Financial Data and Key Metrics Changes - Equifax reported Q1 2025 revenue of $1,442,000,000, an increase of 4% reported and 5% in constant dollars, exceeding the midpoint of February guidance by $37,000,000 [8] - Adjusted EPS was $1.53 per share, which was $0.15 above the midpoint of February guidance due to higher revenue growth and improved margins [9] - Adjusted EBITDA margins were 29.3%, up 20 basis points from last year and about 80 basis points better than expected [20] Business Line Data and Key Metrics Changes - USIS revenue grew by 7%, with non-mortgage growth at about 6%, aligning with their long-term growth framework of 6% to 8% [12][29] - EWS revenue increased by 3%, with talent solutions revenue up 12% due to better hiring volumes [25] - Mortgage revenue was up 7%, driven by stronger performance in mortgage pre-qualification and pre-approval products [21] Market Data and Key Metrics Changes - International revenue grew by 7% in constant currency, with strong growth in Latin America, particularly in Brazil and Argentina [33] - The U.S. mortgage market is expected to decline by 12% for the remainder of 2025, consistent with previous guidance [24][43] - The government business is projected to grow low double digits, benefiting from a new $50,000,000 SSA amendment [28][86] Company Strategy and Development Direction - Equifax is focusing on leveraging its cloud capabilities to drive innovation and new product growth, transitioning from building the cloud to utilizing it [9][54] - The company aims to maintain a strong investment-grade balance sheet while prioritizing high-return capital investments and executing a bolt-on M&A strategy [17][18] - A new capital allocation plan includes a 28% increase in the quarterly dividend and a $3,000,000,000 share repurchase program [18][53] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth model despite maintaining 2025 guidance due to economic uncertainty [15][51] - The company is well-positioned to weather economic events, with a significant portion of revenue from recession-resilient businesses [36][38] - Management highlighted the potential for growth in government services due to increased demand for social services during economic downturns [70] Other Important Information - The company plans to return about $1,000,000,000 annually to shareholders over the next four years through dividends and share repurchases [19] - Equifax is entering a new phase of innovation, leveraging unique data assets to develop solutions that only it can deliver [54] Q&A Session Summary Question: Can you provide more color on the twin federal government discussions or opportunities? - Management noted a positive environment in Washington regarding improper payments, with significant opportunities for the Twin solution to address these issues [58][61] Question: How did you come up with the recession estimate? - The estimate was based on historical performance during past economic events and the increasing share of subscription-based revenue, which is less impacted by recessions [64][66] Question: What percentage of U.S. mortgage revenues was reported in the quarter? - U.S. mortgage revenues accounted for 21% of total revenue in the quarter [76] Question: What visibility do you have for the second quarter trends? - Management indicated good visibility in most business lines, with mortgage activity being the exception due to interest rate fluctuations [80] Question: Is the low double-digit growth in government revenue expected for 2Q? - Yes, the low double-digit growth reflects expectations for the second quarter, with the SSA amendment contributing to this growth [84][86]

Financial Data and Key Metrics Changes - In 2024, revenue increased by almost 8% on a reported and organic constant currency basis, aligning with the long-term growth framework of 8% to 12% [7] - Adjusted EPS was $7.29 per share, up over 8.5% compared to the previous year [7] - Free cash flow reached $813 million, up 58%, with cash conversion at 89% [8][51] - Adjusted EBITDA for the fourth quarter was $502 million, marking the first quarter in Equifax's history to exceed $500 million [15] Business Line Data and Key Metrics Changes - Workforce Solutions revenue grew by 7% in the quarter, primarily impacted by lower talent solutions and onboarding revenue due to a weaker hiring market [17] - Government revenue increased by 11%, consistent with expectations, while Employer Services revenue declined by 9% due to the hiring market's weakness [18][19] - USIS revenue rose over 10%, driven by strong mortgage performance, with mortgage revenue up 47% [20][22] - International revenue grew by 11% in constant currency, exceeding the long-term framework of 7% to 9% [25] Market Data and Key Metrics Changes - The U.S. mortgage revenue was up 29% in the quarter but showed a significant decline in late December and January due to rising mortgage rates [13][14] - The hiring market is expected to decline by about 8% in 2025 compared to 2024, with U.S. hard credit inquiries projected to decrease by 12% [28][29] - The dollar's strength negatively impacted revenue by approximately $75 million, affecting the overall growth rate by over 200 basis points [30] Company Strategy and Development Direction - The company is focused on leveraging its cloud transformation to drive growth, innovation, and new product development, with 85% of revenue now in the new Equifax cloud [9][52] - Equifax plans to return capital to shareholders through dividend growth and a multi-year share repurchase program starting in 2025 [8][36] - The company aims to maintain a vitality index above 10% in 2025, leveraging new products and AI capabilities [11][26] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by the U.S. mortgage and hiring markets, which are expected to impact revenue growth in 2025 [28][50] - Despite these challenges, the company remains confident in its ability to deliver organic revenue growth in the long-term range of 7% to 10% as markets normalize [51] - The management expressed optimism about the future of the government business, highlighting a significant total addressable market of $5 billion [86] Other Important Information - The company has made significant progress in cloud data and technology transformation, which is expected to provide a competitive advantage moving forward [9][52] - Adjusted EBITDA margins are expected to increase by about 25 basis points in 2025, despite lower revenue growth levels [39] Q&A Session Summary Question: EWS margin guidance reconciliation - Management noted that the decline in the mortgage market and onboarding costs for new partners are impacting margins, but they expect to return to margin growth as markets recover [56][59] Question: Impact of mortgage and hiring headwinds on growth - Management confirmed that without these headwinds, growth would have been approximately 200 basis points higher, with a significant impact on EPS [63][64] Question: Government business outlook - Management indicated that while there are challenges due to changes in reimbursement programs, they expect government revenue growth to return to double digits in the second half of 2025 [69][70] Question: Mortgage revenue as a percentage of total revenue - Mortgage revenues accounted for 17.7% of total revenues in Q4 2024, with a focus on hard inquiries that correlate with loan originations [74][75] Question: Non-mortgage growth factors - Management highlighted that auto and financial services performed relatively well, but the significant difference in growth rates between quarters was due to strong sales in the previous quarter [80]