Document and Entity Information
Document and Entity Information Document - shares shares in Millions | 9 Months Ended | |
Sep. 30, 2023 | Oct. 20, 2023 | |
Document And Entity Information [Abstract] | ||
Title of 12(b) Security | Common Stock, $0.001 par value per share | |
Trading Symbol | VRSN | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 94-3221585 | |
Entity Address, Postal Zip Code | 20190 | |
Document Transition Report | false | |
Document Quarterly Report | true | |
Entity Registrant Name | VERISIGN INC/CA | |
Entity Central Index Key | 0001014473 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2023 | |
Entity File Number | 000-23593 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 102.1 | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Address, Address Line One | 12061 Bluemont Way, | |
Entity Address, City or Town | Reston, | |
Entity Address, State or Province | VA | |
City Area Code | 703 | |
Local Phone Number | 948-3200 | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) shares in Millions, $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 157.7 | $ 373.6 |
Marketable securities | 785.8 | 606.8 |
Other Assets, Current | 63.5 | 58.3 |
Total current assets | 1,007 | 1,038.7 |
Property and equipment, net | 238.2 | 232 |
Goodwill | 52.5 | 52.5 |
Deferred Income Tax Assets, Net | 224.1 | 234.6 |
Deposits to acquire Intangible Assets | 145 | 145 |
Other long-term assets | 29.1 | 30.6 |
Total long-term assets | 688.9 | 694.7 |
Total assets | 1,695.9 | 1,733.4 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 232.2 | 226.5 |
Deferred revenues | 941.4 | 890.4 |
Total current liabilities | 1,173.6 | 1,116.9 |
Long-term deferred revenues | 320.7 | 328.7 |
Senior Notes | 1,789.6 | 1,787.9 |
Other long-term liabilities | 45.4 | 62.1 |
Total long-term liabilities | 2,155.7 | 2,178.7 |
Total liabilities | 3,329.3 | 3,295.6 |
Commitments and contingencies | ||
Stockholders' deficit: | ||
Preferred stock-par value $.001 per share | 0 | 0 |
Common Stocks, Including Additional Paid in Capital | 12,020.7 | 12,644.5 |
Accumulated deficit | (13,651.1) | (14,204) |
Accumulated other comprehensive loss | (3) | (2.7) |
Total stockholders' deficit | (1,633.4) | (1,562.2) |
Total liabilities and stockholders' deficit | $ 1,695.9 | $ 1,733.4 |
Preferred stock, authorized shares | 5 | 5 |
Preferred stock, par value | $ 0.001 | $ 0.001 |
Common Stock, Shares, Issued | 354.8 | 354.5 |
Common stock, authorized shares | 1,000 | 1,000 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, outstanding shares | 102.4 | 105.3 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, authorized shares | 5 | 5 |
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 | 1,000 |
Common Stock, Shares, Issued | 354.8 | 354.5 |
Common stock, outstanding shares | 102.4 | 105.3 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Comprehensive Income - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenues | $ 376.3 | $ 356.9 | $ 1,112.7 | $ 1,055.7 |
Costs and expenses: | ||||
Cost of revenues | 48.6 | 50 | 148.8 | 150.2 |
Research and development | 21.7 | 21 | 68.1 | 64.2 |
Selling, General and Administrative Expense | 51.7 | 49.1 | 151.5 | 143.7 |
Total costs and expenses | 122 | 120.1 | 368.4 | 358.1 |
Operating income | 254.3 | 236.8 | 744.3 | 697.6 |
Interest expense | (18.8) | (18.8) | (56.5) | (56.5) |
Non-operating income (loss), net | 13.1 | 4.9 | 37.1 | 6.8 |
Income (Loss) before Income Taxes, Total | 248.6 | 222.9 | 724.9 | 647.9 |
Income tax expense | (60.1) | (53.4) | (172) | (153.6) |
Net Income | 188.5 | 169.5 | 552.9 | 494.3 |
Other comprehensive income (loss) | 0.4 | 0.2 | (0.3) | 0.1 |
Comprehensive Income | $ 188.9 | $ 169.7 | $ 552.6 | $ 494.4 |
Basic income (loss) per share | ||||
Net Income | $ 1.83 | $ 1.58 | $ 5.32 | $ 4.55 |
Diluted income (loss) per share | ||||
Net Income | $ 1.83 | $ 1.58 | $ 5.32 | $ 4.55 |
Shares used to compute net income per share | ||||
Basic | 102.9 | 107.1 | 103.9 | 108.7 |
Diluted | 103 | 107.1 | 104 | 108.7 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Deficit Statement - USD ($) $ in Millions | Total | Common Stock Including Additional Paid in Capital [Member] | Accumulated Deficit [Member] | AOCI Attributable to Parent [Member] |
Stockholders' Deficit | $ (1,260.5) | $ 13,620.1 | $ (14,877.8) | $ (2.8) |
Stock-based compensation expense | 45.4 | |||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 12.3 | |||
Excise tax on repurchase of common stock | 0 | |||
Stock Repurchased During Period, Value | (834) | |||
Net Income | 494.3 | 494.3 | ||
Other Comprehensive Income (Loss), Net of Tax | 0.1 | 0.1 | ||
Stockholders' Deficit | (1,455) | 13,100.9 | (14,553) | (2.9) |
Stock-based compensation expense | 16.7 | |||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 4.1 | |||
Excise tax on repurchase of common stock | 0 | |||
Stock Repurchased During Period, Value | (277.9) | |||
Net Income | 169.5 | |||
Other Comprehensive Income (Loss), Net of Tax | 0.2 | 0.2 | ||
Stockholders' Deficit | (1,542.4) | 12,843.8 | (14,383.5) | (2.7) |
Stockholders' Deficit | (1,562.2) | 12,644.5 | (14,204) | (2.7) |
Stock-based compensation expense | 45.8 | |||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 12.3 | |||
Excise tax on repurchase of common stock | (6.1) | |||
Stock Repurchased During Period, Value | (675.8) | |||
Net Income | 552.9 | 552.9 | ||
Other Comprehensive Income (Loss), Net of Tax | (0.3) | (0.3) | ||
Stockholders' Deficit | (1,617.9) | 12,225.1 | (13,839.6) | (3.4) |
Stock-based compensation expense | 15.8 | |||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 4.3 | |||
Excise tax on repurchase of common stock | (2.1) | |||
Stock Repurchased During Period, Value | (222.4) | |||
Net Income | 188.5 | |||
Other Comprehensive Income (Loss), Net of Tax | 0.4 | 0.4 | ||
Stockholders' Deficit | $ (1,633.4) | $ 12,020.7 | $ (13,651.1) | $ (3) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 552.9 | $ 494.3 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation of property and equipment | 33.7 | 35.2 |
Stock-based compensation | 45 | 44.2 |
Other Noncash Income (Expense) | 15.6 | (0.7) |
Changes in operating assets and liabilities | ||
Other assets | (3.7) | (2.5) |
Accounts payable and accrued liabilities | (16.2) | (40.1) |
Deferred revenues | 43 | 82.1 |
Deferred Income Taxes | 10.5 | 0.3 |
Net cash provided by operating activities | 649.6 | 614.2 |
Net Cash Provided by (Used in) Investing Activities [Abstract] | ||
Proceeds from maturities and sales of marketable securities | 750.8 | 1,475 |
Purchases of marketable securities | (911.5) | (909.3) |
Purchases of property and equipment | (40.8) | (19.7) |
Net cash used in investing activities | (201.5) | 546 |
Cash flows from financing activities: | ||
Proceeds from employee stock purchase plans | 12.3 | 12.3 |
Payments for Repurchase of Common Stock | 675.8 | 834 |
Net cash used in financing activities | (663.5) | (821.7) |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (0.6) | (1.4) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | (216) | 337.1 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, beginning of period | 379 | 228.8 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, end of period | 163 | 565.9 |
Supplemental cash flow disclosures: | ||
Cash paid for interest | 49.5 | 49.6 |
Cash paid for income taxes, net of refunds received | $ 178.8 | $ 159.6 |
Basis Of Presentation
Basis Of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
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, 2022 (the “2022 Form 10-K”) filed with the SEC on February 17, 2023. 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. |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2023 | |
Financial Instruments, Owned, at Fair Value, by Type, Alternative [Abstract] | |
Financial Instruments | 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: September 30, December 31, 2023 2022 (In millions) Cash $ 22.4 $ 27.0 Time deposits 4.3 4.1 Money market funds (Level 1) 136.3 178.6 Debt securities issued by the U.S. Treasury (Level 1) 785.8 776.1 Total $ 948.8 $ 985.8 Cash and cash equivalents $ 157.7 $ 373.6 Restricted cash (included in Other long-term assets) 5.3 5.4 Total Cash, cash equivalents, and restricted cash 163.0 379.0 Marketable securities 785.8 606.8 Total $ 948.8 $ 985.8 The gross and net unrealized gains and losses included in the fair value of the debt securities were not significant for the periods presented. All of the debt securities held as of September 30, 2023 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. |
Other Balance Sheet Items
Other Balance Sheet Items | 9 Months Ended |
Sep. 30, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Other Balance Sheet Items | Selected Balance Sheet Items Other Current Assets Other current assets consist of the following: September 30, December 31, 2023 2022 (In millions) Prepaid expenses $ 27.4 $ 24.3 Prepaid registry fees 24.6 24.3 Accounts receivable, net 4.6 6.2 Unrealized gain on foreign currency forward contracts 4.5 0.2 Other 2.4 3.3 Total other current assets $ 63.5 $ 58.3 Other Long-Term Assets Other long-term assets consist of the following: September 30, December 31, 2023 2022 (In millions) Operating lease right-of-use asset $ 8.8 $ 7.2 Long-term prepaid registry fees 8.6 9.1 Restricted cash 5.3 5.4 Long-term prepaid expenses 4.1 6.6 Other 2.3 2.3 Total other long-term assets $ 29.1 $ 30.6 The prepaid registry fees in the tables above relate to the fees the Company pays to ICANN for each annual term of . com domain name registrations and renewals which are deferred and amortized over the domain name registration term. Accounts Payable and Accrued Liabilities Accounts payable and accrued liabilities consist of the following: September 30, December 31, 2023 2022 (In millions) Accounts payable and accrued expenses $ 9.4 $ 9.8 Customer deposits 75.3 72.0 Accrued employee compensation 50.8 59.0 Taxes payable 43.2 37.4 Interest payable 24.6 19.5 Accrued registry fees 13.3 12.7 Customer incentives payable 7.4 7.1 Current operating lease liabilities 5.6 5.5 Other accrued liabilities 2.6 3.5 Total accounts payable and accrued liabilities $ 232.2 $ 226.5 The balance of customer deposits varies from period to period due to the timing of payments from certain large customers. 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, 2022 was paid during the nine months ended September 30, 2023. Taxes payable reflects amounts accrued for the income tax provision and payments made during the period. This balance fluctuates from period to period due to the timing of income tax payments in the Company’s major tax jurisdictions. Interest payable varies at each period-end based on the payment due dates for each senior note issuance. Property Plant and Equipment, net The following table presents the detail of property and equipment, net: September 30, December 31, 2023 2022 (In millions) Computer equipment and software $ 411.7 $ 402.7 Buildings and building improvements 260.2 257.5 Land 37.9 31.1 Office equipment and furniture 11.0 10.4 Capital work in progress 15.3 3.6 Leasehold improvements 1.6 1.5 Total cost 737.7 706.8 Less: accumulated depreciation (499.5) (474.8) Total property and equipment, net $ 238.2 $ 232.0 In July 2023, the Company purchased a building in Reston, Virginia to be used as its future corporate headquarters for $19.8 million. Based on a valuation of the property, $13.0 million of the total purchase price was allocated to the building which is included in capital work in progress in the table above due to ongoing construction. The remaining $6.8 million was allocated to land. Long-term Tax and Other Liabilities Long-term tax and other liabilities consist of the following: September 30, December 31, 2023 2022 (In millions) Long-term tax liabilities $ 42.5 $ 60.5 Long-term operating lease liabilities 2.9 1.6 Long-term tax and other liabilities $ 45.4 $ 62.1 Long-term tax liabilities as of September 30, 2023 reflects a $19.3 million reclassification to current liabilities of the next installment of the transition tax liability on accumulated foreign earnings resulting from the 2017 Tax Cuts and Jobs Act. |
Stockholders' Deficit
Stockholders' Deficit | 9 Months Ended |
Sep. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' (Deficit) Equity | Share Repurchases Effective July 27, 2023, the Company’s Board of Directors authorized the repurchase of its common stock in the amount of $1.14 billion, in addition to the $356.1 million that remained available for repurchases under the share repurchase program, for a total repurchase authorization of up to $1.50 billion under the program. The program has no expiration date. Purchases made under the program could be effected through open market transactions, block purchases, accelerated share repurchase agreements or other negotiated transactions. As of September 30, 2023 there was approximately $1.34 billion remaining available for repurchases under the program. The Company’s share repurchases are as following. Amounts may not add up due to rounding: Three Months Ended September 30, 2023 Nine Months Ended September 30, 2023 Shares Total Costs Average Price Shares Total Costs Average Price (In millions, except average price amounts) Total repurchases under the repurchase plans 1.1 $ 219.9 $ 208.41 3.1 $ 659.8 $ 211.10 Total repurchases for tax withholdings — 2.6 $ 206.42 0.1 16.0 $ 212.08 Total repurchases 1.1 $ 222.4 $ 208.39 3.2 $ 675.8 $ 211.13 Since inception, the Company has repurchased 252.5 million shares of its common stock for an aggregate cost of $13.43 billion, which is recorded as a reduction of Additional paid-in capital. The Inflation Reduction Act of 2022, which was enacted into law on August 16, 2022, imposed a nondeductible 1% excise tax on the net value of certain stock repurchases made after December 31, 2022. In the nine months ended September 30, 2023, the Company reflected the applicable excise tax in treasury stock as part of the cost basis of the stock repurchased and recorded a corresponding liability for the excise taxes payable in |
Calculation Of Net Income Per S
Calculation Of Net Income Per Share | 9 Months Ended |
Sep. 30, 2023 | |
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 September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) Weighted-average shares of common stock outstanding 102.9 107.1 103.9 108.7 Weighted-average potential shares of common stock outstanding: Unvested RSUs and ESPP 0.1 — 0.1 — Shares used to compute diluted earnings per share 103.0 107.1 104.0 108.7 The calculation of diluted weighted average shares outstanding excludes performance-based RSUs granted by the Company for which the relevant performance criteria have not been achieved and any awards that are antidilutive. The number of potential shares excluded from the calculation was not significant in any period presented. |
Revenue (Notes)
Revenue (Notes) | 9 Months Ended |
Sep. 30, 2023 | |
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 Canada, Japan, and Singapore. The following table presents our revenues disaggregated by geography, based on the billing addresses of our customers: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) U.S. $ 250.8 $ 236.3 $ 741.2 $ 691.8 EMEA 57.7 55.0 169.4 170.0 China 22.0 26.8 71.0 79.3 Other 45.8 38.8 131.1 114.6 Total revenues $ 376.3 $ 356.9 $ 1,112.7 $ 1,055.7 Revenues in the table above 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 payments 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 nine months ended September 30, 2023 was primarily driven by amounts billed in the nine months ended September 30, 2023 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 $755.4 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 September 30, 2023 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 10 years. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [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 September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) Cost of revenues $ 1.9 $ 1.8 $ 5.2 $ 5.3 Research and development 2.5 2.5 7.5 7.2 Selling, general and administrative 11.1 12.0 32.3 31.7 Stock-based compensation expense 15.5 16.3 45.0 44.2 Capitalization (included in Property and equipment, net) 0.3 0.4 0.8 1.2 Total stock-based compensation $ 15.8 $ 16.7 $ 45.8 $ 45.4 The following table presents the nature of the Company’s total stock-based compensation: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) RSUs $ 13.4 $ 12.3 $ 35.9 $ 33.2 Performance-based RSUs 1.3 3.3 6.6 9.0 ESPP 1.1 1.1 3.3 3.2 Total stock-based compensation $ 15.8 $ 16.7 $ 45.8 $ 45.4 |
Other Income and Expenses
Other Income and Expenses | 9 Months Ended |
Sep. 30, 2023 | |
Other Income and Expenses [Abstract] | |
Other Nonoperating Income and Expense | Non-operating Income, Net The following table presents the components of Non-operating income, net: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) Interest income $ 11.6 $ 4.6 $ 33.8 $ 6.4 Other, net 1.5 0.3 3.3 0.4 Total non-operating income, net $ 13.1 $ 4.9 $ 37.1 $ 6.8 Interest income is earned principally from the Company’s surplus cash balances and marketable securities. The increase in interest income during the three and nine months ended September 30, 2023 reflects higher interest rates on the Company’s investments in debt securities. The increase in other non-operating income, net, during the three and nine months ended September 30, 2023 primarily reflects net gains and losses from the Company’s foreign currency exposure and related hedges. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The following table presents Income tax expense and the effective tax rate: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Dollars in millions) Income tax expense $ 60.1 $ 53.4 $ 172.0 $ 153.6 Effective tax rate 24 % 24 % 24 % 24 % |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) Attributable to Parent | $ 188.5 | $ 169.5 | $ 552.9 | $ 494.3 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 shares | |
Trading Arrangements, by Individual | |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
D. James Bidzos [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On August 11, 2023, D. James Bidzos, the Company's Executive Chairman and Chief Executive Officer, adopted a trading plan intended to satisfy Rule 10b5-1(c) to sell up to 144,000 shares of Company common stock between November 14, 2023 and October 17, 2024, subject to certain conditions. |
Name | D. James Bidzos |
Title | Executive Chairman and Chief Executive Officer |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | August 11, 2023 |
Aggregate Available | 144,000 |
Thomas Indelicarto [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On September 1, 2023, Thomas Indelicarto, the Company's Executive Vice President, General Counsel and Secretary, adopted a trading plan intended to satisfy Rule 10b5-1(c) to sell up to 13,500 shares of Company common stock between January 2, 2024 and November 29, 2024, subject to certain conditions. |
Name | Thomas Indelicarto |
Title | Executive Vice President, General Counsel and Secretary |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | September 1, 2023 |
Aggregate Available | 13,500 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Financial Instruments, Owned, at Fair Value, by Type, Alternative [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: September 30, December 31, 2023 2022 (In millions) Cash $ 22.4 $ 27.0 Time deposits 4.3 4.1 Money market funds (Level 1) 136.3 178.6 Debt securities issued by the U.S. Treasury (Level 1) 785.8 776.1 Total $ 948.8 $ 985.8 Cash and cash equivalents $ 157.7 $ 373.6 Restricted cash (included in Other long-term assets) 5.3 5.4 Total Cash, cash equivalents, and restricted cash 163.0 379.0 Marketable securities 785.8 606.8 Total $ 948.8 $ 985.8 |
Other Balance Sheet Items (Tabl
Other Balance Sheet Items (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Components Of Accounts Payable And Accrued Liabilities | Accounts payable and accrued liabilities consist of the following: September 30, December 31, 2023 2022 (In millions) Accounts payable and accrued expenses $ 9.4 $ 9.8 Customer deposits 75.3 72.0 Accrued employee compensation 50.8 59.0 Taxes payable 43.2 37.4 Interest payable 24.6 19.5 Accrued registry fees 13.3 12.7 Customer incentives payable 7.4 7.1 Current operating lease liabilities 5.6 5.5 Other accrued liabilities 2.6 3.5 Total accounts payable and accrued liabilities $ 232.2 $ 226.5 |
Schedule of Other Assets, Noncurrent [Table Text Block] | Other long-term assets consist of the following: September 30, December 31, 2023 2022 (In millions) Operating lease right-of-use asset $ 8.8 $ 7.2 Long-term prepaid registry fees 8.6 9.1 Restricted cash 5.3 5.4 Long-term prepaid expenses 4.1 6.6 Other 2.3 2.3 Total other long-term assets $ 29.1 $ 30.6 |
Schedule of Other Current Assets [Table Text Block] | Other current assets consist of the following: September 30, December 31, 2023 2022 (In millions) Prepaid expenses $ 27.4 $ 24.3 Prepaid registry fees 24.6 24.3 Accounts receivable, net 4.6 6.2 Unrealized gain on foreign currency forward contracts 4.5 0.2 Other 2.4 3.3 Total other current assets $ 63.5 $ 58.3 |
Property, Plant and Equipment | The following table presents the detail of property and equipment, net: September 30, December 31, 2023 2022 (In millions) Computer equipment and software $ 411.7 $ 402.7 Buildings and building improvements 260.2 257.5 Land 37.9 31.1 Office equipment and furniture 11.0 10.4 Capital work in progress 15.3 3.6 Leasehold improvements 1.6 1.5 Total cost 737.7 706.8 Less: accumulated depreciation (499.5) (474.8) Total property and equipment, net $ 238.2 $ 232.0 |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Schedule of Common Stock Repurchase | The Company’s share repurchases are as following. Amounts may not add up due to rounding: Three Months Ended September 30, 2023 Nine Months Ended September 30, 2023 Shares Total Costs Average Price Shares Total Costs Average Price (In millions, except average price amounts) Total repurchases under the repurchase plans 1.1 $ 219.9 $ 208.41 3.1 $ 659.8 $ 211.10 Total repurchases for tax withholdings — 2.6 $ 206.42 0.1 16.0 $ 212.08 Total repurchases 1.1 $ 222.4 $ 208.39 3.2 $ 675.8 $ 211.13 |
Calculation Of Net Income Per_2
Calculation Of Net Income Per Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) Weighted-average shares of common stock outstanding 102.9 107.1 103.9 108.7 Weighted-average potential shares of common stock outstanding: Unvested RSUs and ESPP 0.1 — 0.1 — Shares used to compute diluted earnings per share 103.0 107.1 104.0 108.7 |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) U.S. $ 250.8 $ 236.3 $ 741.2 $ 691.8 EMEA 57.7 55.0 169.4 170.0 China 22.0 26.8 71.0 79.3 Other 45.8 38.8 131.1 114.6 Total revenues $ 376.3 $ 356.9 $ 1,112.7 $ 1,055.7 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Classification Of Stock-Based Compensation | The following table presents the classification of stock-based compensation: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) Cost of revenues $ 1.9 $ 1.8 $ 5.2 $ 5.3 Research and development 2.5 2.5 7.5 7.2 Selling, general and administrative 11.1 12.0 32.3 31.7 Stock-based compensation expense 15.5 16.3 45.0 44.2 Capitalization (included in Property and equipment, net) 0.3 0.4 0.8 1.2 Total stock-based compensation $ 15.8 $ 16.7 $ 45.8 $ 45.4 |
Nature Of Total Stock-Based Compensation | The following table presents the nature of the Company’s total stock-based compensation: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) RSUs $ 13.4 $ 12.3 $ 35.9 $ 33.2 Performance-based RSUs 1.3 3.3 6.6 9.0 ESPP 1.1 1.1 3.3 3.2 Total stock-based compensation $ 15.8 $ 16.7 $ 45.8 $ 45.4 |
Other Income and Expenses (Tabl
Other Income and Expenses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Nonoperating Income (Expense) [Table Text Block] | The following table presents the components of Non-operating income, net: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (In millions) Interest income $ 11.6 $ 4.6 $ 33.8 $ 6.4 Other, net 1.5 0.3 3.3 0.4 Total non-operating income, net $ 13.1 $ 4.9 $ 37.1 $ 6.8 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Dollars in millions) Income tax expense $ 60.1 $ 53.4 $ 172.0 $ 153.6 Effective tax rate 24 % 24 % 24 % 24 % |
Financial Instruments (Details)
Financial Instruments (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||||
Cash | $ 22.4 | $ 27 | ||
Time deposits | 4.3 | 4.1 | ||
Money Market Funds (level 1) | 136.3 | 178.6 | ||
Financial Instruments, Owned, US Government and Agency Obligations, at Fair Value | 785.8 | 776.1 | ||
Total | 948.8 | 985.8 | ||
Included in Cash and cash equivalents | 157.7 | 373.6 | ||
Restricted Cash Equivalents, Noncurrent | 5.3 | 5.4 | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 163 | 379 | $ 565.9 | $ 228.8 |
Included in Marketable securities | $ 785.8 | $ 606.8 |
Financial Instruments Financial
Financial Instruments Financial Instruments narrative (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument, Fair Value Disclosure | $ 1,620 | $ 1,650 |
Other Balance Sheet Items (Othe
Other Balance Sheet Items (Other Current Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Balance Sheet Related Disclosures [Abstract] | ||
Prepaid Expense | $ 27.4 | $ 24.3 |
Prepaid registry fees, current | 24.6 | 24.3 |
Accounts Receivable, Net | 4.6 | 6.2 |
Foreign Currency Contract, Asset, Fair Value Disclosure | 4.5 | 0.2 |
Other Assets, Miscellaneous, Current | 2.4 | 3.3 |
Other Assets, Current | $ 63.5 | $ 58.3 |
Other Balance Sheet Items (Ot_2
Other Balance Sheet Items (Other Long Term Assets) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Balance Sheet Related Disclosures [Abstract] | ||
prepaid registry fees, non current | $ 8.6 | $ 9.1 |
Operating Lease, Right-of-Use Asset | 8.8 | 7.2 |
Restricted Cash | 5.3 | 5.4 |
Prepaid Expense, Noncurrent | 4.1 | 6.6 |
Other Assets, Miscellaneous, Noncurrent | 2.3 | 2.3 |
Other Assets, Noncurrent | $ 29.1 | $ 30.6 |
Other Balance Sheet Items (Comp
Other Balance Sheet Items (Components Of Accounts Payable And Accrued Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Balance Sheet Related Disclosures [Abstract] | ||
Accounts payable | $ 9.4 | $ 9.8 |
Accrued employee compensation | 50.8 | 59 |
Taxes Payable | 43.2 | 37.4 |
Interest Payable | 24.6 | 19.5 |
Deposits | 75.3 | 72 |
accrued fees | 13.3 | 12.7 |
customer incentives payable | 7.4 | 7.1 |
Operating Lease, Liability, Current | 5.6 | 5.5 |
Other accrued liabilities | 2.6 | 3.5 |
Total accounts payable and accrued liabilities | $ 232.2 | $ 226.5 |
Other Balance Sheet Items (Prop
Other Balance Sheet Items (Property and Equipment, Net) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Capitalized Computer Software, Net | $ 411.7 | $ 402.7 |
Buildings and Improvements, Gross | 260.2 | 257.5 |
Land | 37.9 | 31.1 |
Furniture and Fixtures, Gross | 11 | 10.4 |
Construction in Progress, Gross | 15.3 | 3.6 |
Leasehold Improvements, Gross | 1.6 | 1.5 |
Total Cost | 737.7 | 706.8 |
Less: accumulated depreciation | (499.5) | (474.8) |
Total property and equipment, net | $ 238.2 | $ 232 |
Other Balance Sheet Items (Non-
Other Balance Sheet Items (Non-Current Liabilities) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Deferred Income Taxes and Other Liabilities, Noncurrent | $ 42.5 | $ 60.5 |
Operating Lease, Liability, Noncurrent | 2.9 | 1.6 |
Other long-term liabilities | $ 45.4 | $ 62.1 |
Other Balance Sheet Items Other
Other Balance Sheet Items Other Balance Sheet Items (Narrative) (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Balance Sheet Related Disclosures [Abstract] | |
Tax Cuts and Jobs Act, Transition Tax for Accumulated Foreign Earnings, Liability | $ 19.3 |
Reston building purchase price | 19.8 |
Reston building purchase price allocation - land | 6.8 |
Reston building purchase price allocation - buildings | $ 13 |
Stockholders' Deficit (Narrativ
Stockholders' Deficit (Narrative) (Details) - USD ($) shares in Millions, $ in Millions | 7 Months Ended | |
Jul. 27, 2023 | Sep. 30, 2023 | |
Stockholders' Equity Note [Abstract] | ||
Common stock authorized to repurchase | $ 1,500 | |
Remaining common stock available for repurchase | 356.1 | $ 1,340 |
Common stock repurchased | $ 13,430 | |
Treasury Stock, Common, Shares | 252.5 | |
Additional share repurchase amount authorized | $ 1,140 |
Stockholders' Deficit (Summary
Stockholders' Deficit (Summary of Common Stock Repurchase) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | |
Equity [Abstract] | |||
Treasury Stock Shares Repurchased | $ 1.1 | $ 3.1 | |
Treasury Stock Shares Repurchased for Tax Withholding and Other | $ 0 | $ 0.1 | |
Common stock repurchase, share | 1.1 | 3.2 | |
Treasury stock shares repurchased, average cost per share | $ 208.41 | $ 211.10 | |
Treasury stock, value, repurchased for tax withholding | $ 2.6 | $ 16 | |
Total repurchases for tax withholdings and other, average cost per share | $ 206.42 | $ 212.08 | |
Average stock price | $ 208.39 | $ 211.13 | |
Aggregate cost of share | $ 219.9 | $ 659.8 | |
Payments for Repurchase of Common Stock | $ 222.4 | $ 675.8 | $ 834 |
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 Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Weighted-average number of common shares outstanding | 102.9 | 107.1 | 103.9 | 108.7 |
Unvested RSUs and ESPP | 0.1 | 0 | 0.1 | 0 |
Shares used to compute diluted net income per share | 103 | 107.1 | 104 | 108.7 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 376.3 | $ 356.9 | $ 1,112.7 | $ 1,055.7 |
US [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 250.8 | 236.3 | 741.2 | 691.8 |
EMEA [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 57.7 | 55 | 169.4 | 170 |
China [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 22 | 26.8 | 71 | 79.3 |
Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 45.8 | $ 38.8 | $ 131.1 | $ 114.6 |
Revenue Revenue (Narrative deta
Revenue Revenue (Narrative detail) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Deferred Revenue, Revenue Recognized | $ 755.4 |
Stock-Based Compensation (Class
Stock-Based Compensation (Classification Of Stock-Based Compensation) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation | $ 15.5 | $ 16.3 | $ 45 | $ 44.2 |
Share-based Payment Arrangement, Amount Capitalized | 0.3 | 0.4 | 0.8 | 1.2 |
Share-based Payment Arrangement, Expensed and Capitalized, Amount | 15.8 | 16.7 | 45.8 | 45.4 |
Cost Of Revenues [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation | 1.9 | 1.8 | 5.2 | 5.3 |
Research And Development [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation | 2.5 | 2.5 | 7.5 | 7.2 |
Selling, General And Administrative [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation | $ 11.1 | $ 12 | $ 32.3 | $ 31.7 |
Stock-Based Compensation (Natur
Stock-Based Compensation (Nature Of Total Stock-Based Compensation) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | $ 15.5 | $ 16.3 | $ 45 | $ 44.2 |
Share-based Payment Arrangement, Expensed and Capitalized, Amount | 15.8 | 16.7 | 45.8 | 45.4 |
Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | 13.4 | 12.3 | 35.9 | 33.2 |
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | 1.3 | 3.3 | 6.6 | 9 |
Employee Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | $ 1.1 | $ 1.1 | $ 3.3 | $ 3.2 |
Other Income and Expenses (Deta
Other Income and Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Income and Expenses [Abstract] | ||||
Investment Income, Interest and Dividend | $ 11.6 | $ 4.6 | $ 33.8 | $ 6.4 |
Other Nonoperating Income (Expense) | 1.5 | 0.3 | 3.3 | 0.4 |
Nonoperating (loss) Income | $ 13.1 | $ 4.9 | $ 37.1 | $ 6.8 |
Income Taxes (Income Tax Expens
Income Taxes (Income Tax Expense From Continuing Operations And Effective Tax Rate) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense from continuing operations | $ 60.1 | $ 53.4 | $ 172 | $ 153.6 |
Effective tax rate | 24% | 24% | 24% | 24% |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) | 9 Months Ended |
Sep. 30, 2023 Rate | |
Income Tax Disclosure [Abstract] | |
Statutory federal rate | 21% |