ATLANTA - Equifax Inc . (NYSE: NYSE:EFX), a global data, analytics, and technology company, reported a 7% increase in revenue to $1.389 billion for the first quarter of 2024, despite facing a challenging mortgage market.
The company's adjusted earnings per share (EPS) for the quarter was $1.50, surpassing analyst expectations by $0.06, although revenue fell slightly short of the consensus estimate of $1.4 billion.
Equifax's performance in the first quarter was marked by a robust 9% growth in non-mortgage local currency revenue and a 6% increase in U.S. mortgage revenue, even as USIS mortgage credit inquiries declined by 19%.
The company's International segment also reported a significant 13% revenue growth on a reported basis and a 20% increase on a local currency basis, with organic local currency revenue growth of 6%.
Mark W. Begor, CEO of Equifax, highlighted the company's strong execution against its EFX2026 strategic priorities, attributing the revenue growth to new product innovation and artificial intelligence and machine learning capabilities. "Our non-mortgage business, which was about 80% of Equifax revenue in the first quarter, delivered very strong broad-based 9% local currency revenue growth," Begor stated.
Despite the positive earnings beat, Equifax's stock experienced a slight downturn of -1.54% following the earnings release, likely due to the revenue miss. The company is maintaining its full-year 2024 guidance, with a midpoint expectation for revenue of $5.720 billion, representing an 8.6% increase, and an adjusted EPS of $7.35.
Looking ahead, Equifax expects a decline of about 11% in its 2024 U.S. mortgage credit inquiries, consistent with current run-rates and compared to a 34% decrease in 2023. The company remains confident in its long-term revenue growth framework, anticipating higher margins and free cash flow as it continues to invest in new products, data, analytics, and AI capabilities.
This financial summary is based on information provided by Equifax in its press release dated April 17, 2024, and compares the company's first-quarter performance to analyst estimates and the same quarter last year.
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