TRU

TransUnion is one of three dominant US consumer-credit bureaus, a structurally advantaged business built on irreplaceable data assets and embedded customer workflows. FY2025 marks a clear profitability inflection: revenue grew 9.4% to $4.58B while net income surged 60.1% to $455M and diluted EPS rose 60.0% to $2.32, recovering decisively from the FY2023 net loss of -$206M and the depressed FY2022-2024 stretch. Operating income climbed 28.7% to $858M (18.7% operating margin), showing real operating leverage as revenue scales against a largely fixed data/technology cost base.

Cash generation underpins the case. Operating cash flow rose 18.6% to $988M and the company is returning capital — $302M of buybacks (shares down 1.3%) and $90.5M of dividends (up 9.4%) — while cash grew 25.6% to $854M. The balance sheet carries meaningful leverage at $5.10B long-term debt and liabilities/equity of 1.48x, but debt edged down 0.8% and the strong, recurring cash flows comfortably service it. ROE of 10.3% is modest, weighted down by the equity base and amortization of past acquisitions ($575M D&A), but the underlying cash returns are stronger than GAAP ROE suggests.