Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Apr. 30, 2015 | Jun. 19, 2015 | Oct. 31, 2014 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Apr. 30, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | KFY | ||
Entity Registrant Name | KORN FERRY INTERNATIONAL | ||
Entity Central Index Key | 56,679 | ||
Current Fiscal Year End Date | --04-30 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 50,626,827 | ||
Entity Public Float | $ 1,437,981,608 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | |
ASSETS | |||
Cash and cash equivalents | $ 380,838 | $ 333,717 | |
Marketable securities | 25,757 | 9,566 | |
Receivables due from clients, net of allowance for doubtful accounts of $9,958 and $9,513, respectively | 188,543 | 175,986 | |
Income taxes and other receivables | 10,966 | 8,244 | |
Deferred income taxes | 3,827 | 4,486 | |
Prepaid expenses and other assets | 31,054 | 29,955 | |
Total current assets | 640,985 | 561,954 | |
Marketable securities, non-current | 118,819 | 124,993 | |
Property and equipment, net | [1] | 62,088 | 60,434 |
Cash surrender value of company owned life insurance policies, net of loans | 102,691 | 94,274 | |
Deferred income taxes, net | 56,014 | 55,039 | |
Goodwill | [1] | 254,440 | 257,582 |
Intangible assets, net | 47,901 | 49,560 | |
Investments and other assets | 34,863 | 29,830 | |
Total assets | [1] | 1,317,801 | 1,233,666 |
LIABILITIES AND STOCKHOLDERS' EQUITY | |||
Accounts payable | 19,238 | 19,375 | |
Income taxes payable | 3,813 | 13,014 | |
Compensation and benefits payable | 219,364 | 192,035 | |
Other accrued liabilities | 63,595 | 62,509 | |
Total current liabilities | 306,010 | 286,933 | |
Deferred compensation and other retirement plans | 173,432 | 169,235 | |
Other liabilities | 23,110 | 21,962 | |
Total liabilities | $ 502,552 | $ 478,130 | |
Commitments and contingencies | |||
Stockholders' equity: | |||
Common stock: $0.01 par value, 150,000 shares authorized, 62,863 and 62,282 shares issued and 50,573 and 49,811 shares outstanding, respectively | $ 463,839 | $ 449,631 | |
Retained earnings | 392,033 | 308,781 | |
Accumulated other comprehensive loss, net | (40,623) | (2,388) | |
Stockholders' equity | 815,249 | 756,024 | |
Less: notes receivable from stockholders | (488) | ||
Total stockholders' equity | 815,249 | 755,536 | |
Total liabilities and stockholders' equity | $ 1,317,801 | $ 1,233,666 | |
[1] | As of the end of the fiscal year. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 |
Allowance for doubtful accounts | $ 9,958 | $ 9,513 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 62,863,000 | 62,282,000 |
Common stock, shares outstanding | 50,573,000 | 49,811,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Fee revenue | $ 1,028,152 | $ 960,301 | $ 812,831 |
Reimbursed out-of-pocket engagement expenses | 37,914 | 35,258 | 36,870 |
Total revenue | 1,066,066 | 995,559 | 849,701 |
Compensation and benefits | 691,450 | 646,889 | 555,346 |
General and administrative expenses | 145,917 | 152,040 | 142,771 |
Reimbursed expenses | 37,914 | 35,258 | 36,870 |
Cost of services | 39,692 | 39,910 | 28,977 |
Depreciation and amortization | 27,597 | 26,172 | 19,004 |
Restructuring charges, net | 9,468 | 3,682 | 22,857 |
Total operating expenses | 952,038 | 903,951 | 805,825 |
Operating income | 114,028 | 91,608 | 43,876 |
Other income, net | 7,458 | 9,769 | 6,309 |
Interest expense, net | (1,784) | (2,363) | (2,365) |
Income before provision for income taxes and equity in earnings of unconsolidated subsidiaries | 119,702 | 99,014 | 47,820 |
Equity in earnings of unconsolidated subsidiaries, net | 2,181 | 2,169 | 2,110 |
Income tax provision | 33,526 | 28,492 | 16,637 |
Net income | $ 88,357 | $ 72,691 | $ 33,293 |
Earnings per common share: | |||
Basic | $ 1.78 | $ 1.51 | $ 0.71 |
Diluted | $ 1.76 | $ 1.48 | $ 0.70 |
Weighted-average common shares outstanding: | |||
Basic | 49,052 | 48,162 | 47,224 |
Diluted | 49,766 | 49,145 | 47,883 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Net income | $ 88,357 | $ 72,691 | $ 33,293 |
Other comprehensive income: | |||
Foreign currency translation adjustments | (36,523) | (1,955) | (5,254) |
Deferred compensation and pension plan adjustments, net of tax | (1,702) | 2,230 | (4,578) |
Unrealized (losses) gains on marketable securities, net of tax | (10) | (32) | 10 |
Comprehensive income | $ 50,122 | $ 72,934 | $ 23,471 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Retained Earnings | Accumulated Other Comprehensive (Loss) Income, Net |
Beginning Balance, Shares at Apr. 30, 2012 | 47,913,000 | |||
Beginning Balance at Apr. 30, 2012 | $ 629,986 | $ 419,998 | $ 202,797 | $ 7,191 |
Comprehensive income | $ 23,471 | 33,293 | (9,822) | |
Purchase of stock, shares | 0 | (197,000) | ||
Purchase of stock | $ (2,838) | $ (2,838) | ||
Issuance of stock (in shares) | 1,018,000 | |||
Issuance of stock | 2,134 | $ 2,134 | ||
Stock-based compensation | 11,920 | 11,920 | ||
Tax benefit from exercise of stock options | 294 | $ 294 | ||
Ending Balance, Shares at Apr. 30, 2013 | 48,734,000 | |||
Ending Balance at Apr. 30, 2013 | 664,967 | $ 431,508 | 236,090 | (2,631) |
Comprehensive income | $ 72,934 | 72,691 | 243 | |
Purchase of stock, shares | 0 | (113,000) | ||
Purchase of stock | $ (2,249) | $ (2,249) | ||
Issuance of stock (in shares) | 1,190,000 | |||
Issuance of stock | 8,805 | $ 8,805 | ||
Stock-based compensation | 12,160 | 12,160 | ||
Tax benefit from exercise of stock options | $ (593) | $ (593) | ||
Ending Balance, Shares at Apr. 30, 2014 | 49,811,000 | 49,811,000 | ||
Ending Balance at Apr. 30, 2014 | $ 756,024 | $ 449,631 | 308,781 | (2,388) |
Comprehensive income | 50,122 | 88,357 | (38,235) | |
Dividends declared | $ (5,105) | (5,105) | ||
Purchase of stock, shares | 0 | (122,000) | ||
Purchase of stock | $ (4,038) | $ (4,038) | ||
Issuance of stock (in shares) | 884,000 | |||
Issuance of stock | 2,993 | $ 2,993 | ||
Stock-based compensation | 13,737 | 13,737 | ||
Tax benefit from exercise of stock options | $ 1,516 | $ 1,516 | ||
Ending Balance, Shares at Apr. 30, 2015 | 50,573,000 | 50,573,000 | ||
Ending Balance at Apr. 30, 2015 | $ 815,249 | $ 463,839 | $ 392,033 | $ (40,623) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Cash flows from operating activities: | |||
Net income | $ 88,357 | $ 72,691 | $ 33,293 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 27,597 | 26,172 | 19,004 |
Stock-based compensation expense | 13,899 | 12,106 | 11,906 |
Provision for doubtful accounts | 7,741 | 7,840 | 6,748 |
Gain on cash surrender value of life insurance policies | (10,509) | (8,242) | (6,502) |
Gain on marketable securities | (8,829) | (9,498) | (7,556) |
Deferred income taxes | (316) | 7,598 | (176) |
Change in other assets and liabilities, net of effect of acquisitions: | |||
Deferred compensation | 10,130 | 12,186 | 8,477 |
Receivables due from clients | (17,213) | (22,318) | (16,011) |
Income taxes and other receivables | 115 | 896 | 4,616 |
Prepaid expenses and other assets | (1,145) | (1,255) | 750 |
Investment in unconsolidated subsidiaries | (2,181) | (2,169) | (2,110) |
Income taxes payable | (9,194) | 7,533 | (3,399) |
Accounts payable and accrued liabilities | 17,790 | 29,104 | 8,494 |
Other | (8,966) | (3,162) | 4,173 |
Net cash provided by operating activities | 107,276 | 129,482 | 61,707 |
Cash flows from investing activities: | |||
Purchase of property and equipment | (21,860) | (28,559) | (13,101) |
Cash paid for acquisitions, net of cash acquired and earnout | (15,296) | (112,064) | |
Purchase of marketable securities | (22,843) | (28,150) | (50,437) |
Proceeds from sales/maturities of marketable securities | 21,362 | 44,475 | 51,511 |
Change in restricted cash | 2,861 | 7,222 | |
Payment of contingent consideration from acquisition | (15,000) | ||
Premium on company-owned life insurance policies | (1,676) | (1,727) | (1,739) |
Proceeds from life insurance policies | 8,087 | 388 | |
Dividends received from unconsolidated subsidiaries | 1,656 | 2,120 | 1,897 |
Net cash used in investing activities | (30,570) | (23,592) | (116,711) |
Cash flows from financing activities: | |||
Payments on life insurance policy loans | (3,301) | (388) | |
Purchase of common stock | (4,038) | (2,249) | (2,838) |
Proceeds from issuance of common stock upon exercise of employee stock options and in connection with an employee stock purchase plan | 2,993 | 8,805 | 2,134 |
Tax benefit from exercise of stock options | 1,516 | (593) | 294 |
Dividends paid to shareholders | (5,105) | ||
Net cash (used in) provided by financing activities | (7,935) | 5,575 | (410) |
Effect of exchange rate changes on cash and cash equivalents | (21,650) | (1,814) | (2,525) |
Net increase (decrease) in cash and cash equivalents | 47,121 | 109,651 | (57,939) |
Cash and cash equivalents at beginning of year | 333,717 | 224,066 | 282,005 |
Cash and cash equivalents at end of year | 380,838 | 333,717 | 224,066 |
Supplemental cash flow information: | |||
Cash used to pay interest | 4,230 | 4,229 | 4,361 |
Cash used to pay income taxes, net of refunds | $ 40,899 | $ 15,604 | $ 10,611 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 12 Months Ended |
Apr. 30, 2015 | |
Organization and Summary of Significant Accounting Policies | 1. Organization and Summary of Significant Accounting Policies Nature of Business Korn/Ferry International, a Delaware corporation (the “Company”), and its subsidiaries are engaged in the business of providing talent management solutions, including executive recruitment on a retained basis, recruitment for non-executive professionals, recruitment process outsourcing and leadership & talent consulting services. The Company’s worldwide network of 78 offices in 37 countries enables it to meet the needs of its clients in all industries. Basis of Consolidation and Presentation The consolidated financial statements include the accounts of the Company and its wholly and majority owned/controlled domestic and international subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The preparation of the consolidated financial statements conform with United States (“U.S.”) generally accepted accounting principles (“GAAP”) and prevailing practice within the industry. The consolidated financial statements include all adjustments, consisting of normal recurring accruals and any other adjustments that management considers necessary for a fair presentation of the results for these periods. Investments in affiliated companies, which are 50% or less owned and where the Company exercises significant influence over operations, are accounted for using the equity method. Dividends received from our unconsolidated subsidiaries were approximately $1.7 million, $2.1 million and $1.9 million during fiscal 2015, 2014 and 2013, respectively. The Company considers events or transactions that occur after the balance sheet date but before the consolidated financial statements are issued to provide additional evidence relative to certain estimates or to identify matters that require additional disclosures. Use of Estimates and Uncertainties The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates, and changes in estimates are reported in current operations as new information is learned or upon the amounts becoming fixed and determinable. The most significant areas that require management judgment are revenue recognition, restructuring, deferred compensation, annual performance related bonuses, evaluation of the carrying value of receivables, goodwill and other intangible assets, fair value of contingent consideration, share-based payments and the recoverability of deferred income taxes. Revenue Recognition Substantially all professional fee revenue is derived from fees for professional services related to executive recruitment performed on a retained basis, recruitment for non-executive professionals, recruitment process outsourcing and leadership & talent consulting services. Fee revenue from executive recruitment activities and recruitment for non-executive professionals is generally one-third of the estimated first year cash compensation of the placed executive or non-executive professional, as applicable, plus a percentage of the fee to cover indirect engagement related expenses. The Company generally recognizes revenue on a straight-line basis over a three-month period, commencing upon client acceptance, as this is the period over which the recruitment services are performed. Fees earned in excess of the initial contract amount are recognized upon completion of the engagement, which reflect the difference between the final actual compensation of the placed executive and the estimate used for purposes of the previous billings. Since the initial contract fees are typically not contingent upon placement of a candidate, our assumptions primarily relate to establishing the period over which such service is performed. These assumptions determine the timing of revenue recognition and profitability for the reported period. Any revenues associated with services that are provided on a contingent basis are recognized once the contingency is resolved. In addition to recruitment for non-executive professionals, Futurestep provides recruitment process outsourcing (“RPO”) services and fee revenue is recognized as services are rendered and/or milestones are achieved. Fee revenue from Leadership & Talent Consulting (“LTC”) services is recognized as services are rendered for consulting engagements and other time based services, measured by total hours incurred to the total estimated hours at completion. It is possible that updated estimates for the consulting engagement may vary from initial estimates with such updates being recognized in the period of determination. Depending on the timing of billings and services rendered, the Company accrues or defers revenue as appropriate. LTC revenue is also derived from the sale of solution services, which includes revenue from licenses and from the sale of products. Revenue from licenses is recognized using a straight-line method over the term of the contract (generally 12 months). Under the fixed term licenses, the Company is obligated to provide the licensee with access to any updates to the underlying intellectual property that are made by the Company during the term of the license. Once the term of the agreement expires, the client’s right to access or use the intellectual property expires and the Company has no further obligations to the client under the license agreement. Revenue from perpetual licenses is recognized when the license is sold since the Company’s only obligation is to provide the client access to the intellectual property but is not obligated to provide maintenance, support, updates or upgrades. Products sold by the Company mainly consist of books and automated services covering a variety of topics including performance management, team effectiveness, and coaching and development. The Company recognizes revenue for its products when the product has been sold or shipped in the case of books. As of April 30, 2015 and 2014, the Company included deferred revenue of $40.5 million and $36.8 million, respectively, in other accrued liabilities. Reimbursements The Company incurs certain out-of-pocket expenses that are reimbursed by its clients, which are accounted for as revenue in its consolidated statements of income. Allowance for Doubtful Accounts An allowance is established for doubtful accounts by taking a charge to general and administrative expenses. The amount of the allowance is based on historical loss experience, assessment of the collectability of specific accounts, as well as expectations of future collections based upon trends and the type of work for which services are rendered. After the Company exhausts all collection efforts, the amount of the allowance is reduced for balances identified as uncollectible. Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. As of April 30, 2015 and 2014, the Company’s investments in cash equivalents, consist of money market funds for which market prices are readily available. As of April 30, 2015 and 2014, the Company had cash equivalents of $260.6 million and $186.6 million, respectively. Marketable Securities The Company currently has investments in marketable securities and mutual funds which are classified as either trading securities or available-for-sale, based upon management’s intent and ability to hold, sell or trade such securities. The classification of the investments in these marketable securities and mutual funds is assessed upon purchase and reassessed at each reporting period. These investments are recorded at fair value and are classified as marketable securities in the accompanying consolidated balance sheets. The investments that the Company may sell within the next twelve months are carried as current assets. Realized gains (losses) on marketable securities are determined by specific identification. Interest is recognized on an accrual basis, dividends are recorded as earned on the ex-dividend date. Interest and dividend income are recorded in the accompanying consolidated statements of income in interest expense, net. The Company invests in mutual funds, (for which market prices are readily available) that are held in trust to satisfy obligations under the Company’s deferred compensation plans (see Note 5 — Marketable Securities The Company also invests cash in excess of its daily operating requirements and capital needs primarily in marketable fixed income (debt) securities in accordance with the Company’s investment policy, which restricts the type of investments that can be made. The Company’s investment portfolio includes corporate bonds. These marketable fixed income (debt) securities are classified as available-for-sale securities based on management’s decision, at the date such securities are acquired, not to hold these securities to maturity or actively trade them. The Company carries these marketable debt securities at fair value based on the market prices for these marketable debt securities or similar debt securities whose prices are readily available. The changes in fair values, net of applicable taxes, are recorded as unrealized gains or losses as a component of comprehensive income. When, in the opinion of management, a decline in the fair value of an investment below its amortized cost is considered to be “other-than-temporary,” a credit loss is recorded in the statement of income in other income, net; any amount in excess of the credit loss is recorded as unrealized gains or losses as a component of comprehensive income. Generally, the amount of the loss is the difference between the cost or amortized cost and its then current fair value; a credit loss is the difference between the discounted expected future cash flows to be collected from the debt security and the cost or amortized cost of the debt security. The determination of the other-than-temporary decline includes, in addition to other relevant factors, a presumption that if the market value is below cost by a significant amount for a period of time, a write-down may be necessary. During fiscal 2015, 2014 and 2013, no other-than-temporary impairment was recognized. Fair Value of Financial Instruments Fair value is the price the Company would receive to sell an asset or transfer a liability (exit price) in an orderly transaction between market participants. For those assets and liabilities recorded or disclosed at fair value, the Company determines the fair value based upon the quoted market price, if available. If a quoted market price is not available for identical assets, the fair value is based upon the quoted market price of similar assets. The fair values are assigned a level within the fair value hierarchy as defined below: • Level 1 • Level 2 • Level 3 As of April 30, 2015 and 2014, the Company held certain assets that are required to be measured at fair value on a recurring basis. These included cash, cash equivalents, accounts receivable and marketable securities. The carrying amount of cash, cash equivalents and accounts receivable approximates fair value due to the short maturity of these instruments. The fair values of marketable securities classified as trading are obtained from quoted market prices, and the fair values of marketable securities classified as available-for-sale are obtained from a third party, which are based on quoted prices or market prices for similar assets. Business Acquisitions Business acquisitions are accounted for under the acquisition method. The acquisition method requires the reporting entity to identify the acquirer, determine the acquisition date, recognize and measure the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquired entity, and recognize and measure goodwill or a gain from the purchase. The acquiree’s results are included in the Company’s consolidated financial statements from the date of acquisition. Assets acquired and liabilities assumed are recorded at their fair values and the excess of the purchase price over the amounts assigned is recorded as goodwill, or if the fair value of the assets acquired exceeds the purchase price consideration, a bargain purchase gain is recorded. Adjustments to fair value assessments are recorded to goodwill over the measurement period (not longer than twelve months). The acquisition method also requires that acquisition-related transaction and post-acquisition restructuring costs be charged to expense as committed, and requires the Company to recognize and measure certain assets and liabilities including those arising from contingencies and contingent consideration in a business combination. During fiscal 2014, the Company paid contingent consideration to the selling stockholders of PDI Ninth House (“PDI”) of $15 million, as required under the merger agreement, as a result of the achievement of certain pre-determined goals associated with expense synergies. Property and Equipment Property and equipment is carried at cost less accumulated depreciation. Leasehold improvements are amortized on a straight-line basis over the estimated useful life of the asset, or the lease term, whichever is shorter. Software development costs incurred for internal use projects are capitalized and, once placed in service, amortized using the straight-line method over the estimated useful life, generally three to seven years. All other property and equipment is depreciated or amortized on a straight-line basis over the estimated useful lives of three to ten years. The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. In fiscal 2015, 2014 and 2013, there were no such impairment charges recorded. Goodwill and Intangible Assets Goodwill represents the excess of the purchase price over the fair value of assets acquired. The goodwill impairment test compares the fair value of a reporting unit with its carrying amount, including goodwill. If the carrying amount of a reporting unit exceeds its fair value, goodwill of the reporting unit would be considered impaired. To measure the amount of the impairment loss, the implied fair value of a reporting unit’s goodwill is compared to the carrying amount of that goodwill. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. If the carrying amount of a reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. For each of these tests, the fair value of each of the Company’s reporting units is determined using a combination of valuation techniques, including a discounted cash flow methodology. To corroborate the discounted cash flow analysis performed at each reporting unit, a market approach, is utilized using observable market data such as comparable companies in similar lines of business that are publicly traded or which are part of a public or private transaction (to the extent available). Results of the annual impairment test performed as of January 31, 2015, indicated that the fair value of each reporting unit exceeded its carrying amount and no reporting units were at risk of failing the impairment test. As a result, no impairment charge was recognized. There was also no indication of potential impairment during the fourth quarter of fiscal 2015 that would have required further testing. Intangible assets primarily consist of customer lists, non-compete agreements, proprietary databases, intellectual property and trademarks and are recorded at their estimated fair value at the date of acquisition and are amortized in a pattern in which the asset is consumed if that pattern can be reliably determined, or using the straight-line method over their estimated useful lives which range from one to 24 years. For intangible assets subject to amortization, an impairment loss is recognized if the carrying amount of the intangible assets is not recoverable and exceeds fair value. The carrying amount of the intangible assets is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from use of the asset. Intangible assets with indefinite lives are not amortized, but are reviewed annually for impairment or more frequently whenever events or changes in circumstances indicate that the fair value of the asset may be less than its carrying amount. As of April 30, 2015 and 2014, there were no indicators of impairment with respect to the Company’s intangible assets. Compensation and Benefits Expense Compensation and benefits expense in the accompanying consolidated statements of income consist of compensation and benefits paid to consultants (employees who originate business), executive officers and administrative and support personnel. The most significant portions of this expense are salaries and the amounts paid under the annual performance related bonus plan to employees. The portion of the expense applicable to salaries is comprised of amounts earned by employees during a reporting period. The portion of the expenses applicable to annual performance related bonuses refers to the Company’s annual employee performance related bonus with respect to a fiscal year, the amount of which is communicated and paid to each eligible employee following the completion of the fiscal year. Each quarter, management makes its best estimate of its annual performance related bonuses, which requires management to, among other things, project annual consultant productivity (as measured by engagement fees billed and collected by executive search consultants and revenue and other performance metrics for LTC and Futurestep consultants), the level of engagements referred by a fee earner in one line of business to a different line of business, Company performance including profitability, competitive forces and future economic conditions and their impact on the Company’s results. At the end of each fiscal year, annual performance related bonuses take into account final individual consultant productivity (including referred work), Company results including profitability, the achievement of strategic objectives, the results of individual performance appraisals, and the current economic landscape. Accordingly, each quarter the Company reevaluates the assumptions used to estimate annual performance related bonus liability and adjusts the carrying amount of the liability recorded on the consolidated balance sheet and reports any changes in the estimate in current operations. Because annual performance-based bonuses are communicated and paid only after the Company reports its full fiscal year results, actual performance-based bonus payments may differ from the prior year’s estimate. Such changes in the bonus estimate historically have been immaterial and are recorded in current operations in the period in which they are determined. The performance related bonus expense was $166.7 million, $146.1 million and $114.1 million for the years ended April 30, 2015, 2014 and 2013, respectively, each of which was reduced by a change in the previous years’ estimate recorded in fiscal 2015, 2014 and 2013 of $0.3 million, $0.7 million and $0.2 million, respectively. This resulted in net bonus expense of $166.4 million, $145.4 million and $113.9 million for the years ended April 30, 2015, 2014 and 2013, respectively, included in compensation and benefits expense in the consolidated statements of income. Other expenses included in compensation and benefits expense are due to changes in deferred compensation and pension plan liabilities, changes in cash surrender value (“CSV”) of company owned life insurance (“COLI”) contracts, amortization of stock compensation awards, payroll taxes and employee insurance benefits. Deferred Compensation and Pension Plans For financial accounting purposes, the Company estimates the present value of the future benefits payable under the deferred compensation and pension plans as of the estimated payment commencement date. The Company also estimates the remaining number of years a participant will be employed by the Company. Then, each year during the period of estimated employment, the Company accrues a liability and recognizes expense for a portion of the future benefit using the “benefit/years of service” attribution method for Senior Executive Incentive Plan (“SEIP”), Wealth Accumulation Plan (“WAP”) and Enhanced Wealth Accumulation Plan (“EWAP”) and the “projected unit credit” method for the Worldwide Executive Benefit Plan (“WEB”). In calculating the accrual for future benefit payments, management has made assumptions regarding employee turnover, participant vesting, violation of non-competition provisions and the discount rate. Management periodically reevaluates all assumptions. If assumptions change in future reporting periods, the changes may impact the measurement and recognition of benefit liabilities and related compensation expense. Executive Capital Accumulation Plan The Company, under its deferred compensation plans, makes discretionary contributions and such contributions may be granted to key employees annually based on the employee’s performance. Certain key management may also receive Company contributions upon commencement of employment. The Company amortizes these contributions on a straight-line basis as they vest, generally over a four year period. The amounts that are expected to be paid to employees over the next 12 months are classified as a current liability included in compensation and benefits payable in the accompanying consolidated balance sheet. The ECAP is accounted for whereby the changes in the fair value of the vested amounts owed to the participants are adjusted with a corresponding charge (or credit) to compensation and benefits costs. Cash Surrender Value of Life Insurance The Company purchased COLI policies or contracts insuring the lives of certain employees eligible to participate in certain of the deferred compensation and pension plans as a means of funding benefits under such plans. The Company purchased both fixed and variable life insurance contracts and does not purchase “split-dollar” life insurance policy contracts. The Company has both contracts or policies that provide for a fixed or guaranteed rate of return and a variable rate of return depending on the return of the policies’ investment in their underlying portfolio in equities and bonds. The CSV of these COLI contracts are carried at the amounts that would be realized if the contract were surrendered at the balance sheet date, net of the outstanding loans borrowed from the insurer. The Company has the intention and ability to continue to hold these COLI policies and contracts. Additionally, the loans secured by the policies do not have any scheduled payment terms and the Company also does not intend to repay the loans outstanding on these policies until death benefits under the policy have been realized. Accordingly, the investment in COLI is classified as long-term in the accompanying consolidated balance sheet. The change in the CSV of COLI contracts, net of insurance premiums paid and gains realized, is reported in compensation and benefits expense. As of April 30, 2015 and 2014, the Company held contracts with gross CSV of $172.3 million and $167.2 million, offset by outstanding policy loans of $69.6 million and $72.9 million, respectively. If the issuing insurance companies were to become insolvent, the Company would be considered a general creditor for $50.6 million and $45.9 million of net CSV as of April 30, 2015 and 2014, respectively; therefore, these assets are subject to credit risk. Management, together with its outside advisors, routinely monitors the claims paying abilities of these insurance companies. Restructuring Charges, Net The Company accounts for its restructuring charges as a liability when the obligations are incurred and records such charges at fair value. Changes in the estimates of the restructuring charges are recorded in the period the change is determined. Stock-Based Compensation The Company has employee compensation plans under which various types of stock-based instruments are granted. These instruments, principally include restricted stock units, restricted stock, stock options and an Employee Stock Purchase Plan (“ESPP”). The Company recognizes compensation expense related to restricted stock units, restricted stock and the estimated fair value of stock options and stock purchases under the ESPP on a straight-line basis over the service period for the entire award. Translation of Foreign Currencies Generally, financial results of the Company’s foreign subsidiaries are measured in their local currencies. Assets and liabilities are translated into U.S. dollars at exchange rates in effect at the balance sheet date, while revenue and expenses are translated at weighted-average exchange rates during the fiscal year. Resulting translation adjustments are recorded as a component of accumulated comprehensive income. Gains and losses from foreign currency transactions of these subsidiaries and the translation of the financial results of subsidiaries operating in highly inflationary economies are included in general and administrative expense in the period incurred. Foreign currency losses, on an after tax basis, included in net income was $1.6 million and $0.5 million during fiscal 2015 and 2013, respectively. Foreign currency gains, on an after tax basis, included in net income were $1.0 million during fiscal 2014. Income Taxes There are two components of income tax expense: current and deferred. Current income tax expense (benefit) approximates taxes to be paid or refunded for the current period. Deferred income tax expense (benefit) results from changes in deferred tax assets and liabilities between periods. These gross deferred tax assets and liabilities represent decreases or increases in taxes expected to be paid in the future because of future reversals of temporary differences in the basis of assets and liabilities as measured by tax laws and their basis as reported in the consolidated financial statements. Deferred tax assets are also recognized for tax attributes such as net operating loss carryforwards and tax credit carryforwards. Valuation allowances are then recorded to reduce deferred tax assets to the amounts management concludes are more likely than not to be realized. Income tax benefits are recognized and measured based upon a two-step model: (1) a tax position must be more-likely-than-not to be sustained based solely on its technical merits in order to be recognized and (2) the benefit is measured as the largest dollar amount of that position that is more-likely-than-not to be sustained upon settlement. The difference between the benefit recognized for a position and the tax benefit claimed on a tax return is referred to as an unrecognized tax benefit. The Company records income tax related interest and penalties within income tax expense. Concentration of Credit Risk Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash, cash equivalents, investments, receivables due from clients and net CSV due from insurance companies, which is discussed above. Cash equivalents include investments in money market securities while investments include mutual funds and corporate bonds. Investments are diversified throughout many industries and geographic regions. The Company conducts periodic reviews of its customers’ financial condition and customer payment practices to minimize collection risk on accounts receivable. At April 30, 2015 and 2014, the Company had no other significant credit concentrations. Recently Adopted Accounting Standards In March 2013, the Financial Accounting Standards Board (“FASB”) issued guidance on releasing cumulative translation adjustments when a reporting entity (parent) ceases to have a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. In addition, these amendments provide guidance on the release of cumulative translation adjustments in partial sales of equity method investments and in step acquisitions. This new guidance was effective on a prospective basis for fiscal years and interim reporting periods beginning after December 15, 2013. The amendments should be applied prospectively to derecognition events occurring after the effective date. Prior periods should not be adjusted and early adoption is permitted. The Company adopted this guidance during fiscal 2015 and the adoption did not have an impact on the financial statements of the Company. In June 2013, the FASB issued guidance on how a liability for an unrecognized tax benefit should be presented in the financial statements if the ultimate settlement of such liability will not result in a cash payment to the tax authority but will, rather, reduce a deferred tax asset for a net operating loss or tax credit carryforward. The FASB concluded that, when settlement in such manner is available under tax law, the liability for an unrecognized tax benefit should be presented as a reduction of the deferred tax asset associated with the net operating loss or tax credit carryforward. This new guidance was effective for fiscal years and interim periods within those years beginning after December 15, 2013. The Company adopted this guidance during fiscal 2015 and the adoption did not have an impact on the financial statements of the Company. Recently Proposed Accounting Standards In May 2014, the FASB issued guidance that supersedes revenue recognition requirements regarding contracts with customers to transfer goods or services or for the transfer of nonfinancial assets. Under the new guidance, entities are required to recognize revenue in order to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance provides a five-step analysis to be performed on transactions to determine when and how revenue is recognized. This new guidance is effective for fiscal years and interim periods within those annual years beginning after December 15, 2016. The Company will adopt this guidance in its fiscal year beginning May 1, 2017. The Company is currently evaluating the effect the guidance will have on our financial condition and results of operations. |
Basic and Diluted Earnings Per
Basic and Diluted Earnings Per Share | 12 Months Ended |
Apr. 30, 2015 | |
Basic and Diluted Earnings Per Share | 2. Basic and Diluted Earnings Per Share Accounting Standards Codification 260, Earnings Per Share Basic earnings per common share was computed using the two-class method by dividing basic net earnings attributable to common stockholders by the weighted-average number of common shares outstanding. Diluted earnings per common share was computed using the two-class method by dividing diluted net earnings attributable to common stockholders by the weighted-average number of common shares outstanding plus dilutive common equivalent shares. Dilutive common equivalent shares include all in-the-money outstanding options or other contracts to issue common stock as if they were exercised or converted. The application of the two-class method did not have a material impact on the earnings per share calculation for fiscal 2014 and 2013. During fiscal 2015, all shares of outstanding options were included in the computation of diluted earnings per share. During fiscal 2014 and 2013, options to purchase 0.04 million shares and 0.50 million shares, respectively, were outstanding but not included in the computation of diluted earnings per share because they were anti-dilutive. During fiscal 2015, restricted stock awards of 0.5 million, were outstanding but not included in the computation of diluted earnings per share because they were anti-dilutive. The following table summarizes basic and diluted earnings per common share attributable to common stockholders: Year Ended April 30, 2015 2014 2013 (in thousands, except per share data) Net income $ 88,357 $ 72,691 $ 33,293 Less: distributed and undistributed earnings to nonvested restricted stockholders 860 — — Basic net earnings attributable to common stockholders 87,497 72,691 33,293 Add: undistributed earnings to nonvested restricted stockholders 815 — — Less: reallocation of undistributed earnings to nonvested restricted stockholders 804 — — Diluted net earnings attributable to common stockholders $ 87,508 $ 72,691 $ 33,293 Weighted-average common shares outstanding: Basic weighted-average number of common shares outstanding 49,052 48,162 47,224 Effect of dilutive securities: Restricted stock 605 789 485 Stock options 105 194 174 ESPP 4 — — Diluted weighted-average number of common shares outstanding 49,766 49,145 47,883 Net earnings per common share: Basic earnings per share $ 1.78 $ 1.51 $ 0.71 Diluted earnings per share $ 1.76 $ 1.48 $ 0.70 |
Comprehensive Income
Comprehensive Income | 12 Months Ended |
Apr. 30, 2015 | |
Comprehensive Income | 3. Comprehensive Income Comprehensive income is comprised of net income and all changes to stockholders’ equity, except those changes resulting from investments by stockholders (changes in paid-in capital) and distributions to stockholders (dividends) and is reported in the accompanying consolidated statements of comprehensive income. Accumulated comprehensive loss, net of taxes, is recorded as a component of stockholders’ equity. The components of accumulated other comprehensive loss were as follows: April 30, 2015 2014 (in thousands) Foreign currency translation adjustments $ (20,919 ) $ 15,604 Deferred compensation and pension plan adjustments, net of taxes (19,708 ) (18,006 ) Unrealized gains on marketable securities, net of taxes 4 14 Accumulated other comprehensive loss, net $ (40,623 ) $ (2,388 ) The following tables summarizes the changes in each component of accumulated other comprehensive income (loss): Foreign Deferred Unrealized Accumulated (in thousands) Balance as of May 1, 2012 $ 22,813 $ (15,658 ) $ 36 $ 7,191 Unrealized (losses) gains arising during the period (5,254 ) (6,033 ) 13 (11,274 ) Reclassification of realized net losses (gains) to net income — 1,455 (3 ) 1,452 Balance as of April 30, 2013 17,559 (20,236 ) 46 (2,631 ) Unrealized (losses) gains arising during the period (1,955 ) 136 (64 ) (1,883 ) Reclassification of realized net losses to net income — 2,094 32 2,126 Balance as of April 30, 2014 15,604 (18,006 ) 14 (2,388 ) Unrealized losses arising during the period (36,523 ) (3,589 ) (10 ) (40,122 ) Reclassification of realized net losses to net income — 1,887 — 1,887 Balance as of April 30, 2015 $ (20,919 ) $ (19,708 ) $ 4 $ (40,623 ) (1) The tax effects on unrealized (losses) gains of $(2.3) million, $0.07 million and $(3.8) million as of April 30, 2015, 2014 and 2013, respectively. The tax effects on reclassifications of realized net losses of $1.2 million, $1.0 million and $0.9 million as of April 30, 2015, 2014 and 2013, respectively. |
Employee Stock Plans
Employee Stock Plans | 12 Months Ended |
Apr. 30, 2015 | |
Employee Stock Plans | 4. Employee Stock Plans Stock-Based Compensation The following table summarizes the components of stock-based compensation expense recognized in the Company’s consolidated statements of income for the periods indicated: Year Ended April 30, 2015 2014 2013 (in thousands) Restricted stock $ 13,602 $ 11,689 $ 11,001 ESPP 162 — — Stock options 135 417 905 Total stock-based compensation expense, pre-tax 13,899 12,106 11,906 Tax benefit from stock-based compensation expense (3,893 ) (3,484 ) (4,142 ) Total stock-based compensation expense, net of tax $ 10,006 $ 8,622 $ 7,764 The Company uses the Black-Scholes option valuation model to estimate the grant date fair value of employee stock options. The expected volatility reflects consideration of the historical volatility in the Company’s publicly traded stock during the period the option is granted. The Company believes historical volatility in these instruments is more indicative of expected future volatility than the implied volatility in the price of the Company’s common stock. The expected life of each option is estimated using historical data. The risk-free interest rate is based on the U.S. Treasury zero-coupon issue with a remaining term approximating the expected term of the option. The Company uses historical data to estimate forfeiture rates applied to the gross amount of expense determined using the option valuation model. The Black-Scholes option pricing model was developed for use in estimating the fair value of traded options. The assumptions used in option valuation models are highly subjective, particularly the expected stock price volatility of the underlying stock. The Company did not grant stock options in fiscal 2015, 2014 and 2013. Stock Incentive Plan At the Company’s 2012 Annual Meeting of Stockholders, held on September 27, 2012, the Company’s stockholders approved an amendment and restatement to the Korn/Ferry International Amended and Restated 2008 Stock Incentive Plan (the 2012 amendment and restatement being the “Second A&R 2008 Plan”), which among other things, increased the current maximum number of shares that may be issued under the plan to 5,700,000 shares, subject to certain changes in the Company’s capital structure and other extraordinary events. The Second A&R 2008 Plan provides for the grant of awards to eligible participants, designated as either nonqualified or incentive stock options, restricted stock and restricted stock units, any of which may be performance-based or market-based, and incentive bonuses, which may be paid in cash or a combination thereof. Under the Second A&R 2008 Plan, the ability to issue full-value awards is limited by requiring full-value stock awards to count 1.91 times as much as stock options. Stock Options Stock options transactions under the Company’s Second A&R 2008 Plan were as follows: April 30, 2015 2014 2013 Options Weighted- Options Weighted- Options Weighted- (in thousands, except per share data) Outstanding, beginning of year 396 $ 16.23 1,100 $ 14.72 1,492 $ 14.00 Exercised (179 ) $ 16.99 (655 ) $ 13.88 (238 ) $ 9.32 Forfeited/expired (15 ) $ 17.72 (49 ) $ 13.42 (154 ) $ 16.87 Outstanding, end of year 202 $ 15.45 396 $ 16.23 1,100 $ 14.72 Exercisable, end of year 192 $ 15.07 337 $ 16.11 864 $ 15.01 As of April 30, 2015, the aggregate intrinsic value of both options outstanding and options exercisable was $3.2 million. Outstanding stock options: April 30, 2015 Options Outstanding Options Exercisable Range of Exercise Prices Shares Weighted- (in years) Weighted- Shares Weighted- (in years) Weighted- (in thousands, except per share data) $9.75 — $ 13.82 48 1.3 $ 10.00 48 1.3 $ 10.00 $13.83 — $ 15.83 67 2.2 $ 13.94 67 2.2 $ 13.94 $15.84 — $ 19.88 50 0.3 $ 17.96 50 0.3 $ 17.96 $19.89 — $ 24.08 37 2.3 $ 21.87 27 1.9 $ 21.55 202 1.5 $ 15.45 192 1.4 $ 15.07 Additional information pertaining to stock options: Year Ended April 30, 2015 2014 2013 (in thousands, except per share data) Total fair value of stock options vested $ 334 $ 984 $ 1,001 Total intrinsic value of stock options exercised $ 2,425 $ 6,108 $ 1,547 Restricted Stock The Company grants time-based restricted stock awards to executive officers and other senior employees generally vesting over a three to four year period. In addition, certain key management members typically receive time-based restricted stock awards upon commencement of employment and may receive them annually in conjunction with the Company’s performance review. Time-based restricted stock awards are granted at a price equal to fair value, which is determined based on the closing price of the Company’s common stock on the grant date. The Company recognizes compensation expense for time-based restricted stock awards on a straight-line basis over the vesting period. The Company also grants market-based and performance-based restricted stock units to executive officers and other senior employees. The market-based units vest after three years depending upon the Company’s total stockholder return over the three-year performance period relative to other companies in its selected peer group. The fair value of these market-based restricted stock units are determined by a third-party valuation using extensive market data that is based on historical Company and peer group information. The Company recognizes compensation expense for market-based restricted stock units on a straight-line basis over the vesting period. Performance-based restricted stock units vest after three years depending upon the Company meeting certain objectives that are set at the time the restricted stock unit is issued. Performance-based restricted stock units are granted at a price equal to the fair value, which is determined based on the closing price of the Company’s common stock on the grant date. The Company recognizes compensation expense for performance-based restricted stock units on a straight-line basis over the vesting period. At the end of each reporting period, the Company estimates the number of restricted stock units expected to vest based on the probability that certain performance objectives will be met, exceeded, or fall below target levels, and takes into account these estimates when calculating the expense for the period. Restricted stock activity is summarized below: April 30, 2015 2014 2013 Shares Weighted- Shares Weighted- Shares Weighted- (in thousands, except per share data) Non-vested, beginning of year 1,880 $ 18.95 1,810 $ 16.38 1,781 $ 16.76 Granted 438 $ 29.93 809 $ 21.32 889 $ 13.93 Vested (705 ) $ 18.52 (535 ) $ 14.54 (780 ) $ 14.99 Forfeited/expired (53 ) $ 21.13 (204 ) $ 17.19 (80 ) $ 16.43 Non-vested, end of year 1,560 $ 22.15 1,880 $ 18.95 1,810 $ 16.38 As of April 30, 2015, there were 0.3 million shares and 0.2 million shares outstanding relating to market-based and performance-based restricted stock units, respectively, with total unrecognized compensation totaling $3.7 million and $2.4 million, respectively. As of April 30, 2015, there was $20.6 million of total unrecognized compensation cost related to all non-vested awards of restricted stock, which is expected to be recognized over a weighted-average period of 2.2 years. During fiscal 2015 and fiscal 2014, 121,775 shares and 112,792 shares of restricted stock totaling $4.0 million and $2.2 million, respectively, were repurchased by the Company, at the option of the employee, to pay for taxes related to vesting of restricted stock. Employee Stock Purchase Plan The Company has an ESPP that, in accordance with Section 423 of the Internal Revenue Code, allows eligible employees to authorize payroll deductions of up to 15% of their salary to purchase shares of the Company’s common stock at 85% of the fair market price of the common stock on the last day of the enrollment period. Employees may not purchase more than $25,000 in stock during any calendar year. At the Company’s 2011 Annual Meeting of Stockholders, held on September 28, 2011, the Company’s stockholders approved an amendment and restatement of the ESPP, which among other things, increased the maximum number of shares that may be issued under the ESPP from 1.5 million shares to 3.0 million shares. The ESPP was suspended during the second half of fiscal 2012 and as a result, no shares were purchased during fiscal 2014 and 2013. Effective January 1, 2015, the Company has once again allowed employees to authorize payroll deductions under the ESPP with the purchase of shares expected to take place in the first quarter of fiscal 2016. As of April 30, 2015, the ESPP had approximately 1.6 million shares remaining available for future issuance. Common Stock During fiscal 2015, 2014 and 2013, the Company issued 178,950 shares, 654,458 shares and 237,856 shares of common stock, respectively, as a result of the exercise of stock options, with cash proceeds from the exercise of $3.0 million, $8.8 million and $2.1 million, respectively. No shares were repurchased during fiscal 2015, 2014 and 2013, other than to satisfy minimum tax withholding requirements upon the vesting of restricted stock as described above. |
Marketable Securities
Marketable Securities | 12 Months Ended |
Apr. 30, 2015 | |
Marketable Securities | 5. Marketable Securities As of April 30, 2015, marketable securities consisted of the following: Trading Available-for- Total (in thousands) Mutual funds $ 131,399 $ — $ 131,399 Corporate bonds — 13,177 13,177 Total 131,399 13,177 144,576 Less: current portion of marketable securities (12,580 ) (13,177 ) (25,757 ) Non-current marketable securities $ 118,819 $ — $ 118,819 As of April 30, 2014, marketable securities consisted of the following: Trading Available-for- Sale (2) Total (in thousands) Mutual funds $ 116,207 $ — $ 116,207 Corporate bonds — 18,352 18,352 Total 116,207 18,352 134,559 Less: current portion of marketable securities (4,510 ) (5,056 ) (9,566 ) Non-current marketable securities $ 111,697 $ 13,296 $ 124,993 (1) These investments are held in trust for settlement of the Company’s vested and unvested obligations of $129.1 million and $117.6 million as of April 30, 2015 and 2014, respectively, under the ECAP (see Note 6 — Deferred Compensation and Retirement Plans (2) The Company’s financial assets measured at fair value on a recurring basis include trading securities classified as Level 1 and available-for-sale securities classified as Level 2. As of April 30, 2015 and 2014, the Company had no investments classified as Level 3. The amortized cost and fair values of marketable securities classified as available-for-sale investments were as follows: April 30, 2015 Amortized Gross Gross Estimated (in thousands) Corporate bonds $ 13,167 $ 11 $ (1 ) $ 13,177 April 30, 2014 Amortized Gross Gross Estimated (in thousands) Corporate bonds $ 18,325 $ 31 $ (4 ) $ 18,352 (1) There are no marketable securities that have been in a continuous unrealized loss position for 12 months or more. Investments in marketable securities classified as available-for-sale securities are made based on the Company’s investment policy, which restricts the types of investments that can be made. As of April 30, 2015 and 2014, marketable securities classified as available-for-sale consist of corporate bonds for which market prices for similar assets are readily available. As of April 30, 2015, available-for-sale marketable securities have remaining maturities ranging from one month to eight months. During fiscal 2015 and 2014, the Company received $5.0 million and $33.3 million, respectively, in proceeds from sales/maturities of available-for-sale marketable securities. Investments in marketable securities classified as trading are based upon investment elections the employee makes from a pre-determined set of securities in the ECAP and the Company invests in marketable securities to mirror these elections. As of April 30, 2015 and 2014, the Company’s investments in marketable securities classified as trading consist of mutual funds for which market prices are readily available. As of April 30, 2015 and 2014, the Company’s marketable securities classified as trading were $131.4 million (net of gross unrealized gains of $8.3 million and $0.2 million of gross unrealized losses) and $116.2 million (net of gross unrealized gains of $9.2 million and $0.7 million of gross unrealized losses), respectively. |
Deferred Compensation and Retir
Deferred Compensation and Retirement Plans | 12 Months Ended |
Apr. 30, 2015 | |
Deferred Compensation and Retirement Plans | 6. Deferred Compensation and Retirement Plans The Company has several deferred compensation and retirement plans for eligible consultants and vice presidents that provide defined benefits to participants based on the deferral of current compensation or contributions made by the Company subject to vesting and retirement or termination provisions. The total benefit obligations for these plans were as follows: Year Ended April 30, 2015 2014 (in thousands) Deferred compensation plans $ 83,876 $ 82,153 Pension plan 5,262 4,424 International retirement plans 2,847 3,727 Executive Capital Accumulation Plan 99,461 89,308 Total benefit obligations 191,446 179,612 Less: current portion of benefit obligation (18,014 ) (10,377 ) Non-current benefit obligation $ 173,432 $ 169,235 Deferred Compensation Plans The Enhanced Wealth Accumulation Plan (“EWAP”) was established in fiscal 1994, which replaced the Wealth Accumulation Plan (“WAP”). Certain vice presidents elected to participate in a “deferral unit” that required the participant to contribute a portion of their compensation for an eight year period, or in some cases, make an after tax contribution, in return for defined benefit payments from the Company over a fifteen year period generally at retirement age of 65 or later. Participants were able to acquire additional “deferral units” every five years. Vice presidents who did not choose to roll over their WAP units into the EWAP continue to be covered under the earlier version in which participants generally vest and commence receipt of benefit payments at retirement age of 65. In June 2003, the Company amended the EWAP and WAP plans, so as not to allow new participants or the purchase of additional deferral units by existing participants. The Company also maintains a Senior Executive Incentive Plan (“SEIP”) for participants approved by the Board. Generally, to be eligible, the vice president must be participating in the EWAP. Participation in the SEIP required the participant to contribute a portion of their compensation during a four-year period, or in some cases make an after tax contribution, in return for a defined benefit paid by the Company generally over a fifteen year period after ten years of participation in the plan or such later date as elected by the participant. In June 2003, the Company amended the SEIP plan, so as not to allow new participants or the purchase of additional deferral units by existing participants. Pension Plan The Company has a defined benefit pension plan, referred to as the Worldwide Executive Benefit (“WEB”), covering certain executives in the U.S. and foreign countries. The WEB is designed to integrate with government sponsored and local benefits and provide a monthly benefit to vice presidents upon retirement from the Company. Each year a plan participant accrued and was fully vested in one-twentieth of the targeted benefits expressed as a percentage set by the Company for that year. Upon retirement, a participant receives a monthly benefit payment equal to the sum of the percentages accrued over such participant’s term of employment, up to a maximum of 20 years, multiplied by the participant’s highest average monthly salary during the 36 consecutive months in the final 72 months of active full-time employment through June 2003. In June 2003, the Company froze the WEB, so as to not allow new participants, future accruals and future salary increases. Deferred Compensation Plans The following tables reconcile the benefit obligation for the deferred compensation plans: Year Ended April 30, 2015 2014 2013 (in thousands) Change in benefit obligation: Benefit obligation, beginning of year $ 82,153 $ 85,562 $ 78,479 Interest cost 2,835 2,566 2,868 Actuarial loss (gain) 4,863 (294 ) 9,420 Benefits paid (5,975 ) (5,681 ) (5,205 ) Benefit obligation, end of year 83,876 82,153 85,562 Less: current portion of benefit obligation (5,554 ) (5,593 ) (5,182 ) Non-current benefit obligation $ 78,322 $ 76,560 $ 80,380 The components of net periodic benefits costs are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Interest cost $ 2,835 $ 2,566 $ 2,868 Amortization of actuarial loss 3,029 3,111 2,357 Net periodic benefit cost $ 5,864 $ 5,677 $ 5,225 The weighted-average assumptions used in calculating the benefit obligations were as follows: Year Ended April 30, 2015 2014 2013 Discount rate, beginning of year 3.60 % 3.12 % 3.79 % Discount rate, end of year 3.28 % 3.60 % 3.12 % Rate of compensation increase 0.00 % 0.00 % 0.00 % Pension Plan The following tables reconcile the benefit obligation for the pension plan: Year Ended April 30, 2015 2014 2013 (in thousands) Change in benefit obligation: Benefit obligation, beginning of year $ 4,424 $ 4,536 $ 4,214 Interest cost 154 137 154 Actuarial loss 1,001 92 426 Benefits paid (317 ) (341 ) (258 ) Benefit obligation, end of year 5,262 4,424 4,536 Less: current portion of benefit obligation (278 ) (274 ) (232 ) Non-current benefit obligation $ 4,984 $ 4,150 $ 4,304 The components of net periodic benefits costs are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Interest cost $ 154 $ 137 $ 154 Amortization of actuarial loss 21 8 18 Net periodic benefit cost $ 175 $ 145 $ 172 The weighted-average assumptions used in calculating the benefit obligations were as follows: Year Ended April 30, 2015 2014 2013 Discount rate, beginning of year 3.60 % 3.12 % 3.79 % Discount rate, end of year 3.28 % 3.60 % 3.12 % Rate of compensation increase 0.00 % 0.00 % 0.00 % Benefit payments, which reflect expected future service, as appropriate, are expected to be paid over the next ten years as follows: Year Ending April 30, Deferred Pension (in thousands) 2016 $ 6,487 $ 322 2017 6,418 328 2018 6,192 331 2019 6,096 327 2020 6,375 331 2021-2025 30,904 1,487 During fiscal 2016, the Company expects to recognize $2.9 million in net periodic benefit expense from deferred compensation and pension plans that will be transferred from accumulated other comprehensive income through the amortization of actuarial losses in the consolidated statements of income. International Retirement Plans The Company also maintains various retirement plans and other miscellaneous deferred compensation arrangements in eight foreign jurisdictions. The aggregate of the long-term benefit obligation accrued at April 30, 2015 and 2014 is $2.8 million for 393 participants and $3.7 million for 383 participants, respectively. The Company’s contribution to these plans was $0.5 million and $0.6 million in fiscal 2015 and 2014, respectively. Executive Capital Accumulation Plan The Company’s ECAP is intended to provide certain employees an opportunity to defer salary and/or bonus on a pre-tax basis or make an after-tax contribution. In addition, the Company, as part of its compensation philosophy, makes discretionary contributions into the ECAP and such contributions may be granted to key employees annually based on the employee’s performance. Certain key management may also receive Company ECAP contributions upon commencement of employment. The Company amortizes these contributions on a straight-line basis over the service period, generally a four year period. Participants have the ability to allocate their deferrals among a number of investment options and may receive their benefits at termination, retirement or “in service” either in a lump sum or in quarterly installments over five, ten or fifteen years. The ECAP amounts that are expected to be paid to employees over the next 12 months are classified as a current liability included in compensation and benefits payable on the accompanying balance sheet. The Company made contributions to the ECAP during fiscal 2015, 2014 and 2013, of $19.1 million, $17.2 million and $20.0 million, respectively. The ECAP is accounted for whereby the changes in the fair value of the vested amounts owed to the participants are adjusted with a corresponding charge (or credit) to compensation and benefits costs. During fiscal 2015, 2014 and 2013, the deferred compensation liability increased; therefore, the Company recognized compensation expense of $5.9 million, $8.9 million and $6.3 million, respectively. Offsetting these increases in compensation and benefits expense was an increase in the fair value of marketable securities classified as trading (held in trust to satisfy obligations under certain deferred compensation plan liabilities) of $8.8 million, $9.5 million and $7.6 million in fiscal 2015, 2014 and 2013, respectively, recorded in other income, net on the consolidated statements of income. Changes in the ECAP liability were as follows: Year Ended April 30, 2015 2014 (in thousands) Balance, beginning of year $ 89,308 $ 75,913 Employee contributions 3,048 2,748 Amortization of employer contributions 12,378 11,467 Gain on investment 5,871 8,884 Employee distributions (10,295 ) (9,044 ) Exchange rate fluctuations (849 ) (660 ) Balance, end of year 99,461 89,308 Less: current portion (12,182 ) (4,510 ) Non-current portion, end of year $ 87,279 $ 84,798 As of April 30, 2015 and 2014, the unamortized portion of the Company contributions to the ECAP was $29.7 million and $28.3 million, respectively. Defined Contribution Plan The Company has a defined contribution plan (“401(k) plan”) for eligible employees. Participants may contribute up to 50% of their base compensation as defined in the plan agreement. In addition, the Company has the option to make matching contributions. The Company intends to make matching contributions related to fiscal 2015 in fiscal 2016. The Company made a $1.6 million matching contribution in fiscal 2015 related to contributions made by employees in fiscal 2014 and a $1.2 million matching contribution in fiscal 2014 related to contributions made by employees in fiscal 2013. The Company made no contributions in fiscal 2013. Company Owned Life Insurance The Company purchased COLI contracts insuring the lives of certain employees eligible to participate in the deferred compensation and pension plans as a means of funding benefits under such plans. The gross CSV of these contracts of $172.3 million and $167.2 million is offset by outstanding policy loans of $69.6 million and $72.9 million in the accompanying consolidated balance sheets as of April 30, 2015 and 2014, respectively. Total death benefits payable, net of loans under COLI contracts, were $216.5 million and $214.2 million at April 30, 2015 and 2014, respectively. Management intends to use the future death benefits from these insurance contracts to fund the deferred compensation and pension arrangements; however, there may not be a direct correlation between the timing of the future cash receipts and disbursements under these arrangements. The CSV value of the underlying COLI investments increased by $10.5 million, $8.2 million and $6.5 million during fiscal 2015, 2014 and 2013, respectively, recorded as a decrease in compensation and benefits expense. In addition, certain policies are held in trusts to provide additional benefit security for the deferred compensation and pension plans, excluding the WEB. As of April 30, 2015, COLI contracts with a net CSV of $72.2 million and death benefits payable, net of loans, of $123.8 million were held in trust for these purposes. |
Restructuring Charges, Net
Restructuring Charges, Net | 12 Months Ended |
Apr. 30, 2015 | |
Restructuring Charges, Net | 7. Restructuring Charges, Net The Company took actions to rationalize its cost structure as a result of efficiencies obtained from prior year technology investments that enabled further integration of the legacy business and the recent acquisitions (PDI and Global Novations, LLC) as well as other cost saving initiatives. This resulted in restructuring charges, net of $9.5 million against operations in fiscal 2015, of which $9.2 million relates to severance and $0.3 million, relates to consolidation/abandonment of premises. During fiscal 2014, the Company continued the implementation of the fiscal 2013 restructuring plan in order to integrate PDI by consolidating and eliminating certain redundant office space around the world and by continuing to consolidate certain overhead functions. This resulted in restructuring charges of $3.7 million against operations in fiscal 2014, of which $0.8 million relates to severance and $2.9 million relates to consolidation of premises. During fiscal 2013, the Company implemented restructuring plans in order to align its cost structure to anticipated revenue levels and to integrate PDI in order to eliminate redundant positions and consolidate premises. This resulted in restructuring charges of $22.8 million against operations during fiscal 2013 of which $16.3 million relates to severance and $6.5 million relates to consolidation of premises. Changes in the restructuring liability are as follows: Severance Facilities Total (in thousands) Liability as of April 30, 2013 $ 4,819 $ 6,729 $ 11,548 Restructuring charges, net 823 2,859 3,682 Reductions for cash payments (5,884 ) (6,821 ) (12,705 ) Exchange rate fluctuations 242 46 288 Liability as of April 30, 2014 — 2,813 2,813 Restructuring charges, net 9,224 244 9,468 Reductions for cash payments (8,396 ) (2,186 ) (10,582 ) Exchange rate fluctuations (453 ) (100 ) (553 ) Liability as of April 30, 2015 $ 375 $ 771 $ 1,146 As of April 30, 2015 and 2014, the restructuring liability is included in the current portion of other accrued liabilities on the consolidated balance sheets, except for $0.3 million and $0.7 million, respectively, of facilities costs which primarily relate to commitments under operating leases, net of sublease income, which are included in other long-term liabilities and will be paid over the next three years. The restructuring liability by segment is summarized below: April 30, 2015 Severance Facilities Total (in thousands) Executive Recruitment North America $ 51 $ — $ 51 Europe, Middle East and Africa (“EMEA”) 210 212 422 Total Executive Recruitment 261 212 473 LTC 58 320 378 Futurestep 52 239 291 Corporate 4 — 4 Liability as of April 30, 2015 $ 375 $ 771 $ 1,146 April 30, 2014 Severance Facilities Total (in thousands) Executive Recruitment North America $ — $ 193 $ 193 EMEA — 379 379 Total Executive Recruitment — 572 572 LTC — 1,587 1,587 Futurestep — 654 654 Liability as of April 30, 2014 $ — $ 2,813 $ 2,813 |
Income Taxes
Income Taxes | 12 Months Ended |
Apr. 30, 2015 | |
Income Taxes | 8. Income Taxes The provision for income taxes is based on reported income before income taxes. Deferred income tax assets and liabilities reflect the impact of temporary differences between the amounts of assets and liabilities recognized for financial reporting purposes and the amounts recognized for tax purposes, as measured by applying the currently enacted tax laws. The provision (benefit) for domestic and foreign income taxes was as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Current income taxes: Federal $ 16,569 $ 6,982 $ 4,100 State 2,412 1,939 1,237 Foreign 13,650 15,502 8,759 Current provision for income taxes 32,631 24,423 14,096 Deferred income taxes: Federal 3,140 5,094 (423 ) State (239 ) 177 1,895 Foreign (2,006 ) (1,202 ) 1,069 Deferred provision for income taxes 895 4,069 2,541 Total provision for income taxes $ 33,526 $ 28,492 $ 16,637 The domestic and foreign components of income from continuing operations before domestic and foreign income and other taxes and equity in earnings of unconsolidated subsidiaries were as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Domestic $ 65,885 $ 42,411 $ 15,915 Foreign 53,817 56,603 31,905 Income before provision for income taxes and equity in earnings of unconsolidated subsidiaries $ 119,702 $ 99,014 $ 47,820 The reconciliation of the statutory federal income tax rate to the effective consolidated tax rate is as follows: Year Ended April 30, 2015 2014 2013 U.S. federal statutory income tax rate 35.0 % 35.0 % 35.0 % Foreign source income, net of credits generated 0.4 2.0 0.6 Foreign tax rates differential (4.2 ) (4.7 ) (3.7 ) COLI increase, net (3.1 ) (2.9 ) (4.8 ) Conclusion of U.S. federal tax audit — (2.7 ) — State income taxes, net of federal benefit 0.9 1.5 5.7 Change in uncertain tax positions (0.1 ) 1.1 1.9 Other (0.9 ) (0.5 ) 0.1 Effective income tax rate 28.0 % 28.8 % 34.8 % In fiscal 2014, we recorded a tax benefit in connection with the conclusion of an IRS examination of the Company’s U.S. federal income tax returns for tax years ended April 30, 2010 and 2011. Subsequently, we filed amended state income tax returns to report the federal adjustments and, where permissible, combined certain of our subsidiaries that had previously filed separate tax returns into unitary filings that resulted in a state tax benefit in fiscal 2015. Components of deferred tax assets and liabilities are as follows: April 30, 2015 2014 (in thousands) Deferred tax assets: Deferred compensation $ 71,182 $ 66,359 Loss and credit carryforwards 26,211 35,177 Reserves and accruals 9,344 8,706 Deferred rent 6,432 5,575 Deferred revenue 277 1,672 Allowance for doubtful accounts 1,831 1,536 Other 6,629 6,531 Gross deferred tax assets 121,906 125,556 Deferred tax liabilities: Intangibles (20,828 ) (21,507 ) Property and equipment (6,289 ) (6,277 ) Prepaid expenses (7,687 ) (5,600 ) Other (5,653 ) (5,678 ) Gross deferred tax liabilities (40,457 ) (39,062 ) Valuation allowances (21,608 ) (26,969 ) Net deferred tax asset $ 59,841 $ 59,525 The decrease in the valuation allowance primarily reflects an offsetting decrease in foreign deferred tax assets, predominantly net operating losses, due to exchange rates. The deferred tax amounts have been classified in the consolidated balance sheets as follows: April 30, 2015 2014 (in thousands) Current: Deferred tax assets $ 14,600 $ 15,591 Deferred tax liabilities (10,488 ) (10,813 ) Valuation allowance (285 ) (292 ) Current deferred tax asset 3,827 4,486 Non-current: Deferred tax asset 107,306 109,965 Deferred tax liabilities (29,969 ) (28,249 ) Valuation allowance (21,323 ) (26,677 ) Non-current deferred tax asset, net 56,014 55,039 Net deferred tax assets $ 59,841 $ 59,525 Deferred tax assets are reduced by a valuation allowance if it is more likely than not that some portion or all of the deferred tax asset will not be realized. Management believes uncertainty exists regarding the realizability of certain operating losses and has, therefore, established a valuation allowance for this portion of the deferred tax asset. Realization of the deferred income tax asset is dependent on the Company generating sufficient taxable income of the appropriate nature in future years. Although realization is not assured, management believes that it is more likely than not that the net deferred income tax assets will be realized. As of April 30, 2015 and 2014, the Company had U.S. federal net operating loss carryforwards of $5.0 million and $12.2 million, respectively, from the acquisition of PDI, which will begin to expire in 2028. The utilization of these losses is subject to an annual limitation as defined under Section 382 of the Internal Revenue Code. The Company has state net operating loss carryforwards of $21.8 million, which, if unutilized, will begin to expire in fiscal year 2016. The Company also has foreign net operating loss carryforwards of $85.6 million, which, if unutilized, will begin to expire in fiscal year 2016. The Company has a plan to distribute a portion of the cash held in foreign locations to the U.S. These planned distributions will not give rise to any additional taxes. Other than these amounts, the Company has not provided for U.S. taxes or foreign withholding taxes on approximately $241.8 million of undistributed earnings of its foreign subsidiaries as such earnings are intended to be reinvested indefinitely. If a distribution of these earnings were to be made, the Company might be subject to both foreign withholding taxes and U.S. income taxes, net of any allowable foreign tax credits or deductions. An estimate of these taxes, however, is not practicable. The Company or one of its subsidiaries files federal and state income tax returns in the U.S. as well as in foreign jurisdictions. These income tax returns are subject to audit by the Internal Revenue Service (the “IRS”) and various state and foreign tax authorities. In June 2014, the IRS commenced an examination of the Company’s fiscal year 2013 U.S. federal income tax return. The Company’s income tax returns are not otherwise under examination in any material jurisdiction. The statute of limitations varies by jurisdiction in which the Company operates. With few exceptions, however, the Company’s tax returns for years prior to fiscal year 2010 are no longer open to examination by tax authorities (including U.S. federal, state and foreign). Unrecognized tax benefits are the differences between the amount of benefits of tax positions taken, or expected to be taken, on a tax return and the amount of benefits recognized for financial reporting purposes. As of April 30, 2015, the Company had a liability of $2.4 million for unrecognized tax benefits. A reconciliation of the beginning and ending balances of the unrecognized tax benefits is as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Unrecognized tax benefits, beginning of year $ 2,701 $ 3,400 $ — Settlement with tax authority (497 ) (1,946 ) — Additions based on tax positions related to the current year 219 279 1,454 Additions based on tax positions related to prior years — 968 1,946 Unrecognized tax benefits, end of year $ 2,423 $ 2,701 $ 3,400 The liability for unrecognized tax benefits is included in income taxes payable in the consolidated balance sheets. The full amount of unrecognized tax benefits would impact the effective tax rate if recognized. In the next twelve months, it is reasonably possible that the Company’s unrecognized tax benefits could change due to resolution of certain tax matters, which could include payments on those tax matters. These resolutions and payments could reduce the Company’s liability for unrecognized tax benefits balance by approximately $1.4 million. The Company classifies interest and penalties related to unrecognized tax benefits as a component of the provision for income taxes. The Company had approximately $0.7 million in accrued interest and penalties related to unrecognized tax benefits as of April 30, 2015 and 2014. The Company accrued approximately $0.1 million of interest related to unrecognized tax benefits in fiscal 2015 and fiscal 2014 and none in fiscal 2013. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Apr. 30, 2015 | |
Property and Equipment | 9. Property and Equipment Property and equipment include the following: April 30, 2015 2014 (in thousands) Computer equipment and software (1) $ 125,815 $ 113,941 Leasehold improvements 44,832 43,994 Furniture and fixtures 32,800 32,727 Automobiles 1,496 1,707 204,943 192,369 Less: accumulated depreciation and amortization (142,855 ) (131,935 ) Property and equipment, net $ 62,088 $ 60,434 (1) Depreciation expense for capitalized software was $9.0 million, $6.0 million and $4.0 million during fiscal 2015, 2014 and 2013, respectively. The net book value of the Company’s computer software costs included in property and equipment, net was $28.7 million and $26.4 million as of April 30, 2015 and 2014, respectively. Depreciation expense for property and equipment was $19.4 million, $17.5 million and $14.0 million during fiscal 2015, 2014 and 2013, respectively. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Apr. 30, 2015 | |
Long-Term Debt | 10. Long-Term Debt The Company’s senior unsecured revolving Credit Agreement with Wells Fargo Bank, National Association, as lender (the “Lender”) dated January 18, 2013, as amended by Amendment No. 1, dated December 12, 2014 (the “Credit Agreement”), provides for an aggregate availability up to $75.0 million with an option to increase the facility by an additional $50.0 million, subject to the Lender’s consent, and a $15.0 million sub-limit for letters of credit. The Credit Agreement matures on January 18, 2018. Borrowings under the Credit Agreement bear interest, at the election of the Company, at the adjusted London Interbank Offered Rate (“LIBOR”) plus the applicable margin or at the base rate plus the applicable margin. The base rate is the highest of (i) the published prime rate, (ii) the federal funds rate plus 1.50%, and (iii) one month LIBOR plus 1.50%. The applicable margin is based on a percentage per annum determined in accordance with a specified pricing grid based on the Company’s total funded debt to adjusted EBITDA ratio. For LIBOR loans, the applicable margin will range from 0.50% to 1.50% per annum, while for base rate loans the applicable margin will range from 0.00% to 0.25% per annum. The Company is required to pay a quarterly commitment fee of 0.25% to 0.35% on the facility’s average daily unused commitments based on the Company’s total funded debt to adjusted EBITDA ratio. The financial covenants include a maximum total funded debt to adjusted EBITDA ratio and a minimum adjusted EBITDA, each as defined in the Credit Agreement. As of April 30, 2015, the Company is in compliance with its financial covenants. In addition, there is a domestic liquidity requirement that the Company maintain $50.0 million in unrestricted cash and/or marketable securities (excluding any marketable securities that are held in trust for the settlement of the Company’s obligation under certain deferred compensation plans) as a condition to consummating permitted acquisitions, paying dividends to our stockholders and share repurchases of our common stock. The Company is limited in consummating permitted acquisitions, paying dividends to our stockholders and making share repurchases of our common stock to a cumulative total of $125.0 million in any fiscal year. Subject to the foregoing, we are permitted to pay up to $50.0 million in dividends in any fiscal year (subject to the satisfaction of certain conditions). The Credit Agreement also contains other usual and customary affirmative and negative covenants, which included limitations on additional indebtedness, guaranties, pledge of assets, investments, and asset sales and mergers. The credit facility was jointly and severally guaranteed by the Company’s existing and future subsidiaries (other than immaterial subsidiaries, non-tax preferred subsidiaries, and certain foreign subsidiaries) (the “guarantors”), and could be prepaid and early terminated by the Company at any time without premium or penalty (subject to customary LIBOR breakage fees). As of April 30, 2015 and 2014, the Company had no borrowings under its long-term debt arrangements. At April 30, 2015 and 2014, there was $2.8 million of standby letters of credit issued under its long-term debt arrangements. The Company has a total of $1.6 million and $1.5 million of standby letters of credits with other financial institutions as of April 30, 2015 and 2014, respectively. The Company has outstanding borrowings against the CSV of COLI contracts of $69.6 million and $72.9 million at April 30, 2015 and 2014, respectively. CSV reflected in the accompanying consolidated balance sheet is net of the outstanding borrowings, which are secured by the CSV of the life insurance policies. Principal payments are not scheduled and interest is payable at least annually at various fixed and variable rates ranging from 4.76% to 8.00%. |
Business Segments
Business Segments | 12 Months Ended |
Apr. 30, 2015 | |
Business Segments | 11. Business Segments The Company currently operates in three global businesses: Executive Recruitment, LTC and Futurestep. The Executive Recruitment segment focuses on recruiting Board of Director and C-level positions, in addition to research-based interviewing and onboarding solutions, for clients predominantly in the consumer, financial services, industrial, life sciences/healthcare and technology industries. LTC assists clients with ongoing assessment and development of their senior executives and management teams, and addresses three fundamental needs: Talent Strategy, Succession Management, and Leadership Development, all underpinned by a comprehensive array of world-leading IP, products and tools. Futurestep is a global industry leader in high-impact talent acquisition solutions. Its portfolio of services includes global and regional RPO, project recruitment, individual professional search and consulting. The Executive Recruitment business segment is managed by geographic regional leaders and LTC and Futurestep worldwide operations are managed by its President and Chief Executive Officer, respectively. The Executive Recruitment geographic regional leaders, the president of LTC and Chief Executive Officer of Futurestep report directly to the Chief Executive Officer of the Company. The Company also operates a Corporate segment to record global expenses of the Company. The Company evaluates performance and allocates resources based on the Company’s chief operating decision maker’s (“CODM”) review of (1) fee revenue and (2) adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”). To the extent that such charges occur, Adjusted EBITDA excludes restructuring charges, integration and acquisition costs, certain separation costs and certain non-cash charges (goodwill, intangible asset and other than temporary impairment). The accounting policies for the reportable segments are the same as those described in the summary of significant accounting policies, except the items described above are excluded from EBITDA to arrive at Adjusted EBITDA. Financial highlights by business segment are as follows: Year Ended April 30, 2015 Executive Recruitment North EMEA Asia South Subtotal LTC Futurestep Corporate Consolidated (in thousands) Fee revenue $ 330,634 $ 153,465 $ 84,148 $ 29,160 $ 597,407 $ 267,018 $ 163,727 $ — $ 1,028,152 Total revenue $ 344,913 $ 158,052 $ 87,142 $ 29,218 $ 619,325 $ 275,220 $ 171,521 $ — $ 1,066,066 Net income $ 88,357 Other income, net (7,458 ) Interest expense, net 1,784 Equity in earnings of unconsolidated subsidiaries, net (2,181 ) Income tax provision 33,526 Operating income (loss) $ 80,818 $ 18,867 $ 14,631 $ 4,704 $ 119,020 $ 28,175 $ 19,940 $ (53,107 ) $ 114,028 Depreciation and amortization 3,515 1,764 1,045 350 6,674 13,427 1,882 5,614 27,597 Other income (loss), net 288 83 369 109 849 (22 ) 54 6,577 7,458 Equity in earnings of unconsolidated subsidiaries, net 426 — — — 426 — — 1,755 2,181 EBITDA 85,047 20,714 16,045 5,163 126,969 41,580 21,876 (39,161 ) 151,264 Restructuring charges, net 1,151 3,987 17 229 5,384 2,758 1,154 172 9,468 Acquisition costs — — — — — — — 959 959 Adjusted EBITDA $ 86,198 $ 24,701 $ 16,062 $ 5,392 $ 132,353 $ 44,338 $ 23,030 $ (38,030 ) $ 161,691 Identifiable assets (1) $ 327,446 $ 156,072 $ 94,099 $ 25,328 $ 602,945 $ 265,546 $ 103,782 $ 345,528 $ 1,317,801 Long-lived assets (1) $ 17,271 $ 3,885 $ 4,235 $ 966 $ 26,357 $ 12,377 $ 4,204 $ 19,150 $ 62,088 Goodwill (1) $ 49,603 $ 45,922 $ 972 $ — $ 96,497 $ 129,549 $ 28,394 $ — $ 254,440 Year Ended April 30, 2014 Executive Recruitment North EMEA Asia South Subtotal LTC Futurestep Corporate Consolidated (in thousands) Fee revenue $ 306,768 $ 147,917 $ 84,816 $ 29,374 $ 568,875 $ 254,636 $ 136,790 $ — $ 960,301 Total revenue $ 321,473 $ 152,525 $ 87,606 $ 29,586 $ 591,190 $ 262,962 $ 141,407 $ — $ 995,559 Net income $ 72,691 Other income, net (9,769 ) Interest expense, net 2,363 Equity in earnings of unconsolidated subsidiaries, net (2,169 ) Income tax provision 28,492 Operating income (loss) $ 70,256 $ 23,168 $ 17,274 $ 5,654 $ 116,352 $ 23,847 $ 13,352 $ (61,943 ) $ 91,608 Depreciation and amortization 3,579 2,727 1,383 323 8,012 12,491 1,797 3,872 26,172 Other income, net 631 632 203 303 1,769 106 583 7,311 9,769 Equity in earnings of unconsolidated subsidiaries, net 383 — — — 383 — — 1,786 2,169 EBITDA 74,849 26,527 18,860 6,280 126,516 36,444 15,732 (48,974 ) 129,718 Restructuring charges, net 816 460 60 — 1,336 1,149 1,134 63 3,682 Separation costs — — — — — — — 4,500 4,500 Integration costs — — — — — — — 394 394 Adjusted EBITDA $ 75,665 $ 26,987 $ 18,920 $ 6,280 $ 127,852 $ 37,593 $ 16,866 $ (44,017 ) $ 138,294 Identifiable assets (1) $ 295,865 $ 157,610 $ 83,292 $ 25,587 $ 562,354 $ 255,590 $ 111,036 $ 304,686 $ 1,233,666 Long-lived assets (1) $ 18,647 $ 5,515 $ 2,978 $ 1,168 $ 28,308 $ 11,976 $ 2,550 $ 17,600 $ 60,434 Goodwill (1) $ 52,086 $ 51,557 $ 972 $ — $ 104,615 $ 119,350 $ 33,617 $ — $ 257,582 Year Ended April 30, 2013 Executive Recruitment North EMEA Asia South Subtotal LTC Futurestep Corporate Consolidated (in thousands) Fee revenue $ 290,317 $ 128,807 $ 73,221 $ 30,134 $ 522,479 $ 168,115 $ 122,237 $ — $ 812,831 Total revenue $ 305,993 $ 132,988 $ 75,359 $ 30,491 $ 544,831 $ 176,566 $ 128,304 $ — $ 849,701 Net income $ 33,293 Other income, net (6,309 ) Interest expense, net 2,365 Equity in earnings of unconsolidated subsidiaries, net (2,110 ) Income tax provision 16,637 Operating income (loss) $ 58,832 $ 9,173 $ 6,973 $ 5,987 $ 80,965 $ 6,424 $ 10,975 $ (54,488 ) $ 43,876 Depreciation and amortization 4,726 2,347 1,546 372 8,991 6,012 1,180 2,821 19,004 Other income (loss), net 466 95 200 32 793 (75 ) 51 5,540 6,309 Equity in earnings of unconsolidated subsidiaries, net 434 — — — 434 — — 1,676 2,110 EBITDA 64,458 11,615 8,719 6,391 91,183 12,361 12,206 (44,451 ) 71,299 Restructuring charges, net 3,583 3,982 629 — 8,194 10,198 3,527 938 22,857 Integration/acquisition costs — — — — — — — 3,106 3,106 Separation costs — 516 — — 516 — — — 516 Adjusted EBITDA $ 68,041 $ 16,113 $ 9,348 $ 6,391 $ 99,893 $ 22,559 $ 15,733 $ (40,407 ) $ 97,778 Identifiable assets (1) $ 209,079 $ 148,491 $ 72,303 $ 23,616 $ 453,489 $ 248,611 $ 93,331 $ 319,798 $ 1,115,229 Long-lived assets (1) $ 19,167 $ 6,312 $ 2,784 $ 894 $ 29,157 $ 10,383 $ 2,523 $ 11,565 $ 53,628 Goodwill (1) $ 54,513 $ 50,264 $ 972 $ — $ 105,749 $ 119,090 $ 32,454 $ — $ 257,293 (1) As of the end of the fiscal year. Fee revenue attributed to an individual customer or country, other than the U.S., did not account for more than 10% of the total in fiscal year 2015, 2014 or 2013. Fee revenue classified by country in which the Company derives revenues are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) U.S. $ 557,024 $ 507,280 $ 416,987 Other countries 471,128 453,021 395,844 Total fee revenue $ 1,028,152 $ 960,301 $ 812,831 Long-lived assets, excluding financial instruments and tax assets, classified by controlling countries over 10% of the total are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) U.S. (1) $ 50,103 $ 47,411 $ 40,200 Other countries 11,985 13,023 13,428 Total long-lived assets $ 62,088 $ 60,434 $ 53,628 (1) Includes Corporate long-lived assets |
Acquisitions
Acquisitions | 12 Months Ended |
Apr. 30, 2015 | |
Acquisitions | 12. Acquisitions Following is a summary of acquisitions the Company completed during the periods indicated (no acquisitions were completed in fiscal 2014): Year Ended April 30, 2015 (1) 2013 (2) (3) (in thousands) Assets acquired $ 3,361 $ 32,784 Intangibles acquired 6,600 42,800 Liabilities acquired 2,691 31,506 Net assets acquired 7,270 44,078 Purchase price 17,496 126,917 Goodwill $ 10,226 $ 82,839 Acquisition costs $ 501 $ 2,710 Goodwill by segment — LTC $ 10,226 $ 82,839 (1) On March 1, 2015, the Company acquired all outstanding membership interest of Pivot Leadership, a global provider of innovative, customized and scalable executive development programs, for $17.5 million, net of cash acquired, which includes $2.2 million in contingent consideration. As of April 30, 2015, the contingent consideration is included in other liabilities in the accompanying consolidated balance sheets. The contingent consideration is based on the achievement of certain revenue targets and can be up to $6.5 million, payable in four installments in fiscal 2017 to 2020. The acquisition will allow us to integrate the Company’s talent management solution with Pivot’s executive learning capabilities. Actual results of operations of Pivot Leadership are included in the Company’s consolidated financial statements from March 1, 2015, the effective date of the acquisition, and include $3.7 million and $20.0 million in fee revenue and total assets, respectively, during fiscal 2015. (2) On December 31, 2012, the Company acquired all outstanding shares of Minneapolis-based PDI, a leading, globally-recognized provider of leadership assessment and development solutions, for $92.5 million, net of cash acquired, which includes $14.9 million in contingent consideration, for the achievement of certain post-closing synergies. During fiscal 2014, the Company paid $15.0 million (includes the interest accreted since December 31, 2012) in contingent consideration to the selling stockholders of PDI as a result of the achievement of certain pre-determined goals associated with expense synergies. PDI has been in business for over 45 years and operates in more than 20 global locations. The acquisition strengthens and expands the Company’s talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of PDI are included in the Company’s consolidated financial statements from December 31, 2012, the effective date of the acquisition. (3) On September 1, 2012, the Company acquired all outstanding membership interests of Global Novations, LLC, (“Global Novations”) a leading provider of diversity and inclusion and leadership development solutions, for $34.5 million in cash, net of cash acquired. Global Novations has more than 150 offerings designed to develop leaders, enable high-performing cultures and deliver business outcomes for its clients. Key diversity and inclusion and leadership offerings include consulting, training and education and e-learning. Global Novations has more than 30 years of experience and has served clients in more than 40 countries, including more than half of the Fortune 100. The acquisition strengthens and expands the Company’s talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of Global Novations are included in the Company’s consolidated financial statements from September 1, 2012, the effective date of the acquisition. The aggregate purchase price for Pivot Leadership was allocated on a preliminary basis to the assets acquired and liabilities assumed on their estimated fair values at the date of acquisition. As of April 30, 2015, the allocations pertaining to the Pivot acquisition remain preliminary as it relates to, among other things, items such as income taxes. During fiscal 2014, adjustments to the preliminary purchase price allocation relating to the PDI acquisition, resulted in an increase in the purchase price and goodwill of $0.2 million. Tax deductible goodwill from fiscal 2015 and 2013 acquisitions amounted to $8.0 million and $20.5 million, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Apr. 30, 2015 | |
Goodwill and Intangible Assets | 13. Goodwill and Intangible Assets Changes in the carrying value of goodwill by reportable segment were as follows: Executive Recruitment North EMEA Asia Subtotal LTC Futurestep Consolidated (in thousands) Balance as of April 30, 2013 $ 54,513 $ 50,264 $ 972 $ 105,749 $ 119,090 $ 32,454 $ 257,293 Additions (1) — — — — 229 — 229 Exchange rate fluctuations (2,427 ) 1,293 — (1,134 ) 31 1,163 60 Balance as of April 30, 2014 52,086 51,557 972 104,615 119,350 33,617 257,582 Additions — — — — 10,226 — 10,226 Exchange rate fluctuations (2,483 ) (5,635 ) — (8,118 ) (27 ) (5,223 ) (13,368 ) Balance as of April 30, 2015 $ 49,603 $ 45,922 $ 972 $ 96,497 $ 129,549 $ 28,394 $ 254,440 (1) During fiscal 2014, adjustments to the preliminary purchase accounting allocation relating to the PDI acquisition, resulted in an increase in goodwill (see Note 12 — Acquisitions Intangible assets include the following: April 30, 2015 April 30, 2014 (in thousands) Amortized intangible assets: Gross Accumulated Net Gross Accumulated Net Customer lists $ 41,099 $ (12,578 ) $ 28,521 $ 34,899 $ (8,674 ) $ 26,225 Intellectual property 22,900 (10,130 ) 12,770 22,900 (7,009 ) 15,891 Proprietary databases 4,256 (2,351 ) 1,905 4,256 (1,925 ) 2,331 Trademarks 3,986 (3,291 ) 695 3,686 (2,559 ) 1,127 Non-compete agreements 910 (673 ) 237 810 (610 ) 200 Total $ 73,151 $ (29,023 ) 44,128 $ 66,551 $ (20,777 ) 45,774 Unamortized intangible assets: Trademarks 3,800 3,800 Exchange rate fluctuations (27 ) (14 ) Intangible assets $ 47,901 $ 49,560 Acquisition-related intangible assets acquired in fiscal 2015 include customer lists, trademarks, and non-compete agreements of $6.2 million, $0.3 million, and $0.1 million, respectively. Customer lists, trademarks and non-compete agreements have a weighted-average useful lives from the date of purchase of ten years, one year, and five years, respectively. Amortization expense for amortized intangible assets was $8.2 million, $8.7 million and $5.0 million during fiscal 2015, 2014 and 2013, respectively. Estimated annual amortization expense related to amortizing intangible assets is as follows: Year Ending April 30, Estimated (in thousands) 2016 $ 7,907 2017 6,332 2018 5,648 2019 4,394 2020 4,110 Thereafter 15,737 $ 44,128 All amortizable intangible assets will be fully amortized by the end of fiscal 2031. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Apr. 30, 2015 | |
Commitments and Contingencies | 14. Commitments and Contingencies Lease Commitments The Company leases office premises and certain office equipment under leases expiring at various dates through 2026. Total rental expense during fiscal 2015, 2014 and 2013 amounted to $38.0 million, $39.6 million and $38.4 million, respectively. Future minimum commitments under non-cancelable operating leases with lease terms in excess of one year excluding commitments accrued in the restructuring liability are as follows: Year Ending April 30, Lease (in thousands) 2016 $ 41,624 2017 39,542 2018 35,958 2019 32,126 2020 30,715 Thereafter 137,451 $ 317,416 Employment Agreements The Company has a policy of entering into offer letters of employment or letters of promotion with vice presidents which provide for an annual base salary and discretionary and incentive bonus payments. Certain key vice presidents who typically have been employed by the Company for several years may also have a standard form employment agreement. Upon termination without cause, the Company is required to pay the amount of severance due under the employment agreement, if any. The Company also requires its vice presidents to agree in their employment letters and their employment agreement, if applicable, not to compete with the Company both during the term of their employment, and for a period of up to two years after their employment ends. For a period of two years after their employment with the Company, former vice presidents are prohibited from soliciting employees of the Company for employment outside of the Company. Litigation From time to time, the Company has been and is involved in litigation incidental to its business. The Company is currently not a party to any litigation which, if resolved adversely against the Company, would, in the opinion of management, after consultation with legal counsel, have a material adverse effect on the Company’s business, financial position or results of operations. During fiscal 2014, in connection with an employment dispute, the Company recorded expenses in the amount of $4.5 million in compensation and benefits expense. The Company settled the liability and as of April 30, 2015 and 2014, carries no liability regarding this matter. |
Quarterly Results
Quarterly Results | 12 Months Ended |
Apr. 30, 2015 | |
Quarterly Results | 15. Quarterly Results (Unaudited) The following table sets forth certain unaudited consolidated statement of income data for the quarters in fiscal 2015 and 2014. The unaudited quarterly information has been prepared on the same basis as the annual financial statements and, in management’s opinion, includes all adjustments necessary to present fairly the information for the quarters presented. Quarters Ended Fiscal 2015 Fiscal 2014 April 30 January 31 October 31 July 31 April 30 January 31 October 31 July 31 (in thousands, except per share data) Fee revenue $ 271,717 $ 249,545 $ 255,702 $ 251,188 $ 251,712 $ 242,184 $ 237,968 $ 228,437 Operating income $ 28,092 $ 32,927 $ 34,416 $ 18,593 $ 24,480 $ 27,302 $ 23,165 $ 16,661 Net income $ 25,482 $ 22,939 $ 25,403 $ 14,533 $ 21,211 $ 21,304 $ 18,759 $ 11,417 Net earnings per common share: Basic $ 0.51 $ 0.46 $ 0.52 $ 0.30 $ 0.44 $ 0.44 $ 0.39 $ 0.24 Diluted $ 0.51 $ 0.46 $ 0.51 $ 0.29 $ 0.43 $ 0.43 $ 0.38 $ 0.24 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Apr. 30, 2015 | |
Subsequent Events | 16. Subsequent Events Quarterly Dividend Declaration On June 10, 2015, the Board of Directors of the Company declared a cash dividend under its recently adopted dividend policy. The dividend of $0.10 per share will be paid on July 15, 2015 to holders of the Company’s common stock of record at the close of business on June 25, 2015. The declaration and payment of future dividends under the quarterly dividend policy will be at the discretion of the Board of Directors and will depend upon many factors, including the Company’s earnings, capital requirements, financial conditions, the terms of the Company’s indebtedness and other factors that the Board of Directors may deem to be relevant. The Board may amend, revoke or suspend the dividend policy at any time and for any reason. Amendment to Credit Agreement On June 3, 2015, we entered into Amendment No. 2 to the Credit Agreement which became effective as of June 5, 2015 (the “Amendment No. 2”), in order to amend certain terms of the Credit Agreement (as amended pursuant to Amendment No. 2, the “Amended Credit Agreement”). Amendment No. 2, among other things, (i) increased the aggregate amount available under revolving credit facility to $150.0 million, which includes a $15.0 million sub-limit for letters of credit, with an option to increase the credit facility by an additional $50.0 million prior to December 3, 2019, subject to the Lender’s consent and the satisfaction of certain conditions (including the requirement, if the Lender acting in its sole discretion so elects, that the credit facility under the Amended Credit Agreement become secured at such time by substantially all the assets of the Company and the guarantors); (ii) extended the maturity date to June 3, 2020, (iii) amended the financial covenants so as to require the Company to maintain a minimum adjusted EBITDA and a maximum total funded debt to adjusted EBITDA ratio; (iv) amended the pricing applicable to borrowings under the Amended Credit Agreement, as described below; (v) amended certain covenants relating to permitted acquisitions, dividends and share repurchases, including increasing the amount of dividends permitted to be paid in any fiscal year to up to $75.0 million; (vi) amended the definition of “domestic liquidity” to include amounts available to be borrowed under the increased credit facility; and (vii) effected certain technical and conforming changes. As of June 5, 2015, borrowings under the Amended Credit Agreement will bear interest, at our election, at the adjusted LIBOR plus the applicable margin or at the base rate plus the applicable margin. The applicable margin is based on a percentage per annum determined in accordance with a specified pricing grid based on the Company’s total funded debt to adjusted EBITDA ratio. For LIBOR loans, the applicable margin will range from 0.875% to 1.75% per annum, while for base rate loans, the applicable margin will range from 0.00% to 0.75% per annum. As of June 5, 2015, we are required to pay a quarterly commitment fee of 0.25% to 0.40% on the revolving credit facility’s average daily unused commitments based on the Company’s total funded debt to adjusted EBITDA ratio. The definition of domestic liquidity requirement under the Amended Credit Agreement requires that we maintain at least $50.0 million in unrestricted cash and/or marketable securities (excluding any marketable securities that are held in trust for the settlement of our obligations under certain deferred compensation plans) as a condition to consummating permitted acquisitions, paying dividends to our stockholders and making share repurchases of our common stock. Undrawn amounts on our line of credit may be used to calculate domestic liquidity. The Company is limited in consummating permitted acquisitions, paying dividends to our stockholders and making share repurchases of our common stock to a cumulative total of $125.0 million in any fiscal year. Subject to the foregoing, the Company is permitted to pay up to $75.0 million in dividends and share repurchases, in aggregate, in any fiscal year (subject to the satisfaction of certain conditions). |
VALUATION AND QUALIFYING ACCOUN
VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Apr. 30, 2015 | |
VALUATION AND QUALIFYING ACCOUNTS | KORN/FERRY INTERNATIONAL AND SUBSIDIARIES SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS April 30, 2015 Column A Column B Column C Column D Column E Additions Description Balance at Charges to (Charges) Deductions Balance at (in thousands) Allowance for doubtful accounts: Year Ended April 30, 2015 $ 9,513 $ 7,741 $ (693 ) $ (6,603 ) $ 9,958 Year Ended April 30, 2014 $ 9,097 $ 7,840 $ 291 $ (7,715 ) $ 9,513 Year Ended April 30, 2013 $ 9,437 $ 6,748 $ (118 ) $ (6,970 ) $ 9,097 Deferred tax asset valuation allowance: Year Ended April 30, 2015 $ 26,969 $ 2,537 $ — $ (7,898 ) $ 21,608 Year Ended April 30, 2014 $ 27,731 $ 3,728 $ — $ (4,490 ) $ 26,969 Year Ended April 30, 2013 $ 25,089 $ 5,678 $ — $ (3,036 ) $ 27,731 (1) Exchange rate fluctuations. (2) Allowance for doubtful accounts represents accounts written-off, net of recoveries and deferred tax asset valuation represents release of prior valuation allowances. |
Organization and Summary of S25
Organization and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Apr. 30, 2015 | |
Basis of Consolidation and Presentation | Basis of Consolidation and Presentation The consolidated financial statements include the accounts of the Company and its wholly and majority owned/controlled domestic and international subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The preparation of the consolidated financial statements conform with United States (“U.S.”) generally accepted accounting principles (“GAAP”) and prevailing practice within the industry. The consolidated financial statements include all adjustments, consisting of normal recurring accruals and any other adjustments that management considers necessary for a fair presentation of the results for these periods. Investments in affiliated companies, which are 50% or less owned and where the Company exercises significant influence over operations, are accounted for using the equity method. Dividends received from our unconsolidated subsidiaries were approximately $1.7 million, $2.1 million and $1.9 million during fiscal 2015, 2014 and 2013, respectively. The Company considers events or transactions that occur after the balance sheet date but before the consolidated financial statements are issued to provide additional evidence relative to certain estimates or to identify matters that require additional disclosures. |
Use of Estimates and Uncertainties | Use of Estimates and Uncertainties The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates, and changes in estimates are reported in current operations as new information is learned or upon the amounts becoming fixed and determinable. The most significant areas that require management judgment are revenue recognition, restructuring, deferred compensation, annual performance related bonuses, evaluation of the carrying value of receivables, goodwill and other intangible assets, fair value of contingent consideration, share-based payments and the recoverability of deferred income taxes. |
Revenue Recognition | Revenue Recognition Substantially all professional fee revenue is derived from fees for professional services related to executive recruitment performed on a retained basis, recruitment for non-executive professionals, recruitment process outsourcing and leadership & talent consulting services. Fee revenue from executive recruitment activities and recruitment for non-executive professionals is generally one-third of the estimated first year cash compensation of the placed executive or non-executive professional, as applicable, plus a percentage of the fee to cover indirect engagement related expenses. The Company generally recognizes revenue on a straight-line basis over a three-month period, commencing upon client acceptance, as this is the period over which the recruitment services are performed. Fees earned in excess of the initial contract amount are recognized upon completion of the engagement, which reflect the difference between the final actual compensation of the placed executive and the estimate used for purposes of the previous billings. Since the initial contract fees are typically not contingent upon placement of a candidate, our assumptions primarily relate to establishing the period over which such service is performed. These assumptions determine the timing of revenue recognition and profitability for the reported period. Any revenues associated with services that are provided on a contingent basis are recognized once the contingency is resolved. In addition to recruitment for non-executive professionals, Futurestep provides recruitment process outsourcing (“RPO”) services and fee revenue is recognized as services are rendered and/or milestones are achieved. Fee revenue from Leadership & Talent Consulting (“LTC”) services is recognized as services are rendered for consulting engagements and other time based services, measured by total hours incurred to the total estimated hours at completion. It is possible that updated estimates for the consulting engagement may vary from initial estimates with such updates being recognized in the period of determination. Depending on the timing of billings and services rendered, the Company accrues or defers revenue as appropriate. LTC revenue is also derived from the sale of solution services, which includes revenue from licenses and from the sale of products. Revenue from licenses is recognized using a straight-line method over the term of the contract (generally 12 months). Under the fixed term licenses, the Company is obligated to provide the licensee with access to any updates to the underlying intellectual property that are made by the Company during the term of the license. Once the term of the agreement expires, the client’s right to access or use the intellectual property expires and the Company has no further obligations to the client under the license agreement. Revenue from perpetual licenses is recognized when the license is sold since the Company’s only obligation is to provide the client access to the intellectual property but is not obligated to provide maintenance, support, updates or upgrades. Products sold by the Company mainly consist of books and automated services covering a variety of topics including performance management, team effectiveness, and coaching and development. The Company recognizes revenue for its products when the product has been sold or shipped in the case of books. As of April 30, 2015 and 2014, the Company included deferred revenue of $40.5 million and $36.8 million, respectively, in other accrued liabilities. |
Reimbursements | Reimbursements The Company incurs certain out-of-pocket expenses that are reimbursed by its clients, which are accounted for as revenue in its consolidated statements of income. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts An allowance is established for doubtful accounts by taking a charge to general and administrative expenses. The amount of the allowance is based on historical loss experience, assessment of the collectability of specific accounts, as well as expectations of future collections based upon trends and the type of work for which services are rendered. After the Company exhausts all collection efforts, the amount of the allowance is reduced for balances identified as uncollectible. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. As of April 30, 2015 and 2014, the Company’s investments in cash equivalents, consist of money market funds for which market prices are readily available. As of April 30, 2015 and 2014, the Company had cash equivalents of $260.6 million and $186.6 million, respectively. |
Marketable Securities | Marketable Securities The Company currently has investments in marketable securities and mutual funds which are classified as either trading securities or available-for-sale, based upon management’s intent and ability to hold, sell or trade such securities. The classification of the investments in these marketable securities and mutual funds is assessed upon purchase and reassessed at each reporting period. These investments are recorded at fair value and are classified as marketable securities in the accompanying consolidated balance sheets. The investments that the Company may sell within the next twelve months are carried as current assets. Realized gains (losses) on marketable securities are determined by specific identification. Interest is recognized on an accrual basis, dividends are recorded as earned on the ex-dividend date. Interest and dividend income are recorded in the accompanying consolidated statements of income in interest expense, net. The Company invests in mutual funds, (for which market prices are readily available) that are held in trust to satisfy obligations under the Company’s deferred compensation plans (see Note 5 — Marketable Securities The Company also invests cash in excess of its daily operating requirements and capital needs primarily in marketable fixed income (debt) securities in accordance with the Company’s investment policy, which restricts the type of investments that can be made. The Company’s investment portfolio includes corporate bonds. These marketable fixed income (debt) securities are classified as available-for-sale securities based on management’s decision, at the date such securities are acquired, not to hold these securities to maturity or actively trade them. The Company carries these marketable debt securities at fair value based on the market prices for these marketable debt securities or similar debt securities whose prices are readily available. The changes in fair values, net of applicable taxes, are recorded as unrealized gains or losses as a component of comprehensive income. When, in the opinion of management, a decline in the fair value of an investment below its amortized cost is considered to be “other-than-temporary,” a credit loss is recorded in the statement of income in other income, net; any amount in excess of the credit loss is recorded as unrealized gains or losses as a component of comprehensive income. Generally, the amount of the loss is the difference between the cost or amortized cost and its then current fair value; a credit loss is the difference between the discounted expected future cash flows to be collected from the debt security and the cost or amortized cost of the debt security. The determination of the other-than-temporary decline includes, in addition to other relevant factors, a presumption that if the market value is below cost by a significant amount for a period of time, a write-down may be necessary. During fiscal 2015, 2014 and 2013, no other-than-temporary impairment was recognized. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value is the price the Company would receive to sell an asset or transfer a liability (exit price) in an orderly transaction between market participants. For those assets and liabilities recorded or disclosed at fair value, the Company determines the fair value based upon the quoted market price, if available. If a quoted market price is not available for identical assets, the fair value is based upon the quoted market price of similar assets. The fair values are assigned a level within the fair value hierarchy as defined below: • Level 1 • Level 2 • Level 3 As of April 30, 2015 and 2014, the Company held certain assets that are required to be measured at fair value on a recurring basis. These included cash, cash equivalents, accounts receivable and marketable securities. The carrying amount of cash, cash equivalents and accounts receivable approximates fair value due to the short maturity of these instruments. The fair values of marketable securities classified as trading are obtained from quoted market prices, and the fair values of marketable securities classified as available-for-sale are obtained from a third party, which are based on quoted prices or market prices for similar assets. |
Business Acquisitions | Business Acquisitions Business acquisitions are accounted for under the acquisition method. The acquisition method requires the reporting entity to identify the acquirer, determine the acquisition date, recognize and measure the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquired entity, and recognize and measure goodwill or a gain from the purchase. The acquiree’s results are included in the Company’s consolidated financial statements from the date of acquisition. Assets acquired and liabilities assumed are recorded at their fair values and the excess of the purchase price over the amounts assigned is recorded as goodwill, or if the fair value of the assets acquired exceeds the purchase price consideration, a bargain purchase gain is recorded. Adjustments to fair value assessments are recorded to goodwill over the measurement period (not longer than twelve months). The acquisition method also requires that acquisition-related transaction and post-acquisition restructuring costs be charged to expense as committed, and requires the Company to recognize and measure certain assets and liabilities including those arising from contingencies and contingent consideration in a business combination. During fiscal 2014, the Company paid contingent consideration to the selling stockholders of PDI Ninth House (“PDI”) of $15 million, as required under the merger agreement, as a result of the achievement of certain pre-determined goals associated with expense synergies. |
Property and Equipment | Property and Equipment Property and equipment is carried at cost less accumulated depreciation. Leasehold improvements are amortized on a straight-line basis over the estimated useful life of the asset, or the lease term, whichever is shorter. Software development costs incurred for internal use projects are capitalized and, once placed in service, amortized using the straight-line method over the estimated useful life, generally three to seven years. All other property and equipment is depreciated or amortized on a straight-line basis over the estimated useful lives of three to ten years. The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. In fiscal 2015, 2014 and 2013, there were no such impairment charges recorded. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill represents the excess of the purchase price over the fair value of assets acquired. The goodwill impairment test compares the fair value of a reporting unit with its carrying amount, including goodwill. If the carrying amount of a reporting unit exceeds its fair value, goodwill of the reporting unit would be considered impaired. To measure the amount of the impairment loss, the implied fair value of a reporting unit’s goodwill is compared to the carrying amount of that goodwill. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. If the carrying amount of a reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. For each of these tests, the fair value of each of the Company’s reporting units is determined using a combination of valuation techniques, including a discounted cash flow methodology. To corroborate the discounted cash flow analysis performed at each reporting unit, a market approach, is utilized using observable market data such as comparable companies in similar lines of business that are publicly traded or which are part of a public or private transaction (to the extent available). Results of the annual impairment test performed as of January 31, 2015, indicated that the fair value of each reporting unit exceeded its carrying amount and no reporting units were at risk of failing the impairment test. As a result, no impairment charge was recognized. There was also no indication of potential impairment during the fourth quarter of fiscal 2015 that would have required further testing. Intangible assets primarily consist of customer lists, non-compete agreements, proprietary databases, intellectual property and trademarks and are recorded at their estimated fair value at the date of acquisition and are amortized in a pattern in which the asset is consumed if that pattern can be reliably determined, or using the straight-line method over their estimated useful lives which range from one to 24 years. For intangible assets subject to amortization, an impairment loss is recognized if the carrying amount of the intangible assets is not recoverable and exceeds fair value. The carrying amount of the intangible assets is considered not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from use of the asset. Intangible assets with indefinite lives are not amortized, but are reviewed annually for impairment or more frequently whenever events or changes in circumstances indicate that the fair value of the asset may be less than its carrying amount. As of April 30, 2015 and 2014, there were no indicators of impairment with respect to the Company’s intangible assets. |
Compensation and Benefits Expense | Compensation and Benefits Expense Compensation and benefits expense in the accompanying consolidated statements of income consist of compensation and benefits paid to consultants (employees who originate business), executive officers and administrative and support personnel. The most significant portions of this expense are salaries and the amounts paid under the annual performance related bonus plan to employees. The portion of the expense applicable to salaries is comprised of amounts earned by employees during a reporting period. The portion of the expenses applicable to annual performance related bonuses refers to the Company’s annual employee performance related bonus with respect to a fiscal year, the amount of which is communicated and paid to each eligible employee following the completion of the fiscal year. Each quarter, management makes its best estimate of its annual performance related bonuses, which requires management to, among other things, project annual consultant productivity (as measured by engagement fees billed and collected by executive search consultants and revenue and other performance metrics for LTC and Futurestep consultants), the level of engagements referred by a fee earner in one line of business to a different line of business, Company performance including profitability, competitive forces and future economic conditions and their impact on the Company’s results. At the end of each fiscal year, annual performance related bonuses take into account final individual consultant productivity (including referred work), Company results including profitability, the achievement of strategic objectives, the results of individual performance appraisals, and the current economic landscape. Accordingly, each quarter the Company reevaluates the assumptions used to estimate annual performance related bonus liability and adjusts the carrying amount of the liability recorded on the consolidated balance sheet and reports any changes in the estimate in current operations. Because annual performance-based bonuses are communicated and paid only after the Company reports its full fiscal year results, actual performance-based bonus payments may differ from the prior year’s estimate. Such changes in the bonus estimate historically have been immaterial and are recorded in current operations in the period in which they are determined. The performance related bonus expense was $166.7 million, $146.1 million and $114.1 million for the years ended April 30, 2015, 2014 and 2013, respectively, each of which was reduced by a change in the previous years’ estimate recorded in fiscal 2015, 2014 and 2013 of $0.3 million, $0.7 million and $0.2 million, respectively. This resulted in net bonus expense of $166.4 million, $145.4 million and $113.9 million for the years ended April 30, 2015, 2014 and 2013, respectively, included in compensation and benefits expense in the consolidated statements of income. Other expenses included in compensation and benefits expense are due to changes in deferred compensation and pension plan liabilities, changes in cash surrender value (“CSV”) of company owned life insurance (“COLI”) contracts, amortization of stock compensation awards, payroll taxes and employee insurance benefits. |
Deferred Compensation and Pension Plans | Deferred Compensation and Pension Plans For financial accounting purposes, the Company estimates the present value of the future benefits payable under the deferred compensation and pension plans as of the estimated payment commencement date. The Company also estimates the remaining number of years a participant will be employed by the Company. Then, each year during the period of estimated employment, the Company accrues a liability and recognizes expense for a portion of the future benefit using the “benefit/years of service” attribution method for Senior Executive Incentive Plan (“SEIP”), Wealth Accumulation Plan (“WAP”) and Enhanced Wealth Accumulation Plan (“EWAP”) and the “projected unit credit” method for the Worldwide Executive Benefit Plan (“WEB”). In calculating the accrual for future benefit payments, management has made assumptions regarding employee turnover, participant vesting, violation of non-competition provisions and the discount rate. Management periodically reevaluates all assumptions. If assumptions change in future reporting periods, the changes may impact the measurement and recognition of benefit liabilities and related compensation expense. |
Executive Capital Accumulation Plan | Executive Capital Accumulation Plan The Company, under its deferred compensation plans, makes discretionary contributions and such contributions may be granted to key employees annually based on the employee’s performance. Certain key management may also receive Company contributions upon commencement of employment. The Company amortizes these contributions on a straight-line basis as they vest, generally over a four year period. The amounts that are expected to be paid to employees over the next 12 months are classified as a current liability included in compensation and benefits payable in the accompanying consolidated balance sheet. The ECAP is accounted for whereby the changes in the fair value of the vested amounts owed to the participants are adjusted with a corresponding charge (or credit) to compensation and benefits costs. |
Cash Surrender Value of Life Insurance | Cash Surrender Value of Life Insurance The Company purchased COLI policies or contracts insuring the lives of certain employees eligible to participate in certain of the deferred compensation and pension plans as a means of funding benefits under such plans. The Company purchased both fixed and variable life insurance contracts and does not purchase “split-dollar” life insurance policy contracts. The Company has both contracts or policies that provide for a fixed or guaranteed rate of return and a variable rate of return depending on the return of the policies’ investment in their underlying portfolio in equities and bonds. The CSV of these COLI contracts are carried at the amounts that would be realized if the contract were surrendered at the balance sheet date, net of the outstanding loans borrowed from the insurer. The Company has the intention and ability to continue to hold these COLI policies and contracts. Additionally, the loans secured by the policies do not have any scheduled payment terms and the Company also does not intend to repay the loans outstanding on these policies until death benefits under the policy have been realized. Accordingly, the investment in COLI is classified as long-term in the accompanying consolidated balance sheet. The change in the CSV of COLI contracts, net of insurance premiums paid and gains realized, is reported in compensation and benefits expense. As of April 30, 2015 and 2014, the Company held contracts with gross CSV of $172.3 million and $167.2 million, offset by outstanding policy loans of $69.6 million and $72.9 million, respectively. If the issuing insurance companies were to become insolvent, the Company would be considered a general creditor for $50.6 million and $45.9 million of net CSV as of April 30, 2015 and 2014, respectively; therefore, these assets are subject to credit risk. Management, together with its outside advisors, routinely monitors the claims paying abilities of these insurance companies. |
Restructuring Charges, Net | Restructuring Charges, Net The Company accounts for its restructuring charges as a liability when the obligations are incurred and records such charges at fair value. Changes in the estimates of the restructuring charges are recorded in the period the change is determined. |
Stock-Based Compensation | Stock-Based Compensation The Company has employee compensation plans under which various types of stock-based instruments are granted. These instruments, principally include restricted stock units, restricted stock, stock options and an Employee Stock Purchase Plan (“ESPP”). The Company recognizes compensation expense related to restricted stock units, restricted stock and the estimated fair value of stock options and stock purchases under the ESPP on a straight-line basis over the service period for the entire award. |
Translation of Foreign Currencies | Translation of Foreign Currencies Generally, financial results of the Company’s foreign subsidiaries are measured in their local currencies. Assets and liabilities are translated into U.S. dollars at exchange rates in effect at the balance sheet date, while revenue and expenses are translated at weighted-average exchange rates during the fiscal year. Resulting translation adjustments are recorded as a component of accumulated comprehensive income. Gains and losses from foreign currency transactions of these subsidiaries and the translation of the financial results of subsidiaries operating in highly inflationary economies are included in general and administrative expense in the period incurred. Foreign currency losses, on an after tax basis, included in net income was $1.6 million and $0.5 million during fiscal 2015 and 2013, respectively. Foreign currency gains, on an after tax basis, included in net income were $1.0 million during fiscal 2014. |
Income Taxes | Income Taxes There are two components of income tax expense: current and deferred. Current income tax expense (benefit) approximates taxes to be paid or refunded for the current period. Deferred income tax expense (benefit) results from changes in deferred tax assets and liabilities between periods. These gross deferred tax assets and liabilities represent decreases or increases in taxes expected to be paid in the future because of future reversals of temporary differences in the basis of assets and liabilities as measured by tax laws and their basis as reported in the consolidated financial statements. Deferred tax assets are also recognized for tax attributes such as net operating loss carryforwards and tax credit carryforwards. Valuation allowances are then recorded to reduce deferred tax assets to the amounts management concludes are more likely than not to be realized. Income tax benefits are recognized and measured based upon a two-step model: (1) a tax position must be more-likely-than-not to be sustained based solely on its technical merits in order to be recognized and (2) the benefit is measured as the largest dollar amount of that position that is more-likely-than-not to be sustained upon settlement. The difference between the benefit recognized for a position and the tax benefit claimed on a tax return is referred to as an unrecognized tax benefit. The Company records income tax related interest and penalties within income tax expense. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of cash, cash equivalents, investments, receivables due from clients and net CSV due from insurance companies, which is discussed above. Cash equivalents include investments in money market securities while investments include mutual funds and corporate bonds. Investments are diversified throughout many industries and geographic regions. The Company conducts periodic reviews of its customers’ financial condition and customer payment practices to minimize collection risk on accounts receivable. At April 30, 2015 and 2014, the Company had no other significant credit concentrations. |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In March 2013, the Financial Accounting Standards Board (“FASB”) issued guidance on releasing cumulative translation adjustments when a reporting entity (parent) ceases to have a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. In addition, these amendments provide guidance on the release of cumulative translation adjustments in partial sales of equity method investments and in step acquisitions. This new guidance was effective on a prospective basis for fiscal years and interim reporting periods beginning after December 15, 2013. The amendments should be applied prospectively to derecognition events occurring after the effective date. Prior periods should not be adjusted and early adoption is permitted. The Company adopted this guidance during fiscal 2015 and the adoption did not have an impact on the financial statements of the Company. In June 2013, the FASB issued guidance on how a liability for an unrecognized tax benefit should be presented in the financial statements if the ultimate settlement of such liability will not result in a cash payment to the tax authority but will, rather, reduce a deferred tax asset for a net operating loss or tax credit carryforward. The FASB concluded that, when settlement in such manner is available under tax law, the liability for an unrecognized tax benefit should be presented as a reduction of the deferred tax asset associated with the net operating loss or tax credit carryforward. This new guidance was effective for fiscal years and interim periods within those years beginning after December 15, 2013. The Company adopted this guidance during fiscal 2015 and the adoption did not have an impact on the financial statements of the Company. |
Recently Proposed Accounting Standards | Recently Proposed Accounting Standards In May 2014, the FASB issued guidance that supersedes revenue recognition requirements regarding contracts with customers to transfer goods or services or for the transfer of nonfinancial assets. Under the new guidance, entities are required to recognize revenue in order to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance provides a five-step analysis to be performed on transactions to determine when and how revenue is recognized. This new guidance is effective for fiscal years and interim periods within those annual years beginning after December 15, 2016. The Company will adopt this guidance in its fiscal year beginning May 1, 2017. The Company is currently evaluating the effect the guidance will have on our financial condition and results of operations. |
Basic and Diluted Earnings Pe26
Basic and Diluted Earnings Per Share (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Basic and Diluted Earnings per Common Share Attributable to Common Stockholders | The following table summarizes basic and diluted earnings per common share attributable to common stockholders: Year Ended April 30, 2015 2014 2013 (in thousands, except per share data) Net income $ 88,357 $ 72,691 $ 33,293 Less: distributed and undistributed earnings to nonvested restricted stockholders 860 — — Basic net earnings attributable to common stockholders 87,497 72,691 33,293 Add: undistributed earnings to nonvested restricted stockholders 815 — — Less: reallocation of undistributed earnings to nonvested restricted stockholders 804 — — Diluted net earnings attributable to common stockholders $ 87,508 $ 72,691 $ 33,293 Weighted-average common shares outstanding: Basic weighted-average number of common shares outstanding 49,052 48,162 47,224 Effect of dilutive securities: Restricted stock 605 789 485 Stock options 105 194 174 ESPP 4 — — Diluted weighted-average number of common shares outstanding 49,766 49,145 47,883 Net earnings per common share: Basic earnings per share $ 1.78 $ 1.51 $ 0.71 Diluted earnings per share $ 1.76 $ 1.48 $ 0.70 |
Comprehensive Income (Tables)
Comprehensive Income (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Components Of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive loss were as follows: April 30, 2015 2014 (in thousands) Foreign currency translation adjustments $ (20,919 ) $ 15,604 Deferred compensation and pension plan adjustments, net of taxes (19,708 ) (18,006 ) Unrealized gains on marketable securities, net of taxes 4 14 Accumulated other comprehensive loss, net $ (40,623 ) $ (2,388 ) |
Changes in Each Component of Accumulated Other Comprehensive Income (Loss) | The following tables summarizes the changes in each component of accumulated other comprehensive income (loss): Foreign Deferred Unrealized Accumulated (in thousands) Balance as of May 1, 2012 $ 22,813 $ (15,658 ) $ 36 $ 7,191 Unrealized (losses) gains arising during the period (5,254 ) (6,033 ) 13 (11,274 ) Reclassification of realized net losses (gains) to net income — 1,455 (3 ) 1,452 Balance as of April 30, 2013 17,559 (20,236 ) 46 (2,631 ) Unrealized (losses) gains arising during the period (1,955 ) 136 (64 ) (1,883 ) Reclassification of realized net losses to net income — 2,094 32 2,126 Balance as of April 30, 2014 15,604 (18,006 ) 14 (2,388 ) Unrealized losses arising during the period (36,523 ) (3,589 ) (10 ) (40,122 ) Reclassification of realized net losses to net income — 1,887 — 1,887 Balance as of April 30, 2015 $ (20,919 ) $ (19,708 ) $ 4 $ (40,623 ) (1) The tax effects on unrealized (losses) gains of $(2.3) million, $0.07 million and $(3.8) million as of April 30, 2015, 2014 and 2013, respectively. The tax effects on reclassifications of realized net losses of $1.2 million, $1.0 million and $0.9 million as of April 30, 2015, 2014 and 2013, respectively. |
Employee Stock Plans (Tables)
Employee Stock Plans (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Components Of Stock-Based Compensation Expense Recognized | The following table summarizes the components of stock-based compensation expense recognized in the Company’s consolidated statements of income for the periods indicated: Year Ended April 30, 2015 2014 2013 (in thousands) Restricted stock $ 13,602 $ 11,689 $ 11,001 ESPP 162 — — Stock options 135 417 905 Total stock-based compensation expense, pre-tax 13,899 12,106 11,906 Tax benefit from stock-based compensation expense (3,893 ) (3,484 ) (4,142 ) Total stock-based compensation expense, net of tax $ 10,006 $ 8,622 $ 7,764 |
Stock Options Transactions | Stock options transactions under the Company’s Second A&R 2008 Plan were as follows: April 30, 2015 2014 2013 Options Weighted- Options Weighted- Options Weighted- (in thousands, except per share data) Outstanding, beginning of year 396 $ 16.23 1,100 $ 14.72 1,492 $ 14.00 Exercised (179 ) $ 16.99 (655 ) $ 13.88 (238 ) $ 9.32 Forfeited/expired (15 ) $ 17.72 (49 ) $ 13.42 (154 ) $ 16.87 Outstanding, end of year 202 $ 15.45 396 $ 16.23 1,100 $ 14.72 Exercisable, end of year 192 $ 15.07 337 $ 16.11 864 $ 15.01 |
Outstanding Stock Options | Outstanding stock options: April 30, 2015 Options Outstanding Options Exercisable Range of Exercise Prices Shares Weighted- (in years) Weighted- Shares Weighted- (in years) Weighted- (in thousands, except per share data) $9.75 — $ 13.82 48 1.3 $ 10.00 48 1.3 $ 10.00 $13.83 — $ 15.83 67 2.2 $ 13.94 67 2.2 $ 13.94 $15.84 — $ 19.88 50 0.3 $ 17.96 50 0.3 $ 17.96 $19.89 — $ 24.08 37 2.3 $ 21.87 27 1.9 $ 21.55 202 1.5 $ 15.45 192 1.4 $ 15.07 |
Additional Information Pertaining to Stock Options | Additional information pertaining to stock options: Year Ended April 30, 2015 2014 2013 (in thousands, except per share data) Total fair value of stock options vested $ 334 $ 984 $ 1,001 Total intrinsic value of stock options exercised $ 2,425 $ 6,108 $ 1,547 |
Restricted Stock Activity | Restricted stock activity is summarized below: April 30, 2015 2014 2013 Shares Weighted- Shares Weighted- Shares Weighted- (in thousands, except per share data) Non-vested, beginning of year 1,880 $ 18.95 1,810 $ 16.38 1,781 $ 16.76 Granted 438 $ 29.93 809 $ 21.32 889 $ 13.93 Vested (705 ) $ 18.52 (535 ) $ 14.54 (780 ) $ 14.99 Forfeited/expired (53 ) $ 21.13 (204 ) $ 17.19 (80 ) $ 16.43 Non-vested, end of year 1,560 $ 22.15 1,880 $ 18.95 1,810 $ 16.38 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Summary of Marketable Securities | As of April 30, 2015, marketable securities consisted of the following: Trading Available-for- Total (in thousands) Mutual funds $ 131,399 $ — $ 131,399 Corporate bonds — 13,177 13,177 Total 131,399 13,177 144,576 Less: current portion of marketable securities (12,580 ) (13,177 ) (25,757 ) Non-current marketable securities $ 118,819 $ — $ 118,819 As of April 30, 2014, marketable securities consisted of the following: Trading Available-for- Sale (2) Total (in thousands) Mutual funds $ 116,207 $ — $ 116,207 Corporate bonds — 18,352 18,352 Total 116,207 18,352 134,559 Less: current portion of marketable securities (4,510 ) (5,056 ) (9,566 ) Non-current marketable securities $ 111,697 $ 13,296 $ 124,993 (1) These investments are held in trust for settlement of the Company’s vested and unvested obligations of $129.1 million and $117.6 million as of April 30, 2015 and 2014, respectively, under the ECAP (see Note 6 — Deferred Compensation and Retirement Plans (2) The Company’s financial assets measured at fair value on a recurring basis include trading securities classified as Level 1 and available-for-sale securities classified as Level 2. As of April 30, 2015 and 2014, the Company had no investments classified as Level 3. |
Amortized Cost and Fair Values of Marketable Securities Classified as Available-For-Sale Investments | The amortized cost and fair values of marketable securities classified as available-for-sale investments were as follows: April 30, 2015 Amortized Gross Gross Estimated (in thousands) Corporate bonds $ 13,167 $ 11 $ (1 ) $ 13,177 April 30, 2014 Amortized Gross Gross Estimated (in thousands) Corporate bonds $ 18,325 $ 31 $ (4 ) $ 18,352 (1) There are no marketable securities that have been in a continuous unrealized loss position for 12 months or more. |
Deferred Compensation and Ret30
Deferred Compensation and Retirement Plans (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Total Benefit Obligations | The total benefit obligations for these plans were as follows: Year Ended April 30, 2015 2014 (in thousands) Deferred compensation plans $ 83,876 $ 82,153 Pension plan 5,262 4,424 International retirement plans 2,847 3,727 Executive Capital Accumulation Plan 99,461 89,308 Total benefit obligations 191,446 179,612 Less: current portion of benefit obligation (18,014 ) (10,377 ) Non-current benefit obligation $ 173,432 $ 169,235 |
Expected Benefit Payments Associated With Future Service | Benefit payments, which reflect expected future service, as appropriate, are expected to be paid over the next ten years as follows: Year Ending April 30, Deferred Pension (in thousands) 2016 $ 6,487 $ 322 2017 6,418 328 2018 6,192 331 2019 6,096 327 2020 6,375 331 2021-2025 30,904 1,487 |
Deferred Compensation Plan | |
Reconciliation Of Benefit Obligation | The following tables reconcile the benefit obligation for the deferred compensation plans: Year Ended April 30, 2015 2014 2013 (in thousands) Change in benefit obligation: Benefit obligation, beginning of year $ 82,153 $ 85,562 $ 78,479 Interest cost 2,835 2,566 2,868 Actuarial loss (gain) 4,863 (294 ) 9,420 Benefits paid (5,975 ) (5,681 ) (5,205 ) Benefit obligation, end of year 83,876 82,153 85,562 Less: current portion of benefit obligation (5,554 ) (5,593 ) (5,182 ) Non-current benefit obligation $ 78,322 $ 76,560 $ 80,380 |
Components Of Net Periodic Benefit Costs | The components of net periodic benefits costs are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Interest cost $ 2,835 $ 2,566 $ 2,868 Amortization of actuarial loss 3,029 3,111 2,357 Net periodic benefit cost $ 5,864 $ 5,677 $ 5,225 |
Weighted-Average Assumptions Used In Calculating Benefit Obligation | The weighted-average assumptions used in calculating the benefit obligations were as follows: Year Ended April 30, 2015 2014 2013 Discount rate, beginning of year 3.60 % 3.12 % 3.79 % Discount rate, end of year 3.28 % 3.60 % 3.12 % Rate of compensation increase 0.00 % 0.00 % 0.00 % |
Pension Plans, Defined Benefit | |
Reconciliation Of Benefit Obligation | The following tables reconcile the benefit obligation for the pension plan: Year Ended April 30, 2015 2014 2013 (in thousands) Change in benefit obligation: Benefit obligation, beginning of year $ 4,424 $ 4,536 $ 4,214 Interest cost 154 137 154 Actuarial loss 1,001 92 426 Benefits paid (317 ) (341 ) (258 ) Benefit obligation, end of year 5,262 4,424 4,536 Less: current portion of benefit obligation (278 ) (274 ) (232 ) Non-current benefit obligation $ 4,984 $ 4,150 $ 4,304 |
Components Of Net Periodic Benefit Costs | The components of net periodic benefits costs are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Interest cost $ 154 $ 137 $ 154 Amortization of actuarial loss 21 8 18 Net periodic benefit cost $ 175 $ 145 $ 172 |
Weighted-Average Assumptions Used In Calculating Benefit Obligation | The weighted-average assumptions used in calculating the benefit obligations were as follows: Year Ended April 30, 2015 2014 2013 Discount rate, beginning of year 3.60 % 3.12 % 3.79 % Discount rate, end of year 3.28 % 3.60 % 3.12 % Rate of compensation increase 0.00 % 0.00 % 0.00 % |
Executive Capital Accumulation Plan | |
Reconciliation Of Benefit Obligation | Changes in the ECAP liability were as follows: Year Ended April 30, 2015 2014 (in thousands) Balance, beginning of year $ 89,308 $ 75,913 Employee contributions 3,048 2,748 Amortization of employer contributions 12,378 11,467 Gain on investment 5,871 8,884 Employee distributions (10,295 ) (9,044 ) Exchange rate fluctuations (849 ) (660 ) Balance, end of year 99,461 89,308 Less: current portion (12,182 ) (4,510 ) Non-current portion, end of year $ 87,279 $ 84,798 |
Restructuring Charges, Net (Tab
Restructuring Charges, Net (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Changes in Restructuring Liability | Changes in the restructuring liability are as follows: Severance Facilities Total (in thousands) Liability as of April 30, 2013 $ 4,819 $ 6,729 $ 11,548 Restructuring charges, net 823 2,859 3,682 Reductions for cash payments (5,884 ) (6,821 ) (12,705 ) Exchange rate fluctuations 242 46 288 Liability as of April 30, 2014 — 2,813 2,813 Restructuring charges, net 9,224 244 9,468 Reductions for cash payments (8,396 ) (2,186 ) (10,582 ) Exchange rate fluctuations (453 ) (100 ) (553 ) Liability as of April 30, 2015 $ 375 $ 771 $ 1,146 |
Summary Of Restructuring Liability By Segment | The restructuring liability by segment is summarized below: April 30, 2015 Severance Facilities Total (in thousands) Executive Recruitment North America $ 51 $ — $ 51 Europe, Middle East and Africa (“EMEA”) 210 212 422 Total Executive Recruitment 261 212 473 LTC 58 320 378 Futurestep 52 239 291 Corporate 4 — 4 Liability as of April 30, 2015 $ 375 $ 771 $ 1,146 April 30, 2014 Severance Facilities Total (in thousands) Executive Recruitment North America $ — $ 193 $ 193 EMEA — 379 379 Total Executive Recruitment — 572 572 LTC — 1,587 1,587 Futurestep — 654 654 Liability as of April 30, 2014 $ — $ 2,813 $ 2,813 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Provision (Benefit) For Domestic And Foreign Income Taxes | The provision (benefit) for domestic and foreign income taxes was as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Current income taxes: Federal $ 16,569 $ 6,982 $ 4,100 State 2,412 1,939 1,237 Foreign 13,650 15,502 8,759 Current provision for income taxes 32,631 24,423 14,096 Deferred income taxes: Federal 3,140 5,094 (423 ) State (239 ) 177 1,895 Foreign (2,006 ) (1,202 ) 1,069 Deferred provision for income taxes 895 4,069 2,541 Total provision for income taxes $ 33,526 $ 28,492 $ 16,637 |
Domestic And Foreign Components Of Income (Loss) From Continuing Operations Before Domestic And Foreign Income And Other Taxes And Equity In Earnings | The domestic and foreign components of income from continuing operations before domestic and foreign income and other taxes and equity in earnings of unconsolidated subsidiaries were as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Domestic $ 65,885 $ 42,411 $ 15,915 Foreign 53,817 56,603 31,905 Income before provision for income taxes and equity in earnings of unconsolidated subsidiaries $ 119,702 $ 99,014 $ 47,820 |
Reconciliation Of Statutory Federal Income Tax Rate To Effective Consolidated Tax Rate | The reconciliation of the statutory federal income tax rate to the effective consolidated tax rate is as follows: Year Ended April 30, 2015 2014 2013 U.S. federal statutory income tax rate 35.0 % 35.0 % 35.0 % Foreign source income, net of credits generated 0.4 2.0 0.6 Foreign tax rates differential (4.2 ) (4.7 ) (3.7 ) COLI increase, net (3.1 ) (2.9 ) (4.8 ) Conclusion of U.S. federal tax audit — (2.7 ) — State income taxes, net of federal benefit 0.9 1.5 5.7 Change in uncertain tax positions (0.1 ) 1.1 1.9 Other (0.9 ) (0.5 ) 0.1 Effective income tax rate 28.0 % 28.8 % 34.8 % |
Components Of Deferred Tax Assets And Liabilities | Components of deferred tax assets and liabilities are as follows: April 30, 2015 2014 (in thousands) Deferred tax assets: Deferred compensation $ 71,182 $ 66,359 Loss and credit carryforwards 26,211 35,177 Reserves and accruals 9,344 8,706 Deferred rent 6,432 5,575 Deferred revenue 277 1,672 Allowance for doubtful accounts 1,831 1,536 Other 6,629 6,531 Gross deferred tax assets 121,906 125,556 Deferred tax liabilities: Intangibles (20,828 ) (21,507 ) Property and equipment (6,289 ) (6,277 ) Prepaid expenses (7,687 ) (5,600 ) Other (5,653 ) (5,678 ) Gross deferred tax liabilities (40,457 ) (39,062 ) Valuation allowances (21,608 ) (26,969 ) Net deferred tax asset $ 59,841 $ 59,525 |
Deferred Tax Amounts | The deferred tax amounts have been classified in the consolidated balance sheets as follows: April 30, 2015 2014 (in thousands) Current: Deferred tax assets $ 14,600 $ 15,591 Deferred tax liabilities (10,488 ) (10,813 ) Valuation allowance (285 ) (292 ) Current deferred tax asset 3,827 4,486 Non-current: Deferred tax asset 107,306 109,965 Deferred tax liabilities (29,969 ) (28,249 ) Valuation allowance (21,323 ) (26,677 ) Non-current deferred tax asset, net 56,014 55,039 Net deferred tax assets $ 59,841 $ 59,525 |
Changes In Unrecognized Tax Benefits | A reconciliation of the beginning and ending balances of the unrecognized tax benefits is as follows: Year Ended April 30, 2015 2014 2013 (in thousands) Unrecognized tax benefits, beginning of year $ 2,701 $ 3,400 $ — Settlement with tax authority (497 ) (1,946 ) — Additions based on tax positions related to the current year 219 279 1,454 Additions based on tax positions related to prior years — 968 1,946 Unrecognized tax benefits, end of year $ 2,423 $ 2,701 $ 3,400 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Property And Equipment | Property and equipment include the following: April 30, 2015 2014 (in thousands) Computer equipment and software (1) $ 125,815 $ 113,941 Leasehold improvements 44,832 43,994 Furniture and fixtures 32,800 32,727 Automobiles 1,496 1,707 204,943 192,369 Less: accumulated depreciation and amortization (142,855 ) (131,935 ) Property and equipment, net $ 62,088 $ 60,434 (1) Depreciation expense for capitalized software was $9.0 million, $6.0 million and $4.0 million during fiscal 2015, 2014 and 2013, respectively. The net book value of the Company’s computer software costs included in property and equipment, net was $28.7 million and $26.4 million as of April 30, 2015 and 2014, respectively. |
Business Segments (Tables)
Business Segments (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Financial Highlights By Business Segment | Financial highlights by business segment are as follows: Year Ended April 30, 2015 Executive Recruitment North EMEA Asia South Subtotal LTC Futurestep Corporate Consolidated (in thousands) Fee revenue $ 330,634 $ 153,465 $ 84,148 $ 29,160 $ 597,407 $ 267,018 $ 163,727 $ — $ 1,028,152 Total revenue $ 344,913 $ 158,052 $ 87,142 $ 29,218 $ 619,325 $ 275,220 $ 171,521 $ — $ 1,066,066 Net income $ 88,357 Other income, net (7,458 ) Interest expense, net 1,784 Equity in earnings of unconsolidated subsidiaries, net (2,181 ) Income tax provision 33,526 Operating income (loss) $ 80,818 $ 18,867 $ 14,631 $ 4,704 $ 119,020 $ 28,175 $ 19,940 $ (53,107 ) $ 114,028 Depreciation and amortization 3,515 1,764 1,045 350 6,674 13,427 1,882 5,614 27,597 Other income (loss), net 288 83 369 109 849 (22 ) 54 6,577 7,458 Equity in earnings of unconsolidated subsidiaries, net 426 — — — 426 — — 1,755 2,181 EBITDA 85,047 20,714 16,045 5,163 126,969 41,580 21,876 (39,161 ) 151,264 Restructuring charges, net 1,151 3,987 17 229 5,384 2,758 1,154 172 9,468 Acquisition costs — — — — — — — 959 959 Adjusted EBITDA $ 86,198 $ 24,701 $ 16,062 $ 5,392 $ 132,353 $ 44,338 $ 23,030 $ (38,030 ) $ 161,691 Identifiable assets (1) $ 327,446 $ 156,072 $ 94,099 $ 25,328 $ 602,945 $ 265,546 $ 103,782 $ 345,528 $ 1,317,801 Long-lived assets (1) $ 17,271 $ 3,885 $ 4,235 $ 966 $ 26,357 $ 12,377 $ 4,204 $ 19,150 $ 62,088 Goodwill (1) $ 49,603 $ 45,922 $ 972 $ — $ 96,497 $ 129,549 $ 28,394 $ — $ 254,440 Year Ended April 30, 2014 Executive Recruitment North EMEA Asia South Subtotal LTC Futurestep Corporate Consolidated (in thousands) Fee revenue $ 306,768 $ 147,917 $ 84,816 $ 29,374 $ 568,875 $ 254,636 $ 136,790 $ — $ 960,301 Total revenue $ 321,473 $ 152,525 $ 87,606 $ 29,586 $ 591,190 $ 262,962 $ 141,407 $ — $ 995,559 Net income $ 72,691 Other income, net (9,769 ) Interest expense, net 2,363 Equity in earnings of unconsolidated subsidiaries, net (2,169 ) Income tax provision 28,492 Operating income (loss) $ 70,256 $ 23,168 $ 17,274 $ 5,654 $ 116,352 $ 23,847 $ 13,352 $ (61,943 ) $ 91,608 Depreciation and amortization 3,579 2,727 1,383 323 8,012 12,491 1,797 3,872 26,172 Other income, net 631 632 203 303 1,769 106 583 7,311 9,769 Equity in earnings of unconsolidated subsidiaries, net 383 — — — 383 — — 1,786 2,169 EBITDA 74,849 26,527 18,860 6,280 126,516 36,444 15,732 (48,974 ) 129,718 Restructuring charges, net 816 460 60 — 1,336 1,149 1,134 63 3,682 Separation costs — — — — — — — 4,500 4,500 Integration costs — — — — — — — 394 394 Adjusted EBITDA $ 75,665 $ 26,987 $ 18,920 $ 6,280 $ 127,852 $ 37,593 $ 16,866 $ (44,017 ) $ 138,294 Identifiable assets (1) $ 295,865 $ 157,610 $ 83,292 $ 25,587 $ 562,354 $ 255,590 $ 111,036 $ 304,686 $ 1,233,666 Long-lived assets (1) $ 18,647 $ 5,515 $ 2,978 $ 1,168 $ 28,308 $ 11,976 $ 2,550 $ 17,600 $ 60,434 Goodwill (1) $ 52,086 $ 51,557 $ 972 $ — $ 104,615 $ 119,350 $ 33,617 $ — $ 257,582 Year Ended April 30, 2013 Executive Recruitment North EMEA Asia South Subtotal LTC Futurestep Corporate Consolidated (in thousands) Fee revenue $ 290,317 $ 128,807 $ 73,221 $ 30,134 $ 522,479 $ 168,115 $ 122,237 $ — $ 812,831 Total revenue $ 305,993 $ 132,988 $ 75,359 $ 30,491 $ 544,831 $ 176,566 $ 128,304 $ — $ 849,701 Net income $ 33,293 Other income, net (6,309 ) Interest expense, net 2,365 Equity in earnings of unconsolidated subsidiaries, net (2,110 ) Income tax provision 16,637 Operating income (loss) $ 58,832 $ 9,173 $ 6,973 $ 5,987 $ 80,965 $ 6,424 $ 10,975 $ (54,488 ) $ 43,876 Depreciation and amortization 4,726 2,347 1,546 372 8,991 6,012 1,180 2,821 19,004 Other income (loss), net 466 95 200 32 793 (75 ) 51 5,540 6,309 Equity in earnings of unconsolidated subsidiaries, net 434 — — — 434 — — 1,676 2,110 EBITDA 64,458 11,615 8,719 6,391 91,183 12,361 12,206 (44,451 ) 71,299 Restructuring charges, net 3,583 3,982 629 — 8,194 10,198 3,527 938 22,857 Integration/acquisition costs — — — — — — — 3,106 3,106 Separation costs — 516 — — 516 — — — 516 Adjusted EBITDA $ 68,041 $ 16,113 $ 9,348 $ 6,391 $ 99,893 $ 22,559 $ 15,733 $ (40,407 ) $ 97,778 Identifiable assets (1) $ 209,079 $ 148,491 $ 72,303 $ 23,616 $ 453,489 $ 248,611 $ 93,331 $ 319,798 $ 1,115,229 Long-lived assets (1) $ 19,167 $ 6,312 $ 2,784 $ 894 $ 29,157 $ 10,383 $ 2,523 $ 11,565 $ 53,628 Goodwill (1) $ 54,513 $ 50,264 $ 972 $ — $ 105,749 $ 119,090 $ 32,454 $ — $ 257,293 (1) As of the end of the fiscal year. |
Fee Revenue Classified by Country | Fee revenue classified by country in which the Company derives revenues are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) U.S. $ 557,024 $ 507,280 $ 416,987 Other countries 471,128 453,021 395,844 Total fee revenue $ 1,028,152 $ 960,301 $ 812,831 |
Long-Lived Assets, Excluding Financial Instruments and Tax Assets, Classified by Controlling Countries over Ten Percent | Long-lived assets, excluding financial instruments and tax assets, classified by controlling countries over 10% of the total are as follows: Year Ended April 30, 2015 2014 2013 (in thousands) U.S. (1) $ 50,103 $ 47,411 $ 40,200 Other countries 11,985 13,023 13,428 Total long-lived assets $ 62,088 $ 60,434 $ 53,628 (1) Includes Corporate long-lived assets |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Summary Of Acquisitions | Following is a summary of acquisitions the Company completed during the periods indicated (no acquisitions were completed in fiscal 2014): Year Ended April 30, 2015 (1) 2013 (2) (3) (in thousands) Assets acquired $ 3,361 $ 32,784 Intangibles acquired 6,600 42,800 Liabilities acquired 2,691 31,506 Net assets acquired 7,270 44,078 Purchase price 17,496 126,917 Goodwill $ 10,226 $ 82,839 Acquisition costs $ 501 $ 2,710 Goodwill by segment — LTC $ 10,226 $ 82,839 (1) On March 1, 2015, the Company acquired all outstanding membership interest of Pivot Leadership, a global provider of innovative, customized and scalable executive development programs, for $17.5 million, net of cash acquired, which includes $2.2 million in contingent consideration. As of April 30, 2015, the contingent consideration is included in other liabilities in the accompanying consolidated balance sheets. The contingent consideration is based on the achievement of certain revenue targets and can be up to $6.5 million, payable in four installments in fiscal 2017 to 2020. The acquisition will allow us to integrate the Company’s talent management solution with Pivot’s executive learning capabilities. Actual results of operations of Pivot Leadership are included in the Company’s consolidated financial statements from March 1, 2015, the effective date of the acquisition, and include $3.7 million and $20.0 million in fee revenue and total assets, respectively, during fiscal 2015. (2) On December 31, 2012, the Company acquired all outstanding shares of Minneapolis-based PDI, a leading, globally-recognized provider of leadership assessment and development solutions, for $92.5 million, net of cash acquired, which includes $14.9 million in contingent consideration, for the achievement of certain post-closing synergies. During fiscal 2014, the Company paid $15.0 million (includes the interest accreted since December 31, 2012) in contingent consideration to the selling stockholders of PDI as a result of the achievement of certain pre-determined goals associated with expense synergies. PDI has been in business for over 45 years and operates in more than 20 global locations. The acquisition strengthens and expands the Company’s talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of PDI are included in the Company’s consolidated financial statements from December 31, 2012, the effective date of the acquisition. (3) On September 1, 2012, the Company acquired all outstanding membership interests of Global Novations, LLC, (“Global Novations”) a leading provider of diversity and inclusion and leadership development solutions, for $34.5 million in cash, net of cash acquired. Global Novations has more than 150 offerings designed to develop leaders, enable high-performing cultures and deliver business outcomes for its clients. Key diversity and inclusion and leadership offerings include consulting, training and education and e-learning. Global Novations has more than 30 years of experience and has served clients in more than 40 countries, including more than half of the Fortune 100. The acquisition strengthens and expands the Company’s talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of Global Novations are included in the Company’s consolidated financial statements from September 1, 2012, the effective date of the acquisition. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Changes In Carrying Value Of Goodwill By Reportable Segment | Changes in the carrying value of goodwill by reportable segment were as follows: Executive Recruitment North EMEA Asia Subtotal LTC Futurestep Consolidated (in thousands) Balance as of April 30, 2013 $ 54,513 $ 50,264 $ 972 $ 105,749 $ 119,090 $ 32,454 $ 257,293 Additions (1) — — — — 229 — 229 Exchange rate fluctuations (2,427 ) 1,293 — (1,134 ) 31 1,163 60 Balance as of April 30, 2014 52,086 51,557 972 104,615 119,350 33,617 257,582 Additions — — — — 10,226 — 10,226 Exchange rate fluctuations (2,483 ) (5,635 ) — (8,118 ) (27 ) (5,223 ) (13,368 ) Balance as of April 30, 2015 $ 49,603 $ 45,922 $ 972 $ 96,497 $ 129,549 $ 28,394 $ 254,440 (1) During fiscal 2014, adjustments to the preliminary purchase accounting allocation relating to the PDI acquisition, resulted in an increase in goodwill (see Note 12 — Acquisitions |
Intangible assets | Intangible assets include the following: April 30, 2015 April 30, 2014 (in thousands) Amortized intangible assets: Gross Accumulated Net Gross Accumulated Net Customer lists $ 41,099 $ (12,578 ) $ 28,521 $ 34,899 $ (8,674 ) $ 26,225 Intellectual property 22,900 (10,130 ) 12,770 22,900 (7,009 ) 15,891 Proprietary databases 4,256 (2,351 ) 1,905 4,256 (1,925 ) 2,331 Trademarks 3,986 (3,291 ) 695 3,686 (2,559 ) 1,127 Non-compete agreements 910 (673 ) 237 810 (610 ) 200 Total $ 73,151 $ (29,023 ) 44,128 $ 66,551 $ (20,777 ) 45,774 Unamortized intangible assets: Trademarks 3,800 3,800 Exchange rate fluctuations (27 ) (14 ) Intangible assets $ 47,901 $ 49,560 |
Estimated Annual Amortization Expense Related To Amortizing Intangible Assets | Estimated annual amortization expense related to amortizing intangible assets is as follows: Year Ending April 30, Estimated (in thousands) 2016 $ 7,907 2017 6,332 2018 5,648 2019 4,394 2020 4,110 Thereafter 15,737 $ 44,128 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Future Minimum Commitments Under Non-Cancelable Operating Leases | Future minimum commitments under non-cancelable operating leases with lease terms in excess of one year excluding commitments accrued in the restructuring liability are as follows: Year Ending April 30, Lease (in thousands) 2016 $ 41,624 2017 39,542 2018 35,958 2019 32,126 2020 30,715 Thereafter 137,451 $ 317,416 |
Quarterly Results (Tables)
Quarterly Results (Tables) | 12 Months Ended |
Apr. 30, 2015 | |
Schedule Of Unaudited Quarterly Information | The following table sets forth certain unaudited consolidated statement of income data for the quarters in fiscal 2015 and 2014. The unaudited quarterly information has been prepared on the same basis as the annual financial statements and, in management’s opinion, includes all adjustments necessary to present fairly the information for the quarters presented. Quarters Ended Fiscal 2015 Fiscal 2014 April 30 January 31 October 31 July 31 April 30 January 31 October 31 July 31 (in thousands, except per share data) Fee revenue $ 271,717 $ 249,545 $ 255,702 $ 251,188 $ 251,712 $ 242,184 $ 237,968 $ 228,437 Operating income $ 28,092 $ 32,927 $ 34,416 $ 18,593 $ 24,480 $ 27,302 $ 23,165 $ 16,661 Net income $ 25,482 $ 22,939 $ 25,403 $ 14,533 $ 21,211 $ 21,304 $ 18,759 $ 11,417 Net earnings per common share: Basic $ 0.51 $ 0.46 $ 0.52 $ 0.30 $ 0.44 $ 0.44 $ 0.39 $ 0.24 Diluted $ 0.51 $ 0.46 $ 0.51 $ 0.29 $ 0.43 $ 0.43 $ 0.38 $ 0.24 |
Organization and Summary of S39
Organization and Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended | ||
Apr. 30, 2015USD ($)CountryOffice | Apr. 30, 2014USD ($) | Apr. 30, 2013USD ($) | |
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Number of offices | Office | 78 | ||
Number of countries in which entity operates | Country | 37 | ||
Investments in affiliated companies maximum | 50.00% | ||
Dividends received from unconsolidated subsidiary | $ 1,656,000 | $ 2,120,000 | $ 1,897,000 |
Deferred revenue | 40,500,000 | 36,800,000 | |
Cash equivalents | 260,600,000 | 186,600,000 | |
Realized loss of other-than-temporary impairment | 0 | 0 | 0 |
Payment of contingent consideration from acquisitions | 15,000,000 | ||
Impairment Charges | 0 | 0 | 0 |
Impairment of goodwill | 0 | ||
Impairment of intangible assets | 0 | 0 | |
Performance related bonus expenses | 166,700,000 | 146,100,000 | 114,100,000 |
(Decrease) increase in performance related bonus expenses | (300,000) | (700,000) | (200,000) |
Performance related bonus after reduction in the previous year estimate | 166,400,000 | 145,400,000 | 113,900,000 |
Foreign currency losses/(gains), after tax | $ 1,600,000 | (1,000,000) | $ 500,000 |
Minimum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets estimated useful lives | 1 year | ||
Maximum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets estimated useful lives | 24 years | ||
Csv Of Coli Contracts | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Gross CSV | $ 172,300,000 | 167,200,000 | |
Outstanding policy loans | 69,600,000 | 72,900,000 | |
Receivable on insolvency of insurance companies | $ 50,600,000 | $ 45,900,000 | |
Executive Capital Accumulation Plan | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Deferred compensation arrangement vesting period | 4 years | ||
Software and Software Development Costs | Minimum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Property and equipment, estimated useful life, maximum | 3 years | ||
Software and Software Development Costs | Maximum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Property and equipment, estimated useful life, maximum | 7 years | ||
Other Capitalized Property Plant and Equipment | Minimum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Property and equipment, estimated useful life, maximum | 3 years | ||
Other Capitalized Property Plant and Equipment | Maximum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Property and equipment, estimated useful life, maximum | 10 years |
Basic and Diluted Earnings Pe40
Basic and Diluted Earnings Per Share - Additional Information (Detail) - shares shares in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from computation of earnings per share, shares | 40 | 500 | |
Restricted Stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive securities excluded from computation of earnings per share, shares | 500 |
Basic and Diluted Earnings pe41
Basic and Diluted Earnings per Common Share Attributable to Common Stockholders (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Earnings Per Share Disclosure [Line Items] | |||||||||||
Net income | $ 25,482 | $ 22,939 | $ 25,403 | $ 14,533 | $ 21,211 | $ 21,304 | $ 18,759 | $ 11,417 | $ 88,357 | $ 72,691 | $ 33,293 |
Less: distributed and undistributed earnings to nonvested restricted stockholders | 860 | ||||||||||
Basic net earnings attributable to common stockholders | 87,497 | 72,691 | 33,293 | ||||||||
Add: undistributed earnings to nonvested restricted stockholders | 815 | ||||||||||
Less: reallocation of undistributed earnings to nonvested restricted stockholders | 804 | ||||||||||
Diluted net earnings attributable to common stockholders | $ 87,508 | $ 72,691 | $ 33,293 | ||||||||
Basic weighted-average number of common shares outstanding | 49,052 | 48,162 | 47,224 | ||||||||
Diluted weighted-average number of common shares outstanding | 49,766 | 49,145 | 47,883 | ||||||||
Basic earnings per share | $ 0.51 | $ 0.46 | $ 0.52 | $ 0.30 | $ 0.44 | $ 0.44 | $ 0.39 | $ 0.24 | $ 1.78 | $ 1.51 | $ 0.71 |
Diluted earnings per share | $ 0.51 | $ 0.46 | $ 0.51 | $ 0.29 | $ 0.43 | $ 0.43 | $ 0.38 | $ 0.24 | $ 1.76 | $ 1.48 | $ 0.70 |
ESPP | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Stock | 4 | ||||||||||
Restricted Stock | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Stock | 605 | 789 | 485 | ||||||||
Stock Options | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Stock | 105 | 194 | 174 |
Components of Accumulated Other
Components of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | Apr. 30, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Foreign currency translation adjustments | $ (20,919) | $ 15,604 | ||
Deferred compensation and pension plan adjustments, net of taxes | (19,708) | (18,006) | ||
Unrealized gains on marketable securities, net of taxes | 4 | 14 | ||
Accumulated other comprehensive loss, net | $ (40,623) | $ (2,388) | $ (2,631) | $ 7,191 |
Changes in Each Component of Ac
Changes in Each Component of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive income (loss), beginning balance | $ (2,388) | $ (2,631) | $ 7,191 | |
Unrealized (losses) gains arising during the period | (40,122) | (1,883) | (11,274) | |
Reclassification of realized net losses (gains) to net income | 1,887 | 2,126 | 1,452 | |
Accumulated other comprehensive income (loss), ending balance | (40,623) | (2,388) | (2,631) | |
Accumulated Translation Adjustment | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive income (loss), beginning balance | 15,604 | 17,559 | 22,813 | |
Unrealized (losses) gains arising during the period | (36,523) | (1,955) | (5,254) | |
Accumulated other comprehensive income (loss), ending balance | (20,919) | 15,604 | 17,559 | |
Accumulated Defined Benefit Plans Adjustment | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive income (loss), beginning balance | [1] | (18,006) | (20,236) | (15,658) |
Unrealized (losses) gains arising during the period | [1] | (3,589) | 136 | (6,033) |
Reclassification of realized net losses (gains) to net income | [1] | 1,887 | 2,094 | 1,455 |
Accumulated other comprehensive income (loss), ending balance | [1] | (19,708) | (18,006) | (20,236) |
Accumulated Net Unrealized Investment Gain (Loss) | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Accumulated other comprehensive income (loss), beginning balance | 14 | 46 | 36 | |
Unrealized (losses) gains arising during the period | (10) | (64) | 13 | |
Reclassification of realized net losses (gains) to net income | 32 | (3) | ||
Accumulated other comprehensive income (loss), ending balance | $ 4 | $ 14 | $ 46 | |
[1] | The tax effects on unrealized (losses) gains of $(2.3) million, $0.07 million and $(3.8) million as of April 30, 2015, 2014 and 2013, respectively. The tax effects on reclassifications of realized net losses of $1.2 million, $1.0 million and $0.9 million as of April 30, 2015, 2014 and 2013, respectively. |
Changes in Each Component of 44
Changes in Each Component of Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax effects on unrealized (losses) gains | $ (2,300) | $ 70 | $ (3,800) |
Tax effects on reclassifications of realized net losses | $ 1,200 | $ 1,000 | $ 900 |
Components of Stock-Based Compe
Components of Stock-Based Compensation Expense Recognized (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense, pre-tax | $ 13,899 | $ 12,106 | $ 11,906 |
Tax benefit from stock-based compensation expense | (3,893) | (3,484) | (4,142) |
Total stock-based compensation expense, net of tax | 10,006 | 8,622 | 7,764 |
Restricted Stock | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense, pre-tax | 13,602 | 11,689 | 11,001 |
ESPP | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense, pre-tax | 162 | ||
Stock Options | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Total stock-based compensation expense, pre-tax | $ 135 | $ 417 | $ 905 |
Employee Stock Plans - Addition
Employee Stock Plans - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock option grants | 0 | 0 | 0 |
Aggregate intrinsic value of options outstanding | $ 3,200,000 | ||
Aggregate intrinsic value of options exercisable | 3,200,000 | ||
Common stock repurchased, value | 4,038,000 | $ 2,249,000 | $ 2,838,000 |
Cash proceeds from exercise of stock options | $ 2,993,000 | $ 8,805,000 | $ 2,134,000 |
Shares repurchased during the period | 0 | 0 | 0 |
Common Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares repurchased during the period | 122,000 | 113,000 | 197,000 |
Time Based Restricted Stock | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Time Based Restricted Stock | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 4 years | ||
Market Based Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Shares outstanding | 300,000 | ||
Total unrecognized compensation cost related to non-vested awards | $ 3,700,000 | ||
Performance Based Restricted Stock Unit | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Shares outstanding | 200,000 | ||
Total unrecognized compensation cost related to non-vested awards | $ 2,400,000 | ||
Stock Options | Common Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock issued for stock options exercised | 178,950 | 654,458 | 237,856 |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total unrecognized compensation cost related to non-vested awards | $ 20,600,000 | ||
Expected cost recognized over weighted-average period | 2 years 2 months 12 days | ||
Shares repurchased during the period | 121,775 | 112,792 | |
Common stock repurchased, value | $ 4,038,000 | $ 2,249,000 | |
Stock Incentive Plan 2008 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock incentive plan, maximum number of shares issuable | 5,700,000 | ||
Issuance of full-value stock awards limitation, required ratio to stock options | 1.91 | ||
ESPP | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Authorized payroll deductions | 15.00% | ||
Authorized payroll deductions, value | $ 25,000 | ||
Fair market price of common stock | 85.00% | ||
Shares reserved for issuance | 1,500,000 | ||
Amended shares reserved for issuance | 3,000,000 | ||
Shares available for future issuance | 1,600,000 |
Stock Options Transactions (Det
Stock Options Transactions (Detail) - Stock Options - $ / shares shares in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Options | |||
Outstanding, beginning of year | 396 | 1,100 | 1,492 |
Exercised | (179) | (655) | (238) |
Forfeited/expired | (15) | (49) | (154) |
Outstanding, end of year | 202 | 396 | 1,100 |
Exercisable, end of year | 192 | 337 | 864 |
Weighted Average Exercise Price | |||
Outstanding, beginning of year | $ 16.23 | $ 14.72 | $ 14 |
Exercised | 16.99 | 13.88 | 9.32 |
Forfeited/expired | 17.72 | 13.42 | 16.87 |
Outstanding, end of year | 15.45 | 16.23 | 14.72 |
Exercisable, end of year | $ 15.07 | $ 16.11 | $ 15.01 |
Employee Stock Plans (Outstandi
Employee Stock Plans (Outstanding Stock Options And SARs) (Detail) - Apr. 30, 2015 - $ / shares shares in Thousands | Total |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Options Outstanding, Shares | 202 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 1 year 6 months |
Options Outstanding, Weighted-Average Exercise Price | $ 15.45 |
Options Exercisable, Shares | 192 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 1 year 4 months 24 days |
Options Exercisable, Weighted-Average Exercise Price | $ 15.07 |
$9.75 - $ 13.82 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 9.75 |
Range of Exercise Prices, Maximum | $ 13.82 |
Options Outstanding, Shares | 48 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 1 year 3 months 18 days |
Options Outstanding, Weighted-Average Exercise Price | $ 10 |
Options Exercisable, Shares | 48 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 1 year 3 months 18 days |
Options Exercisable, Weighted-Average Exercise Price | $ 10 |
$13.83 - $ 15.83 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 13.83 |
Range of Exercise Prices, Maximum | $ 15.83 |
Options Outstanding, Shares | 67 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 2 years 2 months 12 days |
Options Outstanding, Weighted-Average Exercise Price | $ 13.94 |
Options Exercisable, Shares | 67 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 2 years 2 months 12 days |
Options Exercisable, Weighted-Average Exercise Price | $ 13.94 |
$15.84 - $ 19.88 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 15.84 |
Range of Exercise Prices, Maximum | $ 19.88 |
Options Outstanding, Shares | 50 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 3 months 18 days |
Options Outstanding, Weighted-Average Exercise Price | $ 17.96 |
Options Exercisable, Shares | 50 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 3 months 18 days |
Options Exercisable, Weighted-Average Exercise Price | $ 17.96 |
$19.89 - $ 24.08 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 19.89 |
Range of Exercise Prices, Maximum | $ 24.08 |
Options Outstanding, Shares | 37 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 2 years 3 months 18 days |
Options Outstanding, Weighted-Average Exercise Price | $ 21.87 |
Options Exercisable, Shares | 27 |
Options Exercisable, Weighted-Average Remaining Contractual Life (in years) | 1 year 10 months 24 days |
Options Exercisable, Weighted-Average Exercise Price | $ 21.55 |
Additional Information Pertaini
Additional Information Pertaining to Stock Options (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total fair value of stock options vested | $ 334 | $ 984 | $ 1,001 |
Total intrinsic value of stock options exercised | $ 2,425 | $ 6,108 | $ 1,547 |
Restricted Stock Activity (Deta
Restricted Stock Activity (Detail) - Restricted Stock - $ / shares shares in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares, Non-vested, beginning of year | 1,880 | 1,810 | 1,781 |
Shares, Granted | 438 | 809 | 889 |
Shares, Vested | (705) | (535) | (780) |
Shares, Forfeited/expired | (53) | (204) | (80) |
Shares, Non-vested, end of year | 1,560 | 1,880 | 1,810 |
Weighted-Average Grant Date Fair Value, Non-vested, beginning of year | $ 18.95 | $ 16.38 | $ 16.76 |
Weighted-Average Grant Date Fair Value, Granted | 29.93 | 21.32 | 13.93 |
Weighted-Average Grant Date Fair Value, Vested | 18.52 | 14.54 | 14.99 |
Weighted-Average Grant Date Fair Value, Forfeited/expired | 21.13 | 17.19 | 16.43 |
Weighted-Average Grant Date Fair Value, Non-vested, end of year | $ 22.15 | $ 18.95 | $ 16.38 |
Summary of Marketable Securitie
Summary of Marketable Securities (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | |
Schedule Of Marketable Securities [Line Items] | |||
Trading | [1],[2] | $ 131,399 | $ 116,207 |
Less: current portion of marketable securities | [1],[2] | (12,580) | (4,510) |
Non-current marketable securities | [1],[2] | 118,819 | 111,697 |
Available-for-Sale | [1] | 13,177 | 18,352 |
Less: current portion of marketable securities | [1] | (13,177) | (5,056) |
Non-current marketable securities | [1] | 13,296 | |
Total | 144,576 | 134,559 | |
Less: current portion of marketable securities | (25,757) | (9,566) | |
Non-current marketable securities | 118,819 | 124,993 | |
Mutual Funds | |||
Schedule Of Marketable Securities [Line Items] | |||
Trading | [1],[2] | 131,399 | 116,207 |
Total | 131,399 | 116,207 | |
Corporate Bonds | |||
Schedule Of Marketable Securities [Line Items] | |||
Available-for-Sale | [1] | 13,177 | 18,352 |
Total | $ 13,177 | $ 18,352 | |
[1] | The Company's financial assets measured at fair value on a recurring basis include trading securities classified as Level 1 and available-for-sale securities classified as Level 2. As of April 30, 2015 and 2014, the Company had no investments classified as Level 3. | ||
[2] | These investments are held in trust for settlement of the Company's vested and unvested obligations of $129.1 million and $117.6 million as of April 30, 2015 and 2014, respectively, under the ECAP (see Note 6 - Deferred Compensation and Retirement Plans). During fiscal 2015, 2014 and 2013, the fair value of the investments increased; therefore, the Company recognized income of $8.8 million, $9.5 million, and $7.6 million, respectively, which was recorded in other income, net. |
Summary of Marketable Securit52
Summary of Marketable Securities (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Schedule Of Marketable Securities [Line Items] | |||
Obligations for which assets are held in trust | $ 129,100 | $ 117,600 | |
Recognized investment (loss) income | $ 8,829 | $ 9,498 | $ 7,556 |
Amortized Cost and Fair Values
Amortized Cost and Fair Values of Marketable Securities Classified as Available-For-Sale Investments (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | |
Schedule of Available-for-sale Securities [Line Items] | |||
Estimated Fair Value | [1] | $ 13,177 | $ 18,352 |
Corporate Bonds | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Amortized Cost | 13,167 | 18,325 | |
Gross Unrealized Gains | 11 | 31 | |
Gross Unrealized Losses | [2] | (1) | (4) |
Estimated Fair Value | [1] | $ 13,177 | $ 18,352 |
[1] | The Company's financial assets measured at fair value on a recurring basis include trading securities classified as Level 1 and available-for-sale securities classified as Level 2. As of April 30, 2015 and 2014, the Company had no investments classified as Level 3. | ||
[2] | There are no marketable securities that have been in a continuous unrealized loss position for 12 months or more. |
Amortized Cost and Fair Value54
Amortized Cost and Fair Values of Marketable Securities Classified as Available-For-Sale Investments (Parenthetical) (Detail) - USD ($) | Apr. 30, 2015 | Apr. 30, 2014 |
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities that have been in a continuous unrealized loss position for 12 months or more | $ 0 | $ 0 |
Marketable Securities - Additio
Marketable Securities - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | ||
Schedule Of Marketable Securities [Line Items] | |||
Proceeds from sales/maturities of available-for-sale securities | $ 5,000 | $ 33,300 | |
Trading securities | [1],[2] | 131,399 | 116,207 |
Gross unrealized gains | 8,300 | 9,200 | |
Gross unrealized losses | $ 200 | $ 700 | |
Minimum | |||
Schedule Of Marketable Securities [Line Items] | |||
Available-for-sale marketable securities, remaining maturities | 1 month | ||
Maximum | |||
Schedule Of Marketable Securities [Line Items] | |||
Available-for-sale marketable securities, remaining maturities | 8 months | ||
[1] | The Company's financial assets measured at fair value on a recurring basis include trading securities classified as Level 1 and available-for-sale securities classified as Level 2. As of April 30, 2015 and 2014, the Company had no investments classified as Level 3. | ||
[2] | These investments are held in trust for settlement of the Company's vested and unvested obligations of $129.1 million and $117.6 million as of April 30, 2015 and 2014, respectively, under the ECAP (see Note 6 - Deferred Compensation and Retirement Plans). During fiscal 2015, 2014 and 2013, the fair value of the investments increased; therefore, the Company recognized income of $8.8 million, $9.5 million, and $7.6 million, respectively, which was recorded in other income, net. |
Deferred Compensation And Ret56
Deferred Compensation And Retirement Plans (Total Long-Term Benefit Obligations) (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | Apr. 30, 2012 |
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | $ 191,446 | $ 179,612 | ||
Less: current portion of benefit obligation | (18,014) | (10,377) | ||
Non-current benefit obligation | 173,432 | 169,235 | ||
Total benefit obligations | 191,446 | 179,612 | ||
Deferred Compensation Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | 83,876 | 82,153 | $ 85,562 | $ 78,479 |
Less: current portion of benefit obligation | (5,554) | (5,593) | (5,182) | |
Non-current benefit obligation | 78,322 | 76,560 | 80,380 | |
Total benefit obligations | 83,876 | 82,153 | 85,562 | 78,479 |
Pension Plans, Defined Benefit | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | 5,262 | 4,424 | 4,536 | 4,214 |
Less: current portion of benefit obligation | (278) | (274) | (232) | |
Non-current benefit obligation | 4,984 | 4,150 | 4,304 | |
Total benefit obligations | 5,262 | 4,424 | 4,536 | $ 4,214 |
International Retirement Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | 2,847 | 3,727 | ||
Total benefit obligations | 2,847 | 3,727 | ||
Executive Capital Accumulation Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | 99,461 | 89,308 | 75,913 | |
Less: current portion of benefit obligation | (12,182) | (4,510) | ||
Non-current benefit obligation | 87,279 | 84,798 | ||
Total benefit obligations | $ 99,461 | $ 89,308 | $ 75,913 |
Deferred Compensation and Ret57
Deferred Compensation and Retirement Plans - Additional Information (Detail) | 12 Months Ended | |||
Apr. 30, 2015USD ($)Person | Apr. 30, 2014USD ($)Person | Apr. 30, 2013USD ($) | Apr. 30, 2012USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | $ 191,446,000 | $ 179,612,000 | ||
Recognized investment income | 8,829,000 | 9,498,000 | $ 7,556,000 | |
Increase in market value of the underlying COLI investments | 10,509,000 | 8,242,000 | 6,502,000 | |
Net CSV | 102,691,000 | 94,274,000 | ||
Csv Of Coli Contracts | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Gross CSV | 172,300,000 | 167,200,000 | ||
Outstanding policy loans | 69,600,000 | 72,900,000 | ||
Total death benefits payable, net of loans | 216,500,000 | 214,200,000 | ||
Increase in market value of the underlying COLI investments | $ 10,509,000 | 8,242,000 | 6,502,000 | |
Enhanced Wealth Accumulation Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Participant contribution period towards deferred compensation plans (in years) | 8 years | |||
Participant after tax contribution period towards deferred compensation plans (in years) | 15 years | |||
Additional deferred units to acquire (in years) | 5 years | |||
Senior Executive Incentive Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Participant contribution period towards deferred compensation plans (in years) | 4 years | |||
Participant after tax contribution period towards deferred compensation plans (in years) | 15 years | |||
Pension Plans, Defined Benefit | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Participant employment term, maximum years | 20 years | |||
Total benefit obligation | $ 5,262,000 | 4,424,000 | 4,536,000 | $ 4,214,000 |
Executive Capital Accumulation Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | 99,461,000 | 89,308,000 | 75,913,000 | |
Company's contributions | $ 19,100,000 | 17,200,000 | 20,000,000 | |
Deferred compensation arrangement vesting period | 4 years | |||
Gain on investment | $ 5,871,000 | 8,884,000 | 6,300,000 | |
Company's contributions, unamortized portion | 29,700,000 | 28,300,000 | ||
International Retirement Plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Total benefit obligation | $ 2,847,000 | $ 3,727,000 | ||
Long-term benefit obligation accrued, number of participants | Person | 393 | 383 | ||
Company's contributions | $ 500,000 | $ 600,000 | ||
Defined Contribution Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Company's matching contributions | $ 1,600,000 | 1,200,000 | 0 | |
Percentage contribution by the participants to defined contribution plan | 50.00% | |||
Company Owned Life Insurance Held In Trust | Csv Of Coli Contracts | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net CSV | $ 72,200,000 | |||
Total death benefits payable, net of loans held in trust | 123,800,000 | |||
Deferred Compensation Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Deferred compensation and pension plans in periodic benefit expense cost expected to be recognized | 2,900,000 | |||
Total benefit obligation | $ 83,876,000 | $ 82,153,000 | $ 85,562,000 | $ 78,479,000 |
Deferred Compensation And Ret58
Deferred Compensation And Retirement Plans (Reconciliation Of Benefit Obligation) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Benefit obligation, beginning of year | $ 179,612 | |||||
Benefit obligation, end of year | 191,446 | $ 179,612 | ||||
Less: current portion of benefit obligation | $ (18,014) | $ (10,377) | ||||
Non-current benefit obligation | 173,432 | 169,235 | ||||
Benefit obligation, end of year | 179,612 | 179,612 | 191,446 | 179,612 | ||
Deferred Compensation Plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Benefit obligation, beginning of year | 82,153 | 85,562 | $ 78,479 | |||
Interest cost | 2,835 | 2,566 | 2,868 | |||
Actuarial loss | 4,863 | (294) | 9,420 | |||
Benefits paid | (5,975) | (5,681) | (5,205) | |||
Benefit obligation, end of year | 83,876 | 82,153 | 85,562 | |||
Less: current portion of benefit obligation | (5,554) | (5,593) | $ (5,182) | |||
Non-current benefit obligation | 78,322 | 76,560 | 80,380 | |||
Benefit obligation, end of year | 82,153 | 85,562 | 78,479 | 83,876 | 82,153 | 85,562 |
Pension Plans, Defined Benefit | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Benefit obligation, beginning of year | 4,424 | 4,536 | 4,214 | |||
Interest cost | 154 | 137 | 154 | |||
Actuarial loss | 1,001 | 92 | 426 | |||
Benefits paid | (317) | (341) | (258) | |||
Benefit obligation, end of year | 5,262 | 4,424 | 4,536 | |||
Less: current portion of benefit obligation | (278) | (274) | (232) | |||
Non-current benefit obligation | 4,984 | 4,150 | 4,304 | |||
Benefit obligation, end of year | 4,424 | 4,536 | 4,214 | 5,262 | 4,424 | 4,536 |
Executive Capital Accumulation Plan | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Benefit obligation, beginning of year | 89,308 | 75,913 | ||||
Employee contributions | 3,048 | 2,748 | ||||
Amortization of employer contributions | 12,378 | 11,467 | ||||
Gain on investment | 5,871 | 8,884 | 6,300 | |||
Benefits paid | (10,295) | (9,044) | ||||
Exchange rate fluctuations | (849) | (660) | ||||
Benefit obligation, end of year | 99,461 | 89,308 | 75,913 | |||
Less: current portion of benefit obligation | (12,182) | (4,510) | ||||
Non-current benefit obligation | 87,279 | 84,798 | ||||
Benefit obligation, end of year | $ 89,308 | $ 75,913 | $ 75,913 | $ 99,461 | $ 89,308 | $ 75,913 |
Components of Net Periodic Bene
Components of Net Periodic Benefit Costs (Detail) - Deferred Compensation Plan - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | $ 2,835 | $ 2,566 | $ 2,868 |
Amortization of actuarial loss | 3,029 | 3,111 | 2,357 |
Net periodic benefit cost | $ 5,864 | $ 5,677 | $ 5,225 |
Deferred Compensation And Ret60
Deferred Compensation And Retirement Plans (Weighted-Average Assumptions Used In Calculating The Benefit Obligations) (Detail) | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 |
Deferred Compensation Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Pension Plans, Defined Benefit | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Deferred Compensation And Ret61
Deferred Compensation And Retirement Plans (Components Of Net Periodic Benefit Costs) (Detail) - Pension Plans, Defined Benefit - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | $ 154 | $ 137 | $ 154 |
Amortization of actuarial loss | 21 | 8 | 18 |
Net periodic benefit cost | $ 175 | $ 145 | $ 172 |
Deferred Compensation And Ret62
Deferred Compensation And Retirement Plans (Expected Benefit Payments Associated With Future Service) (Detail) $ in Thousands | Apr. 30, 2015USD ($) |
Deferred Compensation Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | $ 6,487 |
2,017 | 6,418 |
2,018 | 6,192 |
2,019 | 6,096 |
2,020 | 6,375 |
2021-2025 | 30,904 |
Pension Plans, Defined Benefit | |
Defined Benefit Plan Disclosure [Line Items] | |
2,016 | 322 |
2,017 | 328 |
2,018 | 331 |
2,019 | 327 |
2,020 | 331 |
2021-2025 | $ 1,487 |
Restructuring Charges, Net - Ad
Restructuring Charges, Net - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges, net | $ 9,468 | $ 3,682 | $ 22,857 |
Restructuring liability included in other long-term liabilities | $ 300 | 700 | |
Long-term restructuring liability, payment term | 3 years | ||
Severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges, net | $ 9,224 | 823 | 16,300 |
Facilities | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges, net | $ 244 | $ 2,859 | $ 6,500 |
Changes In Restructuring Liabil
Changes In Restructuring Liability (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Restructuring Cost and Reserve [Line Items] | |||
Liability, Beginning period | $ 2,813 | $ 11,548 | |
Restructuring charges, net | 9,468 | 3,682 | $ 22,857 |
Reductions for cash payments | (10,582) | (12,705) | |
Exchange rate fluctuations | (553) | 288 | |
Liability, Ending period | 1,146 | 2,813 | 11,548 |
Severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Liability, Beginning period | 4,819 | ||
Restructuring charges, net | 9,224 | 823 | 16,300 |
Reductions for cash payments | (8,396) | (5,884) | |
Exchange rate fluctuations | (453) | 242 | |
Liability, Ending period | 375 | 4,819 | |
Facilities | |||
Restructuring Cost and Reserve [Line Items] | |||
Liability, Beginning period | 2,813 | 6,729 | |
Restructuring charges, net | 244 | 2,859 | 6,500 |
Reductions for cash payments | (2,186) | (6,821) | |
Exchange rate fluctuations | (100) | 46 | |
Liability, Ending period | $ 771 | $ 2,813 | $ 6,729 |
Summary of Restructuring Liabil
Summary of Restructuring Liability by Segment (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | $ 1,146 | $ 2,813 | $ 11,548 |
Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 4 | ||
Executive Recruitment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 473 | 572 | |
Executive Recruitment | North America | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 51 | 193 | |
Executive Recruitment | EMEA | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 422 | 379 | |
LTC | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 378 | 1,587 | |
Futurestep | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 291 | 654 | |
Severance | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 375 | 4,819 | |
Severance | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 4 | ||
Severance | Executive Recruitment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 261 | ||
Severance | Executive Recruitment | North America | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 51 | ||
Severance | Executive Recruitment | EMEA | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 210 | ||
Severance | LTC | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 58 | ||
Severance | Futurestep | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 52 | ||
Facilities | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 771 | 2,813 | $ 6,729 |
Facilities | Executive Recruitment | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 212 | 572 | |
Facilities | Executive Recruitment | North America | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 193 | ||
Facilities | Executive Recruitment | EMEA | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 212 | 379 | |
Facilities | LTC | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | 320 | 1,587 | |
Facilities | Futurestep | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve | $ 239 | $ 654 |
Provision Benefit For Domestic
Provision Benefit For Domestic And Foreign Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Current income taxes: | |||
Federal | $ 16,569 | $ 6,982 | $ 4,100 |
State | 2,412 | 1,939 | 1,237 |
Foreign | 13,650 | 15,502 | 8,759 |
Current provision for income taxes | 32,631 | 24,423 | 14,096 |
Deferred income taxes: | |||
Federal | 3,140 | 5,094 | (423) |
State | (239) | 177 | 1,895 |
Foreign | (2,006) | (1,202) | 1,069 |
Deferred provision for income taxes | 895 | 4,069 | 2,541 |
Total provision for income taxes | $ 33,526 | $ 28,492 | $ 16,637 |
Domestic and Foreign Components
Domestic and Foreign Components of Income (Loss) From Continuing Operations Before Domestic and Foreign Income and Other Taxes And Equity in Earnings of Unconsolidated Subsidiaries (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Income Taxes [Line Items] | |||
Domestic | $ 65,885 | $ 42,411 | $ 15,915 |
Foreign | 53,817 | 56,603 | 31,905 |
Income before provision for income taxes and equity in earnings of unconsolidated subsidiaries | $ 119,702 | $ 99,014 | $ 47,820 |
Reconciliation of Statutory Fed
Reconciliation of Statutory Federal Income Tax Rate to Effective Consolidated Tax Rate (Detail) | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Income Taxes [Line Items] | |||
U.S. federal statutory income tax rate | 35.00% | 35.00% | 35.00% |
Foreign source income, net of credits generated | 0.40% | 2.00% | 0.60% |
Foreign tax rates differential | (4.20%) | (4.70%) | (3.70%) |
COLI increase, net | (3.10%) | (2.90%) | (4.80%) |
Conclusion of U.S. federal tax audit | (2.70%) | ||
State income taxes, net of federal benefit | 0.90% | 1.50% | 5.70% |
Change in uncertain tax positions | (0.10%) | 1.10% | 1.90% |
Other | (0.90%) | (0.50%) | 0.10% |
Effective income tax rate | 28.00% | 28.80% | 34.80% |
Components of Deferred Tax Asse
Components of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 |
Income Taxes [Line Items] | ||
Deferred compensation | $ 71,182 | $ 66,359 |
Loss and credit carryforwards | 26,211 | 35,177 |
Reserves and accruals | 9,344 | 8,706 |
Deferred rent | 6,432 | 5,575 |
Deferred revenue | 277 | 1,672 |
Allowance for doubtful accounts | 1,831 | 1,536 |
Other | 6,629 | 6,531 |
Gross deferred tax assets | 121,906 | 125,556 |
Intangibles | (20,828) | (21,507) |
Property and equipment | (6,289) | (6,277) |
Prepaid expenses | (7,687) | (5,600) |
Other | (5,653) | (5,678) |
Gross deferred tax liabilities | (40,457) | (39,062) |
Valuation allowances | (21,608) | (26,969) |
Net deferred tax asset | $ 59,841 | $ 59,525 |
Deferred Tax Amounts (Detail)
Deferred Tax Amounts (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 |
Income Taxes [Line Items] | ||
Current, Deferred tax assets | $ 14,600 | $ 15,591 |
Current, Deferred tax liabilities | (10,488) | (10,813) |
Valuation allowance | (285) | (292) |
Current, Deferred tax asset | 3,827 | 4,486 |
Non-current, Deferred tax asset | 107,306 | 109,965 |
Non-current, Deferred tax liabilities | (29,969) | (28,249) |
Valuation allowance | (21,323) | (26,677) |
Non-current deferred tax asset, net | 56,014 | 55,039 |
Net deferred tax asset | $ 59,841 | $ 59,525 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Schedule Of Income Taxes [Line Items] | |||
Undistributed earning of foreign subsidiaries | $ 241,800,000 | ||
Unrecognized tax benefits liability | 2,423,000 | $ 2,701,000 | $ 3,400,000 |
Unrecognized tax benefits, reductions resulting from resolution | (1,400,000) | ||
Unrecognized tax benefits, accrued interest and penalties | 700,000 | 700,000 | |
Unrecognized tax benefits, interest | 100,000 | 100,000 | $ 0 |
Internal Revenue Service (IRS) | |||
Schedule Of Income Taxes [Line Items] | |||
Net operating loss carryforward | $ 5,000,000 | $ 12,200,000 | |
Net operating loss carryforward, beginning expiration | 2,028 | ||
State and Local Jurisdiction | |||
Schedule Of Income Taxes [Line Items] | |||
Net operating loss carryforward | $ 21,800,000 | ||
Net operating loss carryforward, beginning expiration | 2,016 | ||
Foreign Tax Authority | |||
Schedule Of Income Taxes [Line Items] | |||
Net operating loss carryforward | $ 85,600,000 | ||
Net operating loss carryforward, beginning expiration | 2,016 |
Changes in Unrecognized Tax Ben
Changes in Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Income Taxes [Line Items] | |||
Unrecognized tax benefits, beginning of year | $ 2,701 | $ 3,400 | |
Settlement with tax authority | (497) | (1,946) | |
Additions based on tax positions related to the current year | 219 | 279 | $ 1,454 |
Additions based on tax positions related to prior years | 968 | 1,946 | |
Unrecognized tax benefits, end of year | $ 2,423 | $ 2,701 | $ 3,400 |
Property And Equipment (Detail)
Property And Equipment (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | $ 204,943 | $ 192,369 | ||
Less: accumulated depreciation and amortization | (142,855) | (131,935) | ||
Property and equipment, net | [1] | 62,088 | 60,434 | $ 53,628 |
Computer equipment and software | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | [2] | 125,815 | 113,941 | |
Leasehold improvements | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 44,832 | 43,994 | ||
Furniture and fixtures | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | 32,800 | 32,727 | ||
Automobiles | ||||
Property, Plant and Equipment [Line Items] | ||||
Property and equipment, gross | $ 1,496 | $ 1,707 | ||
[1] | As of the end of the fiscal year. | |||
[2] | Depreciation expense for capitalized software was $9.0 million, $6.0 million and $4.0 million during fiscal 2015, 2014 and 2013, respectively. The net book value of the Company's computer software costs included in property and equipment, net was $28.7 million and $26.4 million as of April 30, 2015 and 2014, respectively. |
Property And Equipment (Parenth
Property And Equipment (Parenthetical) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation expense for capitalized software | $ 9 | $ 6 | $ 4 |
Net book value of capitalized software | $ 28.7 | $ 26.4 |
Property And Equipment - Additi
Property And Equipment - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation expense for property and equipment | $ 19.4 | $ 17.5 | $ 14 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Apr. 30, 2015 | Apr. 30, 2014 | |
Debt Instrument [Line Items] | ||
Financial covenants amount | $ 50,000,000 | |
Interest rate description | Borrowings under the Facility bear interest, at the election of the Company, at the London Interbank Offered Rate (“LIBOR”) plus the applicable margin or the base rate plus the applicable margin. The base rate is the highest of (i) the published prime rate, (ii) the federal funds rate plus 1.50%, or (iii) one month LIBOR plus 1.50%. The applicable margin is based on a percentage per annum determined in accordance with a specified pricing grid based on the total funded debt to adjusted EBITDA ratio. For LIBOR loans, the applicable margin will range from 0.50% to 1.50% per annum, while for base rate loans the applicable margin will range from 0.00% to 0.25% per annum. The Company is required to pay a quarterly commitment fee of 0.25% to 0.35% on the Facility’s average daily unused commitments based on the Company’s funded debt to adjusted EBITDA ratio. | |
Covenant description | The financial covenants include a maximum total funded debt to adjusted EBITDA ratio and a minimum adjusted EBITDA. As of April 30, 2015, the Company is in compliance with its financial covenants. In addition, there is a domestic liquidity requirement that the Company maintain $50.0 million in unrestricted cash and/or marketable securities (excluding any marketable securities that are held in trust for the settlement of the Company’s obligation under certain deferred compensation plans) as a condition to consummating permitted acquisitions, paying dividends to our shareholders and share repurchases of our common stock. | |
Value of common shares repurchases permitted, dividends paid and permitted acquisitions for any fiscal year | $ 125,000,000 | |
Dividend payable subject to certain conditions | 50,000,000 | |
Long-term debt | $ 0 | $ 0 |
Minimum | ||
Debt Instrument [Line Items] | ||
Quarterly Commitment Fees on the Facility's unused commitments | 0.25% | |
Maximum | ||
Debt Instrument [Line Items] | ||
Quarterly Commitment Fees on the Facility's unused commitments | 0.35% | |
Federal Funds Rate | ||
Debt Instrument [Line Items] | ||
Applicable margin on variable interest rate | 1.50% | |
London Interbank Offered Rate (LIBOR) | ||
Debt Instrument [Line Items] | ||
Applicable margin on variable interest rate | 1.50% | |
London Interbank Offered Rate (LIBOR) | Minimum | ||
Debt Instrument [Line Items] | ||
Applicable margin on variable interest rate | 0.50% | |
London Interbank Offered Rate (LIBOR) | Maximum | ||
Debt Instrument [Line Items] | ||
Applicable margin on variable interest rate | 1.50% | |
Base Rate Loans | Minimum | ||
Debt Instrument [Line Items] | ||
Applicable margin on variable interest rate | 0.00% | |
Base Rate Loans | Maximum | ||
Debt Instrument [Line Items] | ||
Applicable margin on variable interest rate | 0.25% | |
Standby Letters of Credit | ||
Debt Instrument [Line Items] | ||
Long-term debt arrangement | $ 2,800,000 | 2,800,000 |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Senior Unsecured Revolving Facility, maximum borrowing capacity | 75,000,000 | |
Senior Unsecured Revolving Facility, additional borrowing capacity | $ 50,000,000 | |
Senior Unsecured Revolving Facility, maturity date | Jan. 18, 2018 | |
Revolving Credit Facility | Letter of Credit | ||
Debt Instrument [Line Items] | ||
Senior Unsecured Revolving Facility, maximum borrowing capacity | $ 15,000,000 | |
Other Financial Institutions | Standby Letters of Credit | ||
Debt Instrument [Line Items] | ||
Long-term debt arrangement | 1,600,000 | 1,500,000 |
Csv Of Coli Contracts | ||
Debt Instrument [Line Items] | ||
Outstanding policy loans | $ 69,600,000 | $ 72,900,000 |
Csv Of Coli Contracts | Minimum | ||
Debt Instrument [Line Items] | ||
Interest payable fixed and variable rates | 4.76% | |
Csv Of Coli Contracts | Maximum | ||
Debt Instrument [Line Items] | ||
Interest payable fixed and variable rates | 8.00% |
Business Segments - Additional
Business Segments - Additional Information (Detail) | 12 Months Ended |
Apr. 30, 2015Segment | |
Segment Reporting Information [Line Items] | |
Number of business segments | 3 |
Business Segments (Detail)
Business Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | ||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | $ 271,717 | $ 249,545 | $ 255,702 | $ 251,188 | $ 251,712 | $ 242,184 | $ 237,968 | $ 228,437 | $ 1,028,152 | $ 960,301 | $ 812,831 | |
Total revenue | 1,066,066 | 995,559 | 849,701 | |||||||||
Net income | 25,482 | 22,939 | 25,403 | 14,533 | 21,211 | 21,304 | 18,759 | 11,417 | 88,357 | 72,691 | 33,293 | |
Other income, net | (7,458) | (9,769) | (6,309) | |||||||||
Interest (income) expense, net | 1,784 | 2,363 | 2,365 | |||||||||
Equity in earnings of unconsolidated subsidiaries, net | (2,181) | (2,169) | (2,110) | |||||||||
Income tax provision | 33,526 | 28,492 | 16,637 | |||||||||
Operating income | 28,092 | $ 32,927 | $ 34,416 | $ 18,593 | 24,480 | $ 27,302 | $ 23,165 | $ 16,661 | 114,028 | 91,608 | 43,876 | |
Depreciation and amortization | 27,597 | 26,172 | 19,004 | |||||||||
Other income (loss), net | 7,458 | 9,769 | 6,309 | |||||||||
Equity in earnings of unconsolidated subsidiaries, net | 2,181 | 2,169 | 2,110 | |||||||||
EBITDA | 151,264 | 129,718 | 71,299 | |||||||||
Restructuring charges, net | 9,468 | 3,682 | 22,857 | |||||||||
Integration/acquisition costs | 3,106 | |||||||||||
Acquisition costs | 959 | |||||||||||
Separation costs | 4,500 | 516 | ||||||||||
Integration costs | 394 | |||||||||||
Adjusted EBITDA | 161,691 | 138,294 | 97,778 | |||||||||
Identifiable assets | [1] | 1,317,801 | 1,233,666 | 1,317,801 | 1,233,666 | 1,115,229 | ||||||
Long-lived assets | [1] | 62,088 | 60,434 | 62,088 | 60,434 | 53,628 | ||||||
Goodwill | [1] | 254,440 | 257,582 | 254,440 | 257,582 | 257,293 | ||||||
Operating Segments | Executive Recruitment | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 597,407 | 568,875 | 522,479 | |||||||||
Total revenue | 619,325 | 591,190 | 544,831 | |||||||||
Operating income | 119,020 | 116,352 | 80,965 | |||||||||
Depreciation and amortization | 6,674 | 8,012 | 8,991 | |||||||||
Other income (loss), net | 849 | 1,769 | 793 | |||||||||
Equity in earnings of unconsolidated subsidiaries, net | 426 | 383 | 434 | |||||||||
EBITDA | 126,969 | 126,516 | 91,183 | |||||||||
Restructuring charges, net | 5,384 | 1,336 | 8,194 | |||||||||
Separation costs | 516 | |||||||||||
Adjusted EBITDA | 132,353 | 127,852 | 99,893 | |||||||||
Identifiable assets | [1] | 602,945 | 562,354 | 602,945 | 562,354 | 453,489 | ||||||
Long-lived assets | [1] | 26,357 | 28,308 | 26,357 | 28,308 | 29,157 | ||||||
Goodwill | [1] | 96,497 | 104,615 | 96,497 | 104,615 | 105,749 | ||||||
Operating Segments | Executive Recruitment | North America | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 330,634 | 306,768 | 290,317 | |||||||||
Total revenue | 344,913 | 321,473 | 305,993 | |||||||||
Operating income | 80,818 | 70,256 | 58,832 | |||||||||
Depreciation and amortization | 3,515 | 3,579 | 4,726 | |||||||||
Other income (loss), net | 288 | 631 | 466 | |||||||||
Equity in earnings of unconsolidated subsidiaries, net | 426 | 383 | 434 | |||||||||
EBITDA | 85,047 | 74,849 | 64,458 | |||||||||
Restructuring charges, net | 1,151 | 816 | 3,583 | |||||||||
Adjusted EBITDA | 86,198 | 75,665 | 68,041 | |||||||||
Identifiable assets | [1] | 327,446 | 295,865 | 327,446 | 295,865 | 209,079 | ||||||
Long-lived assets | [1] | 17,271 | 18,647 | 17,271 | 18,647 | 19,167 | ||||||
Goodwill | [1] | 49,603 | 52,086 | 49,603 | 52,086 | 54,513 | ||||||
Operating Segments | Executive Recruitment | EMEA | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 153,465 | 147,917 | 128,807 | |||||||||
Total revenue | 158,052 | 152,525 | 132,988 | |||||||||
Operating income | 18,867 | 23,168 | 9,173 | |||||||||
Depreciation and amortization | 1,764 | 2,727 | 2,347 | |||||||||
Other income (loss), net | 83 | 632 | 95 | |||||||||
EBITDA | 20,714 | 26,527 | 11,615 | |||||||||
Restructuring charges, net | 3,987 | 460 | 3,982 | |||||||||
Separation costs | 516 | |||||||||||
Adjusted EBITDA | 24,701 | 26,987 | 16,113 | |||||||||
Identifiable assets | [1] | 156,072 | 157,610 | 156,072 | 157,610 | 148,491 | ||||||
Long-lived assets | [1] | 3,885 | 5,515 | 3,885 | 5,515 | 6,312 | ||||||
Goodwill | [1] | 45,922 | 51,557 | 45,922 | 51,557 | 50,264 | ||||||
Operating Segments | Executive Recruitment | Asia Pacific | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 84,148 | 84,816 | 73,221 | |||||||||
Total revenue | 87,142 | 87,606 | 75,359 | |||||||||
Operating income | 14,631 | 17,274 | 6,973 | |||||||||
Depreciation and amortization | 1,045 | 1,383 | 1,546 | |||||||||
Other income (loss), net | 369 | 203 | 200 | |||||||||
EBITDA | 16,045 | 18,860 | 8,719 | |||||||||
Restructuring charges, net | 17 | 60 | 629 | |||||||||
Adjusted EBITDA | 16,062 | 18,920 | 9,348 | |||||||||
Identifiable assets | [1] | 94,099 | 83,292 | 94,099 | 83,292 | 72,303 | ||||||
Long-lived assets | [1] | 4,235 | 2,978 | 4,235 | 2,978 | 2,784 | ||||||
Goodwill | [1] | 972 | 972 | 972 | 972 | 972 | ||||||
Operating Segments | Executive Recruitment | South America | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 29,160 | 29,374 | 30,134 | |||||||||
Total revenue | 29,218 | 29,586 | 30,491 | |||||||||
Operating income | 4,704 | 5,654 | 5,987 | |||||||||
Depreciation and amortization | 350 | 323 | 372 | |||||||||
Other income (loss), net | 109 | 303 | 32 | |||||||||
EBITDA | 5,163 | 6,280 | 6,391 | |||||||||
Restructuring charges, net | 229 | |||||||||||
Adjusted EBITDA | 5,392 | 6,280 | 6,391 | |||||||||
Identifiable assets | [1] | 25,328 | 25,587 | 25,328 | 25,587 | 23,616 | ||||||
Long-lived assets | [1] | 966 | 1,168 | 966 | 1,168 | 894 | ||||||
Operating Segments | LTC | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 267,018 | 254,636 | 168,115 | |||||||||
Total revenue | 275,220 | 262,962 | 176,566 | |||||||||
Operating income | 28,175 | 23,847 | 6,424 | |||||||||
Depreciation and amortization | 13,427 | 12,491 | 6,012 | |||||||||
Other income (loss), net | (22) | 106 | (75) | |||||||||
EBITDA | 41,580 | 36,444 | 12,361 | |||||||||
Restructuring charges, net | 2,758 | 1,149 | 10,198 | |||||||||
Adjusted EBITDA | 44,338 | 37,593 | 22,559 | |||||||||
Identifiable assets | [1] | 265,546 | 255,590 | 265,546 | 255,590 | 248,611 | ||||||
Long-lived assets | [1] | 12,377 | 11,976 | 12,377 | 11,976 | 10,383 | ||||||
Goodwill | [1] | 129,549 | 119,350 | 129,549 | 119,350 | 119,090 | ||||||
Operating Segments | Futurestep | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Fee revenue | 163,727 | 136,790 | 122,237 | |||||||||
Total revenue | 171,521 | 141,407 | 128,304 | |||||||||
Operating income | 19,940 | 13,352 | 10,975 | |||||||||
Depreciation and amortization | 1,882 | 1,797 | 1,180 | |||||||||
Other income (loss), net | 54 | 583 | 51 | |||||||||
EBITDA | 21,876 | 15,732 | 12,206 | |||||||||
Restructuring charges, net | 1,154 | 1,134 | 3,527 | |||||||||
Adjusted EBITDA | 23,030 | 16,866 | 15,733 | |||||||||
Identifiable assets | [1] | 103,782 | 111,036 | 103,782 | 111,036 | 93,331 | ||||||
Long-lived assets | [1] | 4,204 | 2,550 | 4,204 | 2,550 | 2,523 | ||||||
Goodwill | [1] | 28,394 | 33,617 | 28,394 | 33,617 | 32,454 | ||||||
Corporate | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Operating income | (53,107) | (61,943) | (54,488) | |||||||||
Depreciation and amortization | 5,614 | 3,872 | 2,821 | |||||||||
Other income (loss), net | 6,577 | 7,311 | 5,540 | |||||||||
Equity in earnings of unconsolidated subsidiaries, net | 1,755 | 1,786 | 1,676 | |||||||||
EBITDA | (39,161) | (48,974) | (44,451) | |||||||||
Restructuring charges, net | 172 | 63 | 938 | |||||||||
Integration/acquisition costs | 3,106 | |||||||||||
Acquisition costs | 959 | |||||||||||
Separation costs | 4,500 | |||||||||||
Integration costs | 394 | |||||||||||
Adjusted EBITDA | (38,030) | (44,017) | (40,407) | |||||||||
Identifiable assets | [1] | 345,528 | 304,686 | 345,528 | 304,686 | 319,798 | ||||||
Long-lived assets | [1] | $ 19,150 | $ 17,600 | $ 19,150 | $ 17,600 | $ 11,565 | ||||||
[1] | As of the end of the fiscal year. |
Fee Revenue Classified by Count
Fee Revenue Classified by Country (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Fee revenue | $ 271,717 | $ 249,545 | $ 255,702 | $ 251,188 | $ 251,712 | $ 242,184 | $ 237,968 | $ 228,437 | $ 1,028,152 | $ 960,301 | $ 812,831 |
UNITED STATES | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Fee revenue | 557,024 | 507,280 | 416,987 | ||||||||
Other Countries | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Fee revenue | $ 471,128 | $ 453,021 | $ 395,844 |
Long-Lived Assets, Excluding Fi
Long-Lived Assets, Excluding Financial Instruments and Tax Assets, Classified by Controlling Countries over Ten Percent (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Segment Reporting Information [Line Items] | ||||
Long-lived assets | [1] | $ 62,088 | $ 60,434 | $ 53,628 |
UNITED STATES | ||||
Segment Reporting Information [Line Items] | ||||
Long-lived assets | [2] | 50,103 | 47,411 | 40,200 |
Other Countries | ||||
Segment Reporting Information [Line Items] | ||||
Long-lived assets | $ 11,985 | $ 13,023 | $ 13,428 | |
[1] | As of the end of the fiscal year. | |||
[2] | Includes Corporate long-lived assets |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) | 12 Months Ended | ||||||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | Dec. 31, 2012 | ||||
Business Acquisition [Line Items] | |||||||
Acquisitions during the period | $ 17,496,000 | [1] | $ 0 | $ 126,917,000 | [2],[3] | ||
Increase in goodwill | 10,226,000 | [1] | 229,000 | [4] | 82,839,000 | [2],[3] | |
Tax deductible goodwill | $ 8,000,000 | $ 20,500,000 | |||||
PDI Ninth House | |||||||
Business Acquisition [Line Items] | |||||||
Acquisitions during the period | $ 92,500,000 | ||||||
Increase in purchase price | 229,000 | ||||||
Increase in goodwill | $ 229,000 | ||||||
[1] | On March 1, 2015, the Company acquired all outstanding membership interest of Pivot Leadership, a global provider of innovative, customized and scalable executive development programs, for $17.5 million, net of cash acquired, which includes $2.2 million in contingent consideration. As of April 30, 2015, the contingent consideration is included in other liabilities in the accompanying consolidated balance sheets. The contingent consideration is based on the achievement of certain revenue targets and can be up to $6.5 million, payable in four installments in fiscal 2017 to 2020. The acquisition will allow us to integrate the Company's talent management solution with Pivot's executive learning capabilities. Actual results of operations of Pivot Leadership are included in the Company's consolidated financial statements from March 1, 2015, the effective date of the acquisition, and include $3.7 million and $20.0 million in fee revenue and total assets, respectively, during fiscal 2015. | ||||||
[2] | On December 31, 2012, the Company acquired all outstanding shares of Minneapolis-based PDI, a leading, globally-recognized provider of leadership assessment and development solutions, for $92.5 million, net of cash acquired, which includes $14.9 million in contingent consideration, for the achievement of certain post-closing synergies. During fiscal 2014, the Company paid $15.0 million (includes the interest accreted since December 31, 2012) in contingent consideration to the selling stockholders of PDI as a result of the achievement of certain pre-determined goals associated with expense synergies. PDI has been in business for over 45 years and operates in more than 20 global locations. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of PDI are included in the Company's consolidated financial statements from December 31, 2012, the effective date of the acquisition. | ||||||
[3] | On September 1, 2012, the Company acquired all outstanding membership interests of Global Novations, LLC, ("Global Novations") a leading provider of diversity and inclusion and leadership development solutions, for $34.5 million in cash, net of cash acquired. Global Novations has more than 150 offerings designed to develop leaders, enable high-performing cultures and deliver business outcomes for its clients. Key diversity and inclusion and leadership offerings include consulting, training and education and e-learning. Global Novations has more than 30 years of experience and has served clients in more than 40 countries, including more than half of the Fortune 100. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of Global Novations are included in the Company's consolidated financial statements from September 1, 2012, the effective date of the acquisition. | ||||||
[4] | During fiscal 2014, adjustments to the preliminary purchase accounting allocation relating to the PDI acquisition, resulted in an increase in goodwill (see Note 12 - Acquisitions). |
Summary of Acquisition (Detail)
Summary of Acquisition (Detail) - USD ($) | 12 Months Ended | |||||
Apr. 30, 2015 | [1] | Apr. 30, 2014 | Apr. 30, 2013 | [2],[3] | ||
Business Acquisition [Line Items] | ||||||
Assets acquired | $ 3,361,000 | $ 32,784,000 | ||||
Intangibles acquired | 6,600,000 | 42,800,000 | ||||
Liabilities acquired | 2,691,000 | 31,506,000 | ||||
Net assets acquired | 7,270,000 | 44,078,000 | ||||
Purchase price | 17,496,000 | $ 0 | 126,917,000 | |||
Goodwill | 10,226,000 | $ 229,000 | [4] | 82,839,000 | ||
Acquisition costs | 501,000 | 2,710,000 | ||||
LTC | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill | $ 10,226,000 | $ 82,839,000 | ||||
[1] | On March 1, 2015, the Company acquired all outstanding membership interest of Pivot Leadership, a global provider of innovative, customized and scalable executive development programs, for $17.5 million, net of cash acquired, which includes $2.2 million in contingent consideration. As of April 30, 2015, the contingent consideration is included in other liabilities in the accompanying consolidated balance sheets. The contingent consideration is based on the achievement of certain revenue targets and can be up to $6.5 million, payable in four installments in fiscal 2017 to 2020. The acquisition will allow us to integrate the Company's talent management solution with Pivot's executive learning capabilities. Actual results of operations of Pivot Leadership are included in the Company's consolidated financial statements from March 1, 2015, the effective date of the acquisition, and include $3.7 million and $20.0 million in fee revenue and total assets, respectively, during fiscal 2015. | |||||
[2] | On December 31, 2012, the Company acquired all outstanding shares of Minneapolis-based PDI, a leading, globally-recognized provider of leadership assessment and development solutions, for $92.5 million, net of cash acquired, which includes $14.9 million in contingent consideration, for the achievement of certain post-closing synergies. During fiscal 2014, the Company paid $15.0 million (includes the interest accreted since December 31, 2012) in contingent consideration to the selling stockholders of PDI as a result of the achievement of certain pre-determined goals associated with expense synergies. PDI has been in business for over 45 years and operates in more than 20 global locations. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of PDI are included in the Company's consolidated financial statements from December 31, 2012, the effective date of the acquisition. | |||||
[3] | On September 1, 2012, the Company acquired all outstanding membership interests of Global Novations, LLC, ("Global Novations") a leading provider of diversity and inclusion and leadership development solutions, for $34.5 million in cash, net of cash acquired. Global Novations has more than 150 offerings designed to develop leaders, enable high-performing cultures and deliver business outcomes for its clients. Key diversity and inclusion and leadership offerings include consulting, training and education and e-learning. Global Novations has more than 30 years of experience and has served clients in more than 40 countries, including more than half of the Fortune 100. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of Global Novations are included in the Company's consolidated financial statements from September 1, 2012, the effective date of the acquisition. | |||||
[4] | During fiscal 2014, adjustments to the preliminary purchase accounting allocation relating to the PDI acquisition, resulted in an increase in goodwill (see Note 12 - Acquisitions). |
Summary of Acquisition (Parenth
Summary of Acquisition (Parenthetical) (Detail) | 3 Months Ended | 12 Months Ended | ||||||||||||||||
Apr. 30, 2015USD ($)Country | Jan. 31, 2015USD ($) | Oct. 31, 2014USD ($) | Jul. 31, 2014USD ($) | Apr. 30, 2014USD ($) | Jan. 31, 2014USD ($) | Oct. 31, 2013USD ($) | Jul. 31, 2013USD ($) | Apr. 30, 2015USD ($)CountryProduct | Apr. 30, 2014USD ($) | Apr. 30, 2013USD ($) | Mar. 01, 2015USD ($) | Dec. 31, 2012USD ($) | Sep. 01, 2012USD ($) | |||||
Business Acquisition [Line Items] | ||||||||||||||||||
Acquisition of a business, purchase price | $ 17,496,000 | [1] | $ 0 | $ 17,496,000 | [1] | $ 0 | $ 126,917,000 | [2],[3] | ||||||||||
Fee revenue | 271,717,000 | $ 249,545,000 | $ 255,702,000 | $ 251,188,000 | 251,712,000 | $ 242,184,000 | $ 237,968,000 | $ 228,437,000 | 1,028,152,000 | 960,301,000 | 812,831,000 | |||||||
Total assets | [4] | $ 1,317,801,000 | $ 1,233,666,000 | $ 1,317,801,000 | 1,233,666,000 | $ 1,115,229,000 | ||||||||||||
Payment of contingent consideration from acquisitions | 15,000,000 | |||||||||||||||||
Number of countries in which entity operates | Country | 37 | 37 | ||||||||||||||||
PDI Ninth House | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Acquisition of a business, purchase price | $ 92,500,000 | |||||||||||||||||
Acquisition of a business, contingent consideration | $ 14,900,000 | |||||||||||||||||
Payment of contingent consideration from acquisitions | $ 15,000,000 | |||||||||||||||||
Pivot Leadership | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Acquisition of a business, purchase price | $ 17,500,000 | |||||||||||||||||
Acquisition of a business, contingent consideration | $ 6,500,000 | $ 6,500,000 | $ 2,200,000 | |||||||||||||||
Fee revenue | 3,700,000 | |||||||||||||||||
Total assets | $ 20,000,000 | $ 20,000,000 | ||||||||||||||||
Global Novations, LLC | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Acquisition of a business, purchase price | $ 34,500,000 | |||||||||||||||||
Minimum | PDI Ninth House | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Number of years in business | 45 years | |||||||||||||||||
Number of countries in which entity operates | Country | 20 | 20 | ||||||||||||||||
Minimum | Pivot Leadership | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Business acquisition contingent consideration payable, through year | 2,017 | |||||||||||||||||
Minimum | Global Novations, LLC | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Number of years in business | 30 years | |||||||||||||||||
Offerings designed to develop leaders | Product | 150 | |||||||||||||||||
Number of countries in which the entity has provided services | Country | 40 | 40 | ||||||||||||||||
Maximum | Pivot Leadership | ||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||
Business acquisition contingent consideration payable, through year | 2,020 | |||||||||||||||||
[1] | On March 1, 2015, the Company acquired all outstanding membership interest of Pivot Leadership, a global provider of innovative, customized and scalable executive development programs, for $17.5 million, net of cash acquired, which includes $2.2 million in contingent consideration. As of April 30, 2015, the contingent consideration is included in other liabilities in the accompanying consolidated balance sheets. The contingent consideration is based on the achievement of certain revenue targets and can be up to $6.5 million, payable in four installments in fiscal 2017 to 2020. The acquisition will allow us to integrate the Company's talent management solution with Pivot's executive learning capabilities. Actual results of operations of Pivot Leadership are included in the Company's consolidated financial statements from March 1, 2015, the effective date of the acquisition, and include $3.7 million and $20.0 million in fee revenue and total assets, respectively, during fiscal 2015. | |||||||||||||||||
[2] | On December 31, 2012, the Company acquired all outstanding shares of Minneapolis-based PDI, a leading, globally-recognized provider of leadership assessment and development solutions, for $92.5 million, net of cash acquired, which includes $14.9 million in contingent consideration, for the achievement of certain post-closing synergies. During fiscal 2014, the Company paid $15.0 million (includes the interest accreted since December 31, 2012) in contingent consideration to the selling stockholders of PDI as a result of the achievement of certain pre-determined goals associated with expense synergies. PDI has been in business for over 45 years and operates in more than 20 global locations. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of PDI are included in the Company's consolidated financial statements from December 31, 2012, the effective date of the acquisition. | |||||||||||||||||
[3] | On September 1, 2012, the Company acquired all outstanding membership interests of Global Novations, LLC, ("Global Novations") a leading provider of diversity and inclusion and leadership development solutions, for $34.5 million in cash, net of cash acquired. Global Novations has more than 150 offerings designed to develop leaders, enable high-performing cultures and deliver business outcomes for its clients. Key diversity and inclusion and leadership offerings include consulting, training and education and e-learning. Global Novations has more than 30 years of experience and has served clients in more than 40 countries, including more than half of the Fortune 100. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of Global Novations are included in the Company's consolidated financial statements from September 1, 2012, the effective date of the acquisition. | |||||||||||||||||
[4] | As of the end of the fiscal year. |
Changes in Carrying Value of Go
Changes in Carrying Value of Goodwill By Reportable Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | $ 257,582 | $ 257,293 | ||||
Additions | 10,226 | [2] | 229 | [3] | $ 82,839 | [4],[5] | |
Exchange rate fluctuations | (13,368) | 60 | |||||
Goodwill, Ending Balance | [1] | 254,440 | 257,582 | 257,293 | |||
LTC | |||||||
Goodwill [Line Items] | |||||||
Additions | 10,226 | [2] | 82,839 | [4],[5] | |||
Operating Segments | Executive Recruitment | |||||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | 104,615 | 105,749 | ||||
Exchange rate fluctuations | (8,118) | (1,134) | |||||
Goodwill, Ending Balance | [1] | 96,497 | 104,615 | 105,749 | |||
Operating Segments | Executive Recruitment | North America | |||||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | 52,086 | 54,513 | ||||
Exchange rate fluctuations | (2,483) | (2,427) | |||||
Goodwill, Ending Balance | [1] | 49,603 | 52,086 | 54,513 | |||
Operating Segments | Executive Recruitment | EMEA | |||||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | 51,557 | 50,264 | ||||
Exchange rate fluctuations | (5,635) | 1,293 | |||||
Goodwill, Ending Balance | [1] | 45,922 | 51,557 | 50,264 | |||
Operating Segments | Executive Recruitment | Asia Pacific | |||||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | 972 | 972 | ||||
Goodwill, Ending Balance | [1] | 972 | 972 | 972 | |||
Operating Segments | LTC | |||||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | 119,350 | 119,090 | ||||
Additions | 10,226 | 229 | [3] | ||||
Exchange rate fluctuations | (27) | 31 | |||||
Goodwill, Ending Balance | [1] | 129,549 | 119,350 | 119,090 | |||
Operating Segments | Futurestep | |||||||
Goodwill [Line Items] | |||||||
Goodwill, Beginning Balance | [1] | 33,617 | 32,454 | ||||
Exchange rate fluctuations | (5,223) | 1,163 | |||||
Goodwill, Ending Balance | [1] | $ 28,394 | $ 33,617 | $ 32,454 | |||
[1] | As of the end of the fiscal year. | ||||||
[2] | On March 1, 2015, the Company acquired all outstanding membership interest of Pivot Leadership, a global provider of innovative, customized and scalable executive development programs, for $17.5 million, net of cash acquired, which includes $2.2 million in contingent consideration. As of April 30, 2015, the contingent consideration is included in other liabilities in the accompanying consolidated balance sheets. The contingent consideration is based on the achievement of certain revenue targets and can be up to $6.5 million, payable in four installments in fiscal 2017 to 2020. The acquisition will allow us to integrate the Company's talent management solution with Pivot's executive learning capabilities. Actual results of operations of Pivot Leadership are included in the Company's consolidated financial statements from March 1, 2015, the effective date of the acquisition, and include $3.7 million and $20.0 million in fee revenue and total assets, respectively, during fiscal 2015. | ||||||
[3] | During fiscal 2014, adjustments to the preliminary purchase accounting allocation relating to the PDI acquisition, resulted in an increase in goodwill (see Note 12 - Acquisitions). | ||||||
[4] | On December 31, 2012, the Company acquired all outstanding shares of Minneapolis-based PDI, a leading, globally-recognized provider of leadership assessment and development solutions, for $92.5 million, net of cash acquired, which includes $14.9 million in contingent consideration, for the achievement of certain post-closing synergies. During fiscal 2014, the Company paid $15.0 million (includes the interest accreted since December 31, 2012) in contingent consideration to the selling stockholders of PDI as a result of the achievement of certain pre-determined goals associated with expense synergies. PDI has been in business for over 45 years and operates in more than 20 global locations. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of PDI are included in the Company's consolidated financial statements from December 31, 2012, the effective date of the acquisition. | ||||||
[5] | On September 1, 2012, the Company acquired all outstanding membership interests of Global Novations, LLC, ("Global Novations") a leading provider of diversity and inclusion and leadership development solutions, for $34.5 million in cash, net of cash acquired. Global Novations has more than 150 offerings designed to develop leaders, enable high-performing cultures and deliver business outcomes for its clients. Key diversity and inclusion and leadership offerings include consulting, training and education and e-learning. Global Novations has more than 30 years of experience and has served clients in more than 40 countries, including more than half of the Fortune 100. The acquisition strengthens and expands the Company's talent management offerings through adding complementary product and service offerings and rich intellectual property. Actual results of operations of Global Novations are included in the Company's consolidated financial statements from September 1, 2012, the effective date of the acquisition. |
Intangible Assets (Detail)
Intangible Assets (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 |
Intangible Assets [Line Items] | ||
Amortized intangible assets, Gross | $ 73,151 | $ 66,551 |
Amortized intangible assets, Accumulated Amortization | (29,023) | (20,777) |
Amortized intangible assets, Net | 44,128 | 45,774 |
Exchange rate fluctuations | (27) | (14) |
Intangible assets | 47,901 | 49,560 |
Trademarks | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, Gross | 3,986 | 3,686 |
Amortized intangible assets, Accumulated Amortization | (3,291) | (2,559) |
Amortized intangible assets, Net | 695 | 1,127 |
Unamortized intangible assets | 3,800 | 3,800 |
Customer Lists | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, Gross | 41,099 | 34,899 |
Amortized intangible assets, Accumulated Amortization | (12,578) | (8,674) |
Amortized intangible assets, Net | 28,521 | 26,225 |
Intellectual Property | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, Gross | 22,900 | 22,900 |
Amortized intangible assets, Accumulated Amortization | (10,130) | (7,009) |
Amortized intangible assets, Net | 12,770 | 15,891 |
Database Rights | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, Gross | 4,256 | 4,256 |
Amortized intangible assets, Accumulated Amortization | (2,351) | (1,925) |
Amortized intangible assets, Net | 1,905 | 2,331 |
Non-compete Agreements | ||
Intangible Assets [Line Items] | ||
Amortized intangible assets, Gross | 910 | 810 |
Amortized intangible assets, Accumulated Amortization | (673) | (610) |
Amortized intangible assets, Net | $ 237 | $ 200 |
Goodwill And Intangible Asset86
Goodwill And Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Schedule Of Goodwill And Intangible Assets [Line Items] | |||
Amortization expense | $ 8.2 | $ 8.7 | $ 5 |
Amortizable intangible assets fully amortization year | 2,031 | ||
Trademarks | |||
Schedule Of Goodwill And Intangible Assets [Line Items] | |||
Intangible assets acquired | $ 0.3 | ||
Weighted-Average Amortization Period (in years) | 1 year | ||
Customer Lists | |||
Schedule Of Goodwill And Intangible Assets [Line Items] | |||
Intangible assets acquired | $ 6.2 | ||
Weighted-Average Amortization Period (in years) | 10 years | ||
Non-compete Agreements | |||
Schedule Of Goodwill And Intangible Assets [Line Items] | |||
Intangible assets acquired | $ 0.1 | ||
Weighted-Average Amortization Period (in years) | 5 years |
Estimated Annual Amortization E
Estimated Annual Amortization Expense Related to Amortizing Intangible Assets (Detail) - USD ($) $ in Thousands | Apr. 30, 2015 | Apr. 30, 2014 |
Finite-Lived Intangible Liabilities [Line Items] | ||
2,016 | $ 7,907 | |
2,017 | 6,332 | |
2,018 | 5,648 | |
2,019 | 4,394 | |
2,020 | 4,110 | |
Thereafter | 15,737 | |
Amortized intangible assets, Net | $ 44,128 | $ 45,774 |
Commitments And Contingencies -
Commitments And Contingencies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Commitments and Contingencies [Line Items] | |||
Lease expiration date | 2,026 | ||
Total rental expense | $ 38,000,000 | $ 39,600,000 | $ 38,400,000 |
Employment agreements | The Company has a policy of entering into offer letters of employment or letters of promotion with vice presidents which provide for an annual base salary and discretionary and incentive bonus payments. Certain key vice presidents who typically have been employed by the Company for several years may also have a standard form employment agreement. Upon termination without cause, the Company is required to pay the amount of severance due under the employment agreement, if any. The Company also requires its vice presidents to agree in their employment letters and their employment agreement, if applicable, not to compete with the Company both during the term of their employment, and for a period of up to two years after their employment ends. For a period of two years after their employment with the Company, former vice presidents are prohibited from soliciting employees of the Company for employment outside of the Company. | ||
Compensation and benefit expense | $ 691,450,000 | 646,889,000 | $ 555,346,000 |
Employment dispute | |||
Commitments and Contingencies [Line Items] | |||
Compensation and benefit expense | 4,500,000 | ||
Compensation outstanding liability | $ 0 | $ 0 |
Future Minimum Commitments unde
Future Minimum Commitments under Non-Cancelable Operating Leases (Detail) $ in Thousands | Apr. 30, 2015USD ($) |
Schedule Of Future Minimum Rental Payments For Operating Leases [Line Items] | |
2,016 | $ 41,624 |
2,017 | 39,542 |
2,018 | 35,958 |
2,019 | 32,126 |
2,020 | 30,715 |
Thereafter | 137,451 |
Total operating leases | $ 317,416 |
Quarterly Results (Detail)
Quarterly Results (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2013 | Jul. 31, 2013 | Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | |
Quarterly Financial Information [Line Items] | |||||||||||
Fee revenue | $ 271,717 | $ 249,545 | $ 255,702 | $ 251,188 | $ 251,712 | $ 242,184 | $ 237,968 | $ 228,437 | $ 1,028,152 | $ 960,301 | $ 812,831 |
Operating income | 28,092 | 32,927 | 34,416 | 18,593 | 24,480 | 27,302 | 23,165 | 16,661 | 114,028 | 91,608 | 43,876 |
Net income | $ 25,482 | $ 22,939 | $ 25,403 | $ 14,533 | $ 21,211 | $ 21,304 | $ 18,759 | $ 11,417 | $ 88,357 | $ 72,691 | $ 33,293 |
Basic | $ 0.51 | $ 0.46 | $ 0.52 | $ 0.30 | $ 0.44 | $ 0.44 | $ 0.39 | $ 0.24 | $ 1.78 | $ 1.51 | $ 0.71 |
Diluted | $ 0.51 | $ 0.46 | $ 0.51 | $ 0.29 | $ 0.43 | $ 0.43 | $ 0.38 | $ 0.24 | $ 1.76 | $ 1.48 | $ 0.70 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | Jun. 10, 2015 | Jun. 05, 2015 | Apr. 30, 2015 |
Subsequent Event [Line Items] | |||
Financial covenants amount | $ 50 | ||
Value of common shares repurchases permitted, dividends paid and permitted acquisitions for any fiscal year | $ 125 | ||
Minimum | |||
Subsequent Event [Line Items] | |||
Quarterly Commitment Fees on the Facility's unused commitments | 0.25% | ||
Maximum | |||
Subsequent Event [Line Items] | |||
Quarterly Commitment Fees on the Facility's unused commitments | 0.35% | ||
London Interbank Offered Rate (LIBOR) | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 1.50% | ||
London Interbank Offered Rate (LIBOR) | Minimum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 0.50% | ||
London Interbank Offered Rate (LIBOR) | Maximum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 1.50% | ||
Base Rate Loans | Minimum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 0.00% | ||
Base Rate Loans | Maximum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 0.25% | ||
Revolving Credit Facility | |||
Subsequent Event [Line Items] | |||
Revolving credit facility, maximum borrowing capacity | $ 75 | ||
Revolving credit facility, additional optional increase to maximum borrowing capacity | $ 50 | ||
Revolving credit facility, extended maturity date | Jan. 18, 2018 | ||
Revolving Credit Facility | Letter of Credit | |||
Subsequent Event [Line Items] | |||
Revolving credit facility, maximum borrowing capacity | $ 15 | ||
Subsequent Event | |||
Subsequent Event [Line Items] | |||
Dividends payable, declared date | Jun. 10, 2015 | ||
Dividends payable, per share amount | $ 0.10 | ||
Dividends payable, payable date | Jul. 15, 2015 | ||
Dividends declared, record date | Jun. 25, 2015 | ||
Subsequent Event | Credit Facility | |||
Subsequent Event [Line Items] | |||
Value of common shares repurchases permitted and dividends paid for any fiscal year | $ 75 | ||
Value of common shares repurchases permitted, dividends paid and permitted acquisitions for any fiscal year | 125 | ||
Subsequent Event | Credit Facility | Cash, Cash Equivalents and Marketable Securities | |||
Subsequent Event [Line Items] | |||
Financial covenants amount | $ 50 | ||
Subsequent Event | Credit Facility | Minimum | |||
Subsequent Event [Line Items] | |||
Quarterly Commitment Fees on the Facility's unused commitments | 0.25% | ||
Subsequent Event | Credit Facility | Maximum | |||
Subsequent Event [Line Items] | |||
Quarterly Commitment Fees on the Facility's unused commitments | 0.40% | ||
Subsequent Event | Credit Facility | London Interbank Offered Rate (LIBOR) | Minimum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 0.875% | ||
Subsequent Event | Credit Facility | London Interbank Offered Rate (LIBOR) | Maximum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 1.75% | ||
Subsequent Event | Credit Facility | Base Rate Loans | Minimum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 0.00% | ||
Subsequent Event | Credit Facility | Base Rate Loans | Maximum | |||
Subsequent Event [Line Items] | |||
Applicable margin on variable interest rate | 0.75% | ||
Subsequent Event | Credit Facility | Revolving Credit Facility | |||
Subsequent Event [Line Items] | |||
Revolving credit facility, maximum borrowing capacity | $ 150 | ||
Revolving credit facility, additional optional increase to maximum borrowing capacity | $ 50 | ||
Revolving credit facility, extended maturity date | Jun. 3, 2020 | ||
Value of common shares repurchases permitted and dividends paid for any fiscal year | $ 75 | ||
Subsequent Event | Credit Facility | Revolving Credit Facility | Letter of Credit | |||
Subsequent Event [Line Items] | |||
Revolving credit facility, maximum borrowing capacity | $ 15 |
Valuation And Qualifying Acco92
Valuation And Qualifying Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2015 | Apr. 30, 2014 | Apr. 30, 2013 | ||
Allowance for Doubtful Accounts | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at Beginning of Period | $ 9,513 | $ 9,097 | $ 9,437 | |
Charges to Cost and Expenses | 7,741 | 7,840 | 6,748 | |
(Charges) Recoveries to Other Accounts | [1] | (693) | 291 | (118) |
Deductions | [2] | (6,603) | (7,715) | (6,970) |
Balance at End of Period | 9,958 | 9,513 | 9,097 | |
Valuation Allowance of Deferred Tax Assets | ||||
Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at Beginning of Period | 26,969 | 27,731 | 25,089 | |
Charges to Cost and Expenses | 2,537 | 3,728 | 5,678 | |
Deductions | [2] | (7,898) | (4,490) | (3,036) |
Balance at End of Period | $ 21,608 | $ 26,969 | $ 27,731 | |
[1] | Exchange rate fluctuations. | |||
[2] | Allowance for doubtful accounts represents accounts written-off, net of recoveries and deferred tax asset valuation represents release of prior valuation allowances. |
Uncategorized Items - kfy-20150
Label | Element | Value |
Pension Plan [Member] | ||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.12% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.28% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.60% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.79% |
Deferred Compensation Plan [Member] | ||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.12% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.28% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.60% |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | us-gaap_DefinedBenefitPlanAssumptionsUsedCalculatingBenefitObligationDiscountRate | 3.79% |