Trading update, first quarter
16 July 2024 ─ Experian plc, the global data and technology company, today issues an update on trading for the three months ended 30 June 2024.
Brian Cassin, Chief Executive Officer, commented:
“We delivered good growth in Q1, consistent with our expectations. Revenue was up 7% at actual exchange rates from ongoing activities and 8% at constant exchange rates, with organic revenue growth of 7%.
Our growth expectations for the full year are unchanged. We continue to expect organic revenue growth of between 6-8% and margin accretion of 30-50 basis points, all at constant exchange rates and on an ongoing basis.”
% change in revenue from ongoing activities year-on-year for the three months ended
30 June 2024
| Ongoing Activities Only | Total revenue growth % | Total revenue growth % | Organic revenue growth % |
| At actualexchange rates1 | At constant exchange rates | At constant exchange rates | |
| North America | 8 | 8 | 8 |
| Latin America | 4 | 8 | 5 |
| UK and Ireland | 4 | 3 | 2 |
| EMEA and Asia Pacific | 5 | 7 | 7 |
| Total global | 7 | 8 | 7 |
1 Experian reports in US dollars.
% change in organic revenue year-on-year for the three months ended 30 June 2024
| Organic Revenue Growth %2 | Data | Decisioning | B2B3 | Consumer Services | Total |
| North America | 6 | 8 | 7 | 10 | 8 |
| Latin America | (1) | 5 | 1 | 24 | 5 |
| UK and Ireland | 1 | 3 | 2 | 4 | 2 |
| EMEA and Asia Pacific | 3 | 15 | 7 | n/a | 7 |
| Total global | 4 | 7 | 5 | 11 | 7 |
2 Ongoing activities only, at constant exchange rates.
3 B2B = Business-to-Business segment which consists of Data and Decisioning business sub-divisions.
Business mix including % change in organic revenue year-on-year for the three months ended 30 June 2024
| Segment | Business unit | % of Group revenue4 | Q1 organic revenue growth %5 |
| North America | 66% | 8% | |
| Data | CI / BI Bureaux | 23% | 6% |
| – CI / BI Bureaux, excluding mortgage | 21% | 2% | |
| – Mortgage Profiles | 2% | 37% | |
| Automotive | 5% | 9% | |
| Targeting | 4% | 5% | |
| Decisioning | Health | 8% | 8% |
| DA / Other | 4% | 7% | |
| Consumer Services | Consumer Services | 22% | 10% |
| Latin America | 16% | 5% | |
| Data | CI / BI Bureaux | 10% | (1%) |
| Other | 0% | 17% | |
| Decisioning | DA / Other | 3% | 5% |
| Consumer Services | Consumer Services | 3% | 24% |
| UK and Ireland | 12% | 2% | |
| Data | CI / BI Bureaux | 5% | 4% |
| Targeting / Auto | 1% | (14%) | |
| Decisioning | DA / Other | 3% | 3% |
| Consumer Services | Consumer Services | 3% | 4% |
| EMEA and Asia Pacific | 6% | 7% | |
| Total global | 100% | 7% | |
4 Percentage of Group revenue from ongoing activities calculated based on FY24 FY revenue at actual exchange rates.
5 Ongoing activities only, at constant exchange rates.
CI = Consumer Information, BI = Business Information, DA = Decision Analytics.
North America – 66% of Group revenue4
North America delivered organic revenue growth of 8%. Total constant currency revenue growth was also 8%.
B2B organic revenue growth was 7%. Key growth contributors included mortgage, identity and fraud, Ascend, and income and employment verification, with the underlying credit origination environment remaining stable. Automotive delivered strong growth reflecting industry marketing activity in response to rising vehicle inventory levels. Targeting growth was solid driven by digital channels and was supported by new logos and cross sells. Health performed well with strong bookings and growth across multiple product lines including coverage discovery, claims, and collections.
Consumer Services delivered an organic revenue uplift of 10%, with growth broadly spread across our portfolio. Premium memberships performed well supported by recently introduced financial health features which help our members to save money. In our marketplace, insurance performance was very strong supported by carrier roll-outs, helping to mitigate ongoing softness in credit. We also continued to make good progress in data breach services where we secured additional client wins.
Latin America – 16% of Group revenue4
Latin America delivered organic revenue growth of 5%. At constant currency, total revenue growth was 8%, including contributions from acquisitions.
B2B organic revenue growth was 1%. In Brazil, we continue to extend our capabilities and position ourselves to capitalise on secular trends in the market. While quarterly growth reflected deal timing and widespread flooding in Rio Grande do Sul, we expect to return to more normalised levels of growth in the quarters ahead. Importantly, we continue to make progress in key focus areas, with strong identity and fraud growth and further scaling of both our small and medium enterprise and agrifinance segments. Spanish Latin America benefited from expansion in scores and analytics.
Consumer Services delivered organic revenue growth of 24%. In Brazil, growth was driven by Limpa Nome, with higher volumes of debt renegotiation and increased conversion rates via the Serasa e-wallet.
UK and Ireland – 12% of Group revenue4
The UK and Ireland delivered organic revenue of growth of 2%. Total constant currency growth was 3%.
B2B organic revenue growth was 2%. We continue to perform solidly amidst a still subdued credit market. New product initiatives remain a key growth driver, with notable contributors including Ascend, data quality services and fraud and identity management.
Consumer Services delivered organic revenue growth of 4%, which reflects expansion in both marketplace and subscription revenue. Successful platform enhancements have improved consumer experience and further strengthened our lender panel.
EMEA and Asia Pacific – 6% of Group revenue4
In EMEA and Asia Pacific, organic revenue growth was 7%. Total constant currency revenue growth was also 7%. There was good performance across the majority of our markets, and we continue to make good progress on our plan to focus on key markets and increase innovation-led growth.
Future events
Experian will release results for the half year ending 30 September 2024 on Wednesday, 13 November 2024.