Advisory Board 10-Q 9 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 01, 2017
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Entity Registrant Name	ADVISORY BOARD CO
Entity Central Index Key	1,157,377
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		40,583,660

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 150,080	$ 91,151
Membership fees receivable, net	548,491	605,517
Prepaid expenses and other current assets	22,375	18,965
Total current assets	720,946	715,633
Construction in progress	86,828	63,368
Property and equipment, net	162,668	171,281
Intangible assets, net	250,036	255,053
Deferred incentive compensation and other charges	63,556	72,178
Goodwill	737,023	739,507
Equity method investments	13,711	19,858
Total assets	2,034,768	2,036,878
Current liabilities:
Deferred revenue, current	537,464	564,237
Accounts payable and accrued liabilities	71,805	67,702
Accrued incentive compensation	24,845	25,521
Debt, current	56,554	49,347
Total current liabilities	690,668	706,807
Deferred revenue, net of current portion	145,236	170,357
Deferred income taxes	87,630	89,013
Debt, net of current portion	458,592	472,739
Financing obligation	86,828	63,368
Other long-term liabilities	17,398	17,550
Total liabilities	1,486,352	1,519,834
Stockholders’ equity:
Preferred stock, par value $0.01; 5,000,000 shares authorized, zero shares issued and outstanding	0	0
Common stock, par value $0.01; 135,000,000 shares authorized, 40,391,162 and 40,192,980 shares issued and outstanding as of March 31, 2017 and December 31, 2016, respectively	404	402
Additional paid-in capital	794,293	782,399
Accumulated deficit	(247,310)	(266,218)
Accumulated other comprehensive income	1,029	461
Total stockholders’ equity	548,416	517,044
Total liabilities and stockholders’ equity	$ 2,034,768	$ 2,036,878

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Preferred stock, par value (dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (shares)	5,000,000	5,000,000
Preferred stock, shares issued (shares)	0	0
Preferred stock, shares outstanding (shares)	0	0
Common stock, par value (dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (shares)	135,000,000	135,000,000
Common stock, shares issued (shares)	40,391,162	40,192,980
Common stock, shares outstanding (shares)	40,391,162	40,192,980

Unaudited Consolidated Statemen

Unaudited Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Income Statement [Abstract]
Revenue	$ 194,539	$ 200,735
Costs and expenses:
Cost of services, excluding depreciation and amortization	98,642	95,949
Member relations and marketing	32,855	32,395
General and administrative	39,088	31,828
Depreciation and amortization	22,334	19,767
Operating income	1,620	20,796
Interest expense	(4,500)	(4,821)
Other income, net	233	61
Total other expense, net	(4,267)	(4,760)
(Loss) income before benefit (provision) for income taxes and gains (losses) from equity method investments	(2,647)	16,036
Benefit (provision) for income taxes	724	(5,663)
Gains (losses) from equity method investments	21,577	(34)
Net income	$ 19,654	$ 10,339
Earnings per share (dollars per share)
Net income (loss) per share—basic (in dollars per share)	$ 0.49	$ 0.25
Net income (loss) per share—diluted (in dollars per share)	$ 0.48	$ 0.25
Weighted average number of shares outstanding:
Basic (in shares)	40,253	41,492
Diluted (in shares)	41,041	41,873

Unaudited Consolidated Stateme5

Unaudited Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Statement of Comprehensive Income [Abstract]
Net income	$ 19,654	$ 10,339
Other comprehensive income (loss):
Net unrealized gain (loss) on cash flow hedges, net of income tax (benefit) expense of $311 and $(1,568) for the three months ended March 31, 2017 and 2016, respectively	568	(2,437)
Comprehensive income	$ 20,222	$ 7,902

Unaudited Consolidated Stateme6

Unaudited Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Statement of Comprehensive Income [Abstract]
Net unrealized (loss) gain on cash flow hedges, tax expense (benefit)	$ 311	$ (1,568)

Unaudited Consolidated Stateme7

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Cash flows from operating activities:
Net income	$ 19,654	$ 10,339
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	22,334	19,767
Amortization of debt issuance costs	341	340
Deferred income taxes	2,359	(48)
Excess tax deficiency/(benefit) from stock-based awards	207	(1,269)
Stock-based compensation expense	5,711	6,982
Gain on partial sale of equity method investment	(23,392)	0
Losses from equity method investments	1,815	34
Changes in operating assets and liabilities (net of the effect of acquisitions):
Membership fees receivable	57,026	51,389
Prepaid expenses and other current assets	(3,428)	4,414
Deferred incentive compensation and other charges	9,423	8,214
Deferred revenue	(51,894)	(57,794)
Accounts payable and accrued liabilities	(10,067)	(11,596)
Acquisition-related earn-out payments	(196)	(1,432)
Accrued incentive compensation	(676)	(1,876)
Other long-term liabilities	(550)	(260)
Net cash provided by operating activities	28,667	27,204
Cash flows from investing activities:
Purchases of property and equipment	(7,970)	(9,632)
Capitalized external-use software development costs	(734)	(836)
Cash paid for acquisitions	0	(1,900)
Cash received from partial sale of equity method investment	41,366	0
Net cash provided by (used in) investing activities	32,662	(12,368)
Cash flows from financing activities:
Pay down of debt	(7,187)	(7,187)
Proceeds from issuance of common stock from exercise of stock options	5,686	3,019
Withholding of shares to satisfy employee tax withholding for vested restricted stock units	(797)	(396)
Proceeds from issuance of common stock under employee stock purchase plan	84	120
Acquisition-related earn-out payments	(186)	(3,600)
Excess tax benefits from stock-based awards	0	1,269
Purchases of treasury stock	0	(27,449)
Net cash used in financing activities	(2,400)	(34,224)
Net increase (decrease) in cash and cash equivalents	58,929	(19,388)
Cash and cash equivalents, beginning of period	91,151	71,825
Cash and cash equivalents, end of period	$ 150,080	$ 52,437

Business Description and Basis

Business Description and Basis of Presentation	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Business description and basis of presentation	Business description and basis of presentation The Advisory Board Company (individually and collectively with its subsidiaries, the “Company”) provides best practices research and insight, technology, data-enabled services, and consulting services, through discrete programs to hospitals, health systems, independent medical groups, pharmaceutical and biotechnology companies, health care insurers, medical device companies, and colleges, universities, and other health care-focused organizations and educational institutions. Members of each subscription-based membership program are typically charged a separate fixed annual fee and have access to an integrated set of services that may include best practices research studies, executive education, proprietary content databases and online tools, daily online executive briefings, original executive inquiry services, cloud-based software applications, data-enabled services, and consulting and management services. The unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for reporting on Form 10-Q. Accordingly, certain information and footnote disclosures required for complete financial statements are not included herein. These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes as reported in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. The unaudited consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. The Company uses the equity method to account for equity investments in instances in which it owns common stock and has the ability to exercise significant influence, but not control, over the investee and for all investments in partnerships or limited liability companies where the investee maintains separate capital accounts for each investor. All significant intercompany transactions and balances have been eliminated. In the opinion of management, all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation of the consolidated financial position, results of operations, and cash flows as of the dates and for the periods presented have been included. The consolidated balance sheet presented as of December 31, 2016 has been derived from the financial statements that have been audited by the Company’s independent registered public accounting firm. The consolidated results of operations for the three months ended March 31, 2017 may not be indicative of the results that may be expected for the Company’s fiscal year ending December 31, 2017, or any other period.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	3 Months Ended
	Mar. 31, 2017
Accounting Changes and Error Corrections [Abstract]
Recent accounting pronouncements	Recent accounting pronouncements Recently adopted In March 2016, the Financial Accounting Standards Board ("FASB") issued accounting guidance relating to stock-based compensation. The guidance simplifies various aspects of the accounting for share-based payments. The amendments impact net income, earnings per share, and the statement of cash flows. The guidance is effective for annual reporting and interim periods beginning after December 15, 2016, with early adoption permitted. The Company adopted this standard as of January 1, 2017 using a modified retrospective approach, which requires the cumulative effect of initially applying the standard to be recorded as an adjustment to the opening balance of retained earnings of the annual reporting period that includes the date of initial application. In connection with the adoption of this guidance, the Company elected to no longer calculate an estimate of expected forfeitures and began recognizing forfeitures as they occurred, which resulted in a cumulative-effect net decrease of $0.7 million to retained earnings with the offset of $1.2 million to additional paid-in capital and an increase of $0.5 million in deferred tax assets. Upon adoption, all excess tax benefits and tax deficiencies are recognized as income tax expense or benefit in the consolidated statements of operations. In addition, excess tax benefits will no longer be presented within cash flows from financing activities but instead will be presented in cash flows from operating activities in the consolidated statements of cash flows. Prior to adoption, the excess tax benefits and tax deficiencies were recorded to additional paid-in capital and excess tax benefits were not recorded until they were able to be utilized. Recently issued In May 2014, the FASB issued accounting guidance related to revenue recognition. The new standard supersedes most of the existing revenue recognition guidance under GAAP, and requires revenue to be recognized when goods or services are transferred to a customer in an amount that reflects the consideration a company expects to receive. The new standard may require more judgment and estimates relating to the recognition of revenue, which could result in additional disclosures to the financial statements. The new standard will be effective for annual and interim reporting periods beginning after December 15, 2017, with an option that permits companies to adopt the standard as early as the original effective date of December 31, 2016. Early application prior to the original effective date is not permitted. The Company will adopt the standard on January 1, 2018 using the modified retrospective approach. While the potential impacts of the new standard are still being assessed, the Company currently believes the new standard will impact the Company's accounting for deferred costs and arrangements that include variable consideration. The Company is currently evaluating the effect that the standard will have on its remaining revenue. The Company continues to update its assessment of the impact of the standard and related updates to the consolidated financial statements, and will note material impacts when known. In January 2016, the FASB issued accounting guidance related to the recognition and measurement of financial assets and liabilities. The guidance requires, among other things, that entities measure equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) at fair value, with changes in fair value recognized in net income. Under the new guidance, entities will no longer be able to recognize unrealized holding gains and losses on available-for-sale equity securities in other comprehensive income, and will no longer be able to use the cost method of accounting for equity securities that do not have readily determinable fair values. The guidance for classifying and measuring investments in debt securities and loans is not affected. The guidance eliminates certain disclosure requirements related to financial instruments measured at amortized cost and adds disclosures related to the measurement categories of financial assets and financial liabilities. The guidance is effective for annual periods beginning after December 15, 2017. Early adoption is permitted only for certain portions of the guidance. The adoption of this guidance by the Company is not expected to have a material impact on its consolidated financial statements. In February 2016, the FASB issued accounting guidance relating to leases. The guidance requires that lessees recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than twelve months. The new guidance also requires disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative information. The guidance is effective for annual reporting and interim periods beginning after December 15, 2018, with early adoption permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements. In August 2016, the FASB issued accounting guidance relating to the statement of cash flows. The guidance clarifies how certain cash receipts and cash payments are presented in the statement of cash flows. The guidance is effective for annual reporting and interim periods beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements. In January 2017, the FASB issued accounting guidance which clarifies the definition of a business in order to assist entities in evaluating whether transactions should be accounted for as acquisitions (or dispositions) of assets or businesses. The guidance is effective for annual reporting and interim periods beginning after December 15, 2017. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements. In January 2017, the FASB issued accounting guidance simplifying the test of goodwill impairment. The guidance eliminates Step 2 of the goodwill impairment test, which calculates the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will be required to record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value (i.e., Step 1). The guidance is effective for annual and interim reporting periods beginning after December 15, 2019, with early adoption permitted. The adoption of this guidance by the Company is not expected to have a material impact on its consolidated financial statements. In February 2017, the FASB issued accounting guidance related to gains and losses from the derecognition of nonfinancial assets which clarifies the scope of asset derecognition guidance and accounting for partial sales of nonfinancial assets. The guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair value measurements	Fair value measurements Financial assets and liabilities The estimated fair values of financial instruments are determined based on relevant market information. These estimates involve uncertainty and cannot be determined with precision. The Company’s financial instruments consist primarily of cash, cash equivalents, and interest rate swaps. In addition, contingent earn-out liabilities resulting from business combinations are recorded at fair value. The following methods and assumptions are used to estimate the fair value of each class of financial assets or liabilities that is valued on a recurring basis. Cash and cash equivalents . This includes all cash and liquid investments with an original maturity of three months or less from the date acquired. The carrying amount approximates fair value because of the short maturity of these instruments. Cash equivalents also consist of money market funds with fair values based on quoted market prices. The Company’s cash and cash equivalents are held at major commercial banks. Contingent earn-out liabilities . This class of financial liabilities represents the Company’s estimated fair value of the contingent earn-out liabilities related to acquisitions based on probability assessments of certain performance achievements during the earn-out periods. The performance targets are specific to the operation of the acquired company subsequent to the acquisition. These inputs are considered key estimates made by the Company that are unobservable because there are no active markets to support them. Contingent earn-out liabilities are included in accounts payable and accrued liabilities and other long-term liabilities on the consolidated balance sheets. Interest rate swaps . The Company uses interest rate swaps to manage interest rate risk. The fair values of interest rate swaps are determined using the market standard methodology of discounting the future variable cash payments, or receipts, over the life of the agreements. The variable interest rates used in the calculation of projected receipts are based on observable market interest rate curves. See Note 7, "Debt." Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. The valuation can be determined using widely accepted valuation techniques, such as the market approach (comparable market prices), the income approach (present value of future income or cash flow), and the cost approach (cost to replace the service capacity of an asset or replacement cost). As a basis for applying a market-based approach in fair value measurements, GAAP establishes a fair value hierarchy that prioritizes into three broad levels the inputs to valuation techniques used to measure fair value. The following is a brief description of those three levels: • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Observable market-based inputs other than Level 1 inputs, such as quoted prices for similar assets or liabilities in active markets; quoted prices for similar or identical assets or liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3—Unobservable inputs that are supported by little or no market activity, such as discounted cash flow methodologies. Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. The Company reviews the fair value hierarchy classification on a quarterly basis. Changes in the observability of valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. There were no significant transfers between Level 1, Level 2, or Level 3 during the three months ended March 31, 2017 or 2016 . The Company’s financial assets and liabilities subject to fair value measurements on a recurring basis and the related classifications are as follows (in thousands): Fair value as of March 31, Fair value measurement as of March 31, 2017 2017 Level 1 Level 2 Level 3 Financial assets Cash and cash equivalents (1) $ 150,080 $ 150,080 $ — $ — Interest rate swaps (2) 1,845 — 1,845 — Financial liabilities Contingent earn-out liabilities (3) 1,185 — — 1,185 Fair value as of December 31, Fair value measurement as of December 31, 2016 using fair value hierarchy 2016 Level 1 Level 2 Level 3 Financial assets Cash and cash equivalents (1) $ 91,151 $ 91,151 $ — $ — Interest rate swaps (2) 1,044 — 1,044 — Financial liabilities Contingent earn-out liabilities (3) 1,164 — — 1,164 ————————————— (1) Fair value is based on quoted market prices. (2) Fair value is determined using market standard models with observable inputs. (3) This fair value measurement is based on unobservable inputs that are supported by little or no market activity and reflect the Company’s own assumptions in measuring fair value using the income approach. In developing these estimates, the Company considered certain performance projections, historical results, and general macroeconomic environment and industry trends. Contingent earn-out liabilities The Company's fair value estimate of the earn-out liability related to the Company’s acquisition of Clinovations, LLC (“Clinovations”) in November 2014 was $4.5 million as of the date of acquisition. The Clinovations earn-out liability is affected by changes in estimates regarding expected operating results through the evaluation periods, which will end on December 31, 2017 with payments extending through April 2018. As of March 31, 2017 , 62,269 shares have been issued to pay a portion of the earn-out liability. The maximum payout of the earn-out liability is $9.5 million , while the minimum is $0 . Based on the results of Clinovations’ operating results, the fair value of the remaining contingent obligation for Clinovations as of March 31, 2017 was estimated at $0.9 million . The Company's fair value estimate of the earn-out liability related to the Company’s acquisition of ThoughtWright, LLC d/b/a GradesFirst (“GradesFirst”) in December 2014 was $3.6 million as of the date of acquisition. The Company paid $4.0 million during the three months ended March 31, 2016 in satisfaction of its remaining obligation. The Company entered into an earn-out agreement in connection with its acquisition of Southwind Health Partners, L.L.C. and Southwind Navigator, LLC (together, “Southwind”) in December 2009. The Company paid $1.0 million during the three months ended March 31, 2016 in satisfaction of its remaining obligation. Changes in the fair value of the contingent earn-out liabilities subsequent to the acquisition date, including changes arising from events that occurred after the acquisition date, such as changes in the Company’s estimate of performance achievements, discount rates, and stock price, are recognized in earnings in the periods during which the estimated fair value changes. The following table represents a reconciliation of the change in the contingent earn-out liabilities for the three months ended March 31, 2017 and 2016 (in thousands): Three Months Ended 2017 2016 Beginning balance $ 1,164 $ 7,250 Addition due to acquisition — 357 Fair value change in Clinovations contingent earn-out liability (1) 239 (1,070 ) Fair value change in other contingent earn-out liabilities (1) 164 — Southwind earn-out payments — (1,032 ) Other earn-out payments (382 ) — GradesFirst earn-out payments — (4,000 ) Ending balance $ 1,185 $ 1,505 ————————————— (1) Amounts were recognized in cost of services on the consolidated statements of operations. Financial instruments not recorded at fair value on a recurring basis Equity method investments . The Company's equity method investments represent the Company's ownership interest in Evolent Health, Inc. and its subsidiary, Evolent Health LLC. The fair value of the Company's ownership interest in Evolent Health, Inc. and its subsidiary prior to any discount was $161.0 million as of March 31, 2017 based on the closing price of the Class A common stock of Evolent Health, Inc. on that date as reported on the New York Stock Exchange. For further information, see Note 6, "Equity method investments". The fair value of the Company's equity method investments is measured quarterly for disclosure purposes. The Company's equity method investments are recorded at fair value only if an impairment charge is recognized. Credit facilities . The Company estimates that the fair value of its credit facilities was $520.7 million as of March 31, 2017 . The fair value was determined based on discounting the future expected variable cash payments over the life of the loan. The variable interest rates used in the calculation are based on observable market interest rates. The credit facilities would be classified as Level 2 within the fair value hierarchy if they were measured at fair value. Non-financial assets and liabilities Certain assets and liabilities are not measured at fair value on an ongoing basis but instead are measured at fair value on a non-recurring basis, so that such assets and liabilities are subject to fair value adjustments in certain circumstances (such as when there is evidence of impairment). During the three months ended March 31, 2017 and 2016 , no fair value adjustments or material fair value measurements were required for non-financial assets or liabilities.

Property and Equipment

Property and Equipment	3 Months Ended
	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Property and equipment	Property and equipment Property and equipment consists of leasehold improvements, furniture, fixtures, equipment, capitalized internal-use software development, and acquired developed technology. Property and equipment is stated at cost, less accumulated depreciation and amortization. In certain membership programs, the Company provides software applications under a hosting arrangement where the software application resides on the Company’s or its service providers’ hardware. The members do not take delivery of the software and only receive access to the software during the term of their membership agreement. Software development costs that are incurred in the preliminary project stage are expensed as incurred. During the development stage, direct consulting costs and payroll and payroll-related costs for employees that are directly associated with each project are capitalized and amortized over the estimated useful life of the software once placed into operation. Capitalized software is amortized using the straight-line method over its estimated useful life, which is generally five years. Replacements and major improvements are capitalized, while maintenance and repairs are charged to expense as incurred. The acquired developed technology, which includes acquired software, databases, and analytics, is classified as software within property and equipment because the developed software application, database, or analytic resides on the Company’s or its service providers’ hardware. Amortization for acquired developed technology is included in depreciation and amortization on the Company’s consolidated statements of operations. Developed technology obtained through acquisitions is amortized using the straight-line method over the estimated useful life used in determining the fair value of the assets at acquisition. As of March 31, 2017 , the weighted average useful life of existing acquired developed technology was approximately eight years. The amount of acquired developed technology amortization included in depreciation and amortization for the three months ended March 31, 2017 and March 31, 2016 was approximately $2.1 million and $2.3 million , respectively. Furniture, fixtures, and equipment are depreciated using the straight-line method over the estimated useful lives of the assets, which range from three to seven years. Leasehold improvements are depreciated using the straight-line method over the shorter of the estimated useful lives of the assets or the lease term. There are no capitalized leases included in property and equipment, net for the periods presented. The amount of depreciation expense recognized on furniture, fixtures, and equipment during the three months ended March 31, 2017 and March 31, 2016 was $5.9 million and $5.4 million , respectively. Internally developed capitalized software related to the Company's hosted software is classified as software within property and equipment and has an estimated useful life of five years. As of March 31, 2017 and December 31, 2016, the carrying value of internally developed capitalized software was $73.6 million and $75.2 million , respectively. Amortization expense for internally developed capitalized software for the three months ended March 31, 2017 and March 31, 2016 recorded in depreciation and amortization on the accompanying statements of operations was approximately $8.5 million and $6.4 million , respectively. Property and equipment consists of the following (in thousands): As of March 31, 2017 December 31, 2016 Leasehold improvements $ 69,777 $ 69,465 Furniture, fixtures, and equipment 70,963 70,362 Software 237,305 231,952 Property and equipment, gross 378,045 371,779 Accumulated depreciation and amortization (215,377 ) (200,498 ) Property and equipment, net $ 162,668 $ 171,281 The Company evaluates its long-lived assets for impairment when changes in circumstances exist that suggest the carrying value of a long-lived asset may not be fully recoverable. If an indication of impairment exists, and the Company’s net book value of the related assets is not fully recoverable based upon an analysis of its estimated undiscounted future cash flows, the assets are written down to their estimated fair value. There was no material impairment loss recognized on long-lived assets during the three months ended March 31, 2017 and March 31, 2016 , respectively. Construction in progress . In December 2015, the Company entered into a lease for its new corporate headquarters, which is currently being constructed in Washington D.C. The lease has an anticipated start date of mid-2019 with a 16 -year initial term and $446.1 million of lease payments. The Company has concluded that it is the deemed owner of the building (for accounting purposes only) during the construction period and that the lease qualifies for build-to-suit accounting. Accordingly, the Company has recorded a construction-in-progress asset, net of $86.8 million for which there is a corresponding construction financing obligation of $86.8 million recorded in the consolidated balance sheet as of March 31, 2017 . The Company will continue to increase the construction-in-progress asset and corresponding long-term liability as additional building costs are incurred by the landlord during the construction period. Upon completion of the construction, the Company will evaluate whether or not this arrangement meets the criteria for sale-leaseback accounting treatment.

Goodwill and Intangibles

Goodwill and Intangibles	3 Months Ended
	Mar. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and intangibles	Goodwill and intangibles Included in the Company’s goodwill and intangibles balances are goodwill and acquired intangibles, as well as internally developed capitalized software for sale. Goodwill is not amortized because it has an estimated indefinite life. Goodwill is reviewed for impairment at least annually as of October 1, or whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The Company believes that no such impairment indicators existed during the three months ended March 31, 2017 or 2016 . There was no impairment of goodwill recorded in the three months ended March 31, 2017 or 2016 . The following illustrates the change in the goodwill balance for the three months ended March 31, 2017 (in thousands): Balance as of December 31, 2016 $ 739,507 Acquisitions — Adjustment related to Royall acquisition (1) (2,484 ) Balance as of March 31, 2017 $ 737,023 ————————————— (1) Represents an immaterial adjustment to the blended state tax rate used in the purchase price allocation resulting in a reduction to deferred tax liabilities and a reduction of goodwill. Intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives, which range from 2 years to 17 years. As of March 31, 2017 , the weighted average remaining useful life of acquired intangibles was approximately 13.1 years. As of March 31, 2017 , the weighted average remaining useful life of internally developed intangibles was approximately 3.4 years. The gross and net carrying balances and accumulated amortization of intangibles are as follows (in thousands): As of March 31, 2017 As of December 31, 2016 Weighted average useful life Gross carrying amount Accumulated amortization Net carrying amount Gross carrying amount Accumulated amortization Net carrying amount Intangibles Internally developed software for sale: Capitalized software 5.0 $ 20,766 $ (10,868 ) $ 9,898 $ 20,034 $ (9,998 ) $ 10,036 Acquired intangibles: Developed software 5.2 9,450 (8,700 ) 750 9,450 (8,575 ) 875 Customer relationships 16.2 277,710 (47,332 ) 230,378 277,710 (42,978 ) 234,732 Trademarks 8.6 14,900 (6,215 ) 8,685 14,900 (5,923 ) 8,977 Non-compete agreements 3.8 1,400 (1,400 ) — 1,400 (1,400 ) — Customer contracts 4.7 6,449 (6,124 ) 325 6,449 (6,016 ) 433 Total intangibles $ 330,675 $ (80,639 ) $ 250,036 $ 329,943 $ (74,890 ) $ 255,053 Amortization expense for intangible assets for the three months ended March 31, 2017 and March 31, 2016 , recorded in depreciation and amortization on the consolidated statements of operations, was approximately $5.8 million and $5.7 million , respectively. The following approximates the aggregate amortization expense to be recorded in depreciation and amortization on the consolidated statements of operations for the remaining nine months of the fiscal year ending December 31, 2017 , for each of the following fiscal years ending December 31, 2018 through 2021, and thereafter: $16.9 million , $21.7 million , $20.1 million , $18.8 million , and $17.8 million , respectively, and $154.7 million thereafter.

Equity Method Investments

Equity Method Investments	3 Months Ended
	Mar. 31, 2017
Equity Method Investments and Joint Ventures [Abstract]
Equity method investments	Equity method investments As of March 31, 2017 , the Company held a 4.5% equity interest in Evolent Health LLC (“Evolent LLC”) and a 7.2% equity ownership interest in Evolent Health, Inc. (“Evolent Inc.”), which had no material operations outside of its 83.9% ownership interest in Evolent LLC. These investments are accounted for under the equity method, with the Company’s proportionate share of the investees’ losses recognized in the consolidated statements of operations. The Company has the right to designate two individuals to Evolent Inc.'s board of directors, who were the Company’s Chief Financial Officer and an unaffiliated designee of the Company as of March 31, 2017 . During the three months ended March 31, 2017 , the Company recognized in the consolidated statements of operations its proportionate share of the losses of Evolent Inc. of $1.3 million . During the three months ended March 31, 2016, the Company recorded a net gain on its investment of Evolent Inc. of $0.3 million , which consisted of a $1.1 million dilution gain offset by $0.8 million for the Company's share of losses of Evolent Inc. The carrying balance of the Company’s investment in Evolent Inc. was $9.0 million and $10.3 million as of March 31, 2017 and December 31, 2016, respectively. The Company had no unrecorded losses related to its investment in Evolent Inc. as of March 31, 2017 . During the three months ended March 31, 2017 , the Company exchanged Evolent LLC B units and Evolent Inc. Class B shares for Evolent Inc. Class A common stock on a one-for-one basis, then immediately sold all the Evolent Inc. Class A shares in an underwritten secondary offering, retaining a 4.5% interest immediately after such sale. Total cash received from the transaction was $41.4 million and resulted in the recognition of a post-tax gain of $23.4 million . The Company's proportionate share of the losses of Evolent LLC was $1.6 million during the three months ended March 31, 2017 . During the three months ended March 31, 2016, the Company recorded a net loss on its investment of Evolent LLC of $0.5 million , which consisted of a $0.9 million dilution gain offset by $1.4 million for the Company's share of the losses of Evolent LLC. The carrying balance of the Company’s investment in Evolent LLC was $4.7 million and $9.6 million as of March 31, 2017 and December 31, 2016, respectively. The Company had no unrecorded losses related to its investment in Evolent LLC as of March 31, 2017 . At the time of the reorganization and initial public offering of Evolent Inc., the Company carried over its basis in the investment, resulting in a significant difference between its basis and its proportionate share in the equity of Evolent Inc. As of March 31, 2017 , the basis difference totaled $43.2 million and will decrease over time through amortization and upon any sale or dilutive transactions. Evolent Inc. gained control of Evolent LLC in the transaction and applied purchase and push down accounting. The Company has excluded the effects of this accounting in its determination of the equity in Evolent LLC losses, thereby reducing its share of losses from Evolent LLC for the affected periods. Because of Evolent LLC's treatment as a partnership for federal income tax purposes, the losses of Evolent LLC pass through to the Company and the other members. The Company's proportionate share of the losses of Evolent LLC is recorded net of the estimated tax benefit the Company believes will be realized from the equity in loss of equity method investments on the consolidated statements of operations. Historically, the Company had provided a full valuation allowance against the deferred tax asset resulting from these benefits. During the three months ended March 31, 2016, tax benefit of $0.2 million was recorded for the tax effects of current year losses received from Evolent LLC. The provision for income taxes from gains (losses) from equity method investments for the three months ended March 31, 2017 was $13.6 million , representing an effective tax rate of 38.7% . Tax expense of $14.7 million was recorded for the tax effect of the current period gain on sale of shares in Evolent LLC offset by a $1.1 million tax benefit for the allocated share of losses from Evolent LLC and Evolent, Inc. The gains (losses) from equity method investments on the consolidated statement of operations for the combined Evolent entities consisted of the following (in thousands): Three Months Ended 2017 2016 Dilution gain $ — $ 2,026 Gain on partial sale of investment 38,117 — Allocated share of losses (2,898 ) (2,221 ) Tax (expense) benefit (13,642 ) 161 Gains (losses) from equity method investments $ 21,577 $ (34 ) In connection with Evolent Inc.'s initial public offering and the related reorganization, the Company and certain investors in Evolent LLC entered into a tax receivables agreement with Evolent Inc. Under the terms of that agreement, Evolent Inc. will make cash payments to the Company and certain investors in amounts equal to 85% of Evolent Inc.'s actual tax benefit realized from various tax attributes related to activity before the initial public offering. Interest will be included on the tax savings at the applicable London interbank offered rate plus 100 basis points. The tax receivables agreement will generally apply to Evolent Inc.'s taxable years up to and including the 15 th anniversary date of the transaction. As of March 31, 2017 , the Company had not received any payments pursuant to the tax receivables agreement. As the amount the Company will receive pursuant to the tax receivables agreement is unknown, the Company will recognize payments, if any, associated with this agreement when such payments are received. The following is a summary of the financial position of Evolent LLC as of the dates presented: As of March 31, 2017 December 31, 2016 Assets: Current assets $ 339,487 $ 154,555 Non-current assets 923,591 921,556 Total assets $ 1,263,078 $ 1,076,111 Liabilities and members’ equity: Current liabilities $ 225,815 $ 131,926 Non-current liabilities 134,797 24,654 Total liabilities 360,612 156,580 Members’ equity 902,466 919,531 Total liabilities and members’ equity $ 1,263,078 $ 1,076,111 The following is a summary of the operating results of Evolent LLC for the periods presented: Three Months Ended March 31, 2017 2016 Revenue $ 106,238 $ 49,449 Cost of revenue (exclusive of depreciation and amortization) 67,528 28,611 Gross profit $ 38,710 $ 20,838 Net loss $ (23,150 ) $ (174,799 ) The following is a summary of the consolidated financial position of Evolent Inc. as of the dates presented: As of March 31, 2017 December 31, 2016 Assets: Current assets $ 217,538 $ 264,966 Non-current assets 936,908 934,873 Total assets $ 1,154,446 $ 1,199,839 Liabilities and shareholders' equity: Current liabilities $ 104,439 $ 131,941 Non-current liabilities 153,267 155,784 Total liabilities 257,706 287,725 Total shareholders' equity attributable to Evolent Health, Inc. 750,471 702,526 Non-controlling interests 146,269 209,588 Total liabilities and shareholders’ equity $ 1,154,446 $ 1,199,839 The following is a summary of the consolidated operating results of Evolent Inc. for the periods presented: Three Months Ended March 31, 2017 2016 Revenue $ 106,238 $ 49,449 Cost of revenue (exclusive of depreciation and amortization) 67,528 28,611 Gross profit $ 38,710 $ 20,838 Loss before income taxes and non-controlling interests $ (22,744 ) $ (174,799 ) Net loss $ (23,149 ) $ (173,811 ) Loss attributable to Evolent Health, Inc. $ (18,012 ) $ (122,740 ) Evolent LLC is in the early stages of its business plan and, as a result, the Company expects both Evolent Inc. and Evolent LLC to continue to incur losses. The Company’s investments are evaluated for impairment whenever events or changes in circumstances indicate that there may be an other-than-temporary decline in value. As of March 31, 2017 , the Company believes that no impairment charge is necessary. For additional information on the fair value of the Company’s investment in the Evolent entities, see Note 3, “Fair value measurements.”

Debt

Debt	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Debt	Debt On February 6, 2015, the Company obtained $675 million of senior secured credit facilities (“credit facilities”) under a credit agreement with a syndicate of lenders. The credit facilities were amended on October 30, 2015. The amended credit facilities consist of (a) a five -year senior secured term loan facility in the principal amount of $475 million (“term facility”) and (b) a five -year senior secured revolving credit facility (“revolving credit facility”) under which up to $200 million principal amount of borrowings and other credit extensions may be outstanding at any time. Amounts drawn under the term facility and revolving credit facilities bear interest, payable quarterly, at an annual rate calculated, at the Company’s option, on the basis of either (a) an alternate base rate plus an initial margin of 1.25% or (b) the applicable London interbank offered rate plus an initial margin of 2.25% , subject in each case to margin reductions based on the Company’s total leverage ratio from time to time. As of March 31, 2017 , based on the Company's historical leverage ratio, the interest rate margin was 2.00% and the stated annual interest rate on outstanding borrowings was 2.99% . As of March 31, 2017 , there was $100.0 million outstanding under the revolving credit facility and $80.9 million available for future borrowings. As of March 31, 2017 , $19.1 million of standby letters of credit had been issued under the revolving credit facility. Long-term debt is summarized as follows (in thousands): As of March 31, 2017 2.99% term facility due fiscal 2020 ($417,500 face value less unamortized discount of $2,354) $ 415,146 Revolving credit facility 100,000 Less: Amounts due in next twelve months ($57,500 face value less unamortized discount of $946) (56,554 ) Total long-term debt $ 458,592 The credit agreement contains customary representations and warranties, events of default and financial and other covenants, including covenants that require the Company to maintain a maximum total leverage ratio and a minimum interest coverage ratio. The Company's compliance with the two financial covenants is measured as of the end of each fiscal quarter. The Company was in compliance with these financial covenants as of March 31, 2017 . Interest expense for the three months ended March 31, 2017 and 2016 was $4.5 million and $4.8 million , respectively, inclusive of $0.3 million and $0.3 million , respectively, of amortization of debt issuance costs, and $0.3 million and $0.6 million , respectively, of payments related to the interest rate swaps described below. Swap agreements Through its term facility, the Company is exposed to interest rate risk. In April 2015, to minimize the impact of changes in interest rates on its interest payments, the Company entered into three interest rate swap agreements with financial institutions to swap a portion of its variable-rate interest payments for fixed-rate interest payments. The interest rate swap derivative financial instruments are recorded on the consolidated balance sheets at fair value, which is based on observable market-based expectations of future interest rates. At hedge inception, the Company entered into interest rate swap arrangements with notional amounts totaling $287.5 million . The swap was structured to have a declining notional amount which matches the amortization schedule of the term facility. As of March 31, 2017 , the principal amount hedged was $258.8 million . The interest rate swap agreements mature in February 2020 and have periodic interest settlements, both consistent with the terms of the Company's term facility. Under this agreement, the Company is entitled to receive a floating rate based on the 1-month London interbank offered rate and obligated to pay an average fixed rate of 1.282% on the outstanding notional amount. The Company has designated the interest rate swap as a cash flow hedge of the variability of interest payments under its term facility due to changes in the LIBOR benchmark interest rate. The difference between cash paid and received is recorded within interest expense on the consolidated statements of operations. As of March 31, 2017 and 2016, the fair value of the interest rate swaps was an asset of $1.8 million and a liability of $3.6 million , respectively, and was recorded within Prepaid expenses and other current assets and other long-term liabilities, respectively, on the Company's consolidated balance sheets. For the three months ended March 31, 2017 and 2016 , the change in fair value of the swaps, net of tax, was an increase of $0.6 million and a decrease of $2.4 million , respectively, and was reported as a component of accumulated other comprehensive income. For the three months ended March 31, 2017 , hedge ineffectiveness recorded within the consolidated statements of operations was immaterial. There was no hedge ineffectiveness as of March 31, 2016. Changes in fair value are reclassified from accumulated other comprehensive income into earnings in the same period in which the hedged item affects earnings. If, at any time, the swap is determined to be ineffective, in whole or in part, due to changes in the interest rate swap or underlying debt agreements, the fair value of the portion of the swap determined to be ineffective will be recognized as a gain or loss on the consolidated statements of operations for the applicable period.

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Mar. 31, 2017
Equity [Abstract]
Stockholders' equity	Stockholders’ equity The Company is authorized to purchase up to $550 million of the Company's common stock in its cumulative share repurchase program. The Company did not repurchase any shares of its common stock in the three months ended March 31, 2017 . The Company repurchased 937,030 shares of its common stock at a total cost of approximately $27.4 million in the three months ended March 31, 2016 pursuant to this share repurchase program. The total amount of common stock purchased from inception under the program through March 31, 2017 was 19,778,800 shares at a total cost of $513.5 million . All such repurchases have been made in the open market, and all repurchased shares have been retired as of March 31, 2017 . No minimum number of shares subject to repurchase has been fixed, and the share repurchase authorization has no expiration date. As of March 31, 2017 , the remaining authorized repurchase amount was $36.5 million .

Stock-based Compensation

Stock-based Compensation	3 Months Ended
	Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-based compensation	Stock-based compensation Stock incentive plans The Company issues awards, including stock options and restricted stock units ("RSUs") under the Company's 2009 Stock Incentive Plan (the "2009 Plan"). The aggregate number of shares of the Company’s common stock available for issuance under the 2009 Plan may not e xceed 10,535,000 . As of March 31, 2017, there were 1,172,130 shares available for issuance under the 2009 Plan. Performance-based RSU grant. On March 28, 2017, the Compensation Committee of the Board of Directors approved a grant of 106,870 RSUs under the 2009 Plan to certain executive officers of the Company. These awards are subject to performance conditions. Awards will vest based on the achievement of adjusted earnings per share targets during the performance periods, with all awards vesting if the highest performance levels are achieved, which extend through December 31, 2019. The Company has concluded that it is probable that all awards will vest at the highest level of performance. The awards are reflected in the table below. Stock option activity. During the three months ended March 31, 2017 and 2016, participants exercised 168,078 and 233,030 options, respectively, for a total intrinsic value of $1.9 million and $3.4 million , respectively. Intrinsic value is calculated as the number of shares exercised times the Company’s stock price at exercise less the exercise price of the option. Royall inducement plan During the three months ended March 31, 2017, the first vesting tranche of the Royall Inducement awards vested in full. A total of 175,050 nonqualified stock options and 14,570 RSUs vested. The RSUs had an intrinsic value of $0.7 million . Intrinsic value is calculated as the number of shares vested times the Company’s closing stock price on the NASDAQ Global Select Market at the vesting date. Of the RSUs vested, 5,500 shares were withheld to satisfy minimum employee tax withholding. As of March 31, 2017 , the Company expects that 70% to 99% of the performance targets will be achieved based on performance of the Royall programs and services through December 31, 2017, which would result in an additional vesting of 10% of the performance-based stock options and 10% of the performance-based RSUs eligible to vest, subject to forfeitures. The Company believes it is no longer probable that the January 2019 and January 2020 vesting tranches, representing 20% of the awards, will vest. As a result, $0.9 million in compensation expense related to these tranches was reversed in the three months ended March 31, 2017 . The amount of stock-based compensation expense may increase or decrease over time based upon changes in expectations regarding whether the applicable performance conditions will be met. The actual amount of expense that the Company will recognize is based upon Royall's actual results. The option and RSU awards are reflected in the tables below. The following table summarizes the changes in common stock options outstanding under the Company’s stock incentive plans during the three months ended March 31, 2017 and 2016 : Number of performance-based options Weighted average exercise price Number of service-based options Weighted average exercise price Outstanding, as of December 31, 2015 2,013,325 $ 50.42 1,843,110 $ 41.73 Granted 319,900 28.20 978,668 28.20 Exercised — — (233,030 ) 15.21 Forfeited (80,370 ) 49.92 (22,195 ) 53.38 Outstanding, as of March 31, 2016 2,252,855 $ 47.28 2,566,553 $ 38.88 Number of Weighted Number of Weighted Outstanding, as of December 31, 2016 2,117,855 $ 47.11 2,525,178 $ 39.28 Granted — — 200,324 46.95 Exercised — — (168,078 ) 33.83 Forfeited (43,497 ) 51.18 (31,395 ) 40.80 Expired — — — — Outstanding, as of March 31, 2017 2,074,358 $ 47.02 2,526,029 $ 40.24 Exercisable, as of March 31, 2017 521,822 $ 35.83 1,089,022 $ 42.14 The fair value of the service-based options, valued using a Black-Scholes model, granted during the three months ended March 31, 2017 was estimated at $16.80 per share on the date of grant using the following weighted average assumptions: risk-free interest rate of 2.0% ; an expected term of approximately 5.0 years; expected volatility of 37.50% ; and dividend yield of 0.0% over the expected life of the option. During the three months ended March 31, 2017 , 319,900 options with market conditions vested. No options with performance and/or market conditions vested during the three months ended March 31, 2016 . The following table summarizes the changes in RSUs granted under the Company’s stock incentive plans during the three months ended March 31, 2017 and 2016 : Number of performance-based RSUs Weighted average grant date fair value Number of service-based RSUs Weighted average grant date fair value Non-vested, December 31, 2015 301,032 $ 39.10 839,613 $ 52.82 Granted 17,292 32.25 278,996 28.20 Forfeited (19,598 ) 51.11 (20,172 ) 53.89 Vested — — (34,771 ) 64.23 Non-vested, March 31, 2016 298,726 $ 37.91 1,063,666 $ 45.97 Number of Weighted average Number of Weighted average Non-vested, December 31, 2016 257,580 $ 35.34 968,084 $ 42.13 Granted 106,870 46.95 218,120 46.94 Forfeited (29,359 ) 51.54 (25,513 ) 50.64 Vested (14,570 ) 49.92 (31,400 ) 64.92 Non-vested, March 31, 2017 320,521 $ 37.06 1,129,291 $ 42.23 The Company recognized stock-based compensation expense in the following consolidated statements of operations line items for stock options and RSUs for the three months ended March 31, 2017 and 2016 (in thousands): Three Months Ended 2017 2016 Stock-based compensation expense included in: Costs and expenses: Cost of services $ 1,258 $ 2,187 Member relations and marketing 1,146 1,114 General and administrative 3,307 3,681 Total costs and expenses $ 5,711 $ 6,982 There are no stock-based compensation costs capitalized as part of the cost of an asset. As of March 31, 2017 , $56.0 million of total unrecognized compensation cost related to outstanding options and non-vested RSUs was expected to be recognized over a weighted average period of 2.8 years.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2017
Income Tax Disclosure [Abstract]
Income taxes	Income taxes The Company's effective tax rates were 27.4% and 35.3% for the three months ended March 31, 2017 and 2016 , respectively. The decrease in the current period tax rate was primarily due to the Company’s tax loss position combined with the new stock-based compensation guidance, see Note 2, "Recent accounting pronouncements", where differences between tax deductions generated and recognized compensation expense from stock option exercises and restricted stock vesting now flow through the Company's tax rate, and a change in the Company’s estimated Research and Development tax credit from $1.8 million to $3.5 million in the three months ended March 31, 2016 and 2017, respectively. The Company uses a more-likely-than-not recognition threshold based on the technical merits of the tax position taken for the financial statement recognition and measurement of a tax position. If a tax position does not meet the more-likely-than-not initial recognition threshold, no benefit is recorded in the financial statements. The Company does not expect that the total amounts of unrecognized tax benefits will significantly change within the next 12 months. The Company classifies interest and penalties on any unrecognized tax benefits as a component of the provision for income taxes. The Company recognized an immaterial amount of interest in the consolidated statements of operations in the three months ended March 31, 2017 and March 31, 2016 , respectively. The Company files income tax returns in U.S. federal and state and foreign jurisdictions. With limited exceptions, the Company is no longer subject to U.S. federal, state, and local tax examinations for filings in major tax jurisdictions before 2014.

Earnings Per Share

Earnings Per Share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Earnings per share	Earnings per share Basic earnings per share is computed by dividing net income by the number of weighted average common shares outstanding during the period. Diluted earnings per share is computed by dividing net income by the number of weighted average common shares and potentially dilutive common shares outstanding during the period. The number of potential common shares outstanding is determined in accordance with the treasury stock method. Certain potential common share equivalents were not included in the computation because their effect was anti-dilutive. A reconciliation of basic to diluted weighted average common shares outstanding is as follows (in thousands): Three Months Ended 2017 2016 Basic weighted average common shares outstanding 40,253 41,492 Effect of dilutive outstanding stock-based awards 788 381 Diluted weighted average common shares outstanding 41,041 41,873 In the three months ended March 31, 2017 and 2016 , 1.2 million and 2.4 million shares, respectively, related to share-based compensation awards have been excluded from the calculation of the effect of dilutive outstanding stock-based awards shown above because their effect was anti-dilutive. As of March 31, 2017 , the Company had 2.1 million nonqualified stock options and 0.3 million RSUs that contained either performance or market conditions, or both, and therefore are treated as contingently issuable awards. As of March 31, 2016 , the Company had 2.2 million nonqualified stock options and 0.3 million RSUs that contained either performance or market conditions and were treated as contingently issuable awards. These awards are excluded from diluted earnings per share until the reporting period in which the necessary conditions are achieved. To the extent all necessary conditions have not yet been satisfied, the number of contingently issuable shares included in diluted earnings per share will be based on the number of shares, if any, that would be issuable if the end of the reporting period were the end of the contingency period. A total of 129,655 and 19,971 incremental shares related to contingently issuable awards were included within the diluted earnings per share calculations for the three months ended March 31, 2017 and 2016 , respectively, as the related performance goals were met as of the balance sheet date.

Supplemental cash flow

Supplemental cash flow	3 Months Ended
	Mar. 31, 2017
Supplemental Cash Flow Elements [Abstract]
Supplemental cash flow	Supplemental cash flow A summary of supplemental cash flow information for the three months ended March 31, 2017 and 2016 is presented below (in thousands): Three Months Ended 2017 2016 Cash paid (received) for: Income taxes $ 6 $ (245 ) Interest $ 3,687 $ 3,754 Non-cash activities: Increase in estimated cost of construction of a building under a build-to-suit lease $ 23,460 $ 4,906

Related Parties

Related Parties	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related Parties	Related parties In June 2009, the Company invested in the convertible preferred stock of a private company that provides technology tools and support services to health care providers, including the Company’s members, and entered into a reseller licensing agreement with that company. As disclosed in Note 2, "Summary of significant accounting policies" of the Company's consolidated financial statements included in its 2016 Form 10-K filing, the relationship with the private company is considered to be a related party. The Company paid $ 1.5 million and $ 1.2 million to the private company under its reseller agreement which is included in cost of services on the consolidated statement of operations for the three months ended March 31, 2017 and 2016, respectively.

Costs of Exit or Disposal

Costs of Exit or Disposal	3 Months Ended
	Mar. 31, 2017
Restructuring and Related Activities [Abstract]
Costs of Exit or Disposal	Costs of Exit or Disposal During the three months ended March 31, 2017, the Company announced a restructuring plan. In connection with the restructuring plan, the Company is reducing its workforce as a part of a broader effort to more closely align operating expenses with its long-term strategic initiatives. Additionally, the Company is closing four offices and completing a gradual wind-down process, to be completed by the end of fiscal year 2017, for several products. As a result of the restructuring plan, the Company incurred one-time severance and other employee benefit costs of $4.8 million recognized in general and administrative in the accompanying statements of operations. The Company expects to recognize approximately $4.5 million of additional one-time severance and other employee benefit costs through the remainder of the year ended December 31, 2017. The Company did not incur any material lease exit costs during the three months ended March 31, 2017 and does not have any material accruals recorded on the consolidated balance sheet as of March 31, 2017 related to the restructuring plan. The Company expects to recognize up to $11.0 million of one-time lease exit costs during the remainder of the year ended December 31, 2017. No exit or disposal costs were incurred in the three months ended March 31, 2016.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2017
Subsequent Events [Abstract]
Subsequent events	Subsequent events On May 1, 2017, the Company sold a portion of its interest in Evolent LLC. This transaction reduced the Company's ownership in Evolent LLC from 4.5% to 4.1% . Total cash received from the transaction was $6.2 million . The Company expects to recognize a gain on this sale and is currently evaluating the impact the sale will have on the recorded value of its investment.

Recent Accounting Pronounceme23

Recent Accounting Pronouncements (Policies)	3 Months Ended
	Mar. 31, 2017
Accounting Changes and Error Corrections [Abstract]
Recent Accounting Pronouncements	Recent accounting pronouncements Recently adopted In March 2016, the Financial Accounting Standards Board ("FASB") issued accounting guidance relating to stock-based compensation. The guidance simplifies various aspects of the accounting for share-based payments. The amendments impact net income, earnings per share, and the statement of cash flows. The guidance is effective for annual reporting and interim periods beginning after December 15, 2016, with early adoption permitted. The Company adopted this standard as of January 1, 2017 using a modified retrospective approach, which requires the cumulative effect of initially applying the standard to be recorded as an adjustment to the opening balance of retained earnings of the annual reporting period that includes the date of initial application. In connection with the adoption of this guidance, the Company elected to no longer calculate an estimate of expected forfeitures and began recognizing forfeitures as they occurred, which resulted in a cumulative-effect net decrease of $0.7 million to retained earnings with the offset of $1.2 million to additional paid-in capital and an increase of $0.5 million in deferred tax assets. Upon adoption, all excess tax benefits and tax deficiencies are recognized as income tax expense or benefit in the consolidated statements of operations. In addition, excess tax benefits will no longer be presented within cash flows from financing activities but instead will be presented in cash flows from operating activities in the consolidated statements of cash flows. Prior to adoption, the excess tax benefits and tax deficiencies were recorded to additional paid-in capital and excess tax benefits were not recorded until they were able to be utilized. Recently issued In May 2014, the FASB issued accounting guidance related to revenue recognition. The new standard supersedes most of the existing revenue recognition guidance under GAAP, and requires revenue to be recognized when goods or services are transferred to a customer in an amount that reflects the consideration a company expects to receive. The new standard may require more judgment and estimates relating to the recognition of revenue, which could result in additional disclosures to the financial statements. The new standard will be effective for annual and interim reporting periods beginning after December 15, 2017, with an option that permits companies to adopt the standard as early as the original effective date of December 31, 2016. Early application prior to the original effective date is not permitted. The Company will adopt the standard on January 1, 2018 using the modified retrospective approach. While the potential impacts of the new standard are still being assessed, the Company currently believes the new standard will impact the Company's accounting for deferred costs and arrangements that include variable consideration. The Company is currently evaluating the effect that the standard will have on its remaining revenue. The Company continues to update its assessment of the impact of the standard and related updates to the consolidated financial statements, and will note material impacts when known. In January 2016, the FASB issued accounting guidance related to the recognition and measurement of financial assets and liabilities. The guidance requires, among other things, that entities measure equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) at fair value, with changes in fair value recognized in net income. Under the new guidance, entities will no longer be able to recognize unrealized holding gains and losses on available-for-sale equity securities in other comprehensive income, and will no longer be able to use the cost method of accounting for equity securities that do not have readily determinable fair values. The guidance for classifying and measuring investments in debt securities and loans is not affected. The guidance eliminates certain disclosure requirements related to financial instruments measured at amortized cost and adds disclosures related to the measurement categories of financial assets and financial liabilities. The guidance is effective for annual periods beginning after December 15, 2017. Early adoption is permitted only for certain portions of the guidance. The adoption of this guidance by the Company is not expected to have a material impact on its consolidated financial statements. In February 2016, the FASB issued accounting guidance relating to leases. The guidance requires that lessees recognize assets and liabilities on the balance sheet for the rights and obligations created by all leases with terms of more than twelve months. The new guidance also requires disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative information. The guidance is effective for annual reporting and interim periods beginning after December 15, 2018, with early adoption permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements. In August 2016, the FASB issued accounting guidance relating to the statement of cash flows. The guidance clarifies how certain cash receipts and cash payments are presented in the statement of cash flows. The guidance is effective for annual reporting and interim periods beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements. In January 2017, the FASB issued accounting guidance which clarifies the definition of a business in order to assist entities in evaluating whether transactions should be accounted for as acquisitions (or dispositions) of assets or businesses. The guidance is effective for annual reporting and interim periods beginning after December 15, 2017. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements. In January 2017, the FASB issued accounting guidance simplifying the test of goodwill impairment. The guidance eliminates Step 2 of the goodwill impairment test, which calculates the implied fair value of goodwill to measure a goodwill impairment charge. Instead, entities will be required to record an impairment charge based on the excess of a reporting unit’s carrying amount over its fair value (i.e., Step 1). The guidance is effective for annual and interim reporting periods beginning after December 15, 2019, with early adoption permitted. The adoption of this guidance by the Company is not expected to have a material impact on its consolidated financial statements. In February 2017, the FASB issued accounting guidance related to gains and losses from the derecognition of nonfinancial assets which clarifies the scope of asset derecognition guidance and accounting for partial sales of nonfinancial assets. The guidance is effective for annual and interim reporting periods beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurements of Financial Assets and Liabilities on Recurring Basis	The Company’s financial assets and liabilities subject to fair value measurements on a recurring basis and the related classifications are as follows (in thousands): Fair value as of March 31, Fair value measurement as of March 31, 2017 2017 Level 1 Level 2 Level 3 Financial assets Cash and cash equivalents (1) $ 150,080 $ 150,080 $ — $ — Interest rate swaps (2) 1,845 — 1,845 — Financial liabilities Contingent earn-out liabilities (3) 1,185 — — 1,185 Fair value as of December 31, Fair value measurement as of December 31, 2016 using fair value hierarchy 2016 Level 1 Level 2 Level 3 Financial assets Cash and cash equivalents (1) $ 91,151 $ 91,151 $ — $ — Interest rate swaps (2) 1,044 — 1,044 — Financial liabilities Contingent earn-out liabilities (3) 1,164 — — 1,164 ————————————— (1) Fair value is based on quoted market prices. (2) Fair value is determined using market standard models with observable inputs. (3) This fair value measurement is based on unobservable inputs that are supported by little or no market activity and reflect the Company’s own assumptions in measuring fair value using the income approach. In developing these estimates, the Company considered certain performance projections, historical results, and general macroeconomic environment and industry trends.
Reconciliation of Change in Contingent Earn-out Liabilities	The following table represents a reconciliation of the change in the contingent earn-out liabilities for the three months ended March 31, 2017 and 2016 (in thousands): Three Months Ended 2017 2016 Beginning balance $ 1,164 $ 7,250 Addition due to acquisition — 357 Fair value change in Clinovations contingent earn-out liability (1) 239 (1,070 ) Fair value change in other contingent earn-out liabilities (1) 164 — Southwind earn-out payments — (1,032 ) Other earn-out payments (382 ) — GradesFirst earn-out payments — (4,000 ) Ending balance $ 1,185 $ 1,505 ————————————— (1) Amounts were recognized in cost of services on the consolidated statements of operations.

Property and Equipment (Tables)

Property and Equipment (Tables)	3 Months Ended
	Mar. 31, 2017
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment consists of the following (in thousands): As of March 31, 2017 December 31, 2016 Leasehold improvements $ 69,777 $ 69,465 Furniture, fixtures, and equipment 70,963 70,362 Software 237,305 231,952 Property and equipment, gross 378,045 371,779 Accumulated depreciation and amortization (215,377 ) (200,498 ) Property and equipment, net $ 162,668 $ 171,281

Goodwill and Intangibles (Table

Goodwill and Intangibles (Tables)	3 Months Ended
	Mar. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	The following illustrates the change in the goodwill balance for the three months ended March 31, 2017 (in thousands): Balance as of December 31, 2016 $ 739,507 Acquisitions — Adjustment related to Royall acquisition (1) (2,484 ) Balance as of March 31, 2017 $ 737,023 ————————————— (1) Represents an immaterial adjustment to the blended state tax rate used in the purchase price allocation resulting in a reduction to deferred tax liabilities and a reduction of goodwill.
Gross and Net Carrying Balances and Accumulated Amortization of Intangibles	The gross and net carrying balances and accumulated amortization of intangibles are as follows (in thousands): As of March 31, 2017 As of December 31, 2016 Weighted average useful life Gross carrying amount Accumulated amortization Net carrying amount Gross carrying amount Accumulated amortization Net carrying amount Intangibles Internally developed software for sale: Capitalized software 5.0 $ 20,766 $ (10,868 ) $ 9,898 $ 20,034 $ (9,998 ) $ 10,036 Acquired intangibles: Developed software 5.2 9,450 (8,700 ) 750 9,450 (8,575 ) 875 Customer relationships 16.2 277,710 (47,332 ) 230,378 277,710 (42,978 ) 234,732 Trademarks 8.6 14,900 (6,215 ) 8,685 14,900 (5,923 ) 8,977 Non-compete agreements 3.8 1,400 (1,400 ) — 1,400 (1,400 ) — Customer contracts 4.7 6,449 (6,124 ) 325 6,449 (6,016 ) 433 Total intangibles $ 330,675 $ (80,639 ) $ 250,036 $ 329,943 $ (74,890 ) $ 255,053

Equity Method Investments (Tabl

Equity Method Investments (Tables)	3 Months Ended
	Mar. 31, 2017
Schedule of Investments [Line Items]
Equity Method Investments	The gains (losses) from equity method investments on the consolidated statement of operations for the combined Evolent entities consisted of the following (in thousands): Three Months Ended 2017 2016 Dilution gain $ — $ 2,026 Gain on partial sale of investment 38,117 — Allocated share of losses (2,898 ) (2,221 ) Tax (expense) benefit (13,642 ) 161 Gains (losses) from equity method investments $ 21,577 $ (34 )
Evolent LLC
Schedule of Investments [Line Items]
Schedule Of Equity Method Investments Financial Information Of Balance Sheet Table	The following is a summary of the financial position of Evolent LLC as of the dates presented: As of March 31, 2017 December 31, 2016 Assets: Current assets $ 339,487 $ 154,555 Non-current assets 923,591 921,556 Total assets $ 1,263,078 $ 1,076,111 Liabilities and members’ equity: Current liabilities $ 225,815 $ 131,926 Non-current liabilities 134,797 24,654 Total liabilities 360,612 156,580 Members’ equity 902,466 919,531 Total liabilities and members’ equity $ 1,263,078 $ 1,076,111
Equity Method Investments Operating Results Table	The following is a summary of the operating results of Evolent LLC for the periods presented: Three Months Ended March 31, 2017 2016 Revenue $ 106,238 $ 49,449 Cost of revenue (exclusive of depreciation and amortization) 67,528 28,611 Gross profit $ 38,710 $ 20,838 Net loss $ (23,150 ) $ (174,799 )
Evolent Health Inc
Schedule of Investments [Line Items]
Schedule Of Equity Method Investments Financial Information Of Balance Sheet Table	The following is a summary of the consolidated financial position of Evolent Inc. as of the dates presented: As of March 31, 2017 December 31, 2016 Assets: Current assets $ 217,538 $ 264,966 Non-current assets 936,908 934,873 Total assets $ 1,154,446 $ 1,199,839 Liabilities and shareholders' equity: Current liabilities $ 104,439 $ 131,941 Non-current liabilities 153,267 155,784 Total liabilities 257,706 287,725 Total shareholders' equity attributable to Evolent Health, Inc. 750,471 702,526 Non-controlling interests 146,269 209,588 Total liabilities and shareholders’ equity $ 1,154,446 $ 1,199,839
Equity Method Investments Operating Results Table	The following is a summary of the consolidated operating results of Evolent Inc. for the periods presented: Three Months Ended March 31, 2017 2016 Revenue $ 106,238 $ 49,449 Cost of revenue (exclusive of depreciation and amortization) 67,528 28,611 Gross profit $ 38,710 $ 20,838 Loss before income taxes and non-controlling interests $ (22,744 ) $ (174,799 ) Net loss $ (23,149 ) $ (173,811 ) Loss attributable to Evolent Health, Inc. $ (18,012 ) $ (122,740 )

Debt (Tables)

Debt (Tables)	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	Long-term debt is summarized as follows (in thousands): As of March 31, 2017 2.99% term facility due fiscal 2020 ($417,500 face value less unamortized discount of $2,354) $ 415,146 Revolving credit facility 100,000 Less: Amounts due in next twelve months ($57,500 face value less unamortized discount of $946) (56,554 ) Total long-term debt $ 458,592

Stock-based Compensation (Table

Stock-based Compensation (Tables)	3 Months Ended
	Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Changes in Common Stock Options	The following table summarizes the changes in common stock options outstanding under the Company’s stock incentive plans during the three months ended March 31, 2017 and 2016 : Number of performance-based options Weighted average exercise price Number of service-based options Weighted average exercise price Outstanding, as of December 31, 2015 2,013,325 $ 50.42 1,843,110 $ 41.73 Granted 319,900 28.20 978,668 28.20 Exercised — — (233,030 ) 15.21 Forfeited (80,370 ) 49.92 (22,195 ) 53.38 Outstanding, as of March 31, 2016 2,252,855 $ 47.28 2,566,553 $ 38.88 Number of Weighted Number of Weighted Outstanding, as of December 31, 2016 2,117,855 $ 47.11 2,525,178 $ 39.28 Granted — — 200,324 46.95 Exercised — — (168,078 ) 33.83 Forfeited (43,497 ) 51.18 (31,395 ) 40.80 Expired — — — — Outstanding, as of March 31, 2017 2,074,358 $ 47.02 2,526,029 $ 40.24 Exercisable, as of March 31, 2017 521,822 $ 35.83 1,089,022 $ 42.14
Summary of Changes in RSUs	The following table summarizes the changes in RSUs granted under the Company’s stock incentive plans during the three months ended March 31, 2017 and 2016 : Number of performance-based RSUs Weighted average grant date fair value Number of service-based RSUs Weighted average grant date fair value Non-vested, December 31, 2015 301,032 $ 39.10 839,613 $ 52.82 Granted 17,292 32.25 278,996 28.20 Forfeited (19,598 ) 51.11 (20,172 ) 53.89 Vested — — (34,771 ) 64.23 Non-vested, March 31, 2016 298,726 $ 37.91 1,063,666 $ 45.97 Number of Weighted average Number of Weighted average Non-vested, December 31, 2016 257,580 $ 35.34 968,084 $ 42.13 Granted 106,870 46.95 218,120 46.94 Forfeited (29,359 ) 51.54 (25,513 ) 50.64 Vested (14,570 ) 49.92 (31,400 ) 64.92 Non-vested, March 31, 2017 320,521 $ 37.06 1,129,291 $ 42.23
Summary of Stock-based Compensation Expense	The Company recognized stock-based compensation expense in the following consolidated statements of operations line items for stock options and RSUs for the three months ended March 31, 2017 and 2016 (in thousands): Three Months Ended 2017 2016 Stock-based compensation expense included in: Costs and expenses: Cost of services $ 1,258 $ 2,187 Member relations and marketing 1,146 1,114 General and administrative 3,307 3,681 Total costs and expenses $ 5,711 $ 6,982

Earnings Per Share (Tables)

Earnings Per Share (Tables)	3 Months Ended
	Mar. 31, 2017
Earnings Per Share [Abstract]
Reconciliation of Basic to Diluted Weighted Average Common Shares Outstanding	A reconciliation of basic to diluted weighted average common shares outstanding is as follows (in thousands): Three Months Ended 2017 2016 Basic weighted average common shares outstanding 40,253 41,492 Effect of dilutive outstanding stock-based awards 788 381 Diluted weighted average common shares outstanding 41,041 41,873

Supplemental cash flow (Tables)

Supplemental cash flow (Tables)	3 Months Ended
	Mar. 31, 2017
Supplemental Cash Flow Elements [Abstract]
Schedule of Cash Flow, Supplemental Disclosures	A summary of supplemental cash flow information for the three months ended March 31, 2017 and 2016 is presented below (in thousands): Three Months Ended 2017 2016 Cash paid (received) for: Income taxes $ 6 $ (245 ) Interest $ 3,687 $ 3,754 Non-cash activities: Increase in estimated cost of construction of a building under a build-to-suit lease $ 23,460 $ 4,906

Recent Accounting Pronounceme32

Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Retained earnings	$ (247,310)	$ (266,218)
Additional paid-in capital	794,293	$ 782,399
Accounting Standards Update 2016-09 [Member]
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Deferred income tax assets	500
Accounting Standards Update 2016-09 [Member] | Adjustments
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Retained earnings	700
Additional paid-in capital	$ 1,200

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Detail) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016	Dec. 31, 2014	Nov. 30, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Significant transfers between Level 1, Level 2,or Level 3	$ 0	$ 0
Fair value adjustments	0	0
Southwind
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Final earn-out payment		$ 1,000,000
Clinovations LLC
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of estimated additional contingent payments	$ 900,000				$ 4,500,000
Equity interest issued (shares)	62,269
Maximum payment to acquire business					9,500,000
Minimum payment to acquire business					$ 0
GradesFirst
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of estimated additional contingent payments				$ 3,600,000
Maximum payment to acquire business			$ 4,000,000
Reported Value Measurement
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Variable rate debt instruments	$ 520,700,000
Evolent LLC
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Equity method investments, fair vale	$ 161,000,000

Fair Value Measurements - Fair

Fair Value Measurements - Fair Value Measurements of Financial Assets and Liabilities on Recurring Basis (Detail) - Recurring - USD ($) $ in Thousands		Mar. 31, 2017	Dec. 31, 2016
Financial assets
Cash and cash equivalents	[1]	$ 150,080	$ 91,151
Financial liabilities
Contingent earn-out liabilities	[2]	1,185	1,164
Level 1
Financial assets
Cash and cash equivalents		150,080	91,151
Financial liabilities
Contingent earn-out liabilities	[2]	0	0
Level 2
Financial assets
Cash and cash equivalents	[1]	0	0
Financial liabilities
Contingent earn-out liabilities	[2]	0	0
Level 3
Financial assets
Cash and cash equivalents	[1]	0	0
Financial liabilities
Contingent earn-out liabilities	[2]	1,185	1,164
Interest Rate Swap
Financial assets
Interest rate swaps	[3]	1,845	1,044
Interest Rate Swap | Level 1
Financial assets
Interest rate swaps	[3]	0	0
Interest Rate Swap | Level 2
Financial assets
Interest rate swaps	[3]	1,845	1,044
Interest Rate Swap | Level 3
Financial assets
Interest rate swaps	[3]	$ 0	$ 0
[1]	Fair value is based on quoted market prices.
[2]	This fair value measurement is based on unobservable inputs that are supported by little or no market activity and reflect the Company’s own assumptions in measuring fair value using the income approach. In developing these estimates, the Company considered certain performance projections, historical results, and general macroeconomic environment and industry trends.
[3]	Fair value is determined using market standard models with observable inputs.

Fair Value Measurements - Recon

Fair Value Measurements - Reconciliation of Change in Contingent Earn-out Liabilities (Detail) - Contingent Earn-Out Liabilities - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2017	Mar. 31, 2016
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance		$ 1,164	$ 7,250
Addition due to acquisition		0	357
Earn-out payments		(382)	0
Ending balance		1,185	1,505
Clinovations LLC
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Adjustment made to the fair value of contingent liability	[1]	239	(1,070)
GradesFirst
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Earn-out payments		0	(4,000)
Southwind
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Earn-out payments		0	(1,032)
Other Contingent Earn-Out Liabilities
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Adjustment made to the fair value of contingent liability	[1]	$ 164	$ 0
[1]	Amounts were recognized in cost of services on the consolidated statements of operations.

Property and Equipment - Additi

Property and Equipment - Additional Information (Detail) - USD ($)	1 Months Ended	3 Months Ended
	Dec. 31, 2015	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Depreciation and amortization		$ 22,334,000	$ 19,767,000
Capitalized leases included in property and equipment		0		$ 0
Property and equipment, net		162,668,000		171,281,000
Construction in progress, subject to a build-to-suit lease		86,828,000		63,368,000
Financing obligation		86,828,000		63,368,000
Build-to-Suit Lease Obligation
Property, Plant and Equipment [Line Items]
Operating leases, term of contract (in years)	16 years
Rent expense	$ 446,100,000
Construction in progress, subject to a build-to-suit lease		86,800,000
Financing obligation		$ 86,800,000
Software Development
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment (years)		5 years
Acquired Developed Technology
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment (years)		8 years
Depreciation and amortization		$ 2,100,000	2,300,000
Furniture, Fixtures and Equipment | Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment (years)		3 years
Furniture, Fixtures and Equipment | Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment (years)		7 years
Plant, Property and Equipment
Property, Plant and Equipment [Line Items]
Depreciation and amortization		$ 5,900,000	5,400,000
Developed software
Property, Plant and Equipment [Line Items]
Estimated useful lives of property and equipment (years)		5 years
Depreciation and amortization		$ 8,500,000	$ 6,400,000
Property and equipment, net		$ 73,600,000		$ 75,200,000

Property and Equipment - Schedu

Property and Equipment - Schedule of Property and Equipment (Detail) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Abstract]
Leasehold improvements	$ 69,777	$ 69,465
Furniture, fixtures, and equipment	70,963	70,362
Software	237,305	231,952
Property and equipment, gross	378,045	371,779
Accumulated depreciation and amortization	(215,377)	(200,498)
Property and equipment, net	$ 162,668	$ 171,281

Goodwill and Intangibles - Addi

Goodwill and Intangibles - Additional Information (Detail) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Goodwill And Intangible Assets [Line Items]
Impairment of goodwill	$ 0	$ 0
Estimated useful lives of intangible assets	3 years 5 months
Estimated average useful lives (years)	13 years 1 month
Depreciation and amortization	$ 22,334,000	19,767,000
Future amortization expense remainder of fiscal year ending 2017	16,900,000
Future amortization expense to be recorded in 2018	21,700,000
Future amortization expense to be recorded in 2019	20,100,000
Future amortization expense to be recorded in 2020	18,800,000
Future amortization expense to be recorded in 2021	17,800,000
Future amortization expense to be recorded thereafter	154,700,000
Intangible Assets
Goodwill And Intangible Assets [Line Items]
Depreciation and amortization	$ 5,800,000	$ 5,700,000
Minimum
Goodwill And Intangible Assets [Line Items]
Estimated useful lives of intangible assets	2 years
Maximum
Goodwill And Intangible Assets [Line Items]
Estimated useful lives of intangible assets	17 years

Goodwill and Intangibles - Chan

Goodwill and Intangibles - Changes in Carrying Amount of Goodwill (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)
Goodwill [Roll Forward]
Balance as of December 31, 2016	$ 739,507
Acquisitions	0
Adjustment related to Royall acquisition	(2,484)	[1]
Balance as of March 31, 2017	$ 737,023
[1]	Represents an immaterial adjustment to the blended state tax rate used in the purchase price allocation resulting in a reduction to deferred tax liabilities and a reduction of goodwill.

Goodwill and Intangibles - Gros

Goodwill and Intangibles - Gross and Net Carrying Balances and Accumulated Amortization of Intangibles (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Dec. 31, 2016
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	3 years 5 months
Gross carrying amount	$ 330,675	$ 329,943
Accumulated amortization	(80,639)	(74,890)
Net carrying amount	$ 250,036	255,053
Internally developed software for sale:
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	5 years
Gross carrying amount	$ 20,766	20,034
Accumulated amortization	(10,868)	(9,998)
Net carrying amount	$ 9,898	10,036
Developed software
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	5 years 2 months
Gross carrying amount	$ 9,450	9,450
Accumulated amortization	(8,700)	(8,575)
Net carrying amount	$ 750	875
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	16 years 2 months
Gross carrying amount	$ 277,710	277,710
Accumulated amortization	(47,332)	(42,978)
Net carrying amount	$ 230,378	234,732
Trademarks
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	8 years 7 months
Gross carrying amount	$ 14,900	14,900
Accumulated amortization	(6,215)	(5,923)
Net carrying amount	$ 8,685	8,977
Non-compete agreements
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	3 years 9 months
Gross carrying amount	$ 1,400	1,400
Accumulated amortization	(1,400)	(1,400)
Net carrying amount	$ 0	0
Customer contracts
Finite-Lived Intangible Assets [Line Items]
Weighted average useful life (years)	4 years 8 months
Gross carrying amount	$ 6,449	6,449
Accumulated amortization	(6,124)	(6,016)
Net carrying amount	$ 325	$ 433

Equity Method Investments - Add

Equity Method Investments - Additional Information (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2017USD ($)people	Mar. 31, 2016USD ($)	Dec. 31, 2016USD ($)
Schedule of Equity Method Investments [Line Items]
Gain (loss) from equity method investments	$ (1,815)	$ (34)
Equity method investments	13,711		$ 19,858
Cash received from partial sale of equity method investment	41,366	0
Gain on partial sale of investment	23,392	0
Tax expense (benefit)	$ (724)	5,663
Tax receivable percentage	85.00%
Evolent LLC
Schedule of Equity Method Investments [Line Items]
Equity interest (percent)	83.90%
Evolent LLC
Schedule of Equity Method Investments [Line Items]
Equity interest (percent)	4.50%
Gain (loss) from equity method investments	$ (1,600)	(500)
Dilution Gain From Equity Method Investments		900
Loss from equity method investments		1,400
Equity method investments	4,700		9,600
Cash received from partial sale of equity method investment	41,400
Gain on partial sale of investment	$ 23,400
Tax expense (benefit)		(200)
Evolent Health Inc
Schedule of Equity Method Investments [Line Items]
Equity interest (percent)	7.20%
Number of people designated to board of directors by company | people	2
Gain (loss) from equity method investments	$ (1,300)	300
Dilution Gain From Equity Method Investments		1,100
Loss from equity method investments		800
Equity method investments	9,000		$ 10,300
Equity method investment, discrepancy between company basis and carrying value	43,200
Gain (loss) on sale, tax portion	14,700
Evolent Inc and Evolent LLC
Schedule of Equity Method Investments [Line Items]
Gain (loss) from equity method investments	21,577	(34)
Gain on partial sale of investment	38,117	0
Tax (expense) benefit	$ (13,642)	$ 161
Tax expense (benefit), percentage	38.70%
Gain (loss) on sale, tax portion	$ 1,100
LIBOR
Schedule of Equity Method Investments [Line Items]
Interest on tax savings, percentage	1.00%

Equity Method Investments - Equ

Equity Method Investments - Equity in income (loss) of unconsolidated entities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Schedule of Equity Method Investments [Line Items]
Gain on partial sale of investment	$ 23,392	$ 0
Gains (losses) from equity method investments	(1,815)	(34)
Evolent Inc and Evolent LLC
Schedule of Equity Method Investments [Line Items]
Dilution gain	0	2,026
Gain on partial sale of investment	38,117	0
Allocated share of losses	(2,898)	(2,221)
Tax (expense) benefit	(13,642)	161
Gains (losses) from equity method investments	$ 21,577	$ (34)

Equity Method Investments - Sum

Equity Method Investments - Summary of Financial Position of Evolent (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Dec. 31, 2016
Evolent Health Inc
Schedule of Investments [Line Items]
Current assets	$ 217,538	$ 264,966
Non-current assets	936,908	934,873
Total assets	1,154,446	1,199,839
Current liabilities	104,439	131,941
Non-current liabilities	153,267	155,784
Total liabilities	257,706	287,725
Total shareholders' equity attributable to Evolent Health, Inc.	750,471	702,526
Non-controlling interests	146,269	209,588
Total liabilities and shareholders’ equity	1,154,446	1,199,839
Evolent LLC
Schedule of Investments [Line Items]
Current assets	339,487	154,555
Non-current assets	923,591	921,556
Total assets	1,263,078	1,076,111
Current liabilities	225,815	131,926
Non-current liabilities	134,797	24,654
Total liabilities	360,612	156,580
Members’ equity	902,466	919,531
Total liabilities and shareholders’ equity	$ 1,263,078	$ 1,076,111

Equity Method Investments - S44

Equity Method Investments - Summary of Operating Results of Evolent (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Evolent Health Inc
Schedule of Investments [Line Items]
Revenue	$ 106,238	$ 49,449
Cost of revenue (exclusive of depreciation and amortization)	67,528	28,611
Gross profit	38,710	20,838
Loss before income taxes and non-controlling interests	(22,744)	(174,799)
Net loss	(23,149)	(173,811)
Loss attributable to Evolent Health, Inc.	(18,012)	(122,740)
Evolent LLC
Schedule of Investments [Line Items]
Revenue	106,238	49,449
Cost of revenue (exclusive of depreciation and amortization)	67,528	28,611
Gross profit	38,710	20,838
Loss attributable to Evolent Health, Inc.	$ (23,150)	$ (174,799)

Debt - Additional Information (

Debt - Additional Information (Detail)	Oct. 30, 2015USD ($)	Feb. 06, 2015USD ($)	Mar. 31, 2017USD ($)covenant	Mar. 31, 2016USD ($)	Apr. 30, 2015USD ($)swap_agreement
Line of Credit Facility [Line Items]
Debt instrument, number of financial covenants | covenant			2
Interest expense			$ 4,500,000	$ 4,821,000
Amortization of debt issuance costs			341,000	340,000
Senior Secured Credit Facilities | Secured Debt
Line of Credit Facility [Line Items]
Debt instrument, face amount		$ 675,000,000	$ 417,500,000
Debt instrument term (years)	5 years
Amount of revolving credit facility	$ 475,000,000
Stated interest rate percentage			2.99%
Senior Secured Credit Facilities | Revolving Credit Facility
Line of Credit Facility [Line Items]
Debt instrument term (years)	5 years
Amount of revolving credit facility	$ 200,000,000
Senior Secured Credit Facilities | Standby Letters of Credit
Line of Credit Facility [Line Items]
Stated interest rate percentage			2.99%
Base Rate | Senior Secured Credit Facilities | Secured Debt
Line of Credit Facility [Line Items]
Basis spread on variable rate		1.25%
LIBOR | Senior Secured Credit Facilities | Secured Debt
Line of Credit Facility [Line Items]
Basis spread on variable rate		2.25%	2.00%
Interest Rate Swap
Line of Credit Facility [Line Items]
Interest expense, interest rate swaps			$ 300,000	600,000
Number of interest rate swap agreements entered into to swap portion of variable rate interest payments for fixed rate interest payments | swap_agreement					3
Derivative notional amount			258,800,000		$ 287,500,000
Effective portion of gain (loss), net of tax			$ 600,000	(2,400,000)
Hedge ineffectiveness				0
Interest Rate Swap | Base Rate
Line of Credit Facility [Line Items]
Average base rate paid by the Company (percent)			1.282%
Other Noncurrent Assets | Interest Rate Swap
Line of Credit Facility [Line Items]
Interest rate derivative assets at fair value			$ 1,800,000
Other Noncurrent Liabilities | Interest Rate Swap
Line of Credit Facility [Line Items]
Interest rate derivative assets at fair value				$ 3,600,000
Line of Credit | Senior Secured Credit Facilities | Revolving Credit Facility
Line of Credit Facility [Line Items]
Amount of revolving credit facility			19,100,000
Amounts outstanding on the revolving credit facility			100,000,000
Amounts available for borrowing			$ 80,900,000

Debt - Schedule of Long-term De

Debt - Schedule of Long-term Debt (Details) - USD ($)	Mar. 31, 2017	Dec. 31, 2016	Feb. 06, 2015
Debt Instrument [Line Items]
Less: Amounts due in next twelve months ($57,500 face value less unamortized discount of $946)	$ (56,554,000)	$ (49,347,000)
Total long-term debt	458,592,000	$ 472,739,000
Secured Debt
Debt Instrument [Line Items]
Long-term debt	415,146,000
Less: Amounts due in next twelve months ($57,500 face value less unamortized discount of $946)	(56,554,000)
Total long-term debt	458,592,000
Long-term debt, maturities, repayments of principal in next 12 months	57,500,000
Original issue discount, expected to be amortized in next 12 months	$ 946,000
Secured Debt | Senior Secured Credit Facilities
Debt Instrument [Line Items]
Stated interest rate percentage	2.99%
Debt instrument, face amount	$ 417,500,000		$ 675,000,000
Original issue discount	2,345,000
Revolving Credit Facility
Debt Instrument [Line Items]
Long-term debt	$ 100,000,000

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Detail) - USD ($)	3 Months Ended		17 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Mar. 31, 2017	Nov. 30, 2015
Equity [Abstract]
Total amount authorized under repurchase program				$ 550,000,000
Number of shares repurchased under stock repurchase program (in shares)		937,030	19,778,800
Purchases of treasury stock		$ 27,400,000	$ 513,500,000
Number of shares subject to repurchase (in shares)	0
Remaining authorized repurchase amount	$ 36,500,000		$ 36,500,000

Stock-based Compensation - Addi

Stock-based Compensation - Additional Information (Detail) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Mar. 28, 2017	Dec. 31, 2016	Dec. 31, 2015	Jun. 09, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Options, Exercised (in shares)	(168,078)	(233,030)
Exercises in period, intrinsic value	$ 1,900,000	$ 3,400,000
Stock options, vested (shares)	319,900	0
Stock-based compensation costs capitalized as part of the cost of an asset	$ 0
Compensation cost related to stock-based compensation	$ 56,000,000
Weighted average period of stock-based compensation	2 years 9 months 3 days
Service-Based Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of RSUs, vested (in shares)	31,400	34,771
Weighted average grant date fair value (dollars per share)	$ 42.23	$ 45.97		$ 42.13	$ 52.82
Weighted average fair value of options granted (in dollars per share)	$ 16.80
Stock option awards, risk-free interest rate (percent)	2.00%
Stock option awards, expected term (years)	5 years
Stock option awards, expected volatility (percent)	37.50%
Stock option awards, dividend yield (percent)	0.00%
Performance-Based Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Options, Exercised (in shares)	0	0
Number of RSUs, vested (in shares)	14,570	0
Weighted average grant date fair value (dollars per share)	$ 37.06	$ 37.91		$ 35.34	$ 39.10
Royall Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock options, vested (shares)	175,050
Aggregate intrinsic value, vested	$ 700,000
Total costs and expenses	$ (900,000)
Royall Inducement Plan | Service-Based Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting rights (percentage)	10.00%
Royall Inducement Plan | Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting rights (percentage)	10.00%
Royall Inducement Plan | Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of RSUs, vested (in shares)	14,570
Shares paid for tax withholding (in shares)	5,500
Stock Incentive 2009 Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized (in shares)						10,535,000
Number of shares available for grant (in shares)	1,172,130
Stock Incentive 2009 Plan | Performance-Based Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares authorized (in shares)			106,870
Minimum | Royall Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance target (percent)	70.00%
Maximum | Royall Inducement Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance target (percent)	99.00%

Stock-based Compensation - Summ

Stock-based Compensation - Summary of Changes in Common Stock Options (Detail) - $ / shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Number of Options, Exercised (in shares)	(168,078)	(233,030)
Performance-Based Options
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Number of Options, Outstanding, beginning of period (in shares)	2,117,855	2,013,325
Number of Options, Granted (in shares)	0	319,900
Number of Options, Exercised (in shares)	0	0
Number of Options, Forfeited (in shares)	(43,497)	(80,370)
Number of Options, Expired (in shares)	0
Number of Options, Outstanding, end of period (in shares)	2,074,358	2,252,855
Number of Options, Exercisable, end of period (in shares)	521,822
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price (dollars per share) [Roll Forward]
Weighted Average Exercise Price, Outstanding, beginning of period (dollars per share)	$ 47.11	$ 50.42
Weighted Average Exercise Price, Granted (dollars per share)	0	28.20
Weighted Average Exercise Price, Exercised (dollars per share)	0	0
Weighted Average Exercise Price, Forfeited (dollars per share)	51.18	49.92
Weighted Average Exercise Price, Expired (dollars per share)	0
Weighted Average Exercise Price, Outstanding, end of period (dollars per share)	47.02	$ 47.28
Weighted Average Exercise Price, Exercisable, end of period (dollars per share)	$ 35.83
Service-Based Options
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]
Number of Options, Outstanding, beginning of period (in shares)	2,525,178	1,843,110
Number of Options, Granted (in shares)	200,324	978,668
Number of Options, Forfeited (in shares)	(31,395)	(22,195)
Number of Options, Expired (in shares)	0
Number of Options, Outstanding, end of period (in shares)	2,526,029	2,566,553
Number of Options, Exercisable, end of period (in shares)	1,089,022
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price (dollars per share) [Roll Forward]
Weighted Average Exercise Price, Outstanding, beginning of period (dollars per share)	$ 39.28	$ 41.73
Weighted Average Exercise Price, Granted (dollars per share)	46.95	28.20
Weighted Average Exercise Price, Exercised (dollars per share)	33.83	15.21
Weighted Average Exercise Price, Forfeited (dollars per share)	40.80	53.38
Weighted Average Exercise Price, Expired (dollars per share)	0
Weighted Average Exercise Price, Outstanding, end of period (dollars per share)	40.24	$ 38.88
Weighted Average Exercise Price, Exercisable, end of period (dollars per share)	$ 42.14

Stock-based Compensation - Su50

Stock-based Compensation - Summary of Changes in RSUs (Detail) - $ / shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Performance-Based Options
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Number of RSUs, Non-vested, beginning of period (in shares)	257,580	301,032
Number of RSUs, Granted (in shares)	106,870	17,292
Number of RSUs, Forfeited (in shares)	(29,359)	(19,598)
Number of RSUs, vested (in shares)	(14,570)	0
Number of RSUs, Non-vested, end of period (in shares)	320,521	298,726
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value (dollars per share) [Roll Forward]
Weighted Average Grant Date Fair Value Non-vested, beginning of Period (dollars per share)	$ 35.34	$ 39.10
Weighted Average Grant Date Fair Value, Granted (dollars per share)	46.95	32.25
Weighted Average Grant Date Fair Value, Forfeited (dollars per share)	51.54	51.11
Weighted Average Grant Date Fair Value, Vested (dollars per share)	49.92	0
Weighted Average Grant Date Fair Value Non-vested, end of Period (dollars per share)	$ 37.06	$ 37.91
Service-Based Options
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Number of RSUs, Non-vested, beginning of period (in shares)	968,084	839,613
Number of RSUs, Granted (in shares)	218,120	278,996
Number of RSUs, Forfeited (in shares)	(25,513)	(20,172)
Number of RSUs, vested (in shares)	(31,400)	(34,771)
Number of RSUs, Non-vested, end of period (in shares)	1,129,291	1,063,666
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value (dollars per share) [Roll Forward]
Weighted Average Grant Date Fair Value Non-vested, beginning of Period (dollars per share)	$ 42.13	$ 52.82
Weighted Average Grant Date Fair Value, Granted (dollars per share)	46.94	28.20
Weighted Average Grant Date Fair Value, Forfeited (dollars per share)	50.64	53.89
Weighted Average Grant Date Fair Value, Vested (dollars per share)	64.92	64.23
Weighted Average Grant Date Fair Value Non-vested, end of Period (dollars per share)	$ 42.23	$ 45.97

Stock-based Compensation - Su51

Stock-based Compensation - Summary of Stock-based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Stock Option and RSUs
Stock-based compensation expense included in Costs and expenses
Total costs and expenses	$ 5,711	$ 6,982
Cost of Services
Stock-based compensation expense included in Costs and expenses
Total costs and expenses	1,258	2,187
Member Relations and Marketing
Stock-based compensation expense included in Costs and expenses
Total costs and expenses	1,146	1,114
General and Administrative
Stock-based compensation expense included in Costs and expenses
Total costs and expenses	$ 3,307	$ 3,681

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Income Tax Disclosure [Abstract]
Effective income tax rate (as a percent)	27.40%	35.30%
Effective income tax rate reconciliation, research and development	$ 3.5	$ 1.8

Earnings Per Share - Reconcilia

Earnings Per Share - Reconciliation of Basic to Diluted Weighted Average Common Shares Outstanding (Detail) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Earnings Per Share [Abstract]
Basic weighted average common shares outstanding (in shares)	40,253	41,492
Effect of dilutive outstanding stock-based awards (in shares	788	381
Diluted weighted average common shares outstanding (in shares)	41,041	41,873

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail) - shares	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Incremental common shares attributable to dilutive effect of contingently issuable shares (in shares)	129,655	19,971
Effect of dilutive outstanding stock-based awards (in shares	788,000	381,000
Stock Compensation Plan
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Share-based compensation awards (in shares)	1,200,000	2,400,000
Non-Qualified Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Share-based compensation awards (in shares)	2,100,000	2,200,000
Restricted Stock Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Share-based compensation awards (in shares)	300,000	300,000

Supplemental cash flow (Details

Supplemental cash flow (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Cash paid (received) for:
Income taxes	$ 6	$ (245)
Interest	3,687	3,754
Non-cash activities:
Increase in estimated cost of construction of a building under a build-to-suit lease	$ 23,460	$ 4,906

Related Parties (Details)

Related Parties (Details) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Related Party Transactions [Abstract]
Payments for interest in affiliates	$ 1.5	$ 1.2

Costs of Exit or Disposal (Deta

Costs of Exit or Disposal (Details) - USD ($)	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Restructuring Cost and Reserve [Line Items]
Restructuring costs		$ 0
Employee Severance
Restructuring Cost and Reserve [Line Items]
Restructuring costs	$ 4,800,000
Restructuring cost, expected	4,500,000
Other Restructuring
Restructuring Cost and Reserve [Line Items]
Restructuring cost, expected	$ 11,000,000

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ in Thousands	May 01, 2017	Mar. 31, 2017	Mar. 31, 2016
Subsequent Event [Line Items]
Cash received from partial sale of equity method investment		$ 41,366	$ 0
Evolent LLC
Subsequent Event [Line Items]
Equity interest (percent)		4.50%
Cash received from partial sale of equity method investment		$ 41,400
Evolent LLC | Subsequent Event
Subsequent Event [Line Items]
Equity interest (percent)	4.10%
Cash received from partial sale of equity method investment	$ 6,200
Evolent Health Inc
Subsequent Event [Line Items]
Equity interest (percent)		7.20%