Profits up at Experian despite ‘modest’ domestic decline

Revenues and profits at Nottingham-based Experian rose in the half year to 30 September, despite a fall in turnover in the firm’s European business.

Revnues for the six months rose 5% to $2.1bn, while profits were up 6% to $518m.

The company experienced a “modest decline” in its UK and Ireland business, where revenues decreased by 3% as growth in B2B was offset by a decline in Consumer Services. However, Experian says its main revenue trends show strong growth in CreditMatcher, which matches consumers to card and loan offers, offset by attrition in subscription-based credit monitoring offers.

A statement from the firm said: “The full benefit of new services will materialise over the next several quarters and we continue to expect the rate of decline in this part of our business to moderate somewhat in the second half.

Brian Cassin, chief executive officer, added: “We have started the year well and are on course to deliver stronger organic revenue growth as we move through the year. We are now consistently delivering strong growth in our B2B activities and anticipate a further moderation in the decline of Consumer Services as new product launches take root. The benefits of investments in our technology transformation, our One Experian approach and exciting new product innovations are visible in our results and we are laying foundations for strengthening performance as we move forward.

“Looking ahead, we continue to expect good levels of growth for the year, with organic revenue growth in the mid-single digit range and stable margins as we invest in our operations and growth initiatives. We also continue to expect further progress in Benchmark earnings per share.”