Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Sep. 30, 2013 | Oct. 31, 2013 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Trading Symbol | 'BR | ' |
Entity Registrant Name | 'BROADRIDGE FINANCIAL SOLUTIONS, INC. | ' |
Entity Central Index Key | '0001383312 | ' |
Current Fiscal Year End Date | '--06-30 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 119,183,091 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Earnings (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Income Statement [Abstract] | ' | ' |
Revenues | $545.20 | $495.80 |
Cost of revenues | 397.5 | 390 |
Selling, general and administrative expenses | 73.5 | 72.9 |
Other expenses, net | 4.9 | 4.3 |
Total expenses | 475.9 | 467.2 |
Earnings before income taxes | 69.3 | 28.6 |
Provision for income taxes | 24.9 | 10.3 |
Net earnings | $44.40 | $18.30 |
Basic earnings per share | $0.37 | $0.15 |
Diluted earnings per share | $0.36 | $0.14 |
Weighted-average shares outstanding: | ' | ' |
Basic | 119.1 | 124 |
Diluted | 123.1 | 127.1 |
Dividends declared per common share | $0.21 | $0.18 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' |
Net earnings | $44.40 | $18.30 |
Other comprehensive income (loss), net: | ' | ' |
Foreign currency translation adjustments | -1.7 | 5.1 |
Net unrealized gains (losses) on available-for-sale securities, net of taxes of $0.0 and ($0.2) at September 30, 2013 and 2012, respectively | -0.1 | 0.3 |
Pension and post-retirement liability adjustment, net of taxes of ($0.0) and $0.4 at September 30, 2013 and 2012, respectively | 0.1 | -0.6 |
Total other comprehensive income (loss) | -1.7 | 4.8 |
Comprehensive income | $42.70 | $23.10 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Statement Of Income And Comprehensive Income [Abstract] | ' | ' |
Unrealized gains (losses) on available-for-sale securities, tax | $0 | ($0.20) |
Pension and post-retirement liability adjustment, tax | $0 | $0.40 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $183.10 | $266 |
Accounts receivable, net of allowance for doubtful accounts of $3.2 and $3.7, respectively | 372.2 | 442.4 |
Other current assets | 101.3 | 98.6 |
Total current assets | 656.6 | 807 |
Property, plant and equipment, net | 82.1 | 80.9 |
Goodwill | 809.3 | 778.4 |
Intangible assets, net | 125.3 | 120.6 |
Other non-current assets | 233.9 | 231.3 |
Total assets | 1,907.20 | 2,018.20 |
Current liabilities: | ' | ' |
Accounts payable | 110.5 | 143.1 |
Accrued expenses and other current liabilities | 171.8 | 277.2 |
Deferred revenues | 55.8 | 49.2 |
Total current liabilities | 338.1 | 469.5 |
Long-term debt | 524 | 524.5 |
Deferred taxes | 69.3 | 71.2 |
Deferred revenues | 43.6 | 40.2 |
Other non-current liabilities | 94.2 | 96.8 |
Total liabilities | 1,069.20 | 1,202.20 |
Commitments and contingencies (Note 12) | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock: Authorized, 25.0 shares; issued and outstanding, none | ' | ' |
Common stock, $0.01 par value: Authorized, 650.0 shares; issued, 154.5 and 154.5 shares, respectively; outstanding, 119.1 and 119.0 shares, respectively | 1.6 | 1.6 |
Additional paid-in capital | 788.4 | 783 |
Retained earnings | 831.1 | 811.3 |
Treasury stock, at cost: 35.4 and 35.5 shares, respectively | -785.6 | -784.1 |
Accumulated other comprehensive income | 2.5 | 4.2 |
Total stockholders' equity | 838 | 816 |
Total liabilities and stockholders' equity | $1,907.20 | $2,018.20 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Millions, except Per Share data, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Allowance for doubtful accounts | $3.20 | $3.70 |
Preferred stock, shares authorized | 25 | 25 |
Preferred stock, shares issued | ' | ' |
Preferred stock, shares outstanding | ' | ' |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 650 | 650 |
Common stock, shares issued | 154.5 | 154.5 |
Common stock, shares outstanding | 119.1 | 119 |
Treasury stock, shares | 35.4 | 35.5 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash Flows From Operating Activities | ' | ' |
Net earnings | $44.40 | $18.30 |
Adjustments to reconcile Net earnings to Net cash flows used in operating activities: | ' | ' |
Depreciation and amortization | 10.9 | 13.5 |
Amortization of acquired intangibles | 5.5 | 5.5 |
Amortization of other assets | 6.6 | 5.5 |
Deferred income taxes | 0.4 | -5 |
Stock-based compensation expense | 4.8 | 4.5 |
Excess tax benefits from the issuance of stock-based compensation awards | -1 | -0.8 |
Other | -2.3 | 5.1 |
Current assets and liabilities: | ' | ' |
Decrease in Accounts receivable, net | 74.7 | 51.4 |
Decrease in Other current assets | 0.9 | 0.5 |
Decrease in Accounts payable | -32.2 | -13.3 |
Decrease in Accrued expenses and other current liabilities | -115.5 | -87.9 |
Increase in Deferred revenues | 1.2 | 0.8 |
Non-current assets and liabilities: | ' | ' |
Increase in Other non-current assets | -9.9 | -15.7 |
Increase in Other non-current liabilities | 6.1 | 2 |
Net cash flows used in operating activities | -5.4 | -15.6 |
Cash Flows From Investing Activities | ' | ' |
Capital expenditures | -10.5 | -6.4 |
Purchases of intangibles | -2.8 | -1.7 |
Acquisitions, net of cash acquired | -37.7 | ' |
Net cash flows used in investing activities | -51 | -8.1 |
Cash Flows From Financing Activities | ' | ' |
Proceeds from issuance of bonds, net of discounts | 399.5 | ' |
Payment on Long-term debt | -400 | ' |
Dividends paid | -21.5 | -20.3 |
Proceeds from exercise of stock options | 5.9 | 9.8 |
Purchases of Treasury stock | -7.9 | -76.1 |
Excess tax benefits from the issuance of stock-based compensation awards | 1 | 0.8 |
Costs related to issuance of bonds | -4.3 | ' |
Other financing transactions | ' | -1.1 |
Net cash flows used in financing activities | -27.3 | -86.9 |
Effect of exchange rate changes on Cash and cash equivalents | 0.8 | 1.9 |
Net change in Cash and cash equivalents | -82.9 | -108.7 |
Cash and cash equivalents, beginning of period | 266 | 320.5 |
Cash and cash equivalents, end of period | 183.1 | 211.8 |
Supplemental disclosure of cash flow information: | ' | ' |
Cash payments made for interest | 1.1 | 1.5 |
Cash payments made for income taxes | 51.2 | 39.6 |
Non-cash investing and financing activities: | ' | ' |
Dividends payable | 3.1 | 1.6 |
Property, plant and equipment | $0.10 | $0.50 |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended | |||
Sep. 30, 2013 | ||||
Accounting Policies [Abstract] | ' | |||
Basis of Presentation | ' | |||
NOTE 1. BASIS OF PRESENTATION | ||||
A. Description of Business. Broadridge Financial Solutions, Inc. (“Broadridge®” or the “Company”), a Delaware corporation, is a leading global provider of investor communication solutions and securities processing and business process outsourcing services to the financial services industry. The Company classifies its operations into the following two reportable segments: | ||||
• | Investor Communication Solutions—Our Bank/Broker-Dealer Communications, Mutual Fund and Retirement Solutions and Corporate Issuer Solutions businesses operate within this segment. A large portion of Broadridge’s Investor Communication Solutions business involves the processing and distribution of proxy materials to investors in equity securities and mutual funds, as well as the facilitation of related vote processing. ProxyEdge®, its innovative electronic proxy delivery and voting solution for institutional investors and financial advisors, helps ensure the participation of the largest stockholders of many companies. Broadridge also provides the distribution of regulatory reports and corporate action/reorganization event information, as well as tax reporting solutions that help its clients meet their regulatory compliance needs. In addition, Broadridge provides financial information distribution and transaction reporting services to both financial institutions and securities issuers. These services include the processing and distribution of account statements and trade confirmations, traditional and personalized document fulfillment and content management services, marketing communications, and imaging, archival and workflow solutions that enable and enhance its clients’ communications with investors. All of these communications are delivered through paper or electronic channels. In addition, Broadridge provides corporate issuers with registered proxy services as well as registrar, stock transfer and record-keeping services to corporate issuers. | |||
In July 2013, Broadridge acquired Bonaire Software Solutions, LLC (“Bonaire”), a leading provider of fee calculation, billing, and revenue and expense management solutions for asset managers including institutional asset managers, wealth managers, mutual funds, bank trusts, hedge funds and capital markets firms. | ||||
• | Securities Processing Solutions—Broadridge offers a suite of advanced computerized real-time transaction processing services that automate the securities transaction lifecycle, from desktop productivity tools, data aggregation, performance reporting, and portfolio management to order capture and execution, trade confirmation, settlement, and accounting. Broadridge’s services help financial institutions efficiently and cost-effectively consolidate their books and records, gather and service assets under management, focus on their core businesses, and manage risk. With multi-currency capabilities, its Global Processing Solution supports real-time global trading of equity, option, mutual fund and fixed income securities in established and emerging markets. In addition, its business process outsourcing services allow broker-dealers to outsource certain administrative functions relating to clearing and settlement, from order entry to trade matching and settlement, while maintaining their ability to finance and capitalize their businesses. | |||
In September 2011, Broadridge acquired Paladyne Systems, Inc. (“Paladyne®”), a provider of buy-side technology solutions for the global investment management industry. | ||||
B. Basis of Presentation. The Condensed Consolidated Financial Statements have been prepared in accordance with United States of America (“U.S.”) generally accepted accounting principles (“GAAP”). These financial statements present the condensed consolidated position of the Company. These financial statements include the entities in which the Company directly or indirectly has a controlling financial interest and various entities in which the Company has investments recorded under both the cost and equity methods of accounting. Intercompany balances and transactions have been eliminated. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These Condensed Consolidated Financial Statements should be read in conjunction with the Company’s Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013 (the “2013 Annual Report”) filed on August 8, 2013 with the Securities and Exchange Commission (the “SEC”). These Condensed Consolidated Financial Statements include all normal and recurring adjustments necessary for a fair presentation in accordance with GAAP of the Company’s financial position at September 30, 2013 and June 30, 2013, the results of its operations for the three months ended September 30, 2013 and 2012 and its cash flows for the three months ended September 30, 2013 and 2012. | ||||
C. Use of Estimates. The preparation of these financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Condensed Consolidated Financial Statements and accompanying notes thereto. Actual results may differ from those estimates. | ||||
D. Cash and Cash Equivalents. Investment securities with an original maturity of 90 days or less are considered cash equivalents. The fair value of the Company’s cash and cash equivalents approximates carrying value. | ||||
E. Financial Instruments. Substantially all of the financial instruments of the Company other than Long-term debt are carried at fair values, or at carrying amounts that approximate fair values because of the short maturity of the instruments. The carrying value of the Company’s long-term fixed-rate senior notes represents the face value of the long-term fixed-rate senior notes net of the unamortized discount. The fair value of the Company’s long-term fixed-rate senior notes is based on quoted market prices. See Note 9, “Borrowings,” for a further discussion of the Company’s long-term fixed-rate senior notes. | ||||
F. Subsequent Events. In preparing the accompanying Condensed Consolidated Financial Statements, in accordance with Accounting Standards Codification Topic (“ASC”) No. 855, “Subsequent Events,” the Company has reviewed events that have occurred after September 30, 2013, through the date of issuance of the Condensed Consolidated Financial Statements. During this period, the Company did not have any material subsequent events. |
New_Accounting_Pronouncements
New Accounting Pronouncements | 3 Months Ended |
Sep. 30, 2013 | |
Accounting Changes And Error Corrections [Abstract] | ' |
New Accounting Pronouncements | ' |
NOTE 2. NEW ACCOUNTING PRONOUNCEMENTS | |
In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (“ASU No. 2013-11”) to provide guidance on the presentation of unrecognized tax benefits. ASU No. 2013-11 requires an entity to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows: to the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. ASU No. 2013-11 is effective for the Company in our first quarter of fiscal 2015 with earlier adoption permitted. ASU No. 2013-11 should be applied prospectively with retroactive application permitted. The adoption of ASU No. 2013-11 will not impact the Company’s consolidated results of operations, cash flows or financial condition as it only requires a change in the Company’s presentation of unrecognized tax benefits. | |
In February 2013, the FASB issued ASU No. 2013-02, “Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU No. 2013-02”). ASU No. 2013-02 requires entities to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, entities are required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For amounts not required to be reclassified in their entirety to net income, entities are required to cross-reference to other disclosures under GAAP that provide additional detail about those amounts. ASU No. 2013-02 became effective for the Company in the first quarter of fiscal year 2014. The adoption of ASU No. 2013-02 did not have a material impact on the Company’s consolidated results of operations, cash flows or financial condition. The disclosures required by this guidance are presented in Note 13, “Changes in Accumulated Other Comprehensive Income by Component.” | |
In July 2012, the FASB issued ASU No. 2012-02, “Intangibles—Goodwill and Other: Testing indefinite-lived intangible assets for impairment” (“ASU No. 2012-02”). The revised standard is intended to reduce the cost and complexity of testing indefinite-lived intangible assets other than goodwill for impairment by providing entities with an option to perform a qualitative assessment to determine whether further impairment testing is necessary. The approach is similar to the guidance in ASU No. 2011-08 for goodwill impairment testing. ASU No. 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012 and early adoption is permitted. ASU No. 2012-02 became effective for the Company this quarter. The adoption of ASU No. 2012-02 did not have a material impact on the Company’s consolidated results of operations, cash flows or financial condition. | |
Earnings_Per_Share
Earnings Per Share | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Earnings Per Share | ' | ||||||||
NOTE 3. EARNINGS PER SHARE | |||||||||
Basic earnings per share (“EPS”) is calculated by dividing the Company’s Net earnings by the basic Weighted-average shares outstanding for the periods presented. | |||||||||
Diluted EPS reflects the potential dilution that could occur if outstanding stock options at the presented date are exercised and shares of restricted stock units have vested. | |||||||||
For the three months ended September 30, 2013, there were no options to purchase Broadridge common stock that would have been anti-dilutive to exclude from the computation of diluted EPS. For the three months ended September 30, 2012, the computation of diluted EPS did not include 2.7 million options to purchase Broadridge common stock, as the effect of their inclusion would have been anti-dilutive. | |||||||||
The following table sets forth the denominators of the basic and diluted EPS computations (in millions): | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
Weighted-average shares outstanding: | |||||||||
Basic | 119.1 | 124 | |||||||
Common stock equivalents | 4 | 3.1 | |||||||
Diluted | 123.1 | 127.1 | |||||||
Other_Expenses_Net
Other Expenses, Net | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Other Income And Expenses [Abstract] | ' | ||||||||
Other Expenses, Net | ' | ||||||||
NOTE 4. OTHER EXPENSES, NET | |||||||||
Other expenses, net consisted of the following: | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Interest expense on borrowings | $ | 4.6 | $ | 3.5 | |||||
Interest income | (0.2 | ) | (0.5 | ) | |||||
Foreign currency exchange (gain) loss | (1.2 | ) | 0.8 | ||||||
Other, net | 1.7 | 0.5 | |||||||
Other expenses, net | $ | 4.9 | $ | 4.3 | |||||
Acquisitions
Acquisitions | 3 Months Ended |
Sep. 30, 2013 | |
Business Combinations [Abstract] | ' |
Acquisitions | ' |
NOTE 5. ACQUISITIONS | |
Assets acquired and liabilities assumed in business combinations were recorded on the Company’s Condensed Consolidated Balance Sheets as of the respective acquisition dates based upon their estimated fair values at such dates. The results of operations of businesses acquired by the Company were included in the Company’s Condensed Consolidated Statements of Earnings since their respective dates of acquisition. The excess of the purchase price over the estimated fair values of the underlying assets acquired and liabilities assumed was allocated to Goodwill. | |
During the three months ended September 30, 2013, the fair value of contingent consideration associated with one of the Company’s acquisitions was reduced by approximately $3.3 million. In addition, during the three months ended September 30, 2013, the Company acquired one business in the Investor Communication Solutions segment: | |
Bonaire | |
In July 2013, the Company acquired Bonaire, a leading provider of fee calculation, billing, and revenue and expense management solutions for asset managers including institutional asset managers, wealth managers, mutual funds, bank trusts, hedge funds and capital markets firms. The purchase price was $37.7 million, net of cash acquired. Net liabilities assumed in the transaction were $1.6 million. In addition, the Company recorded a $0.5 million liability for the fair value of potential additional cash payments, which are payable over the next three years contingent upon the achievement by the acquired business of certain revenue and earnings targets. This acquisition resulted in $29.2 million of Goodwill. Intangible assets acquired, which totaled $10.1 million, consist primarily of acquired software technology and customer relationships, which are being amortized over a seven-year life and ten-year life, respectively. The results of Bonaire’s operations were included in the Company’s Condensed Consolidated Financial Statements in this Quarterly Report on Form 10-Q from the date of acquisition. The allocation of the purchase price will be finalized upon completion of the analysis of the fair values of Bonaire’s assets and liabilities. Pro forma supplemental financial information is not provided as the impact of the acquisition on the Company’s operating results, financial position or cash flows was not material. | |
During the three months ended September 30, 2012, there were no acquisitions. | |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value of Financial Instruments | ' | ||||||||||||||||
NOTE 6. FAIR VALUE OF FINANCIAL INSTRUMENTS | |||||||||||||||||
Accounting guidance on fair value measurements for certain financial assets and liabilities requires that assets and liabilities carried at fair value be classified and disclosed in one of the following three categories: | |||||||||||||||||
Level 1 | Inputs that are based upon unadjusted quoted prices for identical instruments traded in active markets. Level 1 assets for the Company include money market deposit accounts (“MMDA accounts”). | ||||||||||||||||
Level 2 | Quoted prices in markets that are not considered to be active or financial instruments for which all significant inputs are observable, either directly or indirectly. | ||||||||||||||||
Level 3 | Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. | ||||||||||||||||
In valuing assets and liabilities, the Company is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The Company calculates the fair value of its Level 1 and Level 2 instruments based on the exchange traded price of similar or identical instruments where available or based on other observable instruments. These calculations take into consideration the credit risk of both the Company and its counterparties. The Company has not changed its valuation techniques in measuring the fair value of any financial assets and liabilities during the period. | |||||||||||||||||
In June 2013, the Company purchased certain available-for-sale securities in a non-public entity for which the lowest level of significant inputs was unobservable. On a recurring basis, the Company uses pricing models and similar techniques for which the determination of fair value requires significant judgment by management. Accordingly, the Company classifies the available-for-sale securities as Level 3 in the table below. | |||||||||||||||||
The following tables set forth the Company’s financial assets and liabilities at September 30, 2013 and June 30, 2013, respectively, that are measured at fair value on a recurring basis during the period, segregated by level within the fair value hierarchy: | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
($ in millions) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds(1) | $ | 33.4 | $ | — | $ | — | $ | 33.4 | |||||||||
Other current assets: | |||||||||||||||||
Available-for-sale equity securities | — | — | — | — | |||||||||||||
Other non-current assets: | |||||||||||||||||
Available-for-sale equity securities | 17.5 | — | 1.1 | 18.6 | |||||||||||||
Total as of September 30, 2013 | $ | 50.9 | $ | — | $ | 1.1 | $ | 52 | |||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
($ in millions) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds(1) | $ | 122.1 | $ | — | $ | — | $ | 122.1 | |||||||||
Other current assets: | |||||||||||||||||
Available-for-sale equity securities | — | — | — | — | |||||||||||||
Other non-current assets: | |||||||||||||||||
Available-for-sale equity securities | 15.8 | — | 1.1 | 16.9 | |||||||||||||
Total as of June 30, 2013 | $ | 137.9 | $ | — | $ | 1.1 | $ | 139 | |||||||||
-1 | Money market funds includes MMDA account balances of $20.6 million and $87.1 million as of September 30, 2013 and June 30, 2013, respectively. | ||||||||||||||||
The following table sets forth an analysis of changes during the three months ended September 30, 2013 in Level 3 financial assets of the Company: | |||||||||||||||||
September 30, | June 30, | ||||||||||||||||
2013 | 2013 | ||||||||||||||||
($ in millions) | |||||||||||||||||
Beginning balance, | $ 1.1 | $ — | |||||||||||||||
Net realized/unrealized gains (losses) | — | — | |||||||||||||||
Purchases | — | 1.1 | |||||||||||||||
Transfers in (out) of Level 3 | — | — | |||||||||||||||
Ending balance, | $ 1.1 | $ 1.1 | |||||||||||||||
The Company did not incur any Level 3 fair value asset impairments during the three months ended September 30, 2013 and 2012, respectively. Changes in economic conditions or model based valuation techniques may require the transfer of financial instruments between levels. The Company’s policy is to record transfers between levels if any, as of the beginning of the fiscal year. For the three months ended September 30, 2013 and the fiscal year ended June 30, 2013 there were no transfers between levels. |
Other_NonCurrent_Assets
Other Non-Current Assets | 3 Months Ended | ||||||||||
Sep. 30, 2013 | |||||||||||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ||||||||||
Other Non-Current Assets | ' | ||||||||||
NOTE 7. OTHER NON-CURRENT ASSETS | |||||||||||
Other non-current assets consisted of the following: | |||||||||||
September 30, | June 30, | ||||||||||
2013 | 2013 | ||||||||||
($ in millions) | |||||||||||
Deferred client conversion and start-up costs | $135.10 | $133.30 | |||||||||
Deferred data center costs | 47.5 | 48.8 | |||||||||
Long-term investments | 22.3 | 20.9 | |||||||||
Long-term broker fees | 8.6 | 9.2 | |||||||||
Other | 20.4 | 19.1 | |||||||||
Total | $233.90 | $231.30 | |||||||||
Accrued_Expenses_and_Other_Cur
Accrued Expenses and Other Current Liabilities | 3 Months Ended | ||||||||||
Sep. 30, 2013 | |||||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||||
Accrued Expenses and Other Current Liabilities | ' | ||||||||||
NOTE 8. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | |||||||||||
Accrued expenses and other current liabilities consisted of the following: | |||||||||||
September 30, | June 30, | ||||||||||
2013 | 2013 | ||||||||||
($ in millions) | |||||||||||
Employee compensation and benefits | $ 82.9 | $143.10 | |||||||||
Accrued broker fees | 24.3 | 49.2 | |||||||||
Accrued income tax liability | 27.7 | 51.8 | |||||||||
Accrued dividend payable | 24.1 | 21 | |||||||||
Other | 12.8 | 12.1 | |||||||||
Total | $171.80 | $277.20 | |||||||||
Borrowings
Borrowings | 3 Months Ended | ||||||||||||||
Sep. 30, 2013 | |||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||
Borrowings | ' | ||||||||||||||
NOTE 9. BORROWINGS | |||||||||||||||
Outstanding borrowings and available capacity under the Company’s borrowing arrangements were as follows: | |||||||||||||||
Expiration | September 30, | June 30, | Unused | ||||||||||||
Date | 2013 | 2013 | Available | ||||||||||||
Capacity | |||||||||||||||
($ in millions) | |||||||||||||||
Long-term debt | |||||||||||||||
Fiscal 2012 Term loan facility | (a) | $ | — | $ | 400 | $ | — | ||||||||
Fiscal 2012 Revolving credit facility | September 2016 | — | — | 500 | |||||||||||
Fiscal 2007 Senior notes | June 2017 | 124.5 | 124.5 | — | |||||||||||
Fiscal 2014 Senior notes | September 2020 | 399.5 | — | — | |||||||||||
Total debt | $ | 524 | $ | 524.5 | $ | 500 | |||||||||
(a) | In September 2013, the Company repaid in full the outstanding $400.0 million remaining on the Fiscal 2012 Term loan facility. | ||||||||||||||
Fiscal 2012 Credit Facilities: On September 22, 2011, the Company entered into a $990.0 million senior unsecured credit facility, consisting of a $490.0 million five-year term loan facility (the “Fiscal 2012 Term Loan”) and a $500.0 million five-year revolving credit facility (the “Fiscal 2012 Revolving Credit Facility”) (collectively the “Fiscal 2012 Credit Facilities”). Borrowings under the Fiscal 2012 Credit Facilities bear interest at LIBOR plus 125 basis points. The Fiscal 2012 Revolving Credit Facility also has an annual facility fee equal to 15 basis points, on the unused portion of the facility, which totaled $0.2 million for the three months ended September 30, 2013 and 2012, respectively. The Company incurred $3.0 million in debt issuance costs to establish the Fiscal 2012 Credit Facilities, of which $0.1 million of these costs were expensed as incurred and $2.9 million of these costs were capitalized in Other non-current assets in the Condensed Consolidated Balance Sheets and are being amortized to Other expenses, net on a straight-line basis, which approximates the effective interest method, over the terms of these facilities. During the quarter ended September 30, 2013, the Company repaid the Fiscal 2012 Term Loan and expensed the remaining issuance costs associated with this debt, which was approximately $0.9 million. As of September 30, 2013 and June 30, 2013, $2.0 million and $1.0 million, respectively, had been amortized or expensed related to the Fiscal 2012 Credit Facilities, with $0.9 million remaining to be amortized related to the Fiscal 2012 Revolving Credit Facility. | |||||||||||||||
The Fiscal 2012 Term Loan contained a repayment schedule that required the Company to make minimum principal repayments on the loan. During the fiscal year ended June 30, 2012, the Company repaid $90.0 million of the $490.0 million of borrowings under the Fiscal 2012 Term Loan and had met the repayment requirements on the Fiscal 2012 Term Loan through September 30, 2014. During the quarter ended September 30, 2013, the Company repaid the remaining $400.0 million outstanding on the Fiscal 2012 Term Loan. The weighted-average interest rate on the Fiscal 2012 Term Loan was 1.44% and 1.49% for the three months ended September 30, 2013 and 2012, respectively. | |||||||||||||||
The Fiscal 2012 Revolving Credit Facility is subject to covenants, including financial covenants consisting of a leverage ratio and an interest coverage ratio. At September 30, 2013, the Company is not aware of any instances of any non-compliance with the financial covenants of the Fiscal 2012 Revolving Credit Facility. | |||||||||||||||
Fiscal 2007 Senior Notes: In May 2007, the Company completed an offering of $250.0 million in aggregate principal amount of senior notes (the “Fiscal 2007 Senior Notes”). The Fiscal 2007 Senior Notes will mature on June 1, 2017 and bear interest at a rate of 6.125% per annum. Interest on the Fiscal 2007 Senior Notes is payable semi-annually in arrears on June 1 and December 1 of each year. The Fiscal 2007 Senior Notes were issued at a price of 99.1% (effective yield to maturity of 6.251%). The indenture governing the Fiscal 2007 Senior Notes contains certain covenants including covenants restricting the Company’s ability to create or incur liens securing indebtedness for borrowed money and to enter into certain sale-leaseback transactions. At September 30, 2013, the Company is not aware of any instances of non-compliance with the financial covenants of the indenture governing the Fiscal 2007 Senior Notes. The indenture also contains covenants regarding the purchase of the Fiscal 2007 Senior Notes upon a change of control triggering event. The Fiscal 2007 Senior Notes are senior unsecured obligations of the Company and rank equally with the Company’s other senior indebtedness. The Company may redeem the Fiscal 2007 Senior Notes in whole or in part at any time before their maturity. The Company incurred $1.9 million in debt issuance costs to establish the Fiscal 2007 Senior Notes. These costs have been capitalized and are being amortized to Other expenses, net on a straight-line basis, which approximates the effective interest method, over the ten-year term. At September 30, 2013 and June 30, 2013, the accumulated amortization related to the Fiscal 2007 Senior Notes was $1.2 million and $1.1 million, respectively. During the fiscal year ended June 30, 2009, the Company purchased $125.0 million principal amount of the Fiscal 2007 Senior Notes (including $1.0 million unamortized bond discount) pursuant to a cash tender offer for such notes. The fair value of the fixed-rate Fiscal 2007 Senior Notes at September 30, 2013 and June 30, 2013 was $137.5 million and $138.2 million, respectively, based on quoted market prices and has been classified as a Level 1 financial liability (as defined in Note 6, “Fair Value of Financial Instruments”). | |||||||||||||||
Fiscal 2014 Senior Notes: In August 2013, the Company completed an offering of $400.0 million in aggregate principal amount of senior notes (the “Fiscal 2014 Senior Notes”). The Fiscal 2014 Senior Notes will mature on September 1, 2020 and bear interest at a rate of 3.95% per annum. Interest on the Fiscal 2014 Senior Notes is payable semi-annually in arrears on March 1 and September 1 of each year. The Fiscal 2014 Senior Notes were issued at a price of 99.871% (effective yield to maturity of 3.971%). The indenture governing the Fiscal 2014 Senior Notes contains certain covenants including covenants restricting the Company’s ability to create or incur liens securing indebtedness for borrowed money and to enter into certain sale-leaseback transactions. At September 30, 2013, the Company is not aware of any instances of non-compliance with the financial covenants of the indenture governing the Fiscal 2014 Senior Notes. The indenture also contains covenants regarding the purchase of the Fiscal 2014 Senior Notes upon a change of control triggering event. The Fiscal 2014 Senior Notes are senior unsecured obligations of the Company and rank equally with the Company’s other senior indebtedness. The Company may redeem the Fiscal 2014 Senior Notes in whole or in part at any time before their maturity. The Company incurred $4.3 million in debt issuance costs to establish the Fiscal 2014 Senior Notes. These costs have been capitalized and are being amortized to Other expenses, net on a straight-line basis, which approximates the effective interest method, over the seven-year term. At September 30, 2013, the accumulated amortization related to the Fiscal 2014 Senior Notes was $0.1 million. The fair value of the fixed-rate Fiscal 2014 Senior Notes at September 30, 2013 was $407.4 million based on quoted market prices and has been classified as a Level 1 financial liability (as defined in Note 6, “Fair Value of Financial Instruments”). | |||||||||||||||
In addition, certain of the Company’s foreign subsidiaries have unsecured, uncommitted lines of credit with banks. As of September 30, 2013 and June 30, 2013, there were no outstanding borrowings under these lines of credit. |
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||||||||||
NOTE 10. STOCK-BASED COMPENSATION | |||||||||||||||||||||||||
The activity related to the Company’s incentive equity awards for the three months ended September 30, 2013 consisted of the following: | |||||||||||||||||||||||||
Stock Options | Time-based | Performance-based | |||||||||||||||||||||||
Restricted Stock Units | Restricted Stock Units | ||||||||||||||||||||||||
Number of | Weighted- | Number | Weighted- | Number | Weighted- | ||||||||||||||||||||
Options (d) | Average | of Shares | Average | of | Average | ||||||||||||||||||||
Exercise | Grant Date | Shares | Grant Date | ||||||||||||||||||||||
Price | Fair Value | Fair Value | |||||||||||||||||||||||
Balances at July 1, 2013 | 10,985,482 | $ | 20.39 | 2,086,834 | $ | 19.65 | 572,823 | $ | 19.96 | ||||||||||||||||
Granted | 15,406 | 31.28 | 12,147 | 30.1 | 18,705 | 28.96 | |||||||||||||||||||
Exercise of stock options (a) | (330,467 | ) | 17.92 | — | — | — | — | ||||||||||||||||||
Vesting of restricted stock units (b) | — | — | — | — | (5,210 | ) | 23.3 | ||||||||||||||||||
Expired/forfeited | (29,294 | ) | 23.11 | (53,974 | ) | 19.46 | — | — | |||||||||||||||||
Balances at September 30, 2013 (c) | 10,641,127 | $ | 20.47 | 2,045,007 | $ | 19.72 | 586,318 | $ | 20.22 | ||||||||||||||||
(a) | Stock options exercised during the period of July 1, 2013 through September 30, 2013 had an intrinsic value of $4.0 million. | ||||||||||||||||||||||||
(b) | Performance-based restricted stock units that vested during the period of July 1, 2013 through September 30, 2013 had a fair value of $0.1 million. | ||||||||||||||||||||||||
(c) | As of September 30, 2013, the Company’s outstanding “in the money” stock options using the September 30, 2013 closing stock price of $31.75 (approximately 8.3 million shares) had an aggregate intrinsic value of $99.3 million. As of September 30, 2013, time-based restricted stock units and performance-based restricted stock units expected to vest using the September 30, 2013 share price of $31.75 (approximately 1.8 million and 0.6 million shares, respectively) had an aggregate intrinsic value of $58.2 million and $19.7 million, respectively. | ||||||||||||||||||||||||
(d) | Stock options outstanding as of September 30, 2013 have a weighted-average remaining contractual life of 5.3 years and 8.3 million stock options are exercisable. | ||||||||||||||||||||||||
The Company has stock-based compensation plans under which the Company annually grants stock option and restricted stock unit awards. Exercise prices on options granted have been and continue to be set equal to the market price of the underlying shares on the date of the grant (except the special stock option grants, some of which have a premium exercise price), with the measurement of stock-based compensation expense recognized in Net earnings based on the fair value of the award on the date of grant. Stock-based compensation expense of $4.8 million and $4.5 million, respectively, as well as related tax benefits of $1.8 million and $1.7 million, respectively, was recognized for the three months ended September 30, 2013 and 2012, respectively. | |||||||||||||||||||||||||
As of September 30, 2013, the total remaining unrecognized compensation cost related to non-vested stock options and restricted stock unit awards amounted to $5.2 million and $20.2 million, respectively, which will be amortized over the weighted-average remaining requisite service periods of 3.0 years and 1.3 years, respectively. | |||||||||||||||||||||||||
For stock options issued, the fair value of each stock option was estimated on the date of grant using a binomial option pricing model. The binomial model considers a range of assumptions related to volatility, risk-free interest rate and employee exercise behavior. Expected volatilities utilized in the binomial model are based on a combination of implied market volatilities, historical volatility of the Company’s stock price and other factors. Similarly, the dividend yield is based on historical experience and expected future changes. The risk-free rate is derived from the U.S. Treasury yield curve in effect at the time of grant. The binomial model also incorporates exercise and forfeiture assumptions based on an analysis of historical data. The expected life of the stock option grants is derived from the output of the binomial model and represents the period of time that options granted are expected to be outstanding. |
Income_Taxes
Income Taxes | 3 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
NOTE 11. INCOME TAXES | |
The Company’s Provision for income taxes and effective tax rates for the three months ended September 30, 2013 were $24.9 million and 35.9%, compared to $10.3 million and 36.0% for the three months ended September 30, 2012, respectively. |
Contractual_Commitments_Contin
Contractual Commitments, Contingencies, and Off-Balance Sheet Arrangements | 3 Months Ended |
Sep. 30, 2013 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Contractual Commitments, Contingencies, and Off-Balance Sheet Arrangements | ' |
NOTE 12. CONTRACTUAL COMMITMENTS, CONTINGENCIES AND OFF-BALANCE SHEET ARRANGEMENTS | |
In the normal course of business, the Company is subject to various claims and litigation. While the outcome of any claim or litigation is inherently unpredictable, the Company believes that the ultimate resolution of these matters will not, individually or in the aggregate, result in a material impact on its financial condition, results of operations or cash flows. | |
The Company entered into a data center outsourcing services agreement with Automatic Data Processing, Inc. (“ADP”) before the Company’s spin-off from ADP in March 2007 (the “ADP Agreement”) under which ADP provided the Company with data center services. The ADP Agreement expired on June 30, 2012. The Company has no further obligation with ADP for data center services. | |
In March 2010, the Company and International Business Machines Corporation (“IBM”) entered into an Information Technology Services Agreement (the “IT Services Agreement”), under which IBM provides certain aspects of the Company’s information technology infrastructure that were previously provided under the ADP Agreement. Under the IT Services Agreement, IBM provides a broad range of technology services to the Company including supporting its mainframe, midrange, server, network and data center operations, as well as providing disaster recovery services. The Company has the option of incorporating additional services into the agreement over time. The migration of the data center processing from ADP to IBM was completed in August 2012. The IT Services Agreement expires on June 30, 2022. The Company has the right to renew the initial term of the IT Services Agreement for up to one additional 12-month term. Commitments remaining under this agreement at September 30, 2013 are $481.9 million through fiscal year 2022, the final year of the contract. | |
It is not the Company’s business practice to enter into off-balance sheet arrangements. However, the Company is exposed to market risk from changes in foreign currency exchange rates that could impact its financial position, results of operations, and cash flows. The Company manages its exposure to these market risks through its regular operating and financing activities and, when deemed appropriate, through the use of derivative financial instruments. The Company may use derivative financial instruments as risk management tools and not for trading purposes. The Company was not a party to any derivative financial instruments as of September 30, 2013 and June 30, 2013, respectively. In the normal course of business, the Company also enters into contracts in which it makes representations and warranties that relate to the performance of the Company’s products and services. The Company does not expect any material losses related to such representations and warranties, or collateral arrangements. | |
The Company’s business process outsourcing and mutual fund processing services are performed by a registered broker-dealer. As a registered broker-dealer and member of Financial Industry Regulatory Authority, Inc. (“FINRA”), it is subject to regulations concerning many aspects of its business, including trade practices, capital requirements, record retention, money laundering prevention, the protection of customer funds and customer securities, and the supervision of the conduct of directors, officers and employees. A failure to comply with any of these laws, rules or regulations could result in censure, fine, the issuance of cease-and-desist orders, or the suspension or revocation of SEC or FINRA authorization granted to allow the operation of its business or disqualification of its directors, officers or employees. In addition, as a registered broker-dealer, it is required to participate in the Securities Investor Protection Corporation (“SIPC”) for the benefit of customers. In addition, MG Trust Company, LLC (“MG Trust Company”), a subsidiary of Matrix, is a Colorado State non-depository trust company whose primary business is to provide cash agent, custodial and directed or non-discretionary trust services to institutional customers. MG Trust Company operates pursuant to the rules and regulations of the Colorado Division of Banking. |
Changes_in_Accumulated_Other_C
Changes in Accumulated Other Comprehensive Income by Component | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Changes in Accumulated Other Comprehensive Income by Component | ' | ||||||||||||||||
NOTE 13. CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME BY COMPONENT | |||||||||||||||||
The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive income: | |||||||||||||||||
Foreign | Available- | Pension | Total | ||||||||||||||
Currency | for-Sale | and Post- | |||||||||||||||
Translation | Securities | Retirement | |||||||||||||||
Liabilities | |||||||||||||||||
($ in millions) | |||||||||||||||||
Balances at July 1, 2013 | $ | 7.6 | $ | 1.1 | $ | (4.5 | ) | $ | 4.2 | ||||||||
Other comprehensive loss before reclassifications | (1.7 | ) | (0.1 | ) | — | (1.8 | ) | ||||||||||
Amounts reclassified from accumulated other comprehensive income | — | — | 0.1 | 0.1 | |||||||||||||
Balances at September 30, 2013 | $ | 5.9 | $ | 1 | $ | (4.4 | ) | $ | 2.5 | ||||||||
The following table summarizes the reclassifications out of accumulated other comprehensive income: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
($ in millions) | |||||||||||||||||
Pension and Post-retirement liabilities: | |||||||||||||||||
Amortization of loss reclassified into Selling, general and administrative expenses | $ | 0.1 | $ | 0.2 | |||||||||||||
Tax income | — | (0.1 | ) | ||||||||||||||
Amortization of loss net of tax | $ | 0.1 | $ | 0.1 | |||||||||||||
Interim_Financial_Data_by_Segm
Interim Financial Data by Segment | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Segment Reporting [Abstract] | ' | ||||||||
Interim Financial Data by Segment | ' | ||||||||
NOTE 14. INTERIM FINANCIAL DATA BY SEGMENT | |||||||||
The Company classifies its operations into the following two reportable segments: Investor Communication Solutions and Securities Processing Solutions. | |||||||||
The primary components of “Other” are the elimination of intersegment revenues and profits as well as certain unallocated expenses. Foreign currency exchange is a reconciling item between the actual foreign currency exchange rates and fiscal year 2014 budgeted foreign currency exchange rates. | |||||||||
Certain corporate expenses, as well as certain centrally managed expenses, are allocated based upon budgeted amounts in a reasonable manner. Because the Company compensates the management of its various businesses on, among other factors, segment profit, the Company may elect to record certain segment-related expense items of an unusual or non-recurring nature in Other rather than reflect such items in segment profit. | |||||||||
Segment results: | |||||||||
Revenues | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Investor Communication Solutions | $ | 376.2 | $ | 339.5 | |||||
Securities Processing Solutions | 168.7 | 153.9 | |||||||
Foreign currency exchange | 0.3 | 2.4 | |||||||
Total | $ | 545.2 | $ | 495.8 | |||||
Earnings (Loss) before Income Taxes | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Investor Communication Solutions | $ | 40.9 | $ | 27.2 | |||||
Securities Processing Solutions | 31.7 | 9.4 | |||||||
Other | (8.0 | ) | (11.9 | ) | |||||
Foreign currency exchange | 4.7 | 3.9 | |||||||
Total | $ | 69.3 | $ | 28.6 | |||||
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
B. Basis of Presentation. The Condensed Consolidated Financial Statements have been prepared in accordance with United States of America (“U.S.”) generally accepted accounting principles (“GAAP”). These financial statements present the condensed consolidated position of the Company. These financial statements include the entities in which the Company directly or indirectly has a controlling financial interest and various entities in which the Company has investments recorded under both the cost and equity methods of accounting. Intercompany balances and transactions have been eliminated. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These Condensed Consolidated Financial Statements should be read in conjunction with the Company’s Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013 (the “2013 Annual Report”) filed on August 8, 2013 with the Securities and Exchange Commission (the “SEC”). These Condensed Consolidated Financial Statements include all normal and recurring adjustments necessary for a fair presentation in accordance with GAAP of the Company’s financial position at September 30, 2013 and June 30, 2013, the results of its operations for the three months ended September 30, 2013 and 2012 and its cash flows for the three months ended September 30, 2013 and 2012. | |
Use of Estimates | ' |
C. Use of Estimates. The preparation of these financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Condensed Consolidated Financial Statements and accompanying notes thereto. Actual results may differ from those estimates. | |
Cash and Cash Equivalents | ' |
D. Cash and Cash Equivalents. Investment securities with an original maturity of 90 days or less are considered cash equivalents. The fair value of the Company’s cash and cash equivalents approximates carrying value. | |
Financial Instruments | ' |
E. Financial Instruments. Substantially all of the financial instruments of the Company other than Long-term debt are carried at fair values, or at carrying amounts that approximate fair values because of the short maturity of the instruments. The carrying value of the Company’s long-term fixed-rate senior notes represents the face value of the long-term fixed-rate senior notes net of the unamortized discount. The fair value of the Company’s long-term fixed-rate senior notes is based on quoted market prices. See Note 9, “Borrowings,” for a further discussion of the Company’s long-term fixed-rate senior notes. | |
Subsequent Events | ' |
F. Subsequent Events. In preparing the accompanying Condensed Consolidated Financial Statements, in accordance with Accounting Standards Codification Topic (“ASC”) No. 855, “Subsequent Events,” the Company has reviewed events that have occurred after September 30, 2013, through the date of issuance of the Condensed Consolidated Financial Statements. During this period, the Company did not have any material subsequent events. | |
New Accounting Pronouncements | ' |
NEW ACCOUNTING PRONOUNCEMENTS | |
In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (“ASU No. 2013-11”) to provide guidance on the presentation of unrecognized tax benefits. ASU No. 2013-11 requires an entity to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit, as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows: to the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. ASU No. 2013-11 is effective for the Company in our first quarter of fiscal 2015 with earlier adoption permitted. ASU No. 2013-11 should be applied prospectively with retroactive application permitted. The adoption of ASU No. 2013-11 will not impact the Company’s consolidated results of operations, cash flows or financial condition as it only requires a change in the Company’s presentation of unrecognized tax benefits. | |
In February 2013, the FASB issued ASU No. 2013-02, “Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU No. 2013-02”). ASU No. 2013-02 requires entities to provide information about the amounts reclassified out of accumulated other comprehensive income by component. In addition, entities are required to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For amounts not required to be reclassified in their entirety to net income, entities are required to cross-reference to other disclosures under GAAP that provide additional detail about those amounts. ASU No. 2013-02 became effective for the Company in the first quarter of fiscal year 2014. The adoption of ASU No. 2013-02 did not have a material impact on the Company’s consolidated results of operations, cash flows or financial condition. The disclosures required by this guidance are presented in Note 13, “Changes in Accumulated Other Comprehensive Income by Component.” | |
In July 2012, the FASB issued ASU No. 2012-02, “Intangibles—Goodwill and Other: Testing indefinite-lived intangible assets for impairment” (“ASU No. 2012-02”). The revised standard is intended to reduce the cost and complexity of testing indefinite-lived intangible assets other than goodwill for impairment by providing entities with an option to perform a qualitative assessment to determine whether further impairment testing is necessary. The approach is similar to the guidance in ASU No. 2011-08 for goodwill impairment testing. ASU No. 2012-02 is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012 and early adoption is permitted. ASU No. 2012-02 became effective for the Company this quarter. The adoption of ASU No. 2012-02 did not have a material impact on the Company’s consolidated results of operations, cash flows or financial condition. |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Denominators of Basic and Diluted EPS Computations | ' | ||||||||
The following table sets forth the denominators of the basic and diluted EPS computations (in millions): | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
Weighted-average shares outstanding: | |||||||||
Basic | 119.1 | 124 | |||||||
Common stock equivalents | 4 | 3.1 | |||||||
Diluted | 123.1 | 127.1 | |||||||
Other_Expenses_Net_Tables
Other Expenses, Net (Tables) | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Other Income And Expenses [Abstract] | ' | ||||||||
Components of Other Expenses, Net | ' | ||||||||
Other expenses, net consisted of the following: | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Interest expense on borrowings | $ | 4.6 | $ | 3.5 | |||||
Interest income | (0.2 | ) | (0.5 | ) | |||||
Foreign currency exchange (gain) loss | (1.2 | ) | 0.8 | ||||||
Other, net | 1.7 | 0.5 | |||||||
Other expenses, net | $ | 4.9 | $ | 4.3 | |||||
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | ' | ||||||||||||||||
The following tables set forth the Company’s financial assets and liabilities at September 30, 2013 and June 30, 2013, respectively, that are measured at fair value on a recurring basis during the period, segregated by level within the fair value hierarchy: | |||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
($ in millions) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds(1) | $ | 33.4 | $ | — | $ | — | $ | 33.4 | |||||||||
Other current assets: | |||||||||||||||||
Available-for-sale equity securities | — | — | — | — | |||||||||||||
Other non-current assets: | |||||||||||||||||
Available-for-sale equity securities | 17.5 | — | 1.1 | 18.6 | |||||||||||||
Total as of September 30, 2013 | $ | 50.9 | $ | — | $ | 1.1 | $ | 52 | |||||||||
Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
($ in millions) | |||||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds(1) | $ | 122.1 | $ | — | $ | — | $ | 122.1 | |||||||||
Other current assets: | |||||||||||||||||
Available-for-sale equity securities | — | — | — | — | |||||||||||||
Other non-current assets: | |||||||||||||||||
Available-for-sale equity securities | 15.8 | — | 1.1 | 16.9 | |||||||||||||
Total as of June 30, 2013 | $ | 137.9 | $ | — | $ | 1.1 | $ | 139 | |||||||||
-1 | Money market funds includes MMDA account balances of $20.6 million and $87.1 million as of September 30, 2013 and June 30, 2013, respectively. | ||||||||||||||||
Schedule of Changes in Level 3 Financial Assets | ' | ||||||||||||||||
The following table sets forth an analysis of changes during the three months ended September 30, 2013 in Level 3 financial assets of the Company: | |||||||||||||||||
September 30, | June 30, | ||||||||||||||||
2013 | 2013 | ||||||||||||||||
($ in millions) | |||||||||||||||||
Beginning balance, | $ 1.1 | $ — | |||||||||||||||
Net realized/unrealized gains (losses) | — | — | |||||||||||||||
Purchases | — | 1.1 | |||||||||||||||
Transfers in (out) of Level 3 | — | — | |||||||||||||||
Ending balance, | $ 1.1 | $ 1.1 | |||||||||||||||
Other_NonCurrent_Assets_Tables
Other Non-Current Assets (Tables) | 3 Months Ended | ||||||||||
Sep. 30, 2013 | |||||||||||
Deferred Costs Capitalized Prepaid And Other Assets Disclosure [Abstract] | ' | ||||||||||
Schedule of Other Non-Current Assets | ' | ||||||||||
Other non-current assets consisted of the following: | |||||||||||
September 30, | June 30, | ||||||||||
2013 | 2013 | ||||||||||
($ in millions) | |||||||||||
Deferred client conversion and start-up costs | $135.10 | $133.30 | |||||||||
Deferred data center costs | 47.5 | 48.8 | |||||||||
Long-term investments | 22.3 | 20.9 | |||||||||
Long-term broker fees | 8.6 | 9.2 | |||||||||
Other | 20.4 | 19.1 | |||||||||
Total | $233.90 | $231.30 | |||||||||
Accrued_Expenses_and_Other_Cur1
Accrued Expenses and Other Current Liabilities (Tables) | 3 Months Ended | ||||||||||
Sep. 30, 2013 | |||||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||||
Components of Accrued Expenses and Other Current Liabilities | ' | ||||||||||
Accrued expenses and other current liabilities consisted of the following: | |||||||||||
September 30, | June 30, | ||||||||||
2013 | 2013 | ||||||||||
($ in millions) | |||||||||||
Employee compensation and benefits | $ 82.9 | $143.10 | |||||||||
Accrued broker fees | 24.3 | 49.2 | |||||||||
Accrued income tax liability | 27.7 | 51.8 | |||||||||
Accrued dividend payable | 24.1 | 21 | |||||||||
Other | 12.8 | 12.1 | |||||||||
Total | $171.80 | $277.20 | |||||||||
Borrowings_Tables
Borrowings (Tables) | 3 Months Ended | ||||||||||||||
Sep. 30, 2013 | |||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||
Outstanding Borrowings | ' | ||||||||||||||
Outstanding borrowings and available capacity under the Company’s borrowing arrangements were as follows: | |||||||||||||||
Expiration | September 30, | June 30, | Unused | ||||||||||||
Date | 2013 | 2013 | Available | ||||||||||||
Capacity | |||||||||||||||
($ in millions) | |||||||||||||||
Long-term debt | |||||||||||||||
Fiscal 2012 Term loan facility | (a) | $ | — | $ | 400 | $ | — | ||||||||
Fiscal 2012 Revolving credit facility | September 2016 | — | — | 500 | |||||||||||
Fiscal 2007 Senior notes | June 2017 | 124.5 | 124.5 | — | |||||||||||
Fiscal 2014 Senior notes | September 2020 | 399.5 | — | — | |||||||||||
Total debt | $ | 524 | $ | 524.5 | $ | 500 | |||||||||
(a) | In September 2013, the Company repaid in full the outstanding $400.0 million remaining on the Fiscal 2012 Term loan facility. |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||||||||||
Summary of Incentive Equity Awards | ' | ||||||||||||||||||||||||
The activity related to the Company’s incentive equity awards for the three months ended September 30, 2013 consisted of the following: | |||||||||||||||||||||||||
Stock Options | Time-based | Performance-based | |||||||||||||||||||||||
Restricted Stock Units | Restricted Stock Units | ||||||||||||||||||||||||
Number of | Weighted- | Number | Weighted- | Number | Weighted- | ||||||||||||||||||||
Options (d) | Average | of Shares | Average | of | Average | ||||||||||||||||||||
Exercise | Grant Date | Shares | Grant Date | ||||||||||||||||||||||
Price | Fair Value | Fair Value | |||||||||||||||||||||||
Balances at July 1, 2013 | 10,985,482 | $ | 20.39 | 2,086,834 | $ | 19.65 | 572,823 | $ | 19.96 | ||||||||||||||||
Granted | 15,406 | 31.28 | 12,147 | 30.1 | 18,705 | 28.96 | |||||||||||||||||||
Exercise of stock options (a) | (330,467 | ) | 17.92 | — | — | — | — | ||||||||||||||||||
Vesting of restricted stock units (b) | — | — | — | — | (5,210 | ) | 23.3 | ||||||||||||||||||
Expired/forfeited | (29,294 | ) | 23.11 | (53,974 | ) | 19.46 | — | — | |||||||||||||||||
Balances at September 30, 2013 (c) | 10,641,127 | $ | 20.47 | 2,045,007 | $ | 19.72 | 586,318 | $ | 20.22 | ||||||||||||||||
(a) | Stock options exercised during the period of July 1, 2013 through September 30, 2013 had an intrinsic value of $4.0 million. | ||||||||||||||||||||||||
(b) | Performance-based restricted stock units that vested during the period of July 1, 2013 through September 30, 2013 had a fair value of $0.1 million. | ||||||||||||||||||||||||
(c) | As of September 30, 2013, the Company’s outstanding “in the money” stock options using the September 30, 2013 closing stock price of $31.75 (approximately 8.3 million shares) had an aggregate intrinsic value of $99.3 million. As of September 30, 2013, time-based restricted stock units and performance-based restricted stock units expected to vest using the September 30, 2013 share price of $31.75 (approximately 1.8 million and 0.6 million shares, respectively) had an aggregate intrinsic value of $58.2 million and $19.7 million, respectively. | ||||||||||||||||||||||||
(d) | Stock options outstanding as of September 30, 2013 have a weighted-average remaining contractual life of 5.3 years and 8.3 million stock options are exercisable. | ||||||||||||||||||||||||
Changes_in_Accumulated_Other_C1
Changes in Accumulated Other Comprehensive Income by Component (Tables) | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Summary of Changes in Accumulated Balances for Each Component of Accumulated Other Comprehensive Income | ' | ||||||||||||||||
The following table summarizes the changes in the accumulated balances for each component of accumulated other comprehensive income: | |||||||||||||||||
Foreign | Available- | Pension | Total | ||||||||||||||
Currency | for-Sale | and Post- | |||||||||||||||
Translation | Securities | Retirement | |||||||||||||||
Liabilities | |||||||||||||||||
($ in millions) | |||||||||||||||||
Balances at July 1, 2013 | $ | 7.6 | $ | 1.1 | $ | (4.5 | ) | $ | 4.2 | ||||||||
Other comprehensive loss before reclassifications | (1.7 | ) | (0.1 | ) | — | (1.8 | ) | ||||||||||
Amounts reclassified from accumulated other comprehensive income | — | — | 0.1 | 0.1 | |||||||||||||
Balances at September 30, 2013 | $ | 5.9 | $ | 1 | $ | (4.4 | ) | $ | 2.5 | ||||||||
Summary of Reclassifications Out of Accumulated Other Comprehensive Income | ' | ||||||||||||||||
The following table summarizes the reclassifications out of accumulated other comprehensive income: | |||||||||||||||||
Three Months Ended | |||||||||||||||||
September 30, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
($ in millions) | |||||||||||||||||
Pension and Post-retirement liabilities: | |||||||||||||||||
Amortization of loss reclassified into Selling, general and administrative expenses | $ | 0.1 | $ | 0.2 | |||||||||||||
Tax income | — | (0.1 | ) | ||||||||||||||
Amortization of loss net of tax | $ | 0.1 | $ | 0.1 | |||||||||||||
Interim_Financial_Data_by_Segm1
Interim Financial Data by Segment (Tables) | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Segment Reporting [Abstract] | ' | ||||||||
Segment Results | ' | ||||||||
Segment results: | |||||||||
Revenues | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Investor Communication Solutions | $ | 376.2 | $ | 339.5 | |||||
Securities Processing Solutions | 168.7 | 153.9 | |||||||
Foreign currency exchange | 0.3 | 2.4 | |||||||
Total | $ | 545.2 | $ | 495.8 | |||||
Earnings (Loss) before Income Taxes | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
($ in millions) | |||||||||
Investor Communication Solutions | $ | 40.9 | $ | 27.2 | |||||
Securities Processing Solutions | 31.7 | 9.4 | |||||||
Other | (8.0 | ) | (11.9 | ) | |||||
Foreign currency exchange | 4.7 | 3.9 | |||||||
Total | $ | 69.3 | $ | 28.6 | |||||
Basis_of_Presentation_Addition
Basis of Presentation - Additional Information (Detail) | 3 Months Ended |
Sep. 30, 2013 | |
Accounting Policies [Abstract] | ' |
Investment securities maturity period for consideration as cash equivalents, in days | '90 days |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Earnings Per Share [Abstract] | ' | ' |
Anti-diluted options related to the purchase of common stock | 0 | 2.7 |
Earnings_Per_Share_Denominator
Earnings Per Share - Denominators of Basic and Diluted EPS Computations (Detail) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Weighted-average shares outstanding: | ' | ' |
Basic | 119.1 | 124 |
Common stock equivalents | 4 | 3.1 |
Diluted | 123.1 | 127.1 |
Other_Expenses_Net_Components_
Other Expenses, Net - Components of Other Expenses, Net (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Other Expenses [Abstract] | ' | ' |
Interest expense on borrowings | $4.60 | $3.50 |
Interest income | -0.2 | -0.5 |
Foreign currency exchange (gain) loss | -1.2 | 0.8 |
Other, net | 1.7 | 0.5 |
Other expenses, net | $4.90 | $4.30 |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) (USD $) | 3 Months Ended | 3 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | Jul. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Entity | Entity | Bonaire [Member] | Bonaire [Member] | Bonaire [Member] | ||
Software Technology [Member] | Customer Relationships [Member] | |||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' |
Number of businesses acquired | 1 | 0 | ' | ' | ' | ' |
Reduction in fair value of contingent consideration | $3.30 | ' | ' | ' | ' | ' |
Purchase price of acquired entity | ' | ' | ' | 37.7 | ' | ' |
Net liabilities assumed | ' | ' | ' | 1.6 | ' | ' |
Liability for fair value of potential additional cash payments | ' | ' | ' | 0.5 | ' | ' |
Goodwill from acquisition | 809.3 | ' | 778.4 | 29.2 | ' | ' |
Intangible assets acquired | ' | ' | ' | $10.10 | ' | ' |
Finite-lived intangible assets, remaining amortization period, years | ' | ' | ' | ' | '7 years | '10 years |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments - Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Cash and cash equivalents: | ' | ' |
Money market funds | $33.40 | $122.10 |
Other current assets: | ' | ' |
Available-for-sale equity securities | ' | ' |
Other non-current assets: | ' | ' |
Available-for-sale equity securities | 18.6 | 16.9 |
Total | 52 | 139 |
Level 1 [Member] | ' | ' |
Cash and cash equivalents: | ' | ' |
Money market funds | 33.4 | 122.1 |
Other current assets: | ' | ' |
Available-for-sale equity securities | ' | ' |
Other non-current assets: | ' | ' |
Available-for-sale equity securities | 17.5 | 15.8 |
Total | 50.9 | 137.9 |
Level 2 [Member] | ' | ' |
Cash and cash equivalents: | ' | ' |
Money market funds | ' | ' |
Other current assets: | ' | ' |
Available-for-sale equity securities | ' | ' |
Other non-current assets: | ' | ' |
Available-for-sale equity securities | ' | ' |
Total | ' | ' |
Level 3 [Member] | ' | ' |
Cash and cash equivalents: | ' | ' |
Money market funds | ' | ' |
Other current assets: | ' | ' |
Available-for-sale equity securities | ' | ' |
Other non-current assets: | ' | ' |
Available-for-sale equity securities | 1.1 | 1.1 |
Total | $1.10 | $1.10 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments - Summary of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Parenthetical) (Detail) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
MMDA account balances | $33.40 | $122.10 |
MMDA Account [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
MMDA account balances | $20.60 | $87.10 |
Fair_Value_of_Financial_Instru4
Fair Value of Financial Instruments - Schedule of Changes in Level 3 Financial Assets (Detail) (USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2013 |
Fair Value Disclosures [Abstract] | ' | ' |
Beginning balance | $1.10 | ' |
Net realized/unrealized gains (losses) | ' | ' |
Purchases | ' | 1.1 |
Transfers in (out) of Level 3 | ' | ' |
Ending balance | $1.10 | $1.10 |
Other_NonCurrent_Assets_Schedu
Other Non-Current Assets - Schedule of Other Non-Current Assets (Detail) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Statement Of Financial Position [Abstract] | ' | ' |
Deferred client conversion and start-up costs | $135.10 | $133.30 |
Deferred data center costs | 47.5 | 48.8 |
Long-term investments | 22.3 | 20.9 |
Long-term broker fees | 8.6 | 9.2 |
Other | 20.4 | 19.1 |
Total | $233.90 | $231.30 |
Accrued_Expenses_and_Other_Cur2
Accrued Expenses and Other Current Liabilities - Components of Accrued Expenses and Other Current Liabilities (Detail) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Millions, unless otherwise specified | ||
Payables And Accruals [Abstract] | ' | ' |
Employee compensation and benefits | $82.90 | $143.10 |
Accrued broker fees | 24.3 | 49.2 |
Accrued income tax liability | 27.7 | 51.8 |
Accrued dividend payable | 24.1 | 21 |
Other | 12.8 | 12.1 |
Total | $171.80 | $277.20 |
Borrowings_Outstanding_Borrowi
Borrowings - Outstanding Borrowings (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2013 |
Line of Credit Facility [Line Items] | ' | ' |
Total debt | $524 | $524.50 |
Unused Available Capacity | 500 | ' |
Term Loan Facility [Member] | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Term loan facility | ' | 400 |
Unused Available Capacity | ' | ' |
Revolving Credit Facility [Member] | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Expiration Date | 30-Sep-16 | ' |
Revolving credit facility | ' | ' |
Unused Available Capacity | 500 | ' |
2007 Senior Notes [Member] | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Expiration Date | 30-Jun-17 | ' |
Senior notes | 124.5 | 124.5 |
Unused Available Capacity | ' | ' |
2014 Senior Notes [Member] | ' | ' |
Line of Credit Facility [Line Items] | ' | ' |
Expiration Date | 30-Sep-20 | ' |
Senior notes | 399.5 | ' |
Unused Available Capacity | ' | ' |
Borrowings_Outstanding_Borrowi1
Borrowings - Outstanding Borrowings (Parenthetical) (Detail) (USD $) | 12 Months Ended | 3 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2012 | Sep. 30, 2013 |
Term Loan Facility [Member] | ||
Line of Credit Facility [Line Items] | ' | ' |
Repayment of revolving credit facility | $90 | $400 |
Borrowings_Additional_Informat
Borrowings - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | 3 Months Ended | 3 Months Ended | 3 Months Ended | 3 Months Ended | |||||||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2012 | Jun. 30, 2013 | 31-May-07 | Aug. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2009 | Sep. 30, 2013 | Sep. 22, 2011 | Sep. 30, 2013 | Sep. 22, 2011 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 22, 2011 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 |
Six Point One Two Five Percent Senior Notes [Member] | Three Point Nine Five Percent Senior Notes [Member] | 2007 Senior Notes [Member] | 2007 Senior Notes [Member] | 2007 Senior Notes [Member] | 2014 Senior Notes [Member] | Fiscal 2012 Credit Facilities [Member] | Five-Year Term Loan Facility [Member] | Five-Year Term Loan Facility [Member] | Five-Year Revolving Credit Facility [Member] | Five-Year Revolving Credit Facility [Member] | Five-Year Revolving Credit Facility [Member] | Fiscal 2012 Credit Facilities [Member] | Fiscal 2012 Credit Facilities [Member] | Fiscal 2012 Term Loan [Member] | Fiscal 2012 Term Loan [Member] | ||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit facility maximum borrowing capacity | ' | $490 | ' | ' | ' | ' | ' | ' | ' | $990 | ' | $490 | ' | ' | $500 | ' | ' | ' | ' |
Interest at LIBOR plus basis points | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.25% | ' | 1.25% | ' | ' | ' | ' | ' | ' |
Annual facility fee (as basis points) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.15% | ' | ' | ' | ' | ' | ' |
Annual facility fee, Total | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.2 | 0.2 | ' | ' | ' | ' | ' |
Debt issuance costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' |
Debt issuance cost expensed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.1 | ' | ' | ' |
Debt issuance cost capitalized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.9 | ' | ' | 2.9 | ' | 0.9 | ' |
Accumulated Amortization of debt issuance costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | 1 | ' | ' |
Repayment of borrowings | ' | 90 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400 | ' |
Weighted-average interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.44% | 1.49% |
Senior notes offered | ' | ' | ' | 250 | 400 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate | ' | ' | ' | ' | ' | 6.13% | ' | ' | 3.95% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of notes issued | 99.10% | ' | ' | ' | ' | ' | ' | ' | 99.87% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Effective yield to maturity | 6.25% | ' | ' | ' | ' | ' | ' | ' | 3.97% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments of debt issuance costs | 4.3 | ' | ' | ' | ' | 1.9 | ' | ' | 4.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization related to the senior notes | ' | ' | ' | ' | ' | 1.2 | 1.1 | ' | 0.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt issuance cost, amortization period | ' | ' | ' | ' | ' | '10 years | ' | ' | '7 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchased, Principal amount of Senior Notes | ' | ' | ' | ' | ' | ' | ' | 125 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unamortized bond discount | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior Notes, fair value | ' | ' | ' | ' | ' | 137.5 | 138.2 | ' | 407.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding amount of line of credit | $0 | ' | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
StockBased_Compensation_Summar
Stock-Based Compensation - Summary of Incentive Equity Awards (Detail) (USD $) | 3 Months Ended |
Sep. 30, 2013 | |
Stock Options [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Weighted-Average Exercise Price, Beginning balance | $20.39 |
Weighted-Average Exercise Price, Granted | $31.28 |
Weighted-Average Exercise Price, Exercise of stock options | $17.92 |
Weighted-Average Exercise Price, Expired/forfeited | $23.11 |
Weighted-Average Exercise Price, Ending balance | $20.47 |
Number of Options, Beginning balance | 10,985,482 |
Number of Options, Granted | 15,406 |
Number of Options, Exercise of stock options | -330,467 |
Number of Options, Vesting of restricted stock units | ' |
Number of Options, Expired/forfeited | -29,294 |
Number of Options, Ending balance | 10,641,127 |
Time-Based Restricted Stock Units [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Weighted-Average Grant Date Fair Value, Beginning balance | $19.65 |
Weighted-Average Grant Date Fair Value, Granted | $30.10 |
Weighted-Average Grant Date Fair Value, Vesting of restricted stock units | ' |
Weighted-Average Grant Date Fair Value, Expired/forfeited | $19.46 |
Weighted-Average Grant Date Fair Value, Ending balance | $19.72 |
Number of Options, Beginning balance | 2,086,834 |
Number of Options, Granted | 12,147 |
Number of Options, Exercise of stock options | 0 |
Number of Options, Vesting of restricted stock units | ' |
Number of Options, Expired/forfeited | -53,974 |
Number of Options, Ending balance | 2,045,007 |
Performance-Based Restricted Stock Units [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Weighted-Average Grant Date Fair Value, Beginning balance | $19.96 |
Weighted-Average Grant Date Fair Value, Granted | $28.96 |
Weighted-Average Grant Date Fair Value, Vesting of restricted stock units | $23.30 |
Weighted-Average Grant Date Fair Value, Expired/forfeited | ' |
Weighted-Average Grant Date Fair Value, Ending balance | $20.22 |
Number of Options, Beginning balance | 572,823 |
Number of Options, Granted | 18,705 |
Number of Options, Exercise of stock options | 0 |
Number of Options, Vesting of restricted stock units | -5,210 |
Number of Options, Expired/forfeited | ' |
Number of Options, Ending balance | 586,318 |
StockBased_Compensation_Summar1
Stock-Based Compensation - Summary of Incentive Equity Awards (Parenthetical) (Detail) (USD $) | 3 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Intrinsic values of stock options exercised | $4 |
Outstanding "in the money" stock options using current period closing stock price | $31.75 |
Shares, outstanding | 8.3 |
Outstanding "in the money" stock options aggregate intrinsic value | 99.3 |
Stock options outstanding, weighted-average remaining contractual life | '5 years 3 months 18 days |
Stock options exercisable | 8.3 |
Time-Based Restricted Stock Units [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share price | $31.75 |
Shares | 1.8 |
Aggregate intrinsic value | 58.2 |
Performance-Based Restricted Stock Units [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Intrinsic values of Performance-based restricted stock units | 0.1 |
Share price | $31.75 |
Shares | 0.6 |
Aggregate intrinsic value | $19.70 |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' |
Stock-based compensation expense | $4.80 | $4.50 |
Related tax benefits | 1.8 | 1.7 |
Unrecognized compensation cost related to non-vested stock options | 5.2 | ' |
Unrecognized compensation cost of restricted stock awards | $20.20 | ' |
Amortization period of unrecognized compensation cost | '3 years | ' |
Amortization period of unrecognized compensation cost for restricted stock awards | '1 year 3 months 18 days | ' |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Income Tax Disclosure [Abstract] | ' | ' |
Provision for income taxes | $24.90 | $10.30 |
Effective income tax rate | 35.90% | 36.00% |
Contractual_Commitments_Contin1
Contractual Commitments, Contingencies and Off-Balance Sheet Arrangements - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2013 | Sep. 30, 2013 |
Automatic Data Processing, Inc. [Member] | IT Services Agreement [Member] | |
Contractual Commitments Contingencies And Off- Balance Sheet Arrangements [Line Items] | ' | ' |
Expiration date on agreement | 'June 30, 2012 | 'June 30, 2022 |
Commitments under agreement | ' | $481.90 |
Changes_in_Accumulated_Other_C2
Changes in Accumulated Other Comprehensive Income by Component - Summary of Changes in Accumulated Balances for Each Component of Accumulated Other Comprehensive Income (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Balance, beginning | $4.20 |
Other comprehensive loss before reclassifications | -1.8 |
Amounts reclassified from accumulated other comprehensive income | 0.1 |
Balance, ending | 2.5 |
Foreign Currency Translation [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Balance, beginning | 7.6 |
Other comprehensive loss before reclassifications | -1.7 |
Amounts reclassified from accumulated other comprehensive income | ' |
Balance, ending | 5.9 |
Available-for-Sale Securities [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Balance, beginning | 1.1 |
Other comprehensive loss before reclassifications | -0.1 |
Amounts reclassified from accumulated other comprehensive income | ' |
Balance, ending | 1 |
Pension and Post-Retirement Liabilities [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Balance, beginning | -4.5 |
Other comprehensive loss before reclassifications | ' |
Amounts reclassified from accumulated other comprehensive income | 0.1 |
Balance, ending | ($4.40) |
Changes_in_Accumulated_Other_C3
Changes in Accumulated Other Comprehensive Income by Component - Summary of Reclassifications Out of Accumulated Other Comprehensive Income (Detail) (Reclassification out of Accumulated Other Comprehensive Income [Member], USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' |
Pension and Post-retirement liabilities: | ' | ' |
Amortization of loss reclassified into Selling, general and administrative expenses | $0.10 | $0.20 |
Tax income | ' | -0.1 |
Amortization of loss net of tax | $0.10 | $0.10 |
Interim_Financial_Data_by_Segm2
Interim Financial Data by Segment - Additional Information (Detail) | 3 Months Ended |
Sep. 30, 2013 | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of reportable segments | 2 |
Interim_Financial_Data_by_Segm3
Interim Financial Data by Segment - Segment Results (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | $545.20 | $495.80 |
Earnings (Loss) before Income Taxes | 69.3 | 28.6 |
Operating Segments [Member] | Investor Communication Solutions [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 376.2 | 339.5 |
Earnings (Loss) before Income Taxes | 40.9 | 27.2 |
Operating Segments [Member] | Securities Processing Solutions [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 168.7 | 153.9 |
Earnings (Loss) before Income Taxes | 31.7 | 9.4 |
Other [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Earnings (Loss) before Income Taxes | -8 | -11.9 |
Foreign Currency Exchange [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues | 0.3 | 2.4 |
Earnings (Loss) before Income Taxes | $4.70 | $3.90 |