Half-yearly financial report

7am, 16 November 2022 ─ Experian plc, the global information services company, today issues its financial report for the six months ended 30 September 2022.

Brian Cassin, Chief Executive Officer, commented:

“We delivered another strong performance in H1 driven by new products, new business wins and consumer expansion. Total revenue growth from ongoing activities was 7% at actual exchange rates and 9% at constant exchange rates. Organic revenue growth was 8%. While we expect economic conditions to be tougher over the balance of the year, and face some stronger comparables in Q3, our full year expectations are unchanged. We expect organic revenue growth of between 7-9%, total revenue growth of between 8-10% and modest margin accretion, all at constant exchange rates and on an ongoing basis.

“With many households and businesses facing a difficult period of rising costs in the coming months, we will also continue to push ahead with our mission to help millions of people improve their financial health and save money.”

Benchmark and Statutory financial highlights

1. See Appendix 1 (page 15) and note 5 to the condensed interim financial statements for definitions of non-GAAP measures.
2. Organic revenue growth is at constant currency.
3. Revenue and Benchmark EBIT for the six months ended 30 September 2021 have been re-presented for the reclassification to exited business activities of certain Business-to-Business (B2B) and Consumer Services businesses, detail is provided on page 12 and in notes 6(a) and 7 to the condensed interim financial statements.
4. See page 16 for reconciliation of Benchmark EBIT from ongoing activities to Profit before tax.

Highlights

• A good half of strategic and financial progress. Q2 organic revenue growth was 8%, to give 8% for the half, with selective acquisition in-fills taking total revenue growth from ongoing activities to 9% at constant exchange rates.
• Consumer Services organic revenue up 12%, as we address new value pools with broader propositions, serving 145 million free members, up 11 million over the past six months.
• B2B organic revenue growth of 7% supported by expanded data assets, enhanced analytics, wider adoption of our new platforms, and addressing new client segments.
• Significant expansion in Latin America, and good performances across North America and the UK and Ireland (UK&I).
• Plan to deliver enhanced focus and improved operating performance in key EMEA/Asia Pacific markets is well under way. Started phased exit from identified markets. Group revenue and Benchmark EBIT are re-presented as a result of these planned market exits.
• Benchmark EBIT rose 8% to US$873m. Ongoing Benchmark EBIT margin of 27.3%, compared to H1 FY22 reported margin of 26.3% and re-presented prior-year comparative margin of 26.9%.
• Statutory profit before tax of US$517m down from US$654m, predominantly due to a non-cash charge for the impairment of goodwill of US$152m in EMEA, and an increase to the fair value of contingent consideration. Basic EPS down from USc 56.5 to USc 33.5 reflecting the lower profit before tax and an increased tax charge.
• First interim dividend up 6% to 17.0 US cents per ordinary share.

View the full press release in PDF format.

Experian

Nadia Ridout-Jamieson              Investor queries                                   +44 (0)20 3042 4200

Gerry Tschopp                              Media queries

Tulchan

Graeme Wilson, Louise Male and Guy Bates                                          +44 (0)20 7353 4200

There will be a presentation today at 9.30am (UK time) to analysts and investors via conference call. To view the slides and listen in online please go to www.experianplc.com for the link.

Experian will update on third quarter trading for FY23 on 17 January 2023.

Roundings

Certain financial data has been rounded within this announcement. As a result of this rounding, the totals of data presented may vary slightly from the actual arithmetic totals of such data.

Forward-looking statements

Certain statements made in this announcement are forward-looking statements. Such statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual events or results to differ materially from any expected future events or results referred to in these forward-looking statements. See the risk section on page 14 and note 26 for further information on risks and uncertainties facing Experian.

Company website

Neither the content of the Company’s website, nor the content of any website accessible from hyperlinks on the Company’s website (or any other website), is incorporated into, or forms part of, this announcement.

About Experian

Experian is the world’s leading global information services company. During life’s big moments – from buying a home or a car, to sending a child to college, to growing a business by connecting with new customers – we empower consumers and our clients to manage their data with confidence. We help individuals to take financial control and access financial services, businesses to make smarter decisions and thrive, lenders to lend more responsibly, and organisations to prevent identity fraud and crime.

We have 21,700 people operating across 30 countries and every day we’re investing in new technologies, talented people, and innovation to help all our clients maximise every opportunity. We are listed on the London Stock Exchange (EXPN) and are a constituent of the FTSE 100 Index.

Learn more at www.experianplc.com or visit our global content hub at our global news blog for the latest news and insights from the Group.