Equifax 2014 Annual Report Download - page 5

3 2014 ANNUAL REPORT
REVENUE BY BUSINESS UNIT*
EQUIFA X 2014
n USIS 45%
n International 26%
n Workforce Solutions 20%
n PSOL 9%
* From continuing operations
customers. Again utilizing the depth and breadth of our data, we are helping
organizations reduce losses while protecting their customers by offering solutions
that detect patterns indicative of suspicious activity. We made huge strides in
this arena in 2014 with a number of wins that generated significant revenue and
further established our expertise in offering unique and powerful solutions to help
combat this multi-billion-dollar-a-year problem.
The contract wins include a multi-year, multi-million dollar agreement with the
Social Security Administration to enable consumers to access their information
in a secure, online environment. We also won a cloud-based ID authentication
solution with a major credit card company. Additionally, we secured another
multimillion dollar opportunity with the Centers for Medicaid & Medicare Services
to monitor service providers.
While sparks of growth were seen throughout the company in 2014, perhaps
the biggest fireworks came from Workforce Solutions. This business unit had
a breakout year, extending its human resource, analytics and verification services
into new markets including automotive, credit card and government – delivering
double-digit revenue growth and expanding its operating margins.
When we acquired TALX Corporation eight years ago, it was a diamond in the rough.
Then, best described as a business process outsourcing company, its revenue
was $180 million with a 16 percent operating margin. Today, Workforce Solutions
is one of the gems of the company with a revenue contribution of $490 million or
20 percent of total Equifax revenue and an operating margin of 33 percent.
The Work Number® database, a part of the Workforce Solutions business unit,
is a consolidated source of income and employment information from more
than 4300 employers, and has become an invaluable tool for both employers
and employees. The Work Number is enabling access to consumer credit while
bringing new risk transparency to lenders. This helps bring down the cost of
credit as lenders increasingly seek to control the risk in their lending portfolios.
It also keeps employee data secure throughout the verification process, saving
companies the time and money it takes to do it themselves. This expedites verifier
decisions, is in compliance with the Fair Credit Reporting Act, and is the industry’s
first automated consumer-consent model for employees.
Workforce Solutions also is making its mark by meeting the demand for compliance
solutions for business and government. It is the largest processor of unemployment
claims, I-9 and E-Verify solutions in the nation. Today, more than 50,000 users are
leveraging our unemployment cost management platform, CaseBuilder™, a solution
that works with the U.S. Department of Labor’s State Information Data Exchange
System to promote compliance and unemployment data integrity, while at the same
time unifying the unemployment claims process. This year, a mobile version was
added making the process accessible for employers in remote locations and field
offices in an ever-increasing virtual workplace.
High-value insights from The Work Number are also helping employers ensure they
are fulfilling their compliance requirements associated with the Affordable Care Act
(ACA). In 2014, we signed more than 200 contracts with employers providing them
with valuable information to support their compliance with the ACA and helped
millions of U.S. consumers gain access to lower cost healthcare plans. Our I-9 and
E-Verify solutions are helping companies and organizations streamline the hiring
process, reduce risk and leverage federal, state and local tax credit incentives.
Our Personal Solutions business unit, which supplies consumers with information
to help them understand their credit and protect their identity, launched a strategic