TLDR
- Equifax posted Q1 adjusted EPS of $1.86, beating the $1.69 Wall Street estimate
- Revenue came in at $1.65 billion, up 14% year-over-year and $37 million above guidance midpoint
- U.S. mortgage revenue surged 60% in USIS, driven by strong January and February activity
- The Iran conflict pushed rates higher mid-quarter, slowing mortgage activity and dampening the full-year outlook
- Equifax held its full-year guidance: 10%–12% revenue growth and $8.34–$8.74 adjusted EPS
Equifax posted a strong first quarter, beating Wall Street on both earnings and revenue. But the good news came with a caveat — the Iran conflict pushed interest rates higher and put a lid on what could have been a stronger full-year forecast.
$EFX Q1’26 EARNINGS HIGHLIGHTS
🔹 Revenue: $1.65B (Est. $1.62B) 🟢
🔹 EPS: $1.86 (Est. $1.70) 🟢FY Guide:
🔹 Revenue: $6.69B-$6.8B (Est. $6.75B) 🟡
🔹 EPS: $8.34-$8.74 (Est. $8.59) 🟡— Wall St Engine (@wallstengine) April 21, 2026
The company reported Q1 adjusted EPS of $1.86, up from $1.53 a year ago and ahead of the $1.69 consensus estimate. Revenue hit $1.65 billion, a 14% increase year-over-year and $37 million above the midpoint of its own February guidance.
EFX stock was flat in premarket trading at $198.45. The stock is down about 8.5% year-to-date heading into Tuesday’s session.
The standout performer was USIS, the U.S. information solutions segment, where revenue jumped 21%. Mortgage revenue within that unit surged 60%, largely off the back of strong activity in January and February — before rates climbed.
Workforce Solutions also had a solid quarter, with revenue up 10%. Verification Services revenue grew 14%, driven by double-digit growth in government and consumer lending.
International revenue rose 11% on a reported basis, though growth was more modest at 4% in local currency terms. Canada was a bright spot, up 8% in local currency.
Iran Conflict Hits Mortgage Pipeline
The Iran war changed the picture partway through the quarter. As rates rose, U.S. mortgage activity slowed, and that trend carried into the company’s thinking around the rest of 2026.
CEO Mark Begor said the strong Q1 results were “principally driven by very strong U.S. Mortgage revenue growth of 38%, principally in January and February before rates increased from the Iran conflict.”
Despite beating on Q1, Equifax kept its full-year constant dollar revenue growth guidance unchanged at around 10%, citing the rate environment and macroeconomic uncertainty.
The company did bump its full-year reported revenue guidance by $25 million and raised adjusted EPS by $0.04 per share — both attributable to favorable foreign exchange moves, not operational upside.
Price War With FICO Continues
Equifax is also in the middle of a six-month price war with Fair Isaac (FICO), alongside fellow credit bureaus Experian and TransUnion. All four are under pressure from regulators and lawmakers to make housing more affordable, with credit scoring costs in the spotlight.
Q2 guidance calls for reported revenue of $1.68 billion to $1.71 billion and adjusted EPS of $2.15 to $2.25.
Net income for Q1 came in at $171.5 million, up 29% from $133.1 million in the same period last year. Diluted EPS was $1.42, up 34% year-over-year.
Equifax returned $327 million to shareholders in the quarter through $260 million in buybacks and $67 million in dividends.
The company’s new product Vitality Index hit 17% in Q1, well above its long-term target of 10%.
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