By Equifax, the Atlanta-based company known for maintaining credit reports and supplying them to lenders, has revised its revenue outlook for the year. This adjustment is in response to the continued weakening of the mortgage market in the United States.
In 2023, Equifax expects its revenue to reach $5.3 billion, which is reflective of the impact of the weakened mortgage market and the loss of mortgage revenue. Additionally, the company anticipates adjusted per-share earnings of $6.98 at the midpoint, taking into account the lower mortgage revenue.
As a result of this announcement, Equifax’s shares saw a decline of 6.3% in aftermarket trading, with a closing price of $222.48.
Chief Executive Mark Begor explained, “We expect the weaker-than-expected U.S. mortgage market that we saw in June to continue, and we now expect full year mortgage originations to decline about 37%.” This statement gives a clear indication of the company’s projected trajectory.
Equifax’s second-quarter results also revealed a decrease in net income and flat revenue. While these figures may not be ideal, the company remains determined to navigate through these challenges.
Comments