We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
TransUnion (TRU - Free Report) reported impressive first-quarter 2024 results, wherein earnings and revenues beat the Zacks Consensus Estimate.
The stock has barely moved since the earnings release on Apr 25 in response to better-than-expected earnings and impressive guidance.
For 2024, TransUnion expects revenues between $4.02 billion and $4.08 billion compared with $3.96-$4.02 billion stated previously. The Zacks Consensus Estimate of $4.03 billion is lower than the mid-point ($4.04 billion) of the company’s guided range.
TRU anticipates adjusted earnings per share (EPS) of $3.69-$3.86 compared with $3.57-$3.74 mentioned previously. The consensus estimate for the same is pegged at $3.74, which is lower than the midpoint ($3.78) of the company’s guided range.
TRU’s quarterly adjusted earnings (adjusting 59 cents from non-recurring items) of 92 cents per share surpassed the consensus mark by 13.6% and grew 15% year over year. Total revenues of $1 billion surpassed the consensus mark by 4.5% and increased 8.6% from the year-ago quarter.
The company’s stock has surged 73% over the past six months, outperforming the 14.7% rally of the industry it belongs to and 22.2% growth of the Zacks S&P 500 Composite.
The U.S. Markets segment’s revenues of $789 million were up 7% year over year and surpassed our estimate of $632.6 million. Within the segment, Financial Services’ revenues of $352 million showed an increase of 13% from the year-ago quarter. Emerging Vertical revenues were $298 million, which increased 4% year over year. Consumer Interactive revenues were $139 million, down 2% from first-quarter 2023.
The International segment’s revenues increased 16% year over year on a reported basis and 15% on a constant-currency basis to $236 million and surpassed our estimate of $218.2 million. Revenues from Canada increased 19% year over year on a reported basis and 18% year over year on a constant-currency basis to $36 million, beating our estimate of $34.2 million.
Revenues from India increased 30% on a reported basis and 31% on a constant-currency basis to $71 million and beat our estimated $68.7 million. Revenues from the Asia-Pacific were $25 million, up 17% on both reported and constant-currency basis, beating our estimate of $24.3 million.
Revenues from Latin America increased 14% on a reported basis and 7% on a constant-currency basis to $33 million and beat our estimate of $30.6 million. Revenues from Africa increased 3% on a reported basis and 12% on a constant-currency basis to $15 million, surpassing our estimate of $14.3 million. Revenues from the U.K. were $54 million, up 4% on both reported and constant-currency basis, surpassing our estimate of $46.1 million.
The Consumer Interactive segment’s revenues of $139.3 million decreased 2.1% year over year on a reported basis and missed our estimate of $141.1 million.
Operating Performance
Adjusted EBITDA was $358 million, marking a year-over-year increase of 11% on both reported and constant-currency basis. The reported figure beat our estimate of 324.9 million. The adjusted EBITDA margin was 35.1%, 80 basis points higher than the year-ago figure.
Balance Sheet & Cash Flow
TransUnion had $434 million in cash and cash equivalents at the end of the quarter compared with $476 million at the end of the prior quarter. The long-term debt was $5.3 billion, flat with the previous quarter.
Cash generated from operating activities during the quarter was $54 million. Capital expenditure was $62.4 million.
Q2 & 2024 Outlook
For the second quarter of 2024, TransUnion expects revenues between $1.017 billion and $1.026 billion. The mid-point ($1.02 billion) of the company’s guided range is the same as the current Zacks Consensus Estimate.
TRU anticipates adjusted EPS of 95-98 cents. The consensus estimate for the same is 91 cents lower than the company’s guided range. Adjusted EBITDA is anticipated between $366 million and $372 million.
For 2024, adjusted EBITDA is expected between $1.433 billion and $1.475 billion compared with $1.39-$1.44 billion mentioned previously.
EFX’s adjusted earnings (excluding 50 cents from non-recurring items) were $1.5 per share, beating the Zacks Consensus Estimate by 4.2% and increasing 4.9% from the year-ago quarter. Total revenues of $1.4 billion missed the consensus estimate by a slight margin but increased 6.7% from the year-ago quarter.
WM’s adjusted EPS of $1.8 surpassed the Zacks Consensus Estimate by 15.1% and improved 33.6% year over year. Total revenues of $5.2 billion missed the consensus estimate by a slight margin but increased 5.5% year over year.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
TransUnion (TRU) Stock Barely Moves Despite Q1 Earnings Beat
TransUnion (TRU - Free Report) reported impressive first-quarter 2024 results, wherein earnings and revenues beat the Zacks Consensus Estimate.
The stock has barely moved since the earnings release on Apr 25 in response to better-than-expected earnings and impressive guidance.
For 2024, TransUnion expects revenues between $4.02 billion and $4.08 billion compared with $3.96-$4.02 billion stated previously. The Zacks Consensus Estimate of $4.03 billion is lower than the mid-point ($4.04 billion) of the company’s guided range.
TRU anticipates adjusted earnings per share (EPS) of $3.69-$3.86 compared with $3.57-$3.74 mentioned previously. The consensus estimate for the same is pegged at $3.74, which is lower than the midpoint ($3.78) of the company’s guided range.
TRU’s quarterly adjusted earnings (adjusting 59 cents from non-recurring items) of 92 cents per share surpassed the consensus mark by 13.6% and grew 15% year over year. Total revenues of $1 billion surpassed the consensus mark by 4.5% and increased 8.6% from the year-ago quarter.
The company’s stock has surged 73% over the past six months, outperforming the 14.7% rally of the industry it belongs to and 22.2% growth of the Zacks S&P 500 Composite.
TransUnion Price and EPS Surprise
TransUnion price-eps-surprise | TransUnion Quote
Revenues by Segments
The U.S. Markets segment’s revenues of $789 million were up 7% year over year and surpassed our estimate of $632.6 million. Within the segment, Financial Services’ revenues of $352 million showed an increase of 13% from the year-ago quarter. Emerging Vertical revenues were $298 million, which increased 4% year over year. Consumer Interactive revenues were $139 million, down 2% from first-quarter 2023.
The International segment’s revenues increased 16% year over year on a reported basis and 15% on a constant-currency basis to $236 million and surpassed our estimate of $218.2 million. Revenues from Canada increased 19% year over year on a reported basis and 18% year over year on a constant-currency basis to $36 million, beating our estimate of $34.2 million.
Revenues from India increased 30% on a reported basis and 31% on a constant-currency basis to $71 million and beat our estimated $68.7 million. Revenues from the Asia-Pacific were $25 million, up 17% on both reported and constant-currency basis, beating our estimate of $24.3 million.
Revenues from Latin America increased 14% on a reported basis and 7% on a constant-currency basis to $33 million and beat our estimate of $30.6 million. Revenues from Africa increased 3% on a reported basis and 12% on a constant-currency basis to $15 million, surpassing our estimate of $14.3 million. Revenues from the U.K. were $54 million, up 4% on both reported and constant-currency basis, surpassing our estimate of $46.1 million.
The Consumer Interactive segment’s revenues of $139.3 million decreased 2.1% year over year on a reported basis and missed our estimate of $141.1 million.
Operating Performance
Adjusted EBITDA was $358 million, marking a year-over-year increase of 11% on both reported and constant-currency basis. The reported figure beat our estimate of 324.9 million. The adjusted EBITDA margin was 35.1%, 80 basis points higher than the year-ago figure.
Balance Sheet & Cash Flow
TransUnion had $434 million in cash and cash equivalents at the end of the quarter compared with $476 million at the end of the prior quarter. The long-term debt was $5.3 billion, flat with the previous quarter.
Cash generated from operating activities during the quarter was $54 million. Capital expenditure was $62.4 million.
Q2 & 2024 Outlook
For the second quarter of 2024, TransUnion expects revenues between $1.017 billion and $1.026 billion. The mid-point ($1.02 billion) of the company’s guided range is the same as the current Zacks Consensus Estimate.
TRU anticipates adjusted EPS of 95-98 cents. The consensus estimate for the same is 91 cents lower than the company’s guided range. Adjusted EBITDA is anticipated between $366 million and $372 million.
For 2024, adjusted EBITDA is expected between $1.433 billion and $1.475 billion compared with $1.39-$1.44 billion mentioned previously.
TRU currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Earnings Snapshot
Equifax Inc. (EFX - Free Report) reported mixed first-quarter 2024 results.
EFX’s adjusted earnings (excluding 50 cents from non-recurring items) were $1.5 per share, beating the Zacks Consensus Estimate by 4.2% and increasing 4.9% from the year-ago quarter. Total revenues of $1.4 billion missed the consensus estimate by a slight margin but increased 6.7% from the year-ago quarter.
Waste Management Inc. (WM - Free Report) reported mixed first-quarter 2024 results.
WM’s adjusted EPS of $1.8 surpassed the Zacks Consensus Estimate by 15.1% and improved 33.6% year over year. Total revenues of $5.2 billion missed the consensus estimate by a slight margin but increased 5.5% year over year.