Equifax 2009 Annual Report Download - page 21

Download and view the complete annual report

Please find page 21 of the 2009 Equifax annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 84

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84

International
International Twelve Months Ended December 31, Change
2009 vs. 2008 2008 vs. 2007
(Dollars in millions) 2009 2008 2007 $ % $ %
Operating revenue:
Europe $ 138.4 $ 175.0 $ 183.8 $ (36.6) (21)% $ (8.8) (5)%
Latin America 200.4 219.9 182.5 (19.5) (9)% 37.4 20%
Canada Consumer 99.8 110.8 106.5 (11.0) (10)% 4.3 4%
Total operating revenue $ 438.6 $ 505.7 $ 472.8 $ (67.1) (13)% $ 32.9 7%
% of consolidated revenue 24% 26% 26%
Total operating income $ 118.9 $ 149.9 $ 141.1 $ (31.0) (21)% $ 8.8 6%
Operating margin 27.1% 29.6% 29.8% (2.5) pts (0.2) pts
For 2009, as compared to 2008, revenue decreased primarily due for our collection services and decisioning technology products. The
to the negative impact of foreign currency translation and seconda- revenue declines in Brazil and Chile were mainly due to lower
rily due to global economic weakness affecting several of our larger volumes related to our online solutions, marketing products and
international country operations. Local currency fluctuation against decisioning technologies, resulting primarily from competitive factors
the U.S. dollar negatively impacted our 2009 International revenue in these geographies.
by $47.2 million, or 9%. In local currency, 2009 revenue was down
4%, as compared to the same period a year ago. For 2008, as For 2008, as compared to 2007, increased revenue was driven by
compared to 2007, revenue increased primarily due to growth in double-digit growth in all countries in which we operate. Local cur-
Latin America and Canada, offset by a decline in Europe due to rency fluctuation against the U.S. dollar favorably impacted Latin
weakness in the U.K. economy. Local currency fluctuation against America revenue growth by $9.3 million, or 5%, for 2008, when
the U.S. dollar minimally impacted our International revenue in 2008. compared to 2007, as revenue in local currency grew 15%, when
In local currency, revenue was up 7% in 2008, when compared to comparing these periods. This broad-based revenue growth was
the prior year. primarily due to higher volumes related to our online solutions, deci-
sioning technologies and marketing products, as well as a new con-
Europe. The decline in revenue for 2009, as compared to the prior tract in Brazil to provide data to a large regional consumer services
year, was partially due to the unfavorable foreign currency impact of data provider. The increases were also impacted by acquisitions of
$21.3 million, or 12%. In local currency, revenue declined 9% for several small businesses in Argentina, Brazil, Chile, Ecuador and El
2009, as compared to the same period in 2008. The local currency Salvador during 2008.
declines were due to decreased volume in the U.K. caused by
weakness in the U.K. economy affecting customer demand, which Canada Consumer. The decline in revenue for 2009, as compared
was partially offset by higher volumes and new customers for our to the prior year, was partially due to an unfavorable foreign cur-
online services and new collections products in Spain and Portugal. rency impact of $7.0 million, or 6%. In local currency, revenue
The decrease in revenue for 2008, as compared to 2007, was pri- declined 4% for 2009, as compared to 2008. The decline in local
marily due to the impact of foreign currency. Local currency fluctua- currency was due to lower volumes related to our online solutions
tion against the U.S. dollar negatively impacted Europe revenue by and marketing products resulting from weakness in the economy,
$8.4 million, or 5%, for 2008, when compared to 2007. Growth in partially offset by increased volumes for our analytical and decision-
the U.K. in the first half of 2008 was offset by declines in revenue, ing technology products. For 2008, as compared to 2007, revenue
when compared to 2007, in the last six months of 2008 attributable growth was driven by higher prices and volume related to our mar-
to the weakening U.K. economy. keting services and technology products. Local currency fluctuation
against the U.S. dollar favorably impacted revenue growth by
Latin America. Revenue declined for 2009, as compared to the $1.2 million, or 1%, and revenue in local currency grew 3% for
prior year, due to the unfavorable foreign currency impact of 2008, as compared to 2007. Although revenue increased year over
$18.9 million, or 9%. In local currency, 2009 revenue was approxi- year, revenue growth during the first nine months of 2008 was par-
mately flat when compared to 2008. Local currency revenue tially offset by weakness in the fourth quarter revenue due to the
declines in Brazil and Chile were offset by increased revenue in our stronger U.S. dollar and deteriorating conditions in the Canadian
other Latin American geographies resulting from increased volumes economy.
EQUIFAX 2009 ANNUAL REPORT 19
11943 Equifax_Financials.indd 19 3/4/10 4:21 PM