Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2019 | Jul. 22, 2019 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | NEXTGEN HEALTHCARE, INC. | |
Trading Symbol | NXGN | |
Entity Central Index Key | 0000708818 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2019 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --03-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity File Number | 001-12537 | |
Entity Tax Identification Number | 952888568 | |
Entity Address, Address Line One | 18111 Von Karman Avenue | |
Entity Address, Address Line Two | Suite 800 | |
Entity Address, City or Town | Irvine | |
Entity Address, State or Province | California | |
Entity Address, Postal Zip Code | 92612 | |
City Area Code | (949) | |
Local Phone Number | 255-2600 | |
Entity Common Stock, Shares Outstanding | 65,381,886 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 28,607 | $ 33,079 |
Restricted cash and cash equivalents | 8,183 | 1,443 |
Accounts receivable, net | 81,748 | 87,459 |
Contract assets | 12,039 | 13,242 |
Inventory | 72 | 120 |
Income taxes receivable | 2,882 | 3,682 |
Prepaid expenses and other current assets | 21,985 | 20,826 |
Total current assets | 155,516 | 159,851 |
Equipment and improvements, net | 22,772 | 21,404 |
Capitalized software costs, net | 38,465 | 37,855 |
Operating lease assets | 41,992 | |
Deferred income taxes, net | 6,207 | 6,194 |
Contract assets, net of current | 3,554 | 3,747 |
Intangibles, net | 47,442 | 52,595 |
Goodwill | 218,771 | 218,771 |
Other assets | 32,606 | 32,478 |
Total assets | 567,325 | 532,895 |
Current liabilities: | ||
Accounts payable | 5,848 | 5,432 |
Contract liabilities | 53,963 | 56,009 |
Accrued compensation and related benefits | 17,226 | 25,663 |
Income taxes payable | 57 | 64 |
Operating lease liabilities | 9,744 | |
Other current liabilities | 41,412 | 41,064 |
Total current liabilities | 128,250 | 128,232 |
Deferred compensation | 6,046 | 5,905 |
Line of credit | 6,000 | 11,000 |
Operating lease liabilities, net of current | 44,281 | |
Other noncurrent liabilities | 1,918 | 11,812 |
Total liabilities | 186,495 | 156,949 |
Commitments and contingencies (Note 14) | ||
Shareholders' equity: | ||
$0.01 par value; authorized 100,000 shares; issued and outstanding 65,383 and 64,838 shares at June 30, 2019 and March 31, 2019, respectively | 654 | 648 |
Additional paid-in capital | 268,488 | 264,908 |
Accumulated other comprehensive loss | (1,177) | (1,231) |
Retained earnings | 112,865 | 111,621 |
Total shareholders' equity | 380,830 | 375,946 |
Total liabilities and shareholders' equity | $ 567,325 | $ 532,895 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Jun. 30, 2019 | Mar. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value (in USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 65,383,000 | 64,838,000 |
Common stock, shares outstanding | 65,383,000 | 64,838,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues: | ||
Total revenues | $ 131,861 | $ 133,200 |
Cost of revenue: | ||
Total cost of revenue | 65,231 | 61,851 |
Total cost of revenue | 8,413 | 6,544 |
Gross profit | 66,630 | 71,349 |
Operating expenses: | ||
Selling, general and administrative | 40,128 | 44,636 |
Research and development costs, net | 22,051 | 22,128 |
Amortization of acquired intangible assets | 865 | 1,168 |
Impairment of assets | 489 | |
Restructuring costs | 1,707 | |
Total operating expenses | 65,240 | 67,932 |
Income from operations | 1,390 | 3,417 |
Interest income | 79 | 29 |
Interest expense | (472) | (730) |
Other income (expense), net | (133) | 374 |
Income before provision for (benefit of) income taxes | 864 | 3,090 |
Provision for (benefit of) income taxes | (380) | 442 |
Net income | 1,244 | 2,648 |
Other comprehensive income: | ||
Foreign currency translation, net of tax | 54 | (499) |
Comprehensive income | $ 1,298 | $ 2,149 |
Net income per share: | ||
Basic | $ 0.02 | $ 0.04 |
Diluted | $ 0.02 | $ 0.04 |
Weighted-average shares outstanding: | ||
Basic | 65,015 | 64,019 |
Diluted | 65,353 | 64,054 |
Recurring | ||
Revenues: | ||
Total revenues | $ 119,447 | $ 120,007 |
Cost of revenue: | ||
Total cost of revenue | 50,540 | 48,153 |
Software, Hardware, and Other Non-recurring | ||
Revenues: | ||
Total revenues | 12,414 | 13,193 |
Cost of revenue: | ||
Total cost of revenue | $ 6,278 | $ 7,154 |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss |
Balance at Mar. 31, 2018 | $ 323,410 | $ 640 | $ 244,462 | $ 78,708 | $ (400) |
Balance, Shares at Mar. 31, 2018 | 63,995 | ||||
Common stock issued under stock plans, net of shares withheld for taxes | (202) | $ 2 | (204) | ||
Common stock issued under stock plans, net of shares withheld for taxes, Shares | 225 | ||||
Stock-based compensation | 3,116 | 3,116 | |||
Cumulative effect adjustment related to the adoption of ASC 606 | 8,419 | 8,419 | |||
Other comprehensive income: | |||||
Translation adjustments | (499) | (499) | |||
Net income | 2,648 | 2,648 | |||
Balance at Jun. 30, 2018 | 336,892 | $ 642 | 247,374 | 89,775 | (899) |
Balance, Shares at Jun. 30, 2018 | 64,220 | ||||
Balance at Mar. 31, 2019 | 375,946 | $ 648 | 264,908 | 111,621 | (1,231) |
Balance, Shares at Mar. 31, 2019 | 64,838 | ||||
Common stock issued under stock plans, net of shares withheld for taxes | (1,305) | $ 6 | (1,311) | ||
Common stock issued under stock plans, net of shares withheld for taxes, Shares | 545 | ||||
Stock-based compensation | 4,891 | 4,891 | |||
Other comprehensive income: | |||||
Translation adjustments | 54 | 54 | |||
Net income | 1,244 | 1,244 | |||
Balance at Jun. 30, 2019 | $ 380,830 | $ 654 | $ 268,488 | $ 112,865 | $ (1,177) |
Balance, Shares at Jun. 30, 2019 | 65,383 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash flows from operating activities: | ||
Net income | $ 1,244 | $ 2,648 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of capitalized software costs | 4,125 | 2,257 |
Amortization of debt issuance costs | 177 | 177 |
Amortization of other intangibles | 5,153 | 5,455 |
Deferred income taxes | (13) | 86 |
Depreciation | 2,092 | 2,393 |
Excess tax benefit from share-based compensation | (189) | (33) |
Impairment of assets | 489 | |
Loss on disposal of equipment and improvements | 41 | 106 |
Non-cash operating lease costs | 1,815 | |
Provision for bad debts | 606 | 792 |
Provision for inventory obsolescence | 10 | |
Restructuring costs, net of amounts paid | 1,707 | |
Share-based compensation | 4,891 | 3,116 |
Changes in assets and liabilities: | ||
Accounts receivable | 5,105 | 486 |
Contract assets | 1,396 | 2,998 |
Inventory | 48 | 9 |
Accounts payable | 416 | (1,172) |
Contract liabilities | (2,046) | (6,057) |
Accrued compensation and related benefits | (9,994) | (11,088) |
Income taxes | 982 | 624 |
Deferred compensation | 141 | (149) |
Operating lease liabilities | (2,286) | |
Other assets and liabilities | 1,097 | 354 |
Net cash provided by operating activities | 16,997 | 3,012 |
Cash flows from investing activities: | ||
Additions to capitalized software costs | (4,735) | (4,785) |
Additions to equipment and improvements | (3,689) | (2,179) |
Net cash used in investing activities | (8,424) | (6,964) |
Cash flows from financing activities: | ||
Proceeds from line of credit | 20,000 | |
Repayments on line of credit | (5,000) | (13,000) |
Proceeds from issuance of shares under employee plans | 1,096 | 1,352 |
Payments for taxes related to net share settlement of equity awards | (2,401) | (1,554) |
Net cash provided by (used in) financing activities | (6,305) | 6,798 |
Net increase in cash, cash equivalents, and restricted cash | 2,268 | 2,846 |
Cash, cash equivalents, and restricted cash at beginning of period | 34,522 | 31,218 |
Cash, cash equivalents, and restricted cash at end of period | 36,790 | 34,064 |
Supplemental disclosures of cash flow information: | ||
Cash paid for income taxes | 257 | 191 |
Cash refunds from income taxes | 1,430 | 367 |
Cash paid for interest | 275 | 286 |
Cash paid for amounts included in the measurement of operating lease liabilities | 2,617 | |
Operating lease assets obtained in exchange for operating lease liabilities | $ 5,324 | |
Accrued purchases of equipment and improvements | $ 92 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Principles of Consolidation. The condensed consolidated financial statements include the accounts of NextGen Healthcare, Inc. and its wholly-owned subsidiaries (collectively, the “Company”). Each of the terms “we,” “us,” or “our” as used herein refers collectively to the Company, unless otherwise stated. All intercompany accounts and transactions have been eliminated. Basis of Presentation. The accompanying unaudited condensed consolidated financial statements as of June 30, 2019 and for the three months ended June 30, 2019 have been prepared in accordance with the requirements of Quarterly Report on Form 10-Q and Article 10 of the Securities and Exchange Commission Regulation S-X and therefore do not include all information and notes which would be presented were such condensed consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements presented in our Annual Report on Form 10-K for the fiscal year ended March 31, 2019. In the opinion of management, the accompanying condensed consolidated financial statements reflect all adjustments which are necessary for a fair statement of the results of operations and cash flows for the periods presented. The results of operations for such interim periods are not necessarily indicative of results of operations to be expected for the full year. References to amounts in the condensed consolidated financial statement sections are in thousands, except shares and per share data, unless otherwise specified. Significant Accounting Policies . We adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) , effective on April 1, 2019 using the cumulative-effect adjustment transition method, as described further below. There have been no other material changes to our significant accounting policies from those disclosed in our Annual Report on Form 10-K for the fiscal year ended March 31, 2019. Share-Based Compensation. The following table summarizes total share-based compensation expense included in the condensed consolidated statements of comprehensive income for the three months ended June 30, 2019 and 2018: Three Months Ended June 30, 2019 2018 Costs and expenses: Cost of revenue $ 463 $ 233 Research and development costs 1,028 610 Selling, general and administrative 3,400 2,273 Total share-based compensation 4,891 3,116 Income tax benefit (1,215 ) (753 ) Decrease in net income $ 3,676 $ 2,363 Recently Adopted Accounting Pronouncements. Recently adopted accounting pronouncements are discussed below or in the notes, where applicable. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) We adopted ASU 2016-02 and its subsequent amendments (together “ASC 842”) using the cumulative-effect adjustment transition method, which is the additional transition method described within ASU 2018-11, Leases (Topic 842): Targeted Improvements , issued by the FASB in July 2018 Upon adoption of ASC 842, we recognized operating lease right-of-use assets of $38,784, operating lease liabilities of $8,873, and long-term operating lease liabilities of $42,114 on our condensed consolidated balance sheet as of April 1, 2019, and corresponding reductions to other current liabilities of $2,342 and other noncurrent liabilities of $9,861 associated with previously recognized deferred rent and remaining lease obligations. Recent Accounting Standards Not Yet Adopted. Recent accounting pronouncements requiring implementation in current or future periods are discussed below or in the notes, where applicable. In August 2018, the FASB issued ASU 2018-15, Intangibles–Goodwill and Other–Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework–Changes to the Disclosure Requirements for Fair Value Measurement Fair Value Measurement In January 2017, the FASB issued ASU 2017-04, Intangibles–Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, would have a material impact on our consolidated financial statements. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 3 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contract with Customer | 2. Revenue from Contracts with Customers Revenue Recognition and Performance Obligations We generate revenue from sales of licensing rights and subscriptions to our software solutions, hardware and third-party software products, support and maintenance, managed services, electronic data interchange (“EDI”) and data services, and other non-recurring services, including implementation, training, and consulting services. Our contracts with customers may include multiple performance obligations that consist of various combinations of our software solutions and related services, which are generally capable of being distinct and accounted for as separate performance obligations. The total transaction price is allocated to each performance obligation within an arrangement based on estimated standalone selling prices. Revenue is recognized when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration that we expect to be entitled to in exchange for those goods or services. We exclude sales tax from the measurement of the transaction price and The following table presents our revenues disaggregated by our major revenue categories and by occurrence: Three Months Ended June 30, 2019 2018 Recurring revenues: Subscription services $ 30,144 $ 28,328 Support and maintenance 39,652 41,248 Managed services 25,681 26,270 Electronic data interchange and data services 23,970 24,161 Total recurring revenues 119,447 120,007 Software, hardware, and other non-recurring revenues: Software license and hardware 7,095 7,443 Other non-recurring services 5,319 5,750 Total software, hardware and other non-recurring revenues 12,414 13,193 Total revenues $ 131,861 $ 133,200 Recurring revenues consist of subscription services, support and maintenance, managed services, and EDI and data services. Software, hardware, and other non-recurring revenues consist of sales of software license and hardware and certain non-recurring services, such as implementation, training, and consulting performed for clients who use our products. Generally, we recognize revenue for our most significant performance obligations as follows: Subscription services. Performance obligations involving subscription services, which include annual licenses, are satisfied over time as the customer simultaneously receives and consumes the benefits of the services throughout the contract period. We recognize revenue related to these services ratably over the respective noncancelable contract term. Support and maintenance. Performance obligations involving support and maintenance are satisfied over time as the customer simultaneously receives and consumes the benefits of the maintenance services provided. Our support and maintenance services may consist of separate performance obligations, such as unspecified upgrades or enhancements and technical support, which are considered stand-ready in nature and can be offered at various points during the service period. Since the efforts associated with the combined support and maintenance services are rendered concurrently and provided evenly throughout the service period, we consider the series of support and maintenance services to be a single performance obligation. Therefore, we recognize revenue related to these services ratably over the respective noncancelable contract term. Managed services. Managed services consist primarily of RCM and related services, but also includes transcription services and certain other recurring services. Performance obligations associated with RCM services are satisfied over time as the customer simultaneously receives and consumes the benefits of the services executed throughout the contract period. The majority of service fees under our RCM arrangements are variable consideration contingent upon collections by our clients. We estimate the variable consideration which we expect to be entitled to over the noncancelable contract term associated with our RCM service arrangements. The estimate of variable consideration included in the transaction price typically involves estimating the amounts we will ultimately collect on behalf of our clients and the relative fee we charge that is generally calculated as a percentage of those collections. Inputs to these estimates include, but are not limited to, historical service fees and collections amounts, timing of historical collections relative to the timing of when claims are submitted by our clients to their respective payers, macroeconomic trends, and anticipated changes in the number of providers. Significant judgement is required when estimating the total transaction price based on the variable consideration. We may apply certain constraints, when appropriate and permitted, to our estimates around our variable consideration in order to ensure that our estimates do not pose a risk of significantly misstating our revenue in any reporting period. RCM and related services may not be rendered evenly over the contract period as the timing of services are based on customer collections, which may vary throughout the service period. We recognize revenue for RCM based on the amount of collections received throughout the contract term as it most closely depicts our efforts to transfer our service obligations to the customer. Performance obligations related to the transcription services and other recurring services are generally satisfied as the corresponding services are provided and revenue is recognized as such services are rendered. Electronic data interchange and data services. Performance obligations related to EDI and other transaction processing services are satisfied at the point in time the services are rendered. The transfer of control occurs when the transaction processing services are delivered and the customer receives the benefits from the services provided. Software license and hardware. Software license and hardware are considered point-in-time performance obligations as control is transferred to customers upon the delivery of the software license and hardware. Our software licenses are considered functional licenses, and revenue recognition generally occurs on the date of contract execution as the customer is provided with immediate access to the license. We generally determine the amount of consideration allocated to the software license performance obligation using the residual approach, except for certain RCM arrangements where the amount allocated to the software license performance obligation is determined based on estimated relative standalone selling prices. For hardware, we recognize revenue upon transfer of such hardware or devices to the customer. Other non-recurring services. Performance obligations related to other non-recurring services, including implementation, training, and consulting services, are generally satisfied as the corresponding services are provided. Once the services have been provided to the customer, the transfer of control has occurred. Therefore, we recognize revenue as such services are rendered. Transaction Price Allocated to Remaining Performance Obligations As of June 30, 2019, the aggregate amount of transaction price related to remaining unsatisfied or partially unsatisfied performance obligations over the respective noncancelable contract term was approximately $492,100, of which we expect to recognize approximately 10% as services are rendered or goods are delivered , Contract Balances Contract balances result from the timing differences between our revenue recognition, invoicing, and cash collections. Such contract balances include accounts receivables, contract assets and liabilities, and other customer deposits and liabilities balances. Accounts receivable includes invoiced amounts where the right to receive payment is unconditional and only subject to the passage of time. Contract assets include amounts where revenue recognized exceeds the amount invoiced to the customer and the right to payment is not solely subject to the passage of time. Contract assets are generally associated with our sales of software licenses, but may also be associated other performance obligations such as subscription services, support and maintenance, annual licenses, and professional services, where control has been transferred to our customers but the associated payments are based on future customer collections (in the case of our RCM service arrangements) or based on future milestone payment due dates. In such instances, the revenue recognized may exceed the amount invoiced to the customer and such balances are included in contract assets since our right to receive payment is not unconditional, but rather is conditional upon customer collections or the continued functionality of the software and our ongoing support and maintenance obligations. Contract liabilities consist mainly of fees invoiced or paid by our clients for which the associated services have not been performed and revenues have not been recognized. Contract assets and contract liabilities are reported in a net position on an individual contract basis at the end of each reporting period. Contract assets are classified as current or long-term on our condensed consolidated balance sheets based on the timing of when we expect to complete the related performance obligations and invoice the customer. Contract liabilities are classified as current on our condensed consolidated balance sheets since the revenue recognition associated to the related customer payments and invoicing is expected to occur within the next twelve months. During the three months ended June 30, 2019 and 2018, we recognized $19,960 and $20,177, respectively, of revenues that were included in the contract liability balance at the beginning of the corresponding periods. Our contracts with customers do not include any major financing components. Costs to Obtain or Fulfill a Contract We capitalize all incremental costs of obtaining a contract with a customer to the extent that such costs are directly related to a contract and expected to be recoverable. Our sales commissions and related sales incentives are considered incremental costs requiring capitalization. Capitalized contract costs are amortized to expense utilizing a method that is consistent with the transfer of the related goods or services to the customer. The amortization period ranges from less than one year up to eight years, based on the period over which the related goods and services are transferred, including consideration of the expected customer renewals and the related useful lives of the products. Capitalized commissions costs were $19,997 as of June 30, 2019, of which $5,120 is current and included as other current assets and $14,877 is long-term and included within other assets on our condensed consolidated balance sheets, based on the expected timing of expense recognition. During the three months ended June 30, 2019, we recognized $1,662 of commissions expense primarily related to the amortization of capitalized commissions costs, which is included as a selling, general and administrative expense in the condensed consolidated statement of comprehensive income. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 3. Fair Value Measurements The following tables set forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis at June 30, 2019 and March 31, 2019: Balance At Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs June 30, 2019 (Level 1) (Level 2) (Level 3) ASSETS Cash and cash equivalents (1) $ 28,607 $ 28,607 $ — $ — Restricted cash and cash equivalents 8,183 8,183 — — $ 36,790 $ 36,790 $ — $ — LIABILITIES Contingent consideration related to acquisitions $ 1,000 $ — $ — $ 1,000 $ 1,000 $ — $ — $ 1,000 Balance At Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs March 31, 2019 (Level 1) (Level 2) (Level 3) ASSETS Cash and cash equivalents (1) $ 33,079 $ 33,079 $ — $ — Restricted cash and cash equivalents 1,443 1,443 — — $ 34,522 $ 34,522 $ — $ — LIABILITIES Contingent consideration related to acquisitions $ 1,000 $ — $ — $ 1,000 $ 1,000 $ — $ — $ 1,000 (1) Cash equivalents consist primarily of money market funds. The contingent liability as of June 30, 2019 and March 31, 2019 relates to the acquisition of Inforth Technologies on January 31, 2018, which included contingent consideration up to an additional $4,000 of cash in the form of an earnout, subject to Inforth Technologies achieving certain applicable bookings targets through March 31, 2020 We believe that the fair value of other financial assets and liabilities, including accounts receivable, accounts payable, and line of credit, approximate their respective carrying values due to their nominal credit risk. Non-Recurring Fair Value Measurements We have certain assets, including goodwill and other intangible assets, which are measured at fair value on a non-recurring basis and are adjusted to fair value only if an impairment charge is recognized. The categorization of the framework used to measure fair value of the assets is considered to be within the Level 3 valuation hierarchy due to the subjective nature of the unobservable inputs used. During the three months ended June 30, 2019, we recorded certain impairments to our operating lease assets and equipment and improvements (see Note 15). |
Leases
Leases | 3 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Leases | 4. Leases We have operating lease agreements for our offices in the United States and India with lease periods expiring between 2020 and 2026. ASC 842 requires the recognition of leasing arrangements on the balance sheet as right-of-use assets and liabilities pertaining to the rights and obligations created by the leased assets. We determine whether an arrangement is a lease at inception and classify it as finance or operating. Right-of-use lease assets and corresponding lease liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Since the interest rate implicit in our lease arrangements is not readily determinable, we determine an incremental borrowing rate for each lease based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the lease commencement date to determine the present value of future lease payments. Our lease terms may include options to extend or terminate the lease. Currently, it is not reasonably certain that we will exercise those options and therefore, we utilize the initial, noncancelable, lease term to calculate the lease assets and corresponding liabilities for all our leases. We have certain insignificant short-term leases with an initial term of twelve months or less that are not recorded in our condensed consolidated balance sheets. Operating right-of-use lease assets are classified as operating lease assets on our condensed consolidated balance sheets. Our lease agreements generally contain lease and non-lease components. Non-lease components primarily include payments for maintenance and utilities. We have applied the practical expedient to combine fixed payments for non-lease components with our lease payments for all of our leases and account for them together as a single lease component, which increases the amount of our lease assets and corresponding liabilities. Payments under our lease arrangements are primarily fixed, however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease assets and liabilities. Operating lease costs are recognized on a straight-line basis over the lease term and included as a selling, general and administrative expense in the condensed consolidated statements of comprehensive income. Total operating lease costs were $2,300 and $2,028 for the three months ended June 30, 2019 and 2018, respectively. Components of operating lease costs are summarized as follows: Three Months Ended June 30, 2019 Operating lease costs $ 2,163 Short-term lease costs 26 Variable lease costs 139 Less: Sublease income (28 ) Total operating lease costs $ 2,300 Supplemental cash flow information related to operating leases is summarized as follows: Three Months Ended June 30, 2019 Cash paid for amounts included in the measurement of operating lease liabilities $ 2,617 Operating lease assets obtained in exchange for operating lease liabilities 5,324 As of June 30, 2019, our operating leases had a weighted average remaining lease term of 5.2 years and a weighted average discount rate of 4.2%. Future minimum aggregate lease payments under operating leases as of June 30, 2019 are summarized as follows: For the year ended March 31, 2020 (remaining nine months) $ 8,759 2021 11,951 2022 11,372 2023 10,948 2024 9,044 Thereafter 8,344 Total future lease payments 60,418 Less interest (6,393 ) Total lease liabilities $ 54,025 Future minimum lease payments (including interest) under non-cancelable operating leases as of March 31, 2019 are summarized as follows: For the year ended March 31, 2020 $ 10,511 2021 10,701 2022 10,161 2023 9,660 2024 7,730 Thereafter 8,097 Total obligations and commitments $ 56,860 As of June 30, 2019, we have not entered any material leases, which are not reflected in the table above. |
Goodwill
Goodwill | 3 Months Ended |
Jun. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | 5. Goodwill We test goodwill for impairment annually during our first fiscal quarter, referred to as the annual test date. We will also test for impairment between annual test dates if an event occurs or circumstances change that would indicate the carrying amount may be impaired. As part of our annual goodwill impairment test, we first assess qualitative factors to determine whether it is more likely than not that the fair value of goodwill is less than its carrying amount. The qualitative assessment includes consideration of factors such as margin of fair values of the reporting units as of the most recent quantitative impairment assessment compared to the relative carrying value of net assets for each reporting unit. We assess for potential adverse changes in fair value since the most recent quantitative impairment assessment by considering changes in macroeconomic variables, changes in the industry in which we operate, and relevant company-specific factors. If we conclude that it is more likely than not that the fair value is less than its carrying amount, we conduct a two-step quantitative goodwill impairment test. The first step of the impairment test involves comparing the fair values of goodwill with its carrying value. If the carrying amount of goodwill exceeds its fair value, we perform the second step of the goodwill impairment test. The second step of the goodwill impairment test involves comparing the implied fair value of goodwill with its carrying value. The amount by which the carrying value of the goodwill exceeds its implied fair value, if any, is recognized as an impairment loss. As of June 30, 2019, our qualitative assessment indicated that it was more likely than not that the fair value of goodwill exceeded its net carrying value and, therefore, additional impairment testing was not deemed necessary. We do not amortize goodwill as it has been determined to have an indefinite useful life. The carrying amount of goodwill as of both June 30, 2019 and March 31, 2019 was $218,771. |
Intangible Assets
Intangible Assets | 3 Months Ended |
Jun. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 6. Intangible Assets Our definite-lived intangible assets, other than capitalized software development costs, are summarized as follows: June 30, 2019 Customer Software Relationships Technology Total Gross carrying amount $ 32,400 $ 93,000 $ 125,400 Accumulated amortization (18,690 ) (59,268 ) (77,958 ) Net intangible assets $ 13,710 $ 33,732 $ 47,442 March 31, 2019 Customer Software Relationships Technology Total Gross carrying amount $ 54,450 $ 94,310 $ 148,760 Accumulated amortization (39,875 ) (56,290 ) (96,165 ) Net intangible assets $ 14,575 $ 38,020 $ 52,595 During the three months ended June 30, 2019, we retired $23,360 of fully amortized intangible assets. Amortization expense related to customer relationships recorded as operating expenses in the condensed consolidated statements of comprehensive income was $865 and $1,168 for the three months ended June 30, 2019 and 2018, respectively. Amortization expense related to software technology recorded as cost of revenue was $4,288 and $4,287 for the three months ended June 30, 2019 and 2018, respectively. The following table summarizes the remaining estimated amortization of intangible assets as of June 30, 2019: Estimated Remaining Amortization Expense Operating Expense Cost of Revenue Total For the year ended March 31, 2020 (remaining nine months) $ 2,595 $ 12,864 $ 15,459 2021 2,803 13,268 16,071 2022 2,273 5,480 7,753 2023 1,866 1,760 3,626 2024 1,548 180 1,728 2025 and beyond 2,625 180 2,805 Total $ 13,710 $ 33,732 $ 47,442 |
Capitalized Software Costs
Capitalized Software Costs | 3 Months Ended |
Jun. 30, 2019 | |
Research And Development [Abstract] | |
Capitalized Software Costs | 7. Capitalized Software Costs Our capitalized software costs are summarized as follows: June 30, 2019 March 31, 2019 Gross carrying amount $ 64,517 $ 59,782 Accumulated amortization (26,052 ) (21,927 ) Net capitalized software costs $ 38,465 $ 37,855 Amortization expense related to capitalized software costs was $4,125 and $2,257 for the three months ended June 30, 2019 and 2018, respectively, and is recorded as cost of revenue in the condensed consolidated statements of comprehensive income. The following table presents the remaining estimated amortization of capitalized software costs as of June 30, 2019. The estimated amortization is comprised of (i) amortization of released products and (ii) the expected amortization for products that are not yet available for sale based on their estimated economic lives and projected general release dates. For the year ended March 31, 2020 (remaining nine months) $ 15,800 2021 14,000 2022 7,200 2023 1,465 Total $ 38,465 |
Line of Credit
Line of Credit | 3 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Line of Credit | 8. Line of Credit On March 29, 2018, we entered into a $300,000 amended and restated revolving credit agreement (the “Credit Agreement”) with JPMorgan Chase Bank, N.A., as administrative agent, U.S. Bank National Association, as syndication agent, and certain other agents and lenders. The Credit Agreement replaces our prior . also includes a $100,000 accordion feature that provides us with the ability to obtain up to $400,000 in the aggregate of revolving credit commitments and/or term loans upon satisfaction of certain conditions The Credit Agreement matures on March 29, 2023 and the full balance of the revolving loans and all other obligations under the agreement must be paid at that time. In addition, we are required to prepay the revolving loan balance if at any time the aggregate principal amount outstanding under the Credit Agreement exceeds the aggregate commitments thereunder. The Credit Agreement is secured by substantially all of our existing and future property. The revolving loans under the Credit Agreement will be available for letters of credit, permitted acquisitions, working capital and general corporate purposes. As of June 30, 2019, we had $6,000 in outstanding loans and $294,000 of unused credit under the Credit Agreement. As of March 31, 2019, we had $11,000 in outstanding loans under the Credit Agreement. Interest expense related to the Credit Agreement was $294 and $550 for the three months ended June 30, 2019 and 2018, respectively. Amortization of deferred debt issuance costs was $177 for both the three months ended June 30, 2019 and 2018. |
Composition of Certain Financia
Composition of Certain Financial Statement Captions | 3 Months Ended |
Jun. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Composition of Certain Financial Statement Captions | 9. Composition of Certain Financial Statement Captions Accounts receivable include billed amounts where the right to receive payment is unconditional and only subject to the passage of time. Undelivered products and services are included as a component of the contract liabilities balance on the accompanying condensed consolidated balance sheets. June 30, 2019 March 31, 2019 Accounts receivable, gross $ 86,209 $ 93,513 Allowance for doubtful accounts (4,461 ) (6,054 ) Accounts receivable, net $ 81,748 $ 87,459 Inventory is comprised of computer systems and components. Prepaid expenses and other current assets are summarized as follows: June 30, 2019 March 31, 2019 Prepaid expenses $ 16,028 $ 15,548 Capitalized commissions costs 5,120 4,816 Other current assets 837 462 Prepaid expenses and other current assets $ 21,985 $ 20,826 Equipment and improvements are summarized as follows: June 30, 2019 March 31, 2019 Computer equipment $ 29,283 $ 28,923 Internal-use software 19,383 17,084 Furniture and fixtures 11,714 11,660 Leasehold improvements 15,589 15,150 Equipment and improvements, gross 75,969 72,817 Accumulated depreciation and amortization (53,197 ) (51,413 ) Equipment and improvements, net $ 22,772 $ 21,404 Other assets are summarized as follows: June 30, 2019 March 31, 2019 Capitalized commission costs $ 14,877 $ 14,781 Deposits 5,123 5,318 Debt issuance costs 2,656 2,834 Other noncurrent assets 9,950 9,545 Other assets $ 32,606 $ 32,478 Accrued compensation and related benefits are summarized as follows: June 30, 2019 March 31, 2019 Accrued vacation $ 10,319 $ 9,893 Accrued bonus 4,825 11,598 Accrued commissions 1,479 3,418 Accrued payroll 603 754 Accrued compensation and related benefits $ 17,226 $ 25,663 Other current liabilities are summarized as follows: June 30, 2019 March 31, 2019 Care services liabilities $ 8,183 1,443 Sales returns reserves and other customer liabilities 7,234 7,838 Customer credit balances and deposits 3,865 3,988 Accrued hosting costs 3,234 4,674 Accrued employee benefits and withholdings 2,795 2,426 Accrued consulting and outside services 2,635 3,874 Accrued self insurance expense 2,604 2,225 Accrued outsourcing costs 2,194 2,128 Accrued EDI expense 1,944 2,037 Contingent consideration and other liabilities related to acquisitions 1,000 1,000 Accrued royalties 657 3,090 Sales tax payable 641 509 Accrued legal expense 551 699 Deferred rent and related lease obligations — 2,196 Other accrued expenses 3,875 2,937 Other current liabilities $ 41,412 $ 41,064 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 11. Earnings per Share The dual presentation of “basic” and “diluted” earnings per share is provided below. Share amounts below are in thousands. Three Months Ended June 30, 2019 2018 Earnings per share — Basic: Net income $ 1,244 $ 2,648 Weighted-average shares outstanding — Basic 65,015 64,019 Net income per common share — Basic $ 0.02 $ 0.04 Earnings per share — Diluted: Net income $ 1,244 $ 2,648 Weighted-average shares outstanding 65,015 64,019 Effect of potentially dilutive securities 338 35 Weighted-average shares outstanding — Diluted 65,353 64,054 Net income per common share — Diluted $ 0.02 $ 0.04 The computation of diluted net income per share does not include 639 and 2,853 options to acquire shares of common stock for the three months ended June 30, 2019 and June 30, 2018, respectively, because their inclusion would have an anti-dilutive effect on net income per share. |
Share-Based Awards
Share-Based Awards | 3 Months Ended |
Jun. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Awards | 12. Share-Based Awards Employee Stock Option and Incentive Plans In October 2005, our shareholders approved a stock option and incentive plan (the “2005 Plan”) under which 4,800,000 shares of common stock were reserved for the issuance of awards, including incentive stock options and non-qualified stock options, stock appreciation rights, restricted stock, unrestricted stock, restricted stock units, performance shares, performance units (including performance options) and other share-based awards. The 2005 Plan provides that our employees and directors may, at the discretion of the Board of Directors ("Board") or a duly designated compensation committee, be granted certain share-based awards. In the case of option awards granted under the 2005 Plan, the exercise price of each option is determined based on the date of grant and expire no later than 10 years from the date of grant. Awards granted pursuant to the 2005 Plan are subject to the vesting schedule or performance metrics set forth in the agreements pursuant to which they are granted. Upon a change of control of our Company, as such term is defined in the 2005 Plan, awards under the 2005 Plan will fully vest under certain circumstances. The 2005 Plan expired on May 25, 2015. As of June 30, 2019, there were 264,420 outstanding options under the 2005 Plan. In August 2015, our shareholders approved a stock option and incentive plan (the “2015 Plan”) under which 11,500,000 shares of common stock were reserved for the issuance of awards, including incentive stock options and non-qualified stock options, stock appreciation rights, restricted stock awards and restricted stock unit awards, performance stock awards and other share-based awards. In August 2017, our shareholders approved an amendment to our 2015 Equity Incentive Plan, (the “Amended 2015 Plan”), to, among other items, increase the number of shares of common stock reserved for issuance thereunder by 6,000,000. The Amended 2015 Plan provides that our employees and directors may, at the discretion of the Board of Directors or a duly designated compensation committee, be granted certain share-based awards. In the case of option awards granted under the Amended 2015 Plan, the exercise price of each option is determined based on the date of grant and expire no later than 10 years from the date of grant. Awards granted pursuant to the Amended 2015 Plan are subject to the vesting schedule or performance metrics set forth in the agreements pursuant to which they are granted. Upon a change of control of our Company, as such term is defined in the Amended 2015 Plan, awards under the Amended 2015 Plan will fully vest under certain circumstances. As of June 30, 2019, there were 2,792,705 outstanding options, 1,946,725 outstanding shares of restricted stock awards, 46,375 outstanding shares of performance stock awards, and 5,020,749 shares available for future grant under the Amended 2015 Plan. The following table summarizes the stock option transactions during the three months ended June 30, 2019: Weighted- Weighted- Average Average Aggregate Exercise Remaining Intrinsic Employee Stock Options Summary Number of Price Contractual Value Shares per Share Life (years) (in thousands) Outstanding, March 31, 2019 3,166,525 $ 15.36 5.5 $ 7,040 Exercised (36,300 ) 12.52 3.7 $ 85 Forfeited/Canceled (38,700 ) 27.67 1.6 Expired (34,400 ) 43.04 Outstanding, June 30, 2019 3,057,125 $ 14.88 5.4 $ 15,915 Vested and expected to vest, June 30, 2019 2,801,387 $ 14.90 5.3 $ 14,575 Exercisable, June 30, 2019 1,491,953 $ 15.06 4.8 $ 7,718 Non-vested stock option award activity during the three months ended June 30, 2019 is summarized as follows: Weighted- Average Grant-Date Non-Vested Stock Option Award Summary Number of Fair Value Shares per Share Outstanding, March 31, 2019 1,845,855 $ 5.52 Vested (276,283 ) 5.41 Forfeited/Canceled (4,400 ) 6.62 Outstanding, June 30, 2019 1,565,172 $ 5.54 As of June 30, 2019, $7,072 of total unrecognized compensation costs related to stock options is expected to be recognized over a weighted-average period of 2.1 years. This amount does not include the cost of new options that may be granted in future periods or any changes in our forfeiture percentage. The total fair value of options vested during the three months ended June 30, 2019 was $1,494. Restricted stock awards activity during the three months ended June 30, 2019 is summarized as follows: Weighted- Average Grant-Date Restricted Stock Number of Fair Value Shares per Share Outstanding, March 31, 2019 1,715,958 $ 16.29 Granted 623,705 19.25 Vested (373,038 ) 15.75 Canceled (19,900 ) 16.21 Outstanding, June 30, 2019 1,946,725 $ 17.35 Share-based compensation expense related to restricted stock awards was $3,296 and $1,920 for the three months ended June 30, 2019 and 2018, respectively. The weighted-average grant date fair value for the restricted stock awards was estimated using the market price of the common stock on the date of grant. The fair value of the restricted stock awards is amortized on a straight-line basis over the vesting period, which is generally between one to four years. As of June 30, 2019, $28,350 of total unrecognized compensation costs related to restricted stock awards is expected to be recognized over a weighted-average period of 2.1 years. This amount does not include the cost of new restricted stock awards that may be granted in future periods. On December 29, 2016, the Compensation Committee of the Board approved 123,082 performance stock awards to be granted to certain executive officers, of which 46,375 shares are currently outstanding. The performance stock awards vest in four equal increments on each of the first four anniversaries of the grant date, subject in each case to the executive officer’s continued service and achievement of certain Company performance goals, including strong stock price performance. The weighted-average grant date fair value of the awards was $10.63 per share, which was estimated using a Monte Carlo-based valuation model. On October 23, 2018, the Compensation Committee of the Board approved 248,140 performance stock unit awards to be granted to certain executives and non-executive members of the executive leadership team, which vest only in the event certain performance goals are achieved and with continuous service through the date the goals are certified. Approximately 34% of the performance stock units are tied to our cumulative 3-year total shareholder return, 33% are tied to our fiscal year 2021 revenue, and 33% are tied to our fiscal year 2021 adjusted earnings per share goals, each as specifically defined in the equity award agreements. The number of shares to be issued may vary between 50% and 200% of the number of performance stock units depending on performance, and no such shares will be issued if threshold performance is not achieved. The weighted-average grant date fair value of the awards was $17.84 per share, which was estimated using a the market price of the common stock on the date of grant for the awards based on revenue and earnings per share targets Employee Share Purchase Plan On August 11, 2014, our shareholders approved an Employee Share Purchase Plan (the “Purchase Plan”) under which 4,000,000 shares of common stock were reserved for future grant. The Purchase Plan allows eligible employees to purchase shares through payroll deductions of up to 15% of total base salary at a price equal to 90% of the lower of the fair market values of the shares as of the beginning or the end of the corresponding offering period. Any shares purchased under the Purchase Plan are subject to a six-month holding period. Employees are limited to purchasing no more than 1,500 shares on any single purchase date and no more than $25 in total fair market value of shares during any one calendar year. As of June 30, 2019, we have issued 497,487 shares under the Purchase Plan and 3,502,513 shares are available for future issuance. Share-based compensation expense recorded for the employee share purchase plan was $122 and $132 for the three months ended June 30, 2019 and 2018, respectively. |
Concentration of Credit Risk
Concentration of Credit Risk | 3 Months Ended |
Jun. 30, 2019 | |
Risks And Uncertainties [Abstract] | |
Concentration of Credit Risk | 13. Concentration of Credit Risk We had cash deposits at United States banks and financial institutions which exceeded federally insured limits at June 30, 2019. We are exposed to credit loss for amounts in excess of insured limits in the event of non-performance by the institutions; however, we do not anticipate non-performance by these institutions. |
Commitments, Guarantees and Con
Commitments, Guarantees and Contingencies | 3 Months Ended |
Jun. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments, Guarantees and Contingencies | 14. Commitments, Guarantees and Contingencies Commitments and Guarantees Our software license agreements include a performance guarantee that our software products will substantially operate as described in the applicable program documentation for a period of 365 days after delivery. To date, we have not incurred any significant costs associated with our performance guarantee or other related warranties and do not expect to incur significant warranty costs in the future. Therefore, no accrual has been made for potential costs associated with these warranties. Certain arrangements also include performance guarantees related to response time, availability for operational use, and other performance-related guarantees. Certain arrangements also include penalties in the form of maintenance credits should the performance of the software fail to meet the performance guarantees. To date, we have not incurred any significant costs associated with these warranties and do not expect to incur significant warranty costs in the future. Therefore, no accrual has been made for potential costs associated with these warranties. We have historically offered short-term rights of return in certain sales arrangements. If we are able to estimate returns for these types of arrangements and all other criteria for revenue recognition have been met, revenue is recognized and these arrangements are recorded in the condensed consolidated financial statements. If we are unable to estimate returns for these types of arrangements, revenue is not recognized in the condensed consolidated financial statements until the rights of return expire, provided also, that all other criteria of revenue recognition have been met. Our standard sales agreements contain an indemnification provision pursuant to which we shall indemnify, hold harmless, and reimburse the indemnified party for losses suffered or incurred by the indemnified party in connection with any United States patent, any copyright or other intellectual property infringement claim by any third-party with respect to our software. As we have not incurred any significant costs to defend lawsuits or settle claims related to these indemnification agreements, we believe that our estimated exposure on these agreements is currently minimal. Accordingly, we have no liabilities recorded for these indemnification obligations. Hussein Litigation On October 7, 2013, a complaint was filed against our Company and certain of our officers and directors in the Superior Court of the State of California for the County of Orange, captioned Ahmed D. Hussein v. Sheldon Razin, Steven Plochocki, Quality Systems, Inc. and Does 1-10, inclusive, No. 30-2013-00679600-CU-NP-CJC, by Ahmed Hussein, a former director and significant shareholder of our Company. We filed a demurrer to the complaint, which the Court granted on April 10, 2014. An amended complaint was filed on April 25, 2014. The amended complaint generally alleges fraud and deceit, constructive fraud, negligent misrepresentation and breach of fiduciary duty in connection with statements made to our shareholders regarding our financial condition and projected future performance. The amended complaint seeks actual damages, exemplary and punitive damages and costs. We filed a demurrer to the amended complaint. On July 29, 2014, the Court sustained the demurrer with respect to the breach of fiduciary duty claim, and overruled the demurrer with respect to the fraud and deceit claims. On August 28, 2014, we filed an answer and also filed a cross-complaint against Hussein, alleging that he breached fiduciary duties owed to the Company, Mr. Razin and Mr. Plochocki. Mr. Razin and Mr. Plochocki have dismissed their claims against Hussein, leaving QSI as the sole plaintiff in the cross-complaint. On June 26, 2015, we filed a motion for summary judgment with respect to Hussein’s claims, which the Court granted on September 16, 2015, dismissing all of Hussein’s claims against us. On September 23, 2015, Hussein filed an application for reconsideration of the Court's summary judgment order, which the Court denied. Hussein filed a renewed application for reconsideration of the Court’s summary judgment order on August 3, 2017. The Court again denied Hussein’s application. On October 28, 2015, May 9, 2016, and August 5, 2016, Hussein filed a motion for summary judgment, motion for summary adjudication, and motion for judgment on the pleadings, respectively, seeking to dismiss our cross-complaint. The Court denied each motion. Trial on our cross-complaint began June 12, 2017. On July 26, 2017, the Court issued a statement of decision granting Hussein’s motion for judgment on our cross-complaint. Final judgment over Hussein’s claims and our cross-claims was entered on January 9, 2018. Hussein has noticed his appeal of the order granting summary judgment over his claims, and we noticed a cross-appeal on the court’s statement of decision granting Hussein’s motion for judgment on our cross-complaint. Briefing on the cross-appeals was completed in fall 2018. A hearing on the cross-appeals was held on July 15, 2019. At this time, we are unable to estimate the probability or the amount of liability, if any, related to this claim. Shareholder Derivative Litigation On September 28, 2017, a complaint was filed against our Company and certain of our current and former officers and directors in the United States District Court for the Central District of California, captioned Kusumam Koshy, derivatively on behalf of Quality Systems Inc. vs. Craig Barbarosh, George H. Bristol, James C. Malone, Peter M. Neupert, Morris Panner, D. Russell Pflueger, Steven T. Plochocki, Sheldon Razin, Lance E. Rosenzweig, Paul A. Holt, and Quality Systems, Inc., No. 8:17-cv-01694, by Kusumam Koshy, a purported shareholder of ours. The complaint alleges breach of fiduciary duties and abuse of control, as well as unjust enrichment and insider selling by individual directors arising out of the allegations described above under the caption “Hussein Litigation” and a related, now-settled, federal securities class action, as well as the Company’s adoption of revised indemnification agreements, and the resignation of certain officers of the Company. The complaint seeks restitution and disgorgement, court costs and attorneys’ fees, and enhanced corporate governance reforms and internal control procedures. On January 12, 2018, Defendants filed a motion to dismiss the derivative complaint. On July 25, 2018, the Court dismissed the complaint with prejudice. On August 24, 2018, the plaintiff filed a notice of appeal to the United States Court of Appeals for the Ninth Circuit and filed her opening brief on January 23, 2019. We filed our response on March 25, 2019, and the plaintiff filed her reply on May 15, 2019. We believe that the plaintiff’s appeal is without merit and intend to defend against it vigorously. At this time, we are unable to estimate the probability or the amount of liability, if any, related to this claim. Other Regulatory Matters Commencing in April 2017, we have received a request for documents and information from the United States Attorney's Office for the District of Vermont and other government agencies in connection with an investigation concerning the certification we obtained for our software under the United States Department of Health and Human Services' Electronic Health Record (EHR) Incentive Program. The requests for information relate to, among other things: (a) data used to determine objectives and measures under the Meaningful Use (MU) and the Physician Quality Reporting System (PQRS) programs, (b) EHR software code used in certifying our software and information, and (c) payments provided for the referral of EHR business. We continue to cooperate in this investigation. Requests and investigations of this nature may lead to future requests for information and ultimately the assertion of claims or the commencement of legal proceedings against us, as well as other material liabilities. In addition, our responses to these and any future requests require time and effort, which can result in additional cost to us. At this time, we are unable to estimate the probability or the amount of liability, if any, related to this matter. Given the highly-regulated nature of our industry, we may, from time to time, be subject to subpoenas, requests for information, or investigations from various government agencies. It is our practice to respond to such matters in a cooperative, thorough and timely manner. |
Restructuring Plan
Restructuring Plan | 3 Months Ended |
Jun. 30, 2019 | |
Restructuring Costs [Abstract] | |
Restructuring Plan | 15. Restructuring Plan During the three months ended June 30, 2019 We recorded $1,707 of restructuring costs within operating expenses in our condensed consolidated statements of comprehensive income. The restructuring costs consisted primarily of payroll-related costs, such as severance, outplacement costs, and continuing healthcare coverage, associated with the involuntary separation of employees pursuant to a one-time benefit arrangement. These amounts were accrued when it was probable that the benefits would be paid, and the amounts were reasonably estimable. As of June 30, 2019, the remaining liability associated with the payroll-related costs was $1,707, which we expect to be substantially paid during the second quarter of fiscal 2020. In connection with the restructuring plan, we also vacated a portion of our Irvine, CA location and recorded impairments of $143 to our operating right-of-use assets and certain related fixed assets. Furthermore, we recorded impairments of $346 to our operating right-of-use assets and certain related fixed assets associated with our previously vacated locations, or portions thereof, in St. Louis, MO and Horsham, PA based on changes to our projected sublease rental income and estimated sublease commencement dates. We are actively marketing each of these vacated locations for sublease. We determined the discount rate for each asset group based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the impairment date. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation. The condensed consolidated financial statements include the accounts of NextGen Healthcare, Inc. and its wholly-owned subsidiaries (collectively, the “Company”). Each of the terms “we,” “us,” or “our” as used herein refers collectively to the Company, unless otherwise stated. All intercompany accounts and transactions have been eliminated. |
Basis of Presentation | Basis of Presentation. The accompanying unaudited condensed consolidated financial statements as of June 30, 2019 and for the three months ended June 30, 2019 have been prepared in accordance with the requirements of Quarterly Report on Form 10-Q and Article 10 of the Securities and Exchange Commission Regulation S-X and therefore do not include all information and notes which would be presented were such condensed consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements presented in our Annual Report on Form 10-K for the fiscal year ended March 31, 2019. In the opinion of management, the accompanying condensed consolidated financial statements reflect all adjustments which are necessary for a fair statement of the results of operations and cash flows for the periods presented. The results of operations for such interim periods are not necessarily indicative of results of operations to be expected for the full year. References to amounts in the condensed consolidated financial statement sections are in thousands, except shares and per share data, unless otherwise specified. |
Share-Based Compensation | Share-Based Compensation. The following table summarizes total share-based compensation expense included in the condensed consolidated statements of comprehensive income for the three months ended June 30, 2019 and 2018: Three Months Ended June 30, 2019 2018 Costs and expenses: Cost of revenue $ 463 $ 233 Research and development costs 1,028 610 Selling, general and administrative 3,400 2,273 Total share-based compensation 4,891 3,116 Income tax benefit (1,215 ) (753 ) Decrease in net income $ 3,676 $ 2,363 |
Recent Accounting Standards | Recently Adopted Accounting Pronouncements. Recently adopted accounting pronouncements are discussed below or in the notes, where applicable. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) We adopted ASU 2016-02 and its subsequent amendments (together “ASC 842”) using the cumulative-effect adjustment transition method, which is the additional transition method described within ASU 2018-11, Leases (Topic 842): Targeted Improvements , issued by the FASB in July 2018 Upon adoption of ASC 842, we recognized operating lease right-of-use assets of $38,784, operating lease liabilities of $8,873, and long-term operating lease liabilities of $42,114 on our condensed consolidated balance sheet as of April 1, 2019, and corresponding reductions to other current liabilities of $2,342 and other noncurrent liabilities of $9,861 associated with previously recognized deferred rent and remaining lease obligations. Recent Accounting Standards Not Yet Adopted. Recent accounting pronouncements requiring implementation in current or future periods are discussed below or in the notes, where applicable. In August 2018, the FASB issued ASU 2018-15, Intangibles–Goodwill and Other–Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework–Changes to the Disclosure Requirements for Fair Value Measurement Fair Value Measurement In January 2017, the FASB issued ASU 2017-04, Intangibles–Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, would have a material impact on our consolidated financial statements. |
Revenue Recognition | Recurring revenues consist of subscription services, support and maintenance, managed services, and EDI and data services. Software, hardware, and other non-recurring revenues consist of sales of software license and hardware and certain non-recurring services, such as implementation, training, and consulting performed for clients who use our products. Generally, we recognize revenue for our most significant performance obligations as follows: Subscription services. Performance obligations involving subscription services, which include annual licenses, are satisfied over time as the customer simultaneously receives and consumes the benefits of the services throughout the contract period. We recognize revenue related to these services ratably over the respective noncancelable contract term. Support and maintenance. Performance obligations involving support and maintenance are satisfied over time as the customer simultaneously receives and consumes the benefits of the maintenance services provided. Our support and maintenance services may consist of separate performance obligations, such as unspecified upgrades or enhancements and technical support, which are considered stand-ready in nature and can be offered at various points during the service period. Since the efforts associated with the combined support and maintenance services are rendered concurrently and provided evenly throughout the service period, we consider the series of support and maintenance services to be a single performance obligation. Therefore, we recognize revenue related to these services ratably over the respective noncancelable contract term. Managed services. Managed services consist primarily of RCM and related services, but also includes transcription services and certain other recurring services. Performance obligations associated with RCM services are satisfied over time as the customer simultaneously receives and consumes the benefits of the services executed throughout the contract period. The majority of service fees under our RCM arrangements are variable consideration contingent upon collections by our clients. We estimate the variable consideration which we expect to be entitled to over the noncancelable contract term associated with our RCM service arrangements. The estimate of variable consideration included in the transaction price typically involves estimating the amounts we will ultimately collect on behalf of our clients and the relative fee we charge that is generally calculated as a percentage of those collections. Inputs to these estimates include, but are not limited to, historical service fees and collections amounts, timing of historical collections relative to the timing of when claims are submitted by our clients to their respective payers, macroeconomic trends, and anticipated changes in the number of providers. Significant judgement is required when estimating the total transaction price based on the variable consideration. We may apply certain constraints, when appropriate and permitted, to our estimates around our variable consideration in order to ensure that our estimates do not pose a risk of significantly misstating our revenue in any reporting period. RCM and related services may not be rendered evenly over the contract period as the timing of services are based on customer collections, which may vary throughout the service period. We recognize revenue for RCM based on the amount of collections received throughout the contract term as it most closely depicts our efforts to transfer our service obligations to the customer. Performance obligations related to the transcription services and other recurring services are generally satisfied as the corresponding services are provided and revenue is recognized as such services are rendered. Electronic data interchange and data services. Performance obligations related to EDI and other transaction processing services are satisfied at the point in time the services are rendered. The transfer of control occurs when the transaction processing services are delivered and the customer receives the benefits from the services provided. Software license and hardware. Software license and hardware are considered point-in-time performance obligations as control is transferred to customers upon the delivery of the software license and hardware. Our software licenses are considered functional licenses, and revenue recognition generally occurs on the date of contract execution as the customer is provided with immediate access to the license. We generally determine the amount of consideration allocated to the software license performance obligation using the residual approach, except for certain RCM arrangements where the amount allocated to the software license performance obligation is determined based on estimated relative standalone selling prices. For hardware, we recognize revenue upon transfer of such hardware or devices to the customer. Other non-recurring services. Performance obligations related to other non-recurring services, including implementation, training, and consulting services, are generally satisfied as the corresponding services are provided. Once the services have been provided to the customer, the transfer of control has occurred. Therefore, we recognize revenue as such services are rendered. |
Revenue Recognition and Performance Obligations | Revenue Recognition and Performance Obligations We generate revenue from sales of licensing rights and subscriptions to our software solutions, hardware and third-party software products, support and maintenance, managed services, electronic data interchange (“EDI”) and data services, and other non-recurring services, including implementation, training, and consulting services. Our contracts with customers may include multiple performance obligations that consist of various combinations of our software solutions and related services, which are generally capable of being distinct and accounted for as separate performance obligations. The total transaction price is allocated to each performance obligation within an arrangement based on estimated standalone selling prices. Revenue is recognized when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration that we expect to be entitled to in exchange for those goods or services. We exclude sales tax from the measurement of the transaction price and |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Stock-Based Compensation Expense | The following table summarizes total share-based compensation expense included in the condensed consolidated statements of comprehensive income for the three months ended June 30, 2019 and 2018: Three Months Ended June 30, 2019 2018 Costs and expenses: Cost of revenue $ 463 $ 233 Research and development costs 1,028 610 Selling, general and administrative 3,400 2,273 Total share-based compensation 4,891 3,116 Income tax benefit (1,215 ) (753 ) Decrease in net income $ 3,676 $ 2,363 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Schedule of Revenues Disaggregated by Major Revenue Categories and by Occurrence | The following table presents our revenues disaggregated by our major revenue categories and by occurrence: Three Months Ended June 30, 2019 2018 Recurring revenues: Subscription services $ 30,144 $ 28,328 Support and maintenance 39,652 41,248 Managed services 25,681 26,270 Electronic data interchange and data services 23,970 24,161 Total recurring revenues 119,447 120,007 Software, hardware, and other non-recurring revenues: Software license and hardware 7,095 7,443 Other non-recurring services 5,319 5,750 Total software, hardware and other non-recurring revenues 12,414 13,193 Total revenues $ 131,861 $ 133,200 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities on a Recurring Basis | The following tables set forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis at June 30, 2019 and March 31, 2019: Balance At Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs June 30, 2019 (Level 1) (Level 2) (Level 3) ASSETS Cash and cash equivalents (1) $ 28,607 $ 28,607 $ — $ — Restricted cash and cash equivalents 8,183 8,183 — — $ 36,790 $ 36,790 $ — $ — LIABILITIES Contingent consideration related to acquisitions $ 1,000 $ — $ — $ 1,000 $ 1,000 $ — $ — $ 1,000 Balance At Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Unobservable Inputs March 31, 2019 (Level 1) (Level 2) (Level 3) ASSETS Cash and cash equivalents (1) $ 33,079 $ 33,079 $ — $ — Restricted cash and cash equivalents 1,443 1,443 — — $ 34,522 $ 34,522 $ — $ — LIABILITIES Contingent consideration related to acquisitions $ 1,000 $ — $ — $ 1,000 $ 1,000 $ — $ — $ 1,000 (1) Cash equivalents consist primarily of money market funds. |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Summary of Components of Operating Lease Costs | Components of operating lease costs are summarized as follows: Three Months Ended June 30, 2019 Operating lease costs $ 2,163 Short-term lease costs 26 Variable lease costs 139 Less: Sublease income (28 ) Total operating lease costs $ 2,300 |
Supplemental Cash Flow Information Related to Operating Leases | Supplemental cash flow information related to operating leases is summarized as follows: Three Months Ended June 30, 2019 Cash paid for amounts included in the measurement of operating lease liabilities $ 2,617 Operating lease assets obtained in exchange for operating lease liabilities 5,324 |
Summary of Future Minimum Aggregate Lease Payments Operating Leases | Future minimum aggregate lease payments under operating leases as of June 30, 2019 are summarized as follows: For the year ended March 31, 2020 (remaining nine months) $ 8,759 2021 11,951 2022 11,372 2023 10,948 2024 9,044 Thereafter 8,344 Total future lease payments 60,418 Less interest (6,393 ) Total lease liabilities $ 54,025 |
Summary of Future Minimum Lease Payments Under Non-cancelable Operating Leases | Future minimum lease payments (including interest) under non-cancelable operating leases as of March 31, 2019 are summarized as follows: For the year ended March 31, 2020 $ 10,511 2021 10,701 2022 10,161 2023 9,660 2024 7,730 Thereafter 8,097 Total obligations and commitments $ 56,860 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets, Other than Capitalized Software Development Costs | Our definite-lived intangible assets, other than capitalized software development costs, are summarized as follows: June 30, 2019 Customer Software Relationships Technology Total Gross carrying amount $ 32,400 $ 93,000 $ 125,400 Accumulated amortization (18,690 ) (59,268 ) (77,958 ) Net intangible assets $ 13,710 $ 33,732 $ 47,442 March 31, 2019 Customer Software Relationships Technology Total Gross carrying amount $ 54,450 $ 94,310 $ 148,760 Accumulated amortization (39,875 ) (56,290 ) (96,165 ) Net intangible assets $ 14,575 $ 38,020 $ 52,595 |
Estimated Amortization of Intangible Assets with Determinable Lives | The following table summarizes the remaining estimated amortization of intangible assets as of June 30, 2019: Estimated Remaining Amortization Expense Operating Expense Cost of Revenue Total For the year ended March 31, 2020 (remaining nine months) $ 2,595 $ 12,864 $ 15,459 2021 2,803 13,268 16,071 2022 2,273 5,480 7,753 2023 1,866 1,760 3,626 2024 1,548 180 1,728 2025 and beyond 2,625 180 2,805 Total $ 13,710 $ 33,732 $ 47,442 |
Capitalized Software Costs (Tab
Capitalized Software Costs (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Research And Development [Abstract] | |
Capitalized Software Development Costs | Our capitalized software costs are summarized as follows: June 30, 2019 March 31, 2019 Gross carrying amount $ 64,517 $ 59,782 Accumulated amortization (26,052 ) (21,927 ) Net capitalized software costs $ 38,465 $ 37,855 |
Estimated Amortization of Capitalized Software Costs | The following table presents the remaining estimated amortization of capitalized software costs as of June 30, 2019. The estimated amortization is comprised of (i) amortization of released products and (ii) the expected amortization for products that are not yet available for sale based on their estimated economic lives and projected general release dates. For the year ended March 31, 2020 (remaining nine months) $ 15,800 2021 14,000 2022 7,200 2023 1,465 Total $ 38,465 |
Composition of Certain Financ_2
Composition of Certain Financial Statement Captions (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Summary of Accounts Receivable | Accounts receivable include billed amounts where the right to receive payment is unconditional and only subject to the passage of time. Undelivered products and services are included as a component of the contract liabilities balance on the accompanying condensed consolidated balance sheets. June 30, 2019 March 31, 2019 Accounts receivable, gross $ 86,209 $ 93,513 Allowance for doubtful accounts (4,461 ) (6,054 ) Accounts receivable, net $ 81,748 $ 87,459 |
Summary of Prepaid Expense and Other Current Assets | Prepaid expenses and other current assets are summarized as follows: June 30, 2019 March 31, 2019 Prepaid expenses $ 16,028 $ 15,548 Capitalized commissions costs 5,120 4,816 Other current assets 837 462 Prepaid expenses and other current assets $ 21,985 $ 20,826 |
Summary of Equipment and Improvements | Equipment and improvements are summarized as follows: June 30, 2019 March 31, 2019 Computer equipment $ 29,283 $ 28,923 Internal-use software 19,383 17,084 Furniture and fixtures 11,714 11,660 Leasehold improvements 15,589 15,150 Equipment and improvements, gross 75,969 72,817 Accumulated depreciation and amortization (53,197 ) (51,413 ) Equipment and improvements, net $ 22,772 $ 21,404 |
Summary of Other Assets | Other assets are summarized as follows: June 30, 2019 March 31, 2019 Capitalized commission costs $ 14,877 $ 14,781 Deposits 5,123 5,318 Debt issuance costs 2,656 2,834 Other noncurrent assets 9,950 9,545 Other assets $ 32,606 $ 32,478 |
Summary of Accrued Compensation and Related Benefits | Accrued compensation and related benefits are summarized as follows: June 30, 2019 March 31, 2019 Accrued vacation $ 10,319 $ 9,893 Accrued bonus 4,825 11,598 Accrued commissions 1,479 3,418 Accrued payroll 603 754 Accrued compensation and related benefits $ 17,226 $ 25,663 |
Summary of Other Current Liabilities | Other current liabilities are summarized as follows: June 30, 2019 March 31, 2019 Care services liabilities $ 8,183 1,443 Sales returns reserves and other customer liabilities 7,234 7,838 Customer credit balances and deposits 3,865 3,988 Accrued hosting costs 3,234 4,674 Accrued employee benefits and withholdings 2,795 2,426 Accrued consulting and outside services 2,635 3,874 Accrued self insurance expense 2,604 2,225 Accrued outsourcing costs 2,194 2,128 Accrued EDI expense 1,944 2,037 Contingent consideration and other liabilities related to acquisitions 1,000 1,000 Accrued royalties 657 3,090 Sales tax payable 641 509 Accrued legal expense 551 699 Deferred rent and related lease obligations — 2,196 Other accrued expenses 3,875 2,937 Other current liabilities $ 41,412 $ 41,064 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Weighted Average Shares Outstanding for Basic and Diluted Net Income Per Share | The dual presentation of “basic” and “diluted” earnings per share is provided below. Share amounts below are in thousands. Three Months Ended June 30, 2019 2018 Earnings per share — Basic: Net income $ 1,244 $ 2,648 Weighted-average shares outstanding — Basic 65,015 64,019 Net income per common share — Basic $ 0.02 $ 0.04 Earnings per share — Diluted: Net income $ 1,244 $ 2,648 Weighted-average shares outstanding 65,015 64,019 Effect of potentially dilutive securities 338 35 Weighted-average shares outstanding — Diluted 65,353 64,054 Net income per common share — Diluted $ 0.02 $ 0.04 |
Share Based Awards (Tables)
Share Based Awards (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity | The following table summarizes the stock option transactions during the three months ended June 30, 2019: Weighted- Weighted- Average Average Aggregate Exercise Remaining Intrinsic Employee Stock Options Summary Number of Price Contractual Value Shares per Share Life (years) (in thousands) Outstanding, March 31, 2019 3,166,525 $ 15.36 5.5 $ 7,040 Exercised (36,300 ) 12.52 3.7 $ 85 Forfeited/Canceled (38,700 ) 27.67 1.6 Expired (34,400 ) 43.04 Outstanding, June 30, 2019 3,057,125 $ 14.88 5.4 $ 15,915 Vested and expected to vest, June 30, 2019 2,801,387 $ 14.90 5.3 $ 14,575 Exercisable, June 30, 2019 1,491,953 $ 15.06 4.8 $ 7,718 |
Schedule of Employee Stock Options and Performance Based Awards by Non-vested Stock Options | Non-vested stock option award activity during the three months ended June 30, 2019 is summarized as follows: Weighted- Average Grant-Date Non-Vested Stock Option Award Summary Number of Fair Value Shares per Share Outstanding, March 31, 2019 1,845,855 $ 5.52 Vested (276,283 ) 5.41 Forfeited/Canceled (4,400 ) 6.62 Outstanding, June 30, 2019 1,565,172 $ 5.54 |
Summary of Restricted Stock Awards Activity | Restricted stock awards activity during the three months ended June 30, 2019 is summarized as follows: Weighted- Average Grant-Date Restricted Stock Number of Fair Value Shares per Share Outstanding, March 31, 2019 1,715,958 $ 16.29 Granted 623,705 19.25 Vested (373,038 ) 15.75 Canceled (19,900 ) 16.21 Outstanding, June 30, 2019 1,946,725 $ 17.35 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Schedule of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Costs and expenses: | ||
Total share-based compensation | $ 4,891 | $ 3,116 |
Income tax benefit | (1,215) | (753) |
Decrease in net income | 3,676 | 2,363 |
Cost of Revenue | ||
Costs and expenses: | ||
Total share-based compensation | 463 | 233 |
Research and Development Costs | ||
Costs and expenses: | ||
Total share-based compensation | 1,028 | 610 |
Selling, General and Administrative | ||
Costs and expenses: | ||
Total share-based compensation | $ 3,400 | $ 2,273 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) | Apr. 01, 2019 | Jun. 30, 2019 |
Accounting Policies [Line Items] | ||
Operating lease right-of-use assets | $ 41,992,000 | |
Operating lease liabilities | 54,025,000 | |
Operating lease liabilities, net of current | $ 44,281,000 | |
ASC 842 | ||
Accounting Policies [Line Items] | ||
Operating lease right-of-use assets | $ 38,784,000 | |
Operating lease liabilities | 8,873,000 | |
Operating lease liabilities, net of current | 42,114,000 | |
Reductions to other current liabilities | 2,342,000 | |
Reductions to other noncurrent liabilities | 9,861,000 | |
Cumulative-effect adjustment to retained earnings | $ 0 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Schedule of Revenues Disaggregated by Major Revenue Categories and by Occurrence (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation Of Revenue [Line Items] | ||
Total revenues | $ 131,861 | $ 133,200 |
Subscription Services | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 30,144 | 28,328 |
Support And Maintenance | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 39,652 | 41,248 |
Managed Services | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 25,681 | 26,270 |
Electronic Data Interchange And Data Services | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 23,970 | 24,161 |
Recurring | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 119,447 | 120,007 |
Software License and Hardware | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 7,095 | 7,443 |
Other Non-recurring Services | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | 5,319 | 5,750 |
Software, Hardware, and Other Non-recurring | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenues | $ 12,414 | $ 13,193 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Revenue From Contract With Customer [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 492,100 | |
Percentage of revenue expected to recognize as services rendered and goods delivered | 10.00% | |
Percentage of revenue expected to recognize over next 12 months | 50.00% | |
Contract liability, revenue recognized | $ 19,960 | $ 20,177 |
Capitalized commission costs | 19,997 | |
Commission expenses | 1,662 | |
Other Current Assets | ||
Revenue From Contract With Customer [Line Items] | ||
Capitalized commission costs | 5,120 | |
Other Noncurrent Assets | ||
Revenue From Contract With Customer [Line Items] | ||
Capitalized commission costs | $ 14,877 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Assets and Liabilities on a Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 | |
Carrying Value | |||
ASSETS | |||
Cash and cash equivalents | [1] | $ 28,607 | $ 33,079 |
Restricted cash and cash equivalents | 8,183 | 1,443 | |
Total | 36,790 | 34,522 | |
LIABILITIES | |||
Contingent consideration related to acquisitions | 1,000 | 1,000 | |
Total | 1,000 | 1,000 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value | |||
ASSETS | |||
Cash and cash equivalents | [1] | 28,607 | 33,079 |
Restricted cash and cash equivalents | 8,183 | 1,443 | |
Total | 36,790 | 34,522 | |
LIABILITIES | |||
Contingent consideration related to acquisitions | 0 | 0 | |
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Fair Value | |||
ASSETS | |||
Cash and cash equivalents | [1] | 0 | 0 |
Restricted cash and cash equivalents | 0 | 0 | |
Total | 0 | 0 | |
LIABILITIES | |||
Contingent consideration related to acquisitions | 0 | 0 | |
Total | 0 | 0 | |
Unobservable Inputs (Level 3) | Fair Value | |||
ASSETS | |||
Cash and cash equivalents | [1] | 0 | 0 |
Restricted cash and cash equivalents | 0 | 0 | |
Total | 0 | 0 | |
LIABILITIES | |||
Contingent consideration related to acquisitions | 1,000 | 1,000 | |
Total | $ 1,000 | $ 1,000 | |
[1] | Cash equivalents consist primarily of money market funds. |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - Inforth Technologies, LLC - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Business Acquisition [Line Items] | ||
Business combination, contingent consideration arrangements, change in range of outcomes, contingent consideration, liability, value, high | $ 4,000 | $ 4,000 |
Business acquisition, effective date of acquisition | Jan. 31, 2018 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Lessee Lease Description [Line Items] | ||
Total operating lease costs | $ 2,300 | $ 2,028 |
Operating lease, weighted average remaining lease term | 5 years 2 months 12 days | |
Operating lease, weighted average discount rate, percent | 4.20% | |
Minimum | ||
Lessee Lease Description [Line Items] | ||
Lease expiration year | 2020 | |
Maximum | ||
Lessee Lease Description [Line Items] | ||
Lease expiration year | 2026 |
Leases - Summary of Components
Leases - Summary of Components of Operating Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Leases [Abstract] | ||
Operating lease costs | $ 2,163 | |
Short-term lease costs | 26 | |
Variable lease costs | 139 | |
Less: Sublease income | (28) | |
Total operating lease costs | $ 2,300 | $ 2,028 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information Related to Operating Leases (Details) $ in Thousands | 3 Months Ended |
Jun. 30, 2019USD ($) | |
Leases [Abstract] | |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 2,617 |
Operating lease assets obtained in exchange for operating lease liabilities | $ 5,324 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Aggregate Lease Payments Operating Leases (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Leases [Abstract] | |
2020 (remaining nine months) | $ 8,759 |
2021 | 11,951 |
2022 | 11,372 |
2023 | 10,948 |
2024 | 9,044 |
Thereafter | 8,344 |
Total future lease payments | 60,418 |
Less interest | (6,393) |
Total lease liabilities | $ 54,025 |
Leases - Summary of Future Mi_2
Leases - Summary of Future Minimum Lease Payments Under Non-cancelable Operating Leases (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 10,511 |
2021 | 10,701 |
2022 | 10,161 |
2023 | 9,660 |
2024 | 7,730 |
Thereafter | 8,097 |
Total obligations and commitments | $ 56,860 |
Goodwill - Additional Informati
Goodwill - Additional Information (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 218,771 | $ 218,771 |
Intangible Assets - Intangible
Intangible Assets - Intangible Assets, Other than Capitalized Software Development Costs (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | $ 125,400 | $ 148,760 |
Accumulated amortization | (77,958) | (96,165) |
Net intangible assets | 47,442 | 52,595 |
Customer Relationships | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 32,400 | 54,450 |
Accumulated amortization | (18,690) | (39,875) |
Net intangible assets | 13,710 | 14,575 |
Computer Software, Intangible Asset | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 93,000 | 94,310 |
Accumulated amortization | (59,268) | (56,290) |
Net intangible assets | $ 33,732 | $ 38,020 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Finite Lived Intangible Assets [Line Items] | ||
Fully amortized intangible assets, retired | $ 23,360 | |
Amortization of other intangibles | 5,153 | $ 5,455 |
Customer Relationships | Operating Expense | ||
Finite Lived Intangible Assets [Line Items] | ||
Amortization of other intangibles | 865 | 1,168 |
Computer Software, Intangible Asset | Cost of Revenue | ||
Finite Lived Intangible Assets [Line Items] | ||
Amortization of other intangibles | $ 4,288 | $ 4,287 |
Intangible Assets - Estimated A
Intangible Assets - Estimated Amortization of Intangible Assets with Determinable Lives (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Finite Lived Intangible Assets [Line Items] | ||
2020 (remaining nine months) | $ 15,459 | |
2021 | 16,071 | |
2022 | 7,753 | |
2023 | 3,626 | |
2024 | 1,728 | |
2025 and beyond | 2,805 | |
Net intangible assets | 47,442 | $ 52,595 |
Operating Expense | ||
Finite Lived Intangible Assets [Line Items] | ||
2020 (remaining nine months) | 2,595 | |
2021 | 2,803 | |
2022 | 2,273 | |
2023 | 1,866 | |
2024 | 1,548 | |
2025 and beyond | 2,625 | |
Net intangible assets | 13,710 | |
Cost of Revenue | ||
Finite Lived Intangible Assets [Line Items] | ||
2020 (remaining nine months) | 12,864 | |
2021 | 13,268 | |
2022 | 5,480 | |
2023 | 1,760 | |
2024 | 180 | |
2025 and beyond | 180 | |
Net intangible assets | $ 33,732 |
Capitalized Software Costs - Ca
Capitalized Software Costs - Capitalized Software Development Costs (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Research And Development [Abstract] | ||
Gross carrying amount | $ 64,517 | $ 59,782 |
Accumulated amortization | (26,052) | (21,927) |
Net capitalized software costs | $ 38,465 | $ 37,855 |
Capitalized Software Costs - Ad
Capitalized Software Costs - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Research And Development [Abstract] | ||
Amortization of capitalized software costs | $ 4,125 | $ 2,257 |
Capitalized Software Costs - Es
Capitalized Software Costs - Estimated Amortization of Capitalized Software Costs (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Finite Lived Intangible Assets [Line Items] | ||
2020 (remaining nine months) | $ 15,459 | |
2021 | 16,071 | |
2022 | 7,753 | |
2023 | 3,626 | |
Net intangible assets | 47,442 | $ 52,595 |
Capitalized Software Costs | ||
Finite Lived Intangible Assets [Line Items] | ||
2020 (remaining nine months) | 15,800 | |
2021 | 14,000 | |
2022 | 7,200 | |
2023 | 1,465 | |
Net intangible assets | $ 38,465 |
Line of Credit - Additional Inf
Line of Credit - Additional Information (Details) - USD ($) | 3 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2019 | Mar. 29, 2018 | Jan. 04, 2016 | |
Line Of Credit Facility [Line Items] | |||||
Line of credit | $ 6,000,000 | $ 11,000,000 | |||
Remaining borrowing capacity | 294,000,000 | ||||
Interest expense | 294,000 | $ 550,000 | |||
Amortization of debt issuance costs | 177,000 | $ 177,000 | |||
Revolving Credit Facility | |||||
Line Of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 400,000,000 | $ 300,000,000 | $ 250,000,000 | ||
Additional borrowing capacity | $ 100,000,000 | ||||
Credit agreement maturity date | Mar. 29, 2023 | ||||
Letter of Credit | |||||
Line Of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 10,000,000 | ||||
Swing-Line Loans | |||||
Line Of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 10,000,000 |
Composition of Certain Financ_3
Composition of Certain Financial Statement Captions - Summary of Accounts Receivable (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Accounts Receivable Net Current [Abstract] | ||
Accounts receivable, gross | $ 86,209 | $ 93,513 |
Allowance for doubtful accounts | (4,461) | (6,054) |
Accounts receivable, net | $ 81,748 | $ 87,459 |
Composition of Certain Financ_4
Composition of Certain Financial Statement Captions - Summary of Prepaid Expense and Other Current Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Prepaid Expense And Other Assets Current [Abstract] | ||
Prepaid expenses | $ 16,028 | $ 15,548 |
Capitalized commissions costs | 5,120 | 4,816 |
Other current assets | 837 | 462 |
Prepaid expenses and other current assets | $ 21,985 | $ 20,826 |
Composition of Certain Financ_5
Composition of Certain Financial Statement Captions - Summary of Equipment and Improvements (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | $ 75,969 | $ 72,817 |
Accumulated depreciation and amortization | (53,197) | (51,413) |
Equipment and improvements, net | 22,772 | 21,404 |
Computer Equipment | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | 29,283 | 28,923 |
Internal-Use Software | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | 19,383 | 17,084 |
Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | 11,714 | 11,660 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | $ 15,589 | $ 15,150 |
Composition of Certain Financ_6
Composition of Certain Financial Statement Captions - Summary of Other Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Other Assets Noncurrent Disclosure [Abstract] | ||
Capitalized commission costs | $ 14,877 | $ 14,781 |
Deposits | 5,123 | 5,318 |
Debt issuance costs | 2,656 | 2,834 |
Other noncurrent assets | 9,950 | 9,545 |
Other assets | $ 32,606 | $ 32,478 |
Composition of Certain Financ_7
Composition of Certain Financial Statement Captions - Summary of Accrued Compensation and Related Benefits (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Employee Related Liabilities Current [Abstract] | ||
Accrued vacation | $ 10,319 | $ 9,893 |
Accrued bonus | 4,825 | 11,598 |
Accrued commissions | 1,479 | 3,418 |
Accrued payroll | 603 | 754 |
Accrued compensation and related benefits | $ 17,226 | $ 25,663 |
Composition of Certain Financ_8
Composition of Certain Financial Statement Captions - Summary of Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Other Liabilities Current [Abstract] | ||
Care services liabilities | $ 8,183 | $ 1,443 |
Sales returns reserves and other customer liabilities | 7,234 | 7,838 |
Customer credit balances and deposits | 3,865 | 3,988 |
Accrued hosting costs | 3,234 | 4,674 |
Accrued employee benefits and withholdings | 2,795 | 2,426 |
Accrued consulting and outside services | 2,635 | 3,874 |
Accrued self insurance expense | 2,604 | 2,225 |
Accrued outsourcing costs | 2,194 | 2,128 |
Accrued EDI expense | 1,944 | 2,037 |
Contingent consideration and other liabilities related to acquisitions | 1,000 | 1,000 |
Accrued royalties | 657 | 3,090 |
Sales tax payable | 641 | 509 |
Accrued legal expense | 551 | 699 |
Deferred rent and related lease obligations | 2,196 | |
Other accrued expenses | 3,875 | 2,937 |
Other current liabilities | $ 41,412 | $ 41,064 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Provision for (benefit of) income taxes | $ (380) | $ 442 | |
Effective tax rate (benefit) and expenses (as a percentage) | (44.00%) | 14.30% | |
Liability for unrecognized tax benefits | $ 3,206 | $ 2,894 | |
Period within which the company does not anticipate total unrecognized tax benefits to change | within the next twelve months |
Earnings Per Share - Weighted A
Earnings Per Share - Weighted Average Shares Outstanding for Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Earnings per share — Basic: | ||
Net income | $ 1,244 | $ 2,648 |
Weighted-average shares outstanding — Basic | 65,015 | 64,019 |
Net income per common share — Basic | $ 0.02 | $ 0.04 |
Earnings per share — Diluted: | ||
Net income | $ 1,244 | $ 2,648 |
Weighted-average shares outstanding — Basic | 65,015 | 64,019 |
Effect of potentially dilutive securities | 338 | 35 |
Weighted-average shares outstanding — Diluted | 65,353 | 64,054 |
Net income per common share — Diluted | $ 0.02 | $ 0.04 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Details) - shares | 3 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Employee Stock Options | ||
Options excluded from the computation of diluted net income per share | 639 | 2,853 |
Share Based Awards - Additional
Share Based Awards - Additional Information (Details) - USD ($) | Oct. 23, 2018 | Dec. 29, 2016 | Aug. 11, 2014 | Jun. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2019 | Aug. 31, 2015 | Oct. 31, 2005 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Outstanding stock options | 3,057,125 | 3,166,525 | ||||||
Fair value of options vested | $ 1,494,000 | |||||||
Total share-based compensation | $ 4,891,000 | $ 3,116,000 | ||||||
Percentage of performance stock units tied to 3-year total shareholder return | 34.00% | |||||||
Percentage of performance stock units tied to fiscal year 2021 revenue | 33.00% | |||||||
Percentage performance stock units tied to fiscal year 2021 adjusted earnings per share goals | 33.00% | |||||||
Employee Stock Options | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Outstanding stock options | 2,792,705 | |||||||
Total unrecognized compensation costs | $ 7,072,000 | |||||||
Stock option recognized over weighted average period (in years) | 2 years 1 month 6 days | |||||||
Restricted Stock | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 1,946,725 | 1,715,958 | ||||||
Stock option recognized over weighted average period (in years) | 2 years 1 month 6 days | |||||||
Total share-based compensation | $ 3,296,000 | 1,920,000 | ||||||
Total unrecognized compensation costs | $ 28,350,000 | |||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 623,705 | |||||||
Restricted Stock | Minimum | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Vesting period | 1 year | |||||||
Restricted Stock | Maximum | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Vesting period | 4 years | |||||||
Performance Shares | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Common stock reserved | 123,082 | |||||||
Total share-based compensation | $ 61,000 | |||||||
Vesting period | 4 years | |||||||
Weighted-average grant date fair value | $ 10.63 | |||||||
Performance Stock Unit Awards | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Total share-based compensation | $ 438,000 | |||||||
Weighted-average grant date fair value | $ 17.84 | |||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 248,140 | |||||||
Percentage of shares issued, minimum | 50.00% | |||||||
Percentage of shares issued, maximum | 200.00% | |||||||
2005 Employee Stock Option and Incentive Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Common stock reserved for issuance | 4,800,000 | |||||||
Outstanding stock options | 264,420 | |||||||
2005 Employee Stock Option and Incentive Plan | Employee Stock Options | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Expiration period (in years) | 10 years | |||||||
Share-based compensation award plan , expiration date | May 25, 2015 | |||||||
2015 Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Common stock reserved for issuance | 6,000,000 | |||||||
Common stock reserved | 11,500,000 | |||||||
Shares available for future grant | 5,020,749 | |||||||
2015 Plan | Employee Stock Options | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Expiration period (in years) | 10 years | |||||||
2015 Plan | Performance Shares | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 46,375 | |||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 46,375 | |||||||
Employee Share Purchase Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Common stock reserved for issuance | 4,000,000 | 3,502,513 | ||||||
Total share-based compensation | $ 122,000 | $ 132,000 | ||||||
Maximum percentage of gross payroll deduction | 15.00% | |||||||
Purchase price as a percentage of fair market value | 90.00% | |||||||
Maximum shares purchase in a single transaction | 1,500 | |||||||
Maximum amount purchased in a calendar year | $ 25,000 | |||||||
Shares issued | 497,487 |
Share Based Awards - Summary of
Share Based Awards - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Number of Shares, Outstanding, Beginning | 3,166,525 | |
Number of Shares, Exercised | (36,300) | |
Number of Shares, Forfeited/Canceled | (38,700) | |
Number of Shares, Expired | (34,400) | |
Number of Shares, Outstanding, Ending | 3,057,125 | 3,166,525 |
Vested and expected to vest, June 30, 2019 | 2,801,387 | |
Exercisable, June 30, 2019 | 1,491,953 | |
Weighted- Average Exercise Price per Share | ||
Weighted-Average Exercise Price per Share, Outstanding, Beginning | $ 15.36 | |
Weighted-Average Exercise Price per Share, Exercised | 12.52 | |
Weighted-Average Exercise Price per Share, Forfeited/Cancelled | 27.67 | |
Weighted-Average Exercise Price per Share, Expired | 43.04 | |
Weighted-Average Exercise Price per Share, Outstanding, Ending | 14.88 | $ 15.36 |
Vested and expected to vest, June 30, 2019 (in dollars per share) | 14.90 | |
Exercisable, June 30, 2019 (in dollars per share) | $ 15.06 | |
Weighted- Average Remaining Contractual Life (years) | ||
Outstanding | 5 years 4 months 24 days | 5 years 6 months |
Exercised | 3 years 8 months 12 days | |
Forfeited/Canceled | 1 year 7 months 6 days | |
Vested and expected to vest, June 30, 2019 | 5 years 3 months 18 days | |
Exercisable, June 30, 2019 | 4 years 9 months 18 days | |
Aggregate Intrinsic Value | ||
Outstanding | $ 15,915 | $ 7,040 |
Exercised | 85 | |
Vested and expected to vest, June 30, 2019 | 14,575 | |
Exercisable, June 30, 2019 | $ 7,718 |
Share Based Awards - Summary _2
Share Based Awards - Summary of Non-vested Stock Option (Details) | 3 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward] | |
Non-Vested Number of Shares, Beginning Balance | shares | 1,845,855 |
Non-Vested Number of Shares Vested | shares | (276,283) |
Non-Vested Number of Shares Forfeited | shares | (4,400) |
Non-Vested Number of Shares, Ending Balance | shares | 1,565,172 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Weighted-Average Grant-Date Fair Value per Share, Nonvested, Beginning | $ / shares | $ 5.52 |
Weighted-Average Grant-Date Fair Value per Share, Vested | $ / shares | 5.41 |
Weighted-Average Grant-Date Fair Value per Share, Forfeited | $ / shares | 6.62 |
Weighted-Average Grant-Date Fair Value per Share, Nonvested, Ending | $ / shares | $ 5.54 |
Share Based Awards - Summary _3
Share Based Awards - Summary of Restricted Stock Awards Activity (Details) - Restricted Stock | 3 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares Outstanding Beginning Balance | shares | 1,715,958 |
Granted | shares | 623,705 |
Vested | shares | (373,038) |
Canceled | shares | (19,900) |
Number of Shares Outstanding Ending Balance | shares | 1,946,725 |
Weighted Average Grant-Date Fair Value per Share, Beginning of Period | $ / shares | $ 16.29 |
Weighted Average Grant-Date Fair Value per Share, Granted | $ / shares | 19.25 |
Weighted Average Grant-Date Fair Value per Share, Vested | $ / shares | 15.75 |
Weighted Average Grant-Date Fair Value per Share, Canceled | $ / shares | 16.21 |
Weighted Average Grant-Date Fair Value per Share, End of Period | $ / shares | $ 17.35 |
Commitments, Guarantees and C_2
Commitments, Guarantees and Contingencies - Additional Information (Details) | 3 Months Ended |
Jun. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Applicable program documentation period | 365 days |
Restructuring Plan - Additional
Restructuring Plan - Additional Information (Details) $ in Thousands | 3 Months Ended |
Jun. 30, 2019USD ($) | |
Restructuring Cost And Reserve [Line Items] | |
Restructuring costs | $ 1,707 |
Restructuring costs, liability | 1,707 |
Property Plant and Equipment | |
Restructuring Cost And Reserve [Line Items] | |
Other asset impairment charges | 143 |
Lease Right of Use Assets | |
Restructuring Cost And Reserve [Line Items] | |
Other asset impairment charges | $ 346 |
Research and Development Costs | |
Restructuring Cost And Reserve [Line Items] | |
Restructuring plan, percentage of number of positions eliminated | 4.00% |