Document_and_Entity_Informatio
Document and Entity Information Document (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 20, 2015 | Jun. 30, 2014 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | J2 GLOBAL, INC. | ||
Entity Central Index Key | 1084048 | ||
Current Fiscal Year End Date | -19 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | FALSE | ||
Entity Common Stock, Shares Outstanding | 48,239,238 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $1,201,977,991 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
ASSETS | ||
Cash and cash equivalents | $433,663,000 | $207,801,000 |
Short-term investments | 96,206,000 | 90,789,000 |
Accounts receivable, net of allowances of $3,685 and $4,105, respectively | 91,699,000 | 67,245,000 |
Prepaid expenses and other current assets | 22,602,000 | 20,064,000 |
Deferred income taxes | 2,013,000 | 3,126,000 |
Total current assets | 646,183,000 | 389,025,000 |
Long-term investments | 60,508,000 | 47,351,000 |
Property and equipment, net | 38,217,000 | 31,200,000 |
Tradenames, net | 105,551,000 | 83,108,000 |
Patent and patent licenses, net | 24,927,000 | 28,530,000 |
Customer relationships, net | 163,766,000 | 100,980,000 |
Goodwill | 635,675,000 | 457,422,000 |
Other purchased intangibles, net | 17,556,000 | 10,915,000 |
Deferred income taxes | 0 | 1,845,000 |
Other assets | 12,819,000 | 3,413,000 |
Total assets | 1,705,202,000 | 1,153,789,000 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Accounts payable and accrued expenses | 95,310,000 | 69,570,000 |
Income taxes payable | 0 | 1,569,000 |
Deferred revenue | 63,457,000 | 36,326,000 |
Capital Lease Obligations, Current | 258,000 | 0 |
Liability for uncertain tax positions | 0 | 5,535,000 |
Deferred income taxes | 342,000 | 1,892,000 |
Total current liabilities | 159,367,000 | 114,892,000 |
Total long-term debt, less current portion | 593,350,000 | |
Long-term Debt | 593,350,000 | 245,670,000 |
Capital Lease Obligations, Noncurrent | 141,000 | 0 |
Liability for uncertain tax positions | 37,551,000 | 38,329,000 |
Deferred income taxes | 61,960,000 | 35,833,000 |
Deferred Revenue, Noncurrent | 10,182,000 | 11,189,000 |
Other long-term liabilities | 22,416,000 | 1,458,000 |
Total liabilities | 884,967,000 | 447,371,000 |
Commitments and contingencies | 0 | 0 |
Preferred stock, $0.01 par value | 5,064,000 | |
Common stock, $0.01 par value. Authorized 95,000,000 at December 31, 2014 and 2013; total issued and outstanding 48,223,563 and 46,105,076 shares at December 31, 2014 and 2013, respectively. | 474,000 | 461,000 |
Additional paid-in capital | 273,304,000 | 216,872,000 |
Retained earnings | 553,584,000 | 484,850,000 |
Accumulated other comprehensive loss | -7,127,000 | 4,235,000 |
Stockholders' equity attributable to j2 Global, Inc. | 820,235,000 | 706,418,000 |
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 820,235,000 | 706,418,000 |
Total liabilities and stockholders' equity | 1,705,202,000 | 1,153,789,000 |
Series A Preferred Stock [Member] | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.01 par value | 0 | 0 |
Series B Preferred Stock [Member] | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.01 par value | $0 | $0 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) Statement (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for Doubtful Accounts Receivable, Current | $3,685 | $4,105 |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Common Stock, Shares Authorized | 95,000,000 | 95,000,000 |
Common Stock, Shares, Issued | 47,409,514 | 46,105,076 |
Common Stock, Shares, Outstanding | 47,409,514 | 46,105,076 |
Preferred Stock, Par or Stated Value Per Share | $0.01 | $0.01 |
Treasury Stock, Shares | 0 | 0 |
Series A Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 6,000 | 6,000 |
Preferred Stock, Shares Issued | 0 | 5,064 |
Preferred Stock, Shares Outstanding | 0 | 5,064 |
Series B Preferred Stock [Member] | ||
Preferred Stock, Shares Authorized | 20,000 | 20,000 |
Preferred Stock, Shares Issued | 0 | 4,155 |
Preferred Stock, Shares Outstanding | 0 | 4,155 |
Consolidated_Statements_Of_Inc
Consolidated Statements Of Income (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues: | |||
Revenues | $599,030 | $520,801 | $371,396 |
Cost of revenues (including share-based compensation of $345, $756 and $844 in 2014, 2013 and 2012, respectively) | 105,989 | 86,893 | 67,013 |
Gross profit | 493,041 | 433,908 | 304,383 |
Operating expenses: | |||
Sales and marketing (including share-based compensation of $1,944, $1,855 and $1,543 in 2014, 2013 and 2012, respectively) | 141,967 | 131,317 | 62,825 |
Research, development and engineering (including share-based compensation of $721, $434 and $459 in 2014, 2013 and 2012, respectively) | 30,680 | 25,485 | 18,624 |
General and administrative (including share-based compensation of $5,898, $6,675, $6,286 in 2014, 2013 and 2012, respectively) | 134,188 | 101,683 | 60,772 |
Total operating expenses | 306,835 | 258,485 | 142,221 |
Operating earnings | 186,206 | 175,423 | 162,162 |
Interest expense (income), net | 31,204 | 21,254 | 7,650 |
Other expense (income), net | -165 | 11,472 | -410 |
Income before income taxes | 155,167 | 142,697 | 154,922 |
Income tax expense | 29,840 | 35,175 | 33,259 |
Net earnings attributable to j2 Global, Inc. common shareholders | 124,336 | 107,522 | 121,580 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 125,327 | 107,522 | 121,663 |
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 |
Preferred Stock Redemption Premium | ($991) | $0 | $0 |
Net earnings per common share: | |||
Basic | $2.60 | $2.31 | $2.63 |
Diluted | $2.58 | $2.28 | $2.61 |
Weighted average shares outstanding: | |||
Basic | 46,778,015 | 45,548,767 | 45,459,712 |
Diluted | 47,106,538 | 46,140,019 | 45,781,658 |
Cash dividends paid per common share | $1.10 | $0.98 | $0.87 |
Recovered_Sheet1
Consolidated Statements of Income (Parenthetical) Statement (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Allocated Share-based Compensation Expense | $8,908 | $9,720 | $9,132 |
Cost of Sales [Member] | |||
Allocated Share-based Compensation Expense | 345 | 756 | 844 |
Selling and Marketing Expense [Member] | |||
Allocated Share-based Compensation Expense | 1,944 | 1,855 | 1,543 |
Research and Development Expense [Member] | |||
Allocated Share-based Compensation Expense | 721 | 434 | 459 |
General and Administrative Expense [Member] | |||
Allocated Share-based Compensation Expense | $5,898 | $6,675 | $6,286 |
Consolidated_Statement_Of_Comp
Consolidated Statement Of Comprehensive Income (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $32,754 | $28,759 | $35,049 | $28,765 | $20,754 | $27,806 | $36,040 | $22,922 | $125,327 | $107,522 | $121,663 |
Foreign currency translation adjustment, net of tax (benefit) of zero, ($122) and $196 for the year ended 2014, 2013 and 2012, respectively | -14,694 | 78 | 1,435 | ||||||||
Unrealized gain on available-for-sale investments, net of tax (benefit) of $2,757, $2,447 and $646 for the year ended 2014, 2013 and 2012, respectively | 3,332 | 4,245 | 1,954 | ||||||||
Other Comprehensive Income, net of tax | -11,362 | 4,323 | 3,389 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 113,965 | 111,845 | 125,052 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | ||||||||
Comprehensive income attributable to j2 Global, Inc. | $113,965 | $111,845 | $124,969 |
Recovered_Sheet2
Consolidated Statement of Comprehensive Income (Parenthetical) Statement (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax | $0 | ($122) | $196 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Tax | $2,757 | $2,447 | $646 |
Consolidated_Statement_Of_Cash
Consolidated Statement Of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $125,327 | $107,522 | $121,663 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | |||
Depreciation and amortization | 62,953 | 39,788 | 22,164 |
Amortization of discount or premium of investments | -1,334 | -1,796 | -1,603 |
Amortization of financing costs and discounts | 5,045 | 613 | 249 |
Share-based compensation | 8,908 | 9,720 | 9,132 |
Excess tax benefits from share-based compensation | 5,512 | 2,695 | 961 |
Provision for doubtful accounts | 4,702 | 3,135 | 4,289 |
Deferred income taxes | -10,033 | 250 | 1,150 |
Loss on disposal of fixed assets | 0 | 8 | 54 |
(Gain) loss on available-for-sale investments | -90 | 66 | -266 |
Loss on extinguishment of debt and related interest expense | 0 | 14,437 | 0 |
Decrease (increase) in: | |||
Accounts receivable | 11,078 | 9,588 | 5,417 |
Prepaid expenses and other current assets | 3,212 | -149 | 2,028 |
Other assets | 42 | -168 | 243 |
(Decrease) increase in: | |||
Accounts payable and accrued expenses | -5,447 | 9,126 | 5,138 |
Income taxes payable | 10,797 | 667 | 4,139 |
Deferred revenue | -711 | 12,368 | 1,612 |
Liability for uncertain tax positions | -6,313 | 6,186 | 7,601 |
Other | 603 | -392 | 32 |
Net cash provided by operating activities | 177,231 | 193,324 | 169,911 |
Cash flows from investing activities: | |||
Maturity of certificates of deposit | 14,520 | 42,615 | 8,000 |
Purchase of certificates of deposit | -65 | -22,071 | -34,673 |
Sales of available-for-sale investments | 110,363 | 140,126 | 138,709 |
Purchase of available-for-sale investments | -138,452 | -168,901 | -151,989 |
Purchases of property and equipment | -11,829 | -18,627 | -5,061 |
Proceeds from sale of assets | 608 | 1 | 156 |
Acquisition of businesses, net of cash received | -245,278 | -126,341 | -198,341 |
Purchases of intangible assets | -5,336 | -14,200 | -6,295 |
Net cash used in investing activities | -275,469 | -167,398 | -249,494 |
Cash flows from financing activities: | |||
Issuance of long-term debt | 402,500 | 0 | 245,000 |
Debt issuance costs | -11,991 | -47 | -1,384 |
Repurchases of common stock and restricted stock | -5,663 | -4,587 | -60,282 |
Issuance of common stock under employee stock purchase plan | 265 | 213 | 157 |
Exercise of stock options | 6,621 | 13,604 | 5,646 |
Proceeds from noncontrolling interests | 0 | 0 | 8,557 |
Dividends paid | -52,269 | -45,134 | -40,263 |
Excess tax benefits from share-based compensation | 5,512 | 2,695 | 961 |
PaymentsOfDeferredConsiderationRelatedToAcquisition | -16,512 | 0 | 0 |
Proceeds from (Payments for) Other Financing Activities | -933 | -2,437 | 0 |
Net cash (used in) provided by financing activities | 327,530 | -35,693 | 158,392 |
Effect of exchange rate changes on cash and cash equivalents | -3,430 | -1,112 | 512 |
Net change in cash and cash equivalents | 225,862 | -10,879 | 79,321 |
Cash and cash equivalents | 433,663 | 207,801 | 218,680 |
Cash and cash equivalents at end of period | $433,663 | $207,801 | $218,680 |
Consolidated_Statements_Of_Sto
Consolidated Statements Of Stockholders' Equity Statement (USD $) | 3 Months Ended | 12 Months Ended | ||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Stockholders' equity attributable to j2 Global, Inc. | $820,235 | $706,418 | $820,235 | $706,418 | $554,375 | |
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 | 0 | 0 | 0 | |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 820,235 | 706,418 | 820,235 | 706,418 | 554,375 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 32,754 | 20,754 | 125,327 | 107,522 | 121,663 | |
Net earnings attributable to j2 Global, Inc. common shareholders | 31,763 | 20,754 | 124,336 | 107,522 | 121,580 | |
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | |||
Comprehensive income attributable to j2 Global, Inc. | 113,965 | 111,845 | 124,969 | |||
Preferred Stock, Accretion of Redemption Discount | 0 | 0 | -183 | |||
Stock Repurchased | 2,100,000 | |||||
Preferred Stock Redemption Premium | 991 | 0 | 0 | |||
Additional paid-in capital | 273,304 | 216,872 | 273,304 | 216,872 | ||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | 100 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | -433,008 | -569,204 | -357,234 | |||
Common Stock [Member] | ||||||
Shares, Outstanding | 47,409,514 | 46,105,076 | 47,409,514 | 46,105,076 | 55,389,636 | |
Stockholders' equity attributable to j2 Global, Inc. | 474 | 461 | 474 | 461 | 554 | |
Stock Issued During Period, Shares, New Issues | 234,025 | |||||
Stock Issued During Period, Value, New Issues | 2 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 433,008 | 569,204 | 357,234 | |||
Stock Issued During Period, Value, Stock Options Exercised | 4 | 6 | 4 | |||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 5,735 | 5,402 | 5,797 | |||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 0 | 0 | 0 | |||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 565,713 | 308,082 | 204,052 | |||
Stock Issued During Period, Value, Restricted Stock Award, Gross | 6 | 3 | 2 | |||
Common Shares Repurchased And Retired During Period Shares | -113,256 | -29,950 | -10,806,648 | |||
Common Shares Repurchased And Retired During Period Value | -1 | 0 | -108 | |||
Stock Repurchased and Retired During Period, Shares | -75,878 | -55,880 | ||||
Stock Repurchased and Retired During Period, Value | -1 | -1 | ||||
Series A Preferred Stock [Member] | ||||||
Stock Issued During Period, Shares, New Issues | 5,064 | |||||
Stock Issued During Period, Value, New Issues | 0 | |||||
Stock Repurchased | -5,064 | |||||
Adjustments to Additional Paid in Capital, Other | -4,774 | |||||
Additional Paid in Capital, Preferred Stock | 4,774 | 4,774 | ||||
Series B Preferred Stock [Member] | ||||||
Stock Issued During Period, Shares, New Issues | 4,155 | |||||
Stock Issued During Period, Value, New Issues | 0 | |||||
Stock Repurchased | -4,155 | |||||
Adjustments to Additional Paid in Capital, Other | -6,575 | |||||
Additional Paid in Capital, Preferred Stock | 6,575 | 6,575 | ||||
Additional Paid-in Capital [Member] | ||||||
Stockholders' equity attributable to j2 Global, Inc. | 273,304 | 216,872 | 273,304 | 216,872 | 197,374 | |
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | 22,900 | |||||
Stock Issued During Period, Value, Stock Options Exercised | 6,617 | 13,598 | ||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 265 | 213 | ||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt | 36,478 | |||||
Stock Issued During Period, Value, Restricted Stock Award, Gross | -6 | -3 | ||||
Common Shares Repurchased And Retired During Period Value | -2,245 | -684 | ||||
Stock Repurchased and Retired During Period, Value | -1,506 | |||||
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 8,824 | 9,585 | ||||
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | 5,512 | 3,227 | ||||
Treasury Stock [Member] | ||||||
Shares, Outstanding | 0 | 0 | 0 | 0 | -8,680,568 | |
Stockholders' equity attributable to j2 Global, Inc. | 0 | 0 | 0 | 0 | -112,671 | |
Common Shares Repurchased And Retired During Period Shares | 8,680,568 | |||||
Common Shares Repurchased And Retired During Period Value | 112,671 | |||||
Retained Earnings [Member] | ||||||
Stockholders' equity attributable to j2 Global, Inc. | 553,584 | 484,850 | 553,584 | 484,850 | 472,595 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 125,327 | |||||
Net earnings attributable to j2 Global, Inc. common shareholders | 107,522 | 121,580 | ||||
Dividends, Common Stock, Cash | -52,269 | -45,135 | ||||
Preferred Stock Redemption Premium | -991 | |||||
Common Shares Repurchased And Retired During Period Value | -3,417 | -2,395 | -129,171 | |||
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 84 | 68 | ||||
Accumulated Other Comprehensive Income (Loss) [Member] | ||||||
Stockholders' equity attributable to j2 Global, Inc. | -7,127 | 4,235 | -7,127 | 4,235 | -3,477 | |
Comprehensive income attributable to j2 Global, Inc. | -11,362 | 4,323 | 3,389 | |||
Extinguishment of Series A Preferred Stock [Member] | ||||||
Stock Issued During Period, Shares, New Issues | 235,665 | |||||
Stock Issued During Period, Value, New Issues | 2 | |||||
Exchange of Series B Preferred Stock [Member] | ||||||
Stock Issued During Period, Shares, New Issues | 177,573 | |||||
Stock Issued During Period, Value, New Issues | $2 |
The_Company
The Company | 12 Months Ended |
Dec. 31, 2014 | |
The Company [Abstract] | |
Nature of Operations [Text Block] | The Company |
j2 Global, Inc., together with its subsidiaries (“j2 Global” or the "Company"), is a leading provider of Internet services. Through its Business Cloud Services Division, the Company provides cloud services to businesses of all sizes, from individuals to enterprises, and licenses its intellectual property ("IP") to third parties. The Digital Media Division specializes in the technology and gaming markets, reaching in-market buyers and influencers in both the consumer and business-to-business space. |
Basis_Of_Presentation
Basis Of Presentation | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Basis of Presentation and Significant Accounting Policies [Text Block] | Basis of Presentation and Summary of Significant Accounting Policies | |
(a) | Principles of Consolidation | |
The accompanying consolidated financial statements include the accounts of j2 Global and its direct and indirect wholly-owned and less-than-wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | ||
Holding Company Reorganization | ||
On June 10, 2014, j2 Global, Inc., a Delaware corporation, completed a corporate reorganization (the “Holding Company Reorganization”) pursuant to which j2 Global, Inc. (the “Predecessor”), merged with j2 Merger Sub, Inc., a Delaware corporation and an indirect, wholly owned subsidiary of the Predecessor, and changed its name to “j2 Cloud Services, Inc.” The Predecessor surviving the merger became a direct, wholly owned subsidiary of a new public holding company, j2 Global Holdings, Inc. (the “Holding Company”), which in connection with the merger changed its name to j2 Global, Inc. | ||
At the effective time of the merger and in connection with the Holding Company Reorganization, all outstanding shares of common stock and preferred stock of the Predecessor were automatically converted into identical shares of common stock or preferred stock, as applicable, of the Holding Company on a one-for-one basis, and the Predecessor’s existing stockholders and other equity holders became stockholders and equity holders, as applicable, of the Holding Company in the same amounts and percentages as they were in the Predecessor prior to the Holding Company Reorganization. | ||
(b) | Use of Estimates | |
The preparation of consolidated financial statements in accordance with accounting principles generally accepted in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, including judgments about investment classifications, and the reported amounts of net revenue and expenses during the reporting period. We believe that our most significant estimates are those related to valuation and impairment of marketable securities, valuation of assets acquired and liabilities assumed in connection with business combinations, long-lived and intangible asset impairment, contingent consideration, income taxes and contingencies and allowance for doubtful accounts. On an ongoing basis, management evaluates its estimates based on historical experience and on various other factors that the Company believes to be reasonable under the circumstances. Actual results could materially differ from those estimates. | ||
(c) | Allowances for Doubtful Accounts | |
j2 Global reserves for receivables it may not be able to collect. These reserves for the Company's Business Cloud Services are typically driven by the volume of credit card declines and past due invoices and are based on historical experience as well as an evaluation of current market conditions. These reserves for the Company's Digital Media segment are typically driven by past due invoices and are based on historical experience. On an ongoing basis, management evaluates the adequacy of these reserves. | ||
(d) | Revenue Recognition | |
Business Cloud Services | ||
The Company's Business Cloud Services revenues substantially consist of monthly recurring subscription and usage-based fees, which are primarily paid in advance by credit card. In accordance with GAAP, the Company recognizes revenue when persuasive evidence of an arrangement exists, services have been provided, the sales price is fixed and determinable and collection is probable. The Company defers the portions of monthly, quarterly, semi-annually and annually recurring subscription and usage-based fees collected in advance and recognizes them in the period earned. Additionally, the Company defers and recognizes subscriber activation fees and related direct incremental costs over a subscriber's estimated useful life. | ||
j2 Global's Business Cloud Services also include patent license revenues generated under license agreements that provide for the payment of contractually determined fully paid-up or royalty-bearing license fees to j2 Global in exchange for the grant of non-exclusive, retroactive and future licenses to our intellectual property, including patented technology. Patent revenues may also consist of revenues generated from the sale of patents. Patent license revenues are recognized when earned over the term of the license agreements. With regard to fully paid-up license arrangements, the Company recognizes as revenue in the period the license agreement is executed the portion of the payment attributable to past use of the intellectual property and amortizes the remaining portion of such payments on a straight-line basis, or pro-rata revenue basis, as appropriate over the life of the licensed patent(s). With regard to royalty-bearing license arrangements, the Company recognizes revenues of license fees earned during the applicable period. With regard to patent sales, the Company recognizes as revenue in the period of the sale the amount of the purchase price over the carrying value of the patent(s) sold. | ||
The Business Cloud Services business also generates revenues by licensing certain technology to third parties. These licensing revenues are recognized when earned in accordance with the terms of the underlying agreement. Generally, revenue is recognized as the third party uses the licensed technology over the period. | ||
Digital Media | ||
The Company's Digital Media revenues primarily consist of revenues generated from the sale of advertising campaigns that are targeted to the Company's proprietary websites and to those websites operated by third parties that are part of the Digital Media business's advertising network. Revenues for these advertising campaigns are recognized as earned either when an ad is placed for viewing by a visitor to the appropriate web page or when the visitor "clicks through" on the ad, depending upon the terms with the individual advertiser. | ||
Revenues for Digital Media business-to-business operations consist of lead-generation campaigns for IT vendors and are recognized as earned when the Company delivers the qualified leads to the customer. | ||
j2 Global also generates Digital Media revenues through the license of certain assets to clients, for the clients' use in their own promotional materials or otherwise. Such assets may include logos, editorial reviews, or other copyrighted material. Revenues under such license agreements are recognized when the assets are delivered to the client. Also, Digital Media revenues are generated through the license of certain speed testing technology which is recognized when delivered to the client through providing data services primarily to Internet Service Providers ("ISPs") and wireless carriers which is recognized as earned over the term of the access period. The Digital Media business also generates other types of revenues, including business listing fees, subscriptions to online publications, and from other sources. Such other revenues are recognized as earned. | ||
(e) | Fair Value Measurements | |
j2 Global complies with the provisions of Financial Accounting Standards Board (“FASB”) ASC Topic No. 820, Fair Value Measurements and Disclosures (“ASC 820”), in measuring fair value and in disclosing fair value measurements. ASC 820 provides a framework for measuring fair value and expands the disclosures required for fair value measurements of financial and non-financial assets and liabilities. | ||
As of December 31, 2014, the carrying value of cash and cash equivalents, short-term investments, accounts receivable, interest receivable, accounts payable, accrued expenses, interest payable, customer deposits and long-term debt are reflected in the financial statements at cost. With the exception of long-term debt, cost approximates fair value due to the short-term nature of such instruments. The fair value of the Company's outstanding debt was determined using the quoted market prices of debt instruments with similar terms and maturities, if available. As of the same dates, the carrying value of other long-term liabilities approximated fair value as the related interest rates approximate rates currently available to j2 Global. | ||
(f) | Cash and Cash Equivalents | |
j2 Global considers cash equivalents to be only those investments that are highly liquid, readily convertible to cash and with maturities of three months or less at the purchase date. | ||
(g) | Investments | |
j2 Global accounts for its investments in debt and equity securities in accordance with FASB ASC Topic No. 320, Investments - Debt and Equity Securities (“ASC 320”). Debt investments are typically comprised of corporate and governmental debt securities. Equity securities recorded as available-for-sale represent strategic equity investments. j2 Global determines the appropriate classification of its investments at the time of acquisition and evaluates such determination at each balance sheet date. Held-to-maturity securities are those investments which the Company has the ability and intent to hold until maturity and are recorded at amortized cost. Available-for-sale securities are those investments j2 Global does not intend to hold to maturity and can be sold. Available-for-sale securities are carried at fair value with unrealized gains and losses included in other comprehensive income. Trading securities are carried at fair value, with unrealized gains and losses included in investment income. All securities are accounted for on a specific identification basis. | ||
(h) | Debt Issuance Costs and Debt Discount | |
j2 Global capitalizes costs incurred with borrowing and issuance of debt securities and records debt discounts as a reduction to the debt amount. j2 Global capitalized third-party costs incurred in connection with its sale of senior unsecured notes within long-term other assets and recorded the original purchase discount as a reduction to such notes (see Note 8 - Long Term Debt). These costs and discounts are amortized and included in interest expense over the life of the borrowing or term of the credit facility using the interest method. | ||
(i) | Derivative Instruments | |
j2 Global currently holds an embedded derivative instrument related to contingent interest in connection with its 3.25% Convertible Notes issued on June 10, 2014. This embedded derivative instrument is carried at fair value with changes recorded to interest expense (see Note 5 - Fair Value Measurements). | ||
(j) | Concentration of Credit Risk | |
All of the Company’s cash, cash equivalents and marketable securities are invested at major financial institutions primarily within the United States, United Kingdom and Ireland. These institutions are required to invest the Company’s cash in accordance with the Company’s investment policy with the principal objectives being preservation of capital, fulfillment of liquidity needs and above market returns commensurate with preservation of capital. The Company’s investment policy also requires that investments in marketable securities be in only highly rated instruments, with limitations on investing in securities of any single issuer. However, these investments are not insured against the possibility of a total or near complete loss of earnings or principal and are inherently subject to the credit risk related to the continued credit worthiness of the underlying issuer and general credit market risks. At December 31, 2014, the Company’s cash and cash equivalents were maintained in accounts that are insured up to the limit determined by the applicable governmental agency. The Company's deposits held in qualifying financial institutions in Ireland are fully insured through March 28, 2018 to the extent on deposit prior to March 28, 2013. With respect to the Company's deposits with financial institutions in other jurisdictions, the insured amount held in other institutions is immaterial in comparison to the total amount of the Company’s cash and cash equivalents held by these institutions which is not insured. These institutions are primarily in the United States and United Kingdom, however, the Company has accounts within several other countries including Australia, Austria, China, France, Germany, Italy, Japan, New Zealand, the Netherlands and Poland. | ||
(k) | Foreign Currency | |
Some of j2 Global's foreign subsidiaries use the local currency of their respective countries as their functional currency. Assets and liabilities are translated at exchange rates prevailing at the balance sheet dates. Revenues, costs and expenses are translated into U.S. Dollars at average exchange rates for the period. Gains and losses resulting from translation are recorded as a component of accumulated other comprehensive income/(loss). Net translation gain/(loss) were $(14.7) million, $0.1 million and $1.4 million for the years ended December 31, 2014, 2013 and 2012, respectively. Realized gains and losses from foreign currency transactions are recognized within other expense (income), net. Net transaction gain/(loss) was $(0.1) million, $0.4 million and $(0.1) million for the years ended December 31, 2014, 2013 and 2012, respectively. | ||
(l) | Property and Equipment | |
Property and equipment are stated at cost. Equipment under capital leases is stated at the present value of the minimum lease payments. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives of property and equipment range from one to 10 years. Fixtures, which are comprised primarily of leasehold improvements and equipment under capital leases, are amortized on a straight-line basis over their estimated useful lives or for leasehold improvements, the related lease term, if less. The Company has capitalized certain internal use software and website development costs which are included in property and equipment. The estimated useful life of costs capitalized is evaluated for each specific project and ranges from 1 to 5 years. | ||
(m) | Long-Lived Assets | |
j2 Global accounts for long-lived assets, which include property and equipment and identifiable intangible assets with finite useful lives (subject to amortization), in accordance with the provisions of FASB ASC Topic No. 360, Property, Plant, and Equipment (“ASC 360”), which requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability is measured by comparing the carrying amount of an asset to the expected undiscounted future net cash flows generated by the asset. If it is determined that the asset may not be recoverable, and if the carrying amount of an asset exceeds its estimated fair value, an impairment charge is recognized to the extent of the difference. | ||
j2 Global assessed whether events or changes in circumstances have occurred that potentially indicate the carrying amount of long-lived assets may not be recoverable. No impairment was recorded in fiscal year 2014, 2013 and 2012. | ||
(n) | Goodwill and Intangible Assets | |
Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. Intangible assets resulting from the acquisitions of entities accounted for using the purchase method of accounting are recorded at the estimated fair value of the assets acquired. Identifiable intangible assets are comprised of purchased customer relationships, trademarks and trade names, developed technologies and other intangible assets. Intangible assets subject to amortization are amortized over the period of estimated economic benefit ranging from 1 to 20 years. In accordance with FASB ASC Topic No. 350, Intangibles - Goodwill and Other (“ASC 350”), goodwill and other intangible assets with indefinite lives are not amortized but tested annually for impairment or more frequently if j2 Global believes indicators of impairment exist. In connection with the annual impairment test for goodwill, the Company has the option to perform a qualitative assessment in determining whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company determines that it was more likely than not that the fair value of the reporting unit is less than its carrying amount, then it performs the impairment test upon goodwill. The impairment test involves a two-step process. The first step involves comparing the fair values of the applicable reporting units with their aggregate carrying values, including goodwill. The Company generally determines the fair value of its reporting units using the income approach methodology of valuation. If the carrying value of a reporting unit exceeds the reporting unit's fair value, j2 Global performs the second step of the test to determine the amount of impairment loss. The second step involves measuring the impairment by comparing the implied fair values of the affected reporting unit's goodwill and intangible assets with the respective carrying values. . In connection with the annual impairment test for indefinite-lived intangible assets, we have the option to perform a qualitative assessment in determining whether it is more likely than not that the fair value is less than its carrying amount, then we perform the impairment test upon indefinite-lived intangible assets. The impairment testing for indefinite-lived intangible assets consists of comparing the carrying values to the fair values and an impairment loss is recorded if the carrying value exceeds the fair value. j2 Global completed the required impairment review at the end of 2014, 2013 and 2012 and concluded that there were no impairments. Consequently, no impairment charges were recorded. | ||
(o) | Contingent Consideration | |
j2 Global measures the contingent earn-out liabilities at fair value on a recurring basis using significant unobservable inputs classified within Level 3 of the fair value hierarchy (see Note 5 - Fair Value Measurements). The Company may use various valuation techniques depending on the terms and conditions of the contingent consideration including a Monte-Carlo simulation. This simulation uses probability distribution for each significant input to produce hundreds or thousands of possible outcomes and the results are analyzed to determine probabilities of different outcomes occurring. Significant increases or decreases to these inputs in isolation would result in a significantly higher or lower liability with a higher liability capped by the contractual maximum of the contingent earn-out obligation. Ultimately, the liability will be equivalent to the amount paid, and the difference between the fair value estimate and amount paid will be recorded in earnings. The amount paid that is less than or equal to the liability on the acquisition date is reflected as cash used in financing activities in our consolidated statements of cash flows. Any amount paid in excess of the liability on the acquisition date is reflected as cash used in operating activities. | ||
j2 Global reviews and re-assess the estimated fair value of contingent consideration on a quarterly basis, and the updated fair value could differ materially from the initial estimates. Changes in the estimated fair value of our contingent earn-out liabilities related to the time component of the present value calculation are reported in interest expense. Adjustments to the estimated fair value related to changes in all other unobservable inputs are reported in operating income. | ||
(p) | Income Taxes | |
j2 Global's income is subject to taxation in both the U.S. and numerous foreign jurisdictions. Significant judgment is required in evaluating the Company's tax positions and determining its provision for income taxes. During the ordinary course of business, there are many transactions and calculations for which the ultimate tax determination is uncertain. j2 Global establishes reserves for tax-related uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These reserves for tax contingencies are established when the Company believes that certain positions might be challenged despite the Company's belief that its tax return positions are fully supportable. j2 Global adjusts these reserves in light of changing facts and circumstances, such as the outcome of a tax audit or lapse of a statute of limitations. The provision for income taxes includes the impact of reserve provisions and changes to reserves that are considered appropriate. | ||
j2 Global accounts for income taxes in accordance with FASB ASC Topic No. 740, Income Taxes (“ASC 740”), which requires that deferred tax assets and liabilities be recognized using enacted tax rates for the effect of temporary differences between the book and tax basis of recorded assets and liabilities. ASC 740 also requires that deferred tax assets be reduced by a valuation allowance if it is more likely than not that some or all of the net deferred tax assets will not be realized. The valuation allowance is reviewed quarterly based upon the facts and circumstances known at the time. In assessing this valuation allowance, j2 Global reviews historical and future expected operating results and other factors, including its recent cumulative earnings experience, expectations of future taxable income by taxing jurisdiction and the carryforward periods available for tax reporting purposes, to determine whether it is more likely than not that deferred tax assets are realizable. | ||
ASC 740 provides guidance on the minimum threshold that an uncertain income tax benefit is required to meet before it can be recognized in the financial statements and applies to all income tax positions taken by a company. ASC 740 contains a two-step approach to recognizing and measuring uncertain income tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount that is more than 50% likely of being realized upon settlement. If it is not more likely than not that the benefit will be sustained on its technical merits, no benefit will be recorded. Uncertain income tax positions that relate only to timing of when an item is included on a tax return are considered to have met the recognition threshold. j2 Global recognized accrued interest and penalties related to uncertain income tax positions in income tax expense on its consolidated statement of income. | ||
(q) | Share-Based Compensation | |
j2 Global accounts for share-based awards in accordance with the provisions of FASB ASC Topic No. 718, Compensation - Stock Compensation (“ASC 718”). Accordingly, j2 Global measures share-based compensation expense at the grant date, based on the fair value of the award, and recognizes the expense over the employee's requisite service period using the straight-line method. The measurement of share-based compensation expense is based on several criteria, including but not limited to the valuation model used and associated input factors, such as expected term of the award, stock price volatility, risk free interest rate, dividend rate and award cancellation rate. These inputs are subjective and are determined using management's judgment. If differences arise between the assumptions used in determining share-based compensation expense and the actual factors, which become known over time, j2 Global may change the input factors used in determining future share-based compensation expense. Any such changes could materially impact the Company's results of operations in the period in which the changes are made and in periods thereafter. The Company estimates the expected term based upon the historical exercise behavior of our employees. | ||
j2 Global accounts for option grants to non-employees in accordance with FASB ASC Topic No. 505, Equity, whereby the fair value of such options is determined using the Black-Scholes option pricing model at the earlier of the date at which the non-employee's performance is complete or a performance commitment is reached. | ||
(r) | Earnings Per Common Share | |
EPS is calculated pursuant to the two-class method as defined in ASC Topic No. 260, Earnings per Share (“ASC 260”), which specifies that all outstanding unvested share-based payment awards that contain rights to nonforfeitable dividends or dividend equivalents are considered participating securities and should be included in the computation of EPS pursuant to the two-class method. | ||
Basic EPS is calculated by dividing net distributed and undistributed earnings allocated to common shareholders, excluding participating securities and the net income attributable to noncontrolling interest, by the weighted-average number of common shares outstanding. The Company's participating securities consist of its unvested share-based payment awards that contain rights to nonforfeitable dividends or dividend equivalents. Diluted EPS includes the determinants of basic EPS and, in addition, reflects the impact of other potentially dilutive shares outstanding during the period. The dilutive effect of participating securities is calculated under the more dilutive of either the treasury method or the two-class method. | ||
(s) | Research, Development and Engineering | |
Research, development and engineering costs are expensed as incurred. Costs for software development incurred subsequent to establishing technological feasibility, in the form of a working model, are capitalized and amortized over their estimated useful lives. To date, software development costs incurred after technological feasibility has been established have not been material. | ||
(t) | Segment Reporting | |
FASB ASC Topic No. 280, Segment Reporting (“ASC 280”), establishes standards for the way that public business enterprises report information about operating segments in annual consolidated financial statements and requires that those enterprises report selected information about operating segments in interim financial reports. ASC 280 also establishes standards for related disclosures about products and services, geographic areas and major customers. As a result of the acquisition of Ziff Davis, Inc. as described in Note 3 - Business Acquisitions, the Company operates as two segments: (1) Business Cloud Services and (2) Digital Media. | ||
(u) | Advertising Costs | |
Advertising costs are expensed as incurred. Advertising costs for the year ended December 31, 2014, 2013 and 2012 was $60.5 million, $55.4 million and $48.1 million, respectively. | ||
(v) | Sales Taxes | |
The Company may collect sales taxes from certain customers which are remitted to governmental authorities as required and are excluded from revenues. | ||
(w) | Recent Accounting Pronouncements | |
In July 2013, the FASB issued ASU No. 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. This ASU is effective for fiscal years beginning after December 15, 2013. This new guidance did not have a material impact on our financial statements. | ||
In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, as a new Topic, Accounting Standards Codification (ASC) Topic 606. The new revenue recognition standard provides a five-step analysis of transactions to determine when and how revenue is recognized. The core principle is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU is effective for annual periods beginning after December 15, 2016 and shall be applied retrospectively to each period presented or as a cumulative-effect adjustment as of the date of adoption. The Company is evaluating the effect and methodology of adopting this new accounting guidance upon the Company's results of operations, cash flows and financial position. | ||
In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties About an Entity's Ability to Continue as a Going Concern. The new standard provides guidance around management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The adoption of this standard is not expected to have a material impact on our financial statements. | ||
In November 2014, the FASB issued ASU No. 2014-16, Derivatives and Hedging (Topic 815): Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share is More Akin to Debt or to Equity, which clarifies how current guidance should be interpreted in evaluating the economic characteristics and risks of a host contract in a hybrid financial instrument that is issued in the form of a share. Specifically, the amendments clarify that an entity should consider all relevant terms and features, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract. The assessment of the substance of the relevant terms and features should incorporate a consideration of: (1) the characteristics of the terms and features themselves; (2) the circumstances under which the hybrid financial instrument was issued or acquired; and (3) the potential outcomes of the hybrid financial instrument, as well as the likelihood of those potential outcomes. The amendments in this ASU apply to all entities that are issuers of, or investors in, hybrid financial instruments that are issued in the form of a share. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2015, including interim periods within that reporting period. Early adoption is permitted. The Company is currently evaluating the impact of adoption on our financial statements and related disclosures. | ||
In November 2014, the FASB issued ASU No. 2014-17, Business Combinations (Topic 805): Pushdown Accounting. The amendments in this ASU provide guidance on whether and at what threshold an acquired entity that is a business or nonprofit activity may elect to apply pushdown accounting in its separate financial statements upon a change-in control event in which an acquirer obtains control of the acquired entity. The amendments in this ASU are effective on November 18, 2014. After the effective date, an acquired entity can make an election to apply the guidance to future change-in control events or to its most recent change-in control event. However, if the financial statements for the period in which the most recent change-in control event occurred already have been issued or made available to be issued, the application of this guidance would be a change in accounting principle. The adoption of this standard is not expected to have a material impact on our financial statements. | ||
Reclassifications | ||
Certain prior year reported amounts have been reclassified to conform with the 2014 presentation. |
Business_Acquisition
Business Acquisition | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Business Combinations [Abstract] | ||||||||
Business Acquisition | Business Acquisitions | |||||||
The Company uses acquisitions as a strategy to grow its customer base by increasing its presence in new and existing markets, expand and diversify its service offerings, enhance its technology and acquire skilled personnel. | ||||||||
The Company has completed the following acquisitions during the year ending December 31, 2014, paying the purchase price in cash for each transaction: (a) all of the shares of City Numbers, a Birmingham, UK-based worldwide provider of inbound local, national and international toll free phone numbers in over 80 countries; (b) all of the shares and certain assets of Securstore, an Iceland-based provider of cloud backup and recovery services for corporate and enterprise networks; (c) all of the shares of Livedrive®, a UK-based provider of online backup with added file sync features for professionals and individuals; (d) certain assets of Faxmate, a Brisbane-based provider of Internet fax; (e) all of the shares of Critical Software Ltd., a UK-based Email Security and Management company operating under the brand name iCriticalTM; (f) all of the shares of The Online Backup Company, a Scandinavian-based provider of cloud backup, disaster recovery and file sharing solutions for corporate and enterprise networks; (g) all of the shares and certain assets of eMedia Communications LLC, a provider of research to IT buyers and leads to IT vendors; (h) asset purchase of Contactology, Inc., a North Carolina-based provider of email marketing services; (i) certain assets of Back Up My Info!, a NY-based company focusing primarily on backup supporting small to mid-sized businesses in a variety of industries around the world; (j) certain assets of Web24, a Melbourne, Australia- based company which offers domain name, web hosting, dedicated or shared servers and related services primarily to small and mid-sized businesses in Australia and elsewhere; (k) all of the units of Excel Micro, a Philadelphia-based cloud email security and archiving solutions; (l) all of the units of Scene LLC (“Ookla”), a Washington-based leading provider of broadband and mobile speed testing; (m) all of the shares of NCSG Holding AB (“Stay Secure”), a Swedish-based provider of e-mail and web security services; (n) all of the shares of Comendo A/S, a Danish-based provider of e-mail security; (p) certain assets of TestudoData LLC, a Nevada-based provider of e-mail security; and (q) certain other immaterial acquisitions of fax, online data backup and application businesses. | ||||||||
The consolidated statement of income, since the date of each acquisition, and balance sheet, as of December 31, 2014, reflect the results of operations of all 2014 acquisitions. For the year ended December 31, 2014, these acquisitions contributed $51.9 million to the Company's revenues. Net income contributed by these acquisitions was not separately identifiable due to j2 Global's integration activities. Total consideration for these transactions was $300.2 million, net of cash acquired and assumed liabilities and subject to certain post-closing adjustments. | ||||||||
The following table summarizes the allocation of the purchase consideration for these acquisitions (in thousands): | ||||||||
Assets and Liabilities | Valuation | |||||||
Accounts receivable | $ | 18,024 | ||||||
Property and equipment | 10,022 | |||||||
Other assets | 5,500 | |||||||
Deferred tax asset | 419 | |||||||
Software | 9,836 | |||||||
Trade name | 28,192 | |||||||
Customer relationship | 98,498 | |||||||
Other intangibles | 2,121 | |||||||
Goodwill | 184,837 | |||||||
Deferred revenue | (29,182 | ) | ||||||
Deferred tax liability | (12,328 | ) | ||||||
Other accrued liabilities | (14,338 | ) | ||||||
Capital lease | (1,361 | ) | ||||||
Total | $ | 300,240 | ||||||
In connection with the acquisition of Ookla, acquired on December 1, 2014, contingent consideration of up to an aggregate of $40.0 million may be payable upon achieving certain future income thresholds and was determined to have a fair value of $15 million which was recorded as an other long-term liability on the consolidated balance sheet at December 31, 2014. The fair value of the contingent consideration was determined using options-based valuation approaches based on various inputs, including discount rates, volatility and market risk which are not readily observable in the market, representing a Level 3 measurement within the fair value hierarchy (see Note 5 - Fair Value Measurements). As of December 31, 2014, the Company has holdbacks of $45.3 million (including the contingent consideration related to Ookla) in connection with acquisitions recorded as current and long-term liabilities in the consolidated balance sheet. These holdbacks represent amounts to ensure that certain representations and warranties provided by the sellers are effective. | ||||||||
During 2014, the purchase price accounting has been finalized for the following acquisitions: (i) City Numbers, (ii) SecurStore, (iii) Faxmate and (iv) other immaterial fax, online data backup and application businesses. The initial accounting for all other 2014 acquisitions are incomplete and subject to change, which may be significant. j2 Global has recorded provisional amounts which may be based upon past acquisitions with similar attributes for certain intangible assets including trade names, software and customer relationships, preliminary working capital and related tax items. During the year ended December 31, 2014, the Company recorded final adjustments to the initial working capital related to prior period acquisitions, which resulted in a decrease to goodwill in the amount of $(1.0) million Actual amounts recorded upon finalization of the purchase accounting may differ materially from the information presented in this Annual Report on Form 10-K. | ||||||||
Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired and represents intangible assets that do not qualify for separate recognition. Goodwill recognized associated with these acquisitions during the year ended December 31, 2014 is $184.8 million, of which $89.4 million is expected to be deductible for income tax purposes. | ||||||||
Pro Forma Financial Information for 2014 Acquisitions | ||||||||
The following unaudited pro forma supplemental information is based on estimates and assumptions, which j2 Global believes are reasonable. However, this information is not necessarily indicative of the Company's consolidated financial position or results of income in future periods or the results that actually would have been realized had j2 Global and the acquired businesses been combined companies during the periods presented. These pro forma results exclude any savings or synergies that would have resulted from these business acquisitions had they occurred on January 1, 2013 and do not take into consideration the exiting of any acquired lines of business. This unaudited pro forma supplemental information includes incremental intangible asset amortization and other charges as a result of the acquisitions, net of the related tax effects. | ||||||||
The supplemental information on an unaudited pro forma financial basis presents the combined results of j2 Global and its 2014 acquisitions as if each acquisition had occurred on January 1, 2013 (in thousands, except per share amounts): | ||||||||
Year ended | ||||||||
December 31, | December 31, | |||||||
2014 | 2013 | |||||||
(unaudited) | (unaudited) | |||||||
Revenues | $ | 672,701 | $ | 626,906 | ||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 119,773 | $ | 132,480 | ||||
EPS - Basic | $ | 2.51 | $ | 2.85 | ||||
EPS - Diluted | $ | 2.49 | $ | 2.81 | ||||
2013 | ||||||||
The Company acquired the following companies during fiscal 2013, in each case for cash: (a) IGN Entertainment, Inc. ("IGN"), an online publisher of video games, entertainment and men's lifestyle content; (b) MetroFax, Inc., a provider of online faxing services and advanced features; (c) Backup Connect BV, an online backup provider based in the Netherlands; (d) NetShelter, the largest community of technology publishers dedicated to consumer electronics, computing and mobile communications; (e) Email Protection Agency Limited, a UK-based provider of email security, email management and network security services; (f) TechBargains.com, the leading deal aggregation website for electronic products; and (g) certain other immaterial share and asset acquisitions in the Business Cloud Services segment. | ||||||||
The consolidated statement of income, since the date of each acquisition, and balance sheet, as of December 31, 2013, reflect the results of operations of all 2013 acquisitions. For the year ended December 31, 2013, these acquisitions contributed $98.1 million to the Company's revenues. Net income contributed by these acquisitions was not separately identifiable due to j2 Global's integration activities. Total consideration for these transactions was $147.7 million, net of cash acquired and assumed liabilities of $15.7 million and subject to certain post-closing adjustments. | ||||||||
The following table summarizes the allocation of the purchase consideration as follows (in thousands): | ||||||||
Assets and Liabilities | Valuation | |||||||
Accounts receivable | $ | 24,658 | ||||||
Property and equipment | 3,274 | |||||||
Other assets | 2,703 | |||||||
Deferred tax asset | 2,058 | |||||||
Software | 3,031 | |||||||
Content | 2,460 | |||||||
Trade name | 18,581 | |||||||
Customer relationship | 40,275 | |||||||
Advertiser Relationship | 11,770 | |||||||
Other intangibles | 168 | |||||||
Goodwill | 54,472 | |||||||
Deferred revenue | (2,543 | ) | ||||||
Other accrued liabilities | (13,162 | ) | ||||||
Total | $ | 147,745 | ||||||
Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired and represents intangible assets that do not qualify for separate recognition. Goodwill recognized associated with these acquisitions during the year ended December 31, 2013 is $54.5 million, of which $36.6 million is expected to be deductible for income tax purposes. | ||||||||
Pro Forma Financial Information for 2013 Acquisitions | ||||||||
The following unaudited pro forma supplemental information is based on estimates and assumptions, which j2 Global believes are reasonable. However, this information is not necessarily indicative of the Company's consolidated financial position or results of income in future periods or the results that actually would have been realized had j2 Global and the acquired businesses been combined companies during the period presented. These pro forma results exclude any savings or synergies that would have resulted from these business acquisitions had they occurred on January 1 for the year ended December 31, 2012 and do not take into consideration the exiting of any acquired lines of business. This unaudited pro forma supplemental information includes incremental intangible asset amortization and other charges as a result of the acquisitions, net of the related tax effects. | ||||||||
The supplemental information on an unaudited pro forma financial basis presents the combined results of j2 Global and its 2013 acquisitions as if each acquisition had occurred on January 1, 2012 (in thousands, except per share amounts): | ||||||||
Year ended | ||||||||
December 31, | December 31, | |||||||
2013 | 2012 | |||||||
(unaudited) | (unaudited) | |||||||
Revenues | $ | 545,952 | $ | 470,190 | ||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 108,600 | $ | 122,187 | ||||
EPS - Basic | $ | 2.34 | $ | 2.64 | ||||
EPS - Diluted | $ | 2.31 | $ | 2.62 | ||||
2012 | ||||||||
Ziff Davis | ||||||||
The Company acquired substantially all of the outstanding capital stock of Ziff Davis on November 9, 2012 for a cash purchase price of approximately $171.7 million, net of cash acquired and assumed liabilities of $28.8 million and subject to certain post-closing adjustments. | ||||||||
The consolidated statement of income, since the date of the acquisition, and balance sheet as of December 31, 2012 reflect the results of operations of Ziff Davis. For the year ended December 31, 2012, Ziff Davis contributed $9.7 million to the Company's revenues and $1.6 million to its net income. | ||||||||
The following table summarizes the allocation of the purchase consideration (including the portion allocable to the minority interest) as follows (in thousands): | ||||||||
Assets and Liabilities | Valuation | |||||||
Accounts receivable | $ | 14,450 | ||||||
Property and equipment | 842 | |||||||
Software | 4,780 | |||||||
Other assets | 1,283 | |||||||
Deferred tax asset | 1,139 | |||||||
Trade name | 37,730 | |||||||
Customer relationship | 5,380 | |||||||
Advertiser relationship | 14,500 | |||||||
Licensing relationships | 4,910 | |||||||
Other intangibles | 2,540 | |||||||
Goodwill | 112,882 | |||||||
Deferred revenue | (2,188 | ) | ||||||
Other accrued liabilities | (4,767 | ) | ||||||
Deferred tax liability | (21,829 | ) | ||||||
Total | $ | 171,652 | ||||||
Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired and represents intangible assets that do not qualify for separate recognition. Goodwill recognized associated with the acquisition of Ziff Davis during the year ended December 31, 2012 is $112.9 million, of which $12.9 million is expected to be deductible for income tax purposes. | ||||||||
Other 2012 Acquisitions | ||||||||
The consolidated statement of income, since the date of the applicable acquisitions, and balance sheet as of December 31, 2012 reflect the results of operations of all six 2012 acquisitions, including Ziff Davis as noted above. For the year ended December 31, 2012, the five acquisitions other than Ziff Davis (the "other acquisitions") contributed $16.9 million to the Company's revenues. Net income contributed by the other acquisitions was not separately identifiable due to j2 Global's integration activities. Total consideration for the other acquisitions was $32.9 million, net of cash acquired. The financial impact to j2 Global for each of the other acquisitions, individually and in the aggregate, is immaterial as of the date of each acquisition. | ||||||||
Pro Forma Financial Information for 2012 Acquisitions | ||||||||
The following unaudited pro forma supplemental information is based on estimates and assumptions, which j2 Global believes are reasonable. However, this information is not necessarily indicative of the Company's consolidated financial position or results of income in future periods or the results that actually would have been realized had j2 Global and the acquired businesses been combined companies during the period presented. These pro forma results exclude any savings or synergies that would have resulted from these business acquisitions had they occurred on January 1 for the year ended December 31, 2011 and do not take into consideration the exiting of any acquired lines of business. This unaudited pro forma supplemental information includes incremental intangible asset amortization and other charges as a result of the acquisitions, net of the related tax effects. | ||||||||
The supplemental information on an unaudited pro forma financial basis presents the combined results of j2 Global and its 2012 acquisitions as if each acquisition had occurred on January 1, 2011 (in thousands, except per share amounts): | ||||||||
Year ended | ||||||||
December 31, | December 31, | |||||||
2012 | 2011 | |||||||
(unaudited) | (unaudited) | |||||||
Revenues | $ | 417,250 | $ | 385,974 | ||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 120,210 | $ | 114,889 | ||||
EPS - Basic | $ | 2.6 | $ | 2.47 | ||||
EPS - Diluted | $ | 2.58 | $ | 2.44 | ||||
Investments
Investments | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Investments [Abstract] | ||||||||||||||||||||||||
Investments | Investments | |||||||||||||||||||||||
Short-term investments consist generally of corporate and governmental debt securities and certificates of deposits which are stated at fair market value. Realized gains and losses of short and long-term investments are recorded using the specific identification method. | ||||||||||||||||||||||||
The following table summarizes j2 Global’s debt securities designated as available-for-sale, classified by the contractual maturity date of the security (in thousands): | ||||||||||||||||||||||||
December 31, | December 31, 2013 | |||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
Due within 1 year | $ | 59,896 | $ | 46,339 | ||||||||||||||||||||
Due within more than 1 year but less than 5 years | 60,178 | 44,865 | ||||||||||||||||||||||
Due within more than 5 years but less than 10 years | — | — | ||||||||||||||||||||||
Due 10 years or after | 330 | 2,486 | ||||||||||||||||||||||
Total | $ | 120,404 | $ | 93,690 | ||||||||||||||||||||
The following table summarizes the Company’s investments (in thousands): | ||||||||||||||||||||||||
December 31, | December 31, 2013 | |||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
Available-for-sale | $ | 156,649 | $ | 123,737 | ||||||||||||||||||||
Certificates of deposit | 65 | 14,403 | ||||||||||||||||||||||
Total | $ | 156,714 | $ | 138,140 | ||||||||||||||||||||
The following table summarizes the gross unrealized gains and losses and fair values for investments classified as available for sale as of December 31, 2014 and December 31, 2013 aggregated by major security type (in thousands): | ||||||||||||||||||||||||
Amortized | Gross | Gross | Fair | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | |||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||
Corporate debt securities | $ | 91,456 | $ | 147 | $ | (136 | ) | $ | 91,467 | |||||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 26,848 | 9 | (13 | ) | 26,844 | |||||||||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 2,088 | 5 | — | 2,093 | ||||||||||||||||||||
Equity securities | 20,611 | 15,634 | — | 36,245 | ||||||||||||||||||||
Total | $ | 141,003 | $ | 15,795 | $ | (149 | ) | $ | 156,649 | |||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||
Corporate debt securities | $ | 66,587 | $ | 134 | $ | (29 | ) | $ | 66,692 | |||||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 23,689 | 20 | (7 | ) | 23,702 | |||||||||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 3,293 | 4 | (1 | ) | 3,296 | |||||||||||||||||||
Equity securities | 20,610 | 9,558 | (121 | ) | 30,047 | |||||||||||||||||||
Total | $ | 114,179 | $ | 9,716 | $ | (158 | ) | $ | 123,737 | |||||||||||||||
At December 31, 2014 and 2013, corporate and governmental debt securities, which have a fixed interest rate, were recorded as available-for-sale. There have been no significant changes in the maturity dates and average interest rates for the Company’s investment portfolio and debt obligations subsequent to December 31, 2014. At December 31, 2014, equity securities were recorded as available-for-sale and primarily represent a strategic investment in Carbonite, Inc. On August 31, 2012, j2 Global submitted a preliminary non-binding proposal to acquire all outstanding shares for cash consideration of $10.50 per fully diluted share, representing a substantial premium to the market trading price of the shares on such date. On December 24, 2014, j2 Global initiated a cash tender offer to acquire all of the outstanding shares of Carbonite for cash consideration of $15.00 per share, subject to the terms and conditions. On March 2, 2015, the Company effectively rescinded its tender offer and entered into a confidentiality agreement with Carbonite Inc. At December 31, 2014, the Company’s available-for-sale securities are carried at fair value, with the unrealized gains and losses reported as a component of stockholders’ equity. Short-term investments include restricted balances which the Company may not liquidate until maturity, generally within 12 months. Restricted balances included in short-term investments were $0.1 million at December 31, 2014. For the years ended December 31, 2014, 2013 and 2012, the Company recorded realized gains (losses) from the sale of investments of approximately $0.1 million, $(0.1) million and $0.3 million, respectively. | ||||||||||||||||||||||||
Recognition and Measurement of Other-Than-Temporary Impairment | ||||||||||||||||||||||||
j2 Global regularly reviews and evaluates each investment that has an unrealized loss. An unrealized loss exists when the current fair value of an individual security is less than its amortized cost basis. Unrealized losses that are determined to be temporary in nature are recorded, net of tax, in accumulated other comprehensive income for available-for-sale securities, while such losses related to held-to-maturity securities are not recorded, as these investments are carried at their amortized cost. | ||||||||||||||||||||||||
Regardless of the classification of the securities as available-for-sale or held-to-maturity, the Company has assessed each position for impairment. | ||||||||||||||||||||||||
Factors considered in determining whether a loss is temporary include: | ||||||||||||||||||||||||
• | the length of time and the extent to which fair value has been below cost; | |||||||||||||||||||||||
• | the severity of the impairment; | |||||||||||||||||||||||
• | the cause of the impairment and the financial condition and near-term prospects of the issuer; | |||||||||||||||||||||||
• | activity in the market of the issuer which may indicate adverse credit conditions; and | |||||||||||||||||||||||
• | the Company’s ability and intent to hold the investment for a period of time sufficient to allow for any anticipated recovery. | |||||||||||||||||||||||
j2 Global’s review for impairment generally entails: | ||||||||||||||||||||||||
• | identification and evaluation of investments that have indications of possible impairment; | |||||||||||||||||||||||
• | analysis of individual investments that have fair values less than amortized cost, including consideration of the length of time the investment has been in an unrealized loss position and the expected recovery period; | |||||||||||||||||||||||
• | discussion of evidential matter, including an evaluation of factors or triggers that could cause individual investments to qualify as having an other-than-temporary impairment and those that would not support an other-than-temporary impairment; | |||||||||||||||||||||||
• | documentation of the results of these analyses, as required under business policies; and | |||||||||||||||||||||||
• | information provided by third-party valuation experts. | |||||||||||||||||||||||
For these securities, a critical component of the evaluation for other-than-temporary impairments is the identification of credit impairment, where management does not expect to receive cash flows sufficient to recover the entire amortized cost basis of the security. Credit impairment is assessed using a combination of a discounted cash flow model that estimates the cash flows on the underlying securities and a market comparables method, where the security is valued based upon indications from the secondary market of what discounts buyers demand when purchasing similar securities. The cash flow model incorporates actual cash flows from the securities through the current period and then projects the remaining cash flows using relevant interest rate curves over the remaining term. These cash flows are discounted using a number of assumptions, some of which include prevailing implied credit risk premiums, incremental credit spreads and illiquidity risk premiums, among others. | ||||||||||||||||||||||||
Securities that have been identified as other-than-temporarily impaired are written down to their current fair value. For debt securities that are intended to be sold or that management believes it more-likely-than-not that will be required to sell prior to recovery, the full impairment is recognized immediately in earnings. | ||||||||||||||||||||||||
For available-for-sale and held-to-maturity securities that management has no intent to sell and believes that it more-likely-than-not that it will not be required to sell prior to recovery, only the credit loss component of the impairment is recognized in earnings, while the rest of the fair value impairment is recognized in other comprehensive income. The credit loss component recognized in earnings is identified as the amount of principal cash flows not expected to be received over the remaining term of the security. | ||||||||||||||||||||||||
The following tables present gross unrealized losses and fair values for those investments that were in an unrealized loss position as of December 31, 2014 and December 31, 2013, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (in thousands): | ||||||||||||||||||||||||
As of December 31, 2014 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||||||
Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | |||||||||||||||||||
Corporate debt securities | $ | 57,898 | $ | (131 | ) | $ | 1,260 | $ | (5 | ) | $ | 59,158 | $ | (136 | ) | |||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 15,072 | (13 | ) | — | — | 15,072 | (13 | ) | ||||||||||||||||
Total | $ | 72,970 | $ | (144 | ) | $ | 1,260 | $ | (5 | ) | $ | 74,230 | $ | (149 | ) | |||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||||||
Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | |||||||||||||||||||
Corporate debt securities | $ | 9,944 | $ | (4 | ) | $ | 1,263 | $ | (3 | ) | $ | 11,207 | $ | (7 | ) | |||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 109 | (1 | ) | — | — | 109 | (1 | ) | ||||||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 26,445 | (28 | ) | 777 | (2 | ) | 27,222 | (30 | ) | |||||||||||||||
Equity securities | 832 | (120 | ) | — | — | 832 | (120 | ) | ||||||||||||||||
Total | $ | 37,330 | $ | (153 | ) | $ | 2,040 | $ | (5 | ) | $ | 39,370 | $ | (158 | ) | |||||||||
During the years ended December 31, 2014 and December 31, 2013, we did not recognize any other-than-temporary impairment losses. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Disclosures [Text Block] | Fair Value Measurements | |||||||||||||||
j2 Global complies with the provisions of ASC 820, which defines fair value, provides a framework for measuring fair value and expands the disclosures required for fair value measurements of financial and non-financial assets and liabilities. ASC 820 clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that is determined based on assumptions that market participants would use in pricing an asset or a liability. As a basis for considering such assumptions, ASC 820 establishes a three-tier value hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value: | ||||||||||||||||
§ | Level 1 – Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. | |||||||||||||||
§ | Level 2 – Include other inputs that are directly or indirectly observable in the marketplace. | |||||||||||||||
§ | Level 3 – Unobservable inputs which are supported by little or no market activity. | |||||||||||||||
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. | ||||||||||||||||
The Company's money market funds and its marketable equity securities are classified within Level 1. The Company values these Level 1 investments using quoted market prices. The Company's debt investments, time deposits and commercial paper, all of which have counterparties with high credit ratings, are classified within Level 2. The Company values these Level 2 investments based on quoted market prices or model-driven valuations using significant inputs derived from or corroborated by observable market data. The fair value of the Senior Notes and Convertible Notes (see Note 8 - Long-Term Debt) are determined using recent quoted market prices or dealer quotes for such securities, if available, which are Level 1 inputs. If such information is unavailable, the fair value of these securities are determined using quoted market prices or dealer quotes for instruments with similar maturities and other terms and credit ratings, which are Level 2 inputs. If none of the aforementioned information is available, the fair value of these securities are determined using cash-flow models of the scheduled payments and, for the Convertible Notes, discounted at market interest rates for comparable debt without the conversion feature, which are Level 2 inputs. In addition, the Company may pay contingent interest on the Convertible Notes which is accounted for as a derivative with fair value adjustments being recorded to interest expense. This derivative is fair valued using a binomial lattice convertible bond pricing model using historical and implied market information, which are Level 2 inputs. The total carrying value of long-term debt was $593.4 million and $245.7 million, and the corresponding fair value was approximately $711.1 million and $283.3 million, at December 31, 2014 and December 31, 2013, respectively. | ||||||||||||||||
The Company classifies its contingent consideration liability in connection with the acquisition of Ookla (see Note 3 - Business Acquisitions) within Level 3 because factors used to develop the estimated fair value are unobservable inputs, such as volatility and market risks, and are not supported by market activity. The fair value of the contingent consideration liability was determined using option based approaches. This methodology was utilized because the distribution of payments is not symmetric and amounts are only payable upon certain EBITDA thresholds being reached. Such valuation approach included a Monte-Carlo simulation for the contingency since the financial metric driving the payments is path dependent. Significant increases or decreases in either of the inputs noted above in isolation would result in a significantly lower or higher fair value measurement. | ||||||||||||||||
The following tables present the fair values of the Company’s financial assets or liabilities that are measured at fair value on a recurring basis (in thousands): | ||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Fair Value | ||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market and other funds | $ | 212,645 | $ | — | $ | — | $ | 212,645 | ||||||||
Time deposits | — | 51,807 | — | 51,807 | ||||||||||||
Certificates of Deposit | — | 65 | — | 65 | ||||||||||||
Equity securities | 36,245 | — | — | 36,245 | ||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | — | 26,844 | — | 26,844 | ||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | — | 2,093 | — | 2,093 | ||||||||||||
Corporate debt securities | — | 91,467 | — | 91,467 | ||||||||||||
Total assets measured at fair value | $ | 248,890 | $ | 172,276 | $ | — | $ | 421,166 | ||||||||
Liabilities: | ||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 15,000 | $ | 15,000 | ||||||||
Contingent interest derivative | — | 742 | — | 742 | ||||||||||||
Total liabilities measured at fair value | $ | — | $ | 742 | $ | 15,000 | $ | 15,742 | ||||||||
December 31, 2013 | Level 1 | Level 2 | Level 3 | Fair Value | ||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market and other funds | $ | 101,231 | $ | — | $ | — | $ | 101,231 | ||||||||
Time deposits | 22,773 | — | — | 22,773 | ||||||||||||
Certificates of Deposit | 14,403 | — | — | 14,403 | ||||||||||||
Equity securities | 30,047 | — | — | 30,047 | ||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 23,702 | — | — | 23,702 | ||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 3,296 | — | — | 3,296 | ||||||||||||
Corporate debt securities | 66,692 | — | — | 66,692 | ||||||||||||
Total assets measured at fair value | $ | 262,144 | $ | — | $ | — | $ | 262,144 | ||||||||
At the end of each reporting period, management reviews the inputs to measure the fair value measurements of financial and non-financial assets and liabilities to determine when transfers between levels are deemed to have occurred. On September 30, 2014, management reevaluated the inputs of its Level 1 assets used in determining fair value and transferred $206.9 million of financial instruments from Level 1 to Level 2. The Company determined the fair value of such transfer as of the end of the reporting period. | ||||||||||||||||
The following tables presents a reconciliation of the Company’s Level 3 financial assets or liabilities that are measured at fair value on a recurring basis (in thousands): | ||||||||||||||||
Level 3 | Affected line item in the Statement of Income | |||||||||||||||
Balance as of December 31, 2013 | $ | — | ||||||||||||||
Contingent consideration | 15,000 | Not Applicable | ||||||||||||||
Total (gains) losses reported in earnings | — | |||||||||||||||
Transfers into or out of Level 3 | — | |||||||||||||||
Balance as of December 31, 2014 | $ | 15,000 | ||||||||||||||
The following tables presents a reconciliation of the Company’s derivative instruments (in thousands): | ||||||||||||||||
Amount | Affected line item in the Statement of Income | |||||||||||||||
Derivative Liabilities: | ||||||||||||||||
Level 2: | ||||||||||||||||
Balance as of December 31, 2013 | $ | — | ||||||||||||||
Contingent interest | 372 | |||||||||||||||
Total (gains) losses reported in earnings | 370 | Interest expense (income), net | ||||||||||||||
Balance as of December 31, 2014 | $ | 742 | ||||||||||||||
Losses associated with other-than-temporary impairments are recorded as a component of other income (expenses). Gains and losses not associated with other-than-temporary impairments are recorded as a component of other comprehensive income. |
Property_And_Equipment
Property And Equipment | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Property And Equipment [Abstract] | ||||||||
Property, Plant and Equipment Disclosure [Text Block] | Property and Equipment | |||||||
Property and equipment, stated at cost, at December 31, 2014 and 2013 consisted of the following (in thousands): | ||||||||
2014 | 2013 | |||||||
Computers and related equipment | $ | 100,537 | $ | 79,576 | ||||
Furniture and equipment | 1,763 | 1,405 | ||||||
Leasehold improvements | 9,098 | 5,718 | ||||||
111,398 | 86,699 | |||||||
Less: Accumulated depreciation and amortization | (73,181 | ) | (55,499 | ) | ||||
Total property and equipment, net | $ | 38,217 | $ | 31,200 | ||||
Depreciation and amortization expense was $15.5 million, $9.6 million and $6.2 million for the year ended December 31, 2014, 2013 and 2012, respectively. | ||||||||
Total disposals of long-lived assets for the year ended December 31, 2014, 2013 and 2012 was $0.6 million, $0.9 million and $0.9 million, respectively. |
Goodwill_And_Intangible_Assets
Goodwill And Intangible Assets | 12 Months Ended | |||||||||||||
Dec. 31, 2014 | ||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||
Goodwill And Intangible Assets | Goodwill and Intangible Assets | |||||||||||||
Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. Identifiable intangible assets are comprised of purchased customer relationships, trademarks and trade names, developed technologies and other intangible assets. Intangible assets resulting from the acquisitions of entities accounted for using the purchase method of accounting are recorded at the estimated fair value of the assets acquired. The fair values of these identified intangible assets are based upon expected future cash flows or income, which take into consideration certain assumptions such as customer turnover, trade names and patent lives. These determinations are primarily based upon the Company’s historical experience and expected benefit of each intangible asset. If it is determined that such assumptions are not accurate, then the resulting change will impact the fair value of the intangible asset. Identifiable intangible assets are amortized over the period of estimated economic benefit, which ranges from one to 20 years. | ||||||||||||||
The changes in carrying amounts of goodwill for the year ended December 31, 2014 and 2013 are as follows (in thousands): | ||||||||||||||
Business Cloud Services | Digital Media | Consolidated | ||||||||||||
Balance as of January 1, 2013 | $ | 294,943 | $ | 112,882 | $ | 407,825 | ||||||||
Goodwill acquired | 21,551 | 32,921 | 54,472 | |||||||||||
Purchase Accounting Adjustments | (259 | ) | (5,065 | ) | (5,324 | ) | ||||||||
Foreign exchange translation | 447 | 2 | 449 | |||||||||||
Balance as of December 31, 2013 | $ | 316,682 | $ | 140,740 | $ | 457,422 | ||||||||
Goodwill acquired | 79,536 | 105,301 | 184,837 | |||||||||||
Purchase accounting adjustments | (706 | ) | (329 | ) | (1,035 | ) | ||||||||
Foreign exchange translation | (5,449 | ) | (100 | ) | (5,549 | ) | ||||||||
Balance as of December 31, 2014 | $ | 390,063 | $ | 245,612 | $ | 635,675 | ||||||||
The Company's goodwill balance was $635.7 million as of December 31, 2014, of which $390.1 million and $245.6 million were recorded in the Business Cloud Services and Digital Media segments, respectively. The Company's goodwill balance was $457.4 million as of December 31, 2013, of which $316.7 million and $140.7 million were recorded in the Business Cloud Services and Digital Media segments, respectively. Purchase accounting adjustments relate to adjustments to goodwill in connection with prior years business acquisitions. See Note 3 - Business Acquisitions - for a discussion related to purchase accounting adjustments. | ||||||||||||||
Intangible assets are summarized as of December 31, 2014 and 2013 as follows (in thousands): | ||||||||||||||
Intangible Assets with Indefinite Lives: | ||||||||||||||
2014 | 2013 | |||||||||||||
Trade names | $ | 27,379 | $ | 27,379 | ||||||||||
Other | 5,432 | 5,432 | ||||||||||||
Total | $ | 32,811 | $ | 32,811 | ||||||||||
In accordance with ASC 350, the Company performed the annual impairment test for goodwill for fiscal year 2014 using a qualitative assessment primarily taking into consideration macroeconomic, industry and market conditions, overall financial performance and any other relevant company-specific events. The Company performed the annual impairment test for intangible assets with indefinite lives for fiscal 2014 using a quantitative assessment primarily taking into consideration a discounted cash flow analysis of the relief of royalty payments. j2 Global concluded that there were no impairments in 2014, 2013 and 2012. | ||||||||||||||
Intangible Assets Subject to Amortization: | ||||||||||||||
As of December 31, 2014, intangible assets subject to amortization relate primarily to the following (in thousands): | ||||||||||||||
Weighted-Average | Historical | Accumulated | Net | |||||||||||
Amortization | Cost | Amortization | ||||||||||||
Period | ||||||||||||||
Trade names | 14.5 years | $ | 94,770 | $ | 16,598 | $ | 78,172 | |||||||
Patent and patent licenses | 9.0 years | 62,940 | 38,013 | 24,927 | ||||||||||
Customer relationships | 9.3 years | 230,424 | 66,658 | 163,766 | ||||||||||
Other purchased intangibles | 4.3 years | 28,360 | 16,236 | 12,124 | ||||||||||
Total | $ | 416,494 | $ | 137,505 | $ | 278,989 | ||||||||
As of December 31, 2013, intangible assets subject to amortization relate primarily to the following (in thousands): | ||||||||||||||
Weighted-Average | Historical | Accumulated | Net | |||||||||||
Amortization | Cost | Amortization | ||||||||||||
Period | ||||||||||||||
Trade names | 17.0 years | $ | 66,911 | $ | 11,182 | $ | 55,729 | |||||||
Patent and patent licenses | 8.1 years | 58,446 | 29,916 | 28,530 | ||||||||||
Customer relationships | 8.1 years | 139,362 | 38,382 | 100,980 | ||||||||||
Other purchased intangibles | 5.0 years | 18,149 | 12,666 | 5,483 | ||||||||||
Total | $ | 282,868 | $ | 92,146 | $ | 190,722 | ||||||||
Expected amortization expense for intangible assets subject to amortization at December 31, 2014 are as follows (in thousands): | ||||||||||||||
Fiscal Year: | ||||||||||||||
2015 | $ | 56,349 | ||||||||||||
2016 | 50,380 | |||||||||||||
2017 | 42,081 | |||||||||||||
2018 | 28,940 | |||||||||||||
2019 | 22,137 | |||||||||||||
Thereafter | 79,102 | |||||||||||||
Total expected amortization expense | $ | 278,989 | ||||||||||||
Amortization expense was $47.4 million, $30.2 million and $16.0 million for the years ended December 31, 2014, 2013 and 2012, respectively. |
Long_Term_Debt
Long Term Debt | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Long-term Debt, Unclassified [Abstract] | ||||
Debt Disclosure [Text Block] | Long-Term Debt | |||
8.0% Senior Notes | ||||
On July 26, 2012, the Company's subsidiaries, issued in a private offering exempt from the registration requirements of the Securities Act of 1933, as amended, $250 million aggregate principal amount of 8.0% senior unsecured notes (the “Senior Notes”) due August 1, 2020. j2 Cloud Services, Inc. received proceeds of $245 million in cash, net of initial purchaser's discounts and commissions of $5 million. As of December 31, 2014, the unamortized discount on Senior Notes was approximately $3.8 million. Other fees were incurred in connection with the issuance of the Senior Notes and have an unamortized balance of $1.1 million as of December 31, 2014, which is recorded within long-term other assets. The net proceeds were available for general corporate purposes, including acquisitions. Interest is payable semi-annually on February 1 and August 1 of each year. j2 Cloud Services, Inc. has the option to call the Senior Notes in whole or in part after August 1, 2016, subject to certain premiums as defined in the indenture governing the Senior Notes plus accrued and unpaid interest. In addition, at any time before August 1, 2016, j2 Cloud Services, Inc. may redeem the Senior Notes in whole or in part at a "make-whole" redemption price specified in the indenture plus accrued and unpaid interest, if any, to (but not including) the redemption date. Also, j2 Cloud Services, Inc. may redeem up to 35% of the aggregate principal amount of the Senior Notes using proceeds from certain public offerings of equity securities at a price equal to 108% of the principal amount plus accrued and unpaid interest, if any, prior to August 1, 2015. Upon a change in control, the holders may put the Senior Notes at 101% of the principal amount of the Senior Notes plus accrued and unpaid interest, if any, to the repurchase date. The Senior Notes are not guaranteed by any of the j2 Cloud Services, Inc. subsidiaries as of December 31, 2014, because, as of such date, all of j2 Cloud Services existing domestic restricted subsidiaries are deemed insignificant subsidiaries (as that term is defined in the indenture). If j2 Cloud Services, Inc. or any of its restricted subsidiaries acquires or creates a domestic restricted subsidiary, other than an insignificant subsidiary, after the issue date, or any insignificant subsidiary ceases to fit within the definition of insignificant subsidiary, such restricted subsidiary is required to unconditionally guarantee, jointly and severally, on an unsecured basis, j2 Cloud Services, Inc. is obligations under the Senior Notes. In connection with the formation of j2 Global, Inc. as a holding company in 2014, j2 Global, Inc. unconditionally guaranteed, on an unsecured basis, the obligations of j2 Cloud Services, Inc. under the Senior Notes and the indenture governing the Senior Notes. | ||||
The indenture governing the Senior Notes contain certain restrictive and other covenants applicable to j2 Cloud Services, Inc. and subsidiaries designated as restricted subsidiaries including, but not limited to, limitations on debt and disqualified or preferred stock, restricted payments, liens, sale and leaseback transactions, dividends and other payment restrictions, asset sales and transactions with affiliates. Restricted payments are applicable only if j2 Cloud Services, Inc. and subsidiaries designated as restricted subsidiaries has a pro forma leverage ratio of greater than 1.75 to 1.0. In addition, if such leverage ratio is in excess of 1.75 to 1.0, restricted payments are permitted up to $50 million. As of December 31, 2014, j2 Cloud Services, Inc. was in compliance with all such covenants. Violation of these covenants could result in a default which could result in the acceleration of outstanding amounts if such default is not cured or waived within the time periods outlined in the indenture. | ||||
As of December 31, 2014, the estimated fair value of the Senior Notes was approximately $262.4 million and was based on the quoted market prices of debt instruments with similar terms, credit rating and maturities of the Senior Notes as of December 31, 2014. | ||||
3.25% Convertible Notes | ||||
On June 10, 2014, j2 Global issued $402.5 million aggregate principal amount of 3.25% convertible senior notes due June 15, 2029 (the “Convertible Notes”). j2 Global received proceeds of $391.4 million in cash, net of underwriters' discounts and commissions. The net proceeds were available for general corporate purposes, which may include working capital, acquisitions, retirement of debt and other business opportunities. The Convertible Notes bear interest at a rate of 3.25% per annum, payable semiannually in arrears on June 15 and December 15 of each year. Beginning with the six-month interest period commencing on June 15, 2021, the Company must pay contingent interest on the Convertible Notes during any six-month interest period if the trading price per $1,000 principal amount of the Convertible Notes for each of the five trading days immediately preceding the first day of such interest period equals or exceeds $1,300. Any contingent interest payable on the Convertible Notes will be in addition to the regular interest payable on the Convertible Notes. | ||||
Holders may surrender their Convertible Notes for conversion at any time prior to the close of business on the business day immediately preceding the maturity date only if one or more of the following conditions is satisfied: (i) during any calendar quarter commencing after the calendar quarter ending on September 30, 2014 (and only during such calendar quarter), if the closing sale price of j2 Global common stock for at least 20 trading days in the period of 30 consecutive trading days ending on the last trading day of the calendar quarter immediately preceding the calendar quarter in which the conversion occurs is more than 130% of the applicable conversion price of the Convertible Notes on each such trading day; (ii) during the five consecutive business day period following any ten consecutive trading day period in which the trading price for the Convertible Notes for each such trading day was less than 98% of the product of (a) the closing sale price of j2 Global common stock on each such trading day and (b) the applicable conversion rate on each such trading day; (iii) if j2 Global calls any or all of the Convertible Notes for redemption, at any time prior to the close of business on the business day prior to the redemption date; (iv) upon the occurrence of specified corporate events; or (v) during either the period beginning on, and including, March 15, 2021 and ending on, but excluding, June 20, 2021 or the period beginning on, and including, March 15, 2029 and ending on, but excluding, the maturity date. j2 Global will settle conversions of Convertible Notes by paying or delivering, as the case may be, cash, shares of j2 Global common stock or a combination thereof at j2 Global's election. The Company currently intends to satisfy its conversion obligation by paying and delivering a combination of cash and shares of the Company's common stock, where cash will be used to settle each $1,000 of principal and the remainder, if any, will be settled via shares of the Company's common stock. | ||||
The initial conversion rate is 14.4159 shares of j2 Global common stock for each $1,000 principal amount of Convertible Notes, which represents an initial conversion price of approximately $69.37 per share of j2 Global common stock. The conversion rate is subject to adjustment for certain events as set forth in the indenture governing the Convertible Notes, but will not be adjusted for accrued interest. In addition, following certain corporate events that occur on or prior to June 20, 2021, j2 Global will increase the conversion rate for a holder that elects to convert its Convertible Notes in connection with such a corporate event. | ||||
j2 Global may not redeem the Convertible Notes prior to June 20, 2021. On or after June 20, 2021, j2 Global may redeem for cash all or part of the Convertible Notes at a redemption price equal to 100% of the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. No sinking fund is provided for the Convertible Notes. | ||||
Holders have the right to require j2 Global to repurchase for cash all or part of their Convertible Notes on each of June 15, 2021 and June 15, 2024 at a repurchase price equal to 100% of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the relevant repurchase date. In addition, if a fundamental change, as defined in the indenture governing the Convertible Notes, occurs prior to the maturity date, holders may require j2 Global to repurchase for cash all or part of their Convertible Notes at a repurchase price equal to 100% of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. | ||||
The Convertible Notes are the Company's general senior unsecured obligations and rank: (i) senior in right of payment to any of the Company's future indebtedness that is expressly subordinated in right of payment to the Convertible Notes; (ii) equal in right of payment to the Company's existing and future unsecured indebtedness that is not so subordinated, including in respect of j2 Global's guarantee of the obligations of our subsidiary, j2 Cloud Services, Inc., with respect to its outstanding Senior Notes; (iii) effectively junior in right of payment to any of the Company's secured indebtedness to the extent of the value of the assets securing such indebtedness; and (iv) structurally junior to all existing and future indebtedness (including trade payables) incurred by the Company's subsidiaries. | ||||
Accounting for the Convertible Notes | ||||
In accordance with ASC 470-20, Debt with Conversion and Other Options, convertible debt that can be settled for cash is required to be separated into the liability and equity component at issuance, with each component assigned a value. The value assigned to the liability component is the estimated fair value, as of the issuance date, of similar debt without the conversion feature. The difference between the cash proceeds and estimated fair value of the liability component, representing the value of the conversion premium assigned to the equity component, is recorded as a debt discount on the issuance date. This debt discount is amortized to interest expense using the effective interest method over the period from the issuance date through the first stated repurchase date on June 15, 2021. | ||||
j2 Global estimated the borrowing rates of similar debt without the conversion feature at origination to be 5.79% for the Convertible Notes and determined the debt discount to be $59.0 million. As a result, a conversion premium after tax of $37.7 million was recorded in additional paid-in capital. As of December 31, 2014, the carrying value of the Convertible Notes was $347.2 million, which consisted of $402.5 million outstanding principal amount net of $55.3 million unamortized debt discount. The aggregate debt discount is amortized as interest expense over the period from the issuance date through the first stated repurchase date on June 15, 2021 which management believes is the expected life of the Convertible Notes using an interest rate of 5.81%. As of December 31, 2014, the remaining period over which the unamortized debt discount will be amortized is 6.5 years. | ||||
In connection with the issuance of the Convertible Notes, the Company incurred $11.7 million of deferred issuance costs, which primarily consisted of the underwriters' discount and legal and other professional service fees. Of the total deferred issuance costs incurred, $10.0 million of such deferred issuance costs were attributable to the liability component and are recorded within other assets and are being amortized to interest expense through June 15, 2021. The unamortized balance as of December 31, 2014 was $9.3 million. The remaining $1.7 million ($1.1 million net of tax) of such deferred issuance costs were netted with the equity component in additional paid-in capital at the issuance date. | ||||
For the year ended December 31, 2014, the Company recognized interest expense of $11.7 million related to the Convertible Notes, comprised of $7.0 million for the contractual coupon interest, $3.7 million related to the amortization of debt discount, $0.6 million related to the amortization of deferred debt issuance costs and fair value adjustments of contingent interest of $0.4 million. | ||||
The Convertible Notes are carried at face value less any unamortized debt discount. The fair value of the Convertible Notes at each balance sheet date is determined based on recent quoted market prices or dealer quotes for the Convertible Notes, if available. If such information is not available, the fair value is determined using cash-flow models of the scheduled payments discounted at market interest rates for comparable debt without the conversion feature. As of December 31, 2014, the estimated fair value of the Convertible Notes was approximately $448.7 million. | ||||
Long-term debt as of December 31, 2014 consists of the following (in thousands): | ||||
Senior Notes | $ | 246,187 | ||
Convertible Notes | 347,163 | |||
Total long-term debt | $ | 593,350 | ||
Less: Current portion | — | |||
Total long-term debt, less current portion | $ | 593,350 | ||
At December 31, 2014, future principal payments for debt were as follows (in thousands): | ||||
Year Ended December 31, | ||||
2015 | $ | — | ||
2016 | — | |||
2017 | — | |||
2018 | — | |||
2019 | — | |||
Thereafter | 652,500 | |||
$ | 652,500 | |||
Interest expense was $32.5 million, $22.3 million and $9.0 million for the year ended December 31, 2014, 2013 and 2012, respectively. |
Mandatorily_Redeemable_Financi
Mandatorily Redeemable Financial Instrument (Notes) | 12 Months Ended |
Dec. 31, 2014 | |
Mandatorily Redeemable Financial Instrument [Abstract] | |
Mandatorily Redeemable Financial Instrument [Text Block] | Mandatorily Redeemable Financial Instrument |
On November 9, 2012, the Company acquired substantially all of the issued and outstanding capital stock of Ziff Davis, Inc. ("Ziff Davis"). In connection with the acquisition, the issued and outstanding capital stock was exchanged for shares of Series A Cumulative Participating Preferred Stock ("Series A Stock") of Ziff Davis. Ziff Davis is accounted for as a consolidated subsidiary as of the date of acquisition. Certain minority interest holders received an ownership in Series A Stock which was accounted for as a non-controlling interest. On December 31, 2013, in connection with a reorganization of Ziff Davis, Inc. to Ziff Davis, LLC (the "Reorganization"), the Company acquired all of the minority interest holders' equity interests, including their Series A Stock. | |
The Series A Stock bore a 15% annual cumulative dividend, compounded quarterly, whether or not earned or declared and whether or not there are funds legally available for payment of dividends. The Series A Stock was subject to mandatory repayment or redemption on November 9, 2017, which Ziff Davis could repay or redeem the Series A at its option prior to the mandatory repayment or redemption date. The repayment amount represented $1,000 for each share of Series A Stock and all accrued but unpaid dividends, subject to certain reduction when repaid. The redemption amount represented $1,000 for each share of Series A Stock and all accrued but unpaid dividends plus the fair market value of a notional number of shares of Ziff Davis common stock on a basis of 485 5/7 common shares per share of Series A Stock. | |
The Series A Stock met the definition of a mandatorily redeemable financial instrument which requires liability classification and remeasurement at each reporting period on the consolidated subsidiaries financial statements. As the fair value of the Series A Stock was less than the mandatory redemption amount at issuance, periodic accretions using the interest method were made so that the carrying amount equaled the redemption amount on the mandatory redemption date. | |
In connection with the Reorganization, the Company issued to the minority holders shares of j2 common stock, j2 Series A Preferred Stock and j2 Series B Preferred Stock equal to the fair market value of the minority holders' Series A Stock (see Note 12 - Stockholders' Equity). As a result of the Reorganization, the Series A Stock was extinguished, resulting in loss on extinguishment of debt and related interest expense of $14.4 million within the consolidated statement of income, in accordance with ASC 480, Distinguishing Liabilities from Equity. |
Commitments_And_Contingencies
Commitments And Contingencies | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||
Commitments And Contingencies | Commitments and Contingencies | |||||||
Litigation | ||||||||
From time-to-time, j2 Global and its affiliates are involved in litigation and other disputes or regulatory inquiries that arise in the ordinary course of business. Any claims or regulatory actions against j2 Global and its affiliates, whether meritorious or not, could be time consuming and costly, and could divert significant operational resources. Many of these matters directly or indirectly concern patent actions filed by j2 Global and its affiliates against others. As part of the Company’s continuing effort to prevent the unauthorized use of its intellectual property, j2 Global and its affiliates have brought claims against several companies for infringing patents relating to online fax, voice, and other messaging technologies, including, among others, Integrated Global Concepts, Inc. (“IGC”) and RPost Holdings, Inc. and its affiliates (collectively, “RPost”). | ||||||||
On September 15, 2006, a j2 Global affiliate filed a patent infringement suit against IGC in the U.S. District Court for the Northern District of Georgia (“Northern District of Georgia”) (No. 1:06-cv-02119). In response, IGC filed counterclaims alleging antitrust violations and breach of contract, in addition to patent-related counterclaims. On September 2, 2011, the Northern District of Georgia dismissed IGC’s breach of contract counterclaim and one of its antitrust counterclaims. On July 27, 2012, the Northern District of Georgia granted the j2 Global affiliate’s motion to dismiss the patent-related claims and counterclaims. On March 12, 2014, the j2 Global affiliate moved for summary judgment on IGC’s remaining antitrust claims, which motion remains pending. | ||||||||
On January 7, 2011 the Department of Revenue for the State of Washington (“Washington Department of Revenue”) issued assessments to a j2 Global affiliate for business and occupation tax and retail sales tax for the period of January 1, 2004 through September 30, 2010. On November 16, 2012, the Washington Department of Revenue denied the j2 Global affiliate’s petition for correction. The j2 Global affiliate paid the assessments and on June 21, 2013 filed a complaint against the Washington Department of Revenue in the Superior Court of Washington for Thurston County (No. 13-2-01338-7). In that suit, the j2 Global affiliate is seeking a refund of the entire amount paid and a declaration that the State improperly imposed the taxes. Discovery is ongoing. | ||||||||
On February 17, 2011, Emmanuel Pantelakis (“Pantelakis”) filed suit against j2 Global Canada, Inc. (“j2 Canada,” carrying on business as Protus IP Solutions) in the Ontario Superior Court of Justice (No. 11-50673), alleging that j2 Canada breached a contract relating to his use of j2 Canada’s Campaigner® product. j2 Canada filed a responsive pleading on March 23, 2011 and its responses to undertakings on July 16, 2012. On November 6, 2012, Pantelakis filed a second amended statement of claim reframing his lawsuit as a negligence action. j2 Canada filed an amended statement of defense on April 8, 2013. Discovery is ongoing. | ||||||||
On July 2, 2012, IGC filed suit against two j2 Global affiliates in the U.S. District Court for the Northern District of California (“Northern District of California”) (No. 5:12-cv-03434), alleging that the j2 Global affiliates breached a covenant not to sue IGC. The j2 Global affiliates asserted counterclaims for infringement of U.S. Patent Nos. 6,350,066 (“the ’066 Patent”), 6,208,638 (“the ’638 Patent”), 6,597,688 (“the ’688 Patent”), and 7,020,132 (“the ’132 Patent”), and IGC asserted counterclaims for, among other things, invalidity, unenforceability, non-infringement, and implied license. On June 27, 2013, one of the j2 Global affiliates filed an additional suit against IGC in the Northern District of California (No. 5:13-cv-02971), alleging infringement of U.S. Patent No. 6,020,980 (“the ’980 Patent”). In response, IGC filed counterclaims for, among other things, invalidity, non-infringement, implied license, and breach of the same covenant not to sue. On March 21, 2014, the Northern District of California ordered granted summary judgment dismissing IGC’s breach of contract claims in both actions and on May 5, 2014, denied IGC's motion for reconsideration. On June 27, 2014, the Northern District of California transferred the cases to the Central District of California (Nos. 2:14-cv-5128 and 2:14-cv-5139). On January 15, 2015, the Central District of California denied IGC’s request for entries of final judgment on the breach of contract claims, which would have allowed IGC to immediately appeal the grant of summary judgment. On January 23, 2015, the j2 Global affiliates filed amended counterclaims adding the ’980 Patent to the first action (No. 2:14-cv-5128) so that the Central District of California could administratively close the second action (No. 2:14-cv-5139). IGC filed additional counterclaims of its own on February 11, 2015. In addition to the counterclaims previously asserted, IGC added a counterclaim for breach of the implied covenant of good faith and fair dealing and a request for a declaration that IGC has an express license to the ’066 Patent. Discovery is ongoing. | ||||||||
On January 17, 2013, the Commissioner of the Massachusetts Department of Revenue (“Commissioner”) issued a notice of assessment to a j2 Global affiliate for sales and use tax for the period of July 1, 2003 through December 31, 2011. On or around July 22, 2014, the Commissioner denied the j2 Global affiliate’s application for abatement. On September 18, 2014, the j2 Global affiliate petitioned the Massachusetts Appellate Tax Board for abatement of the tax asserted in the notice of assessment (No. C325426). The Massachusetts Appellate Tax Board has not yet issued a scheduling order. | ||||||||
On January 18, 2013, Paldo Sign and Display Co. (“Paldo”) filed an amended complaint adding two j2 Global affiliates and a former j2 Canada employee as additional defendants in an existing purported class action pending in the U.S. District Court for the Northern District of Illinois (“Northern District of Illinois”) (No. 1:13-cv-01896). The amended complaint alleged violations of the Telephone Consumer Protection Act (“TCPA”), the Illinois Consumer Fraud and Deceptive Business Practices Act (“ICFA”), and common law conversion, arising from an indirect customer’s alleged use of the j2 Global affiliates’ systems to send unsolicited facsimile transmissions. On August 23, 2013, a second plaintiff, Sabon, Inc. (“Sabon”), was added. The j2 Global affiliates filed a motion to dismiss the ICFA and conversion claims, which was granted. The Northern District of Illinois also dismissed the j2 Canada employee for lack of personal jurisdiction. Discovery is ongoing. | ||||||||
On August 28, 2013, Phyllis A. Huster (“Huster”) filed suit in the Northern District of Illinois (No. 1:13-cv-06143) against two j2 Global affiliates and three other parties for correction of inventorship for the ’066 Patent, as well as U.S. Patent Nos. 6,857,074 (“the ’074 Patent”), 7,836,141 (“the ’141 Patent”), 7,895,306 (“the ’306 Patent”), 7,895,313 (“the ’313 Patent”), 7,934,148 (“the ’148 Patent”), 5,675,507, 5,870,549, and 6,564,321. Huster seeks, among other things, a declaration that she was an inventor of the patents-in-suit, an order directing the U.S. Patent & Trademark Office to substitute or add her as an inventor, and payment of at least half of defendants’ earnings from patent licensing and sales of rights. On September 19, 2014, the Northern District of Illinois granted the defendants’ motion to dismiss for improper venue and transferred the case to the Northern District of Georgia (No. 1:14-cv-03304). Huster filed an amended complaint on February 11, 2015, which she corrected on February 12, 2015. The amended complaint added claims of fraudulent concealment, breach of fiduciary duty, unjust enrichment, breach of contract, breach of a private duty, conversion, and breach of the implied covenant of good faith and fair dealing. The j2 Global affiliates have not yet responded. | ||||||||
On October 16, 2013, one of j2 Global’s affiliates entered its appearance as a plaintiff in a multi-district litigation pending in the Northern District of Illinois (No. 1:12-cv-06286). In this litigation, Unified Messaging Solutions, LLC (“UMS”), a company with rights to assert certain patents owned by the j2 Global affiliate, has asserted the ’074, ’141, ’306, ’313, and ’148 Patents against a number of defendants. While claims against some defendants have been settled, other defendants have filed counterclaims for, among other things, non-infringement, unenforceability, and invalidity of the patents-in-suit. On December 20, 2013, the Northern District of Illinois issued a claim construction opinion and, on June 13, 2014, entered a final judgment of non-infringement for the remaining defendants based on that claim construction. UMS and the j2 Global affiliate filed a notice of appeal to the Federal Circuit on June 27, 2014 (No. 14-1611). Briefing on the appeal was stayed on September 26, 2014, pending the Northern District of Illinois’s resolution of the defendants’ motion to declare the case exceptional. | ||||||||
On February 19, 2014, two j2 Global affiliates filed suit in the Central District of California (No. 2:14-cv-01283) against RPost, alleging infringement of the ’980 and ’148 Patents and seeking a declaration of non-infringement and invalidity of nine RPost patents that had been asserted against the j2 Global affiliates in a patent assertion letter from RPost. An amended complaint was filed on June 20, 2014 adding j2 Canada as a plaintiff. RPost filed an answer to the complaint on July 14, 2014, asserting counterclaims of infringement for the nine RPost patents against j2 Canada’s Campaigner® product. Discovery is ongoing. | ||||||||
On June 23, 2014, Andre Free-Vychine (“Free-Vychine”) filed a purported class action against a j2 Global affiliate in the Superior Court for the State of California, County of Los Angeles (“Los Angeles Superior Court”). The complaint alleges two California statutory violations relating to late fees levied in certain eVoice® accounts. Free-Vychine is seeking, among other things, damages and injunctive relief on behalf of himself and a purported nationwide class of allegedly similarly situated persons. On August 26, 2014, Law Enforcement Officers, Inc. and IV Pit Stop, Inc. (collectively, “LEO”) filed a purported class action against the same j2 Global affiliate in Los Angeles Superior Court. The complaint alleges three California statutory violations, negligence, breach of the implied covenant of good faith and fair dealing, and various other common law claims relating to late fees levied in certain Onebox® accounts. LEO is seeking, among other things, damages and injunctive relief on behalf of itself and a purported nationwide class of allegedly similarly situated persons. On September 29, 2014, the Los Angeles Superior Court ordered both cases related. Discovery is ongoing. | ||||||||
j2 Global does not believe, based on current knowledge, that the foregoing legal proceedings or claims, including those where an unfavorable outcome is reasonably possible are likely to have a material adverse effect on the Company’s consolidated financial position, results of operations, or cash flows. However, depending on the amount and the timing, an unfavorable resolution of some or all of these matters could materially affect j2 Global’s consolidated financial position, results of operations, or cash flows in a particular period. The Company has not accrued for a loss contingency relating to these legal proceedings because unfavorable outcomes are not considered by management to be probable. | ||||||||
Credit Agreement | ||||||||
On January 5, 2009, the Company entered into a Credit Agreement with Union Bank, N.A. in order to further enhance its liquidity in the event of potential acquisitions or other corporate purposes (the "Credit Agreement"). The Credit Agreement was amended on August 16, 2010, July 13, 2012, November 9, 2012 and November 19, 2013. The July 13, 2012 amendment was entered into in connection with the issuance of senior unsecured notes as discussed in Note 8 - Long-Term Debt - and extended the Revolving Credit Commitment Termination Date (as defined in the Credit Agreement) to November 14, 2013. The November 9, 2012 amendment was entered into in connection with the acquisition of Ziff Davis, Inc. as discussed in Note 3 - Business Acquisitions. The November 19, 2013 amendment extended the revolving credit commitment termination date to November 14, 2016 and amended certain definitions and covenants. On November 26, 2014, the Company and Union Bank, N.A. mutually agreed to terminate the Credit Agreement dated January 5, 2009, by and between the Company and Union Bank. The Credit Agreement provided for a $40.0 million revolving line of credit which had never been drawn upon. | ||||||||
Operating Leases | ||||||||
j2 Global leases certain facilities and equipment under non-cancelable operating leases which expire at various dates through 2024. Office and equipment leases are typically for terms of three to five years and generally provide renewal options for terms up to an additional five years. In most cases, the Company expects leases that expire will be renewed or replaced by other leases with similar terms. Future minimum lease payments at December 31, 2014 under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) are as follows (in thousands): | ||||||||
Lease Payments | ||||||||
Fiscal Year: | ||||||||
2015 | $ | 9,025 | ||||||
2016 | 7,737 | |||||||
2017 | 5,412 | |||||||
2018 | 4,734 | |||||||
2019 | 3,251 | |||||||
Thereafter | 1,161 | |||||||
Total minimum lease payments | $ | 31,320 | ||||||
Rental expense for the years ended December 31, 2014, 2013 and 2012 was $9.7 million, $7.7 million and $3.2 million, respectively. | ||||||||
Sublease | ||||||||
Total sublease income for the year ended December 31, 2014 was $0.1 million. Total estimated aggregate sublease income to be received in the future is $2.4 million. | ||||||||
Capital Leases | ||||||||
As of December 31, 2014 and 2013, assets held under capital leases are as follows: | ||||||||
2014 | 2013 | |||||||
Capital leases | $ | 805 | $ | — | ||||
Less: Accumulated depreciation | (440 | ) | — | |||||
Total capital leases, net | $ | 365 | $ | — | ||||
Future minimum payments at December 31, 2014 under all capital leases (with initial or remaining lease terms in excess of one year) are as follows (in thousands): | ||||||||
Future Payments | ||||||||
Fiscal Year: | ||||||||
2015 | $ | 314 | ||||||
2016 | 77 | |||||||
2017 | 8 | |||||||
2018 | — | |||||||
2019 | — | |||||||
Thereafter | — | |||||||
Total minimum lease payments | $ | 399 | ||||||
Depreciation expense under capital leases for the years ended December 31, 2014, 2013 and 2012 was $0.4 million, zero and zero, respectively. | ||||||||
Non-Income Related Taxes | ||||||||
As a provider of cloud services for business, the Company does not provide telecommunications services. Thus, it believes that its business and its users (by using our services) are not subject to various telecommunication taxes. Moreover, the Company does not believe that its business and its users (by using our services) are subject to other indirect taxes, such as sales and use tax, value added tax (“VAT”), goods and services tax, business tax and gross receipt tax. However, several state and municipal taxing authorities have challenged these beliefs and have and may continue to audit and assess our business and operations with respect to telecommunications and other indirect taxes. | ||||||||
The current U.S. federal government moratorium on states and other local authorities imposing access or discriminatory taxes on the Internet, which is set to expire November 2014 (subsequently extended through October 1, 2015), does not prohibit federal, state or local authorities from collecting taxes on our income or from collecting taxes that are due under existing tax rules. | ||||||||
The Company is currently under audit for indirect taxes in several states and municipalities. The Company currently has no reserves established for these matters, as the Company has determined that the liability is not probable and estimable. However, it is reasonably possible that such a liability could be incurred, which would result in additional expense, which could materially impact our financial results. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Taxes | Income Taxes | |||||||||||
The provision for income tax consisted of the following (in thousands): | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Current: | ||||||||||||
Federal | $ | 22,074 | $ | 22,834 | $ | 20,759 | ||||||
State | 3,822 | 2,676 | (289 | ) | ||||||||
Foreign | 13,977 | 9,415 | 11,639 | |||||||||
Total current | 39,873 | 34,925 | 32,109 | |||||||||
Deferred: | ||||||||||||
Federal | (958 | ) | 3,678 | 2,427 | ||||||||
State | (5,019 | ) | (235 | ) | 314 | |||||||
Foreign | (4,056 | ) | (3,193 | ) | (1,591 | ) | ||||||
Total deferred | (10,033 | ) | 250 | 1,150 | ||||||||
Total provision | $ | 29,840 | $ | 35,175 | $ | 33,259 | ||||||
A reconciliation of the statutory federal income tax rate with j2 Global's effective income tax rate is as follows: | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Statutory tax rate | 35 | % | 35 | % | 35 | % | ||||||
State income taxes, net | 0.6 | 0.3 | 0.5 | |||||||||
Foreign rate differential | (13.8 | ) | (17.9 | ) | (17.4 | ) | ||||||
Reserve for uncertain tax positions | (2.2 | ) | 4.3 | 4.9 | ||||||||
Valuation allowance | 2.6 | 1.9 | 3.2 | |||||||||
IRC Section 199 deductions | (0.5 | ) | (0.5 | ) | (3.4 | ) | ||||||
Other | (2.5 | ) | 1.6 | (1.3 | ) | |||||||
Effective tax rates | 19.2 | % | 24.7 | % | 21.5 | % | ||||||
The Company's effective rate for each year is normally lower than the 35% U.S. federal statutory plus applicable state income tax rates primarily due to earnings of j2 Global's subsidiaries outside of the U.S. in jurisdictions where the effective tax rate is lower than in the U.S. | ||||||||||||
Deferred tax assets and liabilities result from differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. Temporary differences and carryforwards which give rise to deferred tax assets and liabilities are as follows (in thousands): | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred tax assets: | ||||||||||||
Net operating loss carryforwards | $ | 13,774 | $ | 9,596 | ||||||||
Tax credit carryforwards | 14,091 | 9,233 | ||||||||||
Accrued expenses | 7,114 | 1,196 | ||||||||||
Allowance for bad debt | 1,132 | 1,423 | ||||||||||
Share-based compensation expense | 3,632 | 4,917 | ||||||||||
Basis difference in fixed assets | — | 1,266 | ||||||||||
Impairment of investments | 76 | 161 | ||||||||||
Gain on sale of intangible assets | — | 123 | ||||||||||
Deferred revenue | 250 | 812 | ||||||||||
State taxes | 2,333 | 1,451 | ||||||||||
Other | 789 | — | ||||||||||
43,191 | 30,178 | |||||||||||
Less: valuation allowance | (11,358 | ) | (8,493 | ) | ||||||||
Total deferred tax assets | $ | 31,833 | $ | 21,685 | ||||||||
Deferred tax liabilities: | ||||||||||||
Basis difference in fixed assets | $ | (5,883 | ) | $ | — | |||||||
Basis difference in intangible assets | (51,566 | ) | (47,711 | ) | ||||||||
Prepaid insurance | (420 | ) | (369 | ) | ||||||||
Convertible debt | (26,272 | ) | — | |||||||||
Other | (7,981 | ) | (6,359 | ) | ||||||||
Total deferred tax liabilities | (92,122 | ) | (54,439 | ) | ||||||||
Net deferred tax liabilities | $ | (60,289 | ) | $ | (32,754 | ) | ||||||
The Company had approximately $31.8 million and $21.7 million in deferred tax assets as of December 31, 2014 and 2013, respectively, related primarily to tax credit carryforwards, net operating loss carryforwards and accrued expenses treated differently between its financial statements and its tax returns. Based on the weight of available evidence, the Company assesses whether it is more likely than not that some portion or all of a deferred tax asset will not be realized. If necessary, j2 Global records a valuation allowance sufficient to reduce the deferred tax asset to the amount that is more likely that not to be realized. The deferred tax assets should be realized through future operating results and the reversal of temporary differences. | ||||||||||||
As of December 31, 2014, the Company had federal net operating loss carryforwards (“NOLs”) of $20.5 million, after considering substantial restrictions on the utilization of these NOLs due to “ownership changes”, as defined in the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”). j2 Global currently estimates that all of the above-mentioned federal NOLs will be available for use before their expiration. These NOLs expire through the year 2031. As of December 31, 2014 and 2013, the Company has foreign tax credits of $11.1 million and $7.8 million, respectively. The Company has provided a valuation allowance on the foreign tax credits of $11.1 million and $7.7 million, respectively, as the weight of available evidence does not support full utilization of these credits. The foreign tax credits expire through the year 2024. In addition, as of December 31, 2014 and 2013, the Company had state research and development tax credits of $2.0 million and $0.9 million, respectively, which last indefinitely. As of December 31, 2014 and 2013, the Company had state enterprise zone tax credits of $0.9 million and $0.5 million, respectively. The state enterprise zone credits expire through the year 2024. j2 Global estimates that all of the state enterprise zone credits will be available for use before their expiration. | ||||||||||||
Certain tax payments are prepaid during the year and included within prepaid expenses and other current assets on the consolidated balance sheet. The Company's prepaid tax payments were $5.8 million and $11.3 million at December 31, 2014 and 2013, respectively. | ||||||||||||
Uncertain Income Tax Positions | ||||||||||||
Tax positions are evaluated in a two-step process. The Company first determines whether it is more likely than not that a tax position will be sustained upon examination. If a tax position meets the more-likely-than-not recognition threshold, it is then measured to determine the amount of benefit to recognize in the financial statements. The tax position is measured as the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The Company classifies gross interest and penalties and unrecognized tax benefits that are not expected to result in payment or receipt of cash within one year as non-current liabilities in the consolidated balance sheets. | ||||||||||||
As of December 31, 2014, the total amount of unrecognized tax benefits was $34.6 million, of which $32.7 million, if recognized, would affect the Company’s effective tax rate. As of December 31, 2013, the total amount of gross unrecognized tax benefits was $40.9 million, of which $40.9 million, if recognized, would affect the Company’s effective tax rate. As of December 31, 2012, the total amount of unrecognized tax benefits was $35.4 million, of which $35.4 million, if recognized would affect the Company's effective tax rate. | ||||||||||||
The aggregate changes in the balance of gross unrecognized tax benefits, which excludes interest and penalties, for 2014, 2013 and 2012, is as follows (in thousands): | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Beginning balance | $ | 40,888 | $ | 35,421 | $ | 28,366 | ||||||
Increases related to tax positions during a prior year | 919 | 58 | 1,022 | |||||||||
Decreases related to tax positions taken during a prior year | (9,808 | ) | (1,519 | ) | (557 | ) | ||||||
Increases related to tax positions taken in the current year | 3,765 | 6,928 | 6,590 | |||||||||
Decreases related to expiration of statute of limitations | (1,129 | ) | — | — | ||||||||
Ending balance | $ | 34,635 | $ | 40,888 | $ | 35,421 | ||||||
The Company includes interest and penalties related to unrecognized tax benefits within the provision for income taxes. As of December 31, 2014, 2013 and 2012, the total amount of interest and penalties accrued was $2.9 million, $3.0 million and $2.3 million, respectively, which is classified as non-current liabilities in the consolidated balance sheets. In connection with tax matters, the Company recognized interest and penalty (benefit) expense in 2014, 2013 and 2012 of $(0.1) million, $0.7 million and $0.5 million, respectively. | ||||||||||||
Uncertain income tax positions are reasonably possible to significantly change during the next 12 months as a result of completion of income tax audits and expiration of statutes of limitations. At this point it is not possible to provide an estimate of the amount, if any, of significant changes in reserves for uncertain income tax positions as a result of the completion of income tax audits that are reasonably possible to occur in the next 12 months. In addition, the Company cannot currently estimate the amount of, if any, uncertain income tax positions which will be released in the next 12 months as a result of expiration of statutes of limitations due to ongoing audits. As a result of ongoing federal, state and foreign income tax audits (discussed below), it is reasonably possible that our entire reserve for uncertain income tax positions for the periods under audit will be released. It is also reasonably possible that the Company's reserves will be inadequate to cover the entire amount of any such income tax liability. | ||||||||||||
The Company has not provided U.S. income taxes and foreign withholding taxes on the undistributed earnings of foreign subsidiaries as of December 31, 2014 because it intends to permanently reinvest such earnings outside the U.S. If these foreign earnings were to be repatriated in the future, the related U.S. tax liability may be reduced by any foreign income taxes previously paid on these earnings and would generate foreign tax credits that would reduce the federal tax liability. As of December 31, 2014, the cumulative amount of earnings upon which U.S. income taxes have not been provided is approximately $436.6 million. Determination of the amount of unrecognized deferred tax liability related to these earnings is not practicable. Income before income taxes included income from domestic operations of $79.4 million, $61.0 million and $54.2 million for the year ended December 31, 2014, 2013 and 2012, respectively, and income from foreign operations of $75.8 million, $81.7 million and $100.7 million for the year ended December 31, 2014, 2013 and 2012, respectively. | ||||||||||||
Income Tax Audits: | ||||||||||||
The Company is under income tax audit by the U.S. Internal Revenue Service (“IRS”) for tax years 2009 through 2011. The Company has appealed the IRS tax examiner’s decision regarding transfer pricing for tax years 2009 and 2010 to the IRS appeals office, and that process remains on-going. | ||||||||||||
j2 Global is currently under income tax audit by the California Franchise Tax Board for tax years 2009 through 2011, by the Illinois Department of Revenue for tax years 2008 and 2009, by the New York City Department of Finance for tax years 2009 through 2011 and by the Canada Reserve Agency for tax years 2010 and 2011. | ||||||||||||
It is reasonably possible that these audits may conclude in the next 12 months and that the uncertain tax positions the Company has recorded in relation to these tax years may change compared to the liabilities recorded for these periods. If the recorded uncertain tax positions are inadequate to cover the associated tax liabilities, the Company would be required to record additional tax expense in the relevant period, which could be material. If the recorded uncertain tax positions are adequate to cover the associated tax liabilities, the Company would be required to record any excess as reduction in tax expense in the relevant period, which could be material However, it is not currently possible to estimate the amount, if any, of such change. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Stockholders' Equity Note [Abstract] | |||||||||
Stockholders' Equity | Stockholders’ Equity | ||||||||
j2 Preferred Stock | |||||||||
In connection with the December 31, 2013 reorganization of Ziff Davis, Inc. ("ZD Inc.") into Ziff Davis, LLC ("ZD LLC") and the Company's acquisition of all of the minority holders' equity interests in ZD Inc., the Company issued j2 Series A Preferred Stock ("j2 Series A Stock") and j2 Series B Preferred Stock ("j2 Series B Stock"). | |||||||||
j2 Series A Stock | |||||||||
Each share of j2 Series A Stock has a stated value of $1,000 and the aggregate stated value of all shares of Series A Stock is $5,064,000. The j2 Series A Stock is not convertible into any other securities. In the event ZD LLC pays any dividends or distributions to the Company in respect of the Company’s membership interests in ZD LLC (subject to certain exceptions in respect of senior interests), holders of the j2 Series A Stock will be entitled to receive a dividend in the aggregate with respect to all j2 Series A Stock equal to 2.4449% of such ZD LLC dividend (but only to the extent such dividend and all other dividends paid in respect of the series A preferred stock does not exceed a compounded annual rate of 15% on the stated value of the j2 Series A Stock). | |||||||||
The j2 Series A Stock has a liquidation preference over the j2 Series B Stock and a liquidation preference over j2 common stock in an amount up to, with respect to all shares of j2 Series A Stock, 2.4449% of the assets of ZD LLC and its subsidiaries legally available for distribution to the Company, after reduction in respect of certain senior interests (the "series A minority portion"), but in no event in an amount that exceeds the stated value of the j2 Series A Stock increased at a compounded annual rate of 15% (the "series A cap") and in no event in an amount that exceeds the lesser of the Company’s assets available for distribution and 2.4449% of the assets of ZD LLC and its subsidiaries legally available for distribution to the Company. | |||||||||
On or after January 2, 2019, the j2 Series A Stock will be mandatorily redeemable by the Company upon the occurrence of certain contingent liquidity events such as a sale, initial public offering or spin-off transactions involving ZD, LLC. Any or all of the j2 Series A Stock is subject to redemption by the Company at its option at any time. If the redemption occurs in connection with certain sale, initial public offering or spin-off transactions involving ZD LLC, the redemption price will be equal to an allocable portion of the enterprise value of ZD, LLC implied by such transaction with respect to the series A minority portion and based on certain factors to be determined by the Company’s Board of Directors in its sole good faith judgment, but in no event in an amount that would exceed the series A cap. If not in connection with such a transaction, the redemption price will be the series A cap. | |||||||||
j2 Series B Stock | |||||||||
The j2 Series B Stock is not convertible into any other securities. In the event ZD LLC pays any dividends or distributions to the Company in respect of the Company’s membership interests in ZD LLC (subject to certain exceptions in respect of senior interests and the j2 Series A Stock), holders of the j2 series B preferred stock will be entitled to receive a dividend in the aggregate with respect to all j2 Series B Stock equal to 9.5579% of such ZD LLC dividend. | |||||||||
The j2 Series B Stock will have a liquidation preference junior to the liquidation preference of the j2 Series A Stock and a liquidation preference over the j2 common stock in an amount up to, with respect to all shares of j2 Series B Stock, 9.5579% of the assets of ZD LLC and its subsidiaries legally available for distribution to the Company, after reduction in respect of the j2 Series A Stock and certain other senior interests (the "series B minority portion"), but in no event in an amount that exceeds the lesser of the Company’s assets available for distribution and 9.5579% of the assets of ZD LLC and its subsidiaries legally available for distribution to the Company. | |||||||||
On or after January 2, 2019, the j2 Series B Stock will be mandatorily redeemable by the Company upon the occurrence of certain contingent liquidity events such as a sale, initial public offering or spin-off transactions involving ZD LLC. Any or all of the j2 Series B Stock is subject to redemption by the Company at its option at any time. If the redemption occurs in connection with certain sale, initial public offering or spin-off transactions involving ZD LLC, the redemption price will be equal to an allocable portion of the enterprise value of ZD LLC implied by such transaction with respect to the series B minority portion and based on certain factors to be determined by the Board of Directors of the Company in its sole good faith judgment. Otherwise, the redemption price will be equal to the fair market value of such share as determined by the Company’s Board of Directors in its sole good faith judgment. | |||||||||
Preferred Stock Exchange | |||||||||
In November 2014, the Company provided holders of j2 Series A Stock and j2 Series B Stock an exchange right in which shares may be exchanged for j2 common stock. The exchange right associated with the shares of j2 Series A Stock were immediately exercisable at an exchange ratio of 20.4319 shares of j2 common stock per share of j2 Series A Stock (the "Series A Exchange Ratio"). Both holders of the j2 Series A Stock exercised this exchange right which resulted in the issuance of 235,665 shares of j2 common stock. The exchange right associated with the vested shares of the j2 Series B Stock is exercisable during specified exchange periods at an exchange ratio of 31.8094 shares of j2 common stock per share of j2 Series B Stock (the "Series B Exchange Ratio"). Holders of vested j2 Series B Stock exercised this exchange right which resulted in the issuance of 177,573 shares of j2 common stock during fiscal year 2014. | |||||||||
In connection with the exercise of the exchange right and the resulting extinguishment of the Series A, the Company recorded the difference between the carrying value of the Series A and the fair value of the j2 common stock exchanged within retained earnings as a preferred stock dividend. In connection with the exercise of the exchange right associated with Series B, the Company recognized incremental fair value in the amount of $6.3 million and recorded additional share-based compensation in the amount of $0.2 million for the year ended December 31, 2014. The remaining amount of unrecognized incremental fair value will be recognized over the remaining service period. | |||||||||
The Series B Exchange Ratio is adjusted in the event of a subdivision of the outstanding j2 common stock or j2 Series B Stock, a declaration of a dividend payable in shares of j2 common stock or j2 Series B Stock, a declaration of a dividend payable in a form other than shares in an amount that has a material effect on the value of shares of j2 common stock or j2 Series B Stock, a combination or consolidation of the outstanding j2 common stock or j2 Series B Stock into a lesser number of shares of j2 common stock or j2 Series B Stock, respectively, specified changes in control , a recapitalization, a reclassification, or a similar occurrence, the Company shall adjust the Series B Exchange Ratio as it deems appropriate in its sole discretion. | |||||||||
Non-Controlling Interest | |||||||||
Non-controlling interests represents equity interests in consolidated subsidiaries that are not attributable, either directly or indirectly, to j2 Global (i.e., minority interests). Non-controlling interests includes prior to the Reorganization described above in Note 9 - Mandatorily Redeemable Financial Instrument, the minority equity holders' proportionate share of the equity of Ziff Davis, Inc. | |||||||||
Ownership interests in subsidiaries held by parties other than the Company are presented as non-controlling interests within stockholders' equity, separately from the equity held by the Company on the consolidated statements of stockholders' equity. Revenues, expenses, net income and other comprehensive income are reported in the consolidated financial statements at the consolidated amounts, which includes amounts attributable to both the Company's interest and the non-controlling interests in Ziff Davis. Net income and other comprehensive income is then attributed to the Company's interest and the non-controlling interests. Net income to non-controlling interests is deducted from net income in the consolidated statements of income to determine net income attributable to the Company's common shareholders. | |||||||||
In connection with the Reorganization described above in Note 9 - Mandatorily Redeemable Financial Instrument, the Company acquired all of the minority holders' equity interests in ZD, Inc. As a result, on December 31, 2013, ZD LLC became a wholly-owned subsidiary of j2 Global, Inc. and the non-controlling interest was no longer outstanding. | |||||||||
Common Stock Repurchase Program | |||||||||
In February 2012, the Company’s Board of Directors approved a program authorizing the repurchase of up to five million shares of j2 Global common stock through February 20, 2013 (see Note 22 - Subsequent Events - for a discussion regarding the extension of the share repurchase program through February 19, 2016). On February 15, 2012, the Company entered into a Rule 10b5-1 trading plan with a broker to facilitate the repurchase program. No shares were repurchased under the share repurchase program for the year ended December 31, 2014 and 2013. Cumulatively at December 31, 2014, 2.1 million shares were repurchased at an aggregate cost of $58.6 million (including an immaterial amount of commission fees). | |||||||||
Periodically, participants in j2 Global’s stock plans surrender to the Company shares of j2 Global stock to pay the exercise price or to satisfy tax withholding obligations arising upon the exercise of stock options or the vesting of restricted stock. During the year ended December 31, 2014, the Company purchased 113,256 shares from plan participants for this purpose. | |||||||||
Dividends | |||||||||
The following is a summary of each dividend declared during fiscal year 2014: | |||||||||
Declaration Date | Dividend per Common Share | Record Date | Payment Date | ||||||
February 11, 2014 | $ | 0.2625 | February 24, 2014 | March 10, 2014 | |||||
May 7, 2014 | $ | 0.27 | May 19, 2014 | June 3, 2014 | |||||
August 5, 2014 | $ | 0.2775 | August 18, 2014 | September 2, 2014 | |||||
October 30, 2014 | $ | 0.285 | November 17, 2014 | December 4, 2014 | |||||
On February 10, 2015, the Company's Board of Directors approved a quarterly cash dividend of $0.2925 per share of common stock payable on March 9, 2015 to all stockholders of record as of the close of business on February 23, 2015 (see Note 22 - Subsequent Events). Future dividends will be subject to Board approval. | |||||||||
Treasury Stock | |||||||||
On August 14, 2012, the Company retired all treasury stock (which resulted from prior stock repurchases) on its balance sheet. Accordingly, such treasury stock is zero as of December 31, 2014 and 2013. |
Stock_Options_And_Employee_Sto
Stock Options And Employee Stock Purchase Plan | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||
Stock Options And Employee Stock Purchase Plan | Stock Options and Employee Stock Purchase Plan | ||||||||||||||||
j2 Global’s share-based compensation plans include the Second Amended and Restated 1997 Stock Option Plan, 2007 Stock Plan and 2001 Employee Stock Purchase Plan (each is described below). | |||||||||||||||||
(a) | Second Amended and Restated 1997 Stock Option Plan and 2007 Stock Plan | ||||||||||||||||
In November 1997, j2 Global's Board of Directors adopted the j2 Global Communications, Inc. 1997 Stock Option Plan, which was twice amended and restated (the “1997 Plan”). The 1997 Plan terminated in 2007, although stock options and restricted stock issued under the 1997 Plan continue to be governed by it. A total of 12,000,000 shares of common stock were authorized to be used for 1997 Plan purposes. An additional 840,000 shares were authorized for issuance upon exercise of options granted outside the 1997 Plan. | |||||||||||||||||
In October 2007, j2 Global's Board of Directors adopted the j2 Global, Inc. 2007 Stock Plan (the “2007 Plan”). The 2007 Plan provides for the granting of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units and other share-based awards. The number of authorized shares of common stock that may be used for 2007 Plan purposes is 4,500,000. Options under the 2007 Plan may be granted at exercise prices determined by the Board of Directors, provided that the exercise prices shall not be less than the fair market value of j2 Global's common stock on the date of grant for incentive stock options and not less than 85% of the fair market value of j2 Global's common stock on the date of grant for non-statutory stock options. | |||||||||||||||||
At December 31, 2014, 2013 and 2012, options to purchase 618,437, 845,198 and 1,132,365 shares of common stock were exercisable under and outside of the 2007 Plan and the 1997 Plan combined, at weighted average exercise prices of $23.77,$20.35 and $21.94, respectively. Stock options generally expire after 10 years and vest over a 5-year period. | |||||||||||||||||
All stock option grants are approved by “outside directors” within the meaning of Internal Revenue Code Section 162(m). | |||||||||||||||||
Stock Options | |||||||||||||||||
Stock option activity for the years ended December 31, 2014, 2013 and 2012 is summarized as follows: | |||||||||||||||||
Number of Shares | Weighted-Average | Weighted-Average Remaining Contractual Life (In Years) | Aggregate | ||||||||||||||
Exercise Price | Intrinsic | ||||||||||||||||
Value | |||||||||||||||||
Options outstanding at December 31, 2011 | 2,087,695 | $ | 20.99 | ||||||||||||||
Granted | 67,000 | 27.26 | |||||||||||||||
Exercised | (357,234 | ) | 15.81 | ||||||||||||||
Canceled | (32,000 | ) | 31.34 | ||||||||||||||
Options outstanding at December 31, 2012 | 1,765,461 | $ | 22.08 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (569,204 | ) | 23.9 | ||||||||||||||
Canceled | (20,600 | ) | 21.79 | ||||||||||||||
Options outstanding at December 31, 2013 | 1,175,657 | $ | 21.08 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (433,008 | ) | 15.7 | ||||||||||||||
Canceled | (17,000 | ) | 29.85 | ||||||||||||||
Options outstanding at December 31, 2014 | 725,649 | $ | 24.29 | 3.9 | $27,362,157 | ||||||||||||
Exercisable at December 31, 2014 | 618,437 | $ | 23.77 | 3.4 | $23,642,294 | ||||||||||||
Vested and expected to vest at December 31, 2014 | 714,319 | $ | 24.24 | 3.8 | $26,975,686 | ||||||||||||
The per share weighted-average grant-date fair value of options granted during the year 2012 was $7.92. | |||||||||||||||||
The total intrinsic values of options exercised during the years ended December 31, 2014, 2013 and 2012 were $14.6 million, $11.9 million and $4.5 million, respectively. The total fair value of options vested during the years ended December 31, 2014, 2013 and 2012 was $2.3 million, $3.1 million and $4.7 million, respectively. | |||||||||||||||||
Cash received from options exercised under all share-based payment arrangements for the years ended December 31, 2014, 2013 and 2012 was $6.6 million, $13.6 million and $5.6 million, respectively. The actual tax benefit realized for the tax deductions from option exercises under the share-based payment arrangements totaled $5.2 million, $3.9 million and $1.6 million, respectively, for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||
The following table summarizes information concerning outstanding and exercisable options as of December 31, 2014: | |||||||||||||||||
Options Outstanding | Exercisable Options | ||||||||||||||||
Range of | Number Outstanding December 31, 2014 | Weighted | Weighted | Number | Weighted | ||||||||||||
Exercise Prices | Average | Average | Exercisable | Average | |||||||||||||
Remaining | Exercise | December 31, | Exercise | ||||||||||||||
Contractual | Price | 2014 | Price | ||||||||||||||
Life | |||||||||||||||||
$17.19 | 49,283 | 4.18 years | $ | 17.19 | 49,283 | $ | 17.19 | ||||||||||
18.77 | 128,200 | 0.67 years | 18.77 | 128,200 | 18.77 | ||||||||||||
20.91 | 77,448 | 3.34 years | 20.91 | 77,448 | 20.91 | ||||||||||||
21.67 - 21.88 | 74,420 | 4.21 years | 31.69 | 74,420 | 21.69 | ||||||||||||
22.92 | 98,716 | 5.35 years | 22.92 | 76,780 | 22.92 | ||||||||||||
23.11 - 28.52 | 75,382 | 4.95 years | 26.87 | 44,382 | 27.06 | ||||||||||||
29.34 | 90,700 | 6.36 years | 29.34 | 54,424 | 29.34 | ||||||||||||
29.53 | 22,000 | 7.17 years | 29.53 | 7,000 | 29.53 | ||||||||||||
31.07 | 7,500 | 6.82 years | 31.07 | 4,500 | 31.07 | ||||||||||||
32.45 | 102,000 | 2.59 years | 32.45 | 102,000 | 32.45 | ||||||||||||
$17.19 - $32.45 | 725,649 | 3.88 years | $ | 24.29 | 618,437 | $ | 23.77 | ||||||||||
As discussed in Note 12 - Stockholders' Equity, the Company provided holders of j2 Series B Stock an exchange right in which j2 Series B Stock may be exchanged for j2 common stock during specified exchange periods. The Company determined that such exchange right represents a grant under the 2007 Plan for the year ended December 31, 2014, and accordingly, reduced the awards available under the 2007 Plan. At December 31, 2014, there were 163,309 additional shares underlying options, shares of restricted stock and other share-based awards available for grant under the 2007 Plan, and no additional shares available for grant under or outside of the 1997 Plan. | |||||||||||||||||
As of December 31, 2014, there was $0.8 million of total unrecognized compensation expense related to nonvested share-based compensation options granted under the 2007 Plan and the 1997 Plan. That expense is expected to be recognized ratably over a weighted average period of 1.42 years (i.e., the remaining requisite service period). | |||||||||||||||||
Fair Value Disclosure | |||||||||||||||||
j2 Global uses the Black-Scholes option pricing model to calculate the fair value of each option grant. The expected volatility is based on historical volatility of the Company’s common stock. The Company estimates the expected term based upon the historical exercise behavior of our employees. The risk-free interest rate is based on U.S. Treasury zero-coupon issues with a term equal to the expected term of the option assumed at the date of grant. The Company uses an annualized dividend yield based upon the per share dividends declared by its Board of Directors. Estimated forfeiture rates were 12.3%, 14.4% and 14.6% as of December 31, 2014, 2013 and 2012, respectively. | |||||||||||||||||
The weighted-average fair values of stock options granted have been estimated utilizing the following assumptions: | |||||||||||||||||
Year Ended December 31, | |||||||||||||||||
2012 | |||||||||||||||||
Risk-free interest rate | 1.10% | ||||||||||||||||
Expected term (in years) | 5.7 | ||||||||||||||||
Dividend yield | 3.20% | ||||||||||||||||
Expected volatility | 41.60% | ||||||||||||||||
Share-Based Compensation Expense | |||||||||||||||||
The following table represents share-based compensation expense included in cost of revenues and operating expenses in the consolidated statements of income for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||||
Year Ended December 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Cost of revenues | $ | 345 | $ | 756 | $ | 844 | |||||||||||
Operating expenses: | |||||||||||||||||
Sales and marketing | 1,944 | 1,855 | 1,543 | ||||||||||||||
Research, development and engineering | 721 | 434 | 459 | ||||||||||||||
General and administrative | 5,898 | 6,675 | 6,286 | ||||||||||||||
$ | 8,908 | $ | 9,720 | $ | 9,132 | ||||||||||||
Restricted Stock | |||||||||||||||||
j2 Global has awarded restricted stock and restricted stock units to its Board of Directors and senior staff pursuant to the 1997 Plan and the 2007 Plan. Compensation expense resulting from restricted stock and restricted unit grants is measured at fair value on the date of grant and is recognized as share-based compensation expense over the applicable vesting period. Beginning in fiscal year 2012 vesting periods are approximately one year for awards to members of the Company's Board of Directors and five years for senior staff. The Company granted 265,601, 729,137 and 390,210 shares of restricted stock and restricted units during the years ended December 31, 2014, 2013 and 2012, respectively, and recognized $7.4 million, $7.1 million and $5.2 million, respectively of related compensation expense. As of December 31, 2014, the Company had unrecognized share-based compensation cost of $24.1 million associated with these awards. This cost is expected to be recognized over a weighted-average period of 3.0 years for awards and 3.5 years for units. The total fair value of restricted stock and restricted stock units vested during the years ended December 31, 2014, 2013 and 2012 was $8.5 million, $6.4 million and $4.3 million, respectively. The actual tax benefit realized for the tax deductions from the vesting of restricted stock awards and units totaled $5.0 million, $1.4 million and $0.3 million, respectively, for the years ended December 31, 2014, 2013 and 2012. In accordance with ASC 718, share-based compensation is recognized on dividends paid related to nonvested restricted stock not expected to vest, which amounted to approximately $0.1 million for the year ended December 31, 2014. | |||||||||||||||||
Restricted stock award activity for the years ended December 31, 2014 and 2013 is set forth below: | |||||||||||||||||
Shares | Weighted-Average | ||||||||||||||||
Grant-Date | |||||||||||||||||
Fair Value | |||||||||||||||||
Nonvested at January 1, 2013 | 828,475 | $ | 23.08 | ||||||||||||||
Granted | 690,762 | 13.57 | |||||||||||||||
Vested | (296,966 | ) | 21.46 | ||||||||||||||
Canceled | (43,900 | ) | 24.46 | ||||||||||||||
Nonvested at December 31, 2013 | 1,178,371 | $ | 17.86 | ||||||||||||||
Granted | 226,864 | 45.66 | |||||||||||||||
Vested | (546,115 | ) | 15.63 | ||||||||||||||
Canceled | (45,070 | ) | 35.55 | ||||||||||||||
Nonvested at December 31, 2014 | 814,050 | $ | 26.57 | ||||||||||||||
Restricted stock unit activity for the years ended December 31, 2014 and 2013 is set forth below: | |||||||||||||||||
Number of | Weighted-Average | Aggregate | |||||||||||||||
Shares | Remaining | Intrinsic | |||||||||||||||
Contractual | Value | ||||||||||||||||
Life (in Years) | |||||||||||||||||
Outstanding at January 1, 2013 | 115,466 | ||||||||||||||||
Granted | 38,375 | ||||||||||||||||
Vested | (11,116 | ) | |||||||||||||||
Canceled | (33,000 | ) | |||||||||||||||
Outstanding at December 31, 2013 | 109,725 | ||||||||||||||||
Granted | 38,737 | ||||||||||||||||
Vested | (19,598 | ) | |||||||||||||||
Canceled | (25,940 | ) | |||||||||||||||
Outstanding at December 31, 2014 | 102,924 | 2.1 | $ | 6,381,288 | |||||||||||||
Vested and expected to vest at December 31, 2014 | 79,445 | 1.9 | $ | 4,925,584 | |||||||||||||
Ziff Davis, Inc. Equity Incentive Plan | |||||||||||||||||
In November 2012, Ziff Davis, Inc. ("ZD, Inc.") established the Ziff Davis, Inc. 2012 Equity Incentive Plan (the "Ziff Davis Plan"), providing incentives to selected directors, officers, employees and consultants. The Ziff Davis Plan provides for the granting of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units and other share-based awards. The number of authorized shares of common stock that may be used for the Ziff Davis Plan purposes is 15,000,000. In addition, certain stockholders have put rights under certain circumstances in which the stockholder may elect to cause ZD, Inc. to purchase any or all of the shares of common stock (to the extent vested pursuant to the terms of the Ziff Davis Plan) and preferred stock owned by such stockholder. ZD, Inc. also has the option to call under certain circumstances the common stock issued pursuant to the Ziff Davis Plan (to the extent vested pursuant to the terms of the Ziff Davis Plan) and shares of preferred stock. Management has determined that the circumstances in which the put right held by the stockholder is exercisable are within the control of the Company. Accordingly, management determined that liability classification is not required. | |||||||||||||||||
ZD, Inc. granted 13,035,000 shares of restricted stock during the year ended December 31, 2013 to its senior staff pursuant to the Ziff Davis Plan, which shares vest evenly over a 5 year period. Based upon the terms of the Ziff Davis Series A Stock discussed in Note 9 - Mandatorily Redeemable Financial Instrument, the Company determined at the relevant grant date that the fair value of the ZD, Inc. restricted stock was zero. Accordingly, no compensation expense was recorded for the ZD, Inc. restricted stock for the year ended December 31, 2013. | |||||||||||||||||
In connection with the December 31, 2013 reorganization of ZD, Inc. into Ziff Davis, LLC, the Company acquired all of the minority holders' equity interests in ZD, Inc. As a result, on December 31, 2013, Ziff Davis LLC became a wholly-owned subsidiary of j2 Global, Inc. No further securities are issuable under the Ziff Davis Plan. | |||||||||||||||||
Employee Stock Purchase Plan | |||||||||||||||||
In May of 2001, j2 Global established the j2 Global, Inc. 2001 Employee Stock Purchase Plan, as amended (the “Purchase Plan”), which provides for the issuance of a maximum of 2,000,000 shares of common stock. Under the Purchase Plan, eligible employees can have up to 15% of their earnings withheld, up to certain maximums, to be used to purchase shares of j2 Global’s common stock at certain plan-defined dates. The price of the common stock purchased under the Purchase Plan for the offering periods is equal to 95% of the fair market value of the common stock at the end of the offering period. During 2014, 2013 and 2012, 5,735, 5,402 and 5,797 shares, respectively were purchased under the Purchase Plan at price ranging from $51.38 to $43.08 per share during 2014. As of December 31, 2014, 1,634,464 shares were available under the Purchase Plan for future issuance. |
Defined_Contribution_401k_Savi
Defined Contribution 401(k) Savings Plan | 12 Months Ended |
Dec. 31, 2014 | |
Defined Contribution 401(k) Savings Plan [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | Defined Contribution 401(k) Savings Plan |
j2 Global has two significant 401(k) Savings Plans covering the employees of j2 Global, Inc. and its consolidated subsidiary Ziff Davis, Inc. Eligible employees may contribute through payroll deductions. The Company may make annual contributions to the j2 Global 401(k) Savings Plan at the discretion of j2 Global's Board of Directors and employees within the Ziff Davis, Inc. 401(k) Savings Plan receive 50% of the first 4% of eligible compensation with a maximum of 2% of salary. For the years ended December 31, 2014 and 2013, the Company accrued $0.2 million and $0.1 million, respectively, for contributions to the 401(k) Savings Plans. |
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share Reconciliation [Abstract] | ||||||||||||
Earnings Per Share | Earnings Per Share | |||||||||||
The components of basic and diluted earnings per share are as follows (in thousands, except share and per share data): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Numerator for basic and diluted net income per common share: | ||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 124,336 | $ | 107,522 | $ | 121,580 | ||||||
Net income available to participating securities (a) | (2,590 | ) | (2,105 | ) | (2,075 | ) | ||||||
Net income available to j2 Global, Inc. common shareholders | 121,746 | 105,417 | 119,505 | |||||||||
Denominator: | ||||||||||||
Weighted-average outstanding shares of common stock | 46,778,015 | 45,548,767 | 45,459,712 | |||||||||
Dilutive effect of: | ||||||||||||
Equity incentive plans | 328,523 | 591,252 | 321,946 | |||||||||
Common stock and common stock equivalents | 47,106,538 | 46,140,019 | 45,781,658 | |||||||||
Net income per share: | ||||||||||||
Basic | $ | 2.6 | $ | 2.31 | $ | 2.63 | ||||||
Diluted | $ | 2.58 | $ | 2.28 | $ | 2.61 | ||||||
(a) | Represents unvested share-based payment awards that contain certain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid). | |||||||||||
For the years ended December 31, 2014, 2013 and 2012, there were zero, zero and 527,319 options outstanding, respectively, which were excluded from the computation of diluted earnings per share because the exercise prices were greater than the average market price of the common shares. |
Geographic_Information
Geographic Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Segments, Geographical Areas [Abstract] | ||||||||||||
Geographic Information | Segment Information | |||||||||||
The Company's business segments are based on the organization structure used by management for making operating and investment decisions and for assessing performance. j2 Global's reportable business segments are: (i) Business Cloud Services; and (ii) Digital Media. Segment accounting policies are the same as described in Note 2 - Basis of Presentation and Summary of Significant Policies. | ||||||||||||
Information on reportable segments and reconciliation to consolidated income from operations is as follows (in thousands): | ||||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Revenue by segment: | ||||||||||||
Business Cloud Services | $ | 431,475 | $ | 390,104 | $ | 361,684 | ||||||
Digital Media | 167,814 | 131,146 | 9,712 | |||||||||
Elimination of inter-segment revenues | (259 | ) | (449 | ) | — | |||||||
Total revenue | 599,030 | 520,801 | 371,396 | |||||||||
Direct costs by segment(1): | ||||||||||||
Business Cloud Services | 241,592 | 191,169 | 174,324 | |||||||||
Digital Media | 137,321 | 124,413 | 6,823 | |||||||||
Direct costs by segment(1): | 378,913 | 315,582 | 181,147 | |||||||||
Business Cloud Services operating income | 189,883 | 198,935 | 187,360 | |||||||||
Digital Media operating income | 30,493 | 6,733 | 2,889 | |||||||||
Segment operating income | 220,376 | 205,668 | 190,249 | |||||||||
Global operating costs(2) | 34,170 | 30,245 | 28,087 | |||||||||
Income from operations | $ | 186,206 | $ | 175,423 | $ | 162,162 | ||||||
(1) Direct costs for each segment include cost of revenue and other operating expenses that are directly attributable to the segment such as employee compensation expense, local sales and marketing expenses, engineering and operations, depreciation and amortization and other administrative expenses. | ||||||||||||
(2) Global operating costs include general and administrative and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment. | ||||||||||||
2014 | 2013 | |||||||||||
Assets: | ||||||||||||
Business Cloud Services | $ | 883,587 | $ | 818,722 | ||||||||
Digital Media | 378,381 | 333,286 | ||||||||||
Total assets from reportable segments | 1,261,968 | 1,152,008 | ||||||||||
Corporate | 443,234 | 1,781 | ||||||||||
Total assets | $ | 1,705,202 | $ | 1,153,789 | ||||||||
2014 | 2013 | 2012 | ||||||||||
Capital expenditures: | ||||||||||||
Business Cloud Services | $ | 6,639 | $ | 10,979 | $ | 4,240 | ||||||
Digital Media | 4,920 | 6,635 | 380 | |||||||||
Total from reportable segments | $ | 11,559 | $ | 17,614 | $ | 4,620 | ||||||
Corporate | 270 | 1,013 | 441 | |||||||||
Total capital expenditures | $ | 11,829 | $ | 18,627 | $ | 5,061 | ||||||
Depreciation and amortization: | ||||||||||||
Business Cloud Services | $ | 39,699 | $ | 24,148 | $ | 20,473 | ||||||
Digital Media | 22,483 | 14,963 | 1,167 | |||||||||
Total from reportable segments | 62,182 | 39,111 | 21,640 | |||||||||
Corporate | 771 | 677 | 512 | |||||||||
Total depreciation and amortization | $ | 62,953 | $ | 39,788 | $ | 22,152 | ||||||
j2 Global maintains operations in the U.S., Canada, Ireland, Japan and other countries. Geographic information about the U.S. and all other countries for the reporting periods is presented below. Such information attributes revenues based on jurisdictions where revenues are reported (in thousands). | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Revenues: | ||||||||||||
United States | $ | 403,279 | $ | 369,507 | $ | 233,585 | ||||||
Canada | 70,434 | 73,130 | 79,656 | |||||||||
Ireland | 42,979 | 41,398 | 41,248 | |||||||||
All other countries | 82,338 | 36,766 | 16,907 | |||||||||
Total | $ | 599,030 | $ | 520,801 | $ | 371,396 | ||||||
December 31, | December 31, | |||||||||||
2014 | 2013 | |||||||||||
Long-lived assets: | ||||||||||||
United States | $ | 216,099 | $ | 170,247 | ||||||||
All other countries | 101,107 | 51,675 | ||||||||||
Total | $ | 317,206 | $ | 221,922 | ||||||||
Condensed_Consolidating_Financ
Condensed Consolidating Financials (Notes) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Condensed Consolidating Financials [Abstract] | ||||||||||||||||||||
Condensed Financial Statements [Text Block] | Consolidating Financial Statements | |||||||||||||||||||
In connection with the June 2014 Convertible Note issuance, j2 Global, Inc. entered into a supplemental indenture related to the Senior Notes pursuant to which it fully and unconditionally guaranteed, on an unsecured basis, the full and punctual payment of the Senior Notes issued by its wholly owned subsidiary, j2 Cloud Services, Inc. j2 Cloud Services, Inc. is subject to restrictions on dividends in its existing indenture with respect to the Senior Notes. While substantially all of the Company’s assets (other than the net cash proceeds from the issuance of the Convertible Notes) are owned directly or indirectly by j2 Cloud Services, Inc., those contractual provisions did not, as of June 30, 2014, meaningfully restrict j2 Cloud Services, Inc.’s ability to pay dividends to j2 Global, Inc. | ||||||||||||||||||||
The following condensed consolidating financial statements present, in separate columns, financial information for (i) j2 Global, Inc. (the “Parent”) on a parent-only basis, (ii) j2 Cloud Services, Inc., (iii) the non-guarantor subsidiaries on a combined basis, (iv) the eliminations and reclassifications necessary to arrive at the information for the Company on a consolidated basis, and (v) the Company on a consolidated basis. The condensed consolidating financial statements are presented in accordance with the equity method. Under this method, the investments in subsidiaries are recorded at cost and adjusted for the Company’s share of subsidiaries’ cumulative results of operations, capital contributions, distributions and other equity changes. Intercompany charges (income) between the Parent and subsidiaries are recognized in the condensed consolidating financial statements during the period incurred and the settlement of intercompany balances is reflected in the condensed consolidating statement of cash flows based on the nature of the underlying transactions. Consolidating adjustments include consolidating and eliminating entries for investments in subsidiaries, intercompany activity and balances. | ||||||||||||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED BALANCE SHEET | ||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||
(In thousands except share and per share data) | ||||||||||||||||||||
BALANCE SHEET | j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | 226,790 | 36,810 | 170,063 | — | 433,663 | |||||||||||||||
Short-term investments | 47,880 | 48,261 | 65 | — | 96,206 | |||||||||||||||
Accounts receivable, net | — | 11,167 | 80,532 | — | 91,699 | |||||||||||||||
Prepaid expenses and other current assets | 776 | 12,689 | 9,137 | — | 22,602 | |||||||||||||||
Deferred income taxes | 1,271 | — | 742 | — | 2,013 | |||||||||||||||
Intercompany receivable | 110,000 | 74,938 | 1,428 | (186,366 | ) | — | ||||||||||||||
Total current assets | 386,717 | 183,865 | 261,967 | (186,366 | ) | 646,183 | ||||||||||||||
Long-term investments | 55,452 | 5,056 | — | — | 60,508 | |||||||||||||||
Property and equipment, net | — | 8,011 | 30,206 | — | 38,217 | |||||||||||||||
Trade names, net | — | 10,231 | 95,320 | — | 105,551 | |||||||||||||||
Patent and patent licenses, net | — | 886 | 24,041 | — | 24,927 | |||||||||||||||
Customer relationships, net | — | 2,206 | 161,560 | — | 163,766 | |||||||||||||||
Goodwill | — | 52,131 | 583,544 | — | 635,675 | |||||||||||||||
Other purchased intangibles, net | — | 4,276 | 13,280 | — | 17,556 | |||||||||||||||
Investment in subsidiaries | 826,289 | 900,681 | 8,716 | (1,735,686 | ) | — | ||||||||||||||
Other assets | 9,328 | 1,368 | 2,123 | — | 12,819 | |||||||||||||||
Total assets | $ | 1,277,786 | $ | 1,168,711 | $ | 1,180,757 | $ | (1,922,052 | ) | $ | 1,705,202 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable and accrued expenses | 2,834 | 28,414 | 64,062 | — | 95,310 | |||||||||||||||
Deferred revenue | — | 23,091 | 40,366 | — | 63,457 | |||||||||||||||
Deferred income taxes | — | — | 342 | — | 342 | |||||||||||||||
Capital lease, current | — | — | 258 | — | 258 | |||||||||||||||
Intercompany payable | 76,366 | — | 110,000 | (186,366 | ) | — | ||||||||||||||
Total current liabilities | 79,200 | 51,505 | 215,028 | (186,366 | ) | 159,367 | ||||||||||||||
Long-term debt | 347,163 | 246,187 | — | — | 593,350 | |||||||||||||||
Capital lease, non-current | — | — | 141 | — | 141 | |||||||||||||||
Liability for uncertain tax positions | — | 37,551 | — | — | 37,551 | |||||||||||||||
Deferred income taxes | 21,728 | (1,837 | ) | 42,069 | — | 61,960 | ||||||||||||||
Deferred revenue, non-current | — | 8,187 | 1,995 | — | 10,182 | |||||||||||||||
Other long-term liabilities | 744 | 829 | 20,843 | — | 22,416 | |||||||||||||||
Total liabilities | 448,835 | 342,422 | 280,076 | (186,366 | ) | 884,967 | ||||||||||||||
Common stock, $0.01 par value | 474 | — | — | — | 474 | |||||||||||||||
Additional paid-in capital | 273,304 | 232,340 | 421,676 | (654,016 | ) | 273,304 | ||||||||||||||
Retained earnings | 555,158 | 584,591 | 495,505 | (1,081,670 | ) | 553,584 | ||||||||||||||
Accumulated other comprehensive income (loss) | 15 | 9,358 | (16,500 | ) | — | (7,127 | ) | |||||||||||||
Total stockholders’ equity | 828,951 | 826,289 | 900,681 | (1,735,686 | ) | 820,235 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,277,786 | $ | 1,168,711 | $ | 1,180,757 | $ | (1,922,052 | ) | $ | 1,705,202 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED BALANCE SHEET | ||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||
(In thousands except share and per share data) | ||||||||||||||||||||
BALANCE SHEET | j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | — | 34,406 | 173,395 | — | 207,801 | |||||||||||||||
Short-term investments | — | 67,848 | 22,941 | — | 90,789 | |||||||||||||||
Accounts receivable, net | — | 11,541 | 55,704 | — | 67,245 | |||||||||||||||
Prepaid expenses and other current assets | — | 16,662 | 3,402 | — | 20,064 | |||||||||||||||
Deferred income taxes | — | — | 3,126 | — | 3,126 | |||||||||||||||
Intercompany receivable | — | 4,433 | — | (4,433 | ) | — | ||||||||||||||
Total current assets | — | 134,890 | 258,568 | (4,433 | ) | 389,025 | ||||||||||||||
Long-term investments | — | 47,351 | — | — | 47,351 | |||||||||||||||
Property and equipment, net | — | 11,232 | 19,968 | — | 31,200 | |||||||||||||||
Trade names, net | — | 12,119 | 70,989 | — | 83,108 | |||||||||||||||
Patent and patent licenses, net | — | 15,107 | 13,423 | — | 28,530 | |||||||||||||||
Customer relationships, net | — | 6,125 | 94,855 | — | 100,980 | |||||||||||||||
Goodwill | — | 86,025 | 371,397 | — | 457,422 | |||||||||||||||
Other purchased intangibles, net | — | 5,306 | 5,609 | — | 10,915 | |||||||||||||||
Investment in subsidiaries | — | 741,843 | — | (741,843 | ) | — | ||||||||||||||
Deferred income taxes | — | 202 | 1,643 | — | 1,845 | |||||||||||||||
Other assets | — | 1,578 | 1,835 | — | 3,413 | |||||||||||||||
Total assets | $ | — | $ | 1,061,778 | $ | 838,287 | $ | (746,276 | ) | $ | 1,153,789 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable and accrued expenses | — | 29,419 | 40,151 | — | 69,570 | |||||||||||||||
Income taxes payable | — | — | 1,569 | — | 1,569 | |||||||||||||||
Deferred revenue | — | 23,762 | 12,564 | — | 36,326 | |||||||||||||||
Liability for uncertain tax positions | — | 5,532 | 3 | — | 5,535 | |||||||||||||||
Deferred income taxes | — | 906 | 986 | — | 1,892 | |||||||||||||||
Intercompany payable | — | — | 4,433 | (4,433 | ) | — | ||||||||||||||
Total current liabilities | — | 59,619 | 59,706 | (4,433 | ) | 114,892 | ||||||||||||||
Long-term debt | — | 245,670 | — | — | 245,670 | |||||||||||||||
Liability for uncertain tax positions | — | 38,329 | — | — | 38,329 | |||||||||||||||
Deferred income taxes | — | — | 35,833 | — | 35,833 | |||||||||||||||
Deferred revenue, non-current | — | 10,753 | 436 | — | 11,189 | |||||||||||||||
Other long-term liabilities | — | 989 | 469 | — | 1,458 | |||||||||||||||
Total liabilities | — | 355,360 | 96,444 | (4,433 | ) | 447,371 | ||||||||||||||
Common stock, $0.01 par value | — | 461 | 34 | (34 | ) | 461 | ||||||||||||||
Additional paid-in capital - common | — | 216,872 | 326,983 | (326,983 | ) | 216,872 | ||||||||||||||
Retained earnings | — | 482,540 | 417,136 | (414,826 | ) | 484,850 | ||||||||||||||
Accumulated other comprehensive loss | — | 6,545 | (2,310 | ) | — | 4,235 | ||||||||||||||
Total stockholders’ equity | — | 706,418 | 741,843 | (741,843 | ) | 706,418 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | — | $ | 1,061,778 | $ | 838,287 | $ | (746,276 | ) | $ | 1,153,789 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 227,860 | $ | 412,217 | $ | (41,047 | ) | $ | 599,030 | |||||||||
Cost of revenues | — | 51,391 | 95,386 | (40,788 | ) | 105,989 | ||||||||||||||
Gross profit | — | 176,469 | 316,831 | (259 | ) | 493,041 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 36,414 | 105,812 | (259 | ) | 141,967 | ||||||||||||||
Research, development and engineering | — | 14,055 | 16,625 | — | 30,680 | |||||||||||||||
General and administrative | 6,401 | 30,300 | 97,487 | — | 134,188 | |||||||||||||||
Total operating expenses | 6,401 | 80,769 | 219,924 | (259 | ) | 306,835 | ||||||||||||||
Income from operations | (6,401 | ) | 95,700 | 96,907 | — | 186,206 | ||||||||||||||
Equity earnings in Subsidiaries | 135,838 | 77,051 | — | (212,889 | ) | — | ||||||||||||||
Interest expense (income), net | 10,442 | 20,478 | 284 | — | 31,204 | |||||||||||||||
Other expense (income), net | (23 | ) | 141 | (283 | ) | — | (165 | ) | ||||||||||||
Income before income taxes | 119,018 | 152,132 | 96,906 | (212,889 | ) | 155,167 | ||||||||||||||
Income tax expense | (6,309 | ) | 16,294 | 19,855 | — | 29,840 | ||||||||||||||
Net income | 125,327 | 135,838 | 77,051 | (212,889 | ) | 125,327 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Less extinguishment of Series A preferred stock | (991 | ) | — | — | — | (991 | ) | |||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 124,336 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 124,336 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 255,413 | $ | 369,079 | $ | (103,691 | ) | $ | 520,801 | |||||||||
Cost of revenues | — | 84,655 | 105,480 | (103,242 | ) | 86,893 | ||||||||||||||
Gross profit | — | 170,758 | 263,599 | (449 | ) | 433,908 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 41,555 | 90,211 | (449 | ) | 131,317 | ||||||||||||||
Research, development and engineering | — | 12,977 | 12,508 | — | 25,485 | |||||||||||||||
General and administrative | — | 37,634 | 64,049 | — | 101,683 | |||||||||||||||
Total operating expenses | — | 92,166 | 166,768 | (449 | ) | 258,485 | ||||||||||||||
Income from operations | — | 78,592 | 96,831 | — | 175,423 | |||||||||||||||
Equity earnings in Subsidiaries | — | 61,551 | — | (61,551 | ) | — | ||||||||||||||
Interest expense (income), net | — | 9,292 | 11,962 | — | 21,254 | |||||||||||||||
Other expense (income), net | — | (369 | ) | 11,841 | — | 11,472 | ||||||||||||||
Income before income taxes | — | 131,220 | 73,028 | (61,551 | ) | 142,697 | ||||||||||||||
Income tax expense | — | 23,698 | 11,477 | — | 35,175 | |||||||||||||||
Net income | — | 107,522 | 61,551 | (61,551 | ) | 107,522 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 222,203 | $ | 206,045 | $ | (56,852 | ) | $ | 371,396 | |||||||||
Cost of revenues | — | 85,826 | 38,039 | (56,852 | ) | 67,013 | ||||||||||||||
Gross profit | — | 136,377 | 168,006 | — | 304,383 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 35,677 | 27,148 | — | 62,825 | |||||||||||||||
Research, development and engineering | — | 11,878 | 6,746 | — | 18,624 | |||||||||||||||
General and administrative | — | 35,558 | 25,214 | — | 60,772 | |||||||||||||||
Total operating expenses | — | 83,113 | 59,108 | — | 142,221 | |||||||||||||||
Income from operations | — | 53,264 | 108,898 | — | 162,162 | |||||||||||||||
Equity earnings in Subsidiaries | — | 91,539 | — | (91,539 | ) | — | ||||||||||||||
Interest expense (income), net | — | 3,911 | 3,739 | — | 7,650 | |||||||||||||||
Other expense (income), net | — | (168 | ) | (242 | ) | — | (410 | ) | ||||||||||||
Income before income taxes | — | 141,060 | 105,401 | (91,539 | ) | 154,922 | ||||||||||||||
Income tax expense | — | 19,480 | 13,779 | — | 33,259 | |||||||||||||||
Net income | — | 121,580 | 91,622 | (91,539 | ) | 121,663 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | 83 | — | 83 | |||||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | — | $ | 121,580 | $ | 91,539 | $ | (91,539 | ) | $ | 121,580 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | 125,327 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 125,327 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | (478 | ) | (14,216 | ) | — | (14,694 | ) | ||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | 15 | 3,307 | 10 | — | 3,332 | |||||||||||||||
Other comprehensive income (loss), net of tax | 15 | 2,829 | (14,206 | ) | — | (11,362 | ) | |||||||||||||
Comprehensive income (loss) | $ | 125,342 | $ | 138,667 | $ | 62,845 | $ | (212,889 | ) | $ | 113,965 | |||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | 125,342 | $ | 138,667 | $ | 62,845 | $ | (212,889 | ) | $ | 113,965 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | (43 | ) | 121 | — | 78 | ||||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | — | 4,249 | (4 | ) | — | 4,245 | ||||||||||||||
Other comprehensive income, net of tax | — | 4,206 | 117 | — | 4,323 | |||||||||||||||
Comprehensive income | $ | — | $ | 111,728 | $ | 61,668 | $ | (61,551 | ) | $ | 111,845 | |||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | — | $ | 111,728 | $ | 61,668 | $ | (61,551 | ) | $ | 111,845 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | — | $ | 121,580 | $ | 91,622 | $ | (91,539 | ) | $ | 121,663 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | 521 | 914 | — | 1,435 | |||||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | — | 1,960 | (6 | ) | — | 1,954 | ||||||||||||||
Other comprehensive income, net of tax | — | 2,481 | 908 | — | 3,389 | |||||||||||||||
Comprehensive income | — | 124,061 | 92,530 | (91,539 | ) | 125,052 | ||||||||||||||
Net loss attributable to noncontrolling interest | — | — | 83 | — | 83 | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | — | $ | 124,061 | $ | 92,447 | $ | (91,539 | ) | $ | 124,969 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | 125,327 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 125,327 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 6,047 | 56,906 | — | 62,953 | |||||||||||||||
Accretion and amortization of discount and premium of investments | 392 | 722 | 220 | — | 1,334 | |||||||||||||||
Amortization of financing costs and discounts | 4,297 | 748 | — | — | 5,045 | |||||||||||||||
Share-based compensation | 2,353 | 5,325 | 1,230 | — | 8,908 | |||||||||||||||
Excess tax benefits from share-based compensation | (86 | ) | (4,803 | ) | (623 | ) | — | (5,512 | ) | |||||||||||
Provision for doubtful accounts | — | 2,114 | 2,588 | — | 4,702 | |||||||||||||||
Equity earnings in subsidiaries | (135,838 | ) | (77,051 | ) | — | 212,889 | — | |||||||||||||
Deferred income taxes | (1,392 | ) | (5,767 | ) | (2,874 | ) | — | (10,033 | ) | |||||||||||
(Gain) Loss on disposal of fixed assets | — | — | — | — | — | |||||||||||||||
(Gain) loss on available-for-sale investment | 26 | (58 | ) | (58 | ) | (90 | ) | |||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (2,490 | ) | (8,588 | ) | — | (11,078 | ) | ||||||||||||
Prepaid expenses and other current assets | (776 | ) | (8,757 | ) | 6,321 | — | (3,212 | ) | ||||||||||||
Other assets | — | — | (42 | ) | — | (42 | ) | |||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | 2,835 | (1,173 | ) | (7,109 | ) | — | (5,447 | ) | ||||||||||||
Income taxes payable | 2,055 | 17,384 | (8,642 | ) | — | 10,797 | ||||||||||||||
Deferred revenue | — | (2,067 | ) | 1,356 | — | (711 | ) | |||||||||||||
Liability for uncertain tax positions | — | (6,311 | ) | (2 | ) | — | (6,313 | ) | ||||||||||||
Other long-term liabilities | 742 | (157 | ) | 18 | — | 603 | ||||||||||||||
Net cash (used in) provided by operating activities | (65 | ) | 59,544 | 117,752 | — | 177,231 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 8,210 | 6,310 | — | 14,520 | |||||||||||||||
Purchase of certificates of deposit | — | — | (65 | ) | — | (65 | ) | |||||||||||||
Sales of available-for-sale investments | 40,211 | 53,563 | 16,589 | — | 110,363 | |||||||||||||||
Purchase of available-for-sale investments | (81,061 | ) | (57,391 | ) | — | — | (138,452 | ) | ||||||||||||
Purchases of property and equipment | — | (2,866 | ) | (8,963 | ) | — | (11,829 | ) | ||||||||||||
Proceeds from sale of assets | — | 608 | — | — | 608 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (2,083 | ) | (243,195 | ) | — | (245,278 | ) | ||||||||||||
Purchases of intangible assets | — | (2,949 | ) | (2,387 | ) | — | (5,336 | ) | ||||||||||||
Investment in subsidiaries | — | (23,821 | ) | — | 23,821 | — | ||||||||||||||
Net cash (used in) provided by investing activities | (40,850 | ) | (26,729 | ) | (231,711 | ) | 23,821 | (275,469 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | 402,500 | — | — | — | 402,500 | |||||||||||||||
Debt issuance cost | (11,991 | ) | — | — | — | (11,991 | ) | |||||||||||||
Repurchases of common and restricted stock | (930 | ) | (4,733 | ) | — | — | (5,663 | ) | ||||||||||||
Issuance of common stock under employee stock purchase plan | 142 | 123 | — | — | 265 | |||||||||||||||
Exercise of stock options | 1,374 | 5,193 | 54 | — | 6,621 | |||||||||||||||
Mandatorily redeemable preferred stock | — | — | — | — | — | |||||||||||||||
Dividends paid | (26,967 | ) | (25,302 | ) | — | — | (52,269 | ) | ||||||||||||
Excess tax benefits from share-based compensation | 86 | 4,803 | 623 | — | 5,512 | |||||||||||||||
Deferred payments for acquisitions | — | — | (16,512 | ) | — | (16,512 | ) | |||||||||||||
Other | — | — | (933 | ) | — | (933 | ) | |||||||||||||
Intercompany | (96,509 | ) | (10,495 | ) | 130,825 | (23,821 | ) | — | ||||||||||||
Net cash (used in) provided by financing activities | 267,705 | (30,411 | ) | 114,057 | (23,821 | ) | 327,530 | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (3,430 | ) | — | (3,430 | ) | |||||||||||||
Net change in cash and cash equivalents | 226,790 | 2,404 | (3,332 | ) | — | 225,862 | ||||||||||||||
Cash and cash equivalents at beginning of period | — | 34,406 | 173,395 | — | 207,801 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 226,790 | $ | 36,810 | $ | 170,063 | $ | — | $ | 433,663 | ||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 9,201 | 30,587 | — | 39,788 | |||||||||||||||
Accretion and amortization of discount and premium of investments | — | 1,273 | 523 | — | 1,796 | |||||||||||||||
Amortization of financing costs and discounts | — | 613 | — | — | 613 | |||||||||||||||
Share-based compensation | — | 9,720 | — | — | 9,720 | |||||||||||||||
Excess tax benefits from share-based compensation | — | (2,695 | ) | — | — | (2,695 | ) | |||||||||||||
Provision for doubtful accounts | — | 1,219 | 1,916 | — | 3,135 | |||||||||||||||
Equity earnings in subsidiaries | — | (61,551 | ) | — | 61,551 | — | ||||||||||||||
Deferred income taxes | — | (495 | ) | 745 | — | 250 | ||||||||||||||
(Gain) Loss on disposal of fixed assets | — | — | 8 | — | 8 | |||||||||||||||
(Gain) loss on available-for-sale investment | — | (51 | ) | 117 | 66 | |||||||||||||||
Loss on extinguishment of debt and related interest expense | — | — | 14,437 | — | 14,437 | |||||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (1,656 | ) | (7,932 | ) | — | (9,588 | ) | ||||||||||||
Prepaid expenses and other current assets | — | 784 | (635 | ) | — | 149 | ||||||||||||||
Other assets | — | (57 | ) | 225 | — | 168 | ||||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | — | (124 | ) | 9,250 | — | 9,126 | ||||||||||||||
Income taxes payable | — | (923 | ) | 1,590 | — | 667 | ||||||||||||||
Deferred revenue | — | 13,415 | (1,047 | ) | — | 12,368 | ||||||||||||||
Liability for uncertain tax positions | — | 6,184 | 2 | — | 6,186 | |||||||||||||||
Other long-term liabilities | — | (88 | ) | (304 | ) | — | (392 | ) | ||||||||||||
Net cash provided by operating activities | — | 82,291 | 111,033 | — | 193,324 | |||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 30,270 | 12,345 | — | 42,615 | |||||||||||||||
Purchase of certificates of deposit | — | (16,375 | ) | (5,696 | ) | — | (22,071 | ) | ||||||||||||
Sales of available-for-sale investments | — | 124,745 | 15,381 | — | 140,126 | |||||||||||||||
Purchase of available-for-sale investments | — | (149,748 | ) | (19,153 | ) | — | (168,901 | ) | ||||||||||||
Purchases of property and equipment | — | (6,223 | ) | (12,404 | ) | — | (18,627 | ) | ||||||||||||
Proceeds from sale of assets | — | 1 | — | — | 1 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (4,043 | ) | (122,298 | ) | — | (126,341 | ) | ||||||||||||
Purchases of intangible assets | — | (3,034 | ) | (11,166 | ) | — | (14,200 | ) | ||||||||||||
Investment in subsidiaries | — | (14,920 | ) | — | 14,920 | — | ||||||||||||||
Other | — | 3,281 | (3,281 | ) | — | — | ||||||||||||||
Net cash (used in) provided by investing activities | — | (36,046 | ) | (146,272 | ) | 14,920 | (167,398 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | — | — | — | — | — | |||||||||||||||
Debt issuance costs | — | (47 | ) | — | — | (47 | ) | |||||||||||||
Repurchases of common stock and restricted stock | — | (4,587 | ) | — | — | (4,587 | ) | |||||||||||||
Issuance of common stock under employee stock purchase plan | — | 213 | — | — | 213 | |||||||||||||||
Exercise of stock options | — | 13,604 | — | — | 13,604 | |||||||||||||||
Mandatorily redeemable preferred stock | — | — | — | — | ||||||||||||||||
Dividends paid | — | (45,134 | ) | — | — | (45,134 | ) | |||||||||||||
Excess tax benefits from share-based compensation | — | 2,695 | — | — | 2,695 | |||||||||||||||
Deferred payments for acquisitions | — | — | — | — | — | |||||||||||||||
Other | — | — | (2,437 | ) | — | (2,437 | ) | |||||||||||||
Intercompany | — | (55,295 | ) | 70,215 | (14,920 | ) | — | |||||||||||||
Net cash (used in) provided by financing activities | — | (88,551 | ) | 67,778 | (14,920 | ) | (35,693 | ) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (1,112 | ) | — | (1,112 | ) | |||||||||||||
Net change in cash and cash equivalents | — | (42,306 | ) | 31,427 | — | (10,879 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | — | 76,712 | 141,968 | — | 218,680 | |||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 34,406 | $ | 173,395 | $ | — | $ | 207,801 | ||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | — | $ | 121,580 | $ | 91,622 | $ | (91,539 | ) | $ | 121,663 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 8,590 | 13,574 | — | 22,164 | |||||||||||||||
Accretion and amortization of discount and premium of investments | — | 1,461 | 142 | — | 1,603 | |||||||||||||||
Amortization of financing costs and discounts | — | 249 | — | — | 249 | |||||||||||||||
Share-based compensation | — | 9,132 | — | — | 9,132 | |||||||||||||||
Excess tax benefits from share-based compensation | — | (961 | ) | — | — | (961 | ) | |||||||||||||
Provision for doubtful accounts | — | 293 | 3,996 | — | 4,289 | |||||||||||||||
Equity earnings in subsidiaries | — | (91,539 | ) | — | 91,539 | — | ||||||||||||||
Deferred income taxes | — | 4,839 | (3,689 | ) | — | 1,150 | ||||||||||||||
(Gain) Loss on disposal of fixed assets | — | 54 | — | — | 54 | |||||||||||||||
(Gain) loss on available-for-sale investment | — | (266 | ) | — | (266 | ) | ||||||||||||||
Loss on extinguishment of debt and related interest expense | — | — | — | — | — | |||||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (822 | ) | (4,595 | ) | — | (5,417 | ) | ||||||||||||
Prepaid expenses and other current assets | — | (1,265 | ) | (763 | ) | — | (2,028 | ) | ||||||||||||
Other assets | — | 123 | (366 | ) | (243 | ) | ||||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | — | 10,599 | (5,461 | ) | — | 5,138 | ||||||||||||||
Income taxes payable | — | 2,193 | 1,946 | — | 4,139 | |||||||||||||||
Deferred revenue | — | 878 | 734 | — | 1,612 | |||||||||||||||
Liability for uncertain tax positions | — | 7,601 | — | — | 7,601 | |||||||||||||||
Other long-term liabilities | — | 99 | (67 | ) | — | 32 | ||||||||||||||
Net cash provided by operating activities | — | 72,838 | 97,073 | — | 169,911 | |||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 8,000 | — | — | 8,000 | |||||||||||||||
Purchase of certificates of deposit | — | (22,106 | ) | (12,567 | ) | — | (34,673 | ) | ||||||||||||
Sales of available-for-sale investments | — | 138,709 | — | — | 138,709 | |||||||||||||||
Purchase of available-for-sale investments | — | (139,087 | ) | (12,902 | ) | — | (151,989 | ) | ||||||||||||
Purchases of property and equipment | — | (2,677 | ) | (2,384 | ) | — | (5,061 | ) | ||||||||||||
Proceeds from sale of assets | — | 136 | 20 | — | 156 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (1,811 | ) | (196,530 | ) | — | (198,341 | ) | ||||||||||||
Purchases of intangible assets | — | (4,433 | ) | (1,862 | ) | — | (6,295 | ) | ||||||||||||
Investment in subsidiaries | — | (171,562 | ) | — | 171,562 | — | ||||||||||||||
Other | — | — | — | — | — | |||||||||||||||
Net cash (used in) provided by investing activities | — | (194,831 | ) | (226,225 | ) | 171,562 | (249,494 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | — | 245,000 | — | — | 245,000 | |||||||||||||||
Debt issuance cost | — | (1,384 | ) | — | — | (1,384 | ) | |||||||||||||
Repurchases of common and restricted stock | — | (60,282 | ) | — | — | (60,282 | ) | |||||||||||||
Issuance of common stock under employee stock purchase plan | — | 157 | — | — | 157 | |||||||||||||||
Exercise of stock options | — | 5,646 | — | 5,646 | ||||||||||||||||
Mandatorily redeemable preferred stock | — | — | 8,557 | — | 8,557 | |||||||||||||||
Dividends paid | — | (40,263 | ) | — | — | (40,263 | ) | |||||||||||||
Excess tax benefits from share-based compensation | — | 961 | — | — | 961 | |||||||||||||||
Deferred payments for acquisitions | — | — | — | — | — | |||||||||||||||
Other | — | — | — | — | — | |||||||||||||||
Intercompany | — | 3,746 | 167,816 | (171,562 | ) | — | ||||||||||||||
Net cash (used in) provided by financing activities | — | 153,581 | 176,373 | (171,562 | ) | 158,392 | ||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | 512 | — | 512 | |||||||||||||||
Net change in cash and cash equivalents | — | 31,588 | 47,733 | — | 79,321 | |||||||||||||||
Cash and cash equivalents at beginning of period | — | 45,124 | 94,235 | — | 139,359 | |||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 76,712 | $ | 141,968 | $ | — | $ | 218,680 | ||||||||||
Supplemental_Cash_Flows_Inform
Supplemental Cash Flows Information | 12 Months Ended |
Dec. 31, 2014 | |
Supplemental Cash Flows Information [Abstract] | |
Cash Flow, Supplemental Disclosures [Text Block] | Supplemental Cash Flows Information |
Cash paid for interest during the years ended December 31, 2014, 2013 and 2012 was $26.6 million, $21.1 million and $0.4 million, respectively, substantially all of which related to interest on outstanding debt, foreign taxes and interest on settled acquisition holdback. | |
Cash paid for income taxes net of refunds received was $49.5 million, $28.3 million and $20.4 million during the years ended December 31, 2014, 2013 and 2012, respectively. | |
The Company acquired property and equipment for $0.6 million, $0.9 million and $0.6 million during the years ended December 31, 2014, 2013 and 2012, respectively, which had not been yet paid at the end of each such year. | |
During the years ended December 31, 2014, 2013 and 2012, j2 Global recorded the tax benefit from the exercise of stock options and restricted stock as a reduction of its income tax liability of $10.2 million, $7.1 million and $3.3 million, respectively. | |
Included in the purchase prices of the acquisitions closed during the years ended December 31, 2014, 2013 and 2012 were contingent holdbacks of $45.3 million, $7.0 million and $2.5 million, respectively. These are recorded as current accrued expenses or other long-term liabilities with a maturity equal to the expected holdback release date. | |
In connection with the December 31, 2013 reorganization of Ziff Davis, Inc. into Ziff Davis, LLC, the Company acquired, in a non-cash transaction, all of the minority holders' equity interests in ZD, Inc., which included shares of Ziff Davis, Inc. Series A Preferred Stock and Ziff Davis, Inc. common stock. In this transaction, the Company issued the minority holders an aggregate fair market value of j2 common stock, j2 Series A Preferred Stock and j2 Series B Preferred Stock equal to the fair market value of the minority holders' shares in ZD, Inc. (see Note 12 - Stockholders' Equity). As a result of this reorganization, on December 31, 2013, the Ziff Davis Series A Preferred Stock and Ziff Davis common stock was extinguished, resulting in loss on extinguishment of debt and related interest expense of $14.4 million within the consolidated statement of income, in accordance with ASC 480, Distinguishing Liabilities from Equity. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Notes) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ||||||||||||
Comprehensive Income (Loss) Note [Text Block] | Accumulated Other Comprehensive Income | |||||||||||
The following table summarizes the changes in accumulated balances of other comprehensive income, net of tax, for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||
Unrealized Gains (Losses) on Investments | Foreign Currency Translation | Total | ||||||||||
Balance as of January 1, 2013 | $ | 1,811 | $ | (1,899 | ) | $ | (88 | ) | ||||
Other comprehensive income (loss) before reclassifications | 4,236 | (10 | ) | 4,226 | ||||||||
Amounts reclassified from accumulated other comprehensive income | 9 | 88 | 97 | |||||||||
Net increase in other comprehensive income | 4,245 | 78 | 4,323 | |||||||||
Balance as of December 31, 2013 | $ | 6,056 | $ | (1,821 | ) | $ | 4,235 | |||||
Other comprehensive income (loss) before reclassifications | 3,346 | (14,694 | ) | (11,348 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income | (14 | ) | — | (14 | ) | |||||||
Net increase (decrease) in other comprehensive income | 3,332 | (14,694 | ) | (11,362 | ) | |||||||
Balance as of December 31, 2014 | $ | 9,388 | $ | (16,515 | ) | $ | (7,127 | ) | ||||
The following table provides details about reclassifications out of accumulated other comprehensive income for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||
Details about Accumulated Other Comprehensive Income Components | Amount Reclassified from Accumulated Other Comprehensive Income | Affected Line Item in the Statement of Income | ||||||||||
Year Ended December 31, 2013 | Year Ended December 31, 2014 | |||||||||||
Cumulative translation adjustment | $ | 116 | $ | — | Other expense (income), net | |||||||
116 | — | Total, before income taxes | ||||||||||
(28 | ) | — | Income tax expense (benefit) | |||||||||
$ | 88 | $ | — | Total, net of tax | ||||||||
Unrealized gain (loss) on available-for-sale investments | $ | 14 | $ | (23 | ) | Other expense (income), net | ||||||
14 | (23 | ) | Total, before income taxes | |||||||||
(5 | ) | 9 | Income tax expense (benefit) | |||||||||
9 | (14 | ) | Total, net of tax | |||||||||
Total reclassifications for the period | $ | 97 | $ | (14 | ) | Total, net of tax | ||||||
Quarterly_Results
Quarterly Results | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Results [Abstract] | ||||||||||||||||
Quarterly Financial Information [Text Block] | Quarterly Results (unaudited) | |||||||||||||||
The following tables contain selected unaudited statement of income information for each quarter of 2014 and 2013 (in thousands, except share and per share data). j2 Global believes that the following information reflects all normal recurring adjustments necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period. | ||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 167,144 | $ | 153,018 | $ | 144,744 | $ | 134,124 | ||||||||
Gross profit | 138,145 | 124,974 | 119,186 | 110,736 | ||||||||||||
Net income | 32,754 | 28,759 | 35,049 | 28,765 | ||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | 31,763 | 28,759 | 35,049 | 28,765 | ||||||||||||
Net income per common share: | ||||||||||||||||
Basic | $ | 0.66 | $ | 0.6 | $ | 0.73 | $ | 0.61 | ||||||||
Diluted | $ | 0.66 | $ | 0.6 | $ | 0.73 | $ | 0.6 | ||||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 47,146,503 | 46,845,477 | 46,745,596 | 46,365,158 | ||||||||||||
Diluted | 47,468,841 | 47,163,912 | 47,067,767 | 46,765,732 | ||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 138,035 | $ | 127,788 | $ | 141,361 | $ | 113,617 | ||||||||
Gross profit | 115,857 | 105,987 | 118,682 | 93,382 | ||||||||||||
Net income | 20,754 | 27,806 | 36,040 | 22,922 | ||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | 20,754 | 27,806 | 36,040 | 22,922 | ||||||||||||
Net income per common share: | ||||||||||||||||
Basic | $ | 0.45 | $ | 0.6 | $ | 0.78 | $ | 0.5 | ||||||||
Diluted | $ | 0.44 | $ | 0.59 | $ | 0.77 | $ | 0.49 | ||||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 45,867,769 | 45,729,171 | 45,428,230 | 45,160,140 | ||||||||||||
Diluted | 46,382,363 | 46,291,631 | 46,018,245 | 45,668,167 | ||||||||||||
Unrestricted_Subsidiaries_Note
Unrestricted Subsidiaries (Notes) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Unrestricted Subsidiaries [Abstract] | ||||
Unrestricted Subsidiaries [Text Block] | Unrestricted Subsidiaries (unaudited) | |||
As of December 31, 2013, the Company's Board of Directors had designated the following entities as “Unrestricted Subsidiaries” under the indenture governing j2 Cloud Services' Senior Notes: | ||||
Ziff Davis, LLC and subsidiaries. | ||||
Advanced Messaging Technologies, Inc. and subsidiaries | ||||
The financial position and results of operations of these Unrestricted Subsidiaries are included in the Company's consolidated financial statements. | ||||
As required by the indenture governing j2 Cloud Services' Senior Notes, information sufficient to ascertain the financial condition and results of operations excluding the Unrestricted Subsidiaries must be presented. Accordingly, the Company is presenting the following tables. | ||||
The consolidated financial position of the Unrestricted Subsidiaries as of December 31, 2014 is as follows (in thousands): | ||||
December 31, 2014 | ||||
ASSETS | ||||
Cash and cash equivalents | $ | 27,944 | ||
Accounts receivable | 57,005 | |||
Prepaid expenses and other current assets | 2,986 | |||
Deferred income taxes | 5,292 | |||
Total current assets | 93,227 | |||
Property and equipment, net | 12,834 | |||
Trade names, net | 70,310 | |||
Patent and patent licenses, net | 24,007 | |||
Customer relationships, net | 55,925 | |||
Goodwill | 245,613 | |||
Other purchased intangibles, net | 8,901 | |||
Deferred income taxes | — | |||
Other assets | 1,706 | |||
Total assets | $ | 512,523 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable and accrued expenses | $ | 40,296 | ||
Income taxes payable | 316 | |||
Deferred revenue | 5,277 | |||
Total current liabilities | 45,889 | |||
Long-term debt | 110,000 | |||
Deferred income taxes | 17,397 | |||
Other long-term liabilities | 16,243 | |||
Mandatorily redeemable financial instrument | — | |||
Total liabilities | 189,529 | |||
Additional paid-in capital | 317,932 | |||
Retained earnings | 6,051 | |||
Accumulated other comprehensive loss | (989 | ) | ||
Total stockholders’ equity | 322,994 | |||
Total equity | 322,994 | |||
Total liabilities and stockholders’ equity | $ | 512,523 | ||
The consolidated results of operations of the Unrestricted Subsidiaries for the year ended December 31, 2014 is as follows (in thousands): | ||||
Year Ended December 31, | ||||
2014 | ||||
Revenues | $ | 169,065 | ||
Cost of revenues | 19,028 | |||
Gross profit | 150,037 | |||
Operating expenses: | ||||
Sales and marketing | 68,057 | |||
Research, development and engineering | 5,485 | |||
General and administrative | 52,768 | |||
Total operating expenses | 126,310 | |||
Income from operations | 23,727 | |||
Other income (expenses): | ||||
Interest expense (income), net | 821 | |||
Other expense (income), net | 347 | |||
Income before income taxes | 22,559 | |||
Income tax (benefit) expense | 4,883 | |||
Net income | 17,676 | |||
Less net income attributable to noncontrolling interest | — | |||
Net income attributable to common stockholders | $ | 17,676 | ||
Subsequent_Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2014 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events |
On February 10, 2015, the Company's Board of Directors approved a quarterly cash dividend of $0.2925 per share of common stock payable on March 9, 2015 to all stockholders of record as of the close of business on February 23, 2015. In addition, the Company's Board of Directors extended the Company's share repurchase program set to expire February 20, 2015 to February 19, 2016. Finally, on February 10, 2015, the Company's Board of Directors appointed Jon Miller as a director, effective immediately. | |
On February 11, 2015, in a cash transaction, the Company acquired Firstway Digital Limited, an Ireland global provider of digital fax services. | |
On February 13, 2015, in a cash transaction, the Company acquired certain assets of inHouseIT, Inc. (d/b/a Nuvotera), a California based provider of email security services. | |
On February 19, 2015, in a cash transaction, the Company acquired certain assets of EmailDirect, a California-based provider of email marketing services. |
Basis_Of_Presentation_Policy
Basis Of Presentation (Policy) | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Business Combinations Policy [Policy Text Block] | ||
(o) | Contingent Consideration | |
j2 Global measures the contingent earn-out liabilities at fair value on a recurring basis using significant unobservable inputs classified within Level 3 of the fair value hierarchy (see Note 5 - Fair Value Measurements). The Company may use various valuation techniques depending on the terms and conditions of the contingent consideration including a Monte-Carlo simulation. This simulation uses probability distribution for each significant input to produce hundreds or thousands of possible outcomes and the results are analyzed to determine probabilities of different outcomes occurring. Significant increases or decreases to these inputs in isolation would result in a significantly higher or lower liability with a higher liability capped by the contractual maximum of the contingent earn-out obligation. Ultimately, the liability will be equivalent to the amount paid, and the difference between the fair value estimate and amount paid will be recorded in earnings. The amount paid that is less than or equal to the liability on the acquisition date is reflected as cash used in financing activities in our consolidated statements of cash flows. Any amount paid in excess of the liability on the acquisition date is reflected as cash used in operating activities. | ||
j2 Global reviews and re-assess the estimated fair value of contingent consideration on a quarterly basis, and the updated fair value could differ materially from the initial estimates. Changes in the estimated fair value of our contingent earn-out liabilities related to the time component of the present value calculation are reported in interest expense. Adjustments to the estimated fair value related to changes in all other unobservable inputs are reported in operating income. | ||
Consolidation, Policy [Policy Text Block] | ||
(a) | Principles of Consolidation | |
The accompanying consolidated financial statements include the accounts of j2 Global and its direct and indirect wholly-owned and less-than-wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. | ||
Holding Company Reorganization | ||
On June 10, 2014, j2 Global, Inc., a Delaware corporation, completed a corporate reorganization (the “Holding Company Reorganization”) pursuant to which j2 Global, Inc. (the “Predecessor”), merged with j2 Merger Sub, Inc., a Delaware corporation and an indirect, wholly owned subsidiary of the Predecessor, and changed its name to “j2 Cloud Services, Inc.” The Predecessor surviving the merger became a direct, wholly owned subsidiary of a new public holding company, j2 Global Holdings, Inc. (the “Holding Company”), which in connection with the merger changed its name to j2 Global, Inc. | ||
At the effective time of the merger and in connection with the Holding Company Reorganization, all outstanding shares of common stock and preferred stock of the Predecessor were automatically converted into identical shares of common stock or preferred stock, as applicable, of the Holding Company on a one-for-one basis, and the Predecessor’s existing stockholders and other equity holders became stockholders and equity holders, as applicable, of the Holding Company in the same amounts and percentages as they were in the Predecessor prior to the Holding Company Reorganization. | ||
Use Of Estimates | ||
(b) | Use of Estimates | |
The preparation of consolidated financial statements in accordance with accounting principles generally accepted in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements, including judgments about investment classifications, and the reported amounts of net revenue and expenses during the reporting period. We believe that our most significant estimates are those related to valuation and impairment of marketable securities, valuation of assets acquired and liabilities assumed in connection with business combinations, long-lived and intangible asset impairment, contingent consideration, income taxes and contingencies and allowance for doubtful accounts. On an ongoing basis, management evaluates its estimates based on historical experience and on various other factors that the Company believes to be reasonable under the circumstances. Actual results could materially differ from those estimates. | ||
Allowances For Doubtful Accounts | ||
(c) | Allowances for Doubtful Accounts | |
j2 Global reserves for receivables it may not be able to collect. These reserves for the Company's Business Cloud Services are typically driven by the volume of credit card declines and past due invoices and are based on historical experience as well as an evaluation of current market conditions. These reserves for the Company's Digital Media segment are typically driven by past due invoices and are based on historical experience. On an ongoing basis, management evaluates the adequacy of these reserves. | ||
Revenue Recognition | ||
(d) | Revenue Recognition | |
Business Cloud Services | ||
The Company's Business Cloud Services revenues substantially consist of monthly recurring subscription and usage-based fees, which are primarily paid in advance by credit card. In accordance with GAAP, the Company recognizes revenue when persuasive evidence of an arrangement exists, services have been provided, the sales price is fixed and determinable and collection is probable. The Company defers the portions of monthly, quarterly, semi-annually and annually recurring subscription and usage-based fees collected in advance and recognizes them in the period earned. Additionally, the Company defers and recognizes subscriber activation fees and related direct incremental costs over a subscriber's estimated useful life. | ||
j2 Global's Business Cloud Services also include patent license revenues generated under license agreements that provide for the payment of contractually determined fully paid-up or royalty-bearing license fees to j2 Global in exchange for the grant of non-exclusive, retroactive and future licenses to our intellectual property, including patented technology. Patent revenues may also consist of revenues generated from the sale of patents. Patent license revenues are recognized when earned over the term of the license agreements. With regard to fully paid-up license arrangements, the Company recognizes as revenue in the period the license agreement is executed the portion of the payment attributable to past use of the intellectual property and amortizes the remaining portion of such payments on a straight-line basis, or pro-rata revenue basis, as appropriate over the life of the licensed patent(s). With regard to royalty-bearing license arrangements, the Company recognizes revenues of license fees earned during the applicable period. With regard to patent sales, the Company recognizes as revenue in the period of the sale the amount of the purchase price over the carrying value of the patent(s) sold. | ||
The Business Cloud Services business also generates revenues by licensing certain technology to third parties. These licensing revenues are recognized when earned in accordance with the terms of the underlying agreement. Generally, revenue is recognized as the third party uses the licensed technology over the period. | ||
Digital Media | ||
The Company's Digital Media revenues primarily consist of revenues generated from the sale of advertising campaigns that are targeted to the Company's proprietary websites and to those websites operated by third parties that are part of the Digital Media business's advertising network. Revenues for these advertising campaigns are recognized as earned either when an ad is placed for viewing by a visitor to the appropriate web page or when the visitor "clicks through" on the ad, depending upon the terms with the individual advertiser. | ||
Revenues for Digital Media business-to-business operations consist of lead-generation campaigns for IT vendors and are recognized as earned when the Company delivers the qualified leads to the customer. | ||
j2 Global also generates Digital Media revenues through the license of certain assets to clients, for the clients' use in their own promotional materials or otherwise. Such assets may include logos, editorial reviews, or other copyrighted material. Revenues under such license agreements are recognized when the assets are delivered to the client. Also, Digital Media revenues are generated through the license of certain speed testing technology which is recognized when delivered to the client through providing data services primarily to Internet Service Providers ("ISPs") and wireless carriers which is recognized as earned over the term of the access period. The Digital Media business also generates other types of revenues, including business listing fees, subscriptions to online publications, and from other sources. Such other revenues are recognized as earned. | ||
Fair Value Measurements | ||
(e) | Fair Value Measurements | |
j2 Global complies with the provisions of Financial Accounting Standards Board (“FASB”) ASC Topic No. 820, Fair Value Measurements and Disclosures (“ASC 820”), in measuring fair value and in disclosing fair value measurements. ASC 820 provides a framework for measuring fair value and expands the disclosures required for fair value measurements of financial and non-financial assets and liabilities. | ||
As of December 31, 2014, the carrying value of cash and cash equivalents, short-term investments, accounts receivable, interest receivable, accounts payable, accrued expenses, interest payable, customer deposits and long-term debt are reflected in the financial statements at cost. With the exception of long-term debt, cost approximates fair value due to the short-term nature of such instruments. The fair value of the Company's outstanding debt was determined using the quoted market prices of debt instruments with similar terms and maturities, if available. As of the same dates, the carrying value of other long-term liabilities approximated fair value as the related interest rates approximate rates currently available to j2 Global. | ||
Cash and Cash Equivalents, Policy [Policy Text Block] | ||
(f) | Cash and Cash Equivalents | |
j2 Global considers cash equivalents to be only those investments that are highly liquid, readily convertible to cash and with maturities of three months or less at the purchase date. | ||
Investment, Policy [Policy Text Block] | ||
(g) | Investments | |
j2 Global accounts for its investments in debt and equity securities in accordance with FASB ASC Topic No. 320, Investments - Debt and Equity Securities (“ASC 320”). Debt investments are typically comprised of corporate and governmental debt securities. Equity securities recorded as available-for-sale represent strategic equity investments. j2 Global determines the appropriate classification of its investments at the time of acquisition and evaluates such determination at each balance sheet date. Held-to-maturity securities are those investments which the Company has the ability and intent to hold until maturity and are recorded at amortized cost. Available-for-sale securities are those investments j2 Global does not intend to hold to maturity and can be sold. Available-for-sale securities are carried at fair value with unrealized gains and losses included in other comprehensive income. Trading securities are carried at fair value, with unrealized gains and losses included in investment income. All securities are accounted for on a specific identification basis. | ||
Debt, Policy [Policy Text Block] | ||
(h) | Debt Issuance Costs and Debt Discount | |
j2 Global capitalizes costs incurred with borrowing and issuance of debt securities and records debt discounts as a reduction to the debt amount. j2 Global capitalized third-party costs incurred in connection with its sale of senior unsecured notes within long-term other assets and recorded the original purchase discount as a reduction to such notes (see Note 8 - Long Term Debt). These costs and discounts are amortized and included in interest expense over the life of the borrowing or term of the credit facility using the interest method. | ||
Derivatives, Policy [Policy Text Block] | ||
(i) | Derivative Instruments | |
j2 Global currently holds an embedded derivative instrument related to contingent interest in connection with its 3.25% Convertible Notes issued on June 10, 2014. This embedded derivative instrument is carried at fair value with changes recorded to interest expense (see Note 5 - Fair Value Measurements). | ||
Concentration Of Credit Risk | ||
(j) | Concentration of Credit Risk | |
All of the Company’s cash, cash equivalents and marketable securities are invested at major financial institutions primarily within the United States, United Kingdom and Ireland. These institutions are required to invest the Company’s cash in accordance with the Company’s investment policy with the principal objectives being preservation of capital, fulfillment of liquidity needs and above market returns commensurate with preservation of capital. The Company’s investment policy also requires that investments in marketable securities be in only highly rated instruments, with limitations on investing in securities of any single issuer. However, these investments are not insured against the possibility of a total or near complete loss of earnings or principal and are inherently subject to the credit risk related to the continued credit worthiness of the underlying issuer and general credit market risks. At December 31, 2014, the Company’s cash and cash equivalents were maintained in accounts that are insured up to the limit determined by the applicable governmental agency. The Company's deposits held in qualifying financial institutions in Ireland are fully insured through March 28, 2018 to the extent on deposit prior to March 28, 2013. With respect to the Company's deposits with financial institutions in other jurisdictions, the insured amount held in other institutions is immaterial in comparison to the total amount of the Company’s cash and cash equivalents held by these institutions which is not insured. These institutions are primarily in the United States and United Kingdom, however, the Company has accounts within several other countries including Australia, Austria, China, France, Germany, Italy, Japan, New Zealand, the Netherlands and Poland. | ||
Foreign Currency Transactions and Translations Policy [Policy Text Block] | ||
(k) | Foreign Currency | |
Some of j2 Global's foreign subsidiaries use the local currency of their respective countries as their functional currency. Assets and liabilities are translated at exchange rates prevailing at the balance sheet dates. Revenues, costs and expenses are translated into U.S. Dollars at average exchange rates for the period. Gains and losses resulting from translation are recorded as a component of accumulated other comprehensive income/(loss). Net translation gain/(loss) were $(14.7) million, $0.1 million and $1.4 million for the years ended December 31, 2014, 2013 and 2012, respectively. Realized gains and losses from foreign currency transactions are recognized within other expense (income), net. Net transaction gain/(loss) was $(0.1) million, $0.4 million and $(0.1) million for the years ended December 31, 2014, 2013 and 2012, respectively. | ||
Property, Plant and Equipment, Policy [Policy Text Block] | ||
(l) | Property and Equipment | |
Property and equipment are stated at cost. Equipment under capital leases is stated at the present value of the minimum lease payments. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives of property and equipment range from one to 10 years. Fixtures, which are comprised primarily of leasehold improvements and equipment under capital leases, are amortized on a straight-line basis over their estimated useful lives or for leasehold improvements, the related lease term, if less. The Company has capitalized certain internal use software and website development costs which are included in property and equipment. The estimated useful life of costs capitalized is evaluated for each specific project and ranges from 1 to 5 years. | ||
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | ||
(m) | Long-Lived Assets | |
j2 Global accounts for long-lived assets, which include property and equipment and identifiable intangible assets with finite useful lives (subject to amortization), in accordance with the provisions of FASB ASC Topic No. 360, Property, Plant, and Equipment (“ASC 360”), which requires that long-lived assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability is measured by comparing the carrying amount of an asset to the expected undiscounted future net cash flows generated by the asset. If it is determined that the asset may not be recoverable, and if the carrying amount of an asset exceeds its estimated fair value, an impairment charge is recognized to the extent of the difference. | ||
j2 Global assessed whether events or changes in circumstances have occurred that potentially indicate the carrying amount of long-lived assets may not be recoverable. No impairment was recorded in fiscal year 2014, 2013 and 2012. | ||
Goodwill and Intangible Assets, Policy [Policy Text Block] | ||
(n) | Goodwill and Intangible Assets | |
Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. Intangible assets resulting from the acquisitions of entities accounted for using the purchase method of accounting are recorded at the estimated fair value of the assets acquired. Identifiable intangible assets are comprised of purchased customer relationships, trademarks and trade names, developed technologies and other intangible assets. Intangible assets subject to amortization are amortized over the period of estimated economic benefit ranging from 1 to 20 years. In accordance with FASB ASC Topic No. 350, Intangibles - Goodwill and Other (“ASC 350”), goodwill and other intangible assets with indefinite lives are not amortized but tested annually for impairment or more frequently if j2 Global believes indicators of impairment exist. In connection with the annual impairment test for goodwill, the Company has the option to perform a qualitative assessment in determining whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company determines that it was more likely than not that the fair value of the reporting unit is less than its carrying amount, then it performs the impairment test upon goodwill. The impairment test involves a two-step process. The first step involves comparing the fair values of the applicable reporting units with their aggregate carrying values, including goodwill. The Company generally determines the fair value of its reporting units using the income approach methodology of valuation. If the carrying value of a reporting unit exceeds the reporting unit's fair value, j2 Global performs the second step of the test to determine the amount of impairment loss. The second step involves measuring the impairment by comparing the implied fair values of the affected reporting unit's goodwill and intangible assets with the respective carrying values. . In connection with the annual impairment test for indefinite-lived intangible assets, we have the option to perform a qualitative assessment in determining whether it is more likely than not that the fair value is less than its carrying amount, then we perform the impairment test upon indefinite-lived intangible assets. The impairment testing for indefinite-lived intangible assets consists of comparing the carrying values to the fair values and an impairment loss is recorded if the carrying value exceeds the fair value. j2 Global completed the required impairment review at the end of 2014, 2013 and 2012 and concluded that there were no impairments. Consequently, no impairment charges were recorded. | ||
Income Taxes | ||
(p) | Income Taxes | |
j2 Global's income is subject to taxation in both the U.S. and numerous foreign jurisdictions. Significant judgment is required in evaluating the Company's tax positions and determining its provision for income taxes. During the ordinary course of business, there are many transactions and calculations for which the ultimate tax determination is uncertain. j2 Global establishes reserves for tax-related uncertainties based on estimates of whether, and the extent to which, additional taxes will be due. These reserves for tax contingencies are established when the Company believes that certain positions might be challenged despite the Company's belief that its tax return positions are fully supportable. j2 Global adjusts these reserves in light of changing facts and circumstances, such as the outcome of a tax audit or lapse of a statute of limitations. The provision for income taxes includes the impact of reserve provisions and changes to reserves that are considered appropriate. | ||
j2 Global accounts for income taxes in accordance with FASB ASC Topic No. 740, Income Taxes (“ASC 740”), which requires that deferred tax assets and liabilities be recognized using enacted tax rates for the effect of temporary differences between the book and tax basis of recorded assets and liabilities. ASC 740 also requires that deferred tax assets be reduced by a valuation allowance if it is more likely than not that some or all of the net deferred tax assets will not be realized. The valuation allowance is reviewed quarterly based upon the facts and circumstances known at the time. In assessing this valuation allowance, j2 Global reviews historical and future expected operating results and other factors, including its recent cumulative earnings experience, expectations of future taxable income by taxing jurisdiction and the carryforward periods available for tax reporting purposes, to determine whether it is more likely than not that deferred tax assets are realizable. | ||
ASC 740 provides guidance on the minimum threshold that an uncertain income tax benefit is required to meet before it can be recognized in the financial statements and applies to all income tax positions taken by a company. ASC 740 contains a two-step approach to recognizing and measuring uncertain income tax positions. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step is to measure the tax benefit as the largest amount that is more than 50% likely of being realized upon settlement. If it is not more likely than not that the benefit will be sustained on its technical merits, no benefit will be recorded. Uncertain income tax positions that relate only to timing of when an item is included on a tax return are considered to have met the recognition threshold. j2 Global recognized accrued interest and penalties related to uncertain income tax positions in income tax expense on its consolidated statement of income. | ||
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | ||
(q) | Share-Based Compensation | |
j2 Global accounts for share-based awards in accordance with the provisions of FASB ASC Topic No. 718, Compensation - Stock Compensation (“ASC 718”). Accordingly, j2 Global measures share-based compensation expense at the grant date, based on the fair value of the award, and recognizes the expense over the employee's requisite service period using the straight-line method. The measurement of share-based compensation expense is based on several criteria, including but not limited to the valuation model used and associated input factors, such as expected term of the award, stock price volatility, risk free interest rate, dividend rate and award cancellation rate. These inputs are subjective and are determined using management's judgment. If differences arise between the assumptions used in determining share-based compensation expense and the actual factors, which become known over time, j2 Global may change the input factors used in determining future share-based compensation expense. Any such changes could materially impact the Company's results of operations in the period in which the changes are made and in periods thereafter. The Company estimates the expected term based upon the historical exercise behavior of our employees. | ||
j2 Global accounts for option grants to non-employees in accordance with FASB ASC Topic No. 505, Equity, whereby the fair value of such options is determined using the Black-Scholes option pricing model at the earlier of the date at which the non-employee's performance is complete or a performance commitment is reached. | ||
Earnings Per Share, Policy [Policy Text Block] | ||
(r) | Earnings Per Common Share | |
EPS is calculated pursuant to the two-class method as defined in ASC Topic No. 260, Earnings per Share (“ASC 260”), which specifies that all outstanding unvested share-based payment awards that contain rights to nonforfeitable dividends or dividend equivalents are considered participating securities and should be included in the computation of EPS pursuant to the two-class method. | ||
Basic EPS is calculated by dividing net distributed and undistributed earnings allocated to common shareholders, excluding participating securities and the net income attributable to noncontrolling interest, by the weighted-average number of common shares outstanding. The Company's participating securities consist of its unvested share-based payment awards that contain rights to nonforfeitable dividends or dividend equivalents. Diluted EPS includes the determinants of basic EPS and, in addition, reflects the impact of other potentially dilutive shares outstanding during the period. The dilutive effect of participating securities is calculated under the more dilutive of either the treasury method or the two-class method. | ||
Research and Development Expense, Policy [Policy Text Block] | ||
(s) | Research, Development and Engineering | |
Research, development and engineering costs are expensed as incurred. Costs for software development incurred subsequent to establishing technological feasibility, in the form of a working model, are capitalized and amortized over their estimated useful lives. To date, software development costs incurred after technological feasibility has been established have not been material. | ||
Segment Reporting, Policy [Policy Text Block] | ||
(t) | Segment Reporting | |
FASB ASC Topic No. 280, Segment Reporting (“ASC 280”), establishes standards for the way that public business enterprises report information about operating segments in annual consolidated financial statements and requires that those enterprises report selected information about operating segments in interim financial reports. ASC 280 also establishes standards for related disclosures about products and services, geographic areas and major customers. As a result of the acquisition of Ziff Davis, Inc. as described in Note 3 - Business Acquisitions, the Company operates as two segments: (1) Business Cloud Services and (2) Digital Media. | ||
Advertising Costs, Policy [Policy Text Block] | ||
(u) | Advertising Costs | |
Advertising costs are expensed as incurred. Advertising costs for the year ended December 31, 2014, 2013 and 2012 was $60.5 million, $55.4 million and $48.1 million, respectively. | ||
Revenue Recognition, Excise and Sales Taxes | ||
(v) | Sales Taxes | |
The Company may collect sales taxes from certain customers which are remitted to governmental authorities as required and are excluded from revenues. | ||
New Accounting Pronouncements, Policy [Policy Text Block] | ||
(w) | Recent Accounting Pronouncements | |
In July 2013, the FASB issued ASU No. 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists, which provides guidance on financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. This ASU is effective for fiscal years beginning after December 15, 2013. This new guidance did not have a material impact on our financial statements. | ||
In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, as a new Topic, Accounting Standards Codification (ASC) Topic 606. The new revenue recognition standard provides a five-step analysis of transactions to determine when and how revenue is recognized. The core principle is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASU is effective for annual periods beginning after December 15, 2016 and shall be applied retrospectively to each period presented or as a cumulative-effect adjustment as of the date of adoption. The Company is evaluating the effect and methodology of adopting this new accounting guidance upon the Company's results of operations, cash flows and financial position. | ||
In August 2014, the FASB issued ASU No. 2014-15, Disclosure of Uncertainties About an Entity's Ability to Continue as a Going Concern. The new standard provides guidance around management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The adoption of this standard is not expected to have a material impact on our financial statements. | ||
In November 2014, the FASB issued ASU No. 2014-16, Derivatives and Hedging (Topic 815): Determining Whether the Host Contract in a Hybrid Financial Instrument Issued in the Form of a Share is More Akin to Debt or to Equity, which clarifies how current guidance should be interpreted in evaluating the economic characteristics and risks of a host contract in a hybrid financial instrument that is issued in the form of a share. Specifically, the amendments clarify that an entity should consider all relevant terms and features, including the embedded derivative feature being evaluated for bifurcation, in evaluating the nature of the host contract. The assessment of the substance of the relevant terms and features should incorporate a consideration of: (1) the characteristics of the terms and features themselves; (2) the circumstances under which the hybrid financial instrument was issued or acquired; and (3) the potential outcomes of the hybrid financial instrument, as well as the likelihood of those potential outcomes. The amendments in this ASU apply to all entities that are issuers of, or investors in, hybrid financial instruments that are issued in the form of a share. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2015, including interim periods within that reporting period. Early adoption is permitted. The Company is currently evaluating the impact of adoption on our financial statements and related disclosures. | ||
In November 2014, the FASB issued ASU No. 2014-17, Business Combinations (Topic 805): Pushdown Accounting. The amendments in this ASU provide guidance on whether and at what threshold an acquired entity that is a business or nonprofit activity may elect to apply pushdown accounting in its separate financial statements upon a change-in control event in which an acquirer obtains control of the acquired entity. The amendments in this ASU are effective on November 18, 2014. After the effective date, an acquired entity can make an election to apply the guidance to future change-in control events or to its most recent change-in control event. However, if the financial statements for the period in which the most recent change-in control event occurred already have been issued or made available to be issued, the application of this guidance would be a change in accounting principle. The adoption of this standard is not expected to have a material impact on our financial statements. | ||
Comparability of Prior Year Financial Data, Policy [Policy Text Block] | Reclassifications | |
Certain prior year reported amounts have been reclassified to conform with the 2014 presentation. |
Business_Acquisition_Tables
Business Acquisition (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The following table summarizes the allocation of the purchase consideration for these acquisitions (in thousands): | The following table summarizes the allocation of the purchase consideration as follows (in thousands): | ||||||||||||||||||||||
Assets and Liabilities | Valuation | Assets and Liabilities | Valuation | |||||||||||||||||||||
Accounts receivable | $ | 18,024 | Accounts receivable | $ | 24,658 | |||||||||||||||||||
Property and equipment | 10,022 | Property and equipment | 3,274 | |||||||||||||||||||||
Other assets | 5,500 | Other assets | 2,703 | |||||||||||||||||||||
Deferred tax asset | 419 | Deferred tax asset | 2,058 | |||||||||||||||||||||
Software | 9,836 | Software | 3,031 | |||||||||||||||||||||
Trade name | 28,192 | Content | 2,460 | |||||||||||||||||||||
Customer relationship | 98,498 | Trade name | 18,581 | |||||||||||||||||||||
Other intangibles | 2,121 | Customer relationship | 40,275 | |||||||||||||||||||||
Goodwill | 184,837 | Advertiser Relationship | 11,770 | |||||||||||||||||||||
Deferred revenue | (29,182 | ) | Other intangibles | 168 | ||||||||||||||||||||
Deferred tax liability | (12,328 | ) | ||||||||||||||||||||||
Other accrued liabilities | (14,338 | ) | Goodwill | 54,472 | ||||||||||||||||||||
Capital lease | (1,361 | ) | ||||||||||||||||||||||
Total | $ | 300,240 | Deferred revenue | (2,543 | ) | |||||||||||||||||||
Other accrued liabilities | (13,162 | ) | ||||||||||||||||||||||
Total | $ | 147,745 | ||||||||||||||||||||||
Business Acquisition, Pro Forma Information [Table Text Block] | The supplemental information on an unaudited pro forma financial basis presents the combined results of j2 Global and its 2014 acquisitions as if each acquisition had occurred on January 1, 2013 (in thousands, except per share amounts): | The supplemental information on an unaudited pro forma financial basis presents the combined results of j2 Global and its 2013 acquisitions as if each acquisition had occurred on January 1, 2012 (in thousands, except per share amounts): | The supplemental information on an unaudited pro forma financial basis presents the combined results of j2 Global and its 2012 acquisitions as if each acquisition had occurred on January 1, 2011 (in thousands, except per share amounts): | |||||||||||||||||||||
Year ended | Year ended | Year ended | ||||||||||||||||||||||
December 31, | December 31, | December 31, | December 31, | December 31, | December 31, | |||||||||||||||||||
2014 | 2013 | 2013 | 2012 | 2012 | 2011 | |||||||||||||||||||
(unaudited) | (unaudited) | (unaudited) | (unaudited) | (unaudited) | (unaudited) | |||||||||||||||||||
Revenues | $ | 672,701 | $ | 626,906 | Revenues | $ | 545,952 | $ | 470,190 | Revenues | $ | 417,250 | $ | 385,974 | ||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 119,773 | $ | 132,480 | Net income attributable to j2 Global, Inc. common shareholders | $ | 108,600 | $ | 122,187 | Net income attributable to j2 Global, Inc. common shareholders | $ | 120,210 | $ | 114,889 | ||||||||||
EPS - Basic | $ | 2.51 | $ | 2.85 | EPS - Basic | $ | 2.34 | $ | 2.64 | EPS - Basic | $ | 2.6 | $ | 2.47 | ||||||||||
EPS - Diluted | $ | 2.49 | $ | 2.81 | EPS - Diluted | $ | 2.31 | $ | 2.62 | EPS - Diluted | $ | 2.58 | $ | 2.44 | ||||||||||
Ziff Davis, Inc [Member] | ||||||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||||||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The following table summarizes the allocation of the purchase consideration (including the portion allocable to the minority interest) as follows (in thousands): | |||||||||||||||||||||||
Assets and Liabilities | Valuation | |||||||||||||||||||||||
Accounts receivable | $ | 14,450 | ||||||||||||||||||||||
Property and equipment | 842 | |||||||||||||||||||||||
Software | 4,780 | |||||||||||||||||||||||
Other assets | 1,283 | |||||||||||||||||||||||
Deferred tax asset | 1,139 | |||||||||||||||||||||||
Trade name | 37,730 | |||||||||||||||||||||||
Customer relationship | 5,380 | |||||||||||||||||||||||
Advertiser relationship | 14,500 | |||||||||||||||||||||||
Licensing relationships | 4,910 | |||||||||||||||||||||||
Other intangibles | 2,540 | |||||||||||||||||||||||
Goodwill | 112,882 | |||||||||||||||||||||||
Deferred revenue | (2,188 | ) | ||||||||||||||||||||||
Other accrued liabilities | (4,767 | ) | ||||||||||||||||||||||
Deferred tax liability | (21,829 | ) | ||||||||||||||||||||||
Total | $ | 171,652 | ||||||||||||||||||||||
Investments_Tables
Investments (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Investments [Abstract] | ||||||||||||||||||||||||
Schedule Of Debt Securities By Contractual Maturity Date | The following table summarizes j2 Global’s debt securities designated as available-for-sale, classified by the contractual maturity date of the security (in thousands): | |||||||||||||||||||||||
December 31, | December 31, 2013 | |||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
Due within 1 year | $ | 59,896 | $ | 46,339 | ||||||||||||||||||||
Due within more than 1 year but less than 5 years | 60,178 | 44,865 | ||||||||||||||||||||||
Due within more than 5 years but less than 10 years | — | — | ||||||||||||||||||||||
Due 10 years or after | 330 | 2,486 | ||||||||||||||||||||||
Total | $ | 120,404 | $ | 93,690 | ||||||||||||||||||||
Schedule Of Available-For-Sale And Trading Securities | The following table summarizes the Company’s investments (in thousands): | |||||||||||||||||||||||
December 31, | December 31, 2013 | |||||||||||||||||||||||
2014 | ||||||||||||||||||||||||
Available-for-sale | $ | 156,649 | $ | 123,737 | ||||||||||||||||||||
Certificates of deposit | 65 | 14,403 | ||||||||||||||||||||||
Total | $ | 156,714 | $ | 138,140 | ||||||||||||||||||||
Summary Of Gross Unrealized Gains And Losses And Fair Values | The following table summarizes the gross unrealized gains and losses and fair values for investments classified as available for sale as of December 31, 2014 and December 31, 2013 aggregated by major security type (in thousands): | |||||||||||||||||||||||
Amortized | Gross | Gross | Fair | |||||||||||||||||||||
Cost | Unrealized | Unrealized | Value | |||||||||||||||||||||
Gains | Losses | |||||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||||||
Corporate debt securities | $ | 91,456 | $ | 147 | $ | (136 | ) | $ | 91,467 | |||||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 26,848 | 9 | (13 | ) | 26,844 | |||||||||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 2,088 | 5 | — | 2,093 | ||||||||||||||||||||
Equity securities | 20,611 | 15,634 | — | 36,245 | ||||||||||||||||||||
Total | $ | 141,003 | $ | 15,795 | $ | (149 | ) | $ | 156,649 | |||||||||||||||
December 31, 2013 | ||||||||||||||||||||||||
Corporate debt securities | $ | 66,587 | $ | 134 | $ | (29 | ) | $ | 66,692 | |||||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 23,689 | 20 | (7 | ) | 23,702 | |||||||||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 3,293 | 4 | (1 | ) | 3,296 | |||||||||||||||||||
Equity securities | 20,610 | 9,558 | (121 | ) | 30,047 | |||||||||||||||||||
Total | $ | 114,179 | $ | 9,716 | $ | (158 | ) | $ | 123,737 | |||||||||||||||
Schedule of Unrealized Loss on Investments [Table Text Block] | The following tables present gross unrealized losses and fair values for those investments that were in an unrealized loss position as of December 31, 2014 and December 31, 2013, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (in thousands): | |||||||||||||||||||||||
As of December 31, 2014 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||||||
Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | |||||||||||||||||||
Corporate debt securities | $ | 57,898 | $ | (131 | ) | $ | 1,260 | $ | (5 | ) | $ | 59,158 | $ | (136 | ) | |||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 15,072 | (13 | ) | — | — | 15,072 | (13 | ) | ||||||||||||||||
Total | $ | 72,970 | $ | (144 | ) | $ | 1,260 | $ | (5 | ) | $ | 74,230 | $ | (149 | ) | |||||||||
As of December 31, 2013 | ||||||||||||||||||||||||
Less than 12 Months | 12 Months or Greater | Total | ||||||||||||||||||||||
Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | |||||||||||||||||||
Corporate debt securities | $ | 9,944 | $ | (4 | ) | $ | 1,263 | $ | (3 | ) | $ | 11,207 | $ | (7 | ) | |||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 109 | (1 | ) | — | — | 109 | (1 | ) | ||||||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 26,445 | (28 | ) | 777 | (2 | ) | 27,222 | (30 | ) | |||||||||||||||
Equity securities | 832 | (120 | ) | — | — | 832 | (120 | ) | ||||||||||||||||
Total | $ | 37,330 | $ | (153 | ) | $ | 2,040 | $ | (5 | ) | $ | 39,370 | $ | (158 | ) | |||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Schedule Of Fair Values Of Financial Instruments Measured On Recurring Basis | The following tables present the fair values of the Company’s financial assets or liabilities that are measured at fair value on a recurring basis (in thousands): | |||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Fair Value | ||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market and other funds | $ | 212,645 | $ | — | $ | — | $ | 212,645 | ||||||||
Time deposits | — | 51,807 | — | 51,807 | ||||||||||||
Certificates of Deposit | — | 65 | — | 65 | ||||||||||||
Equity securities | 36,245 | — | — | 36,245 | ||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | — | 26,844 | — | 26,844 | ||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | — | 2,093 | — | 2,093 | ||||||||||||
Corporate debt securities | — | 91,467 | — | 91,467 | ||||||||||||
Total assets measured at fair value | $ | 248,890 | $ | 172,276 | $ | — | $ | 421,166 | ||||||||
Liabilities: | ||||||||||||||||
Contingent consideration | $ | — | $ | — | $ | 15,000 | $ | 15,000 | ||||||||
Contingent interest derivative | — | 742 | — | 742 | ||||||||||||
Total liabilities measured at fair value | $ | — | $ | 742 | $ | 15,000 | $ | 15,742 | ||||||||
December 31, 2013 | Level 1 | Level 2 | Level 3 | Fair Value | ||||||||||||
Assets: | ||||||||||||||||
Cash equivalents: | ||||||||||||||||
Money market and other funds | $ | 101,231 | $ | — | $ | — | $ | 101,231 | ||||||||
Time deposits | 22,773 | — | — | 22,773 | ||||||||||||
Certificates of Deposit | 14,403 | — | — | 14,403 | ||||||||||||
Equity securities | 30,047 | — | — | 30,047 | ||||||||||||
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 23,702 | — | — | 23,702 | ||||||||||||
Debt securities issued by states of the United States and political subdivisions of the states | 3,296 | — | — | 3,296 | ||||||||||||
Corporate debt securities | 66,692 | — | — | 66,692 | ||||||||||||
Total assets measured at fair value | $ | 262,144 | $ | — | $ | — | $ | 262,144 | ||||||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The following tables presents a reconciliation of the Company’s Level 3 financial assets or liabilities that are measured at fair value on a recurring basis (in thousands): | |||||||||||||||
Level 3 | Affected line item in the Statement of Income | |||||||||||||||
Balance as of December 31, 2013 | $ | — | ||||||||||||||
Contingent consideration | 15,000 | Not Applicable | ||||||||||||||
Total (gains) losses reported in earnings | — | |||||||||||||||
Transfers into or out of Level 3 | — | |||||||||||||||
Balance as of December 31, 2014 | $ | 15,000 | ||||||||||||||
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block] | The following tables presents a reconciliation of the Company’s derivative instruments (in thousands): | |||||||||||||||
Amount | Affected line item in the Statement of Income | |||||||||||||||
Derivative Liabilities: | ||||||||||||||||
Level 2: | ||||||||||||||||
Balance as of December 31, 2013 | $ | — | ||||||||||||||
Contingent interest | 372 | |||||||||||||||
Total (gains) losses reported in earnings | 370 | Interest expense (income), net | ||||||||||||||
Balance as of December 31, 2014 | $ | 742 | ||||||||||||||
Property_And_Equipment_Tables
Property And Equipment (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Property And Equipment [Abstract] | ||||||||
Property, Plant and Equipment [Table Text Block] | Property and equipment, stated at cost, at December 31, 2014 and 2013 consisted of the following (in thousands): | |||||||
2014 | 2013 | |||||||
Computers and related equipment | $ | 100,537 | $ | 79,576 | ||||
Furniture and equipment | 1,763 | 1,405 | ||||||
Leasehold improvements | 9,098 | 5,718 | ||||||
111,398 | 86,699 | |||||||
Less: Accumulated depreciation and amortization | (73,181 | ) | (55,499 | ) | ||||
Total property and equipment, net | $ | 38,217 | $ | 31,200 | ||||
Goodwill_And_Intangible_Assets1
Goodwill And Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | |||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||||
Changes In Carrying Amounts Of Goodwill | The changes in carrying amounts of goodwill for the year ended December 31, 2014 and 2013 are as follows (in thousands): | |||||||||||||||||||||||||||
Business Cloud Services | Digital Media | Consolidated | ||||||||||||||||||||||||||
Balance as of January 1, 2013 | $ | 294,943 | $ | 112,882 | $ | 407,825 | ||||||||||||||||||||||
Goodwill acquired | 21,551 | 32,921 | 54,472 | |||||||||||||||||||||||||
Purchase Accounting Adjustments | (259 | ) | (5,065 | ) | (5,324 | ) | ||||||||||||||||||||||
Foreign exchange translation | 447 | 2 | 449 | |||||||||||||||||||||||||
Balance as of December 31, 2013 | $ | 316,682 | $ | 140,740 | $ | 457,422 | ||||||||||||||||||||||
Goodwill acquired | 79,536 | 105,301 | 184,837 | |||||||||||||||||||||||||
Purchase accounting adjustments | (706 | ) | (329 | ) | (1,035 | ) | ||||||||||||||||||||||
Foreign exchange translation | (5,449 | ) | (100 | ) | (5,549 | ) | ||||||||||||||||||||||
Balance as of December 31, 2014 | $ | 390,063 | $ | 245,612 | $ | 635,675 | ||||||||||||||||||||||
Schedule Of Intangible Assets With Indefinite Lives | Intangible Assets with Indefinite Lives: | |||||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||||||
Trade names | $ | 27,379 | $ | 27,379 | ||||||||||||||||||||||||
Other | 5,432 | 5,432 | ||||||||||||||||||||||||||
Total | $ | 32,811 | $ | 32,811 | ||||||||||||||||||||||||
Finite-Lived Intangible Assets By Major Class | As of December 31, 2014, intangible assets subject to amortization relate primarily to the following (in thousands): | As of December 31, 2013, intangible assets subject to amortization relate primarily to the following (in thousands): | ||||||||||||||||||||||||||
Weighted-Average | Historical | Accumulated | Net | |||||||||||||||||||||||||
Weighted-Average | Historical | Accumulated | Net | Amortization | Cost | Amortization | ||||||||||||||||||||||
Amortization | Cost | Amortization | Period | |||||||||||||||||||||||||
Period | Trade names | 17.0 years | $ | 66,911 | $ | 11,182 | $ | 55,729 | ||||||||||||||||||||
Trade names | 14.5 years | $ | 94,770 | $ | 16,598 | $ | 78,172 | |||||||||||||||||||||
Patent and patent licenses | 8.1 years | 58,446 | 29,916 | 28,530 | ||||||||||||||||||||||||
Patent and patent licenses | 9.0 years | 62,940 | 38,013 | 24,927 | ||||||||||||||||||||||||
Customer relationships | 8.1 years | 139,362 | 38,382 | 100,980 | ||||||||||||||||||||||||
Customer relationships | 9.3 years | 230,424 | 66,658 | 163,766 | ||||||||||||||||||||||||
Other purchased intangibles | 5.0 years | 18,149 | 12,666 | 5,483 | ||||||||||||||||||||||||
Other purchased intangibles | 4.3 years | 28,360 | 16,236 | 12,124 | ||||||||||||||||||||||||
Total | $ | 282,868 | $ | 92,146 | $ | 190,722 | ||||||||||||||||||||||
Total | $ | 416,494 | $ | 137,505 | $ | 278,989 | ||||||||||||||||||||||
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Expected amortization expense for intangible assets subject to amortization at December 31, 2014 are as follows (in thousands): | |||||||||||||||||||||||||||
Fiscal Year: | ||||||||||||||||||||||||||||
2015 | $ | 56,349 | ||||||||||||||||||||||||||
2016 | 50,380 | |||||||||||||||||||||||||||
2017 | 42,081 | |||||||||||||||||||||||||||
2018 | 28,940 | |||||||||||||||||||||||||||
2019 | 22,137 | |||||||||||||||||||||||||||
Thereafter | 79,102 | |||||||||||||||||||||||||||
Total expected amortization expense | $ | 278,989 | ||||||||||||||||||||||||||
Long_Term_Debt_Tables
Long Term Debt (Tables) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Long-term Debt, Unclassified [Abstract] | ||||
Schedule of Long-term Debt Instruments [Table Text Block] | Long-term debt as of December 31, 2014 consists of the following (in thousands): | |||
Senior Notes | $ | 246,187 | ||
Convertible Notes | 347,163 | |||
Total long-term debt | $ | 593,350 | ||
Less: Current portion | — | |||
Total long-term debt, less current portion | $ | 593,350 | ||
Schedule of Maturities of Long-term Debt [Table Text Block] | At December 31, 2014, future principal payments for debt were as follows (in thousands): | |||
Year Ended December 31, | ||||
2015 | $ | — | ||
2016 | — | |||
2017 | — | |||
2018 | — | |||
2019 | — | |||
Thereafter | 652,500 | |||
$ | 652,500 | |||
Commitments_And_Contingencies_
Commitments And Contingencies Commitments And Contingencies (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Commitments and Contingencies [Abstract] | ||||||||
Schedule of Capital Leased Assets [Table Text Block] | Capital Leases | |||||||
As of December 31, 2014 and 2013, assets held under capital leases are as follows: | ||||||||
2014 | 2013 | |||||||
Capital leases | $ | 805 | $ | — | ||||
Less: Accumulated depreciation | (440 | ) | — | |||||
Total capital leases, net | $ | 365 | $ | — | ||||
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | j2 Global leases certain facilities and equipment under non-cancelable operating leases which expire at various dates through 2024. Office and equipment leases are typically for terms of three to five years and generally provide renewal options for terms up to an additional five years. In most cases, the Company expects leases that expire will be renewed or replaced by other leases with similar terms. Future minimum lease payments at December 31, 2014 under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) are as follows (in thousands): | |||||||
Lease Payments | ||||||||
Fiscal Year: | ||||||||
2015 | $ | 9,025 | ||||||
2016 | 7,737 | |||||||
2017 | 5,412 | |||||||
2018 | 4,734 | |||||||
2019 | 3,251 | |||||||
Thereafter | 1,161 | |||||||
Total minimum lease payments | $ | 31,320 | ||||||
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block] | Future minimum payments at December 31, 2014 under all capital leases (with initial or remaining lease terms in excess of one year) are as follows (in thousands): | |||||||
Future Payments | ||||||||
Fiscal Year: | ||||||||
2015 | $ | 314 | ||||||
2016 | 77 | |||||||
2017 | 8 | |||||||
2018 | — | |||||||
2019 | — | |||||||
Thereafter | — | |||||||
Total minimum lease payments | $ | 399 | ||||||
Income_Taxes_Income_Taxes_Tabl
Income Taxes Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Taxes [Abstract] | ||||||||||||
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The provision for income tax consisted of the following (in thousands): | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Current: | ||||||||||||
Federal | $ | 22,074 | $ | 22,834 | $ | 20,759 | ||||||
State | 3,822 | 2,676 | (289 | ) | ||||||||
Foreign | 13,977 | 9,415 | 11,639 | |||||||||
Total current | 39,873 | 34,925 | 32,109 | |||||||||
Deferred: | ||||||||||||
Federal | (958 | ) | 3,678 | 2,427 | ||||||||
State | (5,019 | ) | (235 | ) | 314 | |||||||
Foreign | (4,056 | ) | (3,193 | ) | (1,591 | ) | ||||||
Total deferred | (10,033 | ) | 250 | 1,150 | ||||||||
Total provision | $ | 29,840 | $ | 35,175 | $ | 33,259 | ||||||
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | A reconciliation of the statutory federal income tax rate with j2 Global's effective income tax rate is as follows: | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Statutory tax rate | 35 | % | 35 | % | 35 | % | ||||||
State income taxes, net | 0.6 | 0.3 | 0.5 | |||||||||
Foreign rate differential | (13.8 | ) | (17.9 | ) | (17.4 | ) | ||||||
Reserve for uncertain tax positions | (2.2 | ) | 4.3 | 4.9 | ||||||||
Valuation allowance | 2.6 | 1.9 | 3.2 | |||||||||
IRC Section 199 deductions | (0.5 | ) | (0.5 | ) | (3.4 | ) | ||||||
Other | (2.5 | ) | 1.6 | (1.3 | ) | |||||||
Effective tax rates | 19.2 | % | 24.7 | % | 21.5 | % | ||||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Deferred tax assets and liabilities result from differences between the financial statement carrying amounts and the tax bases of existing assets and liabilities. Temporary differences and carryforwards which give rise to deferred tax assets and liabilities are as follows (in thousands): | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred tax assets: | ||||||||||||
Net operating loss carryforwards | $ | 13,774 | $ | 9,596 | ||||||||
Tax credit carryforwards | 14,091 | 9,233 | ||||||||||
Accrued expenses | 7,114 | 1,196 | ||||||||||
Allowance for bad debt | 1,132 | 1,423 | ||||||||||
Share-based compensation expense | 3,632 | 4,917 | ||||||||||
Basis difference in fixed assets | — | 1,266 | ||||||||||
Impairment of investments | 76 | 161 | ||||||||||
Gain on sale of intangible assets | — | 123 | ||||||||||
Deferred revenue | 250 | 812 | ||||||||||
State taxes | 2,333 | 1,451 | ||||||||||
Other | 789 | — | ||||||||||
43,191 | 30,178 | |||||||||||
Less: valuation allowance | (11,358 | ) | (8,493 | ) | ||||||||
Total deferred tax assets | $ | 31,833 | $ | 21,685 | ||||||||
Deferred tax liabilities: | ||||||||||||
Basis difference in fixed assets | $ | (5,883 | ) | $ | — | |||||||
Basis difference in intangible assets | (51,566 | ) | (47,711 | ) | ||||||||
Prepaid insurance | (420 | ) | (369 | ) | ||||||||
Convertible debt | (26,272 | ) | — | |||||||||
Other | (7,981 | ) | (6,359 | ) | ||||||||
Total deferred tax liabilities | (92,122 | ) | (54,439 | ) | ||||||||
Net deferred tax liabilities | $ | (60,289 | ) | $ | (32,754 | ) | ||||||
Summary of Income Tax Contingencies [Table Text Block] | The aggregate changes in the balance of gross unrecognized tax benefits, which excludes interest and penalties, for 2014, 2013 and 2012, is as follows (in thousands): | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Beginning balance | $ | 40,888 | $ | 35,421 | $ | 28,366 | ||||||
Increases related to tax positions during a prior year | 919 | 58 | 1,022 | |||||||||
Decreases related to tax positions taken during a prior year | (9,808 | ) | (1,519 | ) | (557 | ) | ||||||
Increases related to tax positions taken in the current year | 3,765 | 6,928 | 6,590 | |||||||||
Decreases related to expiration of statute of limitations | (1,129 | ) | — | — | ||||||||
Ending balance | $ | 34,635 | $ | 40,888 | $ | 35,421 | ||||||
Stockholders_Equity_Dividends_
Stockholders' Equity Dividends Declared (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Equity [Abstract] | |||||||||
Dividends Declared [Table Text Block] | The following is a summary of each dividend declared during fiscal year 2014: | ||||||||
Declaration Date | Dividend per Common Share | Record Date | Payment Date | ||||||
February 11, 2014 | $ | 0.2625 | February 24, 2014 | March 10, 2014 | |||||
May 7, 2014 | $ | 0.27 | May 19, 2014 | June 3, 2014 | |||||
August 5, 2014 | $ | 0.2775 | August 18, 2014 | September 2, 2014 | |||||
October 30, 2014 | $ | 0.285 | November 17, 2014 | December 4, 2014 | |||||
Stock_Options_And_Employee_Sto1
Stock Options And Employee Stock Purchase Plan (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Stock Options Activity | Stock option activity for the years ended December 31, 2014, 2013 and 2012 is summarized as follows: | ||||||||||||||||
Number of Shares | Weighted-Average | Weighted-Average Remaining Contractual Life (In Years) | Aggregate | ||||||||||||||
Exercise Price | Intrinsic | ||||||||||||||||
Value | |||||||||||||||||
Options outstanding at December 31, 2011 | 2,087,695 | $ | 20.99 | ||||||||||||||
Granted | 67,000 | 27.26 | |||||||||||||||
Exercised | (357,234 | ) | 15.81 | ||||||||||||||
Canceled | (32,000 | ) | 31.34 | ||||||||||||||
Options outstanding at December 31, 2012 | 1,765,461 | $ | 22.08 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (569,204 | ) | 23.9 | ||||||||||||||
Canceled | (20,600 | ) | 21.79 | ||||||||||||||
Options outstanding at December 31, 2013 | 1,175,657 | $ | 21.08 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (433,008 | ) | 15.7 | ||||||||||||||
Canceled | (17,000 | ) | 29.85 | ||||||||||||||
Options outstanding at December 31, 2014 | 725,649 | $ | 24.29 | 3.9 | $27,362,157 | ||||||||||||
Exercisable at December 31, 2014 | 618,437 | $ | 23.77 | 3.4 | $23,642,294 | ||||||||||||
Vested and expected to vest at December 31, 2014 | 714,319 | $ | 24.24 | 3.8 | $26,975,686 | ||||||||||||
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | The following table summarizes information concerning outstanding and exercisable options as of December 31, 2014: | ||||||||||||||||
Options Outstanding | Exercisable Options | ||||||||||||||||
Range of | Number Outstanding December 31, 2014 | Weighted | Weighted | Number | Weighted | ||||||||||||
Exercise Prices | Average | Average | Exercisable | Average | |||||||||||||
Remaining | Exercise | December 31, | Exercise | ||||||||||||||
Contractual | Price | 2014 | Price | ||||||||||||||
Life | |||||||||||||||||
$17.19 | 49,283 | 4.18 years | $ | 17.19 | 49,283 | $ | 17.19 | ||||||||||
18.77 | 128,200 | 0.67 years | 18.77 | 128,200 | 18.77 | ||||||||||||
20.91 | 77,448 | 3.34 years | 20.91 | 77,448 | 20.91 | ||||||||||||
21.67 - 21.88 | 74,420 | 4.21 years | 31.69 | 74,420 | 21.69 | ||||||||||||
22.92 | 98,716 | 5.35 years | 22.92 | 76,780 | 22.92 | ||||||||||||
23.11 - 28.52 | 75,382 | 4.95 years | 26.87 | 44,382 | 27.06 | ||||||||||||
29.34 | 90,700 | 6.36 years | 29.34 | 54,424 | 29.34 | ||||||||||||
29.53 | 22,000 | 7.17 years | 29.53 | 7,000 | 29.53 | ||||||||||||
31.07 | 7,500 | 6.82 years | 31.07 | 4,500 | 31.07 | ||||||||||||
32.45 | 102,000 | 2.59 years | 32.45 | 102,000 | 32.45 | ||||||||||||
$17.19 - $32.45 | 725,649 | 3.88 years | $ | 24.29 | 618,437 | $ | 23.77 | ||||||||||
Assumptions To Estimate Fair Value Of Stock Options | The weighted-average fair values of stock options granted have been estimated utilizing the following assumptions: | ||||||||||||||||
Year Ended December 31, | |||||||||||||||||
2012 | |||||||||||||||||
Risk-free interest rate | 1.10% | ||||||||||||||||
Expected term (in years) | 5.7 | ||||||||||||||||
Dividend yield | 3.20% | ||||||||||||||||
Expected volatility | 41.60% | ||||||||||||||||
Allocation Of Share-Based Compensation Expense | The following table represents share-based compensation expense included in cost of revenues and operating expenses in the consolidated statements of income for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||||||
Year Ended December 31, | |||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||
Cost of revenues | $ | 345 | $ | 756 | $ | 844 | |||||||||||
Operating expenses: | |||||||||||||||||
Sales and marketing | 1,944 | 1,855 | 1,543 | ||||||||||||||
Research, development and engineering | 721 | 434 | 459 | ||||||||||||||
General and administrative | 5,898 | 6,675 | 6,286 | ||||||||||||||
$ | 8,908 | $ | 9,720 | $ | 9,132 | ||||||||||||
Restricted Stock [Member] | |||||||||||||||||
Restricted Stock And Restricted Stock Unit Award Activity | Restricted stock award activity for the years ended December 31, 2014 and 2013 is set forth below: | ||||||||||||||||
Shares | Weighted-Average | ||||||||||||||||
Grant-Date | |||||||||||||||||
Fair Value | |||||||||||||||||
Nonvested at January 1, 2013 | 828,475 | $ | 23.08 | ||||||||||||||
Granted | 690,762 | 13.57 | |||||||||||||||
Vested | (296,966 | ) | 21.46 | ||||||||||||||
Canceled | (43,900 | ) | 24.46 | ||||||||||||||
Nonvested at December 31, 2013 | 1,178,371 | $ | 17.86 | ||||||||||||||
Granted | 226,864 | 45.66 | |||||||||||||||
Vested | (546,115 | ) | 15.63 | ||||||||||||||
Canceled | (45,070 | ) | 35.55 | ||||||||||||||
Nonvested at December 31, 2014 | 814,050 | $ | 26.57 | ||||||||||||||
Restricted Stock Units (RSUs) [Member] | |||||||||||||||||
Restricted Stock And Restricted Stock Unit Award Activity | Restricted stock unit activity for the years ended December 31, 2014 and 2013 is set forth below: | ||||||||||||||||
Number of | Weighted-Average | Aggregate | |||||||||||||||
Shares | Remaining | Intrinsic | |||||||||||||||
Contractual | Value | ||||||||||||||||
Life (in Years) | |||||||||||||||||
Outstanding at January 1, 2013 | 115,466 | ||||||||||||||||
Granted | 38,375 | ||||||||||||||||
Vested | (11,116 | ) | |||||||||||||||
Canceled | (33,000 | ) | |||||||||||||||
Outstanding at December 31, 2013 | 109,725 | ||||||||||||||||
Granted | 38,737 | ||||||||||||||||
Vested | (19,598 | ) | |||||||||||||||
Canceled | (25,940 | ) | |||||||||||||||
Outstanding at December 31, 2014 | 102,924 | 2.1 | $ | 6,381,288 | |||||||||||||
Vested and expected to vest at December 31, 2014 | 79,445 | 1.9 | $ | 4,925,584 | |||||||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share Reconciliation [Abstract] | ||||||||||||
Components Of Basic And Diluted Earnings Per Share | The components of basic and diluted earnings per share are as follows (in thousands, except share and per share data): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Numerator for basic and diluted net income per common share: | ||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 124,336 | $ | 107,522 | $ | 121,580 | ||||||
Net income available to participating securities (a) | (2,590 | ) | (2,105 | ) | (2,075 | ) | ||||||
Net income available to j2 Global, Inc. common shareholders | 121,746 | 105,417 | 119,505 | |||||||||
Denominator: | ||||||||||||
Weighted-average outstanding shares of common stock | 46,778,015 | 45,548,767 | 45,459,712 | |||||||||
Dilutive effect of: | ||||||||||||
Equity incentive plans | 328,523 | 591,252 | 321,946 | |||||||||
Common stock and common stock equivalents | 47,106,538 | 46,140,019 | 45,781,658 | |||||||||
Net income per share: | ||||||||||||
Basic | $ | 2.6 | $ | 2.31 | $ | 2.63 | ||||||
Diluted | $ | 2.58 | $ | 2.28 | $ | 2.61 | ||||||
(a) | Represents unvested share-based payment awards that contain certain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid). |
Segment_Information_Tables
Segment Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | Information on reportable segments and reconciliation to consolidated income from operations is as follows (in thousands): | |||||||||||
Years Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Revenue by segment: | ||||||||||||
Business Cloud Services | $ | 431,475 | $ | 390,104 | $ | 361,684 | ||||||
Digital Media | 167,814 | 131,146 | 9,712 | |||||||||
Elimination of inter-segment revenues | (259 | ) | (449 | ) | — | |||||||
Total revenue | 599,030 | 520,801 | 371,396 | |||||||||
Direct costs by segment(1): | ||||||||||||
Business Cloud Services | 241,592 | 191,169 | 174,324 | |||||||||
Digital Media | 137,321 | 124,413 | 6,823 | |||||||||
Direct costs by segment(1): | 378,913 | 315,582 | 181,147 | |||||||||
Business Cloud Services operating income | 189,883 | 198,935 | 187,360 | |||||||||
Digital Media operating income | 30,493 | 6,733 | 2,889 | |||||||||
Segment operating income | 220,376 | 205,668 | 190,249 | |||||||||
Global operating costs(2) | 34,170 | 30,245 | 28,087 | |||||||||
Income from operations | $ | 186,206 | $ | 175,423 | $ | 162,162 | ||||||
(1) Direct costs for each segment include cost of revenue and other operating expenses that are directly attributable to the segment such as employee compensation expense, local sales and marketing expenses, engineering and operations, depreciation and amortization and other administrative expenses. | ||||||||||||
(2) Global operating costs include general and administrative and other corporate expenses that are managed on a global basis and that are not directly attributable to any particular segment. | ||||||||||||
Schedule of Segment Reporting Information, by Segment [Table Text Block] | ||||||||||||
2014 | 2013 | |||||||||||
Assets: | ||||||||||||
Business Cloud Services | $ | 883,587 | $ | 818,722 | ||||||||
Digital Media | 378,381 | 333,286 | ||||||||||
Total assets from reportable segments | 1,261,968 | 1,152,008 | ||||||||||
Corporate | 443,234 | 1,781 | ||||||||||
Total assets | $ | 1,705,202 | $ | 1,153,789 | ||||||||
2014 | 2013 | 2012 | ||||||||||
Capital expenditures: | ||||||||||||
Business Cloud Services | $ | 6,639 | $ | 10,979 | $ | 4,240 | ||||||
Digital Media | 4,920 | 6,635 | 380 | |||||||||
Total from reportable segments | $ | 11,559 | $ | 17,614 | $ | 4,620 | ||||||
Corporate | 270 | 1,013 | 441 | |||||||||
Total capital expenditures | $ | 11,829 | $ | 18,627 | $ | 5,061 | ||||||
Depreciation and amortization: | ||||||||||||
Business Cloud Services | $ | 39,699 | $ | 24,148 | $ | 20,473 | ||||||
Digital Media | 22,483 | 14,963 | 1,167 | |||||||||
Total from reportable segments | 62,182 | 39,111 | 21,640 | |||||||||
Corporate | 771 | 677 | 512 | |||||||||
Total depreciation and amortization | $ | 62,953 | $ | 39,788 | $ | 22,152 | ||||||
Summary On Revenues And Long-Lived Assets By Geographic Areas | j2 Global maintains operations in the U.S., Canada, Ireland, Japan and other countries. Geographic information about the U.S. and all other countries for the reporting periods is presented below. Such information attributes revenues based on jurisdictions where revenues are reported (in thousands). | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Revenues: | ||||||||||||
United States | $ | 403,279 | $ | 369,507 | $ | 233,585 | ||||||
Canada | 70,434 | 73,130 | 79,656 | |||||||||
Ireland | 42,979 | 41,398 | 41,248 | |||||||||
All other countries | 82,338 | 36,766 | 16,907 | |||||||||
Total | $ | 599,030 | $ | 520,801 | $ | 371,396 | ||||||
December 31, | December 31, | |||||||||||
2014 | 2013 | |||||||||||
Long-lived assets: | ||||||||||||
United States | $ | 216,099 | $ | 170,247 | ||||||||
All other countries | 101,107 | 51,675 | ||||||||||
Total | $ | 317,206 | $ | 221,922 | ||||||||
Condensed_Consolidating_Financ1
Condensed Consolidating Financials (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Condensed Consolidating Financials [Abstract] | ||||||||||||||||||||
Condensed Financial Statements [Text Block] | Consolidating Financial Statements | |||||||||||||||||||
In connection with the June 2014 Convertible Note issuance, j2 Global, Inc. entered into a supplemental indenture related to the Senior Notes pursuant to which it fully and unconditionally guaranteed, on an unsecured basis, the full and punctual payment of the Senior Notes issued by its wholly owned subsidiary, j2 Cloud Services, Inc. j2 Cloud Services, Inc. is subject to restrictions on dividends in its existing indenture with respect to the Senior Notes. While substantially all of the Company’s assets (other than the net cash proceeds from the issuance of the Convertible Notes) are owned directly or indirectly by j2 Cloud Services, Inc., those contractual provisions did not, as of June 30, 2014, meaningfully restrict j2 Cloud Services, Inc.’s ability to pay dividends to j2 Global, Inc. | ||||||||||||||||||||
The following condensed consolidating financial statements present, in separate columns, financial information for (i) j2 Global, Inc. (the “Parent”) on a parent-only basis, (ii) j2 Cloud Services, Inc., (iii) the non-guarantor subsidiaries on a combined basis, (iv) the eliminations and reclassifications necessary to arrive at the information for the Company on a consolidated basis, and (v) the Company on a consolidated basis. The condensed consolidating financial statements are presented in accordance with the equity method. Under this method, the investments in subsidiaries are recorded at cost and adjusted for the Company’s share of subsidiaries’ cumulative results of operations, capital contributions, distributions and other equity changes. Intercompany charges (income) between the Parent and subsidiaries are recognized in the condensed consolidating financial statements during the period incurred and the settlement of intercompany balances is reflected in the condensed consolidating statement of cash flows based on the nature of the underlying transactions. Consolidating adjustments include consolidating and eliminating entries for investments in subsidiaries, intercompany activity and balances. | ||||||||||||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED BALANCE SHEET | ||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||
(In thousands except share and per share data) | ||||||||||||||||||||
BALANCE SHEET | j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | 226,790 | 36,810 | 170,063 | — | 433,663 | |||||||||||||||
Short-term investments | 47,880 | 48,261 | 65 | — | 96,206 | |||||||||||||||
Accounts receivable, net | — | 11,167 | 80,532 | — | 91,699 | |||||||||||||||
Prepaid expenses and other current assets | 776 | 12,689 | 9,137 | — | 22,602 | |||||||||||||||
Deferred income taxes | 1,271 | — | 742 | — | 2,013 | |||||||||||||||
Intercompany receivable | 110,000 | 74,938 | 1,428 | (186,366 | ) | — | ||||||||||||||
Total current assets | 386,717 | 183,865 | 261,967 | (186,366 | ) | 646,183 | ||||||||||||||
Long-term investments | 55,452 | 5,056 | — | — | 60,508 | |||||||||||||||
Property and equipment, net | — | 8,011 | 30,206 | — | 38,217 | |||||||||||||||
Trade names, net | — | 10,231 | 95,320 | — | 105,551 | |||||||||||||||
Patent and patent licenses, net | — | 886 | 24,041 | — | 24,927 | |||||||||||||||
Customer relationships, net | — | 2,206 | 161,560 | — | 163,766 | |||||||||||||||
Goodwill | — | 52,131 | 583,544 | — | 635,675 | |||||||||||||||
Other purchased intangibles, net | — | 4,276 | 13,280 | — | 17,556 | |||||||||||||||
Investment in subsidiaries | 826,289 | 900,681 | 8,716 | (1,735,686 | ) | — | ||||||||||||||
Other assets | 9,328 | 1,368 | 2,123 | — | 12,819 | |||||||||||||||
Total assets | $ | 1,277,786 | $ | 1,168,711 | $ | 1,180,757 | $ | (1,922,052 | ) | $ | 1,705,202 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable and accrued expenses | 2,834 | 28,414 | 64,062 | — | 95,310 | |||||||||||||||
Deferred revenue | — | 23,091 | 40,366 | — | 63,457 | |||||||||||||||
Deferred income taxes | — | — | 342 | — | 342 | |||||||||||||||
Capital lease, current | — | — | 258 | — | 258 | |||||||||||||||
Intercompany payable | 76,366 | — | 110,000 | (186,366 | ) | — | ||||||||||||||
Total current liabilities | 79,200 | 51,505 | 215,028 | (186,366 | ) | 159,367 | ||||||||||||||
Long-term debt | 347,163 | 246,187 | — | — | 593,350 | |||||||||||||||
Capital lease, non-current | — | — | 141 | — | 141 | |||||||||||||||
Liability for uncertain tax positions | — | 37,551 | — | — | 37,551 | |||||||||||||||
Deferred income taxes | 21,728 | (1,837 | ) | 42,069 | — | 61,960 | ||||||||||||||
Deferred revenue, non-current | — | 8,187 | 1,995 | — | 10,182 | |||||||||||||||
Other long-term liabilities | 744 | 829 | 20,843 | — | 22,416 | |||||||||||||||
Total liabilities | 448,835 | 342,422 | 280,076 | (186,366 | ) | 884,967 | ||||||||||||||
Common stock, $0.01 par value | 474 | — | — | — | 474 | |||||||||||||||
Additional paid-in capital | 273,304 | 232,340 | 421,676 | (654,016 | ) | 273,304 | ||||||||||||||
Retained earnings | 555,158 | 584,591 | 495,505 | (1,081,670 | ) | 553,584 | ||||||||||||||
Accumulated other comprehensive income (loss) | 15 | 9,358 | (16,500 | ) | — | (7,127 | ) | |||||||||||||
Total stockholders’ equity | 828,951 | 826,289 | 900,681 | (1,735,686 | ) | 820,235 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,277,786 | $ | 1,168,711 | $ | 1,180,757 | $ | (1,922,052 | ) | $ | 1,705,202 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED BALANCE SHEET | ||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||
(In thousands except share and per share data) | ||||||||||||||||||||
BALANCE SHEET | j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | — | 34,406 | 173,395 | — | 207,801 | |||||||||||||||
Short-term investments | — | 67,848 | 22,941 | — | 90,789 | |||||||||||||||
Accounts receivable, net | — | 11,541 | 55,704 | — | 67,245 | |||||||||||||||
Prepaid expenses and other current assets | — | 16,662 | 3,402 | — | 20,064 | |||||||||||||||
Deferred income taxes | — | — | 3,126 | — | 3,126 | |||||||||||||||
Intercompany receivable | — | 4,433 | — | (4,433 | ) | — | ||||||||||||||
Total current assets | — | 134,890 | 258,568 | (4,433 | ) | 389,025 | ||||||||||||||
Long-term investments | — | 47,351 | — | — | 47,351 | |||||||||||||||
Property and equipment, net | — | 11,232 | 19,968 | — | 31,200 | |||||||||||||||
Trade names, net | — | 12,119 | 70,989 | — | 83,108 | |||||||||||||||
Patent and patent licenses, net | — | 15,107 | 13,423 | — | 28,530 | |||||||||||||||
Customer relationships, net | — | 6,125 | 94,855 | — | 100,980 | |||||||||||||||
Goodwill | — | 86,025 | 371,397 | — | 457,422 | |||||||||||||||
Other purchased intangibles, net | — | 5,306 | 5,609 | — | 10,915 | |||||||||||||||
Investment in subsidiaries | — | 741,843 | — | (741,843 | ) | — | ||||||||||||||
Deferred income taxes | — | 202 | 1,643 | — | 1,845 | |||||||||||||||
Other assets | — | 1,578 | 1,835 | — | 3,413 | |||||||||||||||
Total assets | $ | — | $ | 1,061,778 | $ | 838,287 | $ | (746,276 | ) | $ | 1,153,789 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable and accrued expenses | — | 29,419 | 40,151 | — | 69,570 | |||||||||||||||
Income taxes payable | — | — | 1,569 | — | 1,569 | |||||||||||||||
Deferred revenue | — | 23,762 | 12,564 | — | 36,326 | |||||||||||||||
Liability for uncertain tax positions | — | 5,532 | 3 | — | 5,535 | |||||||||||||||
Deferred income taxes | — | 906 | 986 | — | 1,892 | |||||||||||||||
Intercompany payable | — | — | 4,433 | (4,433 | ) | — | ||||||||||||||
Total current liabilities | — | 59,619 | 59,706 | (4,433 | ) | 114,892 | ||||||||||||||
Long-term debt | — | 245,670 | — | — | 245,670 | |||||||||||||||
Liability for uncertain tax positions | — | 38,329 | — | — | 38,329 | |||||||||||||||
Deferred income taxes | — | — | 35,833 | — | 35,833 | |||||||||||||||
Deferred revenue, non-current | — | 10,753 | 436 | — | 11,189 | |||||||||||||||
Other long-term liabilities | — | 989 | 469 | — | 1,458 | |||||||||||||||
Total liabilities | — | 355,360 | 96,444 | (4,433 | ) | 447,371 | ||||||||||||||
Common stock, $0.01 par value | — | 461 | 34 | (34 | ) | 461 | ||||||||||||||
Additional paid-in capital - common | — | 216,872 | 326,983 | (326,983 | ) | 216,872 | ||||||||||||||
Retained earnings | — | 482,540 | 417,136 | (414,826 | ) | 484,850 | ||||||||||||||
Accumulated other comprehensive loss | — | 6,545 | (2,310 | ) | — | 4,235 | ||||||||||||||
Total stockholders’ equity | — | 706,418 | 741,843 | (741,843 | ) | 706,418 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | — | $ | 1,061,778 | $ | 838,287 | $ | (746,276 | ) | $ | 1,153,789 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 227,860 | $ | 412,217 | $ | (41,047 | ) | $ | 599,030 | |||||||||
Cost of revenues | — | 51,391 | 95,386 | (40,788 | ) | 105,989 | ||||||||||||||
Gross profit | — | 176,469 | 316,831 | (259 | ) | 493,041 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 36,414 | 105,812 | (259 | ) | 141,967 | ||||||||||||||
Research, development and engineering | — | 14,055 | 16,625 | — | 30,680 | |||||||||||||||
General and administrative | 6,401 | 30,300 | 97,487 | — | 134,188 | |||||||||||||||
Total operating expenses | 6,401 | 80,769 | 219,924 | (259 | ) | 306,835 | ||||||||||||||
Income from operations | (6,401 | ) | 95,700 | 96,907 | — | 186,206 | ||||||||||||||
Equity earnings in Subsidiaries | 135,838 | 77,051 | — | (212,889 | ) | — | ||||||||||||||
Interest expense (income), net | 10,442 | 20,478 | 284 | — | 31,204 | |||||||||||||||
Other expense (income), net | (23 | ) | 141 | (283 | ) | — | (165 | ) | ||||||||||||
Income before income taxes | 119,018 | 152,132 | 96,906 | (212,889 | ) | 155,167 | ||||||||||||||
Income tax expense | (6,309 | ) | 16,294 | 19,855 | — | 29,840 | ||||||||||||||
Net income | 125,327 | 135,838 | 77,051 | (212,889 | ) | 125,327 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Less extinguishment of Series A preferred stock | (991 | ) | — | — | — | (991 | ) | |||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 124,336 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 124,336 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 255,413 | $ | 369,079 | $ | (103,691 | ) | $ | 520,801 | |||||||||
Cost of revenues | — | 84,655 | 105,480 | (103,242 | ) | 86,893 | ||||||||||||||
Gross profit | — | 170,758 | 263,599 | (449 | ) | 433,908 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 41,555 | 90,211 | (449 | ) | 131,317 | ||||||||||||||
Research, development and engineering | — | 12,977 | 12,508 | — | 25,485 | |||||||||||||||
General and administrative | — | 37,634 | 64,049 | — | 101,683 | |||||||||||||||
Total operating expenses | — | 92,166 | 166,768 | (449 | ) | 258,485 | ||||||||||||||
Income from operations | — | 78,592 | 96,831 | — | 175,423 | |||||||||||||||
Equity earnings in Subsidiaries | — | 61,551 | — | (61,551 | ) | — | ||||||||||||||
Interest expense (income), net | — | 9,292 | 11,962 | — | 21,254 | |||||||||||||||
Other expense (income), net | — | (369 | ) | 11,841 | — | 11,472 | ||||||||||||||
Income before income taxes | — | 131,220 | 73,028 | (61,551 | ) | 142,697 | ||||||||||||||
Income tax expense | — | 23,698 | 11,477 | — | 35,175 | |||||||||||||||
Net income | — | 107,522 | 61,551 | (61,551 | ) | 107,522 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 222,203 | $ | 206,045 | $ | (56,852 | ) | $ | 371,396 | |||||||||
Cost of revenues | — | 85,826 | 38,039 | (56,852 | ) | 67,013 | ||||||||||||||
Gross profit | — | 136,377 | 168,006 | — | 304,383 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 35,677 | 27,148 | — | 62,825 | |||||||||||||||
Research, development and engineering | — | 11,878 | 6,746 | — | 18,624 | |||||||||||||||
General and administrative | — | 35,558 | 25,214 | — | 60,772 | |||||||||||||||
Total operating expenses | — | 83,113 | 59,108 | — | 142,221 | |||||||||||||||
Income from operations | — | 53,264 | 108,898 | — | 162,162 | |||||||||||||||
Equity earnings in Subsidiaries | — | 91,539 | — | (91,539 | ) | — | ||||||||||||||
Interest expense (income), net | — | 3,911 | 3,739 | — | 7,650 | |||||||||||||||
Other expense (income), net | — | (168 | ) | (242 | ) | — | (410 | ) | ||||||||||||
Income before income taxes | — | 141,060 | 105,401 | (91,539 | ) | 154,922 | ||||||||||||||
Income tax expense | — | 19,480 | 13,779 | — | 33,259 | |||||||||||||||
Net income | — | 121,580 | 91,622 | (91,539 | ) | 121,663 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | 83 | — | 83 | |||||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | — | $ | 121,580 | $ | 91,539 | $ | (91,539 | ) | $ | 121,580 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | 125,327 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 125,327 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | (478 | ) | (14,216 | ) | — | (14,694 | ) | ||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | 15 | 3,307 | 10 | — | 3,332 | |||||||||||||||
Other comprehensive income (loss), net of tax | 15 | 2,829 | (14,206 | ) | — | (11,362 | ) | |||||||||||||
Comprehensive income (loss) | $ | 125,342 | $ | 138,667 | $ | 62,845 | $ | (212,889 | ) | $ | 113,965 | |||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | 125,342 | $ | 138,667 | $ | 62,845 | $ | (212,889 | ) | $ | 113,965 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | (43 | ) | 121 | — | 78 | ||||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | — | 4,249 | (4 | ) | — | 4,245 | ||||||||||||||
Other comprehensive income, net of tax | — | 4,206 | 117 | — | 4,323 | |||||||||||||||
Comprehensive income | $ | — | $ | 111,728 | $ | 61,668 | $ | (61,551 | ) | $ | 111,845 | |||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | — | $ | 111,728 | $ | 61,668 | $ | (61,551 | ) | $ | 111,845 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | — | $ | 121,580 | $ | 91,622 | $ | (91,539 | ) | $ | 121,663 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | 521 | 914 | — | 1,435 | |||||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | — | 1,960 | (6 | ) | — | 1,954 | ||||||||||||||
Other comprehensive income, net of tax | — | 2,481 | 908 | — | 3,389 | |||||||||||||||
Comprehensive income | — | 124,061 | 92,530 | (91,539 | ) | 125,052 | ||||||||||||||
Net loss attributable to noncontrolling interest | — | — | 83 | — | 83 | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | — | $ | 124,061 | $ | 92,447 | $ | (91,539 | ) | $ | 124,969 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | 125,327 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 125,327 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 6,047 | 56,906 | — | 62,953 | |||||||||||||||
Accretion and amortization of discount and premium of investments | 392 | 722 | 220 | — | 1,334 | |||||||||||||||
Amortization of financing costs and discounts | 4,297 | 748 | — | — | 5,045 | |||||||||||||||
Share-based compensation | 2,353 | 5,325 | 1,230 | — | 8,908 | |||||||||||||||
Excess tax benefits from share-based compensation | (86 | ) | (4,803 | ) | (623 | ) | — | (5,512 | ) | |||||||||||
Provision for doubtful accounts | — | 2,114 | 2,588 | — | 4,702 | |||||||||||||||
Equity earnings in subsidiaries | (135,838 | ) | (77,051 | ) | — | 212,889 | — | |||||||||||||
Deferred income taxes | (1,392 | ) | (5,767 | ) | (2,874 | ) | — | (10,033 | ) | |||||||||||
(Gain) Loss on disposal of fixed assets | — | — | — | — | — | |||||||||||||||
(Gain) loss on available-for-sale investment | 26 | (58 | ) | (58 | ) | (90 | ) | |||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (2,490 | ) | (8,588 | ) | — | (11,078 | ) | ||||||||||||
Prepaid expenses and other current assets | (776 | ) | (8,757 | ) | 6,321 | — | (3,212 | ) | ||||||||||||
Other assets | — | — | (42 | ) | — | (42 | ) | |||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | 2,835 | (1,173 | ) | (7,109 | ) | — | (5,447 | ) | ||||||||||||
Income taxes payable | 2,055 | 17,384 | (8,642 | ) | — | 10,797 | ||||||||||||||
Deferred revenue | — | (2,067 | ) | 1,356 | — | (711 | ) | |||||||||||||
Liability for uncertain tax positions | — | (6,311 | ) | (2 | ) | — | (6,313 | ) | ||||||||||||
Other long-term liabilities | 742 | (157 | ) | 18 | — | 603 | ||||||||||||||
Net cash (used in) provided by operating activities | (65 | ) | 59,544 | 117,752 | — | 177,231 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 8,210 | 6,310 | — | 14,520 | |||||||||||||||
Purchase of certificates of deposit | — | — | (65 | ) | — | (65 | ) | |||||||||||||
Sales of available-for-sale investments | 40,211 | 53,563 | 16,589 | — | 110,363 | |||||||||||||||
Purchase of available-for-sale investments | (81,061 | ) | (57,391 | ) | — | — | (138,452 | ) | ||||||||||||
Purchases of property and equipment | — | (2,866 | ) | (8,963 | ) | — | (11,829 | ) | ||||||||||||
Proceeds from sale of assets | — | 608 | — | — | 608 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (2,083 | ) | (243,195 | ) | — | (245,278 | ) | ||||||||||||
Purchases of intangible assets | — | (2,949 | ) | (2,387 | ) | — | (5,336 | ) | ||||||||||||
Investment in subsidiaries | — | (23,821 | ) | — | 23,821 | — | ||||||||||||||
Net cash (used in) provided by investing activities | (40,850 | ) | (26,729 | ) | (231,711 | ) | 23,821 | (275,469 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | 402,500 | — | — | — | 402,500 | |||||||||||||||
Debt issuance cost | (11,991 | ) | — | — | — | (11,991 | ) | |||||||||||||
Repurchases of common and restricted stock | (930 | ) | (4,733 | ) | — | — | (5,663 | ) | ||||||||||||
Issuance of common stock under employee stock purchase plan | 142 | 123 | — | — | 265 | |||||||||||||||
Exercise of stock options | 1,374 | 5,193 | 54 | — | 6,621 | |||||||||||||||
Mandatorily redeemable preferred stock | — | — | — | — | — | |||||||||||||||
Dividends paid | (26,967 | ) | (25,302 | ) | — | — | (52,269 | ) | ||||||||||||
Excess tax benefits from share-based compensation | 86 | 4,803 | 623 | — | 5,512 | |||||||||||||||
Deferred payments for acquisitions | — | — | (16,512 | ) | — | (16,512 | ) | |||||||||||||
Other | — | — | (933 | ) | — | (933 | ) | |||||||||||||
Intercompany | (96,509 | ) | (10,495 | ) | 130,825 | (23,821 | ) | — | ||||||||||||
Net cash (used in) provided by financing activities | 267,705 | (30,411 | ) | 114,057 | (23,821 | ) | 327,530 | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (3,430 | ) | — | (3,430 | ) | |||||||||||||
Net change in cash and cash equivalents | 226,790 | 2,404 | (3,332 | ) | — | 225,862 | ||||||||||||||
Cash and cash equivalents at beginning of period | — | 34,406 | 173,395 | — | 207,801 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 226,790 | $ | 36,810 | $ | 170,063 | $ | — | $ | 433,663 | ||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 9,201 | 30,587 | — | 39,788 | |||||||||||||||
Accretion and amortization of discount and premium of investments | — | 1,273 | 523 | — | 1,796 | |||||||||||||||
Amortization of financing costs and discounts | — | 613 | — | — | 613 | |||||||||||||||
Share-based compensation | — | 9,720 | — | — | 9,720 | |||||||||||||||
Excess tax benefits from share-based compensation | — | (2,695 | ) | — | — | (2,695 | ) | |||||||||||||
Provision for doubtful accounts | — | 1,219 | 1,916 | — | 3,135 | |||||||||||||||
Equity earnings in subsidiaries | — | (61,551 | ) | — | 61,551 | — | ||||||||||||||
Deferred income taxes | — | (495 | ) | 745 | — | 250 | ||||||||||||||
(Gain) Loss on disposal of fixed assets | — | — | 8 | — | 8 | |||||||||||||||
(Gain) loss on available-for-sale investment | — | (51 | ) | 117 | 66 | |||||||||||||||
Loss on extinguishment of debt and related interest expense | — | — | 14,437 | — | 14,437 | |||||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (1,656 | ) | (7,932 | ) | — | (9,588 | ) | ||||||||||||
Prepaid expenses and other current assets | — | 784 | (635 | ) | — | 149 | ||||||||||||||
Other assets | — | (57 | ) | 225 | — | 168 | ||||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | — | (124 | ) | 9,250 | — | 9,126 | ||||||||||||||
Income taxes payable | — | (923 | ) | 1,590 | — | 667 | ||||||||||||||
Deferred revenue | — | 13,415 | (1,047 | ) | — | 12,368 | ||||||||||||||
Liability for uncertain tax positions | — | 6,184 | 2 | — | 6,186 | |||||||||||||||
Other long-term liabilities | — | (88 | ) | (304 | ) | — | (392 | ) | ||||||||||||
Net cash provided by operating activities | — | 82,291 | 111,033 | — | 193,324 | |||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 30,270 | 12,345 | — | 42,615 | |||||||||||||||
Purchase of certificates of deposit | — | (16,375 | ) | (5,696 | ) | — | (22,071 | ) | ||||||||||||
Sales of available-for-sale investments | — | 124,745 | 15,381 | — | 140,126 | |||||||||||||||
Purchase of available-for-sale investments | — | (149,748 | ) | (19,153 | ) | — | (168,901 | ) | ||||||||||||
Purchases of property and equipment | — | (6,223 | ) | (12,404 | ) | — | (18,627 | ) | ||||||||||||
Proceeds from sale of assets | — | 1 | — | — | 1 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (4,043 | ) | (122,298 | ) | — | (126,341 | ) | ||||||||||||
Purchases of intangible assets | — | (3,034 | ) | (11,166 | ) | — | (14,200 | ) | ||||||||||||
Investment in subsidiaries | — | (14,920 | ) | — | 14,920 | — | ||||||||||||||
Other | — | 3,281 | (3,281 | ) | — | — | ||||||||||||||
Net cash (used in) provided by investing activities | — | (36,046 | ) | (146,272 | ) | 14,920 | (167,398 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | — | — | — | — | — | |||||||||||||||
Debt issuance costs | — | (47 | ) | — | — | (47 | ) | |||||||||||||
Repurchases of common stock and restricted stock | — | (4,587 | ) | — | — | (4,587 | ) | |||||||||||||
Issuance of common stock under employee stock purchase plan | — | 213 | — | — | 213 | |||||||||||||||
Exercise of stock options | — | 13,604 | — | — | 13,604 | |||||||||||||||
Mandatorily redeemable preferred stock | — | — | — | — | ||||||||||||||||
Dividends paid | — | (45,134 | ) | — | — | (45,134 | ) | |||||||||||||
Excess tax benefits from share-based compensation | — | 2,695 | — | — | 2,695 | |||||||||||||||
Deferred payments for acquisitions | — | — | — | — | — | |||||||||||||||
Other | — | — | (2,437 | ) | — | (2,437 | ) | |||||||||||||
Intercompany | — | (55,295 | ) | 70,215 | (14,920 | ) | — | |||||||||||||
Net cash (used in) provided by financing activities | — | (88,551 | ) | 67,778 | (14,920 | ) | (35,693 | ) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (1,112 | ) | — | (1,112 | ) | |||||||||||||
Net change in cash and cash equivalents | — | (42,306 | ) | 31,427 | — | (10,879 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | — | 76,712 | 141,968 | — | 218,680 | |||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 34,406 | $ | 173,395 | $ | — | $ | 207,801 | ||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | — | $ | 121,580 | $ | 91,622 | $ | (91,539 | ) | $ | 121,663 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 8,590 | 13,574 | — | 22,164 | |||||||||||||||
Accretion and amortization of discount and premium of investments | — | 1,461 | 142 | — | 1,603 | |||||||||||||||
Amortization of financing costs and discounts | — | 249 | — | — | 249 | |||||||||||||||
Share-based compensation | — | 9,132 | — | — | 9,132 | |||||||||||||||
Excess tax benefits from share-based compensation | — | (961 | ) | — | — | (961 | ) | |||||||||||||
Provision for doubtful accounts | — | 293 | 3,996 | — | 4,289 | |||||||||||||||
Equity earnings in subsidiaries | — | (91,539 | ) | — | 91,539 | — | ||||||||||||||
Deferred income taxes | — | 4,839 | (3,689 | ) | — | 1,150 | ||||||||||||||
(Gain) Loss on disposal of fixed assets | — | 54 | — | — | 54 | |||||||||||||||
(Gain) loss on available-for-sale investment | — | (266 | ) | — | (266 | ) | ||||||||||||||
Loss on extinguishment of debt and related interest expense | — | — | — | — | — | |||||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (822 | ) | (4,595 | ) | — | (5,417 | ) | ||||||||||||
Prepaid expenses and other current assets | — | (1,265 | ) | (763 | ) | — | (2,028 | ) | ||||||||||||
Other assets | — | 123 | (366 | ) | (243 | ) | ||||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | — | 10,599 | (5,461 | ) | — | 5,138 | ||||||||||||||
Income taxes payable | — | 2,193 | 1,946 | — | 4,139 | |||||||||||||||
Deferred revenue | — | 878 | 734 | — | 1,612 | |||||||||||||||
Liability for uncertain tax positions | — | 7,601 | — | — | 7,601 | |||||||||||||||
Other long-term liabilities | — | 99 | (67 | ) | — | 32 | ||||||||||||||
Net cash provided by operating activities | — | 72,838 | 97,073 | — | 169,911 | |||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 8,000 | — | — | 8,000 | |||||||||||||||
Purchase of certificates of deposit | — | (22,106 | ) | (12,567 | ) | — | (34,673 | ) | ||||||||||||
Sales of available-for-sale investments | — | 138,709 | — | — | 138,709 | |||||||||||||||
Purchase of available-for-sale investments | — | (139,087 | ) | (12,902 | ) | — | (151,989 | ) | ||||||||||||
Purchases of property and equipment | — | (2,677 | ) | (2,384 | ) | — | (5,061 | ) | ||||||||||||
Proceeds from sale of assets | — | 136 | 20 | — | 156 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (1,811 | ) | (196,530 | ) | — | (198,341 | ) | ||||||||||||
Purchases of intangible assets | — | (4,433 | ) | (1,862 | ) | — | (6,295 | ) | ||||||||||||
Investment in subsidiaries | — | (171,562 | ) | — | 171,562 | — | ||||||||||||||
Other | — | — | — | — | — | |||||||||||||||
Net cash (used in) provided by investing activities | — | (194,831 | ) | (226,225 | ) | 171,562 | (249,494 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | — | 245,000 | — | — | 245,000 | |||||||||||||||
Debt issuance cost | — | (1,384 | ) | — | — | (1,384 | ) | |||||||||||||
Repurchases of common and restricted stock | — | (60,282 | ) | — | — | (60,282 | ) | |||||||||||||
Issuance of common stock under employee stock purchase plan | — | 157 | — | — | 157 | |||||||||||||||
Exercise of stock options | — | 5,646 | — | 5,646 | ||||||||||||||||
Mandatorily redeemable preferred stock | — | — | 8,557 | — | 8,557 | |||||||||||||||
Dividends paid | — | (40,263 | ) | — | — | (40,263 | ) | |||||||||||||
Excess tax benefits from share-based compensation | — | 961 | — | — | 961 | |||||||||||||||
Deferred payments for acquisitions | — | — | — | — | — | |||||||||||||||
Other | — | — | — | — | — | |||||||||||||||
Intercompany | — | 3,746 | 167,816 | (171,562 | ) | — | ||||||||||||||
Net cash (used in) provided by financing activities | — | 153,581 | 176,373 | (171,562 | ) | 158,392 | ||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | 512 | — | 512 | |||||||||||||||
Net change in cash and cash equivalents | — | 31,588 | 47,733 | — | 79,321 | |||||||||||||||
Cash and cash equivalents at beginning of period | — | 45,124 | 94,235 | — | 139,359 | |||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 76,712 | $ | 141,968 | $ | — | $ | 218,680 | ||||||||||
Condensed Balance Sheet [Table Text Block] | j2 GLOBAL, INC. AND SUBSIDIARIES | |||||||||||||||||||
CONSOLIDATED BALANCE SHEET | ||||||||||||||||||||
31-Dec-14 | ||||||||||||||||||||
(In thousands except share and per share data) | ||||||||||||||||||||
BALANCE SHEET | j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | 226,790 | 36,810 | 170,063 | — | 433,663 | |||||||||||||||
Short-term investments | 47,880 | 48,261 | 65 | — | 96,206 | |||||||||||||||
Accounts receivable, net | — | 11,167 | 80,532 | — | 91,699 | |||||||||||||||
Prepaid expenses and other current assets | 776 | 12,689 | 9,137 | — | 22,602 | |||||||||||||||
Deferred income taxes | 1,271 | — | 742 | — | 2,013 | |||||||||||||||
Intercompany receivable | 110,000 | 74,938 | 1,428 | (186,366 | ) | — | ||||||||||||||
Total current assets | 386,717 | 183,865 | 261,967 | (186,366 | ) | 646,183 | ||||||||||||||
Long-term investments | 55,452 | 5,056 | — | — | 60,508 | |||||||||||||||
Property and equipment, net | — | 8,011 | 30,206 | — | 38,217 | |||||||||||||||
Trade names, net | — | 10,231 | 95,320 | — | 105,551 | |||||||||||||||
Patent and patent licenses, net | — | 886 | 24,041 | — | 24,927 | |||||||||||||||
Customer relationships, net | — | 2,206 | 161,560 | — | 163,766 | |||||||||||||||
Goodwill | — | 52,131 | 583,544 | — | 635,675 | |||||||||||||||
Other purchased intangibles, net | — | 4,276 | 13,280 | — | 17,556 | |||||||||||||||
Investment in subsidiaries | 826,289 | 900,681 | 8,716 | (1,735,686 | ) | — | ||||||||||||||
Other assets | 9,328 | 1,368 | 2,123 | — | 12,819 | |||||||||||||||
Total assets | $ | 1,277,786 | $ | 1,168,711 | $ | 1,180,757 | $ | (1,922,052 | ) | $ | 1,705,202 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable and accrued expenses | 2,834 | 28,414 | 64,062 | — | 95,310 | |||||||||||||||
Deferred revenue | — | 23,091 | 40,366 | — | 63,457 | |||||||||||||||
Deferred income taxes | — | — | 342 | — | 342 | |||||||||||||||
Capital lease, current | — | — | 258 | — | 258 | |||||||||||||||
Intercompany payable | 76,366 | — | 110,000 | (186,366 | ) | — | ||||||||||||||
Total current liabilities | 79,200 | 51,505 | 215,028 | (186,366 | ) | 159,367 | ||||||||||||||
Long-term debt | 347,163 | 246,187 | — | — | 593,350 | |||||||||||||||
Capital lease, non-current | — | — | 141 | — | 141 | |||||||||||||||
Liability for uncertain tax positions | — | 37,551 | — | — | 37,551 | |||||||||||||||
Deferred income taxes | 21,728 | (1,837 | ) | 42,069 | — | 61,960 | ||||||||||||||
Deferred revenue, non-current | — | 8,187 | 1,995 | — | 10,182 | |||||||||||||||
Other long-term liabilities | 744 | 829 | 20,843 | — | 22,416 | |||||||||||||||
Total liabilities | 448,835 | 342,422 | 280,076 | (186,366 | ) | 884,967 | ||||||||||||||
Common stock, $0.01 par value | 474 | — | — | — | 474 | |||||||||||||||
Additional paid-in capital | 273,304 | 232,340 | 421,676 | (654,016 | ) | 273,304 | ||||||||||||||
Retained earnings | 555,158 | 584,591 | 495,505 | (1,081,670 | ) | 553,584 | ||||||||||||||
Accumulated other comprehensive income (loss) | 15 | 9,358 | (16,500 | ) | — | (7,127 | ) | |||||||||||||
Total stockholders’ equity | 828,951 | 826,289 | 900,681 | (1,735,686 | ) | 820,235 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,277,786 | $ | 1,168,711 | $ | 1,180,757 | $ | (1,922,052 | ) | $ | 1,705,202 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED BALANCE SHEET | ||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||
(In thousands except share and per share data) | ||||||||||||||||||||
BALANCE SHEET | j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | |||||||||||||||
ASSETS | ||||||||||||||||||||
Cash and cash equivalents | — | 34,406 | 173,395 | — | 207,801 | |||||||||||||||
Short-term investments | — | 67,848 | 22,941 | — | 90,789 | |||||||||||||||
Accounts receivable, net | — | 11,541 | 55,704 | — | 67,245 | |||||||||||||||
Prepaid expenses and other current assets | — | 16,662 | 3,402 | — | 20,064 | |||||||||||||||
Deferred income taxes | — | — | 3,126 | — | 3,126 | |||||||||||||||
Intercompany receivable | — | 4,433 | — | (4,433 | ) | — | ||||||||||||||
Total current assets | — | 134,890 | 258,568 | (4,433 | ) | 389,025 | ||||||||||||||
Long-term investments | — | 47,351 | — | — | 47,351 | |||||||||||||||
Property and equipment, net | — | 11,232 | 19,968 | — | 31,200 | |||||||||||||||
Trade names, net | — | 12,119 | 70,989 | — | 83,108 | |||||||||||||||
Patent and patent licenses, net | — | 15,107 | 13,423 | — | 28,530 | |||||||||||||||
Customer relationships, net | — | 6,125 | 94,855 | — | 100,980 | |||||||||||||||
Goodwill | — | 86,025 | 371,397 | — | 457,422 | |||||||||||||||
Other purchased intangibles, net | — | 5,306 | 5,609 | — | 10,915 | |||||||||||||||
Investment in subsidiaries | — | 741,843 | — | (741,843 | ) | — | ||||||||||||||
Deferred income taxes | — | 202 | 1,643 | — | 1,845 | |||||||||||||||
Other assets | — | 1,578 | 1,835 | — | 3,413 | |||||||||||||||
Total assets | $ | — | $ | 1,061,778 | $ | 838,287 | $ | (746,276 | ) | $ | 1,153,789 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable and accrued expenses | — | 29,419 | 40,151 | — | 69,570 | |||||||||||||||
Income taxes payable | — | — | 1,569 | — | 1,569 | |||||||||||||||
Deferred revenue | — | 23,762 | 12,564 | — | 36,326 | |||||||||||||||
Liability for uncertain tax positions | — | 5,532 | 3 | — | 5,535 | |||||||||||||||
Deferred income taxes | — | 906 | 986 | — | 1,892 | |||||||||||||||
Intercompany payable | — | — | 4,433 | (4,433 | ) | — | ||||||||||||||
Total current liabilities | — | 59,619 | 59,706 | (4,433 | ) | 114,892 | ||||||||||||||
Long-term debt | — | 245,670 | — | — | 245,670 | |||||||||||||||
Liability for uncertain tax positions | — | 38,329 | — | — | 38,329 | |||||||||||||||
Deferred income taxes | — | — | 35,833 | — | 35,833 | |||||||||||||||
Deferred revenue, non-current | — | 10,753 | 436 | — | 11,189 | |||||||||||||||
Other long-term liabilities | — | 989 | 469 | — | 1,458 | |||||||||||||||
Total liabilities | — | 355,360 | 96,444 | (4,433 | ) | 447,371 | ||||||||||||||
Common stock, $0.01 par value | — | 461 | 34 | (34 | ) | 461 | ||||||||||||||
Additional paid-in capital - common | — | 216,872 | 326,983 | (326,983 | ) | 216,872 | ||||||||||||||
Retained earnings | — | 482,540 | 417,136 | (414,826 | ) | 484,850 | ||||||||||||||
Accumulated other comprehensive loss | — | 6,545 | (2,310 | ) | — | 4,235 | ||||||||||||||
Total stockholders’ equity | — | 706,418 | 741,843 | (741,843 | ) | 706,418 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | — | $ | 1,061,778 | $ | 838,287 | $ | (746,276 | ) | $ | 1,153,789 | |||||||||
Condensed Income Statement [Table Text Block] | j2 GLOBAL, INC. AND SUBSIDIARIES | |||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 227,860 | $ | 412,217 | $ | (41,047 | ) | $ | 599,030 | |||||||||
Cost of revenues | — | 51,391 | 95,386 | (40,788 | ) | 105,989 | ||||||||||||||
Gross profit | — | 176,469 | 316,831 | (259 | ) | 493,041 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 36,414 | 105,812 | (259 | ) | 141,967 | ||||||||||||||
Research, development and engineering | — | 14,055 | 16,625 | — | 30,680 | |||||||||||||||
General and administrative | 6,401 | 30,300 | 97,487 | — | 134,188 | |||||||||||||||
Total operating expenses | 6,401 | 80,769 | 219,924 | (259 | ) | 306,835 | ||||||||||||||
Income from operations | (6,401 | ) | 95,700 | 96,907 | — | 186,206 | ||||||||||||||
Equity earnings in Subsidiaries | 135,838 | 77,051 | — | (212,889 | ) | — | ||||||||||||||
Interest expense (income), net | 10,442 | 20,478 | 284 | — | 31,204 | |||||||||||||||
Other expense (income), net | (23 | ) | 141 | (283 | ) | — | (165 | ) | ||||||||||||
Income before income taxes | 119,018 | 152,132 | 96,906 | (212,889 | ) | 155,167 | ||||||||||||||
Income tax expense | (6,309 | ) | 16,294 | 19,855 | — | 29,840 | ||||||||||||||
Net income | 125,327 | 135,838 | 77,051 | (212,889 | ) | 125,327 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Less extinguishment of Series A preferred stock | (991 | ) | — | — | — | (991 | ) | |||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | 124,336 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 124,336 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 255,413 | $ | 369,079 | $ | (103,691 | ) | $ | 520,801 | |||||||||
Cost of revenues | — | 84,655 | 105,480 | (103,242 | ) | 86,893 | ||||||||||||||
Gross profit | — | 170,758 | 263,599 | (449 | ) | 433,908 | ||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 41,555 | 90,211 | (449 | ) | 131,317 | ||||||||||||||
Research, development and engineering | — | 12,977 | 12,508 | — | 25,485 | |||||||||||||||
General and administrative | — | 37,634 | 64,049 | — | 101,683 | |||||||||||||||
Total operating expenses | — | 92,166 | 166,768 | (449 | ) | 258,485 | ||||||||||||||
Income from operations | — | 78,592 | 96,831 | — | 175,423 | |||||||||||||||
Equity earnings in Subsidiaries | — | 61,551 | — | (61,551 | ) | — | ||||||||||||||
Interest expense (income), net | — | 9,292 | 11,962 | — | 21,254 | |||||||||||||||
Other expense (income), net | — | (369 | ) | 11,841 | — | 11,472 | ||||||||||||||
Income before income taxes | — | 131,220 | 73,028 | (61,551 | ) | 142,697 | ||||||||||||||
Income tax expense | — | 23,698 | 11,477 | — | 35,175 | |||||||||||||||
Net income | — | 107,522 | 61,551 | (61,551 | ) | 107,522 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF INCOME | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Revenues: | ||||||||||||||||||||
Total revenues | $ | — | $ | 222,203 | $ | 206,045 | $ | (56,852 | ) | $ | 371,396 | |||||||||
Cost of revenues | — | 85,826 | 38,039 | (56,852 | ) | 67,013 | ||||||||||||||
Gross profit | — | 136,377 | 168,006 | — | 304,383 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Sales and marketing | — | 35,677 | 27,148 | — | 62,825 | |||||||||||||||
Research, development and engineering | — | 11,878 | 6,746 | — | 18,624 | |||||||||||||||
General and administrative | — | 35,558 | 25,214 | — | 60,772 | |||||||||||||||
Total operating expenses | — | 83,113 | 59,108 | — | 142,221 | |||||||||||||||
Income from operations | — | 53,264 | 108,898 | — | 162,162 | |||||||||||||||
Equity earnings in Subsidiaries | — | 91,539 | — | (91,539 | ) | — | ||||||||||||||
Interest expense (income), net | — | 3,911 | 3,739 | — | 7,650 | |||||||||||||||
Other expense (income), net | — | (168 | ) | (242 | ) | — | (410 | ) | ||||||||||||
Income before income taxes | — | 141,060 | 105,401 | (91,539 | ) | 154,922 | ||||||||||||||
Income tax expense | — | 19,480 | 13,779 | — | 33,259 | |||||||||||||||
Net income | — | 121,580 | 91,622 | (91,539 | ) | 121,663 | ||||||||||||||
Less net loss attributable to noncontrolling interest | — | — | 83 | — | 83 | |||||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | $ | — | $ | 121,580 | $ | 91,539 | $ | (91,539 | ) | $ | 121,580 | |||||||||
Condensed Comprehensive Income Statement [Table Text Block] | j2 GLOBAL, INC. AND SUBSIDIARIES | |||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | 125,327 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 125,327 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | (478 | ) | (14,216 | ) | — | (14,694 | ) | ||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | 15 | 3,307 | 10 | — | 3,332 | |||||||||||||||
Other comprehensive income (loss), net of tax | 15 | 2,829 | (14,206 | ) | — | (11,362 | ) | |||||||||||||
Comprehensive income (loss) | $ | 125,342 | $ | 138,667 | $ | 62,845 | $ | (212,889 | ) | $ | 113,965 | |||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | 125,342 | $ | 138,667 | $ | 62,845 | $ | (212,889 | ) | $ | 113,965 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | (43 | ) | 121 | — | 78 | ||||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | — | 4,249 | (4 | ) | — | 4,245 | ||||||||||||||
Other comprehensive income, net of tax | — | 4,206 | 117 | — | 4,323 | |||||||||||||||
Comprehensive income | $ | — | $ | 111,728 | $ | 61,668 | $ | (61,551 | ) | $ | 111,845 | |||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | — | $ | 111,728 | $ | 61,668 | $ | (61,551 | ) | $ | 111,845 | |||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Net income | $ | — | $ | 121,580 | $ | 91,622 | $ | (91,539 | ) | $ | 121,663 | |||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment, net of tax expense (benefit) | — | 521 | 914 | — | 1,435 | |||||||||||||||
Unrealized gain (loss) on available-for-sale investments, net of tax expense (benefit) | — | 1,960 | (6 | ) | — | 1,954 | ||||||||||||||
Other comprehensive income, net of tax | — | 2,481 | 908 | — | 3,389 | |||||||||||||||
Comprehensive income | — | 124,061 | 92,530 | (91,539 | ) | 125,052 | ||||||||||||||
Net loss attributable to noncontrolling interest | — | — | 83 | — | 83 | |||||||||||||||
Comprehensive income attributable to j2 Global, Inc. | $ | — | $ | 124,061 | $ | 92,447 | $ | (91,539 | ) | $ | 124,969 | |||||||||
Condensed Cash Flow Statement [Table Text Block] | j2 GLOBAL, INC. AND SUBSIDIARIES | |||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | 125,327 | $ | 135,838 | $ | 77,051 | $ | (212,889 | ) | $ | 125,327 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 6,047 | 56,906 | — | 62,953 | |||||||||||||||
Accretion and amortization of discount and premium of investments | 392 | 722 | 220 | — | 1,334 | |||||||||||||||
Amortization of financing costs and discounts | 4,297 | 748 | — | — | 5,045 | |||||||||||||||
Share-based compensation | 2,353 | 5,325 | 1,230 | — | 8,908 | |||||||||||||||
Excess tax benefits from share-based compensation | (86 | ) | (4,803 | ) | (623 | ) | — | (5,512 | ) | |||||||||||
Provision for doubtful accounts | — | 2,114 | 2,588 | — | 4,702 | |||||||||||||||
Equity earnings in subsidiaries | (135,838 | ) | (77,051 | ) | — | 212,889 | — | |||||||||||||
Deferred income taxes | (1,392 | ) | (5,767 | ) | (2,874 | ) | — | (10,033 | ) | |||||||||||
(Gain) Loss on disposal of fixed assets | — | — | — | — | — | |||||||||||||||
(Gain) loss on available-for-sale investment | 26 | (58 | ) | (58 | ) | (90 | ) | |||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (2,490 | ) | (8,588 | ) | — | (11,078 | ) | ||||||||||||
Prepaid expenses and other current assets | (776 | ) | (8,757 | ) | 6,321 | — | (3,212 | ) | ||||||||||||
Other assets | — | — | (42 | ) | — | (42 | ) | |||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | 2,835 | (1,173 | ) | (7,109 | ) | — | (5,447 | ) | ||||||||||||
Income taxes payable | 2,055 | 17,384 | (8,642 | ) | — | 10,797 | ||||||||||||||
Deferred revenue | — | (2,067 | ) | 1,356 | — | (711 | ) | |||||||||||||
Liability for uncertain tax positions | — | (6,311 | ) | (2 | ) | — | (6,313 | ) | ||||||||||||
Other long-term liabilities | 742 | (157 | ) | 18 | — | 603 | ||||||||||||||
Net cash (used in) provided by operating activities | (65 | ) | 59,544 | 117,752 | — | 177,231 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 8,210 | 6,310 | — | 14,520 | |||||||||||||||
Purchase of certificates of deposit | — | — | (65 | ) | — | (65 | ) | |||||||||||||
Sales of available-for-sale investments | 40,211 | 53,563 | 16,589 | — | 110,363 | |||||||||||||||
Purchase of available-for-sale investments | (81,061 | ) | (57,391 | ) | — | — | (138,452 | ) | ||||||||||||
Purchases of property and equipment | — | (2,866 | ) | (8,963 | ) | — | (11,829 | ) | ||||||||||||
Proceeds from sale of assets | — | 608 | — | — | 608 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (2,083 | ) | (243,195 | ) | — | (245,278 | ) | ||||||||||||
Purchases of intangible assets | — | (2,949 | ) | (2,387 | ) | — | (5,336 | ) | ||||||||||||
Investment in subsidiaries | — | (23,821 | ) | — | 23,821 | — | ||||||||||||||
Net cash (used in) provided by investing activities | (40,850 | ) | (26,729 | ) | (231,711 | ) | 23,821 | (275,469 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | 402,500 | — | — | — | 402,500 | |||||||||||||||
Debt issuance cost | (11,991 | ) | — | — | — | (11,991 | ) | |||||||||||||
Repurchases of common and restricted stock | (930 | ) | (4,733 | ) | — | — | (5,663 | ) | ||||||||||||
Issuance of common stock under employee stock purchase plan | 142 | 123 | — | — | 265 | |||||||||||||||
Exercise of stock options | 1,374 | 5,193 | 54 | — | 6,621 | |||||||||||||||
Mandatorily redeemable preferred stock | — | — | — | — | — | |||||||||||||||
Dividends paid | (26,967 | ) | (25,302 | ) | — | — | (52,269 | ) | ||||||||||||
Excess tax benefits from share-based compensation | 86 | 4,803 | 623 | — | 5,512 | |||||||||||||||
Deferred payments for acquisitions | — | — | (16,512 | ) | — | (16,512 | ) | |||||||||||||
Other | — | — | (933 | ) | — | (933 | ) | |||||||||||||
Intercompany | (96,509 | ) | (10,495 | ) | 130,825 | (23,821 | ) | — | ||||||||||||
Net cash (used in) provided by financing activities | 267,705 | (30,411 | ) | 114,057 | (23,821 | ) | 327,530 | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (3,430 | ) | — | (3,430 | ) | |||||||||||||
Net change in cash and cash equivalents | 226,790 | 2,404 | (3,332 | ) | — | 225,862 | ||||||||||||||
Cash and cash equivalents at beginning of period | — | 34,406 | 173,395 | — | 207,801 | |||||||||||||||
Cash and cash equivalents at end of period | $ | 226,790 | $ | 36,810 | $ | 170,063 | $ | — | $ | 433,663 | ||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | — | $ | 107,522 | $ | 61,551 | $ | (61,551 | ) | $ | 107,522 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 9,201 | 30,587 | — | 39,788 | |||||||||||||||
Accretion and amortization of discount and premium of investments | — | 1,273 | 523 | — | 1,796 | |||||||||||||||
Amortization of financing costs and discounts | — | 613 | — | — | 613 | |||||||||||||||
Share-based compensation | — | 9,720 | — | — | 9,720 | |||||||||||||||
Excess tax benefits from share-based compensation | — | (2,695 | ) | — | — | (2,695 | ) | |||||||||||||
Provision for doubtful accounts | — | 1,219 | 1,916 | — | 3,135 | |||||||||||||||
Equity earnings in subsidiaries | — | (61,551 | ) | — | 61,551 | — | ||||||||||||||
Deferred income taxes | — | (495 | ) | 745 | — | 250 | ||||||||||||||
(Gain) Loss on disposal of fixed assets | — | — | 8 | — | 8 | |||||||||||||||
(Gain) loss on available-for-sale investment | — | (51 | ) | 117 | 66 | |||||||||||||||
Loss on extinguishment of debt and related interest expense | — | — | 14,437 | — | 14,437 | |||||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (1,656 | ) | (7,932 | ) | — | (9,588 | ) | ||||||||||||
Prepaid expenses and other current assets | — | 784 | (635 | ) | — | 149 | ||||||||||||||
Other assets | — | (57 | ) | 225 | — | 168 | ||||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | — | (124 | ) | 9,250 | — | 9,126 | ||||||||||||||
Income taxes payable | — | (923 | ) | 1,590 | — | 667 | ||||||||||||||
Deferred revenue | — | 13,415 | (1,047 | ) | — | 12,368 | ||||||||||||||
Liability for uncertain tax positions | — | 6,184 | 2 | — | 6,186 | |||||||||||||||
Other long-term liabilities | — | (88 | ) | (304 | ) | — | (392 | ) | ||||||||||||
Net cash provided by operating activities | — | 82,291 | 111,033 | — | 193,324 | |||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 30,270 | 12,345 | — | 42,615 | |||||||||||||||
Purchase of certificates of deposit | — | (16,375 | ) | (5,696 | ) | — | (22,071 | ) | ||||||||||||
Sales of available-for-sale investments | — | 124,745 | 15,381 | — | 140,126 | |||||||||||||||
Purchase of available-for-sale investments | — | (149,748 | ) | (19,153 | ) | — | (168,901 | ) | ||||||||||||
Purchases of property and equipment | — | (6,223 | ) | (12,404 | ) | — | (18,627 | ) | ||||||||||||
Proceeds from sale of assets | — | 1 | — | — | 1 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (4,043 | ) | (122,298 | ) | — | (126,341 | ) | ||||||||||||
Purchases of intangible assets | — | (3,034 | ) | (11,166 | ) | — | (14,200 | ) | ||||||||||||
Investment in subsidiaries | — | (14,920 | ) | — | 14,920 | — | ||||||||||||||
Other | — | 3,281 | (3,281 | ) | — | — | ||||||||||||||
Net cash (used in) provided by investing activities | — | (36,046 | ) | (146,272 | ) | 14,920 | (167,398 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | — | — | — | — | — | |||||||||||||||
Debt issuance costs | — | (47 | ) | — | — | (47 | ) | |||||||||||||
Repurchases of common stock and restricted stock | — | (4,587 | ) | — | — | (4,587 | ) | |||||||||||||
Issuance of common stock under employee stock purchase plan | — | 213 | — | — | 213 | |||||||||||||||
Exercise of stock options | — | 13,604 | — | — | 13,604 | |||||||||||||||
Mandatorily redeemable preferred stock | — | — | — | — | ||||||||||||||||
Dividends paid | — | (45,134 | ) | — | — | (45,134 | ) | |||||||||||||
Excess tax benefits from share-based compensation | — | 2,695 | — | — | 2,695 | |||||||||||||||
Deferred payments for acquisitions | — | — | — | — | — | |||||||||||||||
Other | — | — | (2,437 | ) | — | (2,437 | ) | |||||||||||||
Intercompany | — | (55,295 | ) | 70,215 | (14,920 | ) | — | |||||||||||||
Net cash (used in) provided by financing activities | — | (88,551 | ) | 67,778 | (14,920 | ) | (35,693 | ) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | (1,112 | ) | — | (1,112 | ) | |||||||||||||
Net change in cash and cash equivalents | — | (42,306 | ) | 31,427 | — | (10,879 | ) | |||||||||||||
Cash and cash equivalents at beginning of period | — | 76,712 | 141,968 | — | 218,680 | |||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 34,406 | $ | 173,395 | $ | — | $ | 207,801 | ||||||||||
j2 GLOBAL, INC. AND SUBSIDIARIES | ||||||||||||||||||||
CONSOLIDATED STATEMENT OF CASH FLOWS | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
j2 Global, Inc. | j2 Cloud Services, Inc. | Non-guarantor Subsidiaries | Consolidating Adjustments | j2 Global Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net income | $ | — | $ | 121,580 | $ | 91,622 | $ | (91,539 | ) | $ | 121,663 | |||||||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | — | 8,590 | 13,574 | — | 22,164 | |||||||||||||||
Accretion and amortization of discount and premium of investments | — | 1,461 | 142 | — | 1,603 | |||||||||||||||
Amortization of financing costs and discounts | — | 249 | — | — | 249 | |||||||||||||||
Share-based compensation | — | 9,132 | — | — | 9,132 | |||||||||||||||
Excess tax benefits from share-based compensation | — | (961 | ) | — | — | (961 | ) | |||||||||||||
Provision for doubtful accounts | — | 293 | 3,996 | — | 4,289 | |||||||||||||||
Equity earnings in subsidiaries | — | (91,539 | ) | — | 91,539 | — | ||||||||||||||
Deferred income taxes | — | 4,839 | (3,689 | ) | — | 1,150 | ||||||||||||||
(Gain) Loss on disposal of fixed assets | — | 54 | — | — | 54 | |||||||||||||||
(Gain) loss on available-for-sale investment | — | (266 | ) | — | (266 | ) | ||||||||||||||
Loss on extinguishment of debt and related interest expense | — | — | — | — | — | |||||||||||||||
Changes in assets and liabilities, net of effects of business combinations: | ||||||||||||||||||||
Decrease (increase) in: | ||||||||||||||||||||
Accounts receivable | — | (822 | ) | (4,595 | ) | — | (5,417 | ) | ||||||||||||
Prepaid expenses and other current assets | — | (1,265 | ) | (763 | ) | — | (2,028 | ) | ||||||||||||
Other assets | — | 123 | (366 | ) | (243 | ) | ||||||||||||||
Increase (decrease) in: | ||||||||||||||||||||
Accounts payable and accrued expenses | — | 10,599 | (5,461 | ) | — | 5,138 | ||||||||||||||
Income taxes payable | — | 2,193 | 1,946 | — | 4,139 | |||||||||||||||
Deferred revenue | — | 878 | 734 | — | 1,612 | |||||||||||||||
Liability for uncertain tax positions | — | 7,601 | — | — | 7,601 | |||||||||||||||
Other long-term liabilities | — | 99 | (67 | ) | — | 32 | ||||||||||||||
Net cash provided by operating activities | — | 72,838 | 97,073 | — | 169,911 | |||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Maturity of certificates of deposit | — | 8,000 | — | — | 8,000 | |||||||||||||||
Purchase of certificates of deposit | — | (22,106 | ) | (12,567 | ) | — | (34,673 | ) | ||||||||||||
Sales of available-for-sale investments | — | 138,709 | — | — | 138,709 | |||||||||||||||
Purchase of available-for-sale investments | — | (139,087 | ) | (12,902 | ) | — | (151,989 | ) | ||||||||||||
Purchases of property and equipment | — | (2,677 | ) | (2,384 | ) | — | (5,061 | ) | ||||||||||||
Proceeds from sale of assets | — | 136 | 20 | — | 156 | |||||||||||||||
Acquisition of businesses, net of cash received | — | (1,811 | ) | (196,530 | ) | — | (198,341 | ) | ||||||||||||
Purchases of intangible assets | — | (4,433 | ) | (1,862 | ) | — | (6,295 | ) | ||||||||||||
Investment in subsidiaries | — | (171,562 | ) | — | 171,562 | — | ||||||||||||||
Other | — | — | — | — | — | |||||||||||||||
Net cash (used in) provided by investing activities | — | (194,831 | ) | (226,225 | ) | 171,562 | (249,494 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Issuance of long-term debt | — | 245,000 | — | — | 245,000 | |||||||||||||||
Debt issuance cost | — | (1,384 | ) | — | — | (1,384 | ) | |||||||||||||
Repurchases of common and restricted stock | — | (60,282 | ) | — | — | (60,282 | ) | |||||||||||||
Issuance of common stock under employee stock purchase plan | — | 157 | — | — | 157 | |||||||||||||||
Exercise of stock options | — | 5,646 | — | 5,646 | ||||||||||||||||
Mandatorily redeemable preferred stock | — | — | 8,557 | — | 8,557 | |||||||||||||||
Dividends paid | — | (40,263 | ) | — | — | (40,263 | ) | |||||||||||||
Excess tax benefits from share-based compensation | — | 961 | — | — | 961 | |||||||||||||||
Deferred payments for acquisitions | — | — | — | — | — | |||||||||||||||
Other | — | — | — | — | — | |||||||||||||||
Intercompany | — | 3,746 | 167,816 | (171,562 | ) | — | ||||||||||||||
Net cash (used in) provided by financing activities | — | 153,581 | 176,373 | (171,562 | ) | 158,392 | ||||||||||||||
Effect of exchange rate changes on cash and cash equivalents | — | — | 512 | — | 512 | |||||||||||||||
Net change in cash and cash equivalents | — | 31,588 | 47,733 | — | 79,321 | |||||||||||||||
Cash and cash equivalents at beginning of period | — | 45,124 | 94,235 | — | 139,359 | |||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 76,712 | $ | 141,968 | $ | — | $ | 218,680 | ||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | ||||||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | |||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table summarizes the changes in accumulated balances of other comprehensive income, net of tax, for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||
Unrealized Gains (Losses) on Investments | Foreign Currency Translation | Total | |||||||||||||||||||||
Balance as of January 1, 2013 | $ | 1,811 | $ | (1,899 | ) | $ | (88 | ) | |||||||||||||||
Other comprehensive income (loss) before reclassifications | 4,236 | (10 | ) | 4,226 | |||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income | 9 | 88 | 97 | ||||||||||||||||||||
Net increase in other comprehensive income | 4,245 | 78 | 4,323 | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 6,056 | $ | (1,821 | ) | $ | 4,235 | ||||||||||||||||
Other comprehensive income (loss) before reclassifications | 3,346 | (14,694 | ) | (11,348 | ) | ||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income | (14 | ) | — | (14 | ) | ||||||||||||||||||
Net increase (decrease) in other comprehensive income | 3,332 | (14,694 | ) | (11,362 | ) | ||||||||||||||||||
Balance as of December 31, 2014 | $ | 9,388 | $ | (16,515 | ) | $ | (7,127 | ) | |||||||||||||||
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | The following table provides details about reclassifications out of accumulated other comprehensive income for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||
Details about Accumulated Other Comprehensive Income Components | Amount Reclassified from Accumulated Other Comprehensive Income | Affected Line Item in the Statement of Income | |||||||||||||||||||||
Year Ended December 31, 2013 | Year Ended December 31, 2014 | ||||||||||||||||||||||
Cumulative translation adjustment | $ | 116 | $ | — | Other expense (income), net | ||||||||||||||||||
116 | — | Total, before income taxes | |||||||||||||||||||||
(28 | ) | — | Income tax expense (benefit) | ||||||||||||||||||||
$ | 88 | $ | — | Total, net of tax | |||||||||||||||||||
Unrealized gain (loss) on available-for-sale investments | $ | 14 | $ | (23 | ) | Other expense (income), net | |||||||||||||||||
14 | (23 | ) | Total, before income taxes | ||||||||||||||||||||
(5 | ) | 9 | Income tax expense (benefit) | ||||||||||||||||||||
9 | (14 | ) | Total, net of tax | ||||||||||||||||||||
Total reclassifications for the period | $ | 97 | $ | (14 | ) | Total, net of tax | |||||||||||||||||
Quarterly_Results_Tables
Quarterly Results (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Results [Abstract] | ||||||||||||||||
Schedule of Quarterly Financial Information [Table Text Block] | ||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 167,144 | $ | 153,018 | $ | 144,744 | $ | 134,124 | ||||||||
Gross profit | 138,145 | 124,974 | 119,186 | 110,736 | ||||||||||||
Net income | 32,754 | 28,759 | 35,049 | 28,765 | ||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | 31,763 | 28,759 | 35,049 | 28,765 | ||||||||||||
Net income per common share: | ||||||||||||||||
Basic | $ | 0.66 | $ | 0.6 | $ | 0.73 | $ | 0.61 | ||||||||
Diluted | $ | 0.66 | $ | 0.6 | $ | 0.73 | $ | 0.6 | ||||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 47,146,503 | 46,845,477 | 46,745,596 | 46,365,158 | ||||||||||||
Diluted | 47,468,841 | 47,163,912 | 47,067,767 | 46,765,732 | ||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||
Fourth | Third | Second | First | |||||||||||||
Quarter | Quarter | Quarter | Quarter | |||||||||||||
Revenues | $ | 138,035 | $ | 127,788 | $ | 141,361 | $ | 113,617 | ||||||||
Gross profit | 115,857 | 105,987 | 118,682 | 93,382 | ||||||||||||
Net income | 20,754 | 27,806 | 36,040 | 22,922 | ||||||||||||
Net income attributable to j2 Global, Inc. common shareholders | 20,754 | 27,806 | 36,040 | 22,922 | ||||||||||||
Net income per common share: | ||||||||||||||||
Basic | $ | 0.45 | $ | 0.6 | $ | 0.78 | $ | 0.5 | ||||||||
Diluted | $ | 0.44 | $ | 0.59 | $ | 0.77 | $ | 0.49 | ||||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 45,867,769 | 45,729,171 | 45,428,230 | 45,160,140 | ||||||||||||
Diluted | 46,382,363 | 46,291,631 | 46,018,245 | 45,668,167 | ||||||||||||
Unrestricted_Subsidiaries_Tabl
Unrestricted Subsidiaries (Tables) | 12 Months Ended | |||
Dec. 31, 2014 | ||||
Unrestricted Subsidiaries [Abstract] | ||||
Schedule of Unrestricted Subsidiaries Financial Information [Table Text Block] | The consolidated financial position of the Unrestricted Subsidiaries as of December 31, 2014 is as follows (in thousands): | |||
December 31, 2014 | ||||
ASSETS | ||||
Cash and cash equivalents | $ | 27,944 | ||
Accounts receivable | 57,005 | |||
Prepaid expenses and other current assets | 2,986 | |||
Deferred income taxes | 5,292 | |||
Total current assets | 93,227 | |||
Property and equipment, net | 12,834 | |||
Trade names, net | 70,310 | |||
Patent and patent licenses, net | 24,007 | |||
Customer relationships, net | 55,925 | |||
Goodwill | 245,613 | |||
Other purchased intangibles, net | 8,901 | |||
Deferred income taxes | — | |||
Other assets | 1,706 | |||
Total assets | $ | 512,523 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Accounts payable and accrued expenses | $ | 40,296 | ||
Income taxes payable | 316 | |||
Deferred revenue | 5,277 | |||
Total current liabilities | 45,889 | |||
Long-term debt | 110,000 | |||
Deferred income taxes | 17,397 | |||
Other long-term liabilities | 16,243 | |||
Mandatorily redeemable financial instrument | — | |||
Total liabilities | 189,529 | |||
Additional paid-in capital | 317,932 | |||
Retained earnings | 6,051 | |||
Accumulated other comprehensive loss | (989 | ) | ||
Total stockholders’ equity | 322,994 | |||
Total equity | 322,994 | |||
Total liabilities and stockholders’ equity | $ | 512,523 | ||
The consolidated results of operations of the Unrestricted Subsidiaries for the year ended December 31, 2014 is as follows (in thousands): | ||||
Year Ended December 31, | ||||
2014 | ||||
Revenues | $ | 169,065 | ||
Cost of revenues | 19,028 | |||
Gross profit | 150,037 | |||
Operating expenses: | ||||
Sales and marketing | 68,057 | |||
Research, development and engineering | 5,485 | |||
General and administrative | 52,768 | |||
Total operating expenses | 126,310 | |||
Income from operations | 23,727 | |||
Other income (expenses): | ||||
Interest expense (income), net | 821 | |||
Other expense (income), net | 347 | |||
Income before income taxes | 22,559 | |||
Income tax (benefit) expense | 4,883 | |||
Net income | 17,676 | |||
Less net income attributable to noncontrolling interest | — | |||
Net income attributable to common stockholders | $ | 17,676 | ||
Basis_Of_Presentation_Details
Basis Of Presentation (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | ($14,694,000) | $78,000 | $1,435,000 | ||||||||
Advertising Expense | 60,500,000 | 55,400,000 | 48,100,000 | ||||||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | -16,515,000 | -1,821,000 | -16,515,000 | -1,821,000 | -1,899,000 | ||||||
Revenues | 599,030,000 | 520,801,000 | 371,396,000 | ||||||||
Net earnings | 31,763,000 | 28,759,000 | 35,049,000 | 28,765,000 | 20,754,000 | 27,806,000 | 36,040,000 | 22,922,000 | 124,336,000 | 107,522,000 | 121,580,000 |
Basic earnings per share | $0.66 | $0.60 | $0.73 | $0.61 | $0.45 | $0.60 | $0.78 | $0.50 | $2.60 | $2.31 | $2.63 |
Diluted earnings per share | $0.66 | $0.60 | $0.73 | $0.60 | $0.44 | $0.59 | $0.77 | $0.49 | $2.58 | $2.28 | $2.61 |
Foreign Currency Transaction Gain (Loss), Realized | ($100,000) | $400,000 | ($100,000) | ||||||||
Minimum [Member] | |||||||||||
Identifiable intangible assets minimum useful life (years) | 1 year | ||||||||||
Property, Plant and Equipment, Useful Life | 1 year | ||||||||||
Maximum [Member] | |||||||||||
Identifiable intangible assets minimum useful life (years) | 20 years | ||||||||||
Property, Plant and Equipment, Useful Life | 5 years |
Business_Acquisition_Business_
Business Acquisition Business Acquisition (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Business Combination, Contingent Consideration, Liability | $45,300,000 | $7,000,000 | $2,500,000 |
Goodwill, Purchase Accounting Adjustments | -1,035,000 | ||
Business Acquisition, Purchase Price Allocation, Goodwill, Expected Tax Deductible Amount | 89,400,000 | 36,600,000 | |
Business Combination, Consideration Transferred, Liabilities Incurred | 15,700,000 | ||
Deferred income taxes | -10,033,000 | 250,000 | 1,150,000 |
Goodwill, Acquired During Period | 184,837,000 | 54,472,000 | |
Business Acquisition Contributed Total Revenue | 51,900,000 | 98,100,000 | |
Business Combination, Consideration Transferred | 300,240,000 | 147,745,000 | |
Ookla [Member] | |||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | 40,000,000 | ||
Business Combination, Contingent Consideration, Liability | 15,000,000 | ||
Other Acquisitions [Member] | |||
Business Acquisition Contributed Total Revenue | 16,900,000 | ||
Business Combination, Consideration Transferred | 32,900,000 | ||
Ziff Davis, Inc [Member] | |||
Business Acquisition, Purchase Price Allocation, Goodwill, Expected Tax Deductible Amount | 12,900,000 | ||
Business Combination, Consideration Transferred, Liabilities Incurred | 28,800,000 | ||
Goodwill, Acquired During Period | 112,882,000 | ||
Business Acquisition Contributed Total Revenue | 9,700,000 | ||
Business Acquisition Contributed Net Income | 1,600,000 | ||
Business Combination, Consideration Transferred | $171,652,000 |
Business_Acquisition_Business_1
Business Acquisition Business Acquisitions (Allocation Of Aggregate Purchase Price) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Business Acquisition [Line Items] | |||
Business Acquisition, Purchase Price Allocation, Property, Plant and Equipment | $10,022,000 | $3,274,000 | |
Business Acquisition Purchase Price Allocation Current Noncurrent Assets Prepaid Expense and Other Assets | 5,500,000 | 2,703,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Assets Noncurrent | 419,000 | 2,058,000 | |
Goodwill, Acquired During Period | 184,837,000 | 54,472,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Deferred Revenue | -29,182,000 | -2,543,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | -14,338,000 | -13,162,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Capital Lease Obligation | -1,361,000 | ||
Business Combination, Consideration Transferred | 300,240,000 | 147,745,000 | |
Business Acquisition, Purchase Price Allocation, Goodwill, Expected Tax Deductible Amount | 89,400,000 | 36,600,000 | |
Business Acquisition, Purchase Price Allocation, Current Assets, Receivables | 18,024,000 | 24,658,000 | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities Noncurrent | -12,328,000 | ||
Developed Technology Rights [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 9,836,000 | 3,031,000 | |
Media Content [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 2,460,000 | ||
Trade Names [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 28,192,000 | 18,581,000 | |
Customer Contracts [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 98,498,000 | 40,275,000 | |
Advertiser Relationship [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 11,770,000 | ||
Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 2,121,000 | 168,000 | |
Ziff Davis, Inc [Member] | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Purchase Price Allocation, Property, Plant and Equipment | 842,000 | ||
Business Acquisition Purchase Price Allocation Current Noncurrent Assets Prepaid Expense and Other Assets | 1,283,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Assets Noncurrent | 1,139,000 | ||
Goodwill, Acquired During Period | 112,882,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Deferred Revenue | -2,188,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other | -4,767,000 | ||
Business Combination, Consideration Transferred | 171,652,000 | ||
Business Acquisition, Purchase Price Allocation, Goodwill, Expected Tax Deductible Amount | 12,900,000 | ||
Business Acquisition, Purchase Price Allocation, Current Assets, Receivables | 14,450,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Liabilities Noncurrent | -21,829,000 | ||
Ziff Davis, Inc [Member] | Developed Technology Rights [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 4,780,000 | ||
Ziff Davis, Inc [Member] | Trade Names [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 37,730,000 | ||
Ziff Davis, Inc [Member] | Customer Contracts [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 5,380,000 | ||
Ziff Davis, Inc [Member] | Advertiser Relationship [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 14,500,000 | ||
Ziff Davis, Inc [Member] | Licensing Relationship [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 4,910,000 | ||
Ziff Davis, Inc [Member] | Other Intangible Assets [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $2,540,000 |
Business_Acquisition_Business_2
Business Acquisition Business Acquisitions (Supplementary Information On Unaudited Pro Forma Financial Results Of Acquisition) (Details) (USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2014 |
2012 Business Acquisitions [Member] | ||||
Business Acquisition, Pro Forma Revenue | $417,250 | $385,974 | ||
Business Acquisition, Pro Forma Net Income (Loss) | 120,210 | 114,889 | ||
Business Acquisition, Pro Forma Earnings Per Share, Basic | $2.60 | $2.47 | ||
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $2.58 | $2.44 | ||
2013 Business Acquisitions [Member] | ||||
Business Acquisition, Pro Forma Revenue | 470,190 | 545,952 | ||
Business Acquisition, Pro Forma Net Income (Loss) | 122,187 | 108,600 | ||
Business Acquisition, Pro Forma Earnings Per Share, Basic | $2.64 | $2.34 | ||
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $2.62 | $2.31 | ||
2014 Business Acquisitions [Member] | ||||
Business Acquisition, Pro Forma Revenue | 626,906 | 672,701 | ||
Business Acquisition, Pro Forma Net Income (Loss) | $132,480 | $119,773 | ||
Business Acquisition, Pro Forma Earnings Per Share, Basic | $2.85 | $2.51 | ||
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $2.81 | $2.49 |
Investments_Investments_Narrat
Investments Investments (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Investments [Abstract] | |||
Gain on Sale of Investments | $100,000 | ($100,000) | $300,000 |
Restricted Investments, Current | 100,000 | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 72,970,000 | 37,330,000 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | $1,260,000 | $2,040,000 |
Investments_Schedule_Of_Debt_S
Investments (Schedule Of Debt Securities By Contractual Maturity Date) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Investments [Abstract] | ||
Due within 1 year | $59,896 | $46,339 |
Due within more than 1 year but less than 5 years | 60,178 | 44,865 |
Due within more than 5 years but less than 10 years | 0 | 0 |
Due 10 years or after | 330 | 2,486 |
Total | $120,404 | $93,690 |
Investments_Schedule_Of_Availa
Investments (Schedule Of Available-For-Sale And Trading Securities) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Investments [Abstract] | ||
Available-for-sale Securities | $156,649 | $123,737 |
Certificates of Deposit, at Carrying Value | 65 | 14,403 |
Investments | $156,714 | $138,140 |
Investments_Summary_Of_Gross_U
Investments (Summary Of Gross Unrealized Gains And Losses And Fair Values) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | $141,003 | $114,179 |
Available-for-sale Securities, Gross Unrealized Gains | 15,795 | 9,716 |
Available-for-sale Securities, Gross Unrealized Losses | -149 | -158 |
Available-for-sale Securities | 156,649 | 123,737 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 91,456 | 66,587 |
Available-for-sale Securities, Gross Unrealized Gains | 147 | 134 |
Available-for-sale Securities, Gross Unrealized Losses | -136 | -29 |
Available-for-sale Securities | 91,467 | 66,692 |
US Treasury and Government [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 26,848 | 23,689 |
Available-for-sale Securities, Gross Unrealized Gains | 9 | 20 |
Available-for-sale Securities, Gross Unrealized Losses | -13 | -7 |
Available-for-sale Securities | 26,844 | 23,702 |
US States and Political Subdivisions Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 2,088 | 3,293 |
Available-for-sale Securities, Gross Unrealized Gains | 5 | 4 |
Available-for-sale Securities, Gross Unrealized Losses | 0 | -1 |
Available-for-sale Securities | 2,093 | 3,296 |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale Securities, Amortized Cost Basis | 20,611 | 20,610 |
Available-for-sale Securities, Gross Unrealized Gains | 15,634 | 9,558 |
Available-for-sale Securities, Gross Unrealized Losses | 0 | -121 |
Available-for-sale Securities | $36,245 | $30,047 |
Investments_Investments_Summar
Investments Investments (Summary of Unrealized Loss by 12 month Period) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Investments Unrealized Loss Position [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $72,970 | $37,330 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | -144 | -153 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,260 | 2,040 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | -5 | -5 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 74,230 | 39,370 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | -149 | -158 |
Corporate Debt Securities [Member] | ||
Investments Unrealized Loss Position [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 57,898 | 9,944 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | -131 | -4 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 1,260 | 1,263 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | -5 | -3 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 59,158 | 11,207 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | -136 | -7 |
US Treasury and Government [Member] | ||
Investments Unrealized Loss Position [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 109 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | -1 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 109 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | -1 | |
US States and Political Subdivisions Debt Securities [Member] | ||
Investments Unrealized Loss Position [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 15,072 | 26,445 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | -13 | -28 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 777 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | -2 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 15,072 | 27,222 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | -13 | -30 |
Equity Securities [Member] | ||
Investments Unrealized Loss Position [Line Items] | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 832 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | -120 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | 832 | |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | ($120) |
Fair_Value_Measurements_Fair_V
Fair Value Measurements Fair Value Measurements (Narrative) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Fair Value Disclosures [Abstract] | ||
Long-term Debt | $593,350,000 | $245,670,000 |
Long-term Debt, Fair Value | $711,100,000 | $283,300,000 |
Fair_Value_Measurements_Schedu
Fair Value Measurements (Schedule Of Fair Values Of Financial Instruments Measured On Recurring Basis) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Total assets | $421,166 | $262,144 | |
Business Combination, Contingent Consideration, Liability | 45,300 | 7,000 | 2,500 |
Derivative Liability, Fair Value, Gross Liability | 742 | ||
Financial Liabilities Fair Value Disclosure | 15,742 | ||
Money Market Funds [Member] | |||
Cash | 212,645 | 101,231 | |
Bank Time Deposits [Member] | |||
Cash | 51,807 | 22,773 | |
Certificates of Deposit [Member] | |||
Investments | 65 | 14,403 | |
Equity Securities [Member] | |||
Investments | 36,245 | 30,047 | |
US Treasury and Government [Member] | |||
Investments | 26,844 | 23,702 | |
US States and Political Subdivisions Debt Securities [Member] | |||
Investments | 2,093 | 3,296 | |
Corporate Debt Securities [Member] | |||
Investments | 91,467 | 66,692 | |
Level 1 [Member] | |||
Total assets | 248,890 | 262,144 | |
Business Combination, Contingent Consideration, Liability | 0 | ||
Derivative Liability, Fair Value, Gross Liability | 0 | ||
Financial Liabilities Fair Value Disclosure | 0 | ||
Level 1 [Member] | Money Market Funds [Member] | |||
Cash | 212,645 | 101,231 | |
Level 1 [Member] | Bank Time Deposits [Member] | |||
Cash | 0 | 22,773 | |
Level 1 [Member] | Certificates of Deposit [Member] | |||
Investments | 0 | 14,403 | |
Level 1 [Member] | Equity Securities [Member] | |||
Investments | 36,245 | 30,047 | |
Level 1 [Member] | US Treasury and Government [Member] | |||
Investments | 0 | 23,702 | |
Level 1 [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Investments | 0 | 3,296 | |
Level 1 [Member] | Corporate Debt Securities [Member] | |||
Investments | 0 | 66,692 | |
Level 2 [Member] | |||
Total assets | 172,276 | 0 | |
Business Combination, Contingent Consideration, Liability | 0 | ||
Derivative Liability, Fair Value, Gross Liability | 742 | ||
Financial Liabilities Fair Value Disclosure | 742 | ||
Level 2 [Member] | Money Market Funds [Member] | |||
Cash | 0 | 0 | |
Level 2 [Member] | Bank Time Deposits [Member] | |||
Cash | 51,807 | 0 | |
Level 2 [Member] | Certificates of Deposit [Member] | |||
Investments | 65 | 0 | |
Level 2 [Member] | Equity Securities [Member] | |||
Investments | 0 | 0 | |
Level 2 [Member] | US Treasury and Government [Member] | |||
Investments | 26,844 | 0 | |
Level 2 [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Investments | 2,093 | 0 | |
Level 2 [Member] | Corporate Debt Securities [Member] | |||
Investments | 91,467 | 0 | |
Level 3 [Member] | |||
Total assets | 0 | 0 | |
Business Combination, Contingent Consideration, Liability | 15,000 | ||
Derivative Liability, Fair Value, Gross Liability | 0 | ||
Financial Liabilities Fair Value Disclosure | 15,000 | ||
Level 3 [Member] | Money Market Funds [Member] | |||
Cash | 0 | 0 | |
Level 3 [Member] | Bank Time Deposits [Member] | |||
Cash | 0 | 0 | |
Level 3 [Member] | Certificates of Deposit [Member] | |||
Investments | 0 | 0 | |
Level 3 [Member] | Equity Securities [Member] | |||
Investments | 0 | 0 | |
Level 3 [Member] | US Treasury and Government [Member] | |||
Investments | 0 | 0 | |
Level 3 [Member] | US States and Political Subdivisions Debt Securities [Member] | |||
Investments | 0 | 0 | |
Level 3 [Member] | Corporate Debt Securities [Member] | |||
Investments | 0 | 0 | |
Ookla [Member] | |||
Business Combination, Contingent Consideration, Liability | $15,000 |
Property_And_Equipment_Propert
Property And Equipment Property And Equipment (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property And Equipment [Abstract] | |||
Depreciation | $15.50 | $9.60 | $6.20 |
Property, Plant and Equipment, Disposals | $0.60 | $0.90 | $0.90 |
Property_And_Equipment_Propert1
Property And Equipment Property And Equipment (Property And Equipment) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $111,398 | $86,699 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | -73,181 | -55,499 |
Property and equipment, net | 38,217 | 31,200 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 100,537 | 79,576 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 1,763 | 1,405 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $9,098 | $5,718 |
Goodwill_And_Intangible_Assets2
Goodwill And Intangible Assets (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | $635,675,000 | $457,422,000 | |
Amortization expense | 47,400,000 | 30,200,000 | 16,000,000 |
Minimum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Identifiable intangible assets minimum useful life (years) | 1 year | ||
Maximum [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Identifiable intangible assets minimum useful life (years) | 20 years | ||
Business Cloud Services Segment [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | 390,063,000 | 316,682,000 | 294,943,000 |
Digital Media Segment [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill | $245,612,000 | $140,740,000 | $112,882,000 |
Goodwill_And_Intangible_Assets3
Goodwill And Intangible Assets (Changes In Carrying Amounts Of Goodwill And Other Intangible Assets) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Goodwill [Line Items] | |||
Balance at beginning period | $457,422,000 | ||
Goodwill, Acquired During Period | 184,837,000 | 54,472,000 | |
Goodwill, Purchase Accounting Adjustments | -1,035,000 | ||
Foreign Exchange Translation | -5,549,000 | ||
Balance at ending period | 635,675,000 | 457,422,000 | |
Business Cloud Services Segment [Member] | |||
Goodwill [Line Items] | |||
Balance at beginning period | 316,682,000 | 294,943,000 | |
Goodwill, Acquired During Period | 79,536,000 | 21,551,000 | |
Goodwill, Purchase Accounting Adjustments | -706,000 | -259,000 | |
Foreign Exchange Translation | -5,449,000 | 447,000 | |
Balance at ending period | 390,063,000 | 316,682,000 | 294,943,000 |
Digital Media Segment [Member] | |||
Goodwill [Line Items] | |||
Balance at beginning period | 140,740,000 | 112,882,000 | |
Goodwill, Acquired During Period | 105,301,000 | 32,921,000 | |
Goodwill, Purchase Accounting Adjustments | -329,000 | -5,065,000 | |
Foreign Exchange Translation | -100,000 | 2,000 | |
Balance at ending period | $245,612,000 | $140,740,000 | $112,882,000 |
Goodwill_And_Intangible_Assets4
Goodwill And Intangible Assets (Indefinite Intangible Assets) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Intangible assets | $32,811 | $32,811 |
Trade Names [Member] | ||
Intangible assets | 27,379 | 27,379 |
Other Intangible Assets [Member] | ||
Intangible assets | $5,432 | $5,432 |
Goodwill_And_Intangible_Assets5
Goodwill And Intangible Assets (Schedule Of Intangible Assets Subject To Amortization) (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Historical Cost | $416,494 | $282,868 |
Accumulated Amortization | -137,505 | -92,146 |
Net | 278,989 | 190,722 |
Trade Names [Member] | ||
Historical Cost | 94,770 | 66,911 |
Accumulated Amortization | -16,598 | -11,182 |
Net | 78,172 | 55,729 |
Weighted-Average Amortization Period, years | 14 years 6 months | 17 years |
Patents And Patent Licenses [Member] | ||
Historical Cost | 62,940 | 58,446 |
Accumulated Amortization | -38,013 | -29,916 |
Net | 24,927 | 28,530 |
Weighted-Average Amortization Period, years | 9 years | 8 years 1 month 6 days |
Customer Contracts [Member] | ||
Historical Cost | 230,424 | 139,362 |
Accumulated Amortization | -66,658 | -38,382 |
Net | 163,766 | 100,980 |
Weighted-Average Amortization Period, years | 9 years 3 months 18 days | 8 years 1 month 6 days |
Other Purchased Intangibles [Member] | ||
Historical Cost | 28,360 | 18,149 |
Accumulated Amortization | -16,236 | -12,666 |
Net | $12,124 | $5,483 |
Weighted-Average Amortization Period, years | 4 years 3 months 18 days | 5 years |
Goodwill_And_Intangible_Assets6
Goodwill And Intangible Assets Goodwill And Intangible Assets (Intangible Assets Subject To Amortization) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Estimated future amortization expense in year 2015 | $56,349 | |
Estimated future amortization expense in year 2016 | 50,380 | |
Estimated future amortization expense in year 2017 | 42,081 | |
Estimated future amortization expense in year 2018 | 28,940 | |
Estimated future amortization expense in year 2019 | 22,137 | |
Estimated future amortization expense thereafter | 79,102 | |
Finite-Lived Intangible Assets, Net | 278,989 | 190,722 |
Patents And Patent Licenses [Member] | ||
Finite-Lived Intangible Assets, Net | $24,927 | $28,530 |
Long_Term_Debt_Details
Long Term Debt (Details) (USD $) | 12 Months Ended | 3 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Jul. 26, 2012 | Jun. 10, 2014 | |
Debt Instrument [Line Items] | ||||||
Debt Instrument, Face Amount | $653,000,000 | $653,000,000 | ||||
Debt Instrument, Unamortized Discount | 5,000,000 | |||||
Interest Expense | 32,500,000 | 22,300,000 | 9,000,000 | |||
Long-term Debt | 593,350,000 | 245,670,000 | 593,350,000 | |||
Long-term Debt, Current Maturities | 0 | 0 | ||||
Total long-term debt, less current portion | 593,350,000 | 593,350,000 | ||||
Long-term Debt, Fair Value | 711,100,000 | 283,300,000 | 711,100,000 | |||
Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Issuance Date | 26-Jul-12 | |||||
Debt Instrument, Face Amount | 250,000,000 | 250,000,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | 8.00% | ||||
Debt Instrument, Maturity Date | 1-Aug-20 | |||||
Proceeds from Debt, Net of Issuance Costs | 245,000,000 | |||||
Debt Instrument, Unamortized Discount | 3,800,000 | 3,800,000 | ||||
Unamortized Debt Issuance Expense | 1,100,000 | 1,100,000 | ||||
Debt Instrument, Frequency of Periodic Payment | semi-annually | |||||
Debt Instrument, Call Date, Earliest | 1-Aug-16 | |||||
Debt Instrument, Covenant Description | The indenture governing the Senior Notes contain certain restrictive and other covenants applicable to j2 Cloud Services, Inc. and subsidiaries designated as restricted subsidiaries including, but not limited to, limitations on debt and disqualified or preferred stock, restricted payments, liens, sale and leaseback transactions, dividends and other payment restrictions, asset sales and transactions with affiliates. | |||||
Long-term Debt | 246,187,000 | 246,187,000 | ||||
Long-term Debt, Fair Value | 262,400,000 | 262,400,000 | ||||
Convertible Debt Securities [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Issuance Date | 10-Jun-14 | |||||
Debt Instrument, Face Amount | 403,000,000 | 403,000,000 | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.25% | 3.25% | ||||
Debt Instrument, Maturity Date | 15-Jun-29 | |||||
Proceeds from Debt, Net of Issuance Costs | 391,000,000 | |||||
Debt Instrument, Unamortized Discount | 55,300,000 | 55,300,000 | 59,000,000 | |||
Debt Instrument, Convertible, Remaining Discount Amortization Period | 6 years 6 months | |||||
Debt Issuance Cost | 11,700,000 | |||||
Unamortized Debt Issuance Expense | 9,300,000 | 9,300,000 | ||||
Debt Instrument, Frequency of Periodic Payment | semiannually | |||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | 37,700,000 | |||||
Long-term Debt | 347,200,000 | 347,200,000 | ||||
Long-term Debt, Fair Value | 448,700,000 | 448,700,000 | ||||
Interest Expense, Debt | $11,700,000 |
Long_Term_Debt_Long_Term_Debt_
Long Term Debt Long Term Debt (Schedule Of Maturities Of Long-term Debt) (Details) (USD $) | Dec. 31, 2014 |
Long-term Debt, Unclassified [Abstract] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $0 |
Long-term Debt, Maturities, Repayments of Principal in Year Two | 0 |
Long-term Debt, Maturities, Repayments of Principal in Year Three | 0 |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 0 |
Long-term Debt, Maturities, Repayments of Principal in Year Five | 0 |
Long-term Debt, Maturities, Repayments of Principal after Year Five | 652,500,000 |
Long-term Debt | $653,000,000 |
Mandatorily_Redeemable_Financi1
Mandatorily Redeemable Financial Instrument (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Mandatorily Redeemable Financial Instrument [Abstract] | |||
Loss on extinguishment of debt and related interest expense | $0 | $14,437 | $0 |
Commitments_And_Contingencies_1
Commitments And Contingencies Commitments And Contingencies (Narrative) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Capital Leases, Income Statement, Amortization Expense | $0.40 | $0 | $0 |
Operating Leases, Rent Expense, Net | 9.7 | 7.7 | 3.2 |
Operating Leases, Rent Expense, Sublease Rentals | 0.1 | ||
Operating Leases, Future Minimum Payments Due, Future Minimum Sublease Rentals | $2.40 |
Commitments_And_Contingencies_2
Commitments And Contingencies Commitment And Contingencies (Capital Lease Summary) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Commitments and Contingencies [Abstract] | ||
Capital Leases, Future Minimum Payments Due, Next Twelve Months | $314 | |
Capital Leased Assets, Gross | 805 | 0 |
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation | -440 | 0 |
Capital Leases, Balance Sheet, Assets by Major Class, Net | 365 | 0 |
Capital Leases, Future Minimum Payments Due in Two Years | 77 | |
Capital Leases, Future Minimum Payments Due in Three Years | 8 | |
Capital Leases, Future Minimum Payments Due in Four Years | 0 | |
Capital Leases, Future Minimum Payments Due in Five Years | 0 | |
Capital Leases, Future Minimum Payments Due Thereafter | 0 | |
Capital Leases, Future Minimum Payments Due | $399 |
Commitments_And_Contingencies_3
Commitments And Contingencies Commitments And Contingencies (Summary Of Future Minimum Lease Payments Under Non-Cancelable Operating Leases) (Details) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies [Abstract] | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $9,025 |
Operating Leases, Future Minimum Payments, Due in Two Years | 7,737 |
Operating Leases, Future Minimum Payments, Due in Three Years | 5,412 |
Operating Leases, Future Minimum Payments, Due in Four Years | 4,734 |
Operating Leases, Future Minimum Payments, Due in Five Years | 3,251 |
Operating Leases, Future Minimum Payments, Due Thereafter | 1,161 |
Operating Leases, Future Minimum Payments Due | $31,320 |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended | ||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | |
Income Taxes [Line Items] | |||||||
Deferred Tax Assets, Net of Valuation Allowance | $31,833,000 | $21,685,000 | |||||
Deferred Tax Assets, Valuation Allowance | -11,358,000 | -8,493,000 | |||||
Deferred Tax Assets, Tax Credit Carryforwards, Foreign | 11,100,000 | 7,800,000 | |||||
Deferred Tax Assets, Tax Credit Carryforwards, Research | 2,000,000 | 1,000,000 | |||||
Liability for Uncertain Tax Positions, Current | 0 | 5,535,000 | |||||
U.S. federal statutory rate | 35.00% | 35.00% | 35.00% | ||||
Effective income tax rate | 19.20% | 24.70% | 21.50% | ||||
Income before income taxes, domestic operations | 79,400,000 | 61,000,000 | 54,200,000 | ||||
Income before income taxes, foreign operations | 75,800,000 | 81,700,000 | 100,700,000 | ||||
Liabilities for uncertain income tax positions | 34,635,000 | 40,888,000 | 35,421,000 | 28,366,000 | |||
Cash paid for income taxes | 49,500,000 | 28,300,000 | 20,400,000 | ||||
Prepaid tax payments | 5,800,000 | 11,300,000 | |||||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 2,900,000 | 3,000,000 | 2,300,000 | ||||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | -100,000 | 700,000 | 500,000 | ||||
Undistributed Earnings of Foreign Subsidiaries | 436,600,000 | ||||||
Unrecognized Tax Benefits, Increases Resulting from Current Period Tax Positions | 3,765,000 | 6,928,000 | 6,590,000 | ||||
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | -9,808,000 | -1,519,000 | -557,000 | ||||
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 32,700,000 | 40,900,000 | 35,400,000 | ||||
Foreign Tax Authority [Member] | |||||||
Income Taxes [Line Items] | |||||||
Tax Credit Carryforward, Valuation Allowance | 11,100,000 | 7,700,000 | |||||
California Franchise Tax Board [Member] | |||||||
Income Taxes [Line Items] | |||||||
Income Tax Examination, Year under Examination | 2011 | 2010 | 2009 | ||||
Internal Revenue Service (IRS) [Member] | |||||||
Income Taxes [Line Items] | |||||||
Operating Loss Carryforwards | 20,500,000 | ||||||
Operating Loss Carryforwards, Expiration Dates | 31-Dec-31 | ||||||
Income Tax Examination, Year under Examination | 2011 | 2010 | 2009 | ||||
State and Local Jurisdiction [Member] | |||||||
Income Taxes [Line Items] | |||||||
Operating Loss Carryforwards, Expiration Dates | 31-Dec-24 | ||||||
Tax Credit Carryforward, Amount | $900,000 | $500,000 | |||||
Canada Revenue Agency [Member] | |||||||
Income Taxes [Line Items] | |||||||
Income Tax Examination, Year under Examination | 2011 | 2010 | |||||
Illinois Department of Revenue [Member] | |||||||
Income Taxes [Line Items] | |||||||
Income Tax Examination, Year under Examination | 2009 | 2008 | |||||
New York City Department of Finance [Member] | |||||||
Income Taxes [Line Items] | |||||||
Income Tax Examination, Year under Examination | 2011 | 2010 | 2009 |
Income_Taxes_Income_Taxes_Comp
Income Taxes Income Taxes (Components Of Income Tax) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Abstract] | |||
Current Federal Tax Expense (Benefit) | $22,074 | $22,834 | $20,759 |
Current State and Local Tax Expense (Benefit) | 3,822 | 2,676 | -289 |
Current Foreign Tax Expense (Benefit) | 13,977 | 9,415 | 11,639 |
Current Income Tax Expense (Benefit) | 39,873 | 34,925 | 32,109 |
Deferred Federal Income Tax Expense (Benefit) | -958 | 3,678 | 2,427 |
Deferred State and Local Income Tax Expense (Benefit) | -5,019 | -235 | 314 |
Deferred Foreign Income Tax Expense (Benefit) | -4,056 | -3,193 | -1,591 |
Deferred income taxes | -10,033 | 250 | 1,150 |
Income tax expense | $29,840 | $35,175 | $33,259 |
Income_Taxes_Income_Taxes_Reco
Income Taxes Income Taxes (Reconciliation Of Statutory Federal Income Tax Rate With Effective Income Tax Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Taxes [Abstract] | |||
U.S. federal statutory rate | 35.00% | 35.00% | 35.00% |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes | 0.60% | 0.30% | 0.50% |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential | -13.80% | -17.90% | -17.00% |
Effective Income Tax Rate Reconciliation, Tax Contingencies, Reserve | -2.20% | 4.30% | 4.90% |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance | 2.60% | 1.90% | 3.20% |
Effective Income Tax Rate Reconciliation, Deductions, Qualified Production Activities | -0.50% | -0.50% | -3.00% |
Effective Income Tax Rate Reconciliation, Other Adjustments | -2.50% | 1.60% | -1.30% |
Effective Income Tax Rate, Continuing Operations | 19.20% | 24.70% | 21.50% |
Income_Taxes_Income_Taxes_Defe
Income Taxes Income Taxes (Deferred Tax Assets And Liabilities) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Income Taxes [Abstract] | |||
Deferred Tax Assets, Operating Loss Carryforwards | $13,774 | $9,596 | |
Deferred Tax Assets, Tax Credit Carryforwards | 14,091 | 9,233 | |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Accrued Liabilities | 7,114 | 1,196 | |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Allowance for Doubtful Accounts | 1,132 | 1,423 | |
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Share-based Compensation Cost | 3,632 | 4,917 | |
Deferred Tax Assets, Property, Plant and Equipment | 0 | 1,266 | |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Impairment Losses | 76 | 161 | |
Deferred Tax Assets, Gain On Sale Of Intangible Assets | 0 | 123 | |
Deferred Tax Assets, Deferred Income | 250 | 812 | |
Deferred Tax Assets, State Taxes | 2,333 | 1,451 | |
Deferred Tax Assets, Other | 789 | 0 | |
Deferred Tax Assets, Gross | 43,191 | 30,178 | |
Deferred Tax Assets, Valuation Allowance | -11,358 | -8,493 | |
Deferred Tax Assets, Net of Valuation Allowance | 31,833 | 21,685 | |
Deferred Tax Liabilities, Property, Plant and Equipment | -5,883 | 0 | |
Deferred Tax Liabilities, Intangible Assets | -51,566 | -47,711 | |
Deferred Tax Liabilities, Prepaid Insurance | -420 | -369 | |
Deferred Tax Liability, Convertible Debt | -26,272 | 0 | |
Deferred Tax Liabilities, Foreign Other | -7,981 | -6,359 | |
Deferred Tax Liabilities, Net | -92,122 | -54,439 | |
Deferred Tax Assets, Net | ($60,289) | ($32,754) |
Income_Taxes_Income_Taxes_Reco1
Income Taxes Income Taxes (Reconciliation Of Unrecognized Tax Benefits) (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Taxes [Abstract] | ||||
Unrecognized Tax Benefits | $34,635 | $40,888 | $35,421 | $28,366 |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 919 | 58 | 1,022 | |
Unrecognized Tax Benefits, Decreases Resulting from Prior Period Tax Positions | -9,808 | -1,519 | -557 | |
Unrecognized Tax Benefits, Increases Resulting from Current Period Tax Positions | 3,765 | 6,928 | 6,590 | |
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | ($1,129) | $0 | $0 |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 0 Months Ended | 12 Months Ended | ||||||
Feb. 10, 2015 | Oct. 30, 2014 | Aug. 05, 2014 | 7-May-14 | Feb. 12, 2014 | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2013 | |
Class of Stock [Line Items] | ||||||||
Preferred Stock, Par or Stated Value Per Share | $0.01 | $0.01 | ||||||
Preferred Stock, Value, Issued | $5,064,000 | |||||||
Stock Repurchased | 2,100,000 | |||||||
Aggregate cost for repurchase of common stock | $58,600,000 | |||||||
Shares surrendered to pay exercise price or satisfy tax withholding obligations for stock options exercised/restricted stock | 113,256 | |||||||
Dividend amount to be paid, per common share | $0.29 | $0.28 | $0.28 | $0.27 | $0.26 | |||
Dividend, declaration date | 10-Feb-15 | 30-Oct-14 | 5-Aug-14 | 7-May-14 | 11-Feb-14 | |||
Dividend, date to be paid | 9-Mar-15 | 4-Dec-14 | 2-Sep-14 | 3-Jun-14 | 10-Mar-14 | |||
Dividend, date of record | 23-Feb-15 | 17-Nov-14 | 18-Aug-14 | 19-May-14 | 24-Feb-14 | |||
2012 Repurchase Program [Member] | ||||||||
Class of Stock [Line Items] | ||||||||
Maximum number of shares authorized to be repurchased | 5,000,000 |
Stock_Options_And_Employee_Sto2
Stock Options And Employee Stock Purchase Plan (Narrative) (Details) (USD $) | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Estimated forfeiture rate | 12.31% | 14.44% | 14.58% | |
Allocated Share-based Compensation Expense | $8,908,000 | $9,720,000 | $9,132,000 | |
Weighted-average grant date fair value of options granted | $7.92 | |||
Number of options outstanding | 725,649 | 1,175,657 | 1,765,461 | 2,087,695 |
Number of options granted | 0 | 0 | 67,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | 14,600,000 | 11,900,000 | 4,500,000 | |
Share-Based Compensation Arrangement By Share-Based Payment Award, Options, Vested In Period, Total Fair Value | 2,300,000 | 3,100,000 | 4,700,000 | |
Employee Service Share-based Compensation, Cash Received from Exercise of Stock Options | 6,600,000 | 13,600,000 | 5,600,000 | |
Number of Shares, Exercisable | 618,437 | |||
Weighted-Average Exercise Price, Exercisable | $23.77 | |||
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | 5,200,000 | 3,900,000 | 1,600,000 | |
Weighted-Average Exercise Price, Granted | $0 | $0 | $27.26 | |
Weighted-Average Remaining Contractual Term, Outstanding (in years) | 3 years 10 months 17 days | |||
Dividends, Share-based Compensation | 84,370 | |||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 3 years 10 months 17 days | |||
Stock Options [Member] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | 800,000 | |||
Restricted Stock And Restricted Stock Unit (RSU) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | 8,500,000 | 6,400,000 | 4,300,000 | |
Shares, Granted | 265,601 | 729,137 | 390,210 | |
Allocated Share-based Compensation Expense | 7,400,000 | 7,100,000 | 5,200,000 | |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | 24,100,000 | |||
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | $5,000,000 | $1,400,000 | $300,000 | |
Employee Stock Purchase Plan [Member] | ||||
Market value of common stock on the date of grant for incentive stock options | 95.00% | |||
Maximum issuance of common stock | 2,000,000 | |||
Maximum earnings withheld by the employees | 15.00% | |||
Number of shares purchased under the plan | 5,735 | 5,402 | 5,797 | |
Number of shares available for issuance | 1,634,464 | |||
Restricted Stock [Member] | ||||
Shares, Granted | 226,864 | 690,762 | ||
Number of stocks outstanding | 814,050 | 1,178,371 | 828,475 | |
Weighted-Average Grant-Date Fair Value, Granted | $45.66 | $13.57 | ||
Restricted Stock Units (RSUs) [Member] | ||||
Shares, Granted | 38,737 | 38,375 | ||
Number of stocks outstanding | 102,924 | 109,725 | 115,466 | |
Nineteen Hundred Ninety Seven Stock Oprtion Plan [Member] | ||||
Additional shares authorized for issuance | 840,000 | |||
Maximum issuance of common stock | 12,000,000 | |||
2007 Stock Plan [Member] | ||||
Maximum issuance of common stock | 4,500,000 | |||
Number of shares available for issuance | 163,309 | |||
Nineteen Ninety Seven Stock Option Plan And Two Thousand Seven Stock Plan [Member] | ||||
Expiration period of options granted (in years) | 10 | |||
Number of Shares, Exercisable | 845,198 | 1,132,365 | ||
Weighted-Average Exercise Price, Exercisable | $20.35 | $21.94 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |||
Ziff Davis, Inc. 2012 Equity Incentive Plan [Member] | ||||
Shares, Granted | 13,035,000 | |||
Maximum issuance of common stock | 15,000,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |||
Weighted-Average Grant-Date Fair Value, Granted | $0 | |||
Minimum [Member] | Employee Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $43.08 | |||
Minimum [Member] | 2007 Stock Plan [Member] | ||||
Market value of common stock on the date of grant for incentive stock options | 85.00% | |||
Maximum [Member] | Employee Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $51.38 |
Stock_Options_And_Employee_Sto3
Stock Options And Employee Stock Purchase Plan (Stock Options) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Number of Shares, Outstanding Beginning of Period | 1,175,657 | 1,765,461 | 2,087,695 |
Number of options granted | 0 | 0 | 67,000 |
Number of Shares, Exercised | 433,008 | 569,204 | 357,234 |
Number of Shares, Canceled | 17,000 | 20,600 | 32,000 |
Number of Shares, Outstanding Ending of Period | 725,649 | 1,175,657 | 1,765,461 |
Number of Shares, Exercisable | 618,437 | ||
Number of Shares, Vested and expected to vest | 714,319 | ||
Weighted-Average Exercise Price, Outstanding Beginning of Period | $21.08 | $22.08 | $20.99 |
Weighted-Average Exercise Price, Granted | $0 | $0 | $27.26 |
Weighted-Average Exercise Price, Exercised | $15.70 | $23.90 | $15.81 |
Weighted-Average Exercise Price, Canceled | $29.85 | $21.79 | $31.34 |
Weighted-Average Exercise Price, Outstanding Ending of Period | $24.29 | $21.08 | $22.08 |
Weighted-Average Exercise Price, Exercisable | $23.77 | ||
Weighted-Average Exercise Price, Vested and expected to vest | $24.24 | ||
Weighted-Average Remaining Contractual Term, Outstanding (in years) | 3 years 10 months 17 days | ||
Weighted-Average Remaining Contractual Term, Exercisable (in years) | 3 years 5 months 9 days | ||
Weighted-Average Remaining Contractual Term, Vested and expected to vest (in years) | 3 years 9 months 29 days | ||
Aggregate Intrinsic Value, Outstanding | $27,362,157 | ||
Aggregate Intrinsic Value, Exercisable | 23,642,294 | ||
Aggregate Intrinsic Value, Vested and expected to vest | 26,975,686 | ||
Aggregate intrinsic values of options exercised | 14,600,000 | 11,900,000 | 4,500,000 |
Stock Options [Member] | |||
Unrecognized compensation cost related to non-vested awards granted | $800,000 | ||
Weighted-average period to recognize compensation cost (in years) | 1 year 5 months 1 day |
Stock_Options_And_Employee_Sto4
Stock Options And Employee Stock Purchase Plan Stock Options And Employee Stock Purchase Plan (Outstanding And Exercisable Options) (Details) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 725,649 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 3 years 10 months 17 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $24.29 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 618,437 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $23.77 |
Range One [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 49,283 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 4 years 2 months 5 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $17.19 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 49,283 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $17.19 |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range | $17.19 |
Range Two [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 128,200 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 8 months 1 day |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $18.77 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 128,200 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $18.77 |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range | $18.77 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $0 |
Range Three [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 77,448 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 3 years 4 months 2 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $20.91 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 77,448 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $20.91 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $20.91 |
Range Four [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 74,420 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 4 years 2 months 16 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $31.69 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 74,420 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $21.69 |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range | $21.67 |
Range Five [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 98,716 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 5 years 4 months 6 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $22.92 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 76,780 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $22.92 |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range | $22.92 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $0 |
Range Six [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 75,382 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 4 years 11 months 12 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $26.87 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 44,382 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $27.06 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $23.11 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $28.52 |
Range Seven [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 90,700 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 6 years 4 months 10 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $29.34 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 54,424 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $29.34 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $29.34 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $0 |
Range Eight [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 22,000 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 7 years 2 months 1 day |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $29.53 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 7,000 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $29.53 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $29.53 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $0 |
Range Nine [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 7,500 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 6 years 9 months 26 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $31.07 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 4,500 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $31.07 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $31.07 |
Range Ten [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Outstanding Options | 102,000 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term | 2 years 7 months 2 days |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $32.45 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Number of Exercisable Options | 102,000 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $32.45 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $32.45 |
Stock_Options_And_Employee_Sto5
Stock Options And Employee Stock Purchase Plan (Assumptions To Estimate Fair Value Of Stock Options) (Details) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Estimated forfeiture rate | 12.31% | 14.44% | 14.58% |
Risk-free interest rate | 1.10% | ||
Expected term (in years) | 5 years 8 months 23 days | ||
Dividend yield | 3.20% | ||
Expected volatility | 41.60% |
Stock_Options_And_Employee_Sto6
Stock Options And Employee Stock Purchase Plan (Allocation Of Share-Based Compensation Expense) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Allocated Share-based Compensation Expense | $8,908 | $9,720 | $9,132 |
Cost Of Revenues [Member] | |||
Allocated Share-based Compensation Expense | 345 | 756 | 844 |
Sales And Marketing [Member] | |||
Allocated Share-based Compensation Expense | 1,944 | 1,855 | 1,543 |
Research, Development And Engineering [Member] | |||
Allocated Share-based Compensation Expense | 721 | 434 | 459 |
General And Administrative [Member] | |||
Allocated Share-based Compensation Expense | $5,898 | $6,675 | $6,286 |
Stock_Options_And_Employee_Sto7
Stock Options And Employee Stock Purchase Plan (Restricted Stock) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Compensation cost recognized | $8,908,000 | $9,720,000 | $9,132,000 |
Allocated Share-based Compensation Expense | 8,908,000 | 9,720,000 | 9,132,000 |
Restricted Stock And Restricted Stock Unit (RSU) [Member] | |||
Compensation cost recognized | 7,400,000 | 7,100,000 | 5,200,000 |
Allocated Share-based Compensation Expense | 7,400,000 | 7,100,000 | 5,200,000 |
Shares, Granted | 265,601 | 729,137 | 390,210 |
Unrecognized compensation cost related to non-vested awards granted | 24,100,000 | ||
Restricted Stock [Member] | |||
Shares, Nonvested at January 1, 2014 | 1,178,371 | 828,475 | |
Shares, Granted | 226,864 | 690,762 | |
Shares, Vested | -546,115 | -296,966 | |
Shares, Canceled | -45,070 | -43,900 | |
Shares, Nonvested at December 31, 2014 | 814,050 | 1,178,371 | |
Weighted-Average Grant-Date Fair Value, Nonvested at January 1, 2014 | $17.86 | $23.08 | |
Weighted-Average Grant-Date Fair Value, Granted | $45.66 | $13.57 | |
Weighted-Average Grant-Date Fair Value, Vested | $15.63 | $21.46 | |
Weighted-Average Grant-Date Fair Value, Canceled | $35.55 | $24.46 | |
Weighted-Average Grant-Date Fair Value, Nonvested at December 31, 2014 | $26.57 | $17.86 | |
Weighted-average period to recognize compensation cost (in years) | 3 years 0 months 15 days | ||
Restricted Stock Units (RSUs) [Member] | |||
Shares, Nonvested at January 1, 2014 | 109,725 | 115,466 | |
Shares, Granted | 38,737 | 38,375 | |
Shares, Vested | -19,598 | 11,116 | |
Shares, Canceled | -25,940 | 33,000 | |
Shares, Nonvested at December 31, 2014 | 102,924 | 109,725 | |
Share Based Compensation Equity Awards Other Than Options Expected To Vest Shares | 79,445 | ||
Weighted-average period to recognize compensation cost (in years) | 3 years 6 months 11 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding, Weighted Average Remaining Contractual Terms | 2 years 0 months 26 days | ||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Expected To Vest Weighted Average Remaining Contractual Term | 1 year 10 months 13 days | ||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Expected To Vest Intrinsic Value | 4,925,584 | ||
Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Outstanding, Aggregate Intrinsic Value | $6,381,288 |
Defined_Contribution_401k_Savi1
Defined Contribution 401(k) Savings Plan (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Defined Contribution 401(k) Savings Plan [Abstract] | ||
Defined Contribution Plan, Cost Recognized | $0.20 | $0.10 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share Reconciliation [Abstract] | |||||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | $31,763 | $28,759 | $35,049 | $28,765 | $20,754 | $27,806 | $36,040 | $22,922 | $124,336 | $107,522 | $121,580 |
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic | 2,590 | 2,105 | 2,075 | ||||||||
Net earnings available to common shareholders | $121,746 | $105,417 | $119,505 | ||||||||
Basic | 47,146,503 | 46,845,477 | 46,745,596 | 46,365,158 | 45,867,769 | 45,729,171 | 45,428,230 | 45,160,140 | 46,778,015 | 45,548,767 | 45,459,712 |
Dilutive effect of equity incentive plans | 328,523 | 591,252 | 321,946 | ||||||||
Diluted | 47,468,841 | 47,163,912 | 47,067,767 | 46,765,732 | 46,382,363 | 46,291,631 | 46,018,245 | 45,668,167 | 47,106,538 | 46,140,019 | 45,781,658 |
Basic | $0.66 | $0.60 | $0.73 | $0.61 | $0.45 | $0.60 | $0.78 | $0.50 | $2.60 | $2.31 | $2.63 |
Diluted | $0.66 | $0.60 | $0.73 | $0.60 | $0.44 | $0.59 | $0.77 | $0.49 | $2.58 | $2.28 | $2.61 |
Share options excluded from the computation of diluted earnings per share | 0 | 0 | 527,319 |
Segment_Information_Details
Segment Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues | $599,030 | $520,801 | $371,396 |
United States | 317,206 | 221,922 | |
Total long-lived assets | 317,206 | 221,922 | |
UNITED STATES | |||
Revenues | 403,279 | 369,507 | 233,585 |
United States | 216,099 | 170,247 | |
Total long-lived assets | 216,099 | 170,247 | |
CANADA | |||
Revenues | 70,434 | 73,130 | 79,656 |
IRELAND | |||
Revenues | 42,979 | 41,398 | 41,248 |
All Other Countries [Member] | |||
Revenues | 82,338 | 36,766 | 16,907 |
United States | 101,107 | 51,675 | |
Total long-lived assets | $101,107 | $51,675 |
Segment_Information_Reportable
Segment Information Reportable Segment Information (Reconciliation of Total Segment Operating Income to Consolidated Operating Income) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||
Revenues | $599,030 | $520,801 | $371,396 |
Direct Costs By Segment | 378,913 | 315,582 | 181,147 |
Operating Income (Loss) | 186,206 | 175,423 | 162,162 |
Global Operating Costs | 34,170 | 30,245 | 28,087 |
Business Cloud Services Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 431,475 | 390,104 | 361,684 |
Direct Costs By Segment | 241,592 | 191,169 | 174,324 |
Operating Income (Loss) | 189,883 | 198,935 | 187,360 |
Digital Media Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 167,814 | 131,146 | 9,712 |
Direct Costs By Segment | 137,321 | 124,413 | 6,823 |
Operating Income (Loss) | 30,493 | 6,733 | 2,889 |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | -259 | -449 | 0 |
Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating Income (Loss) | $220,376 | $205,668 | $190,249 |
Segment_Information_Reportable1
Segment Information Reportable Segment Information (Total Assets, Capital Expenditures, Depreciation And Amortization) (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting, Other Significant Reconciling Item [Line Items] | |||
Assets | $1,705,202 | $1,153,789 | |
Payments to Acquire Property, Plant, and Equipment | 11,829 | 18,627 | 5,061 |
Property, Plant and Equipment, Additions | 11,829 | 18,627 | 5,061 |
Depreciation, Depletion and Amortization, Nonproduction | 62,953 | 39,788 | 22,152 |
Business Cloud Services Segment [Member] | |||
Segment Reporting, Other Significant Reconciling Item [Line Items] | |||
Assets | 883,587 | 818,722 | |
Payments to Acquire Property, Plant, and Equipment | 6,639 | 10,979 | 4,240 |
Depreciation, Depletion and Amortization, Nonproduction | 39,699 | 24,148 | 20,473 |
Digital Media Segment [Member] | |||
Segment Reporting, Other Significant Reconciling Item [Line Items] | |||
Assets | 378,381 | 333,286 | |
Payments to Acquire Property, Plant, and Equipment | 4,920 | 6,635 | 380 |
Depreciation, Depletion and Amortization, Nonproduction | 22,483 | 14,963 | 1,167 |
Operating Segments [Member] | |||
Segment Reporting, Other Significant Reconciling Item [Line Items] | |||
Assets | 1,261,968 | 1,152,008 | |
Payments to Acquire Property, Plant, and Equipment | 11,559 | 17,614 | 4,620 |
Depreciation, Depletion and Amortization, Nonproduction | 62,182 | 39,111 | 21,640 |
Corporate [Member] | |||
Segment Reporting, Other Significant Reconciling Item [Line Items] | |||
Assets | 443,234 | 1,781 | |
Payments to Acquire Property, Plant, and Equipment | 270 | 1,013 | 441 |
Depreciation, Depletion and Amortization, Nonproduction | $771 | $677 | $512 |
Condensed_Consolidating_Financ2
Condensed Consolidating Financials Condensed Consolidating Balance Sheet (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash and cash equivalents | $433,663,000 | $207,801,000 | $218,680,000 | $139,359,000 |
Short-term investments | 96,206,000 | 90,789,000 | ||
Accounts Receivable, Net | 91,699,000 | 67,245,000 | ||
Prepaid expenses and other current assets | 22,602,000 | 20,064,000 | ||
Deferred income taxes | 2,013,000 | 3,126,000 | ||
Due from Affiliate, Current | 0 | 0 | ||
Assets, Current | 646,183,000 | 389,025,000 | ||
Long-term investments | 60,508,000 | 47,351,000 | ||
Property and equipment, net | 38,217,000 | 31,200,000 | ||
Tradenames, net | 105,551,000 | 83,108,000 | ||
Patent and patent licenses, net | 24,927,000 | 28,530,000 | ||
Customer Relationships, Net | 163,766,000 | 100,980,000 | ||
Goodwill | 635,675,000 | 457,422,000 | ||
Other purchased intangibles, net | 17,556,000 | 10,915,000 | ||
Investments in and Advances to Affiliates, Amount of Equity | 0 | 0 | ||
Deferred income taxes | 0 | 1,845,000 | ||
Other assets | 12,819,000 | 3,413,000 | ||
Assets | 1,705,202,000 | 1,153,789,000 | ||
Accounts payable and accrued expenses | 95,310,000 | 69,570,000 | ||
Income taxes payable | 0 | 1,569,000 | ||
Deferred revenue | 63,457,000 | 36,326,000 | ||
Liability for Uncertain Tax Positions, Current | 0 | 5,535,000 | ||
Deferred Tax Liabilities, Net, Current | 342,000 | 1,892,000 | ||
Capital Lease Obligations, Current | 258,000 | 0 | ||
Due to Affiliate, Current | 0 | 0 | ||
Liabilities, Current | 159,367,000 | 114,892,000 | ||
Long-term Debt | 593,350,000 | 245,670,000 | ||
Capital Lease Obligations, Noncurrent | 141,000 | 0 | ||
Liability for uncertain tax positions | 37,551,000 | 38,329,000 | ||
Deferred income taxes | 61,960,000 | 35,833,000 | ||
Deferred Revenue, Noncurrent | 10,182,000 | 11,189,000 | ||
Other long-term liabilities | 22,416,000 | 1,458,000 | ||
Liabilities | 884,967,000 | 447,371,000 | ||
Commitments and contingencies | 0 | 0 | ||
Preferred Stock, Value, Issued | 5,064,000 | |||
Common Stock, Value, Issued | 474,000 | 461,000 | ||
Additional paid-in capital | 273,304,000 | 216,872,000 | ||
Retained earnings | 553,584,000 | 484,850,000 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -7,127,000 | 4,235,000 | -88,000 | |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 820,235,000 | 706,418,000 | 554,375,000 | |
Liabilities and Equity | 1,705,202,000 | 1,153,789,000 | ||
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 | 0 | |
j2 Global, Inc. [Member] | ||||
Cash and cash equivalents | 226,790,000 | 0 | 0 | 0 |
Short-term investments | 47,880,000 | 0 | ||
Accounts Receivable, Net | 0 | 0 | ||
Prepaid expenses and other current assets | 776,000 | 0 | ||
Deferred income taxes | 1,271,000 | 0 | ||
Due from Affiliate, Current | 110,000,000 | 0 | ||
Assets, Current | 386,717,000 | 0 | ||
Long-term investments | 55,452,000 | 0 | ||
Property and equipment, net | 0 | 0 | ||
Tradenames, net | 0 | 0 | ||
Patent and patent licenses, net | 0 | 0 | ||
Customer Relationships, Net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Other purchased intangibles, net | 0 | 0 | ||
Investments in and Advances to Affiliates, Amount of Equity | 826,289,000 | 0 | ||
Deferred income taxes | 0 | |||
Other assets | 9,328,000 | 0 | ||
Assets | 1,277,786,000 | 0 | ||
Accounts payable and accrued expenses | 2,834,000 | 0 | ||
Income taxes payable | 0 | |||
Deferred revenue | 0 | 0 | ||
Liability for Uncertain Tax Positions, Current | 0 | |||
Deferred Tax Liabilities, Net, Current | 0 | 0 | ||
Capital Lease Obligations, Current | 0 | |||
Due to Affiliate, Current | 76,366,000 | 0 | ||
Liabilities, Current | 79,200,000 | 0 | ||
Long-term Debt | 347,163,000 | 0 | ||
Capital Lease Obligations, Noncurrent | 0 | |||
Liability for uncertain tax positions | 0 | 0 | ||
Deferred income taxes | 21,728,000 | 0 | ||
Deferred Revenue, Noncurrent | 0 | 0 | ||
Other long-term liabilities | 744,000 | 0 | ||
Liabilities | 448,835,000 | 0 | ||
Common Stock, Value, Issued | 474,000 | 0 | ||
Additional paid-in capital | 273,304,000 | 0 | ||
Retained earnings | 555,158,000 | 0 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | 15,000 | 0 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 828,951,000 | 0 | ||
Liabilities and Equity | 1,277,786,000 | 0 | ||
j2 Cloud Services, Inc. [Member] | ||||
Cash and cash equivalents | 36,810,000 | 34,406,000 | 76,712,000 | 45,124,000 |
Short-term investments | 48,261,000 | 67,848,000 | ||
Accounts Receivable, Net | 11,167,000 | 11,541,000 | ||
Prepaid expenses and other current assets | 12,689,000 | 16,662,000 | ||
Deferred income taxes | 0 | 0 | ||
Due from Affiliate, Current | 74,938,000 | 4,433,000 | ||
Assets, Current | 183,865,000 | 134,890,000 | ||
Long-term investments | 5,056,000 | 47,351,000 | ||
Property and equipment, net | 8,011,000 | 11,232,000 | ||
Tradenames, net | 10,231,000 | 12,119,000 | ||
Patent and patent licenses, net | 886,000 | 15,107,000 | ||
Customer Relationships, Net | 2,206,000 | 6,125,000 | ||
Goodwill | 52,131,000 | 86,025,000 | ||
Other purchased intangibles, net | 4,276,000 | 5,306,000 | ||
Investments in and Advances to Affiliates, Amount of Equity | 900,681,000 | 741,843,000 | ||
Deferred income taxes | 202,000 | |||
Other assets | 1,368,000 | 1,578,000 | ||
Assets | 1,168,711,000 | 1,061,778,000 | ||
Accounts payable and accrued expenses | 28,414,000 | 29,419,000 | ||
Income taxes payable | 0 | |||
Deferred revenue | 23,091,000 | 23,762,000 | ||
Liability for Uncertain Tax Positions, Current | 5,532,000 | |||
Deferred Tax Liabilities, Net, Current | 0 | 906,000 | ||
Capital Lease Obligations, Current | 0 | |||
Due to Affiliate, Current | 0 | 0 | ||
Liabilities, Current | 51,505,000 | 59,619,000 | ||
Long-term Debt | 246,187,000 | 245,670,000 | ||
Capital Lease Obligations, Noncurrent | 0 | |||
Liability for uncertain tax positions | 37,551,000 | 38,329,000 | ||
Deferred income taxes | -1,837,000 | 0 | ||
Deferred Revenue, Noncurrent | 8,187,000 | 10,753,000 | ||
Other long-term liabilities | 829,000 | 989,000 | ||
Liabilities | 342,422,000 | 355,360,000 | ||
Common Stock, Value, Issued | 0 | 461,000 | ||
Additional paid-in capital | 232,340,000 | 216,872,000 | ||
Retained earnings | 584,591,000 | 482,540,000 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | 9,358,000 | 6,545,000 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 826,289,000 | 706,418,000 | ||
Liabilities and Equity | 1,168,711,000 | 1,061,778,000 | ||
Non-Guarantor Subsidiaries [Member] | ||||
Cash and cash equivalents | 170,063,000 | 173,395,000 | 141,968,000 | 94,235,000 |
Short-term investments | 65,000 | 22,941,000 | ||
Accounts Receivable, Net | 80,532,000 | 55,704,000 | ||
Prepaid expenses and other current assets | 9,137,000 | 3,402,000 | ||
Deferred income taxes | 742,000 | 3,126,000 | ||
Due from Affiliate, Current | 1,428,000 | 0 | ||
Assets, Current | 261,967,000 | 258,568,000 | ||
Long-term investments | 0 | 0 | ||
Property and equipment, net | 30,206,000 | 19,968,000 | ||
Tradenames, net | 95,320,000 | 70,989,000 | ||
Patent and patent licenses, net | 24,041,000 | 13,423,000 | ||
Customer Relationships, Net | 161,560,000 | 94,855,000 | ||
Goodwill | 583,544,000 | 371,397,000 | ||
Other purchased intangibles, net | 13,280,000 | 5,609,000 | ||
Investments in and Advances to Affiliates, Amount of Equity | 8,716,000 | 0 | ||
Deferred income taxes | 1,643,000 | |||
Other assets | 2,123,000 | 1,835,000 | ||
Assets | 1,180,757,000 | 838,287,000 | ||
Accounts payable and accrued expenses | 64,062,000 | 40,151,000 | ||
Income taxes payable | 1,569,000 | |||
Deferred revenue | 40,366,000 | 12,564,000 | ||
Liability for Uncertain Tax Positions, Current | 3,000 | |||
Deferred Tax Liabilities, Net, Current | 342,000 | 986,000 | ||
Capital Lease Obligations, Current | 258,000 | |||
Due to Affiliate, Current | 110,000,000 | 4,433,000 | ||
Liabilities, Current | 215,028,000 | 59,706,000 | ||
Long-term Debt | 0 | 0 | ||
Capital Lease Obligations, Noncurrent | 141,000 | |||
Liability for uncertain tax positions | 0 | 0 | ||
Deferred income taxes | 42,069,000 | 35,833,000 | ||
Deferred Revenue, Noncurrent | 1,995,000 | 436,000 | ||
Other long-term liabilities | 20,843,000 | 469,000 | ||
Liabilities | 280,076,000 | 96,444,000 | ||
Common Stock, Value, Issued | 0 | 34,000 | ||
Additional paid-in capital | 421,676,000 | 326,983,000 | ||
Retained earnings | 495,505,000 | 417,136,000 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -16,500,000 | -2,310,000 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 900,681,000 | 741,843,000 | ||
Liabilities and Equity | 1,180,757,000 | 838,287,000 | ||
Consolidation, Eliminations [Member] | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Short-term investments | 0 | 0 | ||
Accounts Receivable, Net | 0 | 0 | ||
Prepaid expenses and other current assets | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Due from Affiliate, Current | -186,366,000 | -4,433,000 | ||
Assets, Current | -186,366,000 | -4,433,000 | ||
Long-term investments | 0 | 0 | ||
Property and equipment, net | 0 | 0 | ||
Tradenames, net | 0 | 0 | ||
Patent and patent licenses, net | 0 | 0 | ||
Customer Relationships, Net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Other purchased intangibles, net | 0 | 0 | ||
Investments in and Advances to Affiliates, Amount of Equity | -1,735,686,000 | -741,843,000 | ||
Deferred income taxes | 0 | |||
Other assets | 0 | 0 | ||
Assets | -1,922,052,000 | -746,276,000 | ||
Accounts payable and accrued expenses | 0 | 0 | ||
Income taxes payable | 0 | |||
Deferred revenue | 0 | 0 | ||
Liability for Uncertain Tax Positions, Current | 0 | |||
Deferred Tax Liabilities, Net, Current | 0 | 0 | ||
Capital Lease Obligations, Current | 0 | |||
Due to Affiliate, Current | -186,366,000 | -4,433,000 | ||
Liabilities, Current | -186,366,000 | -4,433,000 | ||
Long-term Debt | 0 | 0 | ||
Capital Lease Obligations, Noncurrent | 0 | |||
Liability for uncertain tax positions | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Deferred Revenue, Noncurrent | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Liabilities | -186,366,000 | -4,433,000 | ||
Common Stock, Value, Issued | 0 | -34,000 | ||
Additional paid-in capital | -654,016,000 | -326,983,000 | ||
Retained earnings | -1,081,670,000 | -414,826,000 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | 0 | 0 | ||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | -1,735,686,000 | -741,843,000 | ||
Liabilities and Equity | ($1,922,052,000) | ($746,276,000) |
Condensed_Consolidating_Financ3
Condensed Consolidating Financials Condensed Consolidating Income Statement (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues | $599,030 | $520,801 | $371,396 | ||||||||
Cost of revenues | 105,989 | 86,893 | 67,013 | ||||||||
Gross Profit | 138,145 | 124,974 | 119,186 | 110,736 | 115,857 | 105,987 | 118,682 | 93,382 | 493,041 | 433,908 | 304,383 |
Selling and Marketing Expense | 141,967 | 131,317 | 62,825 | ||||||||
Research and Development Expense | 30,680 | 25,485 | 18,624 | ||||||||
General and Administrative Expense | 134,188 | 101,683 | 60,772 | ||||||||
Operating Expenses | 306,835 | 258,485 | 142,221 | ||||||||
Operating Income (Loss) | 186,206 | 175,423 | 162,162 | ||||||||
Income (Loss) from Subsidiaries, before Tax | 0 | 0 | 0 | ||||||||
Interest expense (income), net | 31,204 | 21,254 | 7,650 | ||||||||
Other expense (income), net | -165 | 11,472 | -410 | ||||||||
Income before income taxes | 155,167 | 142,697 | 154,922 | ||||||||
Income tax expense | 29,840 | 35,175 | 33,259 | ||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 32,754 | 28,759 | 35,049 | 28,765 | 20,754 | 27,806 | 36,040 | 22,922 | 125,327 | 107,522 | 121,663 |
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | ||||||||
Preferred Stock Redemption Premium | 991 | 0 | 0 | ||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | 31,763 | 28,759 | 35,049 | 28,765 | 20,754 | 27,806 | 36,040 | 22,922 | 124,336 | 107,522 | 121,580 |
j2 Global, Inc. [Member] | |||||||||||
Revenues | 0 | 0 | 0 | ||||||||
Cost of revenues | 0 | 0 | 0 | ||||||||
Gross Profit | 0 | 0 | 0 | ||||||||
Selling and Marketing Expense | 0 | 0 | 0 | ||||||||
Research and Development Expense | 0 | 0 | 0 | ||||||||
General and Administrative Expense | 6,401 | 0 | 0 | ||||||||
Operating Expenses | 6,401 | 0 | 0 | ||||||||
Operating Income (Loss) | -6,401 | 0 | 0 | ||||||||
Income (Loss) from Subsidiaries, before Tax | 135,838 | 0 | 0 | ||||||||
Interest expense (income), net | 10,442 | 0 | 0 | ||||||||
Other expense (income), net | -23 | 0 | 0 | ||||||||
Income before income taxes | 119,018 | 0 | 0 | ||||||||
Income tax expense | -6,309 | 0 | 0 | ||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 125,327 | 0 | 0 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | ||||||||
Preferred Stock Redemption Premium | 991 | ||||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | 124,336 | 0 | 0 | ||||||||
j2 Cloud Services, Inc. [Member] | |||||||||||
Revenues | 227,860 | 255,413 | 222,203 | ||||||||
Cost of revenues | 51,391 | 84,655 | 85,826 | ||||||||
Gross Profit | 176,469 | 170,758 | 136,377 | ||||||||
Selling and Marketing Expense | 36,414 | 41,555 | 35,677 | ||||||||
Research and Development Expense | 14,055 | 12,977 | 11,878 | ||||||||
General and Administrative Expense | 30,300 | 37,634 | 35,558 | ||||||||
Operating Expenses | 80,769 | 92,166 | 83,113 | ||||||||
Operating Income (Loss) | 95,700 | 78,592 | 53,264 | ||||||||
Income (Loss) from Subsidiaries, before Tax | 77,051 | 61,551 | 91,539 | ||||||||
Interest expense (income), net | 20,478 | 9,292 | 3,911 | ||||||||
Other expense (income), net | 141 | -369 | -168 | ||||||||
Income before income taxes | 152,132 | 131,220 | 141,060 | ||||||||
Income tax expense | 16,294 | 23,698 | 19,480 | ||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 135,838 | 107,522 | 121,580 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | ||||||||
Preferred Stock Redemption Premium | 0 | ||||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | 135,838 | 107,522 | 121,580 | ||||||||
Non-Guarantor Subsidiaries [Member] | |||||||||||
Revenues | 412,217 | 369,079 | 206,045 | ||||||||
Cost of revenues | 95,386 | 105,480 | 38,039 | ||||||||
Gross Profit | 316,831 | 263,599 | 168,006 | ||||||||
Selling and Marketing Expense | 105,812 | 90,211 | 27,148 | ||||||||
Research and Development Expense | 16,625 | 12,508 | 6,746 | ||||||||
General and Administrative Expense | 97,487 | 64,049 | 25,214 | ||||||||
Operating Expenses | 219,924 | 166,768 | 59,108 | ||||||||
Operating Income (Loss) | 96,907 | 96,831 | 108,898 | ||||||||
Income (Loss) from Subsidiaries, before Tax | 0 | 0 | 0 | ||||||||
Interest expense (income), net | 284 | 11,962 | 3,739 | ||||||||
Other expense (income), net | -283 | 11,841 | -242 | ||||||||
Income before income taxes | 96,906 | 73,028 | 105,401 | ||||||||
Income tax expense | 19,855 | 11,477 | 13,779 | ||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 77,051 | 61,551 | 91,622 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | ||||||||
Preferred Stock Redemption Premium | 0 | ||||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | 77,051 | 61,551 | 91,539 | ||||||||
Consolidation, Eliminations [Member] | |||||||||||
Revenues | -41,047 | -103,691 | -56,852 | ||||||||
Cost of revenues | -40,788 | -103,242 | -56,852 | ||||||||
Gross Profit | -259 | -449 | 0 | ||||||||
Selling and Marketing Expense | -259 | -449 | 0 | ||||||||
Research and Development Expense | 0 | 0 | 0 | ||||||||
General and Administrative Expense | 0 | 0 | 0 | ||||||||
Operating Expenses | -259 | -449 | 0 | ||||||||
Operating Income (Loss) | 0 | 0 | 0 | ||||||||
Income (Loss) from Subsidiaries, before Tax | -212,889 | -61,551 | -91,539 | ||||||||
Interest expense (income), net | 0 | 0 | 0 | ||||||||
Other expense (income), net | 0 | 0 | 0 | ||||||||
Income before income taxes | -212,889 | -61,551 | -91,539 | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | -212,889 | -61,551 | -91,539 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | ||||||||
Preferred Stock Redemption Premium | 0 | ||||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | ($212,889) | ($61,551) | ($91,539) |
Condensed_Consolidating_Financ4
Condensed Consolidating Financials Condensed Consolidating Comprehensive Income Statement (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $32,754 | $28,759 | $35,049 | $28,765 | $20,754 | $27,806 | $36,040 | $22,922 | $125,327 | $107,522 | $121,663 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -14,694 | 78 | 1,435 | ||||||||
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 3,332 | 4,245 | 1,954 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | -11,362 | 4,323 | 3,389 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 113,965 | 111,845 | 125,052 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | ||||||||
Comprehensive income attributable to j2 Global, Inc. | 113,965 | 111,845 | 124,969 | ||||||||
j2 Global, Inc. [Member] | |||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 125,327 | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | 0 | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 15 | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | 15 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 125,342 | 0 | 0 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | ||||||||
Comprehensive income attributable to j2 Global, Inc. | 125,342 | 0 | 0 | ||||||||
j2 Cloud Services, Inc. [Member] | |||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 135,838 | 107,522 | 121,580 | ||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -478 | -43 | 521 | ||||||||
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 3,307 | 4,249 | 1,960 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | 2,829 | 4,206 | 2,481 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 138,667 | 111,728 | 124,061 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | ||||||||
Comprehensive income attributable to j2 Global, Inc. | 138,667 | 111,728 | 124,061 | ||||||||
Non-Guarantor Subsidiaries [Member] | |||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 77,051 | 61,551 | 91,622 | ||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -14,216 | 121 | 914 | ||||||||
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 10 | -4 | -6 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | -14,206 | 117 | 908 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 62,845 | 61,668 | 92,530 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | ||||||||
Comprehensive income attributable to j2 Global, Inc. | 62,845 | 61,668 | 92,447 | ||||||||
Consolidation, Eliminations [Member] | |||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | -212,889 | -61,551 | -91,539 | ||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | 0 | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 0 | 0 | 0 | ||||||||
Other Comprehensive Income (Loss), Net of Tax | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | -212,889 | -61,551 | -91,539 | ||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | ||||||||
Comprehensive income attributable to j2 Global, Inc. | ($212,889) | ($61,551) | ($91,539) |
Condensed_Consolidating_Financ5
Condensed Consolidating Financials Condensed Consolidating Statement of Cash Flows (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $125,327 | $107,522 | $121,663 |
Depreciation and amortization | 62,953 | 39,788 | 22,164 |
Accretion (Amortization) of Discounts and Premiums, Investments | 1,334 | 1,796 | 1,603 |
Amortization of financing costs and discounts | 5,045 | 613 | 249 |
Share-based Compensation | 8,908 | 9,720 | 9,132 |
Excess Tax Benefit from Share-based Compensation, Operating Activities | -5,512 | -2,695 | -961 |
Provision for doubtful accounts | 4,702 | 3,135 | 4,289 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 |
Deferred income taxes | -10,033 | 250 | 1,150 |
Loss on disposal of fixed assets | 0 | 8 | 54 |
(Gain) loss on available-for-sale investments | -90 | 66 | -266 |
Loss on extinguishment of debt and related interest expense | 0 | 14,437 | 0 |
Increase (Decrease) in Accounts Receivable | -11,078 | -9,588 | -5,417 |
Increase (Decrease) in Prepaid Expense and Other Assets | -3,212 | 149 | -2,028 |
Increase (Decrease) in Other Operating Assets | -42 | 168 | -243 |
Accounts payable and accrued expenses | -5,447 | 9,126 | 5,138 |
Income taxes payable | 10,797 | 667 | 4,139 |
Deferred revenue | -711 | 12,368 | 1,612 |
Liability for uncertain tax positions | -6,313 | 6,186 | 7,601 |
Other | 603 | -392 | 32 |
Net Cash Provided by (Used in) Operating Activities | 177,231 | 193,324 | 169,911 |
Maturity of certificates of deposit | 14,520 | 42,615 | 8,000 |
Payments to Acquire Other Investments | -65 | -22,071 | -34,673 |
Sales of available-for-sale investments | 110,363 | 140,126 | 138,709 |
Payments to Acquire Available-for-sale Securities | -138,452 | -168,901 | -151,989 |
Payments to Acquire Property, Plant, and Equipment | -11,829 | -18,627 | -5,061 |
Proceeds from sale of assets | 608 | 1 | 156 |
Payments to Acquire Businesses, Net of Cash Acquired | -245,278 | -126,341 | -198,341 |
Payments to Acquire Intangible Assets | -5,336 | -14,200 | -6,295 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 0 | 0 | 0 |
Payments for (Proceeds from) Other Investing Activities | 0 | 0 | |
Payments of Distributions to Affiliates | 0 | 0 | 0 |
Net Cash Provided by (Used in) Investing Activities | -275,469 | -167,398 | -249,494 |
Proceeds from Issuance of Long-term Debt | -402,500 | 0 | -245,000 |
Debt issuance costs | -11,991 | -47 | -1,384 |
Payments for Repurchase of Common Stock | -5,663 | -4,587 | -60,282 |
Issuance of common stock under employee stock purchase plan | 265 | 213 | 157 |
Exercise of stock options | 6,621 | 13,604 | 5,646 |
Proceeds from noncontrolling interests | 0 | 0 | 8,557 |
Payments of Dividends | -52,269 | -45,134 | -40,263 |
Excess tax benefits from share-based compensation | 5,512 | 2,695 | 961 |
PaymentsOfDeferredConsiderationRelatedToAcquisition | -16,512 | 0 | 0 |
Proceeds from (Payments for) Other Financing Activities | -933 | -2,437 | 0 |
Net Cash Provided by (Used in) Financing Activities | 327,530 | -35,693 | 158,392 |
Effect of exchange rate changes on cash and cash equivalents | -3,430 | -1,112 | 512 |
Cash and Cash Equivalents, Period Increase (Decrease) | 225,862 | -10,879 | 79,321 |
Cash and cash equivalents | 433,663 | 207,801 | 218,680 |
j2 Global, Inc. [Member] | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 125,327 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 |
Accretion (Amortization) of Discounts and Premiums, Investments | 392 | 0 | 0 |
Amortization of financing costs and discounts | 4,297 | 0 | 0 |
Share-based Compensation | 2,353 | 0 | 0 |
Excess Tax Benefit from Share-based Compensation, Operating Activities | -86 | 0 | 0 |
Provision for doubtful accounts | 0 | 0 | 0 |
Income (Loss) from Equity Method Investments | -135,838 | 0 | 0 |
Deferred income taxes | -1,392 | 0 | 0 |
Loss on disposal of fixed assets | 0 | 0 | 0 |
(Gain) loss on available-for-sale investments | 26 | 0 | 0 |
Loss on extinguishment of debt and related interest expense | 0 | 0 | |
Increase (Decrease) in Accounts Receivable | 0 | 0 | 0 |
Increase (Decrease) in Prepaid Expense and Other Assets | -776 | 0 | 0 |
Increase (Decrease) in Other Operating Assets | 0 | 0 | 0 |
Accounts payable and accrued expenses | 2,835 | 0 | 0 |
Income taxes payable | 2,055 | 0 | 0 |
Deferred revenue | 0 | 0 | 0 |
Liability for uncertain tax positions | 0 | 0 | 0 |
Other | 742 | 0 | 0 |
Net Cash Provided by (Used in) Operating Activities | -65 | 0 | 0 |
Maturity of certificates of deposit | 0 | 0 | 0 |
Payments to Acquire Other Investments | 0 | 0 | 0 |
Sales of available-for-sale investments | 40,211 | 0 | 0 |
Payments to Acquire Available-for-sale Securities | -81,061 | 0 | 0 |
Payments to Acquire Property, Plant, and Equipment | 0 | 0 | 0 |
Proceeds from sale of assets | 0 | 0 | 0 |
Payments to Acquire Businesses, Net of Cash Acquired | 0 | 0 | 0 |
Payments to Acquire Intangible Assets | 0 | 0 | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 0 | 0 | 0 |
Payments for (Proceeds from) Other Investing Activities | 0 | 0 | |
Payments of Distributions to Affiliates | -96,509 | 0 | 0 |
Net Cash Provided by (Used in) Investing Activities | -40,850 | 0 | 0 |
Proceeds from Issuance of Long-term Debt | -402,500 | 0 | 0 |
Debt issuance costs | -11,991 | 0 | 0 |
Payments for Repurchase of Common Stock | -930 | 0 | 0 |
Issuance of common stock under employee stock purchase plan | 142 | 0 | 0 |
Exercise of stock options | 1,374 | 0 | 0 |
Proceeds from noncontrolling interests | 0 | 0 | 0 |
Payments of Dividends | -26,967 | 0 | 0 |
Excess tax benefits from share-based compensation | 86 | 0 | 0 |
PaymentsOfDeferredConsiderationRelatedToAcquisition | 0 | 0 | 0 |
Proceeds from (Payments for) Other Financing Activities | 0 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities | 267,705 | 0 | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Cash and Cash Equivalents, Period Increase (Decrease) | 226,790 | 0 | 0 |
Cash and cash equivalents | 226,790 | 0 | 0 |
j2 Cloud Services, Inc. [Member] | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 135,838 | 107,522 | 121,580 |
Depreciation and amortization | 6,047 | 9,201 | 8,590 |
Accretion (Amortization) of Discounts and Premiums, Investments | 722 | 1,273 | 1,461 |
Amortization of financing costs and discounts | 748 | 613 | 249 |
Share-based Compensation | 5,325 | 9,720 | 9,132 |
Excess Tax Benefit from Share-based Compensation, Operating Activities | -4,803 | -2,695 | -961 |
Provision for doubtful accounts | 2,114 | 1,219 | 293 |
Income (Loss) from Equity Method Investments | -77,051 | -61,551 | -91,539 |
Deferred income taxes | -5,767 | -495 | 4,839 |
Loss on disposal of fixed assets | 0 | 0 | 54 |
(Gain) loss on available-for-sale investments | -58 | -51 | -266 |
Loss on extinguishment of debt and related interest expense | 0 | 0 | |
Increase (Decrease) in Accounts Receivable | -2,490 | -1,656 | -822 |
Increase (Decrease) in Prepaid Expense and Other Assets | -8,757 | 784 | -1,265 |
Increase (Decrease) in Other Operating Assets | 0 | -57 | 123 |
Accounts payable and accrued expenses | -1,173 | -124 | 10,599 |
Income taxes payable | 17,384 | -923 | 2,193 |
Deferred revenue | -2,067 | 13,415 | 878 |
Liability for uncertain tax positions | -6,311 | 6,184 | 7,601 |
Other | -157 | -88 | 99 |
Net Cash Provided by (Used in) Operating Activities | 59,544 | 82,291 | 72,838 |
Maturity of certificates of deposit | 8,210 | 30,270 | 8,000 |
Payments to Acquire Other Investments | 0 | -16,375 | -22,106 |
Sales of available-for-sale investments | 53,563 | 124,745 | 138,709 |
Payments to Acquire Available-for-sale Securities | -57,391 | -149,748 | -139,087 |
Payments to Acquire Property, Plant, and Equipment | -2,866 | -6,223 | -2,677 |
Proceeds from sale of assets | 608 | 1 | 136 |
Payments to Acquire Businesses, Net of Cash Acquired | -2,083 | -4,043 | -1,811 |
Payments to Acquire Intangible Assets | -2,949 | -3,034 | -4,433 |
Payments to Acquire Interest in Subsidiaries and Affiliates | -23,821 | -14,920 | -171,562 |
Payments for (Proceeds from) Other Investing Activities | 3,281 | 0 | |
Payments of Distributions to Affiliates | -10,495 | -55,295 | 3,746 |
Net Cash Provided by (Used in) Investing Activities | -26,729 | -36,046 | -194,831 |
Proceeds from Issuance of Long-term Debt | 0 | 0 | 245,000 |
Debt issuance costs | 0 | -47 | -1,384 |
Payments for Repurchase of Common Stock | -4,733 | -4,587 | -60,282 |
Issuance of common stock under employee stock purchase plan | 123 | 213 | 157 |
Exercise of stock options | 5,193 | 13,604 | 5,646 |
Proceeds from noncontrolling interests | 0 | 0 | 0 |
Payments of Dividends | -25,302 | -45,134 | -40,263 |
Excess tax benefits from share-based compensation | 4,803 | 2,695 | 961 |
PaymentsOfDeferredConsiderationRelatedToAcquisition | 0 | 0 | 0 |
Proceeds from (Payments for) Other Financing Activities | 0 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities | -30,411 | -88,551 | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Cash and Cash Equivalents, Period Increase (Decrease) | 2,404 | -42,306 | 31,588 |
Cash and cash equivalents | 36,810 | 34,406 | 76,712 |
Non-Guarantor Subsidiaries [Member] | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 77,051 | 61,551 | 91,622 |
Depreciation and amortization | 56,906 | 30,587 | 13,574 |
Accretion (Amortization) of Discounts and Premiums, Investments | 220 | 523 | 142 |
Amortization of financing costs and discounts | 0 | 0 | 0 |
Share-based Compensation | 1,230 | 0 | 0 |
Excess Tax Benefit from Share-based Compensation, Operating Activities | -623 | 0 | 0 |
Provision for doubtful accounts | 2,588 | 1,916 | 3,996 |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 |
Deferred income taxes | -2,874 | 745 | -3,689 |
Loss on disposal of fixed assets | 0 | 8 | 0 |
(Gain) loss on available-for-sale investments | -58 | 117 | 0 |
Loss on extinguishment of debt and related interest expense | 14,437 | 0 | |
Increase (Decrease) in Accounts Receivable | -8,588 | -7,932 | -4,595 |
Increase (Decrease) in Prepaid Expense and Other Assets | 6,321 | -635 | -763 |
Increase (Decrease) in Other Operating Assets | -42 | 225 | -366 |
Accounts payable and accrued expenses | -7,109 | 9,250 | -5,461 |
Income taxes payable | -8,642 | 1,590 | 1,946 |
Deferred revenue | 1,356 | -1,047 | 734 |
Liability for uncertain tax positions | -2 | 2 | 0 |
Other | 18 | -304 | -67 |
Net Cash Provided by (Used in) Operating Activities | 117,752 | 111,033 | 97,073 |
Maturity of certificates of deposit | 6,310 | 12,345 | 0 |
Payments to Acquire Other Investments | -65 | -5,696 | -12,567 |
Sales of available-for-sale investments | 16,589 | 15,381 | 0 |
Payments to Acquire Available-for-sale Securities | 0 | -19,153 | -12,902 |
Payments to Acquire Property, Plant, and Equipment | -8,963 | -12,404 | -2,384 |
Proceeds from sale of assets | 0 | 0 | 20 |
Payments to Acquire Businesses, Net of Cash Acquired | -243,195 | -122,298 | -196,530 |
Payments to Acquire Intangible Assets | -2,387 | -11,166 | -1,862 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 0 | 0 | 0 |
Payments for (Proceeds from) Other Investing Activities | -3,281 | 0 | |
Payments of Distributions to Affiliates | 130,825 | 70,215 | 167,816 |
Net Cash Provided by (Used in) Investing Activities | -231,711 | -146,272 | -226,225 |
Proceeds from Issuance of Long-term Debt | 0 | 0 | 0 |
Debt issuance costs | 0 | 0 | 0 |
Payments for Repurchase of Common Stock | 0 | 0 | 0 |
Issuance of common stock under employee stock purchase plan | 0 | 0 | 0 |
Exercise of stock options | 54 | 0 | 0 |
Proceeds from noncontrolling interests | 0 | 0 | 8,557 |
Payments of Dividends | 0 | 0 | 0 |
Excess tax benefits from share-based compensation | 623 | 0 | 0 |
PaymentsOfDeferredConsiderationRelatedToAcquisition | -16,512 | 0 | 0 |
Proceeds from (Payments for) Other Financing Activities | -933 | -2,437 | 0 |
Net Cash Provided by (Used in) Financing Activities | 114,057 | 67,778 | |
Effect of exchange rate changes on cash and cash equivalents | -3,430 | -1,112 | 512 |
Cash and Cash Equivalents, Period Increase (Decrease) | -3,332 | 31,427 | 47,733 |
Cash and cash equivalents | 170,063 | 173,395 | 141,968 |
Consolidation, Eliminations [Member] | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | -212,889 | -61,551 | -91,539 |
Depreciation and amortization | 0 | 0 | 0 |
Accretion (Amortization) of Discounts and Premiums, Investments | 0 | 0 | 0 |
Amortization of financing costs and discounts | 0 | 0 | 0 |
Share-based Compensation | 0 | 0 | 0 |
Excess Tax Benefit from Share-based Compensation, Operating Activities | 0 | 0 | 0 |
Provision for doubtful accounts | 0 | 0 | 0 |
Income (Loss) from Equity Method Investments | 212,889 | 61,551 | 91,539 |
Deferred income taxes | 0 | 0 | 0 |
Loss on disposal of fixed assets | 0 | 0 | 0 |
Loss on extinguishment of debt and related interest expense | 0 | 0 | |
Increase (Decrease) in Accounts Receivable | 0 | 0 | 0 |
Increase (Decrease) in Prepaid Expense and Other Assets | 0 | 0 | 0 |
Increase (Decrease) in Other Operating Assets | 0 | 0 | |
Accounts payable and accrued expenses | 0 | 0 | 0 |
Income taxes payable | 0 | 0 | 0 |
Deferred revenue | 0 | 0 | 0 |
Liability for uncertain tax positions | 0 | 0 | 0 |
Other | 0 | 0 | 0 |
Net Cash Provided by (Used in) Operating Activities | 0 | 0 | 0 |
Maturity of certificates of deposit | 0 | 0 | 0 |
Payments to Acquire Other Investments | 0 | 0 | 0 |
Sales of available-for-sale investments | 0 | 0 | 0 |
Payments to Acquire Available-for-sale Securities | 0 | 0 | 0 |
Payments to Acquire Property, Plant, and Equipment | 0 | 0 | 0 |
Proceeds from sale of assets | 0 | 0 | 0 |
Payments to Acquire Businesses, Net of Cash Acquired | 0 | 0 | 0 |
Payments to Acquire Intangible Assets | 0 | 0 | 0 |
Payments to Acquire Interest in Subsidiaries and Affiliates | 23,821 | 14,920 | 171,562 |
Payments for (Proceeds from) Other Investing Activities | 0 | 0 | |
Payments of Distributions to Affiliates | -23,821 | -14,920 | -171,562 |
Net Cash Provided by (Used in) Investing Activities | 23,821 | 14,920 | 171,562 |
Proceeds from Issuance of Long-term Debt | 0 | 0 | 0 |
Debt issuance costs | 0 | 0 | 0 |
Payments for Repurchase of Common Stock | 0 | 0 | 0 |
Issuance of common stock under employee stock purchase plan | 0 | 0 | 0 |
Exercise of stock options | 0 | 0 | |
Proceeds from noncontrolling interests | 0 | 0 | |
Payments of Dividends | 0 | 0 | 0 |
Excess tax benefits from share-based compensation | 0 | 0 | 0 |
PaymentsOfDeferredConsiderationRelatedToAcquisition | 0 | 0 | 0 |
Proceeds from (Payments for) Other Financing Activities | 0 | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities | -23,821 | -14,920 | |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Cash and Cash Equivalents, Period Increase (Decrease) | 0 | 0 | 0 |
Cash and cash equivalents | $0 | $0 | $0 |
Supplemental_Cash_Flows_Inform1
Supplemental Cash Flows Information (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Supplemental Cash Flows Information [Abstract] | |||
Cash paid for income taxes | $49,500,000 | $28,300,000 | $20,400,000 |
Capital Expenditures Incurred but Not yet Paid | 600,000 | 900,000 | 600,000 |
Tax Benefit from Stock Options Exercised | 10,200,000 | 7,100,000 | 3,300,000 |
Interest Paid | 26,600,000 | 21,100,000 | 400,000 |
Business Combination, Contingent Consideration, Liability | 45,300,000 | 7,000,000 | 2,500,000 |
Loss on extinguishment of debt and related interest expense | $0 | $14,437,000 | $0 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income Roll Forward (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss) Roll Forward [Line Items] | |||
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | $9,388 | $6,056 | $1,811 |
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | -16,515 | -1,821 | -1,899 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | -7,127 | 4,235 | -88 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 3,332 | 4,245 | 1,954 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | -14,694 | -10 | |
Other Comprehensive Income Loss Arising During Period Total Net of Tax | -11,348 | 4,226 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax | -14 | 9 | |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, Net of Tax | 0 | 88 | |
Other Comprehensive Income Loss Reclassification Adjustments Total Net of Tax | -14 | 97 | |
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | 3,346 | 4,236 | |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -14,694 | 78 | 1,435 |
Other Comprehensive Income (Loss), Net of Tax | ($11,362) | $4,323 | $3,389 |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income [Abstract] | |||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | $3,346 | $4,236 | |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 3,332 | 4,245 | 1,954 |
ReclassificationOutOfAccumulatedOtherComprehensiveIncomeTableTextBlock [Line Items] | |||
Other expense (income), net | -165 | 11,472 | -410 |
Income tax expense | 29,840 | 35,175 | 33,259 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, Net of Tax | 0 | 88 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax | -14 | 9 | |
Other Comprehensive Income Loss Reclassification Adjustments Total Net of Tax | -14 | 97 | |
Accumulated Translation Adjustment [Member] | |||
ReclassificationOutOfAccumulatedOtherComprehensiveIncomeTableTextBlock [Line Items] | |||
Other expense (income), net | 0 | 116 | |
Income tax expense | 0 | -28 | |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | |||
ReclassificationOutOfAccumulatedOtherComprehensiveIncomeTableTextBlock [Line Items] | |||
Other expense (income), net | -23 | 14 | |
Income tax expense | $9 | ($5) |
Quarterly_Results_Details
Quarterly Results (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Results [Abstract] | |||||||||||
Revenue, Net | $167,144 | $153,018 | $144,744 | $134,124 | $138,035 | $127,788 | $141,361 | $113,617 | |||
Gross Profit | 138,145 | 124,974 | 119,186 | 110,736 | 115,857 | 105,987 | 118,682 | 93,382 | 493,041 | 433,908 | 304,383 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 32,754 | 28,759 | 35,049 | 28,765 | 20,754 | 27,806 | 36,040 | 22,922 | 125,327 | 107,522 | 121,663 |
Net earnings attributable to j2 Global, Inc. common shareholders | $31,763 | $28,759 | $35,049 | $28,765 | $20,754 | $27,806 | $36,040 | $22,922 | $124,336 | $107,522 | $121,580 |
Basic | $0.66 | $0.60 | $0.73 | $0.61 | $0.45 | $0.60 | $0.78 | $0.50 | $2.60 | $2.31 | $2.63 |
Diluted | $0.66 | $0.60 | $0.73 | $0.60 | $0.44 | $0.59 | $0.77 | $0.49 | $2.58 | $2.28 | $2.61 |
Basic | 47,146,503 | 46,845,477 | 46,745,596 | 46,365,158 | 45,867,769 | 45,729,171 | 45,428,230 | 45,160,140 | 46,778,015 | 45,548,767 | 45,459,712 |
Diluted | 47,468,841 | 47,163,912 | 47,067,767 | 46,765,732 | 46,382,363 | 46,291,631 | 46,018,245 | 45,668,167 | 47,106,538 | 46,140,019 | 45,781,658 |
Unrestricted_Subsidiaries_Unre
Unrestricted Subsidiaries Unrestricted Subsidiaries (Financial Position) (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Cash and cash equivalents | $433,663 | $207,801 | $218,680 | $139,359 |
Accounts Receivable, Net | 91,699 | 67,245 | ||
Prepaid expenses and other current assets | 22,602 | 20,064 | ||
Deferred income taxes | 2,013 | 3,126 | ||
Assets, Current | 646,183 | 389,025 | ||
Property and equipment, net | 38,217 | 31,200 | ||
Tradenames, net | 105,551 | 83,108 | ||
Patent and patent licenses, net | 24,927 | 28,530 | ||
Customer Relationships, Net | 163,766 | 100,980 | ||
Goodwill | 635,675 | 457,422 | ||
Other purchased intangibles, net | 17,556 | 10,915 | ||
Deferred income taxes | 0 | 1,845 | ||
Other assets | 12,819 | 3,413 | ||
Assets | 1,705,202 | 1,153,789 | ||
Accounts payable and accrued expenses | 95,310 | 69,570 | ||
Income taxes payable | 0 | 1,569 | ||
Deferred revenue | 63,457 | 36,326 | ||
Deferred Tax Liabilities, Net, Current | 342 | 1,892 | ||
Liabilities, Current | 159,367 | 114,892 | ||
Long-term Debt | 593,350 | 245,670 | ||
Deferred income taxes | 61,960 | 35,833 | ||
Other long-term liabilities | 22,416 | 1,458 | ||
Liabilities | 884,967 | 447,371 | ||
Commitments and contingencies | 0 | 0 | ||
Common Stock, Value, Issued | 474 | 461 | ||
Additional paid-in capital | 273,304 | 216,872 | ||
Retained earnings | 553,584 | 484,850 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -7,127 | 4,235 | -88 | |
Stockholders' equity attributable to j2 Global, Inc. | 820,235 | 706,418 | 554,375 | |
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | 0 | 0 | |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 820,235 | 706,418 | 554,375 | |
Liabilities and Equity | 1,705,202 | 1,153,789 | ||
Unrestricted Subsidiaries [Member] | ||||
Cash and cash equivalents | 27,944 | |||
Accounts Receivable, Net | 57,005 | |||
Prepaid expenses and other current assets | 2,986 | |||
Deferred income taxes | 5,292 | |||
Assets, Current | 93,227 | |||
Property and equipment, net | 12,834 | |||
Tradenames, net | 70,310 | |||
Patent and patent licenses, net | 24,007 | |||
Customer Relationships, Net | 55,925 | |||
Goodwill | 245,613 | |||
Other purchased intangibles, net | 8,901 | |||
Deferred income taxes | 0 | |||
Other assets | 1,706 | |||
Assets | 512,523 | |||
Accounts payable and accrued expenses | 40,296 | |||
Income taxes payable | 316 | |||
Deferred revenue | 5,277 | |||
Liabilities, Current | 45,889 | |||
Long-term Debt | 110,000 | |||
Deferred income taxes | 17,397 | |||
Other long-term liabilities | 16,243 | |||
Mandatorily redeemable financial instrument | 0 | |||
Liabilities | 189,529 | |||
Additional paid-in capital | 317,932 | |||
Retained earnings | 6,051 | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -989 | |||
Stockholders' equity attributable to j2 Global, Inc. | 322,994 | |||
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 322,994 | |||
Liabilities and Equity | $512,523 |
Unrestricted_Subsidiaries_Unre1
Unrestricted Subsidiaries Unrestricted Subsidiaries (Results of Operations) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues | $599,030 | $520,801 | $371,396 | ||||||||
Cost of revenues | 105,989 | 86,893 | 67,013 | ||||||||
Gross Profit | 138,145 | 124,974 | 119,186 | 110,736 | 115,857 | 105,987 | 118,682 | 93,382 | 493,041 | 433,908 | 304,383 |
Selling and Marketing Expense | 141,967 | 131,317 | 62,825 | ||||||||
Research and Development Expense | 30,680 | 25,485 | 18,624 | ||||||||
General and Administrative Expense | 134,188 | 101,683 | 60,772 | ||||||||
Operating Expenses | 306,835 | 258,485 | 142,221 | ||||||||
Operating Income (Loss) | 186,206 | 175,423 | 162,162 | ||||||||
Interest expense (income), net | 31,204 | 21,254 | 7,650 | ||||||||
Other expense (income), net | -165 | 11,472 | -410 | ||||||||
Income before income taxes | 155,167 | 142,697 | 154,922 | ||||||||
Income tax expense | 29,840 | 35,175 | 33,259 | ||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 32,754 | 28,759 | 35,049 | 28,765 | 20,754 | 27,806 | 36,040 | 22,922 | 125,327 | 107,522 | 121,663 |
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 83 | ||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | 31,763 | 28,759 | 35,049 | 28,765 | 20,754 | 27,806 | 36,040 | 22,922 | 124,336 | 107,522 | 121,580 |
Ziff Davis, Inc [Member] | |||||||||||
Revenues | 169,065 | ||||||||||
Cost of revenues | 19,028 | ||||||||||
Gross Profit | 150,037 | ||||||||||
Selling and Marketing Expense | 68,057 | ||||||||||
Research and Development Expense | 5,485 | ||||||||||
General and Administrative Expense | 52,768 | ||||||||||
Operating Expenses | 126,310 | ||||||||||
Operating Income (Loss) | 23,727 | ||||||||||
Interest expense (income), net | 821 | ||||||||||
Other expense (income), net | 347 | ||||||||||
Income before income taxes | 22,559 | ||||||||||
Income tax expense | 4,883 | ||||||||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 17,676 | ||||||||||
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | ||||||||||
Net earnings attributable to j2 Global, Inc. common shareholders | $17,676 |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | 0 Months Ended | ||||
Feb. 10, 2015 | Oct. 30, 2014 | Aug. 05, 2014 | 7-May-14 | Feb. 12, 2014 | |
Subsequent Events [Abstract] | |||||
Dividends declared date | 10-Feb-15 | 30-Oct-14 | 5-Aug-14 | 7-May-14 | 11-Feb-14 |
Dividend amount to be paid, per common share | $0.29 | $0.28 | $0.28 | $0.27 | $0.26 |
Date dividend is payable | 9-Mar-15 | 4-Dec-14 | 2-Sep-14 | 3-Jun-14 | 10-Mar-14 |
Date shareholders must be on record for dividend | 23-Feb-15 | 17-Nov-14 | 18-Aug-14 | 19-May-14 | 24-Feb-14 |