TransUnion Stock Gains 6% Post Reporting Q3 Earnings & Revenue Beat

TransUnion TRU reported impressive third-quarter 2025 results, wherein earnings and revenues beat the Zacks Consensus Estimate.The better-than-expected results and raised guidance impressed the market as the stock gained 5.8% since the release of results on Oct. 23, 2025.For 2025, TransUnion hiked its revenue guidance to $4.524-$4.544 billion from the preceding quarter’s view of $4.432-$4.472 billion. The mid-point ($4.534 billion) of the guided range is slightly higher than the Zacks Consensus Estimate for revenues of $4.53 billion.TRU raised its adjusted EPS guidance to $4.19-$4.25 from the preceding quarter’s view of $4.03-$4.14. The guided range is higher than the Zacks Consensus Estimate for earnings of $4.17.TRU’s quarterly adjusted earnings (adjusting 61 cents from non-recurring items) of $1.10 per share surpassed the consensus mark by 5.8% and increased by the same margin year over year. Total revenues of $1.2 billion outpaced the consensus mark by 3.1% and increased 7.8% from the year-ago quarter.The TRU stock has gained 3.6% in the past six months, outperforming the 9.5% decline of the industry it belongs to, while underperforming 24.2% growth of the Zacks S&P 500 Composite.TransUnion Price, Consensus and EPS Surprise  TransUnion price-consensus-eps-surprise-chart | TransUnion QuoteTransUnion’s Revenues by SegmentsThe U.S. Markets segment’s revenues of $912.8 million increased 7.6% year over year and surpassed our estimate of $897.7 million. Within the segment, Financial Services’ revenues of $438 million grew 19.3% from the year-ago quarter. Emerging Vertical revenues were $330 million, which increased 7.5% on a year-over-year basis. Consumer Interactive revenues were $144.8 million, which declined 16.6% from the third quarter of 2024.The International segment’s revenues increased 7.7% year over year to $260.1 million, and beat our projection of $235.3 million. Revenues from Canada were $43.4 million, which grew 10% year over year on a reported basis and 11% on a constant-currency basis. The metric beat our estimate of $35.6 million.Revenues from India gained marginally on a reported basis and 4.6% on a constant-currency basis to $68.5 million and surpassed our forecast of $68.1 million. Revenues from the Asia-Pacific were $23.7 million, down 7.6% from the year-ago quarter on a reported basis and 7.5% on a constant-currency basis, missing our estimate of $26.8 million.Revenues from Latin America rose marginally on a reported basis and remained flat on a constant-currency basis to $33.7 million and outpaced our projection of $29.5 million. Revenues from Africa increased 13.7% on a reported basis and 11.9% on a constant-currency basis to $19.4 million, beating our estimate of $18.5 million. Revenues from the U.K. were $71.4 million, up 23.5% year over year on a reported basis and 18.9% on a constant-currency basis, surpassing our estimation of $56.7 million.TRU’s Operating PerformanceAdjusted EBITDA was $425 million, marking year-over-year growth of 8% on both reported and a constant-currency basis. The reported figure beat our estimate of $402.5 million. The adjusted EBITDA margin was 36.3%, flat with the year-ago figure.Balance Sheet & Cash Flow of TRUTransUnion had $749.9 million in cash and cash equivalents at the end of the quarter compared with $687.5 million at the end of the second quarter of 2025. The long-term debt was $5 billion, flat with the previous quarter.Cash generated from operating activities in the quarter was $324.3 million. Capital expenditure was $83.9 million.TransUnion’s Q4 & 2025 OutlookFor the fourth quarter of 2025, TransUnion expects revenues of $1.119-$1.139 billion. The mid-point ($1.129 billion) of the guided range is slightly lower than the Zacks Consensus Estimate for revenues of $1.13 billion. TRU expects adjusted earnings per share (EPS) between 97 cents and $1.02. The mid-point (99.5 cents) of the guided range is slightly lower than the Zacks Consensus Estimate for earnings of $1.00 per share. The guidance for the adjusted EBITDA is kept at $393-$407 million.For 2025, the adjusted EBITDA outlook is hiked to $1.622-$1.637 billion from the preceding quarter’s view of $1.58-$1.615 billion.TRU has a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Earnings SnapshotPaychex, Inc. PAYX reported impressive first-quarter fiscal 2026 results.PAYX’s fiscal first-quarter earnings of $1.22 per share beat the Zacks Consensus Estimate by a slight margin and increased 5.2% from the year-ago quarter. Total revenues of $1.5 billion surpassed the consensus estimate by a slight margin and gained 16.8% from the year-ago quarter.FactSet FDS reported mixed results for the fourth-quarter fiscal 2025.FDS’s earnings per share of $4.05 missed the consensus mark by 2.4% but increased 8.3% from the year-ago quarter. Revenues of $596.9 million beat the Zacks Consensus Estimate by a slight margin and 6.2% from the year-ago quarter.Quantum Computing Stocks Set To SoarArtificial intelligence has already reshaped the investment landscape, and its convergence with quantum computing could lead to the most significant wealth-building opportunities of our time.Today, you have a chance to position your portfolio at the forefront of this technological revolution. In our urgent special report, Beyond AI: The Quantum Leap in Computing Power, you'll discover the little-known stocks we believe will win the quantum computing race and deliver massive gains to early investors.Access the Report Free Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Paychex, Inc. (PAYX): Free Stock Analysis Report FactSet Research Systems Inc. (FDS): Free Stock Analysis Report TransUnion (TRU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks