NYSE$TRU

TransUnion · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

TransUnion's Q4 2022 financial results were announced, showcasing revenue growth driven by international strength and contributions from recent acquisitions.

TransUnion reported a 14% increase in total revenue, reaching $902 million in Q4 2022. The company's net income was $46 million, with adjusted EBITDA at $321 million. Neustar's revenue grew by 8% year-over-year, contributing to the company's overall performance.

  • Total revenues increased by 14 percent, driven by strength in International.
  • Neustar revenue grew 8 percent compared to its fourth quarter 2021.
  • Completed sale of non-core businesses for $176 million.
  • Prepaid $200 million in debt in fourth quarter of 2022, totaling $600 million in 2022.

Headline financials

Total Revenue

$902M

Previous: $790M+14.2%
EPS (adj)

$0.78

Previous: $0.81-3.7%
Adjusted EBITDA

$321M

Previous: $282M+13.8%
Adjusted EBITDA Margin

35.6%

Previous: 35.8%-0.6%
Capital Expenditures

$106M

Previous: $66.1M+59.9%
Free Cash Flow

$116M

Previous: $82M+41.6%
Net Income

$50.4M

Previous: $1.02B-95.1%
Operating Income

$144M

Previous: $114M+25.9%
Gross Profit

$591M

Previous: $503M+17.5%
Cash & Equivalents

$585M

Previous: $1.84B-68.2%
Total Assets

$11.7B

Previous: $12.6B-7.7%
Stock-Based Comp

$20.8M

Previous: $17.6M+18.2%

Revenue & EPS history

TransUnion · Revenue · Quarterly

$902M

Q4 2022+14.2%vs Q4 2021
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

TransUnion · $733M total across 3 segments · Q4 2022

  • U.S. Financial Services
    $296M+10.4%
  • U.S. Emerging Verticals
    $296M+39.0%
  • Consumer Interactive
    $141M-2.1%

Forward guidance

TransUnion expects to deliver 3 to 5 percent revenue growth in 2023, assuming continued slow economic growth.

Tailwinds

  • Expect to deliver 3 to 5 percent revenue growth
  • Solutions and thought leadership help customers and consumers navigate this dynamic environment.
  • Even if we enter a recessionary environment in 2023, we expect we can continue to deliver revenue growth.
  • Remain committed to deleveraging the balance sheet
  • Expect to continue to deleverage throughout 2023 and 2024.

Headwinds

  • Guidance is based on a number of assumptions that are subject to change
  • General macroeconomic conditions, interest rates and inflation are outside of the control of the Company
  • 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.
  • Impact of changing foreign currency exchange rates is expected to have approximately 1 point of headwind for Q1 2023 and 1 point of headwind for FY 2023.

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 Q4 2022

Historical avgQ4 2022

+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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