TransUnion New Logo 300TransUnion Q4 revenue was $386 million, an increase of 15 percent (19 percent on a constant currency basis) compared with the fourth quarter of 2014. Net income attributable to TransUnion was $19 million compared with a net loss attributable to TransUnion of $13 million in the fourth quarter of 2014.

Adjusted EBITDA was $137 million, an increase of 18 percent (22 percent on a constant currency basis) compared with the fourth quarter of 2014, driven by the increase in revenue. Adjusted Net Income was $56 million, an increase of 82 percent compared with the fourth quarter of 2014. Adjusted Diluted Earnings per Share were $0.31 compared with $0.21 in the fourth quarter of 2014.

“TransUnion continued its strong momentum in the fourth quarter, delivering double-digit revenue and Adjusted EBITDA growth as well as 80 basis points of margin expansion,” said Jim Peck, TransUnion’s president and chief executive officer. “This caps off what has been an outstanding year of top and bottom-line growth for the company across our verticals, channels and geographies. In 2016, we will continue to execute on our long-term strategic growth plan and expect to deliver solid revenue and earnings growth as well as margin expansion.”

Fourth Quarter 2015 Segment Highlights

TransUnion Q4 2015 ResultsU.S. Information Services (USIS):  Total USIS revenue was $245 million, an increase of 17 percent compared with the fourth quarter of 2014, driven by double-digit revenue growth across all platforms. Online Data Services revenue was $158 million, an increase of 16 percent, driven primarily by an increase in credit report volumes.   Marketing Services revenue was $42 million, an increase of 17 percent, due primarily to an increase in demand for custom data sets and archive information driven by demand for new solutions and revenue from acquisitions. Decision Services revenue was $45 million, an increase of 23 percent, due primarily to revenue growth in the healthcare and insurance markets and revenue from the acquisition of DHI.

Operating income was $33 million, an increase of 50 percent compared with the fourth quarter of 2014. Adjusted Operating Income was $79 million, an increase of 16 percent compared with the fourth quarter of 2014. The increase in Adjusted Operating Income was due primarily to the increase in revenue, along with savings enabled by the initiative to transform our technology platform, partially offset by increased variable compensation related to the financial performance of the business, investments in key strategic growth initiatives and additional depreciation and amortization.

International:  Revenue was $70 million, a decrease of 1 percent (increase of 17 percent on a constant currency basis) compared with the fourth quarter of 2014. Developed markets revenue was $25 million, an increase of 3 percent (15 percent on a constant currency basis) compared with the fourth quarter of 2014. Emerging markets revenue was $44 million, a decrease of 3 percent (increase of 17 percent on a constant currency basis) compared with the fourth quarter of 2014.

Operating income was $9 million, an increase of 20 percent compared with the fourth quarter of 2014. Adjusted Operating Income was $20 million, a decrease of 7 percent compared with the fourth quarter of 2014. On a constant currency basis, Adjusted Operating Income increased 11 percent, driven by the increase in revenue, partially offset by increased variable compensation related to the financial performance of the business and investments in cost management initiatives to drive operating efficiencies and long-term margin expansion.

Consumer Interactive: Revenue was $77 million, an increase of 30 percent compared with the fourth quarter of 2014, driven by an increase in revenue from both the direct and indirect channels. Operating income was $29 million, an increase of 29 percent compared with the fourth quarter of 2014. Adjusted

Operating Income was $31 million, an increase of 21 percent compared with the fourth quarter of 2014. The increase in Adjusted Operating Income was driven primarily by the increase in revenue, partially offset by an increase in variable and non-variable product costs and increased variable compensation related to the financial performance of the business.

Full Year 2015 Highlights:

Total revenue was $1,507 million, an increase of 15 percent (18 percent on a constant currency basis) compared with the full year of 2014, driven by broad-based growth across all three segments. USIS revenue was $952 million, an increase of 15 percent compared with the full year of 2014. International revenue was $270 million, an increase of 5 percent (19 percent on a constant currency basis) compared with the full year of 2014. Consumer Interactive revenue was $301 million, an increase of 31 percent compared with the full year of 2014.

Adjusted EBITDA was $527 million, an increase of 16 percent (19 percent on a constant currency basis) compared with the full year of 2014, driven by the increase in revenue. Adjusted Net Income was $182 million, an increase of 51 percent compared with the full year of 2014. Adjusted Diluted Earnings per Share were $1.09 compared with $0.81 in the full year of 2014.

2016 Full Year Outlook For the full year of 2016, consolidated revenue is expected to be between $1.6 billion and $1.62 billion, an increase of approximately 8 to 10 percent on a constant currency basis compared with the full year of 2015. Adjusted EBITDA is expected to be between $580 million and $590 million, an increase of approximately 12 to 14 percent on a constant currency basis. Adjusted EBITDA Margin is expected to be approximately 36%.

2016 First Quarter Outlook For the first quarter of 2016, consolidated revenue is expected to be between $377 million and $380 million, an increase of approximately 10 to 11 percent on a constant currency basis compared with the first quarter of 2015. Adjusted EBITDA is expected to be between $127 million and $129 million, an increase of approximately 14 to 16 percent on a constant currency basis.

Source: TransUnion Earnings Release