TransUnion - TRU STOCK NEWS

TransUnion (NYSE: TRU) reported its second quarter 2024 results, surpassing financial guidance. Revenue rose 8% to $1,041 million, driven by U.S. mortgage and international sectors. Net income increased to $85 million, up from $54 million in Q2 2023. Diluted EPS was $0.44, compared to $0.28 in Q2 2023. Adjusted Net Income was $193 million, with Adjusted Diluted EPS at $0.99. Adjusted EBITDA grew 11% to $377 million. The company prepaid $80 million in debt and completed refinancing, reducing interest expenses.

Segment-wise, U.S. Markets revenue was $809 million, a 6% increase, while International revenue grew 13% to $235 million. The company raised its 2024 revenue growth guidance to 7-8%, citing outperformance and a large breach remediation win.

For the first half of 2024, cash provided by operations was $349 million, and cash used in investing was $127 million. The guidance for Q3 and full year 2024 shows expectations of 7-8% revenue growth and 8-11% EBITDA growth.

TransUnion (NYSE: TRU) has partnered with SafeGuard Privacy to enhance compliance vetting for third-party audience vendors in the TruAudience Data Marketplace. This collaboration aims to streamline marketers' selection process for compliant data providers, addressing evolving privacy regulations. The partnership introduces a new data diligence questionnaire, combined with SafeGuard Privacy state law assessments, to ensure data providers adhere to privacy-safe and compliant methodologies.

The TruAudience Data Marketplace offers access to over 55,000 audiences from 50+ Data Providers, reaching 80 million streaming US households. This initiative reinforces TransUnion's commitment to maintaining high standards across its products and services, particularly as more comprehensive state and privacy laws come into effect.

TransUnion (NYSE: TRU) has been named one of Seramount's 100 Best Companies in 2024, marking its second consecutive appearance on this prestigious list. The recognition highlights TransUnion's commitment to providing inclusive benefits for families, including paid gender-neutral parental leave, subsidized childcare, and increased mental health support.

Notable achievements include a first-place ranking for mental health benefits and policies. TransUnion's Chief Human Resources Officer, Susan Muigai, emphasized the company's dedication to creating a sense of belonging and supporting employee development. The company offers a competitive Total Rewards package, featuring flexible time off, remote work options, infertility coverage, and adoption assistance.

Seramount's annual survey, which involves over 200 questions, evaluates corporations based on their leave policies, workforce representation, benefits, and advancement programs. This recognition underscores TransUnion's ongoing efforts to build an inclusive and supportive workplace for all associates.

TransUnion's latest survey, conducted among 1,200 U.S. consumers in Q2 2024, reveals high satisfaction with Buy Now, Pay Later (BNPL) loans. About 89% of users are satisfied, and 85% would recommend BNPL to others.

Approximately 40% of non-users are likely to use BNPL in the future, with this figure rising to 53% if BNPL positively impacts credit scores. The survey shows that 80% of BNPL users utilize these loans more than once a year.

TransUnion has launched capabilities to reflect BNPL loans in credit scores, aiming to boost financial inclusion. Significant findings include 86% of users being more likely to use BNPL if it improves credit scores and over half of users across income tiers valuing the ability to build credit scores through BNPL.

TransUnion (NYSE: TRU) has announced a collaboration with Asurint to enhance its TruVision™ Resident Screening solution for multifamily property managers. This partnership integrates Asurint’s comprehensive criminal background reporting, ensuring compliance with federal, state, and local regulations. The enhanced solution offers nationwide automated coverage and improves the speed of background checks, delivering most reports within minutes and same-day for more complex cases. The solution aims to assist property managers in making informed decisions while maintaining consumer privacy.

A new TransUnion (NYSE: TRU) study reveals that consumer affordability challenges and tightened lending standards are affecting new vehicle originations in the auto industry. The study, 'Originating Auto Loans With Confidence,' examines trends in auto originations, consumer savings, debt burdens, and credit scores during the pandemic and surrounding years. Despite a brief post-lockdown recovery in 2021, auto originations have declined year-over-year due to supply shortages and now, affordability issues and tighter consumer budgets. Notably, the average monthly debt for consumers with auto loans has increased by nearly 20% over the past two years, with monthly payments rising from $1,345 in Q1 2022 to $1,583 in Q1 2024. This increase is almost double the Consumer Price Index (CPI) growth over the same period. Delinquencies among auto borrowers are also up, with 60+ day delinquencies rising to 1.33% in Q1 2024 from 1.19% a year earlier. Consumers with significant credit score increases in 2022 are at greater risk of delinquencies. Lenders are encouraged to adapt their strategies to manage risk and stimulate originations, including using alternative data and conducting performance analyses.

TransUnion (NYSE: TRU) has announced the release date for its second quarter financial results for 2024, which ended on June 30, 2024. The results will be published on July 25, 2024, at approximately 6:00 a.m. Central Time (CT).

On the same day, the company will hold a conference call at 8:30 a.m. Central Time (CT) to discuss the financial outcomes. Both the press release and the live webcast of the earnings call will be accessible on the TransUnion Investor Relations website.

New research from TransUnion (NYSE: TRU) and MMA Global reveals a successful marketing strategy called 'Movable Middles'. This strategy targets category buyers who are not brand loyal, resulting in superior short- and long-term results. Key findings show that targeting Movable Middles can yield 9.5x more conversions, save over 50% in marketing costs, and produce up to 23x higher returns on marketing investment. Ally Bank applied this approach and saw a 2.2x increase in short-term account openings and a 1.9x increase in long-term customer acquisitions. This strategy, backed by empirical data, offers a roadmap for marketers to maximize their advertising efficiency.

TransUnion's Q2 2024 Consumer Pulse study highlights that U.S. consumer concerns about inflation and interest rates have reached their peak in two years. Despite this, 55% of Americans remain optimistic about their finances, driven by stable employment and rising wages. The study, based on a survey of 3,000 adults, reveals that inflation in essential goods like groceries and gas is a top concern for 84% of respondents, a 5% increase from the previous year. Additionally, 46% are worried about rising interest rates. Young generations, especially Gen Z and Millennials, show the highest optimism about their financial future. However, 48% of consumers report that their incomes are not keeping up with inflation. More consumers are turning to credit, with 31% planning to apply for new credit or refinance existing credit within the next year, despite high interest rates.