Equifax (EFX) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue reached $1.54B, up 7% reported and 8% in constant currency, exceeding guidance by $27M despite weak mortgage and hiring markets.

• Net income attributable to shareholders rose 17% year-over-year to $191.3M; diluted EPS increased 17% to $1.53; adjusted EPS was $2.00, $0.10 above guidance midpoint.

• Strong performance in Workforce Solutions and USIS, with double-digit growth in key segments and a 14% Vitality Index driven by new product innovation.

• Cloud transformation completed in North America, Peru, and UK, driving innovation and scalability.

• Approximately $190M returned to shareholders in Q2 via buybacks and dividends, including a 28% dividend increase.

Financial highlights

• Q2 2025 revenue: $1.54B, up from $1.43B in Q2 2024, $27M above guidance midpoint.

• Adjusted EBITDA margin at 32.5%; EWS at 53% (+50 bps YoY), USIS at 35% (+180 bps YoY), International at 26% (+80 bps YoY).

• Free cash flow for 2025 expected to exceed $900M with >95% cash conversion.

• Dividends per share increased to $0.50 from $0.39 year-over-year.

• Adjusted net income was $249.7M, up 10% year-over-year.

Outlook and guidance

• Full-year 2025 constant currency revenue growth guidance midpoint maintained at 6% amid macro uncertainty; reported revenue guidance raised by $35M and adjusted EPS by $0.03 due to FX.

• FY25 revenue expected at $5.97–$6.04B; adjusted EPS $7.33–$7.63.

• Q3 2025 revenue guidance: $1.505–$1.535B; adjusted EPS $1.87–$1.97.

• Non-mortgage revenue growth expected at ~6%; mortgage revenue growth over 6% for 2025.

• International revenue growth expected at ~7% constant currency; margins to improve as cloud migration completes.