In This Article:
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Organic Revenue Growth: 7% for FY25, 9% in Q4 excluding data breach impact.
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Margin Expansion: Up 90 basis points organically, 70 basis points at constant rates, and 50 basis points including FX.
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Cash Conversion: 97% for FY25.
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Benchmark EPS Growth: 8% increase.
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Dividend Per Share: Increased by 7%.
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Return on Capital Employed (ROCE): Approximately 17%.
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Net Debt to EBITDA: Below target range at 1.8 times.
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Consumer Services Revenue Growth: 7%, 12% excluding data breach impact.
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B2B Organic Revenue Growth: 6% for FY25.
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North America Organic Revenue Growth: 8% for FY25, 10% in Q4.
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Latin America Organic Growth: 6% for FY25.
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UK and Ireland Organic Growth: 1% for FY25.
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EMEA and Asia Pacific Growth: Consistent performance with 8% growth in Q4.
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Operating Cash Flow: Over $2 billion with 97% conversion rate.
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Capital Expenditure: Reduced to 8.7% of revenue.
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Acquisitions: Over $1.6 billion deployed, including ClearSale.
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Full Year Dividend: $0.625 per share, up 7%.
Release Date: May 14, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Experian PLC (EXPGF) achieved 7% organic revenue growth for FY25, meeting its full-year guidance.
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The company reported excellent margin delivery, with a 90 basis point organic increase.
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Cash conversion was strong at 97%, and the company maintained a robust balance sheet with net debt to EBITDA below target range.
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Experian PLC (EXPGF) surpassed 200 million free consumer members globally, marking a significant milestone.
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The company made strategic acquisitions, including ClearSale, enhancing its fraud capabilities and data assets.
Negative Points
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The macroeconomic environment remains uncertain, with potential impacts on future performance.
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Latin America experienced only 3% organic growth in Q4, with macro uncertainty affecting client activity in Brazil.
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The UK and Ireland showed modest B2B revenue progress against a subdued market backdrop.
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The company faces ongoing dual run costs related to its cloud transformation, peaking in FY26.
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There is a 30 basis point margin drag expected from recent acquisitions in FY26.
Q & A Highlights
Q: Can you provide guidance on North America B2C, particularly regarding data breach comparisons and the appetite of lenders in the credit marketplace? A: Lloyd Pitchford, CFO, explained that the data breach drag will be similar in Q1 to Q4, with growth likely starting around 7% and 9% excluding data breach. The insurance marketplace remains strong, with a $100 million annualized run rate achieved in Q4. The credit card marketplace returned to growth, indicating positive trends in consumer growth.