==Equifax (EFX) reported earnings on Thur 20 Jul 23 (b/o)

 

Equifax beats by $0.03, reports revs in-line; guides Q3 EPS below consensus, revs below consensus; guides FY23 EPS below consensus, revs in-line

• Reports Q2 (Jun) earnings of $1.71 per share, excluding non-recurring items, $0.03 better than the FactSet Consensus of $1.68; revenues rose 0.1% year/year to $1.32 bln vs the $1.33 bln FactSet Consensus.
• Co issues downside guidance for Q3, sees EPS of $1.72-1.82, excluding non-recurring items, vs. $1.97 FactSet Consensus; sees Q3 revs of $1.32-1.34 bln vs. $1.35 bln FactSet Consensus.
• Co issues guidance for FY23, sees EPS of $6.85-7.10, excluding non-recurring items, vs. $7.17 FactSet Consensus; sees FY23 revs of $5.27-5.33 bln vs. $5.32 bln FactSet Consensus. Reduced guidance reflects more negative impact of the weaker mortgage market and loss of high margin mortgage revenue.
• "We expect the weaker than expected U.S. mortgage market that we saw in June to continue, and we now expect full year mortgage originations to decline about 37%, which is down five percentage points from our prior framework. We also expect to see the slowing in U.S. hiring to continue throughout 2023, but expect to offset this impact on non-mortgage revenue with stronger growth in the Workforce Government business, as well as solid performance in USIS and International."