Equifax Inc. (NYSE:EFX) delivered second-quarter results that beat expectations, as a surge in U.S. mortgage revenue helped offset headwinds from broader market challenges. The company’s shares gained 2.45% in premarket trading after the release.
The credit reporting firm reported adjusted earnings of $2.00 per share, topping analyst projections of $1.50. Quarterly revenue reached $1.537 billion, exceeding the consensus estimate of $1.51 billion. That marked a 7% increase on a reported basis and 8% in local currency versus the same period last year.
Mortgage revenue stood out, growing 14% in the U.S., even as the broader housing market showed signs of contraction. Equifax’s Workforce Solutions segment posted an 8% revenue gain, while Verification Services rose 10%. U.S. Information Solutions (USIS) revenue climbed 9%, bolstered by a 20% jump in mortgage-related income.
“Equifax delivered strong second quarter revenue of $1.537 billion, up 8% on a local currency basis and 7% on a reported basis that was $27 million above the mid-point of our April guidance,” said Mark W. Begor, Equifax Chief Executive Officer. “This was led by strong 14% U.S. Mortgage revenue growth and continued momentum in New Product Innovation with a Vitality Index of 14% despite headwinds from the U.S. Mortgage and Hiring markets.”
Looking to the third quarter, the company expects revenue between $1.505 billion and $1.535 billion, with the midpoint roughly in line with the consensus forecast of $1.531 billion. Equifax projects Q3 adjusted EPS between $1.87 and $1.97.
While maintaining its constant currency outlook for full-year 2025 due to economic uncertainty, the company raised its full-year reported revenue forecast by $35 million. It also nudged up its adjusted EPS projection by $0.03 to account for foreign exchange effects.
Equifax returned about $190 million to shareholders during the quarter, including $127 million in buybacks under its recently launched $3 billion share repurchase plan.
International business contributed to the performance as well, with reported revenue rising 4% and local currency growth of 6%. Latin America led the charge with 11% growth, followed by Europe at 6%.
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