Equifax Inc. Files Q2 2024 10-Q

TL;DR

EFX Q2 10-Q is in. Financials and operations detailed.

AI Summary

Equifax Inc. filed its 10-Q for the period ending June 30, 2024. The filing details financial performance and operational updates for the second quarter of 2024. Key financial figures and business segments are presented, reflecting the company's ongoing activities in consumer credit reporting and related services.

Why It Matters

This filing provides investors and analysts with the latest financial health and operational performance of Equifax, a major player in the credit reporting industry.

Risk Assessment

Risk Level: medium — The filing contains standard financial disclosures for a public company, but the nature of credit reporting can be subject to regulatory and economic risks.

Key Numbers

• 20240630 — Period End Date (Reporting period for the 10-Q)
• 20240722 — Filing Date (Date the 10-Q was submitted to the SEC)

Key Players & Entities

• EQUIFAX INC (company) — Filer
• 0000033185 (company) — Central Index Key
• 7320 (company) — Standard Industrial Classification
• GA (company) — State of Incorporation
• Atlanta (company) — Business Address City
• 4048858000 (company) — Business Phone
• RETAIL CREDIT CO (company) — Former Company Name

FAQ

Key Financial Figures

• $1.25 — ange on which registered Common stock, $1.25 par value per share EFX New York Stock

Filing Documents

• efx-20240630.htm (10-Q) — 1549KB
• exhibit101-20240630.htm (EX-10.1) — 1490KB
• exhibit311-20240630.htm (EX-31.1) — 12KB
• exhibit312-20240630.htm (EX-31.2) — 13KB
• exhibit321-20240630.htm (EX-32.1) — 6KB
• exhibit322-20240630.htm (EX-32.2) — 6KB
• 0000033185-24-000049.txt ( ) — 8140KB
• efx-20240630.xsd (EX-101.SCH) — 38KB
• efx-20240630_cal.xml (EX-101.CAL) — 61KB
• efx-20240630_def.xml (EX-101.DEF) — 137KB
• efx-20240630_lab.xml (EX-101.LAB) — 508KB
• efx-20240630_pre.xml (EX-101.PRE) — 338KB
• efx-20240630_htm.xml (XML) — 904KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 4 Consolidated Statements of Income—Three Months Ended June 30 , 2024 and 2023 4 Consolidated Statements of Income— Six Months Ended June 30 , 202 4 and 202 3 5 Consolidated Statements of Comprehensive Income (Loss)— Three and Six Months Ended June 30 , 2024 and 2023 6 Consolidated Balance Sheets— June 30 , 2024 and December 31, 2023 7 Consolidated Statements of Cash Flows— Six Months Ended June 30 , 2024 and 2023 8 Consolidated Statements of Shareholders' Equity—Three Months Ended June 30 , 2024 and 2023 9 Consolidated Statements of Shareholders' Equity and Accumulated Other Comprehensive Loss —Six Months Ended June 30, 202 4 and 20 23 10

Notes to Consolidated Financial Statements (Unaudited)

Notes to Consolidated Financial Statements (Unaudited) 12 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 23 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 35 Item 4.

Controls and Procedures

Controls and Procedures 35 PART II. Other Information 36 Item 1.

Legal Proceedings

Legal Proceedings 36 Item 1A.

Risk Factors

Risk Factors 36 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 37 Item 5 Other Information 38 Item 6. Exhibits 39

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This report contains information that may constitute "forward-looking statements." Generally, the words "believe," "expect," "intend," "estimate," "anticipate," "project," "will," "may" and similar expressions identify forward-looking statements, which generally are not historical in nature. All statements that address future operating performance and events or developments that we expect or anticipate will occur in the future, including statements relating to future operating results, improvements in our information technology and data security infrastructure, including as a part of our cloud data and technology transformation, our strategy, the expected financial and operational benefits, synergies and growth from our acquisitions, changes in U.S. and worldwide economic conditions, such as changes in interest rates and inflation, that materially impact consumer spending, home prices, investment values, consumer debt, unemployment rates and the demand for Equifax's products and services, our culture, our ability to innovate, the market acceptance of new products and services and similar statements about our business plans are forward-looking statements. Management believes that these forward-looking statements are reasonable as and when made. However, forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from the Company's historical experience and our present expectations or projections, including without limitation our expectations regarding the Company's outlook, long-term organic and inorganic growth, and customer acceptance of our business solutions referenced below under "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operation — Business Overview." These risks and uncertainties include, but are not limited to, those described in Part II, "Item 1A. Risk Factors" and elsewhere in our Annual Report on Form 10-K for the year e

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS (UNAUDITED)

ITEM 1. FINANCIAL STATEMENTS (UNAUDITED) EQUIFAX INC. CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Three Months Ended June 30, 2024 2023 (In millions, except per share amounts) Operating revenue $ 1,430.5 $ 1,317.6 Operating expenses: Cost of services (exclusive of depreciation and amortization below) 630.9 588.0 Selling, general and administrative expenses 352.6 343.1 Depreciation and amortization 164.8 149.6 Total operating expenses 1,148.3 1,080.7 Operating income 282.2 236.9 Interest expense ( 57.3 ) ( 60.7 ) Other (expense) income, net ( 0.3 ) 15.9 Consolidated income before income taxes 224.6 192.1 Provision for income taxes ( 59.4 ) ( 52.7 ) Consolidated net income 165.2 139.4 Less: Net income attributable to noncontrolling interests including redeemable noncontrolling interests ( 1.3 ) ( 1.1 ) Net income attributable to Equifax $ 163.9 $ 138.3 Basic earnings per common share: Net income attributable to Equifax $ 1.32 $ 1.13 Weighted-average shares used in computing basic earnings per share 123.7 122.7 Diluted earnings per common share: Net income attributable to Equifax $ 1.31 $ 1.12 Weighted-average shares used in computing diluted earnings per share 124.8 123.8 Dividends per common share $ 0.39 $ 0.39 See Notes to Consolidated Financial Statements. 4 EQUIFAX INC. CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Six Months Ended June 30, 2024 2023 (In millions, except per share amounts) Operating revenue $ 2,819.9 $ 2,619.6 Operating expenses: Cost of services (exclusive of depreciation and amortization below) 1,258.6 1,168.4 Selling, general and administrative expenses 725.2 709.2 Depreciation and amortization 329.2 299.8 Total operating expenses 2,313.0 2,177.4 Operating income 506.9 442.2 Interest expense ( 117.1 ) ( 118.3 ) Other income, net 1.3 20.4 Consolidated income before income taxes 391.1 344.3 Provision for income taxes ( 99.9 ) ( 91.4 ) Consolidated net income 291.2 252.9 Less: Net

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) June 30, 2024 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES As used herein, the terms Equifax, the Company, we, our and us refer to Equifax Inc., a Georgia corporation, and its consolidated subsidiaries as a combined entity, except where it is clear that the terms mean only Equifax Inc. Nature of Operations. We collect, organize and manage various types of financial, demographic, employment, criminal justice data and marketing information. Our products and services enable businesses to make credit and service decisions, manage their portfolio risk, automate or outsource certain payroll-related, tax and human resources business processes, and develop marketing strategies concerning consumers and commercial enterprises. We serve customers across a wide range of industries, including the financial services, mortgage, retail, telecommunications, utilities, automotive, brokerage, healthcare and insurance industries, as well as government agencies. We also enable consumers to manage and protect their financial health through a portfolio of products offered directly to consumers. As of June 30, 2024, we operated in the following countries: Argentina, Australia, Brazil, Canada, Chile, Costa Rica, Dominican Republic, Ecuador, El Salvador, Honduras, India, Ireland, Mexico, New Zealand, Paraguay, Peru, Portugal, Spain, the United Kingdom ("U.K."), Uruguay and the United States of America ("U.S."). We also have investments in consumer and/or commercial credit information companies through joint ventures in Brazil, Cambodia, Malaysia and Singapore. We develop, maintain and enhance secured proprietary information databases through the compilation of consumer specific data, including credit, income, employment, criminal justice data, asset, liquidity, net worth and spending activity, and business data, including credit and business demographics, that we obtain from a variety of sources, such as credit granting instit

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View this 10-Q filing on SEC EDGAR