30, 2024, was $4,261.7 million, an increase from $3,938.7 million in the same period of 2023, representing a growth of approximately 8.2%[7] - Operating income increased to $754.0 million for the nine months ended September 30, 2024, compared to $688.5 million in 2023, reflecting a growth of about 9.5%[7] - Net income attributable to Equifax for the nine months ended September 30, 2024, was $430.1 million, up from $412.9 million in 2023, indicating an increase of approximately 4.2%[7] - Basic earnings per share for the nine months ended September 30, 2024, was $3.48, compared to $3.36 in 2023, marking a rise of about 3.6%[7] - Consolidated net income for the nine months ended September 30, 2024, increased to $433.9 million, up from $417.2 million in 2023, representing a growth of approximately 5.0%[11] - Cash provided by operating activities reached $999.7 million, compared to $794.7 million in the same period of 2023, reflecting a significant increase of about 25.8%[11] - Total operating revenue for Q3 2024 reached $1,441.8 million, a 9.2% increase from $1,319.1 million in Q3 2023[80] Assets and Liabilities - Total current assets as of September 30, 2024, were $1,653.1 million, an increase from $1,356.3 million at the end of 2023, representing a growth of approximately 21.9%[10] - Total liabilities decreased to $7,297.7 million as of September 30, 2024, from $7,592.5 million at the end of 2023, a reduction of about 3.9%[10] - Cash and cash equivalents increased significantly to $468.2 million as of September 30, 2024, compared to $216.8 million at the end of 2023, reflecting a growth of approximately 116.5%[10] - Total debt outstanding as of September 30, 2024, was $5,500.5 million, a decrease from $5,741.6 million as of December 31, 2023[54] - The fair value of long-term debt as of September 30, 2024, was $5.4 billion, slightly up from $5.3 billion as of December 31, 2023[25] Shareholder Equity - Total shareholders' equity increased to $4,926.1 million as of September 30, 2024, from $4,552.4 million at the end of 2023, indicating a growth of approximately 8.2%[10] - Total shareholders' equity as of September 30, 2024, was $4,926.1 million, an increase from $4,712.8 million at the end of June 2024, indicating a growth of approximately 4.5%[12] - As of September 30, 2023, total shareholders' equity increased to $4,309.1 million from $3,973.3 million as of December 31, 2022, reflecting a growth of approximately 8.4%[16] Cash Flow and Dividends - Cash dividends paid to Equifax shareholders totaled $144.8 million for the nine months ended September 30, 2024, slightly up from $143.7 million in 2023[11] - The company reported cash dividends of $144.4 million, with a dividend payout of $1.17 per share[16] - The company experienced a net increase in cash and cash equivalents of $251.4 million, compared to an increase of $127.4 million in the same period of 2023, representing a growth of approximately 97.1%[11] Capital Expenditures and Investments - The company reported capital expenditures of $392.6 million for the nine months ended September 30, 2024, down from $455.6 million in the previous year, showing a decrease of about 13.8%[11] - The company completed the acquisition of Boa Vista Serviços, resulting in an increase in paid-in capital by $75.3 million[16] - The company acquired the remaining interest in BVS for approximately $510 million in cash and shares on August 7, 2023[46] Revenue Segmentation - Verification Services revenue increased by 14% to $524.9 million for the three months ended September 30, 2024, compared to $459.3 million in the prior year[44] - Employer Services revenue decreased by 19% to $95.1 million for the three months ended September 30, 2024, down from $117.9 million in the same period of 2023[44] - Total U.S. Information Solutions revenue increased by 12% to $476.9 million for the three months ended September 30, 2024, compared to $426.0 million in the same period of 2023[44] - The International segment reported operating revenue of $344.9 million in Q3 2024, an increase from $315.9 million in Q3 2023[80] Operational and Strategic Initiatives - The company continues to focus on enhancing its information technology and data security infrastructure as part of its cloud data and technology transformation strategy[4] - Restructuring charges in Q3 2024 amounted to $41.6 million, with $29.5 million net of tax, related to resource realignment and technology transformation efforts[73] Tax and Regulatory Matters - The effective income tax rate for Q3 2024 was 26.4%, up from 13.9% in Q3 2023, primarily due to a write-off of a deferred tax liability related to the acquisition of BVS[71] - The Consumer Financial Protection Bureau is investigating the company's consumer disputes process, with potential civil penalties being discussed[60] Other Comprehensive Income - The company reported an accumulated other comprehensive loss of $(465.1) million as of September 30, 2024, compared to $(544.3) million at the end of June 2024, reflecting an improvement of about 14.5%[12] - Accumulated other comprehensive loss increased to $(465.1) million as of September 30, 2024, from $(431.2) million at the end of 2023[72]

Core Viewpoint - Equifax's international revenue performance is crucial for understanding its financial resilience and growth prospects in a globally interconnected economy [1][2]. Group 1: Financial Performance - Equifax reported total revenue of $1.44 billion for the quarter, reflecting a 9.3% increase year-over-year [2]. - The company is projected to achieve total revenue of $1.45 billion in the current fiscal quarter, indicating a 9.4% increase from the same quarter last year [5]. - For the full year, Equifax is expected to reach total revenue of $5.73 billion, representing an 8.8% rise from the previous year [5]. Group 2: International Revenue Breakdown - Latin America generated $96.7 million in revenue, accounting for 6.7% of total revenue, but fell short of the $101.69 million expected by analysts, marking a -4.91% surprise [3]. - Asia Pacific contributed $88.5 million, or 6.1% of total revenue, exceeding expectations by +1.65% compared to the forecast of $87.06 million [3]. - Canada accounted for $64.8 million in revenue, representing 4.5% of total revenue, which was a -5.5% surprise against the expected $68.57 million [4]. - Europe contributed $94.9 million, making up 6.6% of total revenue, slightly surpassing the consensus estimate of $93.78 million with a +1.19% surprise [4]. Group 3: Future Revenue Expectations - For the upcoming fiscal quarter, revenue contributions are anticipated to be 7.5% from Latin America ($108.89 million), 5.9% from Asia Pacific ($86.16 million), 4.7% from Canada ($68.85 million), and 7% from Europe ($101.11 million) [5]. - The projected revenue shares for the full year include Latin America at 7% ($398.97 million), Asia Pacific at 5.9% ($336.03 million), Canada at 4.8% ($272.42 million), and Europe at 6.5% ($369.29 million) [5]. Group 4: Market Context - The company's reliance on international markets presents both opportunities and challenges, necessitating close monitoring of international revenue trends to project future directions [5][6]. - Equifax's stock has seen a decline of 5.7% over the past month, contrasting with a 4.5% increase in the S&P 500 composite [7].

Equifax Inc. (NYSE:EFX) Q3 2024 Earnings Conference Call October 17, 2024 8:30 AM ET Company Participants Trevor Burns - Senior Vice President, Head of Corporate Investor Relations Mark Begor - Chief Executive Officer John Gamble - Chief Financial Officer Conference Call Participants Manav Patnaik - Barclays Kelsey Zhu - Autonomous Research Andrew Nicholas - William Blair Surinder Thind - Jefferies Kyle Peterson - Needham & Company Scott Wurtzel - Wolfe Research Kevin McVeigh - UBS Jason Haas - Wells Fargo ...

Core Viewpoint - Equifax Inc. reported mixed third-quarter 2024 results, with earnings exceeding estimates while revenues fell short [1][2]. Financial Performance - Adjusted earnings were $1.8 per share, surpassing the Zacks Consensus Estimate and increasing by 5.1% year-over-year [2]. - Total revenues reached $1.4 billion, missing consensus estimates but growing by 9.3% compared to the previous year [2]. Segment Performance - Workforce Solutions segment revenues totaled $620 million, a 7% increase year-over-year, exceeding expectations [3]. - USIS segment revenues were $476.9 million, growing 12% year-over-year and also surpassing forecasts [3]. - International division revenues amounted to $344.9 million, up 9% year-over-year but missing expectations [3]. Regional Performance - Latin America's revenues increased by 21% year-over-year, while Europe and Asia Pacific saw increases of 11% [4]. - Canada's revenues remained flat compared to the previous year [4]. Operating Results - Adjusted EBITDA for Q3 2024 was $471.9 million, an 8% increase year-over-year, with an adjusted EBITDA margin of 32.7% [5]. - The adjusted EBITDA margin for Workforce Solutions was 51.6%, while USIS and international segments reported margins of 33.9% and 27.7%, respectively [5]. Balance Sheet & Cash Flow - Cash and cash equivalents at the end of Q3 were $468.2 million, significantly up from $181.9 million at the end of Q2 [6]. - Long-term debt remained stable at $4.7 billion, with cash generated from operating activities amounting to $479.5 million [6]. Guidance - For Q4 2024, revenue guidance was raised to $1.44-$1.46 billion, with adjusted EPS guidance increased to $2.08-$2.18 [6]. - For the full year 2024, revenue guidance was updated to $5.70-$5.72 billion, and adjusted EPS guidance was revised to $7.25-$7.35 [7].

Equifax (EFX) reported $1.44 billion in revenue for the quarter ended September 2024, representing a yearover-year increase of 9.3%. EPS of $1.85 for the same period compares to $1.76 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $1.44 billion, representing a surprise of -0.14%. The company delivered an EPS surprise of +0.54%, with the consensus EPS estimate being $1.84. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Stree ...

Equifax (EFX) came out with quarterly earnings of $1.85 per share, beating the Zacks Consensus Estimate of $1.84 per share. This compares to earnings of $1.76 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of 0.54%. A quarter ago, it was expected that this credit reporting company would post earnings of $1.72 per share when it actually produced earnings of $1.82, delivering a surprise of 5.81%. Over the last four quarters, the c ...

[Executive Summary](index=1&type=section&id=Executive%20Summary) Equifax reported strong Q3 2024 revenue growth, driven by non-mortgage local currency revenue and strategic Cloud and AI/ML initiatives [Third Quarter 2024 Highlights](index=1&type=section&id=Third%20Quarter%202024%20Highlights) Equifax reported Q3 2024 revenue growth of 9% to $1.442 billion, driven by non-mortgage local currency revenue and strong Verification Services performance | Metric | Q3 2024 | Growth (YoY) | | :----- | :------ | :----------- | | Total Revenue | $1.442 billion | 9% | | Non-Mortgage Local Currency Revenue Growth | - | 10% | | Workforce Solutions Non-Mortgage Revenue Growth | - | 9% | | Verification Services Non-Mortgage Revenue Growth | - | 19% | | USIS Mortgage Revenue Growth | - | 36% | | Overall U.S. Mortgage Revenue Growth | - | 17% | | International Local Currency Revenue Growth | - | 18% | | New Product Vitality Index | - | 13% | | New Models/Scores built with AI/ML | - | 100% | [CEO Commentary](index=1&type=section&id=CEO%20Commentary) CEO Mark W. Begor highlighted strong Q3 performance, emphasizing non-mortgage revenue growth, Cloud migrations, and AI/ML-driven product innovation - Equifax's non-mortgage business, comprising **80% of Q3 revenue**, achieved **10% local currency revenue growth**, supported by a **13% New Product Vitality Index** and **100% of new models built using AI and ML**[3](index=3&type=chunk) - The company is confident in its long-term **8-12% revenue growth framework**, anticipating **higher margins** and **accelerating free cash flow**, driven by Cloud migrations, new product roll-outs, and investments in AI/ML capabilities[4](index=4&type=chunk) [Consolidated Financial Results](index=1&type=section&id=Consolidated%20Financial%20Results) This section details Equifax's Q3 2024 consolidated financial performance, covering revenue, net income, balance sheet, and cash flow [Overall Company Performance](index=1&type=section&id=Overall%20Company%20Performance) Equifax reported Q3 2024 revenue of $1,441.8 million, a 9% increase, but net income attributable to Equifax decreased by 13% to $141.3 million | Metric | Q3 2024 | Q3 2023 | Change (%) | | :----- | :------ | :------ | :--------- | | Revenue | $1,441.8 million | $1,319.1 million | 9% | | Local Currency Revenue Growth | - | - | 11% | | Net Income Attributable to Equifax | $141.3 million | $162.2 million | (13)% | | Diluted EPS Attributable to Equifax | $1.13 | $1.31 | (14)% | [Consolidated Statements of Income (GAAP)](index=7&type=section&id=Consolidated%20Statements%20of%20Income%20%28GAAP%29) Q3 2024 operating revenue increased to $1,441.8 million, but higher expenses and income tax provision led to a decrease in consolidated net income | Metric | Q3 2024 (Millions) | Q3 2023 (Millions) | | :----- | :----------------- | :----------------- | | Operating Revenue | $1,441.8 | $1,319.1 | | Total Operating Expenses | $1,194.7 | $1,072.7 | | Operating Income | $247.1 | $246.4 | | Interest Expense | $(56.3) | $(62.8) | | Provision for Income Taxes | $(51.1) | $(26.4) | | Consolidated Net Income | $142.7 | $164.3 | | Net Income Attributable to Equifax | $141.3 | $162.2 | | Diluted EPS | $1.13 | $1.31 | | Dividends per Common Share | $0.39 | $0.39 | [Consolidated Balance Sheets (GAAP)](index=8&type=section&id=Consolidated%20Balance%20Sheets%20%28GAAP%29) As of September 30, 2024, total assets increased due to higher cash and capitalized software, while total liabilities decreased, boosting shareholders' equity | Metric | Sep 30, 2024 (Millions) | Dec 31, 2023 (Millions) | | :----- | :---------------------- | :---------------------- | | Total Assets | $12,344.3 | $12,280.0 | | Cash and Cash Equivalents | $468.2 | $216.8 | | Capitalized Internal-Use Software and System Costs | $2,789.7 | $2,541.0 | | Total Liabilities | $7,297.7 | $7,592.5 | | Total Equifax Shareholders' Equity | $4,909.0 | $4,534.1 | [Consolidated Statements of Cash Flows (GAAP)](index=9&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows%20%28GAAP%29) Net cash from operating activities significantly increased for the nine months ended September 30, 2024, while investing activities used less cash | Metric | Nine Months Ended Sep 30, 2024 (Millions) | Nine Months Ended Sep 30, 2023 (Millions) | | :----- | :---------------------------------------- | :---------------------------------------- | | Cash Provided by Operating Activities | $999.7 | $794.7 | | Cash Used in Investing Activities | $(392.6) | $(724.7) | | Cash (Used in) Provided by Financing Activities | $(345.0) | $63.5 | | Increase in Cash and Cash Equivalents | $251.4 | $127.4 | | Cash and Cash Equivalents, End of Period | $468.2 | $412.6 | [Segment Performance](index=3&type=section&id=Segment%20Performance) This section analyzes the individual financial performance of Equifax's Workforce Solutions, USIS, and International segments for Q3 2024 [Workforce Solutions](index=3&type=section&id=Workforce%20Solutions) Workforce Solutions reported a 7% revenue increase to $620.0 million, driven by Verification Services, with improved operating and Adjusted EBITDA margins | Metric | Q3 2024 (Millions) | Q3 2023 (Millions) | Change (%) | | :----- | :----------------- | :----------------- | :--------- | | Total Revenue | $620.0 | $577.2 | 7% | | Verification Services Revenue | $524.9 | $459.3 | 14% | | Employer Services Revenue | $95.1 | $117.9 | (19)% | | Operating Margin | 43.2% | 41.8% | +1.4 pp | | Adjusted EBITDA Margin | 51.6% | 50.9% | +0.7 pp | [USIS (U.S. Information Solutions)](index=3&type=section&id=USIS%20%28U.S.%20Information%20Solutions%29) USIS achieved 12% revenue growth to $476.9 million, boosted by Mortgage Solutions and Financial Marketing Services, despite slight margin decreases | Metric | Q3 2024 (Millions) | Q3 2023 (Millions) | Change (%) | | :----- | :----------------- | :----------------- | :--------- | | Total Revenue | $476.9 | $426.0 | 12% | | Online Information Solutions Revenue | $381.1 | $348.2 | 9% | | Mortgage Solutions Revenue | $38.0 | $27.3 | 39% | | Financial Marketing Services Revenue | $57.8 | $50.5 | 14% | | Operating Margin | 20.6% | 21.1% | (0.5) pp | | Adjusted EBITDA Margin | 33.9% | 34.2% | (0.3) pp | [International](index=3&type=section&id=International) International segment revenue grew 9% reported (18% local currency) to $344.9 million, with strong growth in Latin America and improved operating margins | Metric | Q3 2024 (Millions) | Q3 2023 (Millions) | Reported Change (%) | Local Currency Change (%) | | :----- | :----------------- | :----------------- | :------------------ | :------------------------ | | Total Revenue | $344.9 | $315.9 | 9% | 18% | | Latin America Revenue | $96.7 | $80.1 | 21% | 58% | | Europe Revenue | $94.9 | $85.2 | 11% | 9% | | Asia Pacific Revenue | $88.5 | $85.5 | 4% | 2% | | Canada Revenue | $64.8 | $65.1 | 0% | 1% | | Operating Margin | 13.9% | 12.7% | +1.2 pp | - | | Adjusted EBITDA Margin | 27.7% | 26.2% | +1.5 pp | - | [Financial Guidance](index=4&type=section&id=Financial%20Guidance) This section provides Equifax's financial outlook for Q4 and full year 2024, including revenue, EPS, and U.S. mortgage market credit inquiry volume projections [Fourth Quarter and Full Year 2024 Outlook](index=4&type=section&id=Fourth%20Quarter%20and%20Full%20Year%202024%20Outlook) Equifax projects Q4 2024 reported revenue between $1.438 billion and $1.458 billion, with full year reported revenue guided to $5.700 billion to $5.720 billion | Metric | Q4 2024 Low-End | Q4 2024 High-End | FY 2024 Low-End | FY 2024 High-End | | :----- | :-------------- | :--------------- | :-------------- | :--------------- | | Reported Revenue | $1.438 billion | $1.458 billion | $5.700 billion | $5.720 billion | | Reported Revenue Growth | 8.4% | 9.9% | 8.3% | 8.6% | | Local Currency Growth | 9.5% | 11.0% | 10.1% | 10.4% | | Organic Local Currency Growth | 9.5% | 11.0% | 8.1% | 8.4% | | Adjusted Earnings Per Share | $2.08 per share | $2.18 per share | $7.25 per share | $7.35 per share | [U.S. Mortgage Market Credit Inquiry Volume](index=10&type=section&id=U.S.%20Mortgage%20Market%20Credit%20Inquiry%20Volume) Equifax anticipates a 9% increase in U.S. mortgage market credit inquiries for Q4 2024, but projects an overall 7% decline for the full year - U.S. mortgage market credit inquiry volume increased by **1% in Q3 2024**[27](index=27&type=chunk) - Guidance for Q4 2024 assumes a **9% increase** in U.S. mortgage market credit inquiries year-over-year[27](index=27&type=chunk) - Full year 2024 guidance assumes a decline of about **7%** in U.S. mortgage market credit inquiries[27](index=27&type=chunk) [Company Information](index=4&type=section&id=Company%20Information) This section provides an overview of Equifax as a global data, analytics, and technology company, and details for its Q3 2024 earnings conference call [About Equifax](index=4&type=section&id=About%20Equifax) Equifax is a global data, analytics, and technology company providing critical decision-making insights across 24 countries, leveraging differentiated data and AI - Equifax is a global data, analytics, and technology company that helps various entities make critical decisions with confidence[12](index=12&type=chunk) - The company operates in **24 countries** and employs nearly **15,000 people worldwide**, leveraging differentiated data, analytics, and cloud technology[12](index=12&type=chunk) [Earnings Conference Call and Audio Webcast](index=4&type=section&id=Earnings%20Conference%20Call%20and%20Audio%20Webcast) Equifax will host a conference call and live audio webcast on October 17, 2024, at 8:30 a.m. (ET) to discuss Q3 2024 earnings - Equifax will host a conference call and live audio webcast on **October 17, 2024, at 8:30 a.m. (ET)** for Q3 2024 earnings[13](index=13&type=chunk) - Webcast and related presentation materials are accessible via the Investor Relations section of www.equifax.com, with a replay available shortly after[13](index=13&type=chunk) [Non-GAAP Financial Measures & Reconciliations](index=3&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) This section defines and reconciles Equifax's non-GAAP financial measures, providing a clearer view of underlying performance by excluding certain items [Explanation of Non-GAAP Measures](index=4&type=section&id=Explanation%20of%20Non-GAAP%20Measures) This section defines non-GAAP measures like adjusted EPS and EBITDA, clarifying their exclusion of specific items for a more comparable performance view - Adjusted EPS excludes acquisition-related amortization, legal/regulatory accruals, fair market value adjustments, foreign currency impacts, acquisition costs, stock award tax effects, Argentina highly inflationary adjustments, realignment costs, and deferred tax adjustments[14](index=14&type=chunk) - Adjusted EBITDA excludes net interest expense, income taxes, depreciation and amortization, and certain one-time items[14](index=14&type=chunk) - Local currency revenue change and organic local currency revenue growth are used to assess performance by conforming results using prior year exchange rates and adjusting for acquired companies' revenue[14](index=14&type=chunk) [Adjusted EPS and Adjusted EBITDA Margin Summary](index=3&type=section&id=Adjusted%20EPS%20and%20Adjusted%20EBITDA%20Margin%20Summary) Equifax reported an Adjusted EPS of $1.85 in Q3 2024, a 5% increase, while Adjusted EBITDA margin slightly decreased to 32.7% | Metric | Q3 2024 | Q3 2023 | Change (%) | | :----- | :------ | :------ | :--------- | | Adjusted EPS Attributable to Equifax | $1.85 | $1.76 | 5% | | Adjusted EBITDA Margin | 32.7% | 33.1% | (0.4) pp | [Reconciliation of Net Income to Adjusted EPS](index=11&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EPS) This section details the reconciliation from GAAP net income to adjusted diluted EPS, outlining key adjustments for acquisition-related and realignment costs | Adjustment Item | Q3 2024 (Millions) | Q3 2023 (Millions) | | :----- | :----------------- | :----------------- | | Net Income Attributable to Equifax | $141.3 | $162.2 | | Acquisition-related amortization expense | $64.6 | $64.4 | | Accrual for legal and regulatory matters (2017 cybersecurity incident) | $0.1 | $14.2 | | Acquisition-related costs other than acquisition amortization | $15.9 | $24.4 | | Realignment of resources and other costs | $41.6 | $(2.3) | | Tax impact of adjustments | $(29.0) | $(16.7) | | Net Income Attributable to Equifax, Adjusted | $231.8 | $217.9 | | Diluted EPS Attributable to Equifax, Adjusted | $1.85 | $1.76 | [Reconciliation of Net Income to Adjusted EBITDA](index=13&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EBITDA) This section reconciles GAAP net income to Adjusted EBITDA, adding back taxes, interest, depreciation, amortization, and other non-GAAP adjustments | Metric | Q3 2024 (Millions) | Q3 2023 (Millions) | Change (%) | | :----- | :----------------- | :----------------- | :--------- | | Net Income Attributable to Equifax | $141.3 | $162.2 | (13)% | | Income Taxes | $51.1 | $26.4 | 94% | | Interest Expense, Net | $52.4 | $56.6 | (7)% | | Depreciation and Amortization | $169.1 | $154.4 | 10% | | Accrual for legal and regulatory matters (2017 cybersecurity incident) | $0.1 | $14.2 | (99)% | | Acquisition-related amounts other than acquisition amortization | $15.9 | $24.4 | (35)% | | Realignment of resources and other costs | $41.6 | $(2.3) | nm | | Adjusted EBITDA | $471.9 | $436.1 | 8% | [Reconciliation of Operating Income by Segment to Adjusted EBITDA](index=14&type=section&id=Reconciliation%20of%20Operating%20Income%20by%20Segment%20to%20Adjusted%20EBITDA) This section reconciles operating income to Adjusted EBITDA for each segment, showing Workforce Solutions, USIS, and International contributions to total Adjusted EBITDA | Segment | Q3 2024 Adjusted EBITDA (Millions) | Q3 2024 Adjusted EBITDA Margin | Q3 2023 Adjusted EBITDA (Millions) | Q3 2023 Adjusted EBITDA Margin | | :----- | :--------------------------------- | :----------------------------- | :--------------------------------- | :----------------------------- | | Workforce Solutions | $319.9 | 51.6% | $293.7 | 50.9% | | U.S. Information Solutions | $161.6 | 33.9% | $145.8 | 34.2% | | International | $95.6 | 27.7% | $82.9 | 26.2% | | General Corporate Expense | $(105.2) | nm | $(86.3) | nm | | Total Adjusted EBITDA | $471.9 | 32.7% | $436.1 | 33.1% | [Notes to Non-GAAP Reconciliations](index=15&type=section&id=Notes%20to%20Non-GAAP%20Reconciliations) This section explains each adjustment in the non-GAAP reconciliations, clarifying why items like acquisition amortization and realignment costs are excluded for comparability - Acquisition-related amortization expense is excluded to allow investors to evaluate performance on a more comparable basis and reflect cash income tax savings[46](index=46&type=chunk) - Accruals for legal and regulatory matters related to the **2017 cybersecurity incident** are excluded as they are not comparable across periods and are non-recurring[47](index=47&type=chunk) - Realignment of resources and other costs, predominantly related to technology transformation, are excluded to provide meaningful supplemental information due to their non-comparable nature across periods[53](index=53&type=chunk) [Forward-Looking Statements and Risk Factors](index=4&type=section&id=Forward-Looking%20Statements%20and%20Risk%20Factors) This section outlines Equifax's forward-looking statements and the various risk factors that could cause actual results to differ materially from projections [Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) Forward-looking statements are based on assumptions regarding economic conditions and strategic initiatives, but actual results may differ due to various internal and external factors - Forward-looking statements are based on factors and assumptions regarding foreign exchange rates, revenue growth, strategic initiatives, and economic conditions[16](index=16&type=chunk) - Actual results may differ due to factors such as restructuring actions, cloud technology transformation, and changes in the U.S. mortgage market and general economic conditions[17](index=17&type=chunk) [Risk Factors](index=6&type=section&id=Risk%20Factors) Equifax identifies numerous risks, including security breaches, operational disruptions, regulatory changes, and the impact of AI/ML model use, that could affect future results - Key risk factors include security breaches, failure to realize anticipated benefits of cloud technology transformation, operational disruptions, and the ability to meet customer requirements for system availability[18](index=18&type=chunk) - Other risks involve maintaining access to data, impact of competition, regulatory changes (e.g., CFPB, FCA), privacy laws, international sales risks, and risks associated with AI/ML model use[18](index=18&type=chunk) - Additional risks and uncertainties are detailed in the Annual Report on Form 10-K for the year ended December 31, 2023[19](index=19&type=chunk)