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Information solutions provider $EFX said it will provide The US Social Security Administration (SSA) with identity proofing and account, address and mobile device verification. The services will help SSA manage risk and reduce fraud for my Social Security program, which allows people to monitor their social security accounts.
$EFX agreed to buy ID Watchdog. Based in Denver and listed on the Toronto Venture Exchange, ID Watchdog is a provider of identity protection and resolutions services with primary distribution through the employee benefits channel. The acquisition is expected to close in 3Q17.
$EFX and $TRU reached an agreement to launch an identity theft protection feature, Multi-Bureau Lock, which allows customers to lock both company's credit reports. This agreement reinforces $EFX and $TRU's shared commitment to identity theft protection and data security by making it easier and more effective for consumers to monitor their credit.
$EFX Canada, a provider of anti-money laundering (AML) products, announced the launch of AML Assist, a new solution designed to help Canadian financial institutions comply with the recently amended Proceeds of Crime (Money Laundering) and Terrorist Financing Act regulations.
$EFX's BoD approved an 18% increase in the quarterly cash dividend to $0.39 per share from the previous dividend of $0.33 per share. The dividend is payable on March 15, 2017 to shareholders of record as of the close of business on March 3, 2017.
$EFX expects 1Q17 revenue of $822-826MM and adjusted EPS of $1.39-1.42. Given the recent strength of the USD, $EFX expects foreign currency to negatively impact revenue growth by about 1% and Adjusted EPS by just under $0.01. On a constant currency, revenue is expected to grow 14% in 1Q17 and Adjusted EPS is expected to grow 14-16%.
$EFX expects 2017 revenue of $3.375-3.425Bil and adjusted EPS of $5.96-6.10. Given the recent strength of the USD, $EFX expects foreign currency to negatively impact 2017 revenue growth by about 1% and Adjusted EPS by slightly over $0.02. On a constant currency, revenue is expected to grow 8-9% in 2017 and Adjusted EPS is expected to grow 9-11%.
$EFX reported a rise in 4Q16 earnings driven by higher revenue. Net income rose to $123MM or $1.01 per share from $111.9MM or $0.93 per share last year. Operating revenue grew to $801.1MM from $666.3MM. Adjusted EPS increased to $1.42 from $1.14.
$EFX said Elane B. Stock has been elected to the Board of Directors, effective January 1, 2017. She will also serve on the Board's Technology Committee. Following Ms. Stock's election, the Equifax Board will consist of 12 directors, including 11 independent directors. Stock comes from $KMB, where she was the Group President.
$EFX said it entered into a partnership with MaRS Discovery District, a Toronto-based innovation hub, to Fuel Fintech Innovation. The company increased its participation in Canada's fast-growing ecosystem as a partner of MaRS' Financial Technology Cluster.
$EFX now expects 2016 revenue to be about $3.145Bil, reflecting constant currency growth of about 21%. This is partially offset by 3% of foreign exchange headwind. Adjusted EPS is now expected to be $5.45-5.48, which is up 21-22%. Excluding negative impact from FX, this reflects constant currency adjusted EPS growth of 24-25%.
$EFX expects 4Q16 revenue of $797-801MM at current exchange rates, reflecting constant currency revenue growth of just over 22%, partially offset by about 2% of FX headwind. Adjusted EPS is expected to be $1.35-1.38, which is up 18-21% for 4Q16. Excluding $0.03 per share of negative FX, this reflects constant currency adjusted EPS growth of 21-24%.
$EFX's said the 3-year revenue from 2016 launches is expected to be more than 170% above expected 3-year revenue from 2015 launches. With continued focus on improving the process allow $EFX to drive continuous growth, the company sees initiatives to continue to drive and deliver incremental revenue growth in 2017 and beyond.
$EFX said 3Q16 was another outstanding broad-based performance, and the results accelerated on the 1H16, which added to strong outperformance year-to-date. The company added its four business units continue to execute at a very high level, driving impressive expansion in revenue, adjusted EBITDA margins and bottom line results.