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ATLANTA - On Tuesday, Equifax Inc. (NYSE:EFX) delivered third-quarter results that exceeded Wall Street expectations and raised its full-year outlook, driven by strong mortgage revenue growth despite market headwinds.
The credit reporting agency’s shares rose 4.27% in pre-market trading after the announcement.
The company reported adjusted earnings of $2.04 per share for the quarter ended September 30, surpassing analyst estimates of $1.94. Revenue climbed 7% YoY to $1.55 billion, above the consensus forecast of $1.52 billion. The company’s U.S. mortgage revenue showed particularly impressive growth, rising 13% despite an overall decline in the underlying mortgage market.
"Equifax delivered strong third quarter revenue of $1.545 billion, up 7% on both a reported and local currency basis, that was $25 million above the midpoint of our July Guidance," said Mark W. Begor, Equifax Chief Executive Officer. "This was led by strong 13% U.S. Mortgage revenue growth, strong Workforce Solutions Government vertical results, and continued momentum in New Product Innovation."
The company’s U.S. Information Solutions segment saw revenue increase 11%, with mortgage revenue surging 26% and non-mortgage revenue growing 5%. Workforce Solutions revenue rose 5%, while International revenue increased 6% on a reported basis and 7% on a local currency basis.
Following the strong performance, Equifax raised its full-year 2025 guidance, now expecting adjusted earnings of $7.55 to $7.65 per share on revenue of $6.03 billion to $6.06 billion. This compares to previous analyst consensus estimates of $7.55 per share on revenue of $6.02 billion.
The company also increased its free cash flow guidance from over $900 million to between $950 million and $975 million, reflecting strong operating performance. During the quarter, Equifax returned approximately $360 million to shareholders, including $300 million in share repurchases.
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