Experian sales rise despite slowdown
CREDIT information firm Experian yesterday said total revenue growth for the first quarter was up one per cent and its businesses traded in line with expectations, despite tough trading conditions.
Experian, best known for running consumer credit checks for banks, said total growth in the three months to end-June was up 1 per cent at constant exchange rates, but down eight per cent at actual exchange rates.
Chief executive Don Robert said: “We are managing the business tightly and are on track for the year to broadly maintain margins.”
Experian, whose credit checking services have been hit by a sharp drop in bank lending in the wake of the global financial crisis, has responded by developing new products aimed at helping lenders manage default risk. The company is also looking to overseas expansion, particularly in Latin America, with Brazil a key target while the UK market takes time to recover. Its Latin America operations posted a 15 per cent surge in revenues during the quarter.
In May Experian said it was expecting “little organic revenue growth” during the first half and identified another £13m of cost savings, taking its total up to £96m.
Earlier this month Experian announced its chairman John Peace was leaving to fill the same role at emerging market focused bank Standard Chartered. He had been acting chairman of the bank since January when Mervyn Davies quit at short notice to become a Treasury minister. Wednesday’s annual meeting will be the last event to be chaired by Peace.