Please provide a page and a half paper to answer the following question:

Major factors company should be aware of/evaluate regarding future investments projects.

Use the attachments to answer the question.

See EquifaxReport.doc 4.29.15.docSee Financial Condition.docxSee Greg Analysis (ratios and CSIS CSBS).docxts.

See Data Spreadsheet for Equifax Inc_Interim Report 1.xlsSee Equifax Financials 2012-2014.pdfSee EquifaxReport.doc 4.12.15.doc

Equifax, Inc. Income Statement 2012-2014 2014A 2013A 2012A In Millions of USD (except for per share items) Revenue Cost of Revenue 2,440.00 842.30 2,300.00 786.60 2,160.00 829.40 Gross Operating Profit 1,590.00 1,520.00 1,330.00 Selling / General / Administrative Expense Research & Development Operating Income before D & A (EBITDA) Depreciation / Amortization Interest Income Other Income - Net Special Income/ Charges 751.70 0.00 842.40 204.20 0.00 4.60 0.00 715.80 0.00 801.50 190.30 0.00 (10.60) 0.00 678.70 0.00 652.40 163.40 0.00 6.60 0.00 Total Income Before Interest Expenses (EBIT) 642.80 600.60 495.60 Interest Expense Pre-Tax Income Income Taxes Minority Interest 68.60 574.20 200.20 6.60 374.00 0.00 374.00 70.20 530.40 188.90 8.10 341.50 18.40 359.90 55.40 440.20 159.40 8.70 280.80 0.00 280.80 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total Net Income 367.40 351.80 272.10 Normalized Income (Net Income from Continuing Operations, Ex. Special Income/ Charge) 374.00 341.50 280.80 Net Income Available To Common Stockholders Preferred Dividends Basic EPS from Continuing Ops. Basic EPS from Discontinued Ops. Basic EPS from Total Operations Basic EPS from Extraordinary Inc. 374.00 0.00 3.03 0.00 3.03 0.00 341.50 0.00 2.75 0.00 2.90 0.00 280.80 0.00 2.27 0.00 2.27 0.00 0.00 0.00 0.00 0.00 0.00 3.03 3.03 2.97 0.00 2.97 0.00 0.00 0.00 0.00 2.97 0.00 0.00 2.90 2.75 2.69 0.15 2.84 0.00 0.00 0.00 0.00 2.84 0.00 0.00 2.27 2.27 2.22 0.00 2.22 0.00 0.00 0.00 0.00 2.22 2.97 1.00 2.69 0.88 2.22 0.72 Period Ended Net Income from Continuing Operations Net Income from Discontinued Operations Net Income from Total Operations Extraordinary Income/Losses Income from Cum.Effect of Acct.Change Income from Tax Loss Carryforward Other Gains/Losses Basic EPS from Cum Effect of Accounting Change Basic EPS from Tax Loss Carryf'd Basic EPS from Other Gains (Losses) Basic EPS, Total Basic Normalized Net Income/Share EPS fr Continuing Ops. EPS fr Discontinued Ops EPS fr Total Ops. EPS fr Extraord. Inc. EPS fr Cum Effect of Accounting Change EPS fr Tax Loss Carfd. EPS fr Other Gains (L) EPS, Total Diluted Normalized Net Inc/Shr (Net Income From Continuing Operations, Ex. Special Income / Charge) Dividends Paid per Share Equifax, Inc. - Common Size Income Statement Period Ended 2014A 2013A 2012A In millions of USD (except for per share items) Revenue Cost of Revenue Gross Profit Selling / General / Administrative Expense Research & Development Depreciation / Amortization Operating Income Interest Expense - Non-Operating Investment Income - Non-Operating Interest / Investment Income, Non-Operating Interest Income (Expense), Net-Non-Operating, Total Other, Net Net Income Before Taxes Provision for Income Taxes Net Income After Taxes Net Income Before Extraordinary Items Net Income Net Profit Margin Income Available to Common Excluding Extraordinary Items Income Available to Common Stocks Including Extraordinary Items Shares Outstanding - Common Stock Primary Issue Total Common Shares Outstanding Treasury Shares - Common Stock Primary Issue For Common Size Analysis ALL income statement items are divided by sales revenue *For 2015 we will average reminburese travel to gather the data for revenue figures. Equifax, Inc. - Balance Sheet 2014A 2013A 2012A In Millions of USD (except for per share items) Assets Cash and Equivalents Receivables Other Current Assets Total Current Assets Property, Plant & Equipment, Gross Accumulated Depreciation & Depletion Property, Plant & Equipment, Net Intangibles Other Non-Current Assets Total Non-Current Assets Total Assets 128.30 337.20 139.60 605.10 655.40 354.80 300.60 1,050.00 112.60 4,070.00 4,670.00 235.90 309.70 102.80 648.40 761.20 472.30 288.90 1,070.00 138.80 3,890.00 4,540.00 146.80 317.00 74.90 538.70 745.30 461.60 283.70 1,240.00 165.10 3,980.00 4,520.00 Liabilities & Shareholder Equity Accounts Payable Short Term Debt Other Current Liabilities Total Current Liabilities Long Term Debt Deferred Income Taxes Other Non-Current Liabilities Minority Interest Total Non-Current Liabilities Total Liabilities 20.30 380.40 161.60 823.10 1,150.00 241.50 229.30 6.60 1,650.00 2,470.00 19.90 296.50 98.70 662.50 1,150.00 263.70 127.20 8.10 1,580.00 2,240.00 25.10 283.30 90.60 646.50 1,450.00 236.70 230.30 8.70 1,940.00 2,590.00 2,200.00 236.60 1,200.00 3,550.00 (2,350.00) (441.30) 3,350.00 2,200.00 4,670.00 119.40 69.30 121.20 123.50 7,500.00 0.00 2,300.00 236.60 1,170.00 3,331.00 (2,100.00) (318.50) 3,450.00 2,300.00 4,540.00 121.90 66.80 121.20 123.70 7,000.00 0.00 1,930.00 236.60 1,140.00 3,060.00 (2,140.00) (367.90) 3,380.00 1,930.00 4,520.00 120.40 68.30 119.90 122.50 7,000.00 0.00 Period Ended Common Stock Equity Common Par Additional Paid In Capital Retained Earnings Treasury Stock Other Equity Adjustments Total Capitalization Total Equity Total Liabilities & Stock Equity Total Common Shares Outstanding Treasury Shares Basic Weighted Shares Outstanding Diluted Weighted Shares Outstanding Number of Employees Number of Part-Time Employees Equifax, Inc. - Common Size Balance Sheet Period Ended In millions of USD (except for per share items) Cash and Short Term Investments Total Receivables, Net Total Inventory Other Current Assets, Total Total Current Assets Property / Plant / Equipment, Total - Net Goodwill, Net Intangibles - Gross Long Term Investments Other Long Term Assets, Total Total Assets Accounts Payable Accrued Expenses Notes Payable / Short Term Debt Current Portion of Long Term Debt / Capital Leases Customer Advances Other Current liabilities, Total Total Current Liabilities Total Long Term Debt Deferred Income Tax Other Liabilities, Total Total Liabilities Common Stock Common Stock, Total Additional Paid-In Capital 2014A 2013A 2012A Retained Earnings (Accumulated Deficit) Treasury Stock - Common Other Comprehensive Income Other Equity, Total Total Equity Total Liabilities & Shareholders' Equity Shares Outstanding - Common Stock Primary Issue Total Common Shares Outstanding For Common Size Analysis, all items on balance sheet are divided by total assets. Year 2012A 2013A 2014A Revenue (Millions) % Growth Revenue (Millions) 1 1 1 1 1 1 0 0 0 0 0 0 2012A 0 0 2013A 2014A 0 0 Year Current Ratio 2012A 2013A 2014A Quick Ratio 0.8332559938 1.0409638554 0.7351154313 0.1215066829 0.3529411765 0.200927357 Current Ratio = Current Assets Current Liabilities Quick Ratio = Current Assets - Inventories Current Liabilities 1.2 1 Liquidity Ratios Current Ratio 1.2 1 1.0409638554 0.8 0.8 0.8332559938 0.6 0.4 0.4 0.2 0.2 0 2012A 0 2012A 2013A 2014A Quick Ratio 0.4 0.35 0.3 0.3529411765 0.25 0.2 0.200927357 0.15 0.1 0.1215066829 0.05 0 2012A Current Ratio 0.6 0.7351154313 2013A 2014A The company has some liquidity and its levels of debt are not alarming. Its management of these ratios is well-ordered. 2013A 2014A Year 2012A 2013A 2014A Industry TAT 0.48 0.51 0.52 FAT 7.61 7.96 8.12 DSO 50.15 51.47 48.57 IT N/A N/A N/A 0.08 2014 TAT (Total Assets Turnover Ratio) = Sales Total Assets FAT (Fixed Assets Turnover Ratio) = Sales 2,160.00 4,540.00 288.90 4,520.00 283.70 337.20 842.30 Receivables COGS Inventory Net Fixed Assets 2012 2,300.00 4,670.00 300.60 Sales Total Assets Net Fixed Assets 2013 2,440.00 309.70 786.60 317.00 829.40 DSO (Days Sales Outstanding) = Receivables Annual Sales/365 days ITR (Inventory Turnover Ratio) = COGS Inventories (Cost of goods sold except depreciation + depreciation: using Cost of Revenue figure from Income Statement ) Cost of Revenue defined by Cerner as Cost of Revenue includes all costs that can be directly attributable to the goods and services produced/purchased and sold. 60 9 0.53 TAT 0.52 0.52 0.51 0.50 8 8 0.51 0.49 0.48 0.48 0.47 0.46 0.45 2012A 52 52 51 51 50 50 50 49 49 48 48 47 2012A 2013A 8 8 8 8 8 8 8 7 7 2012A 7.6136764188 8 50 7 50.15 8 8 51 49 2014A 1 1 1 1 1 1 0 0 0 0 0 2012A 0 7.9612322603 51.47 8.1170991351 48.57 40 6 TA TA T T FA FA T T DS DS O O 5 30 4 20 3 2013A 2014A 2014A DSO 2013A FAT 2 7.6136764188 10 1 0.4778761062 0.4778761062 0 2012A 7.9612322603 0.5066079295 0.5066079295 2013A ITR 2013A 0 2014A 0 Getting better at collecting on accounts receivable. Net Fixed Assets (Plants, Property, Equipment) are not increasing proportionally to the Sales. With Fixed Asset Growth rates outpacing Sales growth rates, we are seeing a reduction in FAT over time. Sharp increase in Total Asset Turnover Rate 2014 due to strong the strong sales referenced in the Revenue Equation. Good news is that is it pretty tight in staying within 5 percent in its movement. 8.1170991351 0.52248394 0.52248394 2014A 2014A Year 2012A 2013A 2014A industry Debt Ratio 38.3% 31.9% 32.8% 263.0% TIE 8.9 8.6 9.4 Liab-Assets 0.57 0.49 EBITDA 11.78 11.42 0.53 12.28 2014 Debt ratio = Total debt Total assets TIE = EBIT Interest charges EBITDA Interest Expense Debt Ratio 300% 70.20 55.40 9.3702623907 9.2 9 150% 8.9458483755 8.8 8.6 100% 8.4 50% 8.5555555556 8.2 32% 2013A 33% 2014A industry 5.4E-322 0% 8 2012A 2013A Liabilities/Assets 0.7 12 11.7761732852 10 0.6 0.5730088496 0.5 0.4933920705 0.5289079229 2014A industry EBITDA 14 0.4 55.40 2,590.00 163.40 652.40 9.4 263% 200% 38% 0% 2012A 495.60 70.20 2,240.00 190.30 801.50 TIE 9.6 250% 600.60 68.60 Depreciation 1,733.30 4,520.00 68.60 2,470.00 204.20 842.40 Interest Total Liab 2012 1,446.50 4,540.00 642.80 EBIT 2013 1,530.40 4,670.00 Total Debt Total Asset 11.4173789174 12.2798833819 8 6 0.3 0.2 4 0.1 2 0 2012A 2013A 2014A industry 3.75597312876385E-317 5.4E-322 0 2012A 2013A 2014A industry 3.75597312876385E-317 5.4E-322 Year 2012A 2013A 2014A Industry Profit Margin 13.0% 14.8% 15.3% BEP 11.0% 13.2% 13.8% ROA 6.2% 7.5% 8.0% 7.72% ROE 14.5% 14.8% 17.0% 0.83% Profit Margin on sales = Net income avail to common stockholder Sales BEP(Basic earning power) = EBIT Total assets VAL EPS P/E PM 2012A #REF! #REF! 14.8% 2013A #REF! #REF! #REF! 2014A #REF! #REF! 15.3% 1.95% (Net income from the IS is the value being used to calculate Profit Margin on sales.) Operating income from the IS is being used for EBIT value to calculate BEP. ROA = Net income avail to common stockholder Total assets Net Income Available To Common Stockholders EBIT Total Equity Total Assets ROE = Net income avail to common stockholder Common equity Total equity on the BS is the value being used to calculate ROE 18% Revenue 2014 374.00 642.80 2013 341.50 600.60 2012 280.80 495.60 2,200.00 4,670.00 2,440.00 2,300.00 4,540.00 2,300.00 1,930.00 4,520.00 2,160.00 17% 17% 16% 15% 14% 13% 11% 12% 15% 15% 14% 14% 15% 15% 15% 15% 13% 13% 10% 8% 6% 6% 4% 8% 8% 8% 8% Profit Margin BEP ROA ROE 2% 0% 2012A Profit Margin 2013A 2013A BEP ROA ROE 2014A 2014A While Equifax falls into the financial sector, it carries with it a distinct advantage of not only touching virtually every part of global capitalism, it, as one of the three credit reporting agencies has made itself depended on by virtually all consumers in order to qualify for favorable rates on loans or revolving credit accounts. Millions 2012A 2013A 2014A Net income Sales Total assets Common equity Profit margin Turnover Equity multiplier ROA ROE Equity multiplier = Percentage change 2012-2014 #VALUE! #VALUE! #VALUE! #VALUE! #VALUE! #VALUE! #VALUE! #VALUE! #VALUE! Total assets Common equity Turnover = Sales Total assets ROA = Net income avail to common stockholder Total assets ROE = Net income avail to common stockholder Common equity Profit Margin on sales = Net income avail to common stockholder Sales ROE = ROA x Equity multiplier (DuPont equation) Percentage change 2012-2014 = value in 2014 - value in 2012 / value in 2012 Year 2012A 2013A 2014A P/E 1,060.77 1,301.76 2,004.97 P/Cash Flow 681.82 844.79 1,252.70 P/B 3,155.68 3,702.17 4,453.49 EPS 0.06 0.06 0.05 P/E = Price per Share Earnings per Share (pulled from perf measures) EPS= Net Income # of shares (pulled from IS) (pulled from perf measures) P/CF = 5,000 4,000 P/B 4,453 4,500 3,702 3,500 3,156 3,000 2,500 2,005 2,000 1,500 1,061 1,000 500 682 0 0 2012A 1,302 1,253 845 0 2013A 0 2014A P/E P/Cash Flow P/B EPS Price per Share Cash flow per Share = Net Income + Depr & Amort. Price per Share Book Value per Share = Total Equity/Shares Outstanding Year 2012 2013 2014 Yearly Returns EFX NASDAQ 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% EFX - Yearly Returns Date 2012 2013 2014 Annual Returns 100.00% 90.00% 80.00% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% 2012 2013 EFX 2014 NASDAQ Adj Close EFX - Yearly Returns % Date 2012 2013 2014 Adj Close % Pass Fail Hurdle #1 An Earnings to Price Yield of 2X Yield on a 10 Year Treasury Earnings per share (ttm) #VALUE! Stock Price as of 4/6/2015 Earnings to Price Yield #VALUE! 10 Year Treasury (2X) Pass Fail Hurdle #2 A P/E Ratio Down to 1/2 of the Stocks Highest in 5 Years P/E Ratio as of 12/31/2014 0.00 P/E Ratio as of 12/31/2013 2,004.97 P/E Ratio as of 12/31/2012 1,301.76 Current P/E ratio #VALUE! 5 year stock high 1/2 of 5 year stock high Pass Fail Hurdle #3 A Dividend Yield of 1/2 the Yield on 10 Year Treasury Dividends per share (ttm) 0 Price $65.59 Dividend Yield 0 1/2 Yield on 10 Year Treasury $1.00 Pass Fail Hurdle #4 A Stock Price less than 1.5 BV Stock Price as of 4/6/2015 Shares Outstanding as of 12/31/2014 Book Value per share as of 12/31/2014 150% of BV per share as of 12/31/2014 #VALUE! #VALUE! Pass Fail Hurdle #5 Total Debt less than Book Value Interest-bearing Debt as of 12/31/2014 Book value as of 12/31/2014 Pass Fail Hurdle #6 Current Ratio of Two or More Current Assets as of 12/31/2014 Current Liabilities as of 12/31/2014 Current Ratio as of 12/31/2014 Pass Fail Hurdle #7 Earnings Growth of 7% or Higher over past 5 years EPS for year ended 12/31/2014 0.00 EPS for year ended 12/31/2013 0.05 EPS for year ended 12/31/2012 0.06 Earnings Growth over past 5 years #REF! Pass Fail Hurdle #8 Stability in Growth of Earnings EPS for year ended 12/31/2014 EPS for year ended 12/31/2013 EPS for year ended 12/31/2012 0.00 0.05 0.06 Growth: Growth: 3.03% 1.19% Equifax, Inc. (EFX) www.equifax.com 4/10/15 Equifax, Inc. To be the global leader in information solutions that creates unparalleled insights to solve customer challenges. RECOMMENDATION: April 10, 2015 Equifax, Inc. 1550 Peachtree Street, N.W. Atlanta, GA 30309 PRICE SECTOR INDUSTRY 2014 year end price: $80.87 Financial Information Ticker: EFX Exchange: NYSE : : : $92.94 (4/10/15) Financial Credit Services HIGHLIGHTS AND LATEST INFORMATION Equifax Inc. was incorporated on December 20, 1913, in the State of Georgia. The Company's stock began trading \"over the counter\" in 1965 and was listed on the New York Stock Exchange for the first time on May 11, 1971. 52 week high: $94.90 52 week low: $64.75 Serves 18 countries in addition to the U.S. Employs more than 7,500 full-time workers. Outstanding shares: 119.40M Market Cap: 11.11B AVG Vol 3 month: 631,679 Prepared by Group 1: Karen Nichols STOCK MOVEMENT OVER ONE YEAR Aaron Daugherty Michael Kirby Lisa Murrell COMPANY OVERVIEW Gregory Stueve Equifax, Inc. is the largest consumer credit bureau in the United States, providing consumer and commercial data and analytical information to clients in several industry verticals including; insurance, finance, credit card, banking, retail, auto, mortgage, government, and telecommunications. Equifax operates in 18 countries and provides sales in more than 45. While being the leader in commercial credit information in many countries, they hold the number one position in the U.S., Canada, France, Ireland, Australia, New Zealand, and the United Kingdom for check guarantee and verification services. The Equifax database holds more than 58,000 employer records for employment and income verification services. They generate 158 Page 1 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 billion credit score updates per month which translates to 60,000 updates per second for consumer information. COMPANY BACKGROUND Equifax was founded in 1898 by two brothers, Cator and Guy Woolford, who started the business as the \"Retail Credit Company\". By the 1920's the company had quickly grown and expanded throughout the U.S. and Canada. In 1970, the company facilitated a move to computerizing their records, a large database which provided a much wider availability of personal information. Congress quickly reacted to this initiative and enacted the Fair Credit Reporting Act (FCRA) to provide consumer rights and safeguard personal information. By 1975, the Retail Credit Company rebranded and changed their name to Equifax to improve their image. As the company grew and expanded into commercial credit reporting, they began to compete with companies such as Experian and Dun & Bradstreet. Now headquartered in Atlanta, Georgia, Equifax has diversified by acquiring companies such as eThority, TALX, Rapid Reporting, DataVision, and Anakam. They have also sold off divisions that have not been profitable for the company. Today, Equifax is one of 55 contractors that have been hired by the U.S. Department of Health and Human Services to provide proprietary information on the Healthcare.gov website. KEY EXECUTIVES Richard (Rick) F. Smith - Chairman and CEO Rick Smith joined Equifax in September 2005 after more than 20 years with General Electric Co. Prior to joining Equifax, Smith held several CEO, president and COO positions with GE, where he was appointed a Corporate Officer in 1999. In his last position with GE, Smith was COO of GE Insurance Solutions, where he led all GE Insurance operating business units, including property and casualty reinsurance, commercial lines insurance and life and health reinsurance. The global business totaled approximately $10 billion in revenues and over $50 billion in assets. His career at GE also included leadership roles as the President and CEO of the Global Asset Management Division, President and CEO of the Global Leasing Division and numerous leadership positions in the Engineering Thermoplastic Division. Smith earned a BS degree in 1981 from Purdue University in West Lafayette, Indiana . Dann Adams - President Workforce Solutions Dann Adams leads Equifax's Workforce Solutions, a leading source of human resources and verifications to companies and organizations across the country. Adams joined Equifax in February 1999 as Senior Vice President of the Financial Services vertical for Equifax North America Information Services. Prior to joining Equifax, he was Vice President and Regional Manager of Dun & Bradstreet Information Services in Atlanta. Throughout his 17-year career at Dun & Bradstreet, Adams held numerous positions in sales, sales management and product marketing. Page 2 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Adams earned a bachelor's degree in marketing and economics from Central Michigan University. Paulino do Rego Barros, Jr. - Equifax International Paulino Barros leads Equifax's international unit with responsibility for Latin America, Europe and Canada, as well as leading expansion efforts into other countries. Barros joined Equifax in April, 2010. Before joining Equifax, Barros was the founder and president of PB&C - Global Investments (LLC), an international consulting and investment firm. Previously, Barros was the president of Global Operations for AT&T, which has a presence in 135 countries. In this role, he was responsible for leading enterprise businesses in international markets on five different continents. Barros received degrees in Mechanical and Electrical Engineering in Brazil as well as an MBA from Washington University, St. Louis. INSIDER OWNERSHIP Equifax Inc. Announces Executive Changes Apr 1 15 Equifax Inc. appointed Joseph M. \"Trey\" Loughran, Chief Marketing Officer, succeeding Paul Springman, who has retired after 24 years of service. Prior to joining Equifax, Loughran worked as BellSouth Corporation where he held a number of leadership positions, his last being Managing Director of the company's Corporation Strategy and Planning department. Equifax Inc. Joins Forces with Zoot Enterprises, Inc. to Launch MobilityPlus Mar 30 15 Equifax Inc. has joined forces with Zoot Enterprises to Launch MobilityPlus, solution that leverages Equifax data and Zoot decisioning technology to reportedly facilitate the mobile account opening process while helping to minimize fraud risk. MobilityPlus allows consumers to capture a photo of their ID on their smartphone or tablet to assist in auto-filling significant portions of their application, and in a matter of seconds, it performs a search-match analysis to help authenticate the consumer's identity, and determine whether the device in use may be associated with fraudulent activity. These processes pull in leading, knowledge-based identity questions and automated OFAC screening. This can be used at the point-of-sale to generate new DDA openings, or to cross-sell more credit cards or consumer loan products. Equifax Seeks Acquisitions Feb 12 15 Equifax Inc. (NYSE-EFX) is seeking acquisitions. Rick Smith, Equifax's Chief Executive Officer and President said \"Were investing in our business with CapEx in the range of $75 million to $100 million and continuing our acquisition focus.\" Equifax Inc. Announces Quarterly Cash Dividend, Payable on March 13, 2015 Feb 11 15 Equifax Inc. announced that Board of Directors has approved a 16% increase in the quarterly cash dividend, increasing it to $0.29 per share from the previous quarterly dividend of $0.25 per share. The Page 3 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 cash dividend is payable on March 13,2015, to shareholders of record as of the close of business on March 4, 2015. STOCK REPURCHASE PROGRAM September 11, 2014 Equifax Inc. Announces Additional $400 Million Share Repurchase Authorization ATLANTA, Sept. 11, 2014 (GLOBE NEWSWIRE) -- Equifax Inc. (NYSE:EFX) announced today that its board of directors approved an additional $400 million share repurchase authorization. This authorization is in addition to the previous authorization, which had $141.7 million remaining as of June 30, 2014. Equifax may utilize various methods to effect the repurchases, which could include open market or negotiated transactions, some of which may be effected through Rule 10b5-1 plans. The timing of repurchases will depend on several factors, including market and business conditions. The stock repurchase program does not have an expiration date and may be limited or terminated at any time without prior notice. "Equifax continues to drive increasing shareholder value through strong business execution against its key strategic priorities combined with investment in new products and business opportunities which generate attractive, long-term, sustainable growth. In addition to maintaining a strong balance sheet and paying a dividend, we expect to continue to repurchase shares from time to time using our excess cash," said Richard F. Smith, Equifax Chairman and CEO. "The Board's decision to expand the authorization level for share repurchases underscores the confidence they have in the future of Equifax." Over the past ten years through June 30, 2014, the company has returned $2.4 billion to shareholders through a combination of dividends and share repurchases, or 85 percent of reported net income. STOCK OPTIONS Call Last High Last Trade Change Low Strike Price Volume Open Interest Last High Volume Last Trade 80 Put Change Low Open Interest EFX 15D17 80.000 11 -- 0 EFX 15P17 80.000 58 Days 0 -- -- 31 Days 0.35 -- 0 0 -- 53 Page 4 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 ago ago EFX 15P17 85.000 EFX 15D17 85.000 7 31 Days ago 0 -- 1 58 Days ago 4.3 -- 0 EFX 15P17 90.000 -- 0 85 EFX 15D17 90.000 90 50 Days ago 0 -- 11 Days ago 47 1.05 -- 0 0 -- 12 0.25 -- 0 0 -- 159 2.2 -- 0 Last 93.41 EFX 15P17 95.000 EFX 15D17 95.000 0.65 9 Days ago 0 -- 96 40 Days ago 0 -- 10 EFX 15D17 100.000 0.21 -- 0 EFX 15P17 100.000 0 -- 0 4 Days ago 0 -- 120 1 Days ago 0 -- -- EFX 15D17 105.000 0 -- 0 EFX 15P17 105.000 0 -- 0 1 Days ago 0 1 Days ago 0 -- -- -- 0 95 100 105 -- -- COMPETITION Automatic Data Processing (ADP) ADP has the largest commercial database of 85 million companies, 100 million professionals, and 900 industry segments; relevant social media links; and customizable news feeds. Their industryspecific business analysts gather impartial insights on the top 43,000 global companies, including publicly traded and private ones. Unlike most data providers, Dun & Bradstreet is a content creator rather than just a data aggregator. Of the top three Equifax competitors, ADP is the only publicly traded company. Experian PLC Page 5 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Along with TransUnion and Equifax, this firm is one of the top credit bureaus, maintaining credit information on approximately 600 million consumers and 60 million businesses worldwide. It also provides marketing information to help businesses generate leads by maintaining demographic information on more than 260 million households and over 25 million Internet users. Experian serves clients across different markets, including financial services, retail, and government; it also offers direct-to-consumer products. The group serves clients in more than 90 countries, but does most of its business in the U.S., the United Kingdom, and, Latin America. TransUnion The firm is one of the three major consumer credit reporting agencies (along with Experian and Equifax) that lenders use to help determine a borrower's creditworthiness. The company maintains credit histories of more than 500 million people in more than 30 countries, which it uses to help banks, insurance providers, retailers, and others manage risk and reduce fraud. Subsidiary TransUnion Interactive provides online subscription-based credit management products to consumers so they can proactively manage their finances and protect themselves from identity theft. TransUnion is owned by Advent International and GS Capital Partners. INDUSTRY PEERS AND INDUSTRY STATISTICS Industry Peers EFX Morningstar Rating Get Price Quotes >> Market Net 5-Yr Med Cap Income Dividend Rev Oper. Interest Mil Mil P/S P/B P/E Yield% CAGR% Margin%CoverageD/E Equifax Inc 11,161 367 4.7 5.1 31.5 1.1 7.3 24.0 9.4 0.5 Automatic Data Processing (USD) 41,024 1,437 3.3 7.5 26.7 2.2 6.6 18.3 373.9 0.0 McGraw Hill Financial Inc (USD) 28,747 -115 5.6 58.8 1.2 -3.2 27.2 1.7 1.6 Moody's Corporation (USD) 21,431 988 6.8 22.9 113.6 1.1 13.2 39.5 12.8 Alliance Data Systems Corp (USD) 18,893 506 3.5 7.9 37.0 22.0 25.4 4.2 3.4 Fiserv Inc (USD) 18,869 754 3.9 5.7 26.5 4.4 23.6 7.4 1.1 FUJIFILM Holdings Corp (USD,JPY) 18,615 112,366 0.9 1.0 20.0 1.3 0.0 5.5 38.6 0.1 Page 6 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Morningstar Rating Market Net 5-Yr Med Cap Income Dividend Rev Oper. Interest Mil Mil P/S P/B P/E Yield% CAGR% Margin%CoverageD/E FUJIFILM Holdings Corp (USD,JPY) 17,188 112,366 0.8 0.9 18.4 1.4 0.0 5.5 38.6 0.1 Experian PLC (USD) 17,147 825 3.5 5.8 21.0 2.1 4.6 22.5 10.0 1.2 Nielsen NV (USD) 17,081 384 2.8 3.4 46.1 2.2 5.5 15.1 3.1 1.3 Experian PLC (USD) 17,048 825 3.5 5.7 20.9 2.2 4.6 22.5 10.0 1.2 Sodexo (USD,EUR) 15,318 490 0.8 4.4 29.3 2.0 4.2 5.2 4.8 0.9 Sodexo (USD,EUR) 15,209 490 0.8 4.4 29.2 2.0 4.2 5.2 0.9 SGS Ltd (USD,CHF) 15,197 629 2.5 6.1 23.4 3.4 4.5 16.0 0.7 SGS Ltd (USD,CHF) 14,944 629 2.5 6.0 23.0 3.5 4.5 16.0 0.7 Fleetcor Technologies, Inc. (USD) 14,471 368 11.4 5.3 37.2 27.6 45.9 40.4 0.8 Brambles Ltd (USD,AUD) 14,206 621 3.0 5.8 28.2 2.5 2.6 14.7 7.4 1.0 Brambles Ltd (USD,AUD) 13,658 621 2.9 5.6 27.1 2.9 2.6 14.7 7.4 1.0 Capita PLC (USD,GBP) 11,633 235 1.8 9.2 33.2 2.6 10.3 10.0 9.6 1.8 Verisk Analytics Inc (USD) 11,519 400 7.1 54.6 33.1 11.2 38.6 9.4 5.2 Capita PLC (USD,GBP) 11,271 235 1.7 8.9 32.2 2.5 10.3 10.0 9.6 1.8 Bureau Veritas SA (USD,EUR) 9,516 294 2.1 8.0 30.4 3.0 9.5 14.3 1.8 Cintas Corp (USD) 9,417 452 2.2 4.6 22.5 1.0 3.8 12.5 10.2 0.6 Towers Watson & Co (USD) 9,332 376 2.6 3.1 25.4 0.4 15.7 11.7 56.2 0.1 IHS Inc (USD) 8,492 201 3.8 4.0 42.4 18.2 13.6 5.5 0.9 Page 7 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Morningstar Rating Market Net 5-Yr Med Cap Income Dividend Rev Oper. Interest Mil Mil P/S P/B P/E Yield% CAGR% Margin%CoverageD/E Li & Fung Ltd (USD) 8,360 769 0.4 1.7 10.6 21.3 Industry Average 2,576 3,733 2.2 5.7 32.9 1.0 7.7 4.3 7.0 0.3 6.9 -10167.8 379.9 1.1 FINANCIAL DATA AND RATIOS Please see file - Interim Report 1 in the Group 1 file folder for the excel spreadsheet calculations, task assignments, and Equifax financial documents. Page 8 of 8 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Equifax, Inc. To be the global leader in information solutions that creates unparalleled insights to solve customer challenges. RECOMMENDATION: April 10, 2015 Equifax, Inc. 1550 Peachtree Street, N.W. Atlanta, GA 30309 PRICE SECTOR INDUSTRY 2014 year end price: $80.87 : : : $92.94 (4/10/15) Financial Credit Services HIGHLIGHTS AND LATEST INFORMATION Financial Information 52 week high: $94.90 52 week low: $64.75 Outstanding shares: 119.40M Dividends paid per share: $1.00 Market Cap: 11.11B AVG Vol 3 month: 631,679 Prepared by Group 1: Equifax Inc. was incorporated on December 20, 1913, in the State of Georgia. The Company's stock began trading \"over the counter\" in 1965 and was listed on the New York Stock Exchange for the first time on May 11, 1971. Serves 18 countries in addition to the U.S. Ticker: EFX Exchange: NYSE Employs more than 7,500 full-time workers. STOCK MOVEMENT OVER ONE YEAR Karen Nichols Aaron Daugherty Michael Kirby Lisa Murrell Gregory Stueve COMPANY OVERVIEW Equifax, Inc. is the largest consumer credit bureau in the United States, providing consumer and commercial data and analytical information to clients in several industry verticals including; insurance, finance, credit card, banking, retail, auto, mortgage, government, and telecommunications. Equifax operates in 18 countries and provides sales in more than 45. While being the leader in commercial credit information in many countries, they hold the number one position in the U.S., Canada, France, Ireland, Australia, New Zealand, and the United Kingdom for check guarantee and verification services. The Equifax database holds more than 58,000 employer records for employment and income verification services. They generate 158 Page 1 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 billion credit score updates per month which translates to 60,000 updates per second for consumer information. COMPANY BACKGROUND Equifax was founded in 1898 by two brothers, Cator and Guy Woolford, who started the business as the \"Retail Credit Company\". By the 1920's the company had quickly grown and expanded throughout the U.S. and Canada. In 1970, the company facilitated a move to computerizing their records, a large database which provided a much wider availability of personal information. Congress quickly reacted to this initiative and enacted the Fair Credit Reporting Act (FCRA) to provide consumer rights and safeguard personal information. By 1975, the Retail Credit Company rebranded and changed their name to Equifax to improve their image. As the company grew and expanded into commercial credit reporting, they began to compete with companies such as Experian and Dun & Bradstreet. Now headquartered in Atlanta, Georgia, Equifax has diversified by acquiring companies such as eThority, TALX, Rapid Reporting, DataVision, and Anakam. They have also sold off divisions that have not been profitable for the company. Today, Equifax is one of 55 contractors that have been hired by the U.S. Department of Health and Human Services to provide proprietary information on the Healthcare.gov website. KEY EXECUTIVES Richard (Rick) F. Smith - Chairman and CEO Rick Smith joined Equifax in September 2005 after more than 20 years with General Electric Co. Prior to joining Equifax, Smith held several CEO, president and COO positions with GE, where he was appointed a Corporate Officer in 1999. In his last position with GE, Smith was COO of GE Insurance Solutions, where he led all GE Insurance operating business units, including property and casualty reinsurance, commercial lines insurance and life and health reinsurance. The global business totaled approximately $10 billion in revenues and over $50 billion in assets. His career at GE also included leadership roles as the President and CEO of the Global Asset Management Division, President and CEO of the Global Leasing Division and numerous leadership positions in the Engineering Thermoplastic Division. Smith earned a BS degree in 1981 from Purdue University in West Lafayette, Indiana . Dann Adams - President Workforce Solutions Dann Adams leads Equifax's Workforce Solutions, a leading source of human resources and verifications to companies and organizations across the country. Adams joined Equifax in February 1999 as Senior Vice President of the Financial Services vertical for Equifax North America Information Services. Prior to joining Equifax, he was Vice President and Regional Manager of Dun & Bradstreet Information Services in Atlanta. Throughout his 17-year career at Dun & Bradstreet, Adams held numerous positions in sales, sales management and product marketing. Page 2 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Adams earned a bachelor's degree in marketing and economics from Central Michigan University. Paulino do Rego Barros, Jr. - Equifax International Paulino Barros leads Equifax's international unit with responsibility for Latin America, Europe and Canada, as well as leading expansion efforts into other countries. Barros joined Equifax in April, 2010. Before joining Equifax, Barros was the founder and president of PB&C - Global Investments (LLC), an international consulting and investment firm. Previously, Barros was the president of Global Operations for AT&T, which has a presence in 135 countries. In this role, he was responsible for leading enterprise businesses in international markets on five different continents. Barros received degrees in Mechanical and Electrical Engineering in Brazil as well as an MBA from Washington University, St. Louis. INSIDER OWNERSHIP Equifax Inc. Announces Executive Changes Apr 1 15 Equifax Inc. appointed Joseph M. \"Trey\" Loughran, Chief Marketing Officer, succeeding Paul Springman, who has retired after 24 years of service. Prior to joining Equifax, Loughran worked as BellSouth Corporation where he held a number of leadership positions, his last being Managing Director of the company's Corporation Strategy and Planning department. Equifax Inc. Joins Forces with Zoot Enterprises, Inc. to Launch MobilityPlus Mar 30 15 Equifax Inc. has joined forces with Zoot Enterprises to Launch MobilityPlus, solution that leverages Equifax data and Zoot decisioning technology to reportedly facilitate the mobile account opening process while helping to minimize fraud risk. MobilityPlus allows consumers to capture a photo of their ID on their smartphone or tablet to assist in auto-filling significant portions of their application, and in a matter of seconds, it performs a search-match analysis to help authenticate the consumer's identity, and determine whether the device in use may be associated with fraudulent activity. These processes pull in leading, knowledge-based identity questions and automated OFAC screening. This can be used at the point-of-sale to generate new DDA openings, or to cross-sell more credit cards or consumer loan products. Equifax Seeks Acquisitions Feb 12 15 Equifax Inc. (NYSE-EFX) is seeking acquisitions. Rick Smith, Equifax's Chief Executive Officer and President said \"Were investing in our business with CapEx in the range of $75 million to $100 million and continuing our acquisition focus.\" Equifax Inc. Announces Quarterly Cash Dividend, Payable on March 13, 2015 Feb 11 15 Equifax Inc. announced that Board of Directors has approved a 16% increase in the quarterly cash dividend, increasing it to $0.29 per share from the previous quarterly dividend of $0.25 per share. The Page 3 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 cash dividend is payable on March 13, 2015, to shareholders of record as of the close of business on March 4, 2015. STOCK REPURCHASE PROGRAM September 11, 2014 Equifax Inc. Announces Additional $400 Million Share Repurchase Authorization ATLANTA, Sept. 11, 2014 (GLOBE NEWSWIRE) -- Equifax Inc. (NYSE:EFX) announced today that its board of directors approved an additional $400 million share repurchase authorization. This authorization is in addition to the previous authorization, which had $141.7 million remaining as of June 30, 2014. Equifax may utilize various methods to effect the repurchases, which could include open market or negotiated transactions, some of which may be effected through Rule 10b5-1 plans. The timing of repurchases will depend on several factors, including market and business conditions. The stock repurchase program does not have an expiration date and may be limited or terminated at any time without prior notice. "Equifax continues to drive increasing shareholder value through strong business execution against its key strategic priorities combined with investment in new products and business opportunities which generate attractive, long-term, sustainable growth. In addition to maintaining a strong balance sheet and paying a dividend, we expect to continue to repurchase shares from time to time using our excess cash," said Richard F. Smith, Equifax Chairman and CEO. "The Board's decision to expand the authorization level for share repurchases underscores the confidence they have in the future of Equifax." Over the past ten years through June 30, 2014, the company has returned $2.4 billion to shareholders through a combination of dividends and share repurchases, or 85 percent of reported net income. STOCK OPTIONS Call Last High Last Trade Change Low Strike Price Volume Open Interest Last High Volume Last Trade 80 Put Change Low Open Interest EFX 15D17 80.000 11 -- 0 EFX 15P17 80.000 58 Days 0 -- -- 31 Days 0.35 -- 0 0 -- 53 Page 4 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 ago ago EFX 15P17 85.000 EFX 15D17 85.000 7 31 Days ago 0 -- 1 58 Days ago 4.3 -- 0 EFX 15P17 90.000 -- 0 85 EFX 15D17 90.000 90 50 Days ago 0 -- 11 Days ago 47 1.05 -- 0 0 -- 12 0.25 -- 0 0 -- 159 2.2 -- 0 Last 93.41 EFX 15P17 95.000 EFX 15D17 95.000 0.65 9 Days ago 0 -- 96 40 Days ago 0 -- 10 EFX 15D17 100.000 0.21 -- 0 EFX 15P17 100.000 0 -- 0 4 Days ago 0 -- 120 1 Days ago 0 -- -- EFX 15D17 105.000 0 -- 0 EFX 15P17 105.000 0 -- 0 1 Days ago 0 1 Days ago 0 -- -- -- 0 95 100 105 -- -- COMPETITION Automatic Data Processing (ADP) ADP has the largest commercial database of 85 million companies, 100 million professionals, and 900 industry segments; relevant social media links; and customizable news feeds. Their industryspecific business analysts gather impartial insights on the top 43,000 global companies, including publicly traded and private ones. Unlike most data providers, Dun & Bradstreet is a content creator rather than just a data aggregator. Of the top three Equifax competitors, ADP is the only publicly traded company. Experian PLC Page 5 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Along with TransUnion and Equifax, this firm is one of the top credit bureaus, maintaining credit information on approximately 600 million consumers and 60 million businesses worldwide. It also provides marketing information to help businesses generate leads by maintaining demographic information on more than 260 million households and over 25 million Internet users. Experian serves clients across different markets, including financial services, retail, and government; it also offers direct-to-consumer products. The group serves clients in more than 90 countries, but does most of its business in the U.S., the United Kingdom, and, Latin America. TransUnion The firm is one of the three major consumer credit reporting agencies (along with Experian and Equifax) that lenders use to help determine a borrower's creditworthiness. The company maintains credit histories of more than 500 million people in more than 30 countries, which it uses to help banks, insurance providers, retailers, and others manage risk and reduce fraud. Subsidiary TransUnion Interactive provides online subscription-based credit management products to consumers so they can proactively manage their finances and protect themselves from identity theft. TransUnion is owned by Advent International and GS Capital Partners. INDUSTRY PEERS AND INDUSTRY STATISTICS Industry Peers EFX Morningstar Rating Get Price Quotes >> Market Net 5-Yr Med Cap Income Dividend Rev Oper. Interest Mil Mil P/S P/B P/E Yield% CAGR% Margin%CoverageD/E Equifax Inc 11,161 367 4.7 5.1 31.5 1.1 7.3 24.0 9.4 0.5 Automatic Data Processing (USD) 41,024 1,437 3.3 7.5 26.7 2.2 6.6 18.3 373.9 0.0 McGraw Hill Financial Inc (USD) 28,747 -115 5.6 58.8 1.2 -3.2 27.2 1.7 1.6 Moody's Corporation (USD) 21,431 988 6.8 22.9 113.6 1.1 13.2 39.5 12.8 Alliance Data Systems Corp (USD) 18,893 506 3.5 7.9 37.0 22.0 25.4 4.2 3.4 Fiserv Inc (USD) 18,869 754 3.9 5.7 26.5 4.4 23.6 7.4 1.1 FUJIFILM Holdings Corp (USD,JPY) 18,615 112,366 0.9 1.0 20.0 1.3 0.0 5.5 38.6 0.1 Page 6 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Morningstar Rating Market Net 5-Yr Med Cap Income Dividend Rev Oper. Interest Mil Mil P/S P/B P/E Yield% CAGR% Margin%CoverageD/E FUJIFILM Holdings Corp (USD,JPY) 17,188 112,366 0.8 0.9 18.4 1.4 0.0 5.5 38.6 0.1 Experian PLC (USD) 17,147 825 3.5 5.8 21.0 2.1 4.6 22.5 10.0 1.2 Nielsen NV (USD) 17,081 384 2.8 3.4 46.1 2.2 5.5 15.1 3.1 1.3 Experian PLC (USD) 17,048 825 3.5 5.7 20.9 2.2 4.6 22.5 10.0 1.2 Sodexo (USD,EUR) 15,318 490 0.8 4.4 29.3 2.0 4.2 5.2 4.8 0.9 Sodexo (USD,EUR) 15,209 490 0.8 4.4 29.2 2.0 4.2 5.2 0.9 SGS Ltd (USD,CHF) 15,197 629 2.5 6.1 23.4 3.4 4.5 16.0 0.7 SGS Ltd (USD,CHF) 14,944 629 2.5 6.0 23.0 3.5 4.5 16.0 0.7 Fleetcor Technologies, Inc. (USD) 14,471 368 11.4 5.3 37.2 27.6 45.9 40.4 0.8 Brambles Ltd (USD,AUD) 14,206 621 3.0 5.8 28.2 2.5 2.6 14.7 7.4 1.0 Brambles Ltd (USD,AUD) 13,658 621 2.9 5.6 27.1 2.9 2.6 14.7 7.4 1.0 Capita PLC (USD,GBP) 11,633 235 1.8 9.2 33.2 2.6 10.3 10.0 9.6 1.8 Verisk Analytics Inc (USD) 11,519 400 7.1 54.6 33.1 11.2 38.6 9.4 5.2 Capita PLC (USD,GBP) 11,271 235 1.7 8.9 32.2 2.5 10.3 10.0 9.6 1.8 Bureau Veritas SA (USD,EUR) 9,516 294 2.1 8.0 30.4 3.0 9.5 14.3 1.8 Cintas Corp (USD) 9,417 452 2.2 4.6 22.5 1.0 3.8 12.5 10.2 0.6 Towers Watson & Co (USD) 9,332 376 2.6 3.1 25.4 0.4 15.7 11.7 56.2 0.1 IHS Inc (USD) 8,492 201 3.8 4.0 42.4 18.2 13.6 5.5 0.9 Page 7 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Morningstar Rating Market Net 5-Yr Med Cap Income Dividend Rev Oper. Interest Mil Mil P/S P/B P/E Yield% CAGR% Margin%CoverageD/E Li & Fung Ltd (USD) 8,360 769 0.4 1.7 10.6 21.3 Industry Average 2,576 3,733 2.2 5.7 32.9 1.0 7.7 4.3 7.0 0.3 6.9 -10167.8 379.9 1.1 FINANCIAL DATA AND RATIOS Liquidity: Equifax current ratio indicates an incline in its liquidity from 2012-2013 and a decline to below its 2012 level from 2013-2014. The overall trend indicates a relatively consistent posture in its ability to cover its liabilities by its assets expected to be converted to cash over the next year. In its most recent year a ratio of .73 shows optimistic ability to cover the majority of its liabilities with cash equivalents or convertibles. Asset Management: Page 8 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 The Days Sales Outstanding (DSO) shows the number of days the company must wait before receiving cash for goods sold. Equifax DSO indicates a stable trend around 50 days before receiving cash after the sale. Debt Management: The debt ratio for Equifax indicates the total debt of the company to the total assets. This range is between .31 and .38 indicating a very low ratio compared to the industry average of 2.63. Over the three years observed, Equifax experienced a general decline indicating either reduced debt or increased assets. Profitability: Page 9 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Profit Margin is the net income available to common shareholders to Sales. The trend for Equifax shows a general increase over the three years observed indicating an increase of income available income relative to sales. Market Ratios: The price/earnings (P/E) ratio for Equifax indicates how much investors are willing to pay per dollar of reported profits. While the P/E ratio seriously declined by nearly 50% from 2012 to 2013, Equifax Page 10 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 rebounded in 2014 and continues to indicate exceptional growth potential into the current year. This can be attributed to an increase in performance in the auto vertical. Performance Measures: The Weighted Average Cost of Capital (WACC) determines a company's current value as the expected free cash flows available to be distributed to its investors. For year 2014, Equifax's weighted average cost of capital was 5.47%. Since the WACC is lower than the required rate of return, this would indicate that Equifax generates a higher return on investments than it costs the company to raise the capital needed for those investments. It is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases year over year. CSIS: The Common size analysis for the Income Statement illustrates a few interesting trends as they relate to revenue (Sales). First, as a percentage of sales, selling and administrative expenses stayed the same at 31%. The cost of revenue showed a decline while the amount of sales increased. Lastly, EBIT also showed an increase indicating strong management that is able to not only increase its overall sales but increase its percentage in Gross profit margin over the three years observed. CSBS: Common Size Balance Sheet analysis is also telling of a few trends. Current and non-current assets did not make much change over the observed time frame. Current and non-current Liabilities, however, were more significant. Total current liabilities increased as a percentage of total assets from 14% to 18% and total non-current liabilities decreased from 43% to 35% which indicate a small increase in short term debt and a more significant decrease in long term debt. Another notable is the Retained Earnings increasing from 68% to 76% The conclusion to be drawn from the common size Balance Sheet and Income Statement is that management would appear to be reducing its overall debt structure. Forecasting would allow you to draw the conclusion that Equifax would be able to leverage its assets to take on debt for a project into the future. This of course, will impact its WACC but could potentially increase its cash flows. Financial Condition Overview Equifax is continuing to grow each year in revenue. Since 2012 their revenue has increased about $280 million. Based on their current ratio, quick ratio and liquidity ratios it has dropped since 2013. Their sales have increased over the years and their total assets have also increased. Equifax looks very healthy based on their asset management. Their debt ratio has stayed pretty close throughout the years and is extremely low based on the industry debt ratio. Equifax appears to be very profitable and is able to increase their profitability over the years as well. Based on their data, they seem to be a very healthy company and continue to rise over the years. Page 11 of 12 Equifax, Inc. (EFX) www.equifax.com 4/10/15 Works Cited Equifax Secured Intranet - Employees Only. N.p, n.d. Web. 2 April 2015. . Morningstar. N.p, n.d. Web. 30 March 2015. . NASDAQ. N.p, n.d. Web. 20 April 2015. . NYSE (New York Stock Exchange). N.p, n.d. Web. 30 March 2015. . Yahoo! Finance. N.p, n.d. Web. 15 April 2015. . www.equifax.com. N.p, n.d. Web. 20 April 2015. . Page 12 of 12 Equifax is continuing to grow each year in revenue. Since 2012 their revenue has increased about $280 million. Based on their current ratio, quick ratio and liquidity ratios it has dropped since 2013. Their sales have increased over the years and their total assets have also increased. Equifax looks very healthy based on their asset management. Their debt ratio has stayed pretty close throughout the years and is extremely low based on the industry debt ratio. Equifax appears to be very profitable and is able to increase their profitability over the years as well. Based on their data, they seem to be a very healthy company and continue to rise over the years. Liquidity: Equifax current ratio indicates an incline in its liquidity from 2012-2013 and a decline to below its 2012 level from 2013-2014. The overall trend indicates a relatively consistent posture in its ability to cover its liabilities by its assets expected to be converted to cash over the next year. In its most recent year a ratio of .73 shows optimistic ability to cover the majority of its liabilities with cash equivalents or convertibles. Asset Management: The Days Sales Outstanding (DSO) shows the number of days the company must wait before receiving cash for goods sold. Equifax DSO indicates a stable trend around 50 days before receiving cash after the sale. Debt Management: The debt ratio for Experian indicates the total debt of the company to the total assets. This range is between .31 and .38 indicating a very low ratio compared to the industry average of 2.63. Over the three years observed, Experian experienced a general decline indicating either reduced debt or increased assets. Profitability: Profit Margin is the net income available to common shareholders to Sales. The trend for Experian shows a general increase over the three years observed indicating an increase of income available income relative to sales. CSIS: The Common size analysis for the Income Statement illustrates a few interesting trends as they relate to revenue (Sales). First, as a percentage of sales, selling and administrative expenses stayed the same at 31%. The cost of revenue showed a decline while the amount of sales increased. Lastly, EBIT also showed an increase indicating strong management that is able to not only increase its overall sales but increase its percentage in Gross profit margin over the three years observed. CSBS: Common Size Balance Sheet analysis is also telling of a few trends. Current and non-current assets did not make much change over the observed time frame. Current and non-current Liabilities, however, were more significant. Total current liabilities increased as a percentage of total assets from 14% to 18% and total non-current liabilities decreased from 43% to 35% which indicate a small increase in short term debt and a more significant decrease in long term debt. Another notable is the Retained Earnings increasing from 68% to 76% The conclusion to be drawn from the common size Balance Sheet and Income Statement is that management would appear to be reducing its overall debt structure. Forecasting would allow you to draw the conclusion that Equifax would be able to leverage its assets to take on debt for a project into the future. This of course, will impact its WACC but could potentially increase its cash flows