Equifax Reports Record Revenue, Increases 15% in Second Quarter

ATLANTA – Equifax Inc. today reported revenue of $363 million for the second quarter of 2005, an increase of 15 percent from the same period last year. Operating income of $107 million was up 16 percent from $92 million in the second quarter of 2004.

As compared to the second quarter of 2004, which included a one-time net gain of $23 million ($0.17 per share) from the sale of an investment in a business partner and a $2 million asset impairment charge ($0.01 per share), earnings from continuing operations were $63 million ($0.47 per share) compared to $77 million ($0.58 per share) in the same period last year.

Adjusted for the impact of these one-time events and the Fair and Accurate Credit Transactions Act (“FACT Act”), a non-GAAP measure, revenue was $354 million, up 12 percent; earnings from continuing operations were $60 million, up 8 percent; and EPS was $0.45, up 9 percent. A reconciliation of non-GAAP financial measures to the corresponding GAAP measure is included in the attachment to this press release and is also available in the Investor Center on our website at www.equifax.com.

“Equifax once again delivered broad-based, solid financial performance,” said Thomas F. Chapman, Equifax chairman and CEO, “while superbly managing the impact of the FACT Act in partnership with our customers. Our 4,600 employees continue to execute our three-part growth strategy, whose pillars are: broad and deep information assets; powerful scientific analytics; and industry- leading enabling technologies. This strategy continues to drive our strong revenue growth and financial performance.”

Second Quarter Performance Highlights Compared to the Second Quarter of 2004 …

• Cash flow from operations was $88 million; free cash flow, a non-GAAP measure, was $76 million;
• Consolidated operating margins were 29 percent;
• North America reported revenue of $298 million, up 15 percent;
• North America Information Services reported revenue of $206 million, up 17 percent; excluding the impact of the FACT Act, a non-GAAP measure, $196 million, up 11 percent;
• Marketing Services revenue in North America was $63 million, up 7 percent;
• Personal Solutions increased revenue 21 percent to $29 million;
• Europe revenue grew to $35 million, up 2 percent; and
• Latin America revenue rose to $31 million, a 40 percent increase.