Equifax(EFX)2025-04-22 10:32Revenue Performance - First quarter 2025 revenue was $1.442 billion, up 4% on a reported basis and 5% on a local currency basis, exceeding guidance by $37 million[4] - U.S. Mortgage revenue grew 7% in the first quarter despite a decline in the underlying mortgage market[4] - Workforce Solutions revenue increased by 3%, with Verification Services revenue up 5% and Non-Mortgage revenue growth of 6%[4] - USIS revenue grew 7%, driven by 11% growth in Mortgage revenue and 6% growth in Non-Mortgage revenue[4] - International revenue increased by 7% on a local currency basis, with Latin America showing a 16% increase[11] - Total operating revenue for 2025 was $1,442.0 million, an increase of $52.6 million or 4% compared to 2024[30] - Total revenue for Q1 2025 was $1,442.0 million, an increase from $1,389.4 million in Q1 2024, representing a growth of 3.8%[38] Earnings and Profitability - Adjusted EPS for the first quarter was $1.53, up 2% compared to the same period in 2024[18] - Basic earnings per share for Q1 2025 was $1.07, compared to $1.01 in Q1 2024, reflecting a 5.9% increase[27] - Adjusted net income attributable to Equifax for Q1 2025 was $191.4 million, a 2% increase from $187.0 million in Q1 2024[33] - Adjusted diluted EPS for Q1 2025 was $1.53, up from $1.50 in Q1 2024, reflecting a 2% increase[33] - Operating income for Q1 2025 was $235.8 million, up from $224.7 million in Q1 2024, indicating a growth of 4.9%[39] - Adjusted EBITDA for Q1 2025 was $423.1 million, representing a 5% increase from $404.6 million in Q1 2024[37] - The adjusted EBITDA margin for Q1 2025 was 29.3%, slightly up from 29.1% in Q1 2024[37] Cash Flow and Capital Management - Cash provided by operating activities for Q1 2025 was $223.9 million, down from $252.7 million in Q1 2024, a decline of 11.4%[29] - Capital expenditures for Q1 2025 were $107.2 million, compared to $131.9 million in Q1 2024, a decrease of 18.8%[29] - Dividends paid to Equifax shareholders remained stable at $48.5 million in Q1 2025, slightly up from $48.2 million in Q1 2024[29] - The company reported a cash and cash equivalents balance of $195.2 million at the end of Q1 2025, an increase from $169.9 million at the beginning of the period[29] Assets and Liabilities - Total current assets increased to $1,475.7 million as of March 31, 2025, from $1,360.6 million at the end of 2024, marking an 8.5% growth[28] - Total assets reached $11,854.8 million as of March 31, 2025, compared to $11,759.4 million at the end of 2024, indicating a 0.8% increase[28] - Total liabilities decreased to $6,742.3 million as of March 31, 2025, from $6,839.8 million at the end of 2024, a reduction of 1.4%[28] Shareholder Returns - A new $3 billion share repurchase program was authorized, expected to be completed over approximately 4 years[3] - The quarterly cash dividend was increased by 28% to $0.50 per share, payable on June 13, 2025[14] Market Outlook - The company anticipates a decline of approximately 12% in total U.S. mortgage market credit inquiries for the full year 2025[31] - The company recorded a decline of 9% in U.S. mortgage hard pull credit inquiries in Q1 2025 compared to the previous year[31] Other Financial Metrics - The company incurred a foreign currency loss of $0.5 million in Q1 2025 due to Argentina's highly inflationary economy, compared to a loss of $0.1 million in Q1 2024[45] - Restructuring charges related to resource realignment in Q1 2025 amounted to $1.4 million, reflecting ongoing efforts in cloud technology transformation[46] - The company recorded acquisition-related costs of $11.6 million in Q1 2025, down from $18.1 million in Q1 2024, a decrease of 35.9%[43] - Depreciation and amortization expenses for Q1 2025 totaled $174.6 million, compared to $164.4 million in Q1 2024, an increase of 6.6%[39]