- First quarter revenue up 8%
- Full year guidance maintained
- Risk to earnings upgrades
Data services company Experian (EXPN) topped the FTSE 100, jumping 5% to a new one year high after revealing stronger than expected 8% organic revenue growth for the first quarter to 30 June.
Chief executive Brian Cassin enthused: ‘We delivered strong Q1 growth and have further advanced our strategic priorities.
‘Total revenue growth at constant currency was 12%, with organic revenue growth of 8%, sustaining recent strong underlying performance and our financial outlook for the year is unchanged.’
The shares have gained 16% so far in 2025, comfortably ahead of the blue-chip FTSE 100 index’s 9% advance.
STATESIDE STRENGTH
The US, Experian’s largest market, was a notable area of strength with revenue up 10% in constant currencies (9% organic) followed by EMEA (Emerging Europe and East Africa) and Asia Pacific contributing 7% organic growth.
At the other end of the spectrum the UK and Ireland remained relatively soft, contributing 2% organic growth in constant currencies. The company noted the ‘subdued economic environment’ continued to weigh on growth.
Looking ahead, Shore Capital’s Robin Speakman believes the strong start to the year suggests Experian’s previous full year 2026 guidance may turn out to be too conservative.
‘Whilst we retain our forecast stance at this juncture, opportunities for additional forecast accretion seem evident - with margin improvement to the fore in APAC in particular,’ opined Speakman.
To recap, at the full year results (14 May) the company guided for organic revenue growth in the range of 6% to 8% and an expansion in the operating margin of between 0.3% and 0.5%.
Speakman also noted positive industry demand and AI (artificial intelligence) tailwinds look set to persist.
