TransUnion's Q4 2024 Earnings: A Strong Finish to the Year

TransUnion (NYSE: TRU), a global consumer credit reporting agency, concluded the year 2024 on a strong note, reporting robust financial results for the fourth quarter. The company's revenue grew by 9% on an organic constant currency basis, marking the fifth consecutive quarter of exceeding guidance on both revenue and adjusted EBITDA. This performance reflects TransUnion's ability to navigate the market conditions and drive growth through innovation and customer retention.

Key Financial Highlights
TransUnion's total revenue for the quarter was $1,037 million, an increase of 9% compared to the fourth quarter of 2023. The company's net income attributable to TransUnion was $66 million, compared to $6 million in the same period last year. Diluted earnings per share (EPS) stood at $0.34, up from $0.03 in the fourth quarter of 2023. Adjusted net income was $192 million, with adjusted diluted EPS of $0.97, compared to $0.80 in the fourth quarter of 2023. Adjusted EBITDA for the quarter was $378 million, an increase of 16% compared to the fourth quarter of 2023.



Segment Performance
TransUnion's U.S. Markets segment revenue was $792 million, an increase of 8% compared to the fourth quarter of 2023. Financial Services revenue grew by 21% to $356 million, while Emerging Verticals revenue increased by 4% to $302 million. Consumer Interactive revenue, however, declined by 11% to $134 million due to lapping a large breach win from the prior year. Adjusted EBITDA for the U.S. Markets segment was $312 million, an increase of 16% compared to the fourth quarter of 2023.

The International segment revenue was $245 million, an increase of 11% (12% on a constant currency basis) compared to the fourth quarter of 2023. Canada revenue grew by 5% (8% on a constant currency basis) to $39 million, while Latin America revenue increased by 7% (15% on a constant currency basis) to $34 million. United Kingdom revenue grew by 6% (3% on a constant currency basis) to $59 million, and Africa revenue increased by 13% (8% on a constant currency basis) to $18 million. India revenue grew by 17% (18% on a constant currency basis) to $67 million, and Asia Pacific revenue increased by 19% (20% on a constant currency basis) to $29 million. Adjusted EBITDA for the International segment was $107 million, an increase of 11% (13% on a constant currency basis) compared to the fourth quarter of 2023.

Outlook for 2025
TransUnion expects to deliver 4.5 to 6 percent organic constant currency revenue growth with modest margin expansion in 2025, assuming a continuation of current subdued market conditions. The company remains focused on driving strong financial results while executing on its transformation initiatives, refining and strengthening its global operating model, completing U.S. and India technology modernization, and accelerating innovation and growth across its solution suites.

In conclusion, TransUnion's strong financial performance in the fourth quarter of 2024 reflects the company's ability to navigate market conditions and drive growth through innovation and customer retention. With a strategic collaboration with Credit Sesame and a focus on executing transformation initiatives, TransUnion is well-positioned to continue its growth trajectory in 2025.