14th Jul 2016 06:10
LONDON (Alliance News) - Information services group Experian PLC on Thursday said it delivered 5.0% organic revenue growth in the first quarter, but total growth was held back by adverse foreign exchange movements against its dollar reporting currency.
The FTSE 100-listed group said revenue, at constant exchange rates, grew 5.0% on an organic basis in the quarter to the end of June, with 9.0% growth in its Europe, Middle East and Africa/Asia-Pacific unit and 8.0% growth in Latin America. Revenue in North America grew 5.0% organically and UK & Ireland organic revenue grew 1.0%.
However, total revenue for the group grew 1.0% in the quarter. EMEA/Asia-Pacific revenue was up 8.0% and North American revenue was up 5.0%. But total revenue for the group, which reports in dollars, fell 6.0% in Latin America due to the weakness of the Brazilian real, and UK & Ireland revenue fell 5.0% due to a weaker pound.
If current exchange rates prevail through the year, Experian said it anticipates this would have a negative 1.0% impact on its earnings before interest and tax in the year to the end of March 2017, weighted to the first half.
On a divisional basis, Experian said its Credit Services and Decision Analytics units performed well in the quarter.
Chief Executive Brian Cassin said the company is "closely monitoring" the potential implications of the UK's exit from the European Union, but has seen "no significant adverse impact" to trading in its UK business from the Brexit decision.
"Looking ahead, our guidance for the full year is unchanged. At a group level and at constant currencies, we expect organic revenue growth in the mid single-digit range and to deliver stable margins as we invest for growth," Cassin said.
By Sam Unsted; [email protected]; @SamUAtAlliance
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