Equifax Delivers Above Guidance Second Quarter Results; Returns Approximately $190 Million Cash to Shareholders

Core Insights - Equifax reported strong second quarter revenue of $1.537 billion, reflecting an 8% increase in local currency and a 7% increase on a reported basis, exceeding guidance by $27 million [2][8] - The company experienced significant growth in U.S. Mortgage revenue, which rose by 14%, and Workforce Solutions revenue grew by 8%, driven by a 10% increase in Verification Services revenue [2][8] - Equifax maintained its full-year 2025 local currency revenue growth guidance at 6% while increasing reported revenue guidance by $35 million and Adjusted EPS by $0.03 per share due to foreign exchange impacts [3][8] Financial Performance - Total revenue for the second quarter of 2025 was $1,537 million, up 7% from the previous year, with net income attributable to Equifax increasing by 17% to $191.3 million [6][21] - Diluted EPS for the quarter was $1.53, a 17% increase compared to $1.31 in the same quarter of 2024 [6][21] - The company expects to generate over $900 million in free cash flow for 2025, with a cash conversion ratio exceeding 95% [4] Segment Performance - Workforce Solutions reported revenue of $662.1 million, an 8% increase year-over-year, with an operating margin of 46.4% [9][26] - U.S. Information Solutions revenue grew by 9%, led by a 20% increase in Mortgage revenue and over 4% in Non-Mortgage revenue [9][26] - International revenue increased by 4% on a reported basis and 6% in local currency, with Latin America and Europe being key growth regions [9][18] Strategic Initiatives - Equifax is focusing on leveraging new Cloud capabilities to enhance product innovation and drive growth, with a Vitality Index of 14% for new products [5][8] - The company returned approximately $190 million to shareholders in the second quarter, including $127 million in share repurchases under a $3 billion program [4][8] - The strategic priorities for 2027 include a focus on growth, innovation, and free cash generation to support ongoing investments and shareholder returns [5][8]