Experian

Website: Experian
Index: FTSE 100
EPIC: EXPN
Supersector: Industrial Goods and Services
Sector: Support Services
Subsector: Business Support Services
Market Cap: £24.73B
Payout Frequency: Semi-Annual

Experian Dividend Analysis and Summary

Key Dividend Details

Dividend declared: First interim dividend
Amount: USc 21.25 per share (up 10% vs. USc 19.25)
Currency: USD (with UK IAS option for GBP receipt)
Ex-dividend date: 08/01/2026
Record date: 09/01/2026
Payment date: 06/02/2026
Cash cost (company estimate): ~US$194m
Context: Last full-year dividend (FY25) was USc 62.5; second interim of USc 43.25 was paid in July 2025

Coverage and Financial Support

H1 FY26 Benchmark EPS: USc 85.0 ? covers the first interim by ~4.0x
H1 Benchmark operating cash flow: US$885m ? covers the announced first interim cash cost by ~4.6x
Leverage: Net debt/Benchmark EBITDA 1.8x (ample headroom)
Cash conversion: 77% in H1; guidance >90% for FY26

Brief Commentary

Guidance: FY26 total revenue growth ~11%, organic growth ~8%, margin accretion +30–50bps.
Capital allocation: US$377m acquisitions in H1 (ClearSale), ~US$200m share repurchases (net US$194m in H1), capex 8–9% of revenue; ROCE 16.5%.

Dividend Sustainability and Growth

Sustainability: Strong earnings and cash flow coverage, moderate leverage (1.8x), and high cash conversion underpin the dividend. The declared interim represents a manageable ~US$194m cash outlay against robust H1 cash generation.
Growth trajectory: A 10% increase signals continued dividend progression. Medium-term framework (high single-digit organic growth and annual margin improvement) supports ongoing DPS growth, assisted by buybacks lowering share count.
Support from performance: H1 organic revenue up 8%, Benchmark EBIT up 14%, EPS up 12–13%; improving margins and scalable Consumer Services provide further cushion for future distributions.
Capital allocation balance: Active M&A, cloud transformation, and capex are being funded alongside dividends and buybacks without stressing the balance sheet; interest expense guided at ~US$190m remains affordable.

Structural or Policy Factors Affecting Future Dividends

M&A: ClearSale (Brazil) completed; post-period KYC360 (UK & Ireland) acquired. Integrations are on track and expected to deliver synergies in fraud/ID&F and marketing services—potentially supportive to cash flows over time.
Shareholder returns: Ongoing share repurchases (~US$200m FY26) complement the progressive dividend, enhancing per-share growth potential.
Financing: £400m notes matured in Oct-25 and were refinanced via CP/bank facilities; liquidity remains strong with US$2.5bn undrawn committed facilities.

Risks and Flags to Dividend Stability

Regulatory/legal: CFPB lawsuit in the US (consumer dispute process) and ongoing GDPR/regulatory activity in EU/US could raise compliance costs or lead to settlements.
Macroeconomic sensitivity: UK softness and Brazil headwinds could weigh on B2B momentum; however, diversified geography and Consumer Services growth help mitigate.
Integration and execution: Recent acquisitions (illion, ClearSale, KYC360) and cloud migration bring execution risk and near-term cost drag (e.g., dual-run costs) before synergies fully realise.
Interest expense: Higher debt from acquisition financing lifts net interest (guidance ~US$190m), though still well covered.
Cyber/resilience: Elevated sector-wide cyber risks persist, though Experian notes strengthened AI governance and controls.

Dividends Used in Calculation:

Ex-Dividend Date	Payment Date	Type	Amount	Currency
09/01/2025	07/02/2025	Interim	19.25¢	USX
19/06/2025	18/07/2025	2nd Interim	43.25¢	USX

Total (Annual Dividends Per Share): 45.41p (Using exchange rate on 29/01/2026 $ = £0.72653)

Dividend Yield = Annual Dividends Per Share (45.41p) ÷ Share Price (2758p) = 1.65%

Ex Dividend Date	Payment Date	Type	Amount	Currency
08/01/2026	06/02/2026	1st Interim	21.25¢	USX
19/06/2025	18/07/2025	2nd Interim	43.25¢	USX
09/01/2025	07/02/2025	Interim	19.25¢	USX
20/06/2024	19/07/2024	2nd Interim	40.50¢	USX
04/01/2024	02/02/2024	1st Interim	18.00¢	USX
22/06/2023	21/07/2023	2nd Interim	37.75¢	USX
05/01/2023	03/02/2023	1st Interim	17.00¢	USX
23/06/2022	22/07/2022	2nd Interim	35.75¢	USX
06/01/2022	04/02/2022	1st Interim	16.00¢	USX
24/06/2021	23/07/2021	2nd Interim	32.50¢	USX
07/01/2021	05/02/2021	1st Interim	14.50¢	USX
25/06/2020	24/07/2020	2nd Interim	32.50¢	USX
02/01/2020	31/01/2020	Interim	14.50¢	USX
02/01/2020	31/01/2020	1st Interim	14.50¢	USX
27/06/2019	26/07/2019	2nd Interim	32.50¢	USX
03/01/2019	01/02/2019	1st Interim	14.00¢	USX
21/06/2018	20/07/2018	2nd Interim	31.25¢	USX
04/01/2018	02/02/2018	Interim	13.50¢	USX
04/01/2018	02/02/2018	1st Interim	13.50¢	USX
22/06/2017	21/07/2017	2nd Interim	28.50¢	USX
29/12/2016	27/01/2017	1st Interim	13.00¢	USX
23/06/2016	22/07/2016	2nd Interim	27.50¢	USX
31/12/2015	29/01/2016	1st Interim	12.50¢	USX
25/06/2015	24/07/2015	2nd Interim	27.00¢	USX
02/01/2015	30/01/2015	1st Interim	12.25¢	USX
25/06/2014	25/07/2014	2nd Interim	26.00¢	USX
31/12/2013	31/01/2014	1st Interim	11.50¢	USX
19/06/2013	19/07/2013	2nd Interim	24.00¢	USX
02/01/2013	01/02/2013	1st Interim	10.75¢	USX

Year	Interim	Currency	Total	Change
2024		USX	58.500	6.840
2023		USX	54.750	5.790
2022		USX	51.750	10.100
2021		USX	47.000	-23.570
2020	14.500	USX	61.500	32.250
2019		USX	46.500	-20.170
2018	13.500	USX	58.250	104.380
2017		USX	28.500	-29.620
2016		USX	40.500	-21.730
2015		USX	51.750	99.030
2014		USX	26.000	-43.780
2013		USX	46.250

Number of Shares:

Payment	Paid	Amount
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