LONDON (ShareCast) - (Sharecast News) - Experian reported a slight slowing in sales growth in the first quarter of its new trading year and the credit checker said currency swings looked likely to have a bigger impact on full year profits than first expected.
Group revenue grew 9% in the three months to 30 June, down from 12% in the preceding three months but up from 8% for the past financial year as a whole.

Excluding currency swings, growth was up 10%, with the expected impact of foreign exchange on growth of underlying operating profit, which is reported in dollars, was now expected to be 4% for the full year, up from the previous 1% guidance in May.

Organic revenue growth at constant currencies was up 8%, the same as in the fourth quarter of the last year, with strongest growth coming from the core North America business at 11% and Europe, Middle East, Africa and Asia Pacific also at 11%. Organic growth in Latin America was up 4% and UK & Ireland 3%.

Business-to-business sales grew 9%, led by North America and EMEA/Asia Pac, while consumer services returned to growth as North America delivered an improved 8% growth and the UK rate of decline moderated further to -8%.

In North American B2B, Experian said growth reflected successful new product introductions, new sources of data, strength in core credit volumes and major client wins. In consumer services, there was good uptake for new consumer offers, with roughly 240,000 paying members enrolled for identity protection, where new features were added, such as a dark web-trawling Triple Scan and Child Scan.

In the UK and Ireland multiple new B2B client 'engagements' were secured in the quarter, while consumer services was said to "make good progress", as the rate of decline moderated further with strong growth in CreditMatcher partially offsetting lower credit monitoring revenues.

Shares in Experian fell very slightly on Friday's open, down 0.1% to 1,918p.

Broker Shore Capital said the update had confirmed that the strong trading trends seen in the Q4 period have continued into the Q1 period for the current year. "EMEA also posted organic growth of c11% and slightly ahead of our model. UK & Ireland was in line at c3% organic growth, with Latin America at c4% is slightly below."

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