Equifax: Data for Hiring and Mortgage Refis Drive Stronger-Than-Expected Growth

Demand for data used in hiring, consumer lending and mortgages drove growth that was stronger than expected in the first quarter at Equifax.

The global data, analytics and technology company saw its first-quarter revenue come in at $37 million above the midpoint of the guidance it provided in February, executives said Tuesday (April 22) during Equifax’s quarterly earnings call.

Two-thirds of the outperformance came from the company’s non-mortgage business and one-third from its mortgage business, Equifax CEO Mark W. Begor said during the call.

Equifax saw its Non-Mortgage revenue grow 6%, driven by strong gains in its Talent Solutions and Consumer Lending businesses and better-than-expected gains in its Government business, according to a Tuesday earnings release.

The company’s U.S. Mortgage business saw 7% revenue growth during the quarter, per the release.

Begor said during the call that he attributed this growth to increasing penetration and performance of the company’s mortgage pre-qualification and pre-approval products, a market that was about 400 basis points higher than Equifax expected in February, and a decline of about 30 basis points in mortgage rates in late February and March.

“We believe this improvement was likely led by higher mortgage refi activity off the lower mortgage rates,” Begor said during the call.

Equifax’s Talent Solutions business saw revenue growth of 12% during the quarter, which Begor attributed to “better hiring volumes in February and March, as well as easier comps versus first quarter last year.”

The company sees opportunities to grow its Government business due to the new administration’s emphasis on efficiency in the federal government. For example, Equifax provides the Social Security Administration with a solution that delivers income and employment information for people applying for or receiving disability benefits.

“There’s a clear change in Washington around social service and tax integrity, waste and abuse, which we view as a positive macro for Workforce Solutions,” Begor said.

While the company outperformed its February guidance, Equifax did not change its full-year 2025 guidance because of the uncertain conditions in the macroeconomic environment and the markets caused primarily by tariffs, according to the earnings release.

“Given the strength in the first quarter in our current run rates and key verticals, we would normally be increasing our 2025 revenue and adjusted EPS guidance,” Begor told analysts during the call. “But given the significant uncertainty in the economy and with consumer and corporate confidence, we are maintaining our 2025 guidance at the levels we provided to you in February.”