VeriSign (VRSN) 10-Q 25 Apr 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information Document - shares	3 Months Ended
	Mar. 31, 2019	Apr. 19, 2019
Document And Entity Information [Abstract]
Entity Registrant Name	VERISIGN INC/CA
Entity Central Index Key	0001014473
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Amendment Flag	false
Entity Common Stock, Shares Outstanding		119,183,359
Entity Emerging Growth Company	false
Entity Small Business	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 779,625	$ 357,415
Marketable securities	473,365	912,254
Other Assets, Current	62,277	47,365
Total current assets	1,315,267	1,317,034
Property and equipment, net	252,237	253,905
Goodwill	52,527	52,527
Deferred Tax Assets, Net of Valuation Allowance, Noncurrent	120,192	104,992
Deposits to acquire Intangible Assets	145,000	145,000
Other long-term assets	34,453	41,046
Total long-term assets	604,409	597,470
Total assets	1,919,676	1,914,504
Current liabilities:
Accounts payable and accrued liabilities	183,996	215,208
Deferred revenues	757,284	732,382
Total current liabilities	941,280	947,590
Long-term deferred revenues	289,730	285,720
Senior Notes	1,785,676	1,785,047
Other long-term liabilities	309,119	281,621
Total long-term liabilities	2,384,525	2,352,388
Total liabilities	3,325,805	3,299,978
Commitments and contingencies
Stockholders' deficit:
Preferred stock-par value $.001 per share	0	0
Common stock-par value $.001 per share	353	352
Additional paid-in capital	15,523,542	15,706,774
Accumulated deficit	(16,927,262)	(17,089,789)
Accumulated other comprehensive loss	(2,762)	(2,811)
Total stockholders' deficit	(1,406,129)	(1,385,474)
Total liabilities and stockholders' deficit	$ 1,919,676	$ 1,914,504

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands	Mar. 31, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, authorized shares	5,000	5,000
Preferred stock, issued shares	0	0
Preferred stock, outstanding shares	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, authorized shares	1,000,000	1,000,000
Common Stock, Shares, Issued	352,872	352,325
Common stock, outstanding shares	119,391	120,037

Condensed Consolidated Statemen

Condensed Consolidated Statements Of Comprehensive Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenues	$ 306,408	$ 299,288
Costs and expenses:
Cost of revenues	45,504	48,152
Sales and marketing	10,519	17,275
Research and development	16,132	15,375
General and administrative	34,001	33,067
Total costs and expenses	106,156	113,869
Operating income	200,252	185,419
Interest expense	(22,631)	(40,788)
Non-operating income (loss), net	12,203	7,804
Income before income taxes	189,824	152,435
Income tax expense	(27,297)	(18,172)
Net Income	162,527	134,263
Other comprehensive income (loss)	49	243
Comprehensive Income	$ 162,576	$ 134,506
Basic income (loss) per share
Net Income	$ 1.36	$ 1.38
Diluted income (loss) per share
Net Income	$ 1.35	$ 1.09
Shares used to compute net income per share
Basic	119,757	97,250
Diluted	120,317	123,506

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Stockholders' Deficit Statement - USD ($) $ in Thousands	Total	Accumulated Deficit [Member]	AOCI Attributable to Parent [Member]	Additional Paid-in Capital [Member]	Common Stock [Member]
Stockholders' Deficit	$ (1,260,271)	$ (17,694,790)	$ (2,941)	$ 16,437,135	$ 325
Stock-based compensation expense				13,449
Stock Issued During Period, Value, Employee Stock Purchase Plan				7,810	1
Stock Repurchased During Period, Value				(152,741)
Net Income	134,263	134,263
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification		(22,512)
Other Comprehensive Income (Loss), Net of Tax	243		243
Stockholders' Deficit	(1,234,734)	(17,538,015)	(2,698)	16,305,653	326
Stockholders' Deficit	(1,385,474)	(17,089,789)	(2,811)	15,706,774	352
Stock-based compensation expense				12,818
Stock Issued During Period, Value, Employee Stock Purchase Plan				8,252	1
Stock Repurchased During Period, Value				(204,302)
Net Income	162,527	162,527
New Accounting Pronouncement or Change in Accounting Principle, Effect of Adoption, Quantification		0
Other Comprehensive Income (Loss), Net of Tax	49		49
Stockholders' Deficit	$ (1,406,129)	$ (16,927,262)	$ (2,762)	$ 15,523,542	$ 353

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	$ 162,527	$ 134,263
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of property and equipment	11,593	12,117
Stock-based compensation	12,462	12,978
Accretion (Amortization) of Discounts and Premiums, Investments	(3,854)	(4,128)
Other, net	(147)	4,005
Changes in operating assets and liabilities
Other assets	(226)	(987)
Accounts payable and accrued liabilities	(31,609)	(36,271)
Deferred revenues	29,219	27,120
Deferred Income Taxes	7,365	(59,108)
Net cash provided by operating activities	187,330	89,989
Net Cash Provided by (Used in) Investing Activities [Abstract]
Proceeds from maturities and sales of marketable securities	939,561	1,931,930
Purchases of marketable securities	(496,779)	(631,456)
Purchases of property and equipment	(9,133)	(7,662)
Other investing activities	(2,958)	(160)
Net cash used in investing activities	430,691	1,292,652
Cash flows from financing activities:
Proceeds from employee stock purchase plans	8,253	7,811
Repurchases of common stock	(204,302)	(152,741)
Net cash used in financing activities	(196,049)	(144,930)
Effect of exchange rate changes on cash and cash equivalents	255	167
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect	422,227	1,237,878
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, beginning of period	366,753	475,139
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, end of period	788,980	1,713,017
Supplemental cash flow disclosures:
Cash paid for interest	13,063	43,326
Cash paid for income taxes, net of refunds received	$ 14,185	$ 72,959

Basis Of Presentation

Basis Of Presentation	3 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis Of Presentation	Basis of Presentation Interim Financial Statements The accompanying unaudited Condensed Consolidated Financial Statements have been prepared by VeriSign, Inc. (“Verisign” or the “Company”) in accordance with the instructions to Form 10-Q pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and, therefore, do not include all information and notes normally provided in audited financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals and other adjustments) considered necessary for a fair presentation have been included. The results of operations for any interim period are not necessarily indicative of, nor comparable to, the results of operations for any other interim period or for a full fiscal year. These unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and related notes contained in Verisign’s Annual Report on Form 10-K for the year ended December 31, 2018 (the “ 2018 Form 10-K”) filed with the SEC on February 15, 2019. Reclassifications Certain reclassifications have been made to prior period amounts to conform to current period presentation. Such reclassifications have no effect on net income as previously reported. Adoption of New Accounting Standards Effective January 1, 2019, the Company adopted Accounting Standards Update (“ASU”) 2016-02, Leases , and several related amendments, issued by the Financial Accounting Standards Board, collectively codified under Accounting Standards Codification (“ASC”) 842, Leases . ASC 842 requires most operating leases to be reported on the balance sheet as a lease liability and a right-of-use asset. This standard was applied as of the effective date of January 1, 2019, and therefore prior period amounts were not adjusted. The adoption of ASC 842 did not have a material impact on the Company’s consolidated financial statements.

Financial Instruments

Financial Instruments	3 Months Ended
	Mar. 31, 2019
Financial Instruments, Owned, at Fair Value [Abstract]
Financial Instruments	Cash, Cash Equivalents, and Marketable Securities The following table summarizes the Company’s cash, cash equivalents, and marketable securities and the fair value categorization of the financial instruments measured at fair value on a recurring basis: March 31, December 31, 2019 2018 (In thousands) Cash $ 26,141 $ 37,190 Time deposits 4,481 3,810 Money market funds (Level 1) 271,146 120,832 Debt securities issued by the U.S. Treasury (Level 1) 960,577 1,117,175 Total $ 1,262,345 $ 1,279,007 Cash and cash equivalents $ 779,625 $ 357,415 Restricted cash (included in Other long-term assets) 9,355 9,338 Total Cash, cash equivalents, and restricted cash 788,980 366,753 Marketable securities 473,365 912,254 Total $ 1,262,345 $ 1,279,007 The fair value of the debt securities held as of March 31, 2019 was $960.6 million , including less than $0.1 million of gross and net unrealized gains. All of the debt securities held as of March 31, 2019 are scheduled to mature in less than one year. Fair Value Measurements The fair value of the Company’s investments in money market funds approximates their face value. Such instruments are included in Cash and cash equivalents. The fair value of the debt securities consisting of U.S. Treasury bills is based on their quoted market prices. Debt securities purchased with original maturities in excess of three months are included in Marketable securities. The fair value of all of these financial instruments are classified as Level 1 in the fair value hierarchy. The Company’s other financial instruments include cash, accounts receivable, restricted cash, and accounts payable. As of March 31, 2019 , the carrying value of these financial instruments approximated their fair value. The fair values of the senior notes due 2023, 2025, and 2027 were $762.9 million , $525.6 million , and $550.4 million , respectively, as of March 31, 2019 . The fair values of these debt instruments are based on available market information from public data sources and are classified as Level 2.

Other Balance Sheet Items

Other Balance Sheet Items	3 Months Ended
	Mar. 31, 2019
Balance Sheet Related Disclosures [Abstract]
Other Balance Sheet Items	Other Balance Sheet Items Other Current Assets Other current assets consist of the following: March 31, December 31, 2019 2018 (In thousands) Prepaid registry fees $ 21,503 $ 20,696 Contingent consideration receivable 14,721 — Prepaid expenses 13,824 14,109 Accounts receivable, net 5,995 6,029 Income taxes receivable 4,697 4,451 Other 1,537 2,080 Total other current assets $ 62,277 $ 47,365 Other Long-Term Assets Other long-term assets consist of the following: March 31, December 31, 2019 2018 (In thousands) Restricted cash $ 9,355 $ 9,338 Operating lease right-of-use asset 8,115 — Long-term prepaid registry fees 7,945 7,779 Other tax receivable 5,673 5,673 Contingent consideration receivable — 14,721 Other 3,365 3,535 Total other long-term assets $ 34,453 $ 41,046 As a result of the adoption of ASC 842, Leases, in the first quarter of 2019, the Company recorded right-of-use assets for operating leases of $ 8.1 million as of March 31, 2019. The current and long-term prepaid registry fees in the tables above relate to the fees the Company pays to ICANN for each annual increment of . com domain name registrations and renewals which are deferred and amortized over the domain name registration term. The amount of prepaid registry fees as of March 31, 2019 reflects amortization of $8.5 million during the three months ended March 31, 2019 which was recorded in Cost of Revenues. The contingent consideration receivable in the tables above related to the estimated amount due from Neustar, Inc. (“Neustar”) in the first quarter of 2020, was reclassified from Other long-term assets as of December 31, 2018 to Other current assets as of March 31, 2019. Accounts Payable and Accrued Liabilities Accounts payable and accrued liabilities consist of the following: March 31, December 31, 2019 2018 (In thousands) Accounts payable $ 7,028 $ 10,445 Customer deposits, net 52,653 57,025 Interest payable 33,171 24,318 Accrued employee compensation 25,811 54,746 Taxes payable and other tax liabilities 25,079 18,961 Accrued registry fees 12,357 11,029 Payables to buyer 6,709 9,875 Current operating lease liability 3,183 — Other accrued liabilities 18,005 28,809 Total accounts payable and accrued liabilities $ 183,996 $ 215,208 Customer deposits primarily relate to advance payments to cover domain name registration activity by registrars. The balance of customer deposits can fluctuate significantly due to the timing of payments from large customers. Interest payable varies at each period-end based on the payment due dates for each Senior Note issuance. Accrued employee compensation primarily consists of liabilities for employee leave, salaries, payroll taxes, employee contributions to the employee stock purchase plan, and incentive compensation. Accrued employee incentive compensation as of December 31, 2018 , was paid during the three months ended March 31, 2019 . Taxes payable and other tax liabilities as of March 31, 2019 includes approximately $13.1 million of foreign withholding taxes payable related to the repatriation of funds held by foreign subsidiaries in the first quarter of 2019. Payables to buyer relate to amounts due to Neustar for estimated collections from Security Services customers of any billings after the closing date and until the customer contracts are assigned to Neustar. Other liabilities include amounts payable to registrars related to rebates and marketing programs as well as other miscellaneous liabilities. These amounts may vary from period to period due to the timing of payments. Long-term tax and other liabilities March 31, December 31, 2019 2018 (In thousands) Long-term tax liabilities $ 304,187 $ 281,621 Long-term operating lease liability 4,932 — Long-term tax and other liabilities $ 309,119 $ 281,621 Long-term tax liabilities as of March 31, 2019 also reflects the reclassification of unrecognized tax benefits during the three months ended March 31, 2019, as deferred tax assets related to tax credits and loss carryforwards are no longer available to offset the liabilities. The current and long-term lease liabilities in the tables above relate to the lease obligations recorded as a result of the adoption of ASC 842, Leases , during the first quarter of 2019.

Stockholders' Deficit

Stockholders' Deficit	3 Months Ended
	Mar. 31, 2019
Stockholders' Equity Note [Abstract]
Stockholders' (Deficit) Equity	Stockholders’ Deficit Effective February 7, 2019, the Company’s Board of Directors authorized the repurchase of the Company’s common stock in the amount of approximately $ 602.9 million , in addition to the $ 397.1 million remaining available for repurchase under the Company’s share repurchase program, for a total repurchase authorization of up to $1.0 billion under the share repurchase program. The share repurchase program has no expiration date. Purchases made under the program can be made through open market transactions, block purchases, accelerated share repurchase agreements or other negotiated transactions. During the three months ended March 31, 2019 the Company repurchased 1.0 million shares of its common stock at an average stock price of $170.59 . The aggregate cost of the repurchases in the three months ended March 31, 2019 was $175.0 million . As of March 31, 2019 , there was approximately $891.1 million remaining available for future share repurchases under the share repurchase program. During the three months ended March 31, 2019 , the Company placed 0.2 million shares, at an average stock price of $174.79 , and for an aggregate cost of $29.3 million , into treasury stock for purposes related to tax withholding upon vesting of Restricted Stock Units (“RSUs”). Since inception the Company has repurchased 233.5 million shares of its common stock for an aggregate cost of $9.62 billion , which is presented as a reduction of Additional paid-in capital.

Calculation Of Net Income Per S

Calculation Of Net Income Per Share	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Calculation Of Net Income Per Share Attributable To Verisign Stockholders	Calculation of Earnings per Share The following table presents the computation of weighted-average shares used in the calculation of basic and diluted earnings per share: Three Months Ended March 31, 2019 2018 (In thousands) Weighted-average shares of common stock outstanding 119,757 97,250 Weighted-average potential shares of common stock outstanding: Conversion spread related to Subordinated Convertible Debentures — 25,579 Unvested RSUs and ESPP 560 677 Shares used to compute diluted earnings per share 120,317 123,506 The Company settled the Subordinated Convertible Debentures in May 2018. The calculation of diluted weighted average shares outstanding, excludes potentially dilutive securities, the effect of which would have been anti-dilutive, as well as performance-based RSUs granted by the Company for which the relevant performance criteria have not been achieved. The number of potential shares excluded from the calculation was not significant in any period presented.

Revenue (Notes)

Revenue (Notes)	3 Months Ended
	Mar. 31, 2019
Revenue Recognition [Abstract]
Revenue from Contract with Customer [Table Text Block]	Revenues The Company generates revenues in the U.S.; Europe, the Middle East and Africa (“EMEA”); China; and certain other countries, including, but not limited to Canada, Australia, and Japan. The following table presents our revenues disaggregated by geography, based on the billing addresses of our customers: Three Months Ended March 31, 2019 2018 (in thousands) U.S. $ 192,155 $ 185,183 EMEA 52,146 53,417 China 28,242 25,858 Other 33,865 34,830 Total revenues $ 306,408 $ 299,288 Revenues for the Company’s Registry Services business are attributed to the country of domicile and the respective regions in which registrars are located, however, this may differ from the regions where the registrars operate or where registrants are located. Revenues for each region may be impacted by registrars reincorporating, relocating, or from acquisitions or changes in affiliations of resellers. Revenues for each region may also be impacted by registrars domiciled in one region, registering domain names in another region. Deferred Revenues As payment for domain name registrations and renewals are due in advance of our performance, we record these amounts as deferred revenues. The increase in the deferred revenues balance for the three months ended March 31, 2019 is primarily driven by amounts billed in the first quarter of 2019 for domain name registrations and renewals to be recognized as revenues in future periods, offset by refunds for domain name renewals deleted during the 45-day grace period, and $ 275.9 million of revenues recognized that were included in the deferred revenues balance at the beginning of the period. The balance of deferred revenues as of March 31, 2019 represents our aggregate remaining performance obligations. Amounts included in current deferred revenues are all expected to be recognized in revenues within 12 months, except for a portion of deferred revenues that relates to domain name renewals that are deleted in the 45 day grace period following the transaction. The long-term deferred revenues amounts will be recognized in revenues over several years and in some cases up to ten years. Historically, we have experienced a higher volume of domain name transactions, particularly renewals, in the first quarter of the year compared to other quarters. Our quarterly revenues do not reflect these seasonal patterns because the preponderance of our revenues for each quarterly period is provided by the ratable recognition of our deferred revenues balance. The effect of this seasonality has historically resulted in the largest amount of growth in our deferred revenues balance occurring during the first quarter of the year compared to the other quarters.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2019
Share-based Compensation [Abstract]
Stock-Based Compensation	Stock-based Compensation Stock-based compensation is classified in the Condensed Consolidated Statements of Comprehensive Income in the same expense line items as cash compensation. The following table presents the classification of stock-based compensation: Three Months Ended March 31, 2019 2018 (In thousands) Cost of revenues $ 1,598 $ 1,609 Sales and marketing 983 1,448 Research and development 1,589 1,721 General and administrative 8,292 8,200 Total stock-based compensation expense $ 12,462 $ 12,978 The following table presents the nature of the Company’s total stock-based compensation: Three Months Ended March 31, 2019 2018 (In thousands) RSUs $ 8,609 $ 9,287 Performance-based RSUs 3,038 3,113 ESPP 1,171 1,049 Capitalization (included in Property and equipment, net) (356 ) (471 ) Total stock-based compensation expense $ 12,462 $ 12,978

Interest Expense

Interest Expense	3 Months Ended
	Mar. 31, 2019
Interest Expense [Abstract]
Interest Expense	Interest Expense The following table presents the components of the Company’s Interest expense: Three Months Ended March 31, 2019 2018 (In thousands) Contractual interest on Senior Notes $ 21,766 $ 21,766 Contractual interest on Subordinated Convertible Debentures — 14,948 Amortization of debt discount on Subordinated Convertible Debentures — 3,161 Amortization of debt issuance costs and other interest expense 865 913 Total interest expense $ 22,631 $ 40,788 The Company settled its Subordinated Convertible Debentures in May 2018.

Non-operating (loss) income

Non-operating (loss) income	3 Months Ended
	Mar. 31, 2019
Non-operating (loss) income, net [Abstract]
Other Income and Other Expense Disclosure [Text Block]	Non-operating Income, Net The following table presents the components of Non-operating income, net: Three Months Ended March 31, 2019 2018 (In thousands) Interest income $ 7,360 $ 7,489 Transition services income 4,050 — Other, net 793 315 Total non-operating income, net $ 12,203 $ 7,804 During the first quarter of 2019, the Company recognized $4.1 million of income from the transition services provided to Neustar in connection with the sale of customer contracts of the Security Services business.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The following table presents Income tax expense and the effective tax rate: Three Months Ended March 31, 2019 2018 (Dollars in thousands) Income tax expense $ 27,297 $ 18,172 Effective tax rate 14 % 12 % The effective tax rate for the three months ended March 31, 2019 was lower than the statutory federal rate of 21% primarily due to foreign income taxed at lower rates, and $ 11.0 million of excess tax benefits related to stock-based compensation, partially offset by state income taxes. The effective tax rate for the three months ended March 31, 2018 was lower than the statutory federal rate of 21% primarily due to tax benefits from foreign income taxed at lower rates, $12.1 million of tax benefits recognized related to changes to provisional amounts previously recognized for the impact of the 2017 Tax Cuts and Jobs Act (“Tax Act”), and $ 5.5 million of excess tax benefits related to stock-based compensation, partially offset by state income taxes. During the three months ended March 31, 2019, the Company completed the repatriation of $ 249.0 million of cash held by foreign subsidiaries, net of $ 13.1 million of foreign withholding taxes which were previously accrued in 2018.

Financial Instruments (Tables)

Financial Instruments (Tables)	3 Months Ended
	Mar. 31, 2019
Financial Instruments, Owned, at Fair Value [Abstract]
Cash, Cash Equivalents, And Marketable Securities	The following table summarizes the Company’s cash, cash equivalents, and marketable securities and the fair value categorization of the financial instruments measured at fair value on a recurring basis: March 31, December 31, 2019 2018 (In thousands) Cash $ 26,141 $ 37,190 Time deposits 4,481 3,810 Money market funds (Level 1) 271,146 120,832 Debt securities issued by the U.S. Treasury (Level 1) 960,577 1,117,175 Total $ 1,262,345 $ 1,279,007 Cash and cash equivalents $ 779,625 $ 357,415 Restricted cash (included in Other long-term assets) 9,355 9,338 Total Cash, cash equivalents, and restricted cash 788,980 366,753 Marketable securities 473,365 912,254 Total $ 1,262,345 $ 1,279,007

Other Balance Sheet Items (Tabl

Other Balance Sheet Items (Tables)	3 Months Ended
	Mar. 31, 2019
Balance Sheet Related Disclosures [Abstract]
Other Noncurrent Liabilities [Table Text Block]	Long-term tax and other liabilities March 31, December 31, 2019 2018 (In thousands) Long-term tax liabilities $ 304,187 $ 281,621 Long-term operating lease liability 4,932 — Long-term tax and other liabilities $ 309,119 $ 281,621
Other Current Assets	Other current assets consist of the following: March 31, December 31, 2019 2018 (In thousands) Prepaid registry fees $ 21,503 $ 20,696 Contingent consideration receivable 14,721 — Prepaid expenses 13,824 14,109 Accounts receivable, net 5,995 6,029 Income taxes receivable 4,697 4,451 Other 1,537 2,080 Total other current assets $ 62,277 $ 47,365
Schedule of Other Assets, Noncurrent [Table Text Block]	Other long-term assets consist of the following: March 31, December 31, 2019 2018 (In thousands) Restricted cash $ 9,355 $ 9,338 Operating lease right-of-use asset 8,115 — Long-term prepaid registry fees 7,945 7,779 Other tax receivable 5,673 5,673 Contingent consideration receivable — 14,721 Other 3,365 3,535 Total other long-term assets $ 34,453 $ 41,046
Components Of Accounts Payable And Accrued Liabilities	Accounts payable and accrued liabilities consist of the following: March 31, December 31, 2019 2018 (In thousands) Accounts payable $ 7,028 $ 10,445 Customer deposits, net 52,653 57,025 Interest payable 33,171 24,318 Accrued employee compensation 25,811 54,746 Taxes payable and other tax liabilities 25,079 18,961 Accrued registry fees 12,357 11,029 Payables to buyer 6,709 9,875 Current operating lease liability 3,183 — Other accrued liabilities 18,005 28,809 Total accounts payable and accrued liabilities $ 183,996 $ 215,208

Calculation Of Net Income Per_2

Calculation Of Net Income Per Share (Tables)	3 Months Ended
	Mar. 31, 2019
Earnings Per Share [Abstract]
Schedule of Weighted Average Number of Shares [Table Text Block]	The following table presents the computation of weighted-average shares used in the calculation of basic and diluted earnings per share: Three Months Ended March 31, 2019 2018 (In thousands) Weighted-average shares of common stock outstanding 119,757 97,250 Weighted-average potential shares of common stock outstanding: Conversion spread related to Subordinated Convertible Debentures — 25,579 Unvested RSUs and ESPP 560 677 Shares used to compute diluted earnings per share 120,317 123,506

Revenue (Tables)

Revenue (Tables)	3 Months Ended
	Mar. 31, 2019
Revenue Recognition [Abstract]
Disaggregation of Revenue [Table Text Block]	The following table presents our revenues disaggregated by geography, based on the billing addresses of our customers: Three Months Ended March 31, 2019 2018 (in thousands) U.S. $ 192,155 $ 185,183 EMEA 52,146 53,417 China 28,242 25,858 Other 33,865 34,830 Total revenues $ 306,408 $ 299,288

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2019
Share-based Compensation [Abstract]
Classification Of Stock-Based Compensation	The following table presents the classification of stock-based compensation: Three Months Ended March 31, 2019 2018 (In thousands) Cost of revenues $ 1,598 $ 1,609 Sales and marketing 983 1,448 Research and development 1,589 1,721 General and administrative 8,292 8,200 Total stock-based compensation expense $ 12,462 $ 12,978
Nature Of Total Stock-Based Compensation	The following table presents the nature of the Company’s total stock-based compensation: Three Months Ended March 31, 2019 2018 (In thousands) RSUs $ 8,609 $ 9,287 Performance-based RSUs 3,038 3,113 ESPP 1,171 1,049 Capitalization (included in Property and equipment, net) (356 ) (471 ) Total stock-based compensation expense $ 12,462 $ 12,978

Interest Expense (Tables)

Interest Expense (Tables)	3 Months Ended
	Mar. 31, 2019
Interest Expense [Abstract]
Interest Expense Schedule	The following table presents the components of the Company’s Interest expense: Three Months Ended March 31, 2019 2018 (In thousands) Contractual interest on Senior Notes $ 21,766 $ 21,766 Contractual interest on Subordinated Convertible Debentures — 14,948 Amortization of debt discount on Subordinated Convertible Debentures — 3,161 Amortization of debt issuance costs and other interest expense 865 913 Total interest expense $ 22,631 $ 40,788

Non-operating (loss) income (Ta

Non-operating (loss) income (Tables)	3 Months Ended
	Mar. 31, 2019
Non-operating (loss) income, net [Abstract]
Schedule of Other Nonoperating Income (Expense) [Table Text Block]	The following table presents the components of Non-operating income, net: Three Months Ended March 31, 2019 2018 (In thousands) Interest income $ 7,360 $ 7,489 Transition services income 4,050 — Other, net 793 315 Total non-operating income, net $ 12,203 $ 7,804

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
Income Tax Expense From Continuing Operations And The Effective Tax Rate	The following table presents Income tax expense and the effective tax rate: Three Months Ended March 31, 2019 2018 (Dollars in thousands) Income tax expense $ 27,297 $ 18,172 Effective tax rate 14 % 12 %

Financial Instruments (Details)

Financial Instruments (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018	Mar. 31, 2018	Dec. 31, 2017
Debt Securities, Available-for-sale [Line Items]
Cash	$ 26,141	$ 37,190
Time deposits	4,481	3,810
Money Market Funds (level 1)	271,146	120,832
Financial Instruments, Owned, US Government and Agency Obligations, at Fair Value	960,577	1,117,175
Total	1,262,345	1,279,007
Included in Cash and cash equivalents	779,625	357,415
Restricted Cash Equivalents, Noncurrent	9,355	9,338
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents	788,980	366,753	$ 1,713,017	$ 475,139
Included in Marketable securities	$ 473,365	$ 912,254

Financial Instruments Financial

Financial Instruments Financial Instruments narrative (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Financial Instruments, Owned, US Government and Agency Obligations, at Fair Value	$ 960,577	$ 1,117,175
Debt securities gross unrealized gains	100
Debt instrument fair value senior notes 2023	762,900
Debt instrument fair value senior notes 2025	525,600
Debt instrument fair value senior notes 2027	$ 550,400

Other Balance Sheet Items (Othe

Other Balance Sheet Items (Other Current Assets) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Balance Sheet Related Disclosures [Abstract]
Prepaid registry fees, current	$ 21,503	$ 20,696
Estimated contingent consideration receivable	14,721	0
Prepaid expenses	13,824	14,109
Accounts Receivable, Net	5,995	6,029
Income Taxes Receivable, Current	4,697	4,451
Other Assets, Miscellaneous, Current	1,537	2,080
Other Assets, Current	$ 62,277	$ 47,365

Other Balance Sheet Items Other

Other Balance Sheet Items Other Balance Sheet Items (Other long-term assets) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Balance Sheet Related Disclosures [Abstract]
Restricted Cash	$ 9,355	$ 9,338
Operating Lease, Right-of-Use Asset	8,115	0
Prepaid registry fees, noncurent	7,945	7,779
Restricted Cash and Investments, Noncurrent	5,673	5,673
Nontrade Receivables, Noncurrent	0	14,721
Other Assets, Miscellaneous, Noncurrent	3,365	3,535
Other Assets, Noncurrent	$ 34,453	$ 41,046

Other Balance Sheet Items (Comp

Other Balance Sheet Items (Components Of Accounts Payable And Accrued Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Balance Sheet Related Disclosures [Abstract]
Accounts payable	$ 7,028	$ 10,445
Accrued employee compensation	25,811	54,746
Taxes Payable	25,079	18,961
Interest Payable	33,171	24,318
Deposits, net	52,653	57,025
accrued fees	12,357	11,029
Due to buyer	6,709	9,875
Operating Lease, Liability, Current	3,183	0
Other accrued liabilities	18,005	28,809
Total accounts payable and accrued liabilities	$ 183,996	$ 215,208

Other Balance Sheet Items Oth_2

Other Balance Sheet Items Other Balance Sheet Items (Narrative) (Details) $ in Millions	3 Months Ended
	Mar. 31, 2019USD ($)
Balance Sheet Related Disclosures [Abstract]
Foreign withholding tax on repatriated earnings	$ 13.1
Amortization of Other Deferred Charges	$ 8.5

Other Balance Sheet Items Oth_3

Other Balance Sheet Items Other Balance Sheet Items (Long-term tax and other liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2019	Dec. 31, 2018
Long-term tax and other liabilities Disclosure [Abstract]
Deferred Tax and Other Liabilities, Noncurrent	$ 304,187	$ 281,621
Operating Lease, Liability, Noncurrent	4,932	0
Other long-term liabilities	$ 309,119	$ 281,621

Stockholders' Deficit (Narrativ

Stockholders' Deficit (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2019	Feb. 07, 2019
Treasury Stock Repurchase Programs [Line Items]
Additional share repurchase amount authorized	$ 602.9
Remaining common stock available for repurchase	$ 891.1	$ 397.1
Common stock, held in treasury	233.5
Common stock repurchased	$ 9,620
Share Buyback Program [Member]
Treasury Stock Repurchase Programs [Line Items]
Common stock authorized to repurchase		$ 1,000
Common stock repurchase, share	1
Average stock price	$ 170.59
Aggregate cost of share	$ 175
Restricted Stock Units [Member]
Treasury Stock Repurchase Programs [Line Items]
Common stock repurchase, share	0.2
Average stock price	$ 174.79
Aggregate cost of share	$ 29.3

Calculation Of Net Income Per_3

Calculation Of Net Income Per Share (Weighted-Average Shares Used In Calculation Of Basic And Diluted EPS) (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Earnings Per Share [Abstract]
Weighted-average number of common shares outstanding	119,757	97,250
Conversion spread related to Convertible Debentures	0	25,579
Unvested RSUs and ESPP	560	677
Shares used to compute diluted net income per share	120,317	123,506

Revenue (Details)

Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Disaggregation of Revenue [Line Items]
Revenues	$ 306,408	$ 299,288
US [Member]
Disaggregation of Revenue [Line Items]
Revenues	192,155	185,183
EMEA [Member]
Disaggregation of Revenue [Line Items]
Revenues	52,146	53,417
China [Member]
Disaggregation of Revenue [Line Items]
Revenues	28,242	25,858
Other [Member]
Disaggregation of Revenue [Line Items]
Revenues	$ 33,865	$ 34,830

Revenue Revenue (Narrative deta

Revenue Revenue (Narrative detail) (Details) $ in Millions	3 Months Ended
	Mar. 31, 2019USD ($)
Revenue Recognition and Deferred Revenue [Abstract]
Deferred Revenue, Revenue Recognized	$ 275.9

Stock-Based Compensation (Class

Stock-Based Compensation (Classification Of Stock-Based Compensation) (Details) - USD ($) $ 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	$ 12,462	$ 12,978
Cost Of Revenues [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	1,598	1,609
Sales And Marketing [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	983	1,448
Research And Development [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	1,589	1,721
General And Administrative [Member]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation	$ 8,292	$ 8,200

Stock-Based Compensation (Natur

Stock-Based Compensation (Nature Of Total Stock-Based Compensation) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount	$ (356)	$ (471)
Stock-based compensation	12,462	12,978
Restricted Stock Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation	8,609	9,287
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation	3,038	3,113
Employee Stock Purchase Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock-based compensation	$ 1,171	$ 1,049

Interest Expense (Interest Expe

Interest Expense (Interest Expense Schedule) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Interest Expense [Abstract]
Contractual interest on Convertible Debentures	$ 21,766	$ 21,766
Contractual interest on Notes	0	14,948
Amortization of debt discount on the Convertible Debentures	0	3,161
Credit facility and other interest expense	865	913
Total interest expense	$ 22,631	$ 40,788

Non-operating (loss) income (De

Non-operating (loss) income (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Non-operating (loss) income, net [Abstract]
Interest Income	$ 7,360	$ 7,489
income from transition services	4,050	0
Other Nonoperating Income (Expense)	793	315
Nonoperating (loss) Income	$ 12,203	$ 7,804

Income Taxes (Narrative) (Detai

Income Taxes (Narrative) (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Tax Disclosure [Abstract]
Effective Income Tax Rate Reconciliation, Percent	14.00%	12.00%
Effective Income Tax Rate Reconciliation, Share-based Compensation, Excess Tax Benefit, Amount	$ 11	$ 5.5
Statutory federal rate	21.00%	21.00%
Foreign Earnings Repatriated	$ 249
foreign withholding tax	$ 13.1

Income Taxes (Income Tax Expens

Income Taxes (Income Tax Expense From Continuing Operations And Effective Tax Rate) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Income Tax Disclosure [Abstract]
Income tax expense from continuing operations	$ 27,297	$ 18,172
Effective tax rate	14.00%	12.00%