EXHIBIT 99.1
[FACTUAL DATA LOGO] PRESS RELEASE
FACTUAL DATA CORP. REPORTS RECORD REVENUE, EPS AND EBITDA FOR
YEAR-END RESULTS
LOVELAND, Colo., February 13, 2002...Factual Data Corp., (Nasdaq: FDCC),
announced today revenue of $63.1 million, net income of $6.5 million and diluted
earnings per share of $1.04 for the year ended December 31, 2002.
Total revenue for the year ended December 31, 2002 increased 23.2 percent to
$63.1 million from $51.2 million reported for the same period in 2001. Net
income was $6.5 million or $1.04 per diluted share, as compared with $4.1
million, or $0.71 per diluted share, reported for the same period in 2001.
EBITDA (earnings before interest, taxes, depreciation and amortization) for the
year ended December 31, 2002 was $16.8 million as compared to $12.7 million for
the same period in 2001.
Total revenue for the quarter ended December 31, 2002 increased 28.7 percent to
$17.5 million compared with $13.6 million reported for the same quarter of 2001.
During the fourth quarter of 2002, net income was $2.2 million, or $0.35 per
diluted share, as compared with net income of $1.2 million, or $0.19 per diluted
share, reported for the same quarter of 2001. EBITDA for the fourth quarter of
2002 was $5.5 million as compared to $3.3 million for the fourth quarter of
2001.
"While capitalizing on the favorable mortgage market environment, we have also
successfully garnered new market share in our non-mortgage business lines," said
J.H. Donnan, chairman and chief executive officer. "Revenue in our non-mortgage
divisions increased 19 percent over 2001 results, emphasizing our ability to
grow in new markets in less than favorable market conditions," stated Mr.
Donnan.
"In our mortgage-based division, dramatic increases in flood zone
determinations, as well as increases in fraud detection products and automated
property valuation services outlined the successful launch of new lines through
our industry leading delivery channel, www.factualdata.com. Additionally, we
achieved $7 million in new revenue growth over 2001 from new or expanded major
account relationships thanks to our national/major account marketing team, our
technological superiority and our 'Four Hours or It's Free' guarantee,"
continued Mr. Donnan.
"We have also been successful in reaching new markets for our current products
with the successful launch of our services aimed at the mortgage backed
securities market via our industry leading portfolio services, as well as the
launch of our direct lender services division and our recently announced
relationship with Bankers Systems. 2002 was an excellent year for Factual Data
Corp. and all indications point to new opportunities in 2003," said Mr. Donnan.
"We have successfully increased our margins by decreasing our cost of services
sold as a percentage of revenue," said Todd Neiberger, Factual Data's chief
financial officer. "We increased our revenue through national account growth and
new products, resulting in dilution to many of our fixed expenses as well as
volume generated discounts on variable expenses. Our cash generation and revenue
growth have allowed us to pay down debt while increasing cash on hand for both
operating needs and acquisitions in the future. 2002 resulted in the highest
revenue, EPS and cash position we have enjoyed in our history thus far, and we
are pleased with our efficiencies and expanding growth opportunities," continued
Mr. Neiberger.
Daena Lee, Factual Data's Investor Relations Specialist, said "We would like to
remind our shareholders and other interested parties that they can access our
previously announced earnings call until midnight, February 19, 2003 by dialing
(800) 642-1687 or (706) 645-9291."
ABOUT FACTUAL DATA CORP.
Factual Data Corp. provides a wide range of customized information
services to businesses across the United States that assist them in making
critical decisions, such as determining whether to make a mortgage or other
loan, offer employment, accept new tenants, or enter into a business
relationship. Factual Data specializes in providing customized mortgage credit
reports and other mortgage related services, consumer credit reports, employment
screening, resident screening, and commercial credit reports.
Factual Data's customers include mortgage lenders and independent
mortgage brokers, consumer lenders, employers, property managers, and other
business customers desiring information regarding creditworthiness and other
matters. Factual Data is an industry leader in delivering its service offerings
over the Internet and in utilizing technology and customer service to provide
its services with the speed, reliability, accuracy and customization that
industry participants increasingly demand. Factual Data markets its services
through its website, www.factualdata.com, and nationally through offices located
in major metropolitan areas. Factual Data's common stock trades on the Nasdaq
National Market(R) under the symbol "FDCC." For more information visit
www.factualdata.com.
"Safe Harbor" Statements under the Private Securities Litigation Reform Act of
1995 - With the exception of historical information, the matters discussed in
this press release are forward looking statements that involve a number of risks
and uncertainties. Factual Data's actual results could differ significantly from
those statements. Factors that could cause or contribute to such differences
include, but are not limited to, changes in interest rates; strength of market
demand for Factual Data's services; the effects of seasonality in the housing
market; actual financial impact of new financial accounting standards;
competition; the success of Factual Data's consolidation plan; Factual Data's
ability to manage growth; Factual Data's ability to successfully develop and
market new services, and political and military uncertainties. Please refer to
documents that Factual Data Corp. files from time to time with the Securities
and Exchange Commission for a discussion of certain factors that could cause
actual results to differ materially from those contained in the forward-looking
statements.
SOURCE: Factual Data Corp.
CONTACT: Daena Lee, Investor Relations Specialist, Factual Data Corp.,
970-663-5700, ext. 243, daenal@factualdata.com.
FACTUAL DATA CORP.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET DATA
<Table>
<Caption>
AS OF DECEMBER 31,
------------------------------------------
2000 2001 2002
------------ ------------ ------------
(IN THOUSANDS)
BALANCE SHEET DATA:
Cash ........................................ $ 348 $ 6,164 $ 7,827
Current assets .............................. 6,322 12,794 16,205
Total assets ................................ 42,800 50,884 53,508
Current liabilities ......................... 12,781 14,268 14,168
Long-term debt .............................. 5,971 4,754 3,766
Capitalized lease obligation
-license agreements ...................... 8,793 7,387 4,559
Shareholders' equity ........................ 15,255 24,475 31,015
</Table>
FACTUAL DATA CORP.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
<Table>
<Caption>
For the Three Months Ended For the Twelve Months Ended
December 31, December 31,
---------------------------- ----------------------------
2001 2002 2001 2002
------------ ------------ ------------ ------------
Revenue:
Mortgage services $ 11,432,741 $ 14,891,927 $ 42,551,506 $ 52,738,434
Consumer services 1,620,040 1,802,306 6,476,520 6,971,808
Other services 535,422 792,927 2,212,195 3,361,496
------------ ------------ ------------ ------------
Total revenue 13,588,203 17,487,160 51,240,221 63,071,738
------------ ------------ ------------ ------------
Operating expenses:
Costs of services 7,953,832 9,050,584 29,828,159 33,870,719
Selling, general, and administrative 2,622,027 3,068,222 9,263,426 12,756,831
Depreciation and amortization 953,512 1,431,682 3,620,783 4,554,567
Acquisition consolidation costs 1,209 -- 158,114 115,478
Branch efficiency costs (169,973) -- (169,973) --
------------ ------------ ------------ ------------
Total operating expenses 11,360,607 13,550,488 42,700,509 51,297,595
------------ ------------ ------------ ------------
Income from operations 2,227,596 3,936,672 8,539,712 11,774,143
Other income (expense):
Other income 153,621 130,837 496,256 484,435
Interest expense (442,249) (333,001) (2,238,603) (1,485,699)
------------ ------------ ------------ ------------
Total other expense (288,628) (202,164) (1,742,347) (1,001,264)
------------ ------------ ------------ ------------
Income before income taxes 1,938,968 3,734,508 6,797,365 10,772,879
Income tax expense 780,936 1,562,268 2,660,507 4,313,150
------------ ------------ ------------ ------------
Net income $ 1,158,032 $ 2,172,240 $ 4,136,858 $ 6,459,729
============ ============ ============ ============
EARNINGS PER SHARE:
Basic $ .19 $ .35 $ .72 $ 1.05
============ ============ ============ ============
Diluted $ .19 $ .35 $ .71 $ 1.04
============ ============ ============ ============
WEIGHTED AVERAGE SHARES OUTSTANDING:
Basic 6,119,931 6,188,785 5,756,808 6,154,267
Diluted 6,205,793 6,216,002 5,819,337 6,209,693
============ ============ ============ ============
</Table>
<Table>
SUPPLEMENTAL INFORMATION:
Net income $ 1,158,032 $ 2,172,240 $ 4,136,858 $ 6,459,729
Add back:
Interest expense 442,249 333,001 2,238,603 1,485,699
Income tax expense 780,936 1,562,268 2,660,507 4,313,150
Depreciation and amortization 953,512 1,431,682 3,620,783 4,554,567
------------ ------------ ------------ ------------
EBITDA (a) $ 3,334,729 $ 5,499,191 $ 12,656,751 $ 16,813,145
============ ============ ============ ============
</Table>
(a) EBITDA is defined as earnings before interest, income taxes,
depreciation and amortization. EBITDA should not be considered as an
alternative to net income (as an indicator of operating performance)
or as an alternative to cash flow (as a measure of liquidity or
ability to service debt obligations) and is not in accordance with,
nor superior to, generally accepted accounting principles, but
provides additional information for evaluating Factual Data Corp. Our
measure of EBITDA may not be the same as similar measures described by
other companies.