Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | Apr. 26, 2019 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | ANSS | |
Entity Registrant Name | ANSYS INC | |
Entity Central Index Key | 0001013462 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Common Stock, Shares Outstanding | 83,928,433 | |
Entity Current Reporting Status | Yes |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 607,391 | $ 777,139 |
Short-term investments | 237 | 225 |
Accounts receivable, less allowance for doubtful accounts of $8,600 and $8,000, respectively | 268,526 | 317,700 |
Other receivables and current assets | 186,657 | 216,113 |
Total current assets | 1,062,811 | 1,311,177 |
Long-term assets: | ||
Property and equipment, net | 63,301 | 61,655 |
Operating lease right-of-use assets | 99,991 | 0 |
Goodwill | 1,748,228 | 1,572,455 |
Other intangible assets, net | 278,327 | 211,272 |
Other long-term assets | 97,699 | 82,775 |
Deferred income taxes | 21,906 | 26,630 |
Total long-term assets | 2,309,452 | 1,954,787 |
Total assets | 3,372,263 | 3,265,964 |
Current liabilities: | ||
Accounts payable | 11,502 | 7,953 |
Accrued bonuses and commissions | 20,506 | 79,945 |
Accrued income taxes | 15,694 | 8,726 |
Other accrued expenses and liabilities | 124,818 | 99,559 |
Deferred revenue | 330,890 | 328,584 |
Total current liabilities | 503,410 | 524,767 |
Long-term liabilities: | ||
Deferred income taxes | 38,370 | 30,077 |
Long-term operating lease liabilities | 87,259 | 0 |
Other long-term liabilities | 58,843 | 61,573 |
Total long-term liabilities | 184,472 | 91,650 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, $.01 par value; 2,000,000 shares authorized; zero shares issued or outstanding | 0 | 0 |
Common stock, $.01 par value; 300,000,000 shares authorized; 93,236,023 shares issued | 932 | 932 |
Additional paid-in capital | 824,997 | 867,462 |
Retained earnings | 3,005,641 | 2,919,411 |
Treasury stock, at cost: 9,357,968 and 9,601,670 shares, respectively | (1,077,252) | (1,075,879) |
Accumulated other comprehensive loss | (69,937) | (62,379) |
Total stockholders' equity | 2,684,381 | 2,649,547 |
Total liabilities and stockholders' equity | $ 3,372,263 | $ 3,265,964 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Allowance for doubtful accounts | $ 8,600 | $ 8,000 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 93,236,023 | 93,236,023 |
Treasury stock, shares | 9,357,968 | 9,601,670 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenue: | ||
Total revenue | $ 317,130 | $ 282,873 |
Cost of sales: | ||
Amortization | 4,547 | 8,786 |
Total cost of sales | 34,815 | 39,038 |
Gross profit | 282,315 | 243,835 |
Operating expenses: | ||
Selling, general and administrative | 112,169 | 87,809 |
Research and development | 70,738 | 57,530 |
Amortization | 3,759 | 3,435 |
Total operating expenses | 186,666 | 148,774 |
Operating income | 95,649 | 95,061 |
Interest income | 3,442 | 2,285 |
Other expense, net | (425) | (308) |
Income before income tax provision | 98,666 | 97,038 |
Income tax provision | 12,436 | 12,758 |
Net income | $ 86,230 | $ 84,280 |
Earnings per share - basic: | ||
Earnings per share | $ 1.03 | $ 1 |
Weighted average shares | 83,764 | 83,931 |
Earnings per share - diluted: | ||
Earnings per share | $ 1.01 | $ 0.98 |
Weighted average shares | 85,493 | 86,152 |
Software licenses | ||
Revenue: | ||
Total revenue | $ 123,044 | $ 110,046 |
Cost of sales: | ||
Total cost of sales | 4,708 | 3,911 |
Maintenance and service | ||
Revenue: | ||
Total revenue | 194,086 | 172,827 |
Cost of sales: | ||
Total cost of sales | $ 25,560 | $ 26,341 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Net income | $ 86,230 | $ 84,280 |
Other comprehensive (loss) income: | ||
Foreign currency translation adjustments | (7,558) | 8,243 |
Comprehensive income | $ 78,672 | $ 92,523 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Cash flows from operating activities: | ||
Net income | $ 86,230 | $ 84,280 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 17,898 | 16,613 |
Deferred income tax benefit | (1,387) | (3,245) |
Provision for bad debts | 390 | 64 |
Stock-based compensation expense | 23,800 | 15,269 |
Other | 1,093 | 272 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 43,983 | 22,507 |
Other receivables and current assets | 28,363 | 6,167 |
Other long-term assets | (2,516) | 1,189 |
Accounts payable, accrued expenses and current liabilities | (54,050) | (40,009) |
Accrued income taxes | 5,999 | (1,807) |
Deferred revenue | 2,235 | 31,704 |
Other long-term liabilities | (460) | (583) |
Net cash provided by operating activities | 151,578 | 132,421 |
Cash flows from investing activities: | ||
Acquisitions, net of cash acquired | (244,323) | 0 |
Capital expenditures | (6,900) | (2,933) |
Other investing activities | (460) | (4,303) |
Net cash used in investing activities | (251,683) | (7,236) |
Cash flows from financing activities: | ||
Purchase of treasury stock | (44,856) | (117,831) |
Restricted stock withholding taxes paid in lieu of issued shares | (32,994) | (24,333) |
Proceeds from shares issued for stock-based compensation | 10,376 | 12,759 |
Other financing activities | (1,617) | 0 |
Net cash used in financing activities | (69,091) | (129,405) |
Effect of exchange rate fluctuations on cash and cash equivalents | (552) | 8,212 |
Net (decrease) increase in cash and cash equivalents | (169,748) | 3,992 |
Cash and cash equivalents, beginning of period | 777,139 | 881,501 |
Cash and cash equivalents, end of period | 607,391 | 885,493 |
Supplemental disclosure of cash flow information: | ||
Income taxes paid | $ 4,832 | $ 3,402 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive (Loss)/Income |
Cumulative effect of the ASC 606 adoption | $ 183,132 | $ 183,132 | ||||
Beginning balance at Dec. 31, 2017 | $ 2,245,831 | $ 932 | $ 873,357 | 2,316,916 | $ (907,530) | $ (37,844) |
Beginning balance, shares at Dec. 31, 2017 | 93,236 | 9,044 | ||||
Treasury shares acquired | 750 | 750 | ||||
Treasury shares acquired, amount | $ (117,831) | $ (117,831) | ||||
Stock-based compensation activity | 3,705 | (39,943) | $ 43,648 | |||
Stock-based compensation activity, shares | (492) | |||||
Other comprehensive (loss)/income | 8,243 | 8,243 | ||||
Net income | 84,280 | 84,280 | ||||
Ending balance at Mar. 31, 2018 | 2,407,360 | $ 932 | 833,414 | 2,584,328 | $ (981,713) | (29,601) |
Ending balance, shares at Mar. 31, 2018 | 93,236 | 9,302 | ||||
Beginning balance at Dec. 31, 2018 | $ 2,649,547 | $ 932 | 867,462 | 2,919,411 | $ (1,075,879) | (62,379) |
Beginning balance, shares at Dec. 31, 2018 | 93,236 | 9,602 | ||||
Treasury shares acquired | 250 | 250 | ||||
Treasury shares acquired, amount | $ (44,856) | $ (44,856) | ||||
Stock-based compensation activity | 1,018 | (42,465) | $ 43,483 | |||
Stock-based compensation activity, shares | (494) | |||||
Other comprehensive (loss)/income | (7,558) | (7,558) | ||||
Net income | 86,230 | 86,230 | ||||
Ending balance at Mar. 31, 2019 | $ 2,684,381 | $ 932 | $ 824,997 | $ 3,005,641 | $ (1,077,252) | $ (69,937) |
Ending balance, shares at Mar. 31, 2019 | 93,236 | 9,358 |
Organization
Organization | 3 Months Ended |
Mar. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization ANSYS, Inc. (hereafter the Company or ANSYS) develops and globally markets engineering simulation software and services widely used by engineers, designers, researchers and students across a broad spectrum of industries and academia, including aerospace and defense, automotive, electronics, semiconductors, energy, materials and chemical processing, turbomachinery, consumer products, healthcare, and sports. As defined by the accounting guidance for segment reporting, the Company operates as one segment. |
Accounting Policies
Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Accounting Policies | Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared by ANSYS in accordance with accounting principles generally accepted in the United States for interim financial information for commercial and industrial companies, the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Company's audited consolidated financial statements (and notes thereto) included in the Company's Annual Report on Form 10-K for the year ended December 31, 2018 (2018 Form 10-K). The condensed consolidated December 31, 2018 balance sheet presented is derived from the audited December 31, 2018 balance sheet included in the 2018 Form 10-K. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the three months ended March 31, 2019 are not necessarily indicative of the results that may be expected for any future period. Changes in Accounting Policies The Company’s accounting policies are described in Note 2, “Accounting Policies,” in the 2018 Form 10-K. Summarized below is the accounting guidance adopted subsequent to December 31, 2018 . Leases: In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) (ASU 2016-02). The Company adopted ASU 2016-02 and its related amendments (collectively known as Accounting Standards Codification (ASC) 842) on January 1, 2019 using the modified retrospective approach. Results for reporting periods beginning after January 1, 2019 are presented under ASC 842, while prior period amounts are not adjusted and continue to be reported in accordance with ASC 840, Leases . ASC 842 requires virtually all leases, other than leases of intangible assets, to be recorded on the balance sheet with a right-of-use (ROU) asset and a corresponding lease liability. The Company elected the package of practical expedients permitted under the transition guidance within the new standard, which allowed the Company to carry forward its historical assessments of whether a contract contains a lease, lease classification and initial direct costs. In addition, the Company elected the accounting policy to combine the lease and nonlease components as a single component for all asset classes. The Company determines if an arrangement is a lease at inception. Leases are classified as either operating or finance leases based on certain criteria. This classification determines the timing and presentation of expenses on the income statement, as well as the presentation of the related cash flows and balance sheet. Operating leases are recorded on the balance sheet as operating lease right-of-use assets, other accrued expenses and liabilities, and long-term operating lease liabilities. The Company currently has no finance leases. ROU assets and related liabilities are recorded at lease commencement based on the present value of the lease payments over the expected lease term. Lease payments include future increases unless the increases are based on changes in an index or rate. As the Company's leases do not usually provide an implicit rate, the Company’s incremental borrowing rate is used to calculate ROU assets and related liabilities. The incremental borrowing rate is determined based on the Company’s estimated credit rating, the term of the lease, the economic environment where the asset resides and full collateralization. The ROU assets and related lease liabilities include optional renewals for which the Company is reasonably certain to exercise; whereas, optional terminations are included unless it is reasonably certain not to be elected. The adoption of the new standard resulted in the recognition of ROU assets of $90.9 million and lease liabilities of $92.5 million , and corresponding deferred tax assets and liabilities, on the Company’s condensed consolidated balance sheet as of January 1, 2019. The adoption had no impact on the Company’s condensed consolidated statements of income or cash flows. Accounting Guidance Issued and Not Yet Adopted Credit losses: In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (ASU 2016-13). The current guidance requires the allowance for doubtful accounts to be estimated based on an incurred loss model, which considers past and current conditions. ASU 2016-13 requires companies to use an expected loss model that also considers reasonable and supportable forecasts of future conditions. ASU 2016-13 is effective for annual periods beginning after December 15, 2019, including interim periods within that reporting period. Early adoption is permitted for annual periods beginning after December 15, 2018, including interim periods within that reporting period. The standard requires a cumulative-effect adjustment to the balance sheet as of the beginning of the first reporting period in which the guidance is effective. The Company did not early adopt the standard. The Company is currently evaluating the effect that this update will have on its financial results upon adoption. Implementation cost accounting for cloud computing arrangements: In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (ASU 2018-15). The standard aligns the accounting for costs incurred to implement a cloud computing arrangement (CCA) that is a service arrangement with the guidance on capitalizing costs associated with developing or obtaining internal-use software. Under ASU 2018-15, an entity would apply Subtopic 350-40 to determine which implementation costs related to a CCA that is a service contract should be capitalized. The standard does not change the accounting for the service component of a CCA. The associated cash flows will be reflected within operating activities. ASU 2018-15 is effective for annual periods beginning after December 15, 2019, including interim periods within that reporting period. Early adoption is permitted, including adoption in any interim period for which financial statements have not been issued. Entities can choose to adopt the new guidance (1) prospectively to eligible costs incurred on or after the date the guidance is first applied or (2) retrospectively. The Company is currently evaluating the effect that this update will have on its financial results upon adoption. Cash and Cash Equivalents Cash and cash equivalents consist primarily of highly liquid investments such as deposits held at major banks and money market funds. Cash equivalents are carried at cost, which approximates fair value. The Company’s cash and cash equivalent balances comprise the following: March 31, 2019 December 31, 2018 (in thousands, except percentages) Amount % of Total Amount % of Total Cash accounts $ 379,831 62.5 $ 331,084 42.6 Money market funds 227,560 37.5 446,055 57.4 Total $ 607,391 $ 777,139 |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers Disaggregation of Revenue The following table summarizes revenue: Three Months Ended (in thousands) March 31, 2019 March 31, 2018 Revenue: Lease licenses $ 69,256 $ 48,772 Perpetual licenses 53,788 61,274 Software licenses 123,044 110,046 Maintenance 181,461 163,896 Service 12,625 8,931 Maintenance and service 194,086 172,827 Total revenue $ 317,130 $ 282,873 The Company’s software licenses revenue is recognized up front, while maintenance and service revenue is generally recognized over the term of the contract. The Company derived 29.5% and 23.5% of its total revenue through the indirect sales channel for the three months ended March 31, 2019 and 2018 , respectively. Deferred Revenue Deferred revenue consists of billings made or payments received in advance of revenue recognition from software license and maintenance agreements. The timing of revenue recognition may differ from the timing of billings to customers. Payment terms vary by the type and location of customer and the products or services offered. The time between invoicing and when payment is due is not significant. The changes in deferred revenue, inclusive of both current and long-term deferred revenue, during the three months ended March 31, 2019 and 2018 were as follows: (in thousands) 2019 2018 Beginning balance – January 1 $ 343,174 $ 299,730 Acquired deferred revenue 2,349 — Deferral of revenue 318,279 307,978 Recognition of revenue (317,130 ) (282,873 ) Currency translation (2,396 ) 4,559 Ending balance – March 31 $ 344,276 $ 329,394 Revenue allocated to remaining performance obligations represents contracted revenue that has not yet been recognized, and includes both deferred revenue and backlog. The Company's backlog represents installment billings for periods beyond the current quarterly billing cycle and customer orders received but not processed. Revenue recognized during the three months ended March 31, 2019 and 2018 included amounts in deferred revenue and backlog at the beginning of the period of $172.6 million and $145.8 million , respectively. Total revenue allocated to remaining performance obligations as of March 31, 2019 will be recognized as revenue as follows: (in thousands) Next 12 months $ 477,092 Months 13-24 119,694 Months 25-36 44,061 Thereafter 31,801 Total revenue allocated to remaining performance obligations $ 672,648 |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions During the three months ended March 31, 2019 , the Company acquired 100% of the shares of Granta Design Limited (Granta Design) and Helic, Inc. (Helic) for a combined purchase price of $260.8 million , paid in cash. The acquisition of Granta Design, the premier provider of materials information technology, expands ANSYS' portfolio into this important area, giving customers access to material intelligence, including data that is critical to successful simulations. The acquisition of Helic, the industry-leading provider of electromagnetic crosstalk solutions for systems on chips, combined with ANSYS' flagship electromagnetic and semiconductor solvers, will provide a comprehensive solution for on-chip, 3D integrated circuit and chip-package-system electromagnetics and noise analysis. The assets and liabilities of Granta Design and Helic have been recorded based upon management's estimates of their fair market values as of each respective date of acquisition. The following tables summarize the fair value of consideration transferred and the fair values of identified assets acquired and liabilities assumed at each respective date of acquisition: Fair Value of Consideration Transferred: (in thousands) Granta Design Helic Total Cash $ 198,723 $ 62,086 $ 260,809 Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: (in thousands) Cash $ 13,644 $ 2,842 $ 16,486 Accounts receivable and other tangible assets 6,926 6,008 12,934 Developed software and core technologies (12 year weighted-average life) 32,445 8,600 41,045 Customer lists (13 year weighted-average life) 20,016 11,500 31,516 Trade names (10 year weighted-average life) 4,579 890 5,469 Accounts payable and other liabilities (6,176 ) (3,477 ) (9,653 ) Deferred revenue (1,426 ) (923 ) (2,349 ) Net deferred tax liabilities (9,822 ) (5,049 ) (14,871 ) Total identifiable net assets $ 60,186 $ 20,391 $ 80,577 Goodwill $ 138,537 $ 41,695 $ 180,232 The goodwill, which is not tax-deductible, is attributed to intangible assets that do not qualify for separate recognition, including the assembled workforce of the acquired business and the synergies expected to arise as a result of the acquisitions. The fair values of the assets acquired and liabilities assumed are based on preliminary calculations. The estimates and assumptions for these items are subject to change as additional information about what was known and knowable at the acquisition date is obtained during the measurement period (up to one year from the acquisition date). On May 2, 2018, the Company completed the acquisition of 100% of the shares of OPTIS, a premier provider of software for scientific simulation of light, human vision and physics-based visualization, for a purchase price of $291.0 million , paid in cash. The acquisition extends the Company's portfolio into the area of optical simulation to provide comprehensive sensor solutions, covering visible and infrared light, electromagnetics and acoustics for camera, radar and lidar. |
Other Receivables and Current A
Other Receivables and Current Assets | 3 Months Ended |
Mar. 31, 2019 | |
Prepaid Expense and Other Assets, Current [Abstract] | |
Other Receivables and Current Assets | Other Receivables and Current Assets The Company's other receivables and current assets comprise the following balances: (in thousands) March 31, December 31, Receivables related to unrecognized revenue $ 129,917 $ 167,144 Income taxes receivable, including overpayments and refunds 13,662 13,709 Prepaid expenses and other current assets 43,078 35,260 Total other receivables and current assets $ 186,657 $ 216,113 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic earnings per share (EPS) amounts are computed by dividing earnings by the weighted average number of common shares outstanding during the period. Diluted EPS amounts assume the issuance of common stock for all potentially dilutive equivalents outstanding using the treasury stock method. To the extent stock awards are anti-dilutive, they are excluded from the calculation of diluted EPS. The details of basic and diluted EPS are as follows: Three Months Ended (in thousands, except per share data) March 31, March 31, Net income $ 86,230 $ 84,280 Weighted average shares outstanding – basic 83,764 83,931 Dilutive effect of stock plans 1,729 2,221 Weighted average shares outstanding – diluted 85,493 86,152 Basic earnings per share $ 1.03 $ 1.00 Diluted earnings per share $ 1.01 $ 0.98 Anti-dilutive shares — — |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Company's intangible assets and estimated useful lives are classified as follows: March 31, 2019 December 31, 2018 (in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Finite-lived intangible assets: Developed software and core technologies (3 – 15 years) $ 450,361 $ (318,209 ) $ 410,680 $ (314,730 ) Customer lists and contract backlog (5 – 15 years) 238,629 (120,682 ) 209,031 (117,614 ) Trade names (2 – 10 years) 142,409 (114,538 ) 137,225 (113,677 ) Total $ 831,399 $ (553,429 ) $ 756,936 $ (546,021 ) Indefinite-lived intangible asset: Trade name $ 357 $ 357 Amortization expense for the intangible assets reflected above was $8.3 million and $12.2 million for the three months ended March 31, 2019 and 2018 , respectively. As of March 31, 2019 , estimated future amortization expense for the intangible assets reflected above is as follows: (in thousands) Remainder of 2019 $ 25,433 2020 36,001 2021 33,709 2022 32,306 2023 30,442 2024 27,932 Thereafter 92,147 Total intangible assets subject to amortization 277,970 Indefinite-lived trade name 357 Other intangible assets, net $ 278,327 The changes in goodwill during the three months ended March 31, 2019 and 2018 were as follows: (in thousands) 2019 2018 Beginning balance – January 1 $ 1,572,455 $ 1,378,553 Acquisitions and adjustments (1) 181,201 — Currency translation (5,428 ) 905 Ending balance – March 31 $ 1,748,228 $ 1,379,458 (1) In accordance with the accounting for business combinations, the Company recorded adjustments to goodwill for the effect of changes in the provisional fair values of the assets acquired and liabilities assumed during the measurement period (up to one year from the acquisition date) as the Company obtained new information about facts and circumstances that existed as of the acquisition date that, if known, would have affected the measurement of the amounts recognized as of that date. During the first quarter of 2019 , the Company completed the annual impairment test for goodwill and the indefinite-lived intangible asset and determined that these assets had not been impaired as of the test date, January 1, 2019 . No other events or circumstances changed during the three months ended March 31, 2019 |
Fair Value Measurement
Fair Value Measurement | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Fair Value Measurement The valuation hierarchy for disclosure of assets and liabilities reported at fair value prioritizes the inputs for such valuations into three broad levels: • Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities; • Level 2: quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument; or • Level 3: unobservable inputs based on the Company's own assumptions used to measure assets and liabilities at fair value. The classification of a financial asset or liability within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The following tables provide the assets carried at fair value and measured on a recurring basis: Fair Value Measurements at Reporting Date Using: (in thousands) March 31, Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Cash equivalents $ 227,560 $ 227,560 $ — $ — Short-term investments $ 237 $ — $ 237 $ — Deferred compensation plan investments $ 2,138 $ 2,138 $ — $ — Fair Value Measurements at Reporting Date Using: (in thousands) December 31, 2018 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Cash equivalents $ 446,055 $ 446,055 $ — $ — Short-term investments $ 225 $ — $ 225 $ — Deferred compensation plan investments $ 1,646 $ 1,646 $ — $ — The cash equivalents in the preceding tables represent money market funds, valued at net asset value, with carrying values which approximate their fair values because of their short-term nature. The short-term investments in the preceding tables represent deposits held by certain foreign subsidiaries of the Company. The deposits have fixed interest rates with original maturities ranging from three months to one year . |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | Leases The Company primarily has operating leases for office space and leased cars included in its ROU assets and lease liabilities. The Company's executive offices and those related to certain domestic product development, marketing, production and administration are located in a 186,000 square foot office facility in Canonsburg, Pennsylvania. The term of the lease is 183 months, which began on October 1, 2014 and expires on December 31, 2029. The lease agreement includes options to renew the contract through August 2044, an option to lease additional space in January 2025 and an option to terminate the lease in December 2025. No options are included in the lease liability as renewal is not reasonably certain. In addition, the Company is reasonably certain it will not terminate the lease agreement. Absent the exercise of options in the lease, the Company's base rent (inclusive of property taxes and certain operating costs) is $4.3 million per annum for the first five years of the lease term, $4.5 million per annum for years six through ten and $4.7 million per annum for years eleven through fifteen. The components of the Company's global lease cost reflected in the condensed consolidated statements of income for the three months ended March 31, 2019 are as follows: (in thousands) Lease liability cost $ 5,285 Variable lease cost not included in the lease liability (1) 797 Total lease cost $ 6,082 (1) Variable lease cost includes common area maintenance, property taxes, utilities and fluctuations in rent due to a change in an index or rate. Lease cost totaled $4.9 million for the three months ended March 31, 2018. Other information related to operating leases for the three months ended March 31, 2019 is as follows: (in thousands) Cash paid for amounts included in the measurement of the lease liability: Operating cash flows from operating leases $ (4,332 ) Right-of-use assets obtained in exchange for new operating lease liabilities $ 13,835 As of March 31, 2019, the weighted-average remaining lease term of operating leases was 8 .0 years, and the weighted-average discount rate of operating leases was 3.3% . The maturity schedule of the operating lease liabilities as of March 31, 2019 is as follows: (in thousands) Remainder of 2019 $ 15,081 2020 18,043 2021 15,756 2022 13,415 2023 9,676 Thereafter 46,749 Total future lease payments 118,720 Less: Present value adjustment (16,195 ) Present value of future lease payments (1) $ 102,525 (1) Includes the current portion of operating lease liabilities of $15.3 million , which is reflected in other accrued expenses and liabilities in the condensed consolidated balance sheets. There were no material leases that have been signed but not yet commenced as of March 31, 2019. The future minimum lease payments under ASC 840, including termination fees, under noncancellable operating leases for office space in effect at December 31, 2018 were as follows: (in thousands) 2019 $ 16,354 2020 12,469 2021 10,177 2022 8,523 2023 6,809 Thereafter 14,267 Total $ 68,599 |
Debt
Debt | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt In February 2019, the Company entered into a credit agreement for a $500 million unsecured revolving credit facility, which includes a $50 million sublimit for the issuance of letters of credit, with Bank of America, N.A. as the Administrative Agent. The revolving credit facility is available for general corporate purposes, including, among others, to finance acquisitions and capital expenditures and becomes payable in full on February 22, 2024. Borrowings under the revolving credit facility will accrue interest at the Eurodollar rate plus an applicable margin or at the base rate. The base rate is the applicable margin plus the highest of (i) the federal funds rate plus 0.500% , (ii) the Bank of America prime rate and (iii) the Eurodollar rate plus 1.000% . The applicable margin for these borrowings is a percentage per annum based on the lower of (1) a pricing level determined by the Company’s then-current consolidated leverage ratio and (2) a pricing level determined by the Company’s debt ratings (if such debt ratings exist). This results in a margin ranging from 1.125% to 1.750% and 0.125% to 0.750% for the Eurodollar rate and base rate, respectively. The credit agreement contains customary representations and warranties, affirmative and negative covenants and events of default. The credit agreement also contains a financial covenant requiring the Company and its subsidiaries to maintain a consolidated leverage ratio of indebtedness to earnings before interest, taxes, depreciation and amortization of 3.50 to 1.00 as of the end of any fiscal quarter (for the four-quarter period ending on such date) with an opportunity for a temporary increase in such consolidated leverage ratio to 4.00 to 1.00 upon the consummation of certain qualified acquisitions for which the aggregate consideration is at least $250 million . The credit agreement will terminate and all amounts owing thereunder will be due and payable on February 22, 2024 unless (i) the commitments are terminated earlier upon the occurrence of certain events, including an event of default, or (ii) the maturity date is further extended upon the Company's request, subject to the agreement of the lenders. |
Stock Repurchase Program
Stock Repurchase Program | 3 Months Ended |
Mar. 31, 2019 | |
Class of Stock Disclosures [Abstract] | |
Stock Repurchase Program | Stock Repurchase Program Under the Company's stock repurchase program, the Company repurchased shares as follows: Three Months Ended (in thousands, except per share data) March 31, March 31, Number of shares repurchased 250 750 Average price paid per share $ 179.42 $ 157.11 Total cost $ 44,856 $ 117,831 In February 2018, the Company's Board of Directors increased the number of shares authorized for repurchase to a total of 5.0 million shares under the stock repurchase program. As of March 31, 2019 , 3.6 million |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation Total stock-based compensation expense and its net impact on basic and diluted earnings per share are as follows: Three Months Ended (in thousands, except per share data) March 31, March 31, Cost of sales: Maintenance and service $ 1,228 $ 1,010 Operating expenses: Selling, general and administrative 13,131 8,278 Research and development 9,441 5,981 Stock-based compensation expense before taxes 23,800 15,269 Related income tax benefits (11,076 ) (11,304 ) Stock-based compensation expense, net of taxes $ 12,724 $ 3,965 Net impact on earnings per share: Basic earnings per share $ (0.15 ) $ (0.05 ) Diluted earnings per share $ (0.15 ) $ (0.05 ) |
Geographic Information
Geographic Information | 3 Months Ended |
Mar. 31, 2019 | |
Segments, Geographical Areas [Abstract] | |
Geographic Information | Geographic Information Revenue to external customers is attributed to individual countries based upon the location of the customer. Revenue by geographic area is as follows: Three Months Ended (in thousands) March 31, March 31, United States $ 140,662 $ 98,765 Japan 33,573 30,601 Germany 30,427 45,538 France 15,609 16,552 South Korea 15,078 15,054 Other Europe, Middle East and Africa (EMEA) 44,255 43,018 Other international 37,526 33,345 Total revenue $ 317,130 $ 282,873 Property and equipment by geographic area is as follows: (in thousands) March 31, December 31, United States $ 47,219 $ 46,605 India 4,217 4,176 EMEA 8,148 7,120 Other international 3,717 3,754 Total property and equipment, net $ 63,301 $ 61,655 |
Contingencies and Commitments
Contingencies and Commitments | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Commitments | Contingencies and Commitments The Company is subject to various investigations, claims and legal proceedings that arise in the ordinary course of business, including commercial disputes, labor and employment matters, tax audits, alleged infringement of intellectual property rights and other matters. In the opinion of the Company, the resolution of pending matters is not expected to have a material adverse effect on the Company's consolidated results of operations, cash flows or financial position. However, each of these matters is subject to various uncertainties and it is possible that an unfavorable resolution of one or more of these proceedings could materially affect the Company's results of operations, cash flows or financial position. An Indian subsidiary of the Company has several service tax audits pending that have resulted in formal inquiries being received on transactions through mid-2012. The Company could incur tax charges and related liabilities of approximately $7.2 million . The service tax issues raised in the Company’s notices and inquiries are very similar to the case, M/s Microsoft Corporation (I) (P) Ltd. Vs. Commissioner of Service Tax, New Delhi, wherein the Delhi Customs, Excise and Service Tax Appellate Tribunal (CESTAT) passed a favorable ruling to Microsoft. The Company can provide no assurances on whether the Microsoft case's favorable ruling will be challenged in higher courts or on the impact that the present Microsoft case’s decision will have on the Company’s cases. The Company is uncertain as to when these service tax matters will be concluded. The Company sells software licenses and services to its customers under proprietary software license agreements. Each license agreement contains the relevant terms of the contractual arrangement with the customer, and generally includes certain provisions for indemnifying the customer against losses, expenses and liabilities from damages that are incurred by or awarded against the customer in the event the Company's software or services are found to infringe upon a patent, copyright or other proprietary right of a third party. To date, the Company has not had to reimburse any of its customers for any losses related to these indemnification provisions and no material claims asserted under these indemnification provisions are outstanding as of March 31, 2019 |
Subsequent Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent Event In May 2019, the Company acquired certain assets and liabilities of DfR Solutions for approximately $41.0 million |
Accounting Policies (Policies)
Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared by ANSYS in accordance with accounting principles generally accepted in the United States for interim financial information for commercial and industrial companies, the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the Company's audited consolidated financial statements (and notes thereto) included in the Company's Annual Report on Form 10-K for the year ended December 31, 2018 (2018 Form 10-K). The condensed consolidated December 31, 2018 balance sheet presented is derived from the audited December 31, 2018 balance sheet included in the 2018 Form 10-K. In the opinion of management, all adjustments considered necessary for a fair presentation of the financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the three months ended March 31, 2019 |
Changes in Accounting Policies | Changes in Accounting Policies The Company’s accounting policies are described in Note 2, “Accounting Policies,” in the 2018 Form 10-K. Summarized below is the accounting guidance adopted subsequent to December 31, 2018 . Leases: In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) (ASU 2016-02). The Company adopted ASU 2016-02 and its related amendments (collectively known as Accounting Standards Codification (ASC) 842) on January 1, 2019 using the modified retrospective approach. Results for reporting periods beginning after January 1, 2019 are presented under ASC 842, while prior period amounts are not adjusted and continue to be reported in accordance with ASC 840, Leases . ASC 842 requires virtually all leases, other than leases of intangible assets, to be recorded on the balance sheet with a right-of-use (ROU) asset and a corresponding lease liability. The Company elected the package of practical expedients permitted under the transition guidance within the new standard, which allowed the Company to carry forward its historical assessments of whether a contract contains a lease, lease classification and initial direct costs. In addition, the Company elected the accounting policy to combine the lease and nonlease components as a single component for all asset classes. The Company determines if an arrangement is a lease at inception. Leases are classified as either operating or finance leases based on certain criteria. This classification determines the timing and presentation of expenses on the income statement, as well as the presentation of the related cash flows and balance sheet. Operating leases are recorded on the balance sheet as operating lease right-of-use assets, other accrued expenses and liabilities, and long-term operating lease liabilities. The Company currently has no finance leases. ROU assets and related liabilities are recorded at lease commencement based on the present value of the lease payments over the expected lease term. Lease payments include future increases unless the increases are based on changes in an index or rate. As the Company's leases do not usually provide an implicit rate, the Company’s incremental borrowing rate is used to calculate ROU assets and related liabilities. The incremental borrowing rate is determined based on the Company’s estimated credit rating, the term of the lease, the economic environment where the asset resides and full collateralization. The ROU assets and related lease liabilities include optional renewals for which the Company is reasonably certain to exercise; whereas, optional terminations are included unless it is reasonably certain not to be elected. The adoption of the new standard resulted in the recognition of ROU assets of $90.9 million and lease liabilities of $92.5 million |
Accounting Guidance Issued and Not Yet Adopted | Accounting Guidance Issued and Not Yet Adopted Credit losses: In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (ASU 2016-13). The current guidance requires the allowance for doubtful accounts to be estimated based on an incurred loss model, which considers past and current conditions. ASU 2016-13 requires companies to use an expected loss model that also considers reasonable and supportable forecasts of future conditions. ASU 2016-13 is effective for annual periods beginning after December 15, 2019, including interim periods within that reporting period. Early adoption is permitted for annual periods beginning after December 15, 2018, including interim periods within that reporting period. The standard requires a cumulative-effect adjustment to the balance sheet as of the beginning of the first reporting period in which the guidance is effective. The Company did not early adopt the standard. The Company is currently evaluating the effect that this update will have on its financial results upon adoption. Implementation cost accounting for cloud computing arrangements: In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist primarily of highly liquid investments such as deposits held at major banks and money market funds. Cash equivalents are carried at cost, which approximates fair value. The Company’s cash and cash equivalent balances comprise the following: March 31, 2019 December 31, 2018 (in thousands, except percentages) Amount % of Total Amount % of Total Cash accounts $ 379,831 62.5 $ 331,084 42.6 Money market funds 227,560 37.5 446,055 57.4 Total $ 607,391 $ 777,139 |
Accounting Policies (Tables)
Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Cash and Cash Equivalents | The Company’s cash and cash equivalent balances comprise the following: March 31, 2019 December 31, 2018 (in thousands, except percentages) Amount % of Total Amount % of Total Cash accounts $ 379,831 62.5 $ 331,084 42.6 Money market funds 227,560 37.5 446,055 57.4 Total $ 607,391 $ 777,139 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table summarizes revenue: Three Months Ended (in thousands) March 31, 2019 March 31, 2018 Revenue: Lease licenses $ 69,256 $ 48,772 Perpetual licenses 53,788 61,274 Software licenses 123,044 110,046 Maintenance 181,461 163,896 Service 12,625 8,931 Maintenance and service 194,086 172,827 Total revenue $ 317,130 $ 282,873 |
Changes in Deferred Revenue | The changes in deferred revenue, inclusive of both current and long-term deferred revenue, during the three months ended March 31, 2019 and 2018 were as follows: (in thousands) 2019 2018 Beginning balance – January 1 $ 343,174 $ 299,730 Acquired deferred revenue 2,349 — Deferral of revenue 318,279 307,978 Recognition of revenue (317,130 ) (282,873 ) Currency translation (2,396 ) 4,559 Ending balance – March 31 $ 344,276 $ 329,394 |
Remaining Performance Obligations, Expected Timing of Satisfaction | Total revenue allocated to remaining performance obligations as of March 31, 2019 will be recognized as revenue as follows: (in thousands) Next 12 months $ 477,092 Months 13-24 119,694 Months 25-36 44,061 Thereafter 31,801 Total revenue allocated to remaining performance obligations $ 672,648 |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Schedule of Consideration Transferred | Fair Value of Consideration Transferred: (in thousands) Granta Design Helic Total Cash $ 198,723 $ 62,086 $ 260,809 |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed: (in thousands) Cash $ 13,644 $ 2,842 $ 16,486 Accounts receivable and other tangible assets 6,926 6,008 12,934 Developed software and core technologies (12 year weighted-average life) 32,445 8,600 41,045 Customer lists (13 year weighted-average life) 20,016 11,500 31,516 Trade names (10 year weighted-average life) 4,579 890 5,469 Accounts payable and other liabilities (6,176 ) (3,477 ) (9,653 ) Deferred revenue (1,426 ) (923 ) (2,349 ) Net deferred tax liabilities (9,822 ) (5,049 ) (14,871 ) Total identifiable net assets $ 60,186 $ 20,391 $ 80,577 Goodwill $ 138,537 $ 41,695 $ 180,232 |
Other Receivables and Current_2
Other Receivables and Current Assets (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Prepaid Expense and Other Assets, Current [Abstract] | |
Schedule of Other Receivables and Current Assets | The Company's other receivables and current assets comprise the following balances: (in thousands) March 31, December 31, Receivables related to unrecognized revenue $ 129,917 $ 167,144 Income taxes receivable, including overpayments and refunds 13,662 13,709 Prepaid expenses and other current assets 43,078 35,260 Total other receivables and current assets $ 186,657 $ 216,113 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Details of Basic and Diluted EPS | The details of basic and diluted EPS are as follows: Three Months Ended (in thousands, except per share data) March 31, March 31, Net income $ 86,230 $ 84,280 Weighted average shares outstanding – basic 83,764 83,931 Dilutive effect of stock plans 1,729 2,221 Weighted average shares outstanding – diluted 85,493 86,152 Basic earnings per share $ 1.03 $ 1.00 Diluted earnings per share $ 1.01 $ 0.98 Anti-dilutive shares — — |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Estimated Useful Lives | The Company's intangible assets and estimated useful lives are classified as follows: March 31, 2019 December 31, 2018 (in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Finite-lived intangible assets: Developed software and core technologies (3 – 15 years) $ 450,361 $ (318,209 ) $ 410,680 $ (314,730 ) Customer lists and contract backlog (5 – 15 years) 238,629 (120,682 ) 209,031 (117,614 ) Trade names (2 – 10 years) 142,409 (114,538 ) 137,225 (113,677 ) Total $ 831,399 $ (553,429 ) $ 756,936 $ (546,021 ) Indefinite-lived intangible asset: Trade name $ 357 $ 357 |
Estimated Future Amortization Expense for Intangible Assets | As of March 31, 2019 , estimated future amortization expense for the intangible assets reflected above is as follows: (in thousands) Remainder of 2019 $ 25,433 2020 36,001 2021 33,709 2022 32,306 2023 30,442 2024 27,932 Thereafter 92,147 Total intangible assets subject to amortization 277,970 Indefinite-lived trade name 357 Other intangible assets, net $ 278,327 |
Changes in Goodwill | The changes in goodwill during the three months ended March 31, 2019 and 2018 were as follows: (in thousands) 2019 2018 Beginning balance – January 1 $ 1,572,455 $ 1,378,553 Acquisitions and adjustments (1) 181,201 — Currency translation (5,428 ) 905 Ending balance – March 31 $ 1,748,228 $ 1,379,458 (1) |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities Measured on Recurring Basis | The following tables provide the assets carried at fair value and measured on a recurring basis: Fair Value Measurements at Reporting Date Using: (in thousands) March 31, Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Cash equivalents $ 227,560 $ 227,560 $ — $ — Short-term investments $ 237 $ — $ 237 $ — Deferred compensation plan investments $ 2,138 $ 2,138 $ — $ — Fair Value Measurements at Reporting Date Using: (in thousands) December 31, 2018 Quoted Prices in Active Markets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Cash equivalents $ 446,055 $ 446,055 $ — $ — Short-term investments $ 225 $ — $ 225 $ — Deferred compensation plan investments $ 1,646 $ 1,646 $ — $ — |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Schedule Of Lease Cost | The components of the Company's global lease cost reflected in the condensed consolidated statements of income for the three months ended March 31, 2019 are as follows: (in thousands) Lease liability cost $ 5,285 Variable lease cost not included in the lease liability (1) 797 Total lease cost $ 6,082 (1) |
Lessee, Operating Lease Other Information | Other information related to operating leases for the three months ended March 31, 2019 is as follows: (in thousands) Cash paid for amounts included in the measurement of the lease liability: Operating cash flows from operating leases $ (4,332 ) Right-of-use assets obtained in exchange for new operating lease liabilities $ 13,835 |
Schedule Of Maturity Of Operating Lease Liabilities | The maturity schedule of the operating lease liabilities as of March 31, 2019 is as follows: (in thousands) Remainder of 2019 $ 15,081 2020 18,043 2021 15,756 2022 13,415 2023 9,676 Thereafter 46,749 Total future lease payments 118,720 Less: Present value adjustment (16,195 ) Present value of future lease payments (1) $ 102,525 (1) Includes the current portion of operating lease liabilities of $15.3 million |
Schedule Of Future Minimum Rental Payments For Operating Leases | The future minimum lease payments under ASC 840, including termination fees, under noncancellable operating leases for office space in effect at December 31, 2018 were as follows: (in thousands) 2019 $ 16,354 2020 12,469 2021 10,177 2022 8,523 2023 6,809 Thereafter 14,267 Total $ 68,599 |
Stock Repurchase Program (Table
Stock Repurchase Program (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Class of Stock Disclosures [Abstract] | |
Stock Repurchase Program | Under the Company's stock repurchase program, the Company repurchased shares as follows: Three Months Ended (in thousands, except per share data) March 31, March 31, Number of shares repurchased 250 750 Average price paid per share $ 179.42 $ 157.11 Total cost $ 44,856 $ 117,831 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation Expense and Its Net Impact on Basic and Diluted Earnings Per Share | Total stock-based compensation expense and its net impact on basic and diluted earnings per share are as follows: Three Months Ended (in thousands, except per share data) March 31, March 31, Cost of sales: Maintenance and service $ 1,228 $ 1,010 Operating expenses: Selling, general and administrative 13,131 8,278 Research and development 9,441 5,981 Stock-based compensation expense before taxes 23,800 15,269 Related income tax benefits (11,076 ) (11,304 ) Stock-based compensation expense, net of taxes $ 12,724 $ 3,965 Net impact on earnings per share: Basic earnings per share $ (0.15 ) $ (0.05 ) Diluted earnings per share $ (0.15 ) $ (0.05 ) |
Geographic Information (Tables)
Geographic Information (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Segments, Geographical Areas [Abstract] | |
Revenue by Geographic Area | Revenue by geographic area is as follows: Three Months Ended (in thousands) March 31, March 31, United States $ 140,662 $ 98,765 Japan 33,573 30,601 Germany 30,427 45,538 France 15,609 16,552 South Korea 15,078 15,054 Other Europe, Middle East and Africa (EMEA) 44,255 43,018 Other international 37,526 33,345 Total revenue $ 317,130 $ 282,873 |
Property and Equipment by Geographic Area | Property and equipment by geographic area is as follows: (in thousands) March 31, December 31, United States $ 47,219 $ 46,605 India 4,217 4,176 EMEA 8,148 7,120 Other international 3,717 3,754 Total property and equipment, net $ 63,301 $ 61,655 |
Organization - Additional Infor
Organization - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2019Segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments | 1 |
Accounting Policies - Additiona
Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Accounting Policies [Abstract] | |||
Operating lease right-of-use assets | $ 99,991 | $ 90,900 | $ 0 |
Operating lease liabilities | $ 102,525 | $ 92,500 |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Accounting Policies [Abstract] | ||||
Cash accounts, Amount | $ 379,831 | $ 331,084 | ||
Money market funds, Amount | 227,560 | 446,055 | ||
Total | $ 607,391 | $ 777,139 | $ 885,493 | $ 881,501 |
Cash accounts, % of Total | 62.50% | 42.60% | ||
Money market funds, % of Total | 37.50% | 57.40% |
Cash and Cash Equivalents - Add
Cash and Cash Equivalents - Additional Information (Detail) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Money Market Funds [Member] | ||
Cash and Cash Equivalents [Line Items] | ||
Concentration Risk, Percentage | 100.00% | 100.00% |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | ||
Indirect sales channel revenue | 29.50% | 23.50% |
Amount of revenue recognized from beginning deferred revenue and backlog | $ 172.6 | $ 145.8 |
Disaggregation of Revenue (Deta
Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Total revenue | $ 317,130 | $ 282,873 |
Lease licenses | ||
Total revenue | 69,256 | 48,772 |
Perpetual licenses | ||
Total revenue | 53,788 | 61,274 |
Software licenses | ||
Total revenue | 123,044 | 110,046 |
Maintenance | ||
Total revenue | 181,461 | 163,896 |
Service | ||
Total revenue | 12,625 | 8,931 |
Maintenance and service | ||
Total revenue | $ 194,086 | $ 172,827 |
Changes in Deferred Revenue (De
Changes in Deferred Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Feb. 01, 2019 | |
Movement in Deferred Revenue [Roll Forward] | |||
Beginning balance | $ 343,174 | $ 299,730 | |
Acquired deferred revenue | 2,349 | 0 | $ 2,349 |
Deferral of revenue | 318,279 | 307,978 | |
Recognition of revenue | (317,130) | (282,873) | |
Currency translation | (2,396) | 4,559 | |
Ending balance | $ 344,276 | $ 329,394 |
Remaining Performance Obligatio
Remaining Performance Obligations, Expected Timing of Satisfaction (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Revenue from Contract with Customer [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 672,648 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 477,092 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 119,694 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 44,061 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-04-01 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Remaining Performance Obligation, Amount | $ 31,801 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Thousands | Feb. 01, 2019 | May 02, 2018 |
Percentage of shares acquired | 100.00% | |
Business combination, cash paid for acqusitions | $ 260,800 | |
Business combination, consideration transferred | $ 260,809 | |
OPTIS | ||
Percentage of shares acquired | 100.00% | |
Business combination, consideration transferred | $ 291,000 |
Consideration Transferred (Deta
Consideration Transferred (Detail) $ in Thousands | Feb. 01, 2019USD ($) |
Cash | $ 260,809 |
Granta Design | |
Cash | 198,723 |
Helic | |
Cash | $ 62,086 |
Recognized Amounts of Identifia
Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Feb. 01, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Cash | $ 16,486 | ||||
Accounts receivable and other tangible assets | 12,934 | ||||
Accounts payable and other liabilities | (9,653) | ||||
Deferred revenue | $ (2,349) | (2,349) | $ 0 | ||
Net deferred tax liabilities | (14,871) | ||||
Total identifiable net assets | 80,577 | ||||
Goodwill | $ 1,748,228 | 180,232 | $ 1,572,455 | $ 1,379,458 | $ 1,378,553 |
Developed Software and Core Technologies | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 41,045 | ||||
Customer Lists and Contract Backlog | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 31,516 | ||||
Trade Names | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 5,469 | ||||
Granta Design | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Cash | 13,644 | ||||
Accounts receivable and other tangible assets | 6,926 | ||||
Accounts payable and other liabilities | (6,176) | ||||
Deferred revenue | (1,426) | ||||
Net deferred tax liabilities | (9,822) | ||||
Total identifiable net assets | 60,186 | ||||
Goodwill | 138,537 | ||||
Granta Design | Developed Software and Core Technologies | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 32,445 | ||||
Granta Design | Customer Lists and Contract Backlog | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 20,016 | ||||
Granta Design | Trade Names | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 4,579 | ||||
Helic | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Cash | 2,842 | ||||
Accounts receivable and other tangible assets | 6,008 | ||||
Accounts payable and other liabilities | (3,477) | ||||
Deferred revenue | (923) | ||||
Net deferred tax liabilities | (5,049) | ||||
Total identifiable net assets | 20,391 | ||||
Goodwill | 41,695 | ||||
Helic | Developed Software and Core Technologies | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 8,600 | ||||
Helic | Customer Lists and Contract Backlog | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | 11,500 | ||||
Helic | Trade Names | |||||
Business Combination, Separately Recognized Transactions [Line Items] | |||||
Finite-lived intangible assets | $ 890 |
Weighted-Average Useful Life (D
Weighted-Average Useful Life (Detail) | Feb. 01, 2019 |
Developed Software and Core Technologies | |
Finite-lived intangible asset, useful life | 12 years |
Customer Lists and Contract Backlog | |
Finite-lived intangible asset, useful life | 13 years |
Trade Names | |
Finite-lived intangible asset, useful life | 10 years |
Schedule of Other Receivables a
Schedule of Other Receivables and Current Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Total other receivables and current assets | $ 186,657 | $ 216,113 |
Receivables related to unrecognized revenue [Member] | ||
Total other receivables and current assets | 129,917 | 167,144 |
Income taxes receivable, including overpayments and refunds [Member] | ||
Total other receivables and current assets | 13,662 | 13,709 |
Prepaid expenses and other current assets [Member] | ||
Total other receivables and current assets | $ 43,078 | $ 35,260 |
Details of Basic and Diluted EP
Details of Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Net income | $ 86,230 | $ 84,280 |
Weighted average shares outstanding - basic | 83,764 | 83,931 |
Dilutive effect of stock plans | 1,729 | 2,221 |
Weighted average shares outstanding - diluted | 85,493 | 86,152 |
Basic earnings per share | $ 1.03 | $ 1 |
Diluted earnings per share | $ 1.01 | $ 0.98 |
Anti-dilutive shares | 0 | 0 |
Intangible Assets (Detail)
Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Intangible Assets [Line Items] | ||
Amortized intangible assets, gross carrying amount | $ 831,399 | $ 756,936 |
Amortized intangible assets, accumulated amortization | (553,429) | (546,021) |
Indefinite-lived intangible assets (excluding goodwill) | 357 | |
Trade Names | ||
Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets (excluding goodwill) | 357 | 357 |
Developed Software and Core Technologies | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, gross carrying amount | 450,361 | 410,680 |
Amortized intangible assets, accumulated amortization | (318,209) | (314,730) |
Customer Lists and Contract Backlog | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, gross carrying amount | 238,629 | 209,031 |
Amortized intangible assets, accumulated amortization | (120,682) | (117,614) |
Trade Names | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, gross carrying amount | 142,409 | 137,225 |
Amortized intangible assets, accumulated amortization | $ (114,538) | $ (113,677) |
Estimated Useful Lives (Detail)
Estimated Useful Lives (Detail) | 3 Months Ended |
Mar. 31, 2019 | |
Minimum | Developed Software and Core Technologies | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 3 years |
Minimum | Customer Lists and Contract Backlog | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 5 years |
Minimum | Trade names | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 2 years |
Maximum | Developed Software and Core Technologies | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 15 years |
Maximum | Customer Lists and Contract Backlog | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 15 years |
Maximum | Trade names | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-lived intangible asset, useful life | 10 years |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization | $ 8,300 | $ 12,200 |
Estimated Future Amortization E
Estimated Future Amortization Expense for Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2019 | $ 25,433 | |
2020 | 36,001 | |
2021 | 33,709 | |
2022 | 32,306 | |
2023 | 30,442 | |
2024 | 27,932 | |
Thereafter | 92,147 | |
Total intangible assets subject to amortization | 277,970 | |
Indefinite-lived intangible assets (excluding goodwill) | 357 | |
Other intangible assets, net | $ 278,327 | $ 211,272 |
Changes in Goodwill (Detail)
Changes in Goodwill (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Goodwill [Roll Forward] | ||
Beginning balance | $ 1,572,455 | $ 1,378,553 |
Acquisitions and adjustments | 181,201 | 0 |
Currency translation | (5,428) | 905 |
Ending balance | $ 1,748,228 | $ 1,379,458 |
Fair Value of Assets and Liabil
Fair Value of Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 227,560 | $ 446,055 |
Short-term investments | 237 | 225 |
Deferred compensation plan investments | 2,138 | 1,646 |
Quoted Prices in Active Markets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 227,560 | 446,055 |
Short-term investments | 0 | 0 |
Deferred compensation plan investments | 2,138 | 1,646 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Short-term investments | 237 | 225 |
Deferred compensation plan investments | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Short-term investments | 0 | 0 |
Deferred compensation plan investments | $ 0 | $ 0 |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2019 | |
Minimum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Short-term investments maturity | 3 months |
Maximum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Short-term investments maturity | 1 year |
Leases - Additional Information
Leases - Additional Information (Detail) ft² in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019USD ($)ft² | Mar. 31, 2018USD ($) | |
Lessee, Lease, Description [Line Items] | ||
Lease cost | $ 6,082 | $ 4,900 |
Operating lease, weighted-average remaining lease term | 8 years | |
Operating lease, weighted-average discount rate | 3.30% | |
Current portion of operating lease liabilities | $ 15,300 | |
Canonsburg Office, New Company Headquarters | Lease Agreement Effective September 14, 2012 | ||
Lessee, Lease, Description [Line Items] | ||
Area of real estate property | ft² | 186 | |
Period of leased property | 183 months | |
Base rent, years one through five | $ 4,300 | |
Base rent, years six through ten | 4,500 | |
Base rent, years eleven through fifteen | $ 4,700 |
Schedule of Lease Cost (Detail)
Schedule of Lease Cost (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Leases [Abstract] | ||
Lease liability cost | $ 5,285 | |
Variable lease cost not included in the lease liability | 797 | |
Total lease cost | $ 6,082 | $ 4,900 |
Lessee, Operating Lease Other I
Lessee, Operating Lease Other Information (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating cash flows from operating leases | $ (4,332) |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 13,835 |
Schedule of Maturity of Operati
Schedule of Maturity of Operating Lease Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Jan. 01, 2019 |
Leases [Abstract] | ||
Remainder of 2019 | $ 15,081 | |
2020 | 18,043 | |
2021 | 15,756 | |
2022 | 13,415 | |
2023 | 9,676 | |
Thereafter | 46,749 | |
Total future lease payments | 118,720 | |
Present value adjustment | (16,195) | |
Present value of future lease payments | $ 102,525 | $ 92,500 |
Schedule of Future Minimum Rent
Schedule of Future Minimum Rental Payments for Operating Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Leases [Abstract] | |
2019 | $ 16,354 |
2020 | 12,469 |
2021 | 10,177 |
2022 | 8,523 |
2023 | 6,809 |
Thereafter | 14,267 |
Future minimum lease payments | $ 68,599 |
Debt - Additional Information (
Debt - Additional Information (Detail) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Line of Credit Facility [Line Items] | |
Consolidated leverage ratio | 3.50 |
Consolidated leverage ratio increased | 4 |
Qualified acquisition amount | $ 250 |
Outstanding borrowings under the credit agreement | 0 |
Revolving credit facility | |
Line of Credit Facility [Line Items] | |
Line of credit, Maximum borrowing capacity | 500 |
Letters of credit | |
Line of Credit Facility [Line Items] | |
Line of credit, Maximum borrowing capacity | $ 50 |
Eurodollar | |
Line of Credit Facility [Line Items] | |
Debt instrument, basis spread on variable rate | 1.00% |
Eurodollar | Minimum | |
Line of Credit Facility [Line Items] | |
Debt instrument, basis spread on variable rate | 1.125% |
Eurodollar | Maximum | |
Line of Credit Facility [Line Items] | |
Debt instrument, basis spread on variable rate | 1.75% |
Base rate | |
Line of Credit Facility [Line Items] | |
Debt instrument, basis spread on variable rate | 0.50% |
Base rate | Minimum | |
Line of Credit Facility [Line Items] | |
Debt instrument, basis spread on variable rate | 0.125% |
Base rate | Maximum | |
Line of Credit Facility [Line Items] | |
Debt instrument, basis spread on variable rate | 0.75% |
Stock Repurchase Program (Detai
Stock Repurchase Program (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Class of Stock Disclosures [Abstract] | ||
Number of shares repurchased | 250 | 750 |
Average price paid per share | $ 179.42 | $ 157.11 |
Total cost | $ 44,856 | $ 117,831 |
Stock Repurchase Program - Addi
Stock Repurchase Program - Additional Information (Detail) shares in Millions | Mar. 31, 2019shares |
Class of Stock Disclosures [Abstract] | |
Stock repurchase program, repurchase authorization | 5 |
Stock repurchase program, remaining number of shares authorized to be repurchased | 3.6 |
Stock-Based Compensation Expens
Stock-Based Compensation Expense and Its Net Impact on Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Employee Service Share-Based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense before taxes | $ 23,800 | $ 15,269 |
Related income tax benefits | (11,076) | (11,304) |
Stock-based compensation expense, net of taxes | $ 12,724 | $ 3,965 |
Basic earnings per share | $ (0.15) | $ (0.05) |
Diluted earnings per share | $ (0.15) | $ (0.05) |
Maintenance and Service | ||
Employee Service Share-Based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Allocated Share-based Compensation Expense | $ 1,228 | $ 1,010 |
Selling, General and Administrative | ||
Employee Service Share-Based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Allocated Share-based Compensation Expense | 13,131 | 8,278 |
Research and Development | ||
Employee Service Share-Based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Allocated Share-based Compensation Expense | $ 9,441 | $ 5,981 |
Revenue by Geographic Area (Det
Revenue by Geographic Area (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | $ 317,130 | $ 282,873 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | 140,662 | 98,765 |
Japan | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | 33,573 | 30,601 |
Germany | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | 30,427 | 45,538 |
France | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | 15,609 | 16,552 |
South Korea | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | 15,078 | 15,054 |
Other Europe, Middle East and Africa (EMEA) | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | 44,255 | 43,018 |
Other international | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total revenue | $ 37,526 | $ 33,345 |
Property and Equipment by Geogr
Property and Equipment by Geographic Area (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total property and equipment, net | $ 63,301 | $ 61,655 |
United States | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total property and equipment, net | 47,219 | 46,605 |
India | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total property and equipment, net | 4,217 | 4,176 |
EMEA | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total property and equipment, net | 8,148 | 7,120 |
Other international | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total property and equipment, net | $ 3,717 | $ 3,754 |
Contingencies and Commitments -
Contingencies and Commitments - Additional Information (Detail) $ in Millions | Mar. 31, 2019USD ($) |
India Service Tax Audit [Member] | |
Loss Contingencies [Line Items] | |
Loss contingency, estimate of possible loss | $ 7.2 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) - USD ($) $ in Thousands | May 01, 2019 | Feb. 01, 2019 |
Subsequent Event [Line Items] | ||
Business combination, consideration transferred | $ 260,809 | |
DfR Solutions | Subsequent Event | ||
Subsequent Event [Line Items] | ||
Business combination, consideration transferred | $ 41,000 |