Equifax Inc. today announced financial results for the quarter ended March 31, 2015.

"All four business units exceeded our expectations with their first quarter performance," said Richard F. Smith, Equifax's Chairman and Chief Executive Officer. "While the environments and economies in which we operate continue to present challenges, we are very focused on our strategic objectives and we have a very strong operating discipline. At this point, our optimism for the year has increased from what it was when we first entered it."

Financial Results Summary

The company reported revenue of $651.8 million in the first quarter of 2015, a 12 percent increase from the first quarter of 2014 on a reported basis and 14 percent in local currency. Adjusted EPS attributable to Equifax was $1.07, up 20 percent from the first quarter of 2014, after adjusting for a charge related predominantly to the realignment of internal resources, as well as acquisition-related amortization expense. Diluted EPS attributable to Equifax was $0.73, up 9 percent from the first quarter of 2014. Adjusted operating margin was 27.2 percent, up 120 points from the first quarter of 2014, after adjusting for a charge related predominantly to the realignment of internal resources.  Operating margin was 23.7 percent, down 230 basis points from the first quarter of 2014.  

Significant revenue growth across many verticals, including home equity lending, drove outperformance in USIS

• Online Information Solutions revenue was $221.9 million, up 15 percent from the first quarter of 2014. 
• Mortgage Solutions revenue was $31.3 million, up 28 percent from the first quarter of 2014. 
• Financial Marketing Services revenue was $45.5 million, up 3 percent when compared to the first quarter of 2014. 
• Total revenue was $298.7 million in the first quarter of 2015 compared to $261.2 million in the first quarter of 2014, an increase of 14 percent. Operating margin for USIS was 42.4 percent in the first quarter of 2015 compared to 37.2 percent in the first quarter of 2014.

Broad based local currency growth and double digit growth in debt collections and recovery management were the key drivers of the outperformance in International

• Latin America revenue was $47.5 million, up 2 percent from the first quarter of 2014 and up 13 percent on a local currency basis. 
• Europe revenue was $57.9 million, up 1 percent from the first quarter of 2014 and up 12 percent on a local currency basis. 
• Canada revenue was $33.4 million, down 9 percent from the first quarter of 2014 and up 3 percent on a local currency basis. 
• Total revenue was $138.8 million in the first quarter of 2015, a 1 percent decrease from the first quarter of 2014 and a 10 percent increase on a local currency basis. Operating margin for International was 20.2 percent in the first quarter of 2015 compared to 20.6 percent in the first quarter of 2014.

Double digit growth in analytics, mortgage, home equity lending, government, pre-employment, and auto drove outperformance in Workforce Solutions

• Verification Services revenue was $85.8 million, up 34 percent when compared to the first quarter of 2014. 
• Employer Services revenue was $62.9 million, up 13 percent when compared to the first quarter of 2014. 
• Total revenue was $148.7 million in the first quarter of 2015, a 24 percent increase from the first quarter of 2014. Operating margin for Workforce Solutions was 40.3 percent in the first quarter of 2015 compared to 32.3 percent in the first quarter of 2014.

Personal Solutions delivered solid growth and operating margin while undertaking a strategic transformation

• Revenue was $65.6 million, a 4 percent increase from the first quarter of 2014 and up 6 percent on a local currency basis. 
• Operating margin was 27.4 percent compared to 28.5 percent in the first quarter of 2014.

Second Quarter 2015 and Full Year 2015 Outlook

For the second quarter, we expect revenue between $655 and $665 million, which is up approximately 10% to 12% over Q2 2014, on a local currency basis. Adjusted EPS, is expected to be between $1.09 and $1.11, up 16% to 18% year-over-year, on a local currency basis.  Foreign exchange is expected to negatively impact revenue growth by 3% and Adjusted EPS by $0.02.

For the full year, based on the current level of domestic and international business activity, we anticipate revenue between $2.585 billion and $2.635 billion, and Adjusted EPS between $4.28 and $4.35.  Given the recent strength of the US dollar, at current exchange rates, we expect foreign currency to negatively impact 2015 revenue growth by 3%, and Adjusted EPS by approximately $0.09.  On a local currency basis, revenue is expected to grow 9% to 11% in 2015.  On a local currency basis, Adjusted EPS is expected to grow 13% to 14%.