NYSE$TRU

TransUnion · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

TransUnion's financial performance reflected significant improvements in demand and economic recovery in most markets.

TransUnion announced strong second-quarter results, driven by economic recovery and a diversified portfolio. Total revenue increased by 22% to $774 million, and net income attributable to TransUnion was $128 million. The company increased its full-year 2021 financial guidance, reflecting the outperformance and a bullish view for the remainder of the year.

  • Delivered strong growth, reflecting meaningful economic recovery in most of our markets and the benefits of our diversified, growth-oriented portfolio.
  • Increased full-year 2021 financial guidance to reflect second-quarter out-performance and a more bullish view of the remainder of the year.
  • Continuing to strategically invest to position TransUnion for long-term sustained growth.
  • Experienced significant recovery across most markets in the first six months of the year.

Headline financials

Total Revenue

$774M

Previous: $634M+22.0%
EPS (adj)

$0.96

Previous: $0.66+45.5%
Adjusted EBITDA

$319M

Previous: $243M+31.3%
Adjusted EBITDA Margin

41.1%

Previous: 38.2%+7.6%
Capital Expenditures

-$97.1M

Previous: -$87.6M-10.8%
Free Cash Flow

$30.5M

Previous: -$19.1M+259.7%
Net Income

$128M

Previous: $68.5M+86.3%
Operating Income

$218M

Previous: $124M+75.5%
Gross Profit

$524M

Previous: $416M+26.0%
Cash & Equivalents

$526M

Previous: $432M+21.7%
Total Assets

$7.4B

Previous: $7.03B+5.3%
Stock-Based Comp

$17.6M

Previous: $16.6M+6.0%

Revenue & EPS history

TransUnion · Revenue · Quarterly

$774M

Q2 2021+22%vs Q2 2020
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

TransUnion · $622M total across 3 segments · Q2 2021

  • U.S. Financial Services
    $271M+22.0%
  • U.S. Emerging Verticals
    $214M+16.8%
  • Consumer Interactive
    $137M+6.7%

Forward guidance

TransUnion provided guidance for the third quarter and full year 2021, based on assumptions subject to change, including macroeconomic conditions and the COVID-19 pandemic's impact. There is no assurance that the Company will achieve the results expressed by this guidance.

Tailwinds

  • Revenue, as reported for Q3 2021 is expected to be between $766 million and $777 million.
  • Revenue growth for Q3 2021 is expected to be between 10% and 12%.
  • Net income attributable to TransUnion for Q3 2021 is expected to be between $111 million and $117 million.
  • Diluted Earnings per Share for Q3 2021 is expected to be between $0.58 and $0.60.
  • Adjusted EBITDA for Q3 2021 is expected to be between $301 million and $308 million.

Headwinds

  • The impact of mortgage is expected to be approximately 4 points of headwind for Q3 2021.
  • There are numerous evolving factors that we may not be able to accurately predict.
  • There can be no assurance that the Company will achieve the results expressed by this guidance.
  • Guidance is based on a number of assumptions that are subject to change.
  • Many of which are outside of the control of the Company, including general macroeconomic conditions and the potential impact of the global COVID-19 pandemic.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+0.6%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+0.7%

Avg return

30 days after

57%

25 / 44 earnings

Positive

+18.4%

Q4 2015

Best reaction

-28.7%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.3%-1.1%+0.5%
Q4 2025-1.4%+4.9%-2.5%
Q3 2025+3.3%+2.8%+4.0%
Q2 2025-2.9%-4.9%-1.1%
Q1 2025+6.7%+6.7%+7.6%
Q4 2024+7.3%+3.9%-11.9%
Q3 2024+0.8%-2.0%-6.3%
Q2 2024+11.4%+15.8%+25.3%
Q1 2024+8.5%+6.3%+11.1%
Q4 2023+9.8%+6.3%+10.2%
Q3 2023-28.7%-32.8%-8.7%
Q2 2023+3.2%+0.4%-1.1%
Q1 2023+0.3%+7.8%+11.1%
Q4 2022+3.4%+3.9%-12.9%
Q3 2022+1.9%+5.1%+8.4%
Q2 2022-14.0%-9.6%-7.5%
Q1 2022-3.6%-5.7%-8.1%
Q4 2021-11.9%-6.6%+4.5%
Q3 2021-7.3%-2.4%-3.4%
Q2 2021+1.6%+3.0%+1.4%
Q1 2021+3.4%+4.0%+6.4%
Q4 2020-6.9%-6.1%-8.1%
Q3 2020-6.1%-5.6%+11.0%
Q2 2020+3.2%+0.2%-3.5%
Q1 2020+8.1%+2.6%+13.9%
Q4 2019+2.2%-0.7%-40.2%
Q3 2019+1.3%-0.1%+2.8%
Q2 2019+9.0%+12.7%+12.2%
Q1 2019-3.4%-1.8%-6.9%
Q4 2018-2.1%-2.6%+1.0%
Q3 2018-6.9%-10.2%-11.5%
Q2 2018-1.2%-4.5%-2.1%
Q1 2018+8.3%+8.0%+13.6%
Q4 2017-4.0%+0.6%+0.9%
Q3 2017+2.5%+4.5%+7.7%
Q2 2017-0.1%-0.7%+3.7%
Q1 2017-0.2%+0.4%+7.3%
Q4 2016+9.4%+8.5%+10.6%
Q3 2016-3.5%-6.6%-5.1%
Q2 2016-4.9%-7.3%-6.4%
Q1 2016+9.6%
Q4 2015+18.4%
Q3 2015+1.7%
Q2 2015+0.6%
Q4 2014
Q1 2015
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q4 2012
Q1 2013

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