TransUnion — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenue for the quarter was $1,312 million, a 12% increase compared to the third quarter of 2025 (12% constant currency, 8% organic constant currency).
• Net income attributable to TransUnion was $156 million, up from $97 million in the third quarter of 2025; diluted earnings per share (EPS) was $0.81 versus $0.49.
• Net income margin was 11.9%, compared to 8.3% in the prior year period.
• Adjusted Net Income was $242 million, up from $216 million in the third quarter of 2025; Adjusted Diluted EPS was $1.25 versus $1.10 (14% growth).
• Adjusted EBITDA was $465 million, a 9% increase from $425 million in the third quarter of 2025 (10% constant currency, 5% organic constant currency).
• Adjusted EBITDA margin was 35.4%, compared to 36.3% in the third quarter of 2025.
• Cash and cash equivalents were $883 million at September 30, 2026, compared to $854 million at December 31, 2025.
• Cash provided by operating activities for the nine months ended September 30, 2026, was $889 million, compared to $668 million in 2025.
• Cash used in investing activities for the nine months ended September 30, 2026, was $754 million, compared to $307 million in 2025.
• Capital expenditures for the nine months ended September 30, 2026, were $201 million (5% of revenue), compared to $229 million (7% of revenue) in 2025.
• Cash used in financing activities for the nine months ended September 30, 2026, was $86 million, compared to $301 million in 2025.
• Total debt was $5,456.6 million as of September 30, 2026; net debt was $4,573.5 million.
• The Leverage Ratio (Net Debt to Leverage Ratio Adjusted EBITDA) was 2.5 for the trailing twelve months ended September 30, 2026.

Guidance and Future Outlook:

• Maintained high-end of 2026 guidance for revenue.
• Raised guidance for Adjusted Diluted EPS for 2026.
• Expects 2026 to mark the third consecutive year of at least high-single digit organic constant currency revenue growth and double-digit Adjusted Diluted EPS growth.
• Q4 2026 Revenue guidance: $1,264 million to $1,294 million (8% to 10% reported growth).
• Full Year 2026 Revenue guidance: $5,131 million to $5,162 million (12% to 13% reported growth).
• Q4 2026 Adjusted Diluted EPS guidance: $1.15 to $1.22 (7% to 14% growth).
• Full Year 2026 Adjusted Diluted EPS guidance: $4.81 to $4.88 (12% to 13% growth).
• Q4 2026 Adjusted EBITDA guidance: $450 million to $468 million (8% to 12% reported growth).
• Full Year 2026 Adjusted EBITDA guidance: $1,808 million to $1,827 million (10% to 11% reported growth).
• Guidance assumptions include approximately 5 points of benefit from recent acquisitions for Q4 2026 and 4 points for FY 2026.
• Guidance assumptions include approximately 1 point of benefit from FICO mortgage royalty for Q4 2026 and 3 points for FY 2026.
• Guidance assumes foreign currency exchange rates are consistent between years (constant currency) and excludes inorganic growth (organic constant currency).

Business Segments and Product Lines:

• U.S. Markets revenue grew 7%, led by Financial Services and Insurance.
• International revenue grew 30% (31% constant currency, 10% organic constant currency).
• U.S. Financial Services revenue was $485 million, growing 11% (11% constant currency, 11% organic constant currency).
• U.S. Emerging Verticals revenue was $351 million, growing 6%.
• U.S. Consumer Interactive revenue was $140 million, declining 3%.
• U.S. Markets Adjusted EBITDA was $353 million, growing 1%.
• International Adjusted EBITDA was $156 million, growing 39% (41% constant currency, 20% organic constant currency).
• Canada revenue was $46 million, growing 5% (7% constant currency).
• Latin America revenue was $99 million, growing 193% (180% constant currency, 18% organic constant currency).
• United Kingdom revenue was $75 million, growing 5%.
• Africa revenue was $22 million, growing 15% (6% constant currency).
• India revenue was $74 million, growing 8% (18% constant currency).
• Asia Pacific revenue was $24 million, flat (3% constant currency).
• Results include Trans Union de México, S.A. S.I.C. reported in the International Segment.

Market and Competitive Landscape:

• Management noted accelerating growth in International markets, specifically India.
• Growth is underpinned by technology modernization and accelerated innovation.
• The company operates in more than 30 countries with over 13,000 associates.
• The company extends beyond core credit into marketing, fraud, risk, and advanced analytics.

Risks and Challenges:

• Macroeconomic effects, including tariffs, inflation, recession risk, and trade policy.
• Ongoing conflict in the Middle East.
• Ability to provide competitive services and prices.
• Ability to retain or renew existing agreements with large or long-term customers.
• Security and integrity of data.
• Uncertainty related to FICO's new Mortgage Direct License Program.
• Government regulation and changes in the regulatory environment.
• Potential governmental actions regarding mortgage credit reporting requirements or pricing.
• Litigation or regulatory proceedings.
• Approach to the use of artificial intelligence.
• Ability to manage costs and maintain effective internal controls.
• Economic and political stability in international markets.
• Ability to acquire businesses, secure financing, and integrate operations.
• Protection and enforcement of intellectual property.
• Reliance on outside service providers and key vendors.
• Increased availability of free or inexpensive consumer information.
• Stock price volatility.
• Changes in tax laws.

Management Commentary and Tone:

• Chris Cartwright, President and CEO, stated the company delivered "another quarter of strong results exceeding our guidance."
• Management highlighted that U.S. Financial Services and Insurance led U.S. Markets growth.
• Management noted International growth accelerated to 10% on an organic constant currency basis.
• Management expressed confidence in maintaining high-end revenue guidance while raising EPS guidance, balancing momentum against rising interest rates and market uncertainty.
• Management emphasized progress in technology modernization and innovation as underpinnings for results.
• Management stated that growth momentum, increasing cash flow, and a strong balance sheet support an accelerated pace of capital return to shareholders.

Other Key Points:

• Share repurchases increased to a total of $243 million year-to-date.
• The Board raised share repurchase authorization by $1 billion to $2 billion in total.
• The company expects to repurchase up to $500 million of shares in total in 2026.
• The Board raised the quarterly dividend to $0.135 per share, an increase from $0.125, effective for the third quarter of 2026.
• The dividend is payable on November 25, 2026, to shareholders of record on November 10, 2026.
• Acquisitions included Trans Union de Mexico and the mobile division of RealNetworks LLC.
• A gain on the acquisition of an affiliate of $225.5 million was recorded in the nine months ended September 30, 2026.
• The company hosts a conference call and webcast to discuss results.