Full-Year Highlights

  • Revenues up 28% to $1,953 million driven by double-digit growth in the Property Intelligence (PI) segment and strong organic growth in the Risk Management and Work Flow (RMW) segment.
  • Operating income from continuing operations up 35% to $275 million on revenue gains and cost management.
  • Income from continuing operations, net of tax down 14% to $110 million due primarily to impairment charges associated with the wind down of two investments in affiliates and debt extinguishment costs. Adjusted net income was up 26% to $216 million.
  • Diluted EPS from continuing operations of $1.23. Adjusted EPS up 27% to $2.42.
  • Adjusted EBITDA up 18% to $500 million; adjusted EBITDA margin of 26%.
  • Repurchased 5 million shares for $195 million.

Fourth Quarter Highlights

  • Revenues up 21% to $475 million driven by double-digit growth in both the PI and RMW segments.
  • Operating income from continuing operations up 111% to $57 million.
  • Income from continuing operations, net of tax down 84% to $6 million primarily due to impairment charges associated with the wind down of two investments in affiliates which had no 2015 counterpart. Adjusted net income was up 58% to $49 million.
  • Diluted EPS from continuing operations of $0.07. Adjusted EPS up 60% to $0.56 per share.
  • Adjusted EBITDA up 32% to $116 million.
  • Repurchased 2 million shares.

CoreLogic (NYSE: CLGX), one of the leading global provider of property information, insight, analytics and data-enabled solutions, today reported financial results for the quarter and full-year ended December 31, 2016.

“CoreLogic delivered an outstanding operating performance in 2016 with strong growth in revenue, adjusted EBITDA, adjusted EPS and free cash flow. Fourth quarter and full-year revenues grew at double-digit rates as both of our segments notched solid gains. Importantly, we also doubled our first half organic growth trend of 3% to 7% over the final six months of 2016,” said Frank Martell, President and Chief Executive Officer of CoreLogic. “Throughout 2016, we invested in our products and solutions, technology leadership and operational improvements, which we believe will sustain and expand our long-term market leadership. This leadership, and our durable business model, has allowed us to return over $1 billion dollars to our stockholders over the past 6 years, including $195 million in 2016.”

“Despite forecasts for a decline in U.S. mortgage refinancing volumes, we are entering 2017 with a clear pathway to sustained long-term growth and margin expansion. We believe our core data-driven solutions are unique and enable our current and future clients to more precisely underwrite and manage their risks and capitalize on opportunities as they arise. In addition, our focus on automating and transforming property valuation and expanding our footprint in non-U.S. mortgage industry verticals as well as internationally should be significant future growth catalysts for CoreLogic,” Martell added.

Fourth Quarter Financial Highlights

Fourth quarter reported revenues totaled $475 million compared with $391 million in the same 2015 period. The year-over-year increase of 21% was driven primarily by valuation solutions (acquisition-related) upsides, growth in insurance and spatial solutions, international operations and higher RMW revenues; offset partially by the timing of project-related revenues and the wind-down of non-core product lines. PI revenues rose 33% to $255 million driven principally by growth in valuation solutions as well as insurance and spatial solutions and international operations. RMW revenues totaled $222 million, 10% above 2015 levels, as growth in tax, flood-zone determination and credit services more than offset the wind-down of non-core product lines.

Operating income from continuing operations totaled $57 million for the fourth quarter compared with $27 million for the fourth quarter of 2015. The 111% year-over-year increase in operating income was principally attributable to higher revenues and cost productivity related gains. Fourth quarter operating income margin was 12% compared with 7% for the fourth quarter of 2015.

Source:  CoreLogic Earnings Report