Good score: Experian posts £1.18bn profit despite ‘external shocks’
Credit scoring giant Experian saw profit and revenue growth in its financial year, despite challenges posed by the Covid-19 pandemic.
The business saw revenue growth of seven per cent and profit before tax growth of six per cent.
Experian posted an operating profit of close to £1.18bn for the period.
The business did not make use of the furlough scheme, instead it cut back on its discretionary spend, froze its headcount, and delayed non-critical investment.
Following publication of the results Experian’s share price fell 2.36 per cent.
CEO Brian Cassin said: “We have again shown Experian’s resilience in the face of external shocks, which is due to the diversity of our portfolio and our successful innovation-led investments in new opportunities.
“We are off to a strong start to FY22 and expect Q1 organic revenue growth in the range of 15-20% which gives us every confidence of another successful year ahead.
“For the year, we expect organic revenue growth in the range of seven to nine per cent.”
Steve Clayton, fund manager of the HL UK Growth Shares fund, which holds Experian added: “Experian’s ability to continue driving organic revenues forward, even through a pandemic is impressive.
“Their expectation of double-digit revenue growth and rising profit margins in the current year should be well received by investors. Many companies will be forecasting the same this year of course, but most will be doing so from a much-reduced base; Experian’s record of growth through adversity, with a notable acceleration as economies emerge from the pandemic sets it apart.”