Equifax earnings increased in the third quarter of 2026, with revenue rising 10% to $1.693 billion, but weaker U.S. mortgage activity prompted the company to lower its full-year outlook. In its October 20 announcement, Equifax also said it expected the previously announced Círculo de Crédito acquisition to close in the fourth quarter.
Key Takeaways
- Diluted earnings per share rose 39% to $1.79; adjusted EPS increased 11% to $2.26.
- Equifax lowered its 2026 revenue midpoint to $6.661 billion and adjusted EPS midpoint to $8.50.
- The Círculo de Crédito agreement was announced in July, with a $750 million enterprise value.
Table of Contents
- Equifax earnings grow faster than revenue
- Growth extends across business units
- Weaker mortgage market lowers full-year guidance
- Mexico acquisition remains targeted for fourth quarter
- Conclusion
Equifax earnings grow faster than revenue
Equifax's third-quarter results announcement showed net income attributable to the company rising 32% to $211.7 million for the quarter ended September 30, compared with $160.2 million a year earlier. Diluted EPS increased from $1.29 to $1.79.
Adjusted EPS of $2.26 was up 11% year over year. That measure excludes items including acquisition-related amortization and certain legal, regulatory and restructuring costs, so it differs from reported earnings.
Adjusted EBITDA margin increased to 33.1% from 32.7%. Equifax also returned $158 million to shareholders during the quarter, comprising $92 million in share repurchases and $66 million in dividends.
| Item | Details |
|---|---|
| Workforce Solutions | Q3 2026 revenue of $693.9 million, up 7% year over year. |
| U.S. Information Solutions | Q3 2026 revenue of $599.1 million, up 13% year over year. |
| International | Q3 2026 revenue of $399.5 million, up 9% reported and 7% in local currency. |
Growth extends across business units
Diversified Markets revenue increased 8% on a reported basis and 7.5% in local currency, providing growth beyond the mortgage business. Total company revenue increased 9% in local currency, slightly below the reported growth rate.
U.S. Information Solutions, or USIS, recorded the fastest reported revenue growth among the three business units. Its mortgage revenue increased 28%, while Workforce Solutions mortgage revenue was approximately flat. Across Equifax, U.S. mortgage revenue rose 15% despite weaker market conditions.
International growth included a 12% reported revenue increase in Latin America and 20% in Asia Pacific. Currency-adjusted growth in those regions was 8% and 12%, respectively.
Weaker mortgage market lowers full-year guidance
Chief Executive Officer Mark W. Begor said mortgage interest rates increased substantially in the latter half of the third quarter. Management expected the resulting weakness in the U.S. mortgage market to continue through the remainder of 2026.
Equifax reduced its full-year revenue guidance to $6.646 billion–$6.676 billion, with a midpoint of $6.661 billion. Adjusted EPS guidance is now $8.45–$8.55, a reduction of $0.04 at the midpoint that remains within the previous guidance range.
The company maintained its expectation for high-single-digit Diversified Markets revenue growth. Begor said cost controls and AI-driven operating efficiencies should largely offset the gross-margin impact of lower mortgage revenue.
For the fourth quarter, Equifax forecast revenue of $1.605 billion–$1.635 billion and adjusted EPS of $2.07–$2.17. These figures are management guidance, not completed results.
Mexico acquisition remains targeted for fourth quarter
Equifax signed the definitive agreement to acquire Mexico's Círculo de Crédito on July 7, 2026; the transaction was not newly announced with the October results.
The agreement carries a purchase price of $825 million. Its $750 million enterprise value reflects an estimated $75 million in cash at closing and no debt. Equifax plans to acquire all of the company's equity, subject to customary closing conditions and regulatory approval.
Management expects the acquisition to add to adjusted EPS in the first full year of ownership. The October earnings announcement reaffirmed an expected fourth-quarter closing.
Conclusion
The next milestones are fourth-quarter performance against the reduced outlook and the expected closing of Círculo de Crédito. Both will test whether growth outside mortgages and operating efficiencies can sustain earnings as mortgage demand weakens.
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