Here's Why TransUnion Stock Gains 3% Since Reporting Q4 Earnings Beat

Core Insights - TransUnion (TRU) reported strong fourth-quarter 2024 results, with earnings and revenues exceeding Zacks Consensus Estimates [1][2] Financial Performance - Adjusted earnings per share were 97 cents, surpassing the consensus by 1% and reflecting a year-over-year increase of 21.3% [2] - Total revenues reached $1 billion, slightly exceeding the consensus and growing 8.7% year over year [2] - Adjusted EBITDA was $378 million, marking a 16% increase year over year, and the EBITDA margin improved to 36%, up 200 basis points from the previous year [8] Segment Performance - U.S. Markets segment revenues were $792 million, an 8% increase year over year, with Financial Services growing 21% to $356 million [4] - International segment revenues were $245 million, an 11% increase year over year, but missed expectations [5] - Revenues from India grew 17% to $67 million, while Asia-Pacific revenues increased 19% to $29 million, both surpassing estimates [6] Stock Performance - TRU's stock has gained 29.5% over the past year, outperforming the industry growth of 23% and the S&P 500 growth of 24.1% [3] Balance Sheet and Cash Flow - Cash and cash equivalents at the end of the quarter were $679 million, up from $643.2 million in the previous quarter [9] - Operating cash flow for the quarter was $254 million, with capital expenditures of $117.1 million [10] Guidance - For Q1 2025, TRU expects revenues of $1.06-$1.07 billion and adjusted EPS of 96-99 cents, both lower than consensus estimates [11] - For the full year 2025, TRU anticipates revenues of $4.33-$4.39 billion and adjusted EPS of $3.93-$4.08, also below consensus estimates [12]