Experian (LSE:EXPN) PLC reported a 41% decline in earnings in the first half and said it expects economic conditions to be tougher over the rest of its financial year, but kept its revenue target unchanged.
The credit checking giant reported revenue up 6% to US$3.2bn for the six months to 30 September 2022, with profit before tax down 21% to £517mln and earning per share falling to US$0.335 from US$56.5.
A first interim dividend of 17.0 US cents per share was declared, up 6%.
Revenue from ongoing activities was up 7% to US$3.2bn, or 8% growth on an organic basis, with underlying profits up 8% to £881mln and underlying earnings per share up 6% to US$0.654.
The fall in statutory profits was blamed on non-cash charges, mainly the impairment of goodwill of US$152m in Europe, Middle East and Africa (EMEA) region, while lower EPS also reflected an increased tax charge.
Chief executive Brian Cassin said the underlying growth was “driven by new products, new business wins and consumer expansion”.
On the outlook, he added: “While we expect economic conditions to be tougher over the balance of the year, and face some stronger comparables in Q3, our full-year expectations are unchanged. We expect organic revenue growth of between 7-9%, total revenue growth of between 8-10% and modest margin accretion, all at constant exchange rates and on an ongoing basis.”