Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Sep. 30, 2016 | Nov. 03, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | HENRY JACK & ASSOCIATES INC | |
Entity Central Index Key | 779,152 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 78,102,128 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 84,519 | $ 70,310 |
Receivables, net | 148,428 | 253,923 |
Income tax receivable | 2,989 | 15,636 |
Prepaid expenses and other | 61,656 | 56,588 |
Deferred costs | 45,308 | 35,472 |
Total current assets | 342,900 | 431,929 |
PROPERTY AND EQUIPMENT, net | 293,237 | 298,564 |
OTHER ASSETS: | ||
Deferred Costs, Noncurrent | 102,565 | 99,799 |
Computer software, net of amortization | 227,596 | 222,115 |
Other non-current assets | 75,104 | 70,461 |
Other intangible assets, net of amortization | 37,187 | 35,706 |
Goodwill | 552,853 | 552,853 |
Total other assets | 1,096,115 | 1,085,019 |
Total assets | 1,732,252 | 1,815,512 |
CURRENT LIABILITIES: | ||
Accounts payable | 7,092 | 14,596 |
Accrued expenses | 69,821 | 85,411 |
Accrued income taxes | 6,547 | 0 |
Notes payable and current maturities of long term debt | 0 | 200 |
Deferred revenues | 295,911 | 343,525 |
Total current liabilities | 379,371 | 443,732 |
LONG TERM LIABILITIES: | ||
Non-current deferred revenues | 173,957 | 177,529 |
Non-current deferred income tax liability | 196,384 | 188,601 |
Other long-term liabilities | 9,951 | 9,440 |
Total long term liabilities | 380,292 | 375,570 |
Total liabilities | 759,663 | 819,302 |
STOCKHOLDERS' EQUITY | ||
Preferred stock - $1 par value; 500,000 shares authorized, none issued | 0 | 0 |
Common stock - $0.01 par value; 250,000,000 shares authorized; 103,004,483 shares issued at September 30, 2016; 102,903,971 shares issued at June 30, 2016 | 1,030 | 1,029 |
Additional paid-in capital | 437,453 | 440,123 |
Retained earnings | 1,471,579 | 1,431,192 |
Less treasury stock at cost; 24,908,692 shares at September 30, 2016; 24,208,517 shares at June 30, 2016 | (937,473) | (876,134) |
Total stockholders' equity | 972,589 | 996,210 |
Total liabilities and equity | 1,732,252 | 1,815,512 |
Customer Relationships [Member] | ||
OTHER ASSETS: | ||
Customer Relationships, Net of Amortization | $ 100,810 | $ 104,085 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS PARENTHETICAL - $ / shares | Sep. 30, 2016 | Jun. 30, 2016 |
Preferred stock, par value | $ 1 | $ 1 |
Preferred stock, authorized shares | 500,000 | 500,000 |
Preferred stock, issued shares | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 250,000,000 | 250,000,000 |
Common stock, issued shares | 103,004,483 | 102,903,971 |
Treasury Stock, Shares | 24,908,692 | 24,208,517 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
REVENUE | ||
License | $ 694 | $ 1,604 |
Support and service | 333,046 | 307,746 |
Hardware | 11,288 | 12,268 |
Total revenue | 345,028 | 321,618 |
COST OF SALES | ||
Cost of license | 252 | 181 |
Cost of support and service | 185,892 | 174,714 |
Cost of hardware | 8,619 | 8,768 |
Total cost of sales | 194,763 | 183,663 |
GROSS PROFIT | 150,265 | 137,955 |
OPERATING EXPENSES | ||
Selling and marketing | 22,127 | 21,751 |
Research and development | 19,739 | 18,554 |
General and administrative | 16,982 | 17,113 |
Total operating expenses | 58,848 | 57,418 |
OPERATING INCOME | 91,417 | 80,537 |
INTEREST INCOME (EXPENSE) | ||
Interest income | 108 | 113 |
Interest expense | (142) | (220) |
Total interest income (expense) | (34) | (107) |
INCOME BEFORE INCOME TAXES | 91,383 | 80,430 |
PROVISION FOR INCOME TAXES | 29,139 | 29,064 |
NET INCOME | $ 62,244 | $ 51,366 |
Earnings Per Share | ||
Basic earnings per share | $ 0.79 | $ 0.64 |
Basic weighted average shares outstanding | 78,413 | 80,545 |
Diluted earnings per share | $ 0.79 | $ 0.64 |
Diluted weighted average shares outstanding | 78,844 | 80,735 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net Income | $ 62,244 | $ 51,366 |
Adjustments to reconcile net income to net cash from operating activities: | ||
Depreciation | 12,390 | 12,993 |
Amortization | 21,746 | 18,211 |
Change in deferred income taxes | 7,783 | 1,728 |
Expense for stock-based compensation | 1,197 | 1,970 |
Gain/loss on disposal of assets | 194 | 86 |
Changes in operating assets and liabilities: | ||
Change in receivables | 105,495 | 97,926 |
Change in prepaid expenses, deferred costs and other | (22,313) | (20,167) |
Change in accounts payable | (7,504) | (1,817) |
Change in accrued expenses | (16,362) | (11,453) |
Change in income taxes | 19,687 | 15,669 |
Change in deferred revenues | (51,186) | (39,702) |
Net cash from operating activities | 133,371 | 126,810 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Payment for acquisitions, net of cash acquired | 0 | (8,275) |
Capital expenditures | (8,113) | (12,908) |
Proceeds from sale of assets | 777 | 38 |
Internal use software | (4,328) | (4,402) |
Computer software developed | (20,237) | (23,015) |
Net cash from investing activities | (31,901) | (48,562) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Repayments on credit facilities | (200) | (51,590) |
Purchase of treasury stock | (61,338) | (69,242) |
Dividends paid | (21,857) | (20,200) |
Proceeds from issuance of common stock upon exercise of stock options | 1 | 1 |
Minimum tax withholding payments related to option exercises | (5,337) | (2,440) |
Proceeds from sale of common stock, net | 1,470 | 1,395 |
Net cash from financing activities | (87,261) | (142,076) |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 14,209 | (63,828) |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 70,310 | 148,313 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | $ 84,519 | $ 84,485 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies [Text Block] | NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of the Company Jack Henry & Associates, Inc. and subsidiaries (“JHA” or the “Company”) is a provider of integrated computer systems and services that has developed and acquired a number of banking and credit union software systems. The Company's revenues are predominately earned by marketing those systems to financial institutions nationwide together with computer equipment (hardware), by providing the conversion and implementation services for financial institutions to utilize JHA systems, and by providing other related services. JHA also provides continuing support and services to customers using in-house or outsourced systems. Consolidation The condensed consolidated financial statements include the accounts of JHA and all of its subsidiaries, which are wholly-owned, and all intercompany accounts and transactions have been eliminated. Comprehensive Income Comprehensive income for the three months ended September 30, 2016 and 2015 equals the Company’s net income. Property and Equipment and Intangible Assets Property and equipment is stated at cost and depreciated using the straight-line method over the estimated useful lives of the assets. Accumulated depreciation at September 30, 2016 totaled $338,506 and at June 30, 2016 totaled $328,159 . Intangible assets consist of goodwill, customer relationships, computer software, and trade names acquired in business acquisitions in addition to internally developed computer software. The amounts are amortized, with the exception of those with an indefinite life (such as goodwill), over an estimated economic benefit period, generally three to twenty years. Accumulated amortization of intangible assets totaled $457,496 and $435,871 at September 30, 2016 and June 30, 2016 , respectively. Common Stock The Board of Directors has authorized the Company to repurchase shares of its common stock. Under this authorization, the Company may finance its share repurchases with available cash reserves or short-term borrowings on its existing credit facilities. The share repurchase program does not include specific price targets or timetables and may be suspended at any time. At September 30, 2016 , there were 24,909 shares in treasury stock and the Company had the remaining authority to repurchase up to 5,082 additional shares. The total cost of treasury shares at September 30, 2016 is $937,473 . During the first three months of fiscal 2017 , the Company repurchased 700 treasury shares for $61,338 . At June 30, 2016 , there were 24,209 shares in treasury stock and the Company had authority to repurchase up to 5,782 additional shares. Dividends declared per share were $0.28 and $0.25 , for the three months ended September 30, 2016 and 2015 , respectively. Interim Financial Statements The accompanying condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q of the Securities and Exchange Commission and in accordance with accounting principles generally accepted in the United States of America applicable to interim condensed consolidated financial statements, and do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete consolidated financial statements. The condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes, which are included in its Annual Report on Form 10-K (“Form 10-K”) for the fiscal year ended June 30, 2016 . The accounting policies followed by the Company are set forth in Note 1 to the Company's consolidated financial statements included in its Form 10-K for the fiscal year ended June 30, 2016 . In the opinion of the management of the Company, the accompanying unaudited condensed consolidated financial statements reflect all adjustments necessary (consisting of normal recurring adjustments) to state fairly the financial position of the Company as of September 30, 2016 , the results of its operations for the three months ending September 30, 2016 and 2015 , and its cash flows for the three months ending September 30, 2016 and 2015 . The condensed consolidated balance sheet at June 30, 2016 was derived from audited annual financial statements, but does not contain all of the footnote disclosures from the annual financial statements. The results of operations for the period ended September 30, 2016 are not necessarily indicative of the results to be expected for the entire year. Litigation We are subject to various routine legal proceedings and claims, including the following: In 2013 a patent infringement lawsuit entitled DataTreasury Corporation v. Jack Henry & Associates, Inc. et. al . was filed against the Company, several subsidiaries and a number of customer financial institutions in the US District Court for the Eastern District of Texas. The complaint seeks damages, interest, injunctive relief, and attorneys' fees for the alleged infringement of two patents, as well as trebling of damage awards for alleged willful infringement. We believe we have strong defenses and have defended the lawsuit vigorously. A part of that defense has been the filing of challenges to the validity of plaintiff's patents in post-grant proceedings at the Patent Trial and Appeal Board ("PTAB") of the U.S. Patent and Trademark Office. In 2015, the PTAB issued decisions holding that all relevant claims of the plaintiff's patents are unpatentable and invalid. DataTreasury's appeal of the PTAB decisions to the U.S. Court of Appeals for the Federal Circuit was unsuccessful pursuant to decisions rendered on October 13, 2016. DataTreasury has the right to appeal these decisions. At this stage, we cannot make a reasonable estimate of possible loss or range of loss, if any, arising from this lawsuit. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments Fair Value of Financial Instruments (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | FAIR VALUE OF FINANCIAL INSTRUMENTS For cash equivalents, amounts receivable or payable and short-term borrowings, fair values approximate carrying value, based on the short-term nature of the assets and liabilities. The Company's estimates of the fair value for financial assets and financial liabilities are based on the framework established in the fair value accounting guidance. The framework is based on the inputs used in valuation, gives the highest priority to quoted prices in active markets, and requires that observable inputs be used in the valuations when available. The three levels of the hierarchy are as follows: Level 1: inputs to the valuation are quoted prices in an active market for identical assets Level 2: inputs to the valuation include quoted prices for similar assets in active markets that are observable either directly or indirectly Level 3: valuation is based on significant inputs that are unobservable in the market and the Company's own estimates of assumptions that we believe market participants would use in pricing the asset Fair value of financial assets, included in cash and cash equivalents, and financial liabilities is as follows: Estimated Fair Value Measurements Total Fair Level 1 Level 2 Level 3 Value September 30, 2016 Financial Assets: Money market funds $ 50,870 $ — $ — $ 50,870 Certificate of Deposit $ — $ 1,000 $ — $ 1,000 June 30, 2016 Financial Assets: Money market funds $ 35,782 $ — $ — $ 35,782 Certificate of Deposit $ — $ 1,000 $ — $ 1,000 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements Recent Accounting Pronouncements (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Accounting Pronouncements, Policy [Policy Text Block] | RECENT ACCOUNTING PRONOUNCEMENTS The Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers in May 2014. The new standard will supersede much of the existing authoritative literature for revenue recognition. In August 2015, the FASB also issued ASU No. 2015-14 which deferred the effective date of the new standard by one year. The standard and related amendments will be effective for the Company for its annual reporting period beginning July 1, 2018, including interim periods within that reporting period. Along with the deferral of the effective date, ASU No. 2015-14 allows early application as of the original effective date. Entities are allowed to transition to the new standard by either recasting prior periods or recognizing the cumulative effect as of the beginning of the period of adoption. In March 2016, the FASB issued ASU No. 2016-08, which addresses principal versus agent considerations under the new revenue standard. ASU No. 2016-10 and ASU No. 2016-12 issued in April and May 2016 also address specific aspects of the new standard. The Company is currently evaluating the newly issued guidance, including which transition approach will be applied and the estimated impact it will have on our consolidated financial statements. We expect the adoption of this standard to have a significant impact on our revenue recognition currently subject to ASC Topic 985. In April 2015, the FASB issued ASU No. 2015-03, Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. This ASU requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of the related debt liability (same treatment as debt discounts). ASU No. 2015-03 is effective for the Company in its fiscal year ended June 30, 2017. In August 2015, the FASB issued ASU No. 2015-15, which clarified that for line-of-credit arrangements, debt issuance costs may continue to be presented as an asset. The Company currently does not have any debt that would fall into the scope of ASU 2015-03, and all of our debt issuance costs relate to our revolving credit facility. Therefore, this currently has no impact on our financial statements. ASU No. 2015-17 was issued by the FASB in November 2015 as part of the Simplification Initiative. This ASU eliminates the requirement to separate deferred income tax liabilities and assets into non-current and current amounts. ASU No. 2015-17 is effective for the Company for its annual reporting period beginning July 1, 2017. In the third quarter of fiscal 2016, management elected to early adopt and all deferred income tax assets and liabilities are reported as non-current. The FASB issued ASU No. 2016-02, Leases, in February 2016. This ASU aims to increase transparency and comparability among organizations by recognizing lease assets and liabilities on the balance sheet and requiring disclosure of key information regarding leasing arrangements. ASU No. 2016-02 will be effective for Jack Henry's annual reporting period beginning July 1, 2019 and early adoption is permitted. The Company is currently assessing the impact this new standard will have on our consolidated financial statements. The FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting, in March 2016. The new standard is intended to simplify several aspects of the accounting and presentation of share-based payment transactions, including reporting of excess tax benefits and shortfalls, statutory minimum withholding considerations, and classification within the statement of cash flows. The standard allows a one-time accounting policy election to either account for forfeitures as they occur or continue to estimate them. ASU No. 2016-09 is effective for the Company’s annual reporting period beginning July 1, 2017. Management elected to early adopt this standard as of July 1, 2016 and has elected to continue our current practice of estimating forfeitures. The adoption of this standard had the following impacts on our condensed consolidated financial statements. • Condensed consolidated statements of income- The new standard requires that the tax effects of share-based compensation be recognized in the provision for income taxes. Previously, these amounts were recognized in additional paid-in capital. Net tax benefits related to share-based compensation awards of $2,271 for the quarter ended September 30, 2016 were recognized as reductions of income tax expense. These tax benefits reduced our effective income tax rate 2.48% , and caused an increase in basic and diluted earnings per share of $0.03 for the quarter ended September 30, 2016 . In addition, in calculating potential common shares used to determine diluted earnings per share, generally accepted accounting principles require us to use the treasury stock method. The new standard requires that assumed proceeds under the treasury stock method be modified to exclude the amount of excess tax benefits that would have been recognized in additional paid-in capital. These changes were applied on a prospective basis. • Condensed consolidated statements of cash flows- The Company elected to apply the presentation requirements for cash flows related to excess tax benefits retrospectively to all periods presented which resulted in an increase to both net cash provided by operations and net cash used in financing of $114 for the three months ended September 30, 2015 . The presentation requirements for cash flows related to employee taxes paid for withheld shares had no impact to any of the periods presented on our consolidated cash flows statements since such cash flows have historically been presented as a financing activity. ASU 2016-15 issued by the FASB in August 2016 clarifies cash flow classification of eight specific cash flow issues and is effective for our annual reporting period beginning July 1, 2018. Early adoption is permitted. We don't expect any significant impact to our financial statements as a result of this standard. |
Debt (Text Block)
Debt (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Debt and Capital Leases Disclosures [Text Block] | DEBT Capital leases The Company had previously entered into various capital lease obligations for the use of certain computer equipment, but has no capital lease obligations at September 30, 2016 . At June 30, 2016 , capital lease obligations totaled $200 . Revolving credit facility The revolving credit facility allows for borrowings of up to $300,000 , which may be increased by the Company at any time until maturity to $600,000 . The credit facility bears interest at a variable rate equal to (a) a rate based on LIBOR or (b) an alternate base rate (the highest of (i) the Prime Rate for such day, (ii) the sum of the Federal Funds Effective Rate for such day plus 0.50% and (iii) the Eurocurrency Rate for a one month Interest Period on such day for dollars plus 1.0% ), plus an applicable percentage in each case determined by the Company's leverage ratio. The credit facility is guaranteed by certain subsidiaries of the Company. The credit facility is subject to various financial covenants that require the Company to maintain certain financial ratios as defined in the agreement. As of September 30, 2016 , the Company was in compliance with all such covenants. The revolving loan terminates February 20, 2020 and at September 30, 2016 , there was no outstanding revolving loan balance. Other lines of credit The Company has an unsecured bank credit line which provides for funding of up to $5,000 and bears interest at the prime rate less 1% . The credit line expires April 30, 2017 . At September 30, 2016 , no amount was outstanding. Interest The Company paid interest of $96 and $250 during the three months ended September 30, 2016 and 2015 , respectively. |
Income Taxes (Text Block)
Income Taxes (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | INCOME TAXES The effective tax rate was 31.9% of income before income taxes for the quarter ended September 30, 2016 , compared to 36.1% for the same quarter in fiscal 2016 . The decrease in the effective tax rate was primarily due to the adoption of ASU 2016-09 during the quarter (see Note 3), as well as the recognition of a tax benefit from the federal Research and Experimentation Credit ("R&E Credit"), which was not available during the first quarter of fiscal 2016 . The Company paid income taxes, net of refunds, of $1,446 and $11,666 in the three months ended September 30, 2016 and 2015 , respectively. At September 30, 2016 , the Company had $7,789 of gross unrecognized tax benefits, $6,283 of which, if recognized, would affect our effective tax rate. We had accrued interest and penalties of $1,304 and $1,233 related to uncertain tax positions at September 30, 2016 and 2015 , respectively. During the period ended June 30, 2016, the Internal Revenue Service commenced an examination of the Company’s U.S. federal income tax returns for the fiscal years ended June 30, 2014 and 2015. The examination is ongoing. At this time, it is anticipated that the examination will not result in a material change to the Company’s financial statements. The U.S. federal and state income tax returns for fiscal 2013 and all subsequent years remain subject to examination as of September 30, 2016 under statute of limitations rules. We anticipate potential changes due to lapsing statutes of limitations and examination closures could reduce the unrecognized tax benefits balance by $1,500 - $3,000 within twelve months of September 30, 2016 . |
Stock Based Compensation (Text
Stock Based Compensation (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | STOCK-BASED COMPENSATION Our operating income for the three months ended September 30, 2016 and 2015 included $1,197 and $1,970 of stock-based compensation costs, respectively. 2015 Equity Incentive Plan and 2005 Non-Qualified Stock Option Plan On November 10, 2015 , the Company adopted the 2015 Equity Incentive Plan ("2015 EIP") for its employees and non-employee directors. The plan allows for grants of stock options, stock appreciation rights, restricted stock shares or units, and performance shares or units. The maximum number of shares authorized for issuance under the plan is 3,000 . For stock options, terms and vesting periods of the options are determined by the Compensation Committee of the Board of Directors when granted. The option period must expire not more than ten years from the option grant date. The options granted under this plan are exercisable beginning three years after the grant date at an exercise price equal to 100% of the fair market value of the stock at the grant date. The options terminate upon surrender of the option, upon the expiration of one year following notification of a deceased optionee, or 10 years after grant. The Company previously issued options to outside directors under the 2005 Non-Qualified Stock Option Plan (“2005 NSOP”). No additional stock options may be issued under this plan. A summary of option plan activity under these plans is as follows: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Outstanding July 1, 2016 50 22.14 Granted 32 87.27 Forfeited — — Exercised — — Outstanding September 30, 2016 82 $ 47.41 $ 3,170 Vested and Expected to Vest September 30, 2016 82 $ 47.41 $ 3,170 Exercisable September 30, 2016 50 $ 22.14 $ 3,170 The Company utilized a Black-Scholes option pricing model to estimate fair value of the stock option grants at the grant date. Assumptions such as expected life, volatility, risk-free interest rate, and dividend yield impact the fair value estimate. These assumptions are subjective and generally require significant analysis and judgment to develop. The risk free interest rate used in our estimate was determined from external data, while volatility, expected life, and dividend yield assumptions were derived from our historical experience with share-based payment arrangements. The appropriate weight to place on historical experience is a matter of judgment, based on relevant facts and circumstances. The assumptions used in estimating fair value and resulting compensation expenses at the grant dates are as follows: Expected Life (years) 6.50 Volatility 19.60 % Risk free interest rate 1.24 % Dividend yield 1.28 % At September 30, 2016 , there was $458 of compensation cost yet to be recognized related to outstanding options. The weighted average remaining contractual term on options currently exercisable as of September 30, 2016 was 2.75 years . 2015 Equity Incentive Plan and 2005 Restricted Stock Plan The Company issues both share awards and unit awards under the 2015 EIP, and previously issued these through the 2005 Restricted Stock Plan. The following table summarizes non-vested share awards as of September 30, 2016 , as well as activity for the three months then ended: Share awards Shares Weighted Average Grant Date Fair Value Outstanding July 1, 2016 58 44.95 Granted 17 87.27 Vested (34 ) 35.25 Forfeited (1 ) 65.52 Outstanding September 30, 2016 40 $ 70.85 At September 30, 2016 , there was $1,975 of compensation expense that has yet to be recognized related to non-vested restricted stock share awards, which will be recognized over a weighted-average period of 1.55 years . The following table summarizes non-vested unit awards as of September 30, 2016 , as well as activity for the three months then ended: Unit awards Shares Weighted Average Grant Date Fair Value Aggregate Intrinsic Value Outstanding July 1, 2016 429 58.06 Granted 94 75.28 Vested (126 ) 48.19 Forfeited (24 ) 48.19 Outstanding September 30, 2016 373 $ 66.35 $ 31,914 The Company utilized a Monte Carlo pricing model customized to the specific provisions of the Company’s plan design to value unit awards subject to performance targets on the grant dates. The weighted average assumptions used in this model to estimate fair value at the measurement date and resulting values for 85 unit awards granted in fiscal 2017 are as follows: Volatility 16.00 % Risk free interest rate 0.93 % Dividend yield 1.30 % Stock Beta 0.684 The remaining 9 unit awards granted are not subject to performance targets, and therefore the estimated fair value at measurement date is valued in the same manner as restricted stock award grants. At September 30, 2016 , there was $14,901 of compensation expense that has yet to be recognized related to non-vested restricted stock unit awards, which will be recognized over a weighted-average period of 1.71 years . |
Earnings Per Share Earnings Per
Earnings Per Share Earnings Per Share (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | EARNINGS PER SHARE The following table reflects the reconciliation between basic and diluted earnings per share. Three Months Ended September 30, 2016 2015 Net Income $ 62,244 $ 51,366 Common share information: Weighted average shares outstanding for basic earnings per share 78,413 80,545 Dilutive effect of stock options and restricted stock 431 190 Weighted average shares outstanding for diluted earnings per share 78,844 80,735 Basic earnings per share $ 0.79 $ 0.64 Diluted earnings per share $ 0.79 $ 0.64 Per share information is based on the weighted average number of common shares outstanding for the three months ended September 30, 2016 and 2015 . Stock options and restricted stock have been included in the calculation of earnings per share to the extent they are dilutive. There were 32 anti-dilutive stock options and restricted stock shares excluded for the three month period ended September 30, 2016 . 26 shares were excluded for the three month period ended September 30, 2015 . |
Business Acquisitions (Text Blo
Business Acquisitions (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |
Business Combination Disclosure [Text Block] | BUSINESS ACQUISITION Bayside Business Solutions, Inc. Effective July 1, 2015 , the Company acquired all of the equity interests of Bayside Business Solutions, an Alabama-based company that provides technology solutions and payment processing services primarily for the financial services industry, for $10,000 paid in cash. This acquisition was funded using existing operating cash. The acquisition of Bayside Business Solutions expanded the Company’s presence in commercial lending within the industry. Management has completed a purchase price allocation of Bayside Business Solutions and its assessment of the fair value of acquired assets and liabilities assumed. The recognized amounts of identifiable assets acquired and liabilities assumed, based upon their fair values as of July 1, 2015 are set forth below: Current assets $ 1,922 Long-term assets 253 Identifiable intangible assets 5,005 Total liabilities assumed (3,279 ) Total identifiable net assets 3,901 Goodwill 6,099 Net assets acquired $ 10,000 The goodwill of $6,099 arising from this acquisition consists largely of the growth potential, synergies and economies of scale expected from combining the operations of the Company with those of Bayside Business Solutions, together with the value of Bayside Business Solutions’ assembled workforce. Goodwill from this acquisition, none of which is expected to be deductible for income tax purposes, has been allocated in our Bank Systems and Services segment. Identifiable intangible assets from this acquisition consist of customer relationships of $3,402 , $659 of computer software and other intangible assets of $944 . The weighted average amortization period for acquired customer relationships, acquired computer software, and other intangible assets is 15 years , 5 years , and 20 years , respectively. Current assets were inclusive of cash acquired of $1,725 . The fair value of current assets acquired included accounts receivable of $178 . The gross amount of receivables was $178 , none of which was expected to be uncollectible. During fiscal year 2016, the Company incurred $55 in costs related to the acquisition of Bayside Business Solutions. These costs included fees for legal, valuation and other fees. These costs were expensed as incurred and were included within general and administrative expenses. The results of Bayside Business Solutions’ operations included in the Company’s consolidated statements of income for the three months ended September 30, 2016 included revenue of $1,470 and after-tax net income of $248 . For the three months ended September 30, 2015 , Bayside Business Solutions' contributed $742 to revenue, with an after-tax net loss of $354 . The impact of this acquisition was considered immaterial to both the current and prior periods of our consolidated financial statements and pro forma financial information has not been provided. |
Business Segment Information (T
Business Segment Information (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | SEGMENT INFORMATION The Company is a provider of integrated computer systems that perform data processing (available for in-house installations or outsourced services) for banks and credit unions. The Company’s operations are classified into two reportable segments: bank systems and services (“Bank”) and credit union systems and services (“Credit Union”). The Company evaluates the performance of its segments and allocates resources to them based on various factors, including prospects for growth, return on investment, and return on revenue. Three Months Ended September 30, 2016 Bank Credit Union Total REVENUE License $ 455 $ 239 $ 694 Support and service 250,322 82,724 333,046 Hardware 7,045 4,243 11,288 Total revenue 257,822 87,206 345,028 COST OF SALES Cost of license 193 59 252 Cost of support and service 142,812 43,080 185,892 Cost of hardware 5,327 3,292 8,619 Total cost of sales 148,332 46,431 194,763 GROSS PROFIT $ 109,490 $ 40,775 150,265 OPERATING EXPENSES 58,848 INTEREST INCOME (EXPENSE) (34 ) INCOME BEFORE INCOME TAXES $ 91,383 Three Months Ended September 30, 2015 Bank Credit Union Total REVENUE License $ 1,247 $ 357 $ 1,604 Support and service 227,622 80,124 307,746 Hardware 7,844 4,425 12,268 Total revenue 236,713 84,906 321,618 COST OF SALES Cost of license 113 68 181 Cost of support and service 135,366 39,348 174,714 Cost of hardware 5,553 3,215 8,768 Total cost of sales 141,032 42,631 183,663 GROSS PROFIT $ 95,681 $ 42,275 137,955 OPERATING EXPENSES 57,418 INTEREST INCOME (EXPENSE) (107 ) INCOME BEFORE INCOME TAXES $ 80,430 The Company has not disclosed any additional asset information by segment, as the information is not produced internally and its preparation is impracticable. |
Subsequent Events Subsequent Ev
Subsequent Events Subsequent Events (Text Block) | 3 Months Ended |
Sep. 30, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | SUBSEQUENT EVENTS None. |
Nature of Operations and Summ16
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Sep. 30, 2016 | |
Accounting Policies [Abstract] | |
Consolidation | Consolidation The condensed consolidated financial statements include the accounts of JHA and all of its subsidiaries, which are wholly-owned, and all intercompany accounts and transactions have been eliminated. |
Property, Plant and Equipment, Impairment [Policy Text Block] | Property and Equipment and Intangible Assets Property and equipment is stated at cost and depreciated using the straight-line method over the estimated useful lives of the assets. |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Intangible assets consist of goodwill, customer relationships, computer software, and trade names acquired in business acquisitions in addition to internally developed computer software. The amounts are amortized, with the exception of those with an indefinite life (such as goodwill), over an estimated economic benefit period, generally three to twenty years. |
Common Stock | Common Stock The Board of Directors has authorized the Company to repurchase shares of its common stock. Under this authorization, the Company may finance its share repurchases with available cash reserves or short-term borrowings on its existing credit facilities. The share repurchase program does not include specific price targets or timetables and may be suspended at any time. |
Fair Value of Financial Instr17
Fair Value of Financial Instruments Fair Value of Financial Instruments (Policies) | 3 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments, Policy [Policy Text Block] | For cash equivalents, amounts receivable or payable and short-term borrowings, fair values approximate carrying value, based on the short-term nature of the assets and liabilities. The Company's estimates of the fair value for financial assets and financial liabilities are based on the framework established in the fair value accounting guidance. The framework is based on the inputs used in valuation, gives the highest priority to quoted prices in active markets, and requires that observable inputs be used in the valuations when available. The three levels of the hierarchy are as follows: Level 1: inputs to the valuation are quoted prices in an active market for identical assets Level 2: inputs to the valuation include quoted prices for similar assets in active markets that are observable either directly or indirectly Level 3: valuation is based on significant inputs that are unobservable in the market and the Company's own estimates of assumptions that we believe market participants would use in pricing the asset |
Fair Value of Financial Instr18
Fair Value of Financial Instruments Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Fair value of financial assets, included in cash and cash equivalents, and financial liabilities is as follows: Estimated Fair Value Measurements Total Fair Level 1 Level 2 Level 3 Value September 30, 2016 Financial Assets: Money market funds $ 50,870 $ — $ — $ 50,870 Certificate of Deposit $ — $ 1,000 $ — $ 1,000 June 30, 2016 Financial Assets: Money market funds $ 35,782 $ — $ — $ 35,782 Certificate of Deposit $ — $ 1,000 $ — $ 1,000 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of option plan activity under these plans is as follows: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Outstanding July 1, 2016 50 22.14 Granted 32 87.27 Forfeited — — Exercised — — Outstanding September 30, 2016 82 $ 47.41 $ 3,170 Vested and Expected to Vest September 30, 2016 82 $ 47.41 $ 3,170 Exercisable September 30, 2016 50 $ 22.14 $ 3,170 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The assumptions used in estimating fair value and resulting compensation expenses at the grant dates are as follows: Expected Life (years) 6.50 Volatility 19.60 % Risk free interest rate 1.24 % Dividend yield 1.28 % |
Schedule of Nonvested Restricted Stock Activity [Table Text Block] | The following table summarizes non-vested share awards as of September 30, 2016 , as well as activity for the three months then ended: Share awards Shares Weighted Average Grant Date Fair Value Outstanding July 1, 2016 58 44.95 Granted 17 87.27 Vested (34 ) 35.25 Forfeited (1 ) 65.52 Outstanding September 30, 2016 40 $ 70.85 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | The following table summarizes non-vested unit awards as of September 30, 2016 , as well as activity for the three months then ended: Unit awards Shares Weighted Average Grant Date Fair Value Aggregate Intrinsic Value Outstanding July 1, 2016 429 58.06 Granted 94 75.28 Vested (126 ) 48.19 Forfeited (24 ) 48.19 Outstanding September 30, 2016 373 $ 66.35 $ 31,914 |
ScheduleOfShareBasedPaymentAwardRSUValuationAssumptionsTableTextBlock [Table Text Block] | The weighted average assumptions used in this model to estimate fair value at the measurement date and resulting values for 85 unit awards granted in fiscal 2017 are as follows: Volatility 16.00 % Risk free interest rate 0.93 % Dividend yield 1.30 % Stock Beta 0.684 |
Earnings Per Share Earnings P20
Earnings Per Share Earnings Per Share (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share, Basic and Diluted [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table reflects the reconciliation between basic and diluted earnings per share. Three Months Ended September 30, 2016 2015 Net Income $ 62,244 $ 51,366 Common share information: Weighted average shares outstanding for basic earnings per share 78,413 80,545 Dilutive effect of stock options and restricted stock 431 190 Weighted average shares outstanding for diluted earnings per share 78,844 80,735 Basic earnings per share $ 0.79 $ 0.64 Diluted earnings per share $ 0.79 $ 0.64 |
Business Acquisitions (Tables)
Business Acquisitions (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | , based upon their fair values as of July 1, 2015 are set forth below: Current assets $ 1,922 Long-term assets 253 Identifiable intangible assets 5,005 Total liabilities assumed (3,279 ) Total identifiable net assets 3,901 Goodwill 6,099 Net assets acquired $ 10,000 |
Business Segment Information 22
Business Segment Information (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | Three Months Ended September 30, 2016 Bank Credit Union Total REVENUE License $ 455 $ 239 $ 694 Support and service 250,322 82,724 333,046 Hardware 7,045 4,243 11,288 Total revenue 257,822 87,206 345,028 COST OF SALES Cost of license 193 59 252 Cost of support and service 142,812 43,080 185,892 Cost of hardware 5,327 3,292 8,619 Total cost of sales 148,332 46,431 194,763 GROSS PROFIT $ 109,490 $ 40,775 150,265 OPERATING EXPENSES 58,848 INTEREST INCOME (EXPENSE) (34 ) INCOME BEFORE INCOME TAXES $ 91,383 Three Months Ended September 30, 2015 Bank Credit Union Total REVENUE License $ 1,247 $ 357 $ 1,604 Support and service 227,622 80,124 307,746 Hardware 7,844 4,425 12,268 Total revenue 236,713 84,906 321,618 COST OF SALES Cost of license 113 68 181 Cost of support and service 135,366 39,348 174,714 Cost of hardware 5,553 3,215 8,768 Total cost of sales 141,032 42,631 183,663 GROSS PROFIT $ 95,681 $ 42,275 137,955 OPERATING EXPENSES 57,418 INTEREST INCOME (EXPENSE) (107 ) INCOME BEFORE INCOME TAXES $ 80,430 |
Nature of Operations and Summ23
Nature of Operations and Summary of Significant Accounting Policies Property and Equipment and Intangible Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Property and Equipment and Intangible Assets [Abstract] | ||
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | $ 338,506 | $ 328,159 |
Finite-Lived Intangible Assets, Accumulated Amortization | $ 457,496 | $ 435,871 |
Nature of Operations and Summ24
Nature of Operations and Summary of Significant Accounting Policies Treasury Stock (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Class of Stock Disclosures [Abstract] | |||
Treasury Stock, Value | $ 937,473 | $ 876,134 | |
Treasury Stock, Shares, Acquired | 700,000 | ||
Payments for Repurchase of Common Stock | $ 61,338 | $ 69,242 | |
Treasury Stock, Shares | 24,908,692 | 24,208,517 | |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 5,082,000 | 5,782,000 |
Nature of Operations and Summ25
Nature of Operations and Summary of Significant Accounting Policies Dividends Paid Per Share (Details) - $ / shares | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Equity [Abstract] | ||
Dividends declared per share | $ 0.28 | $ 0.25 |
Nature of Operations and Summ26
Nature of Operations and Summary of Significant Accounting Policies Litigation (Details) | 1 Months Ended |
May 31, 2013patent | |
DataTreasury Corporation Lawsuit [Member] | |
Loss Contingencies [Line Items] | |
Loss Contingency, Patents Allegedly Infringed, Number | 2 |
Fair Value of Financial Instr27
Fair Value of Financial Instruments Fair Value of Financial Instruments (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | $ 50,870 | $ 35,782 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 50,870 | 35,782 |
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Certificates of Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 1,000 | 1,000 |
Certificates of Deposit [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Certificates of Deposit [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 1,000 | 1,000 |
Certificates of Deposit [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | $ 0 | $ 0 |
Recent Accounting Pronounceme28
Recent Accounting Pronouncements Recent Accounting Pronouncements (Details) - New Accounting Pronouncement, Early Adoption, Effect [Member] - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
New Accounting Pronouncement, Early Adoption [Line Items] | ||
New Accounting Pronouncement, Effect of Change on Net Income | $ 2,271 | |
New Accounting Pronouncement, Effect of Change On Effective Income Tax Rate | 2.48% | |
New Accounting Pronouncement, Effect of Change on Basic Earnings Per Share | $ 0.03 | |
New Accounting Pronouncement, Effect of Change on Diluted Earnings Per Share | $ 0.03 | |
Excess Tax Benefit from Share-based Compensation, Operating Activities | $ (2,271) | $ (114) |
Excess Tax Benefit from Share-based Compensation, Financing Activities | $ 114 |
Debt Narrative (Details)
Debt Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Debt Instrument [Line Items] | |||
Capital leases - short term | $ 0 | $ 200 | |
Interest Paid | 96 | $ 250 | |
Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Unsecured Loan, Unused Borrowing Capacity | $ 5,000 | ||
Unsecured Loan, Maturity Date | Apr. 30, 2017 | ||
Unsecured Loan, Amount Outstanding | $ 0 | ||
Revolving Credit Facility [Member] | Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Revolving Credit Facility, Current Borrowing Capacity | 300,000 | ||
Revolving Credit Facility, Maximum Borrowing Capacity | $ 600,000 | ||
Revolving Credit Facility, Expiration Date | Feb. 20, 2020 | ||
Long-term Debt | $ 0 | ||
Federal Funds Effective Swap Rate [Member] | Revolving Credit Facility [Member] | Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Basis Spread on Variable Rate | 0.50% | ||
London Interbank Offered Rate (LIBOR) [Member] | Revolving Credit Facility [Member] | Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Basis Spread on Variable Rate | 1.00% | ||
Prime Rate [Member] | Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Basis Spread on Variable Rate | 1.00% |
Income Taxes Narrative (Details
Income Taxes Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Effective Income Tax Rate Reconciliation, Percent | 31.90% | 36.10% |
Income Taxes Paid | $ 1,446 | $ 11,666 |
Unrecognized Tax Benefits | 7,789 | |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 6,283 | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 1,304 | $ 1,233 |
Minimum [Member] | ||
Expiration of statutes of limitations impact on UTB balance | 1,500 | |
Maximum [Member] | ||
Expiration of statutes of limitations impact on UTB balance | $ 3,000 |
Stock Based Compensation Narrat
Stock Based Compensation Narrative (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation | $ 1,197 | $ 1,970 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ 458 | |
Weighted average remaining contractual term | 2 years 273 days | |
Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation expense yet to be recognized | $ 14,901 | |
Compensation expense yet to be recognized, period for recognition | 1 year 259 days | |
Granted, number of shares | 94 | |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation expense yet to be recognized | $ 1,975 | |
Compensation expense yet to be recognized, period for recognition | 1 year 201 days | |
Granted, number of shares | 17 | |
Fair value under Monte Carlo [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, number of shares | 85 | |
Fair value on grant date less PV of dividends [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, number of shares | 9 | |
2015 EIP [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 3,000 | |
2015 EIP [Member] | Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Deferred Compensation Arrangement with Individual, Requisite Service Period | 3 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Termination Period After Death | 1 year | |
Share-based Compensation Arrangement by Share-based Payment Award, Termination After Grant Date | 10 years |
Stock Based Compensation Stock
Stock Based Compensation Stock Options (Details) - Employee Stock Option [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended |
Sep. 30, 2016USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Outstanding, period start, number of shares | shares | 50 |
Granted, number of shares | shares | 32 |
Forfeited, number of shares | shares | 0 |
Exercised, number of shares | shares | 0 |
Outstanding, period end, number of shares | shares | 82 |
Outstanding, period start, weighted average exercise price | $ / shares | $ 22.14 |
Granted, weighted average exercise price | $ / shares | 87.27 |
Forfeited, weighted average exercise price | $ / shares | 0 |
Exercised, weighted average exercise price | $ / shares | 0 |
Outstanding, period end, weighted average exercise price | $ / shares | $ 47.41 |
Outstanding, period end, intrinsic value | $ | $ 3,170 |
Vested and expected to vest, period end, number of shares | shares | 82 |
Vested and expected to vest, period end, weighted average exercise price | $ / shares | $ 47.41 |
Vested and expected to vest, period end, intrinsic value | $ | $ 3,170 |
Exercisable, period end, number of shares | shares | 50 |
Exercisable, period end, weighted average exercise price | $ / shares | $ 22.14 |
Exercisable, period end, intrinsic value | $ | $ 3,170 |
Stock Based Compensation Stoc33
Stock Based Compensation Stock Option Grant Date Fair Value Assumptions (Details) - Employee Stock Option [Member] | 3 Months Ended |
Sep. 30, 2016Rate | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected Life | 6 years 183 days |
Volatility | 19.60% |
Risk free interest rate | 1.24% |
Dividend yield | 1.28% |
Stock Based Compensation Restri
Stock Based Compensation Restricted Stock Share Awards (Details) - Restricted Stock [Member] shares in Thousands | 3 Months Ended |
Sep. 30, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Outstanding, period start, number of shares | shares | 58 |
Granted, number of shares | shares | 17 |
Vested, number of shares | shares | (34) |
Forfeited, number of shares | shares | (1) |
Outstanding, period end, number of shares | shares | 40 |
Outstanding, period start, weighted average grant date fair value | $ / shares | $ 44.95 |
Granted, weighted average grant date fair value | $ / shares | 87.27 |
Vested, weighted average grant date fair value | $ / shares | 35.25 |
Forfeited, weighted average grant date fair value | $ / shares | 65.52 |
Outstanding, period end, weighted average grant date fair value | $ / shares | $ 70.85 |
Stock Based Compensation Rest35
Stock Based Compensation Restricted Stock Unit Awards (Details) - Restricted Stock Units (RSUs) [Member] $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended |
Sep. 30, 2016USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Outstanding, period start, number of shares | shares | 429 |
Granted, number of shares | shares | 94 |
Vested, number of shares | shares | (126) |
Forfeited, number of shares | shares | (24) |
Outstanding, period end, number of shares | shares | 373 |
Outstanding, period start, weighted average grant date fair value | $ / shares | $ 58.06 |
Granted, weighted average grant date fair value | $ / shares | 75.28 |
Vested, weighted average grant date fair value | $ / shares | 48.19 |
Forfeited, weighted average grant date fair value | $ / shares | 48.19 |
Outstanding, period end, weighted average grant date fair value | $ / shares | $ 66.35 |
Restricted Stock Units, Aggregate Intrinsic Value, Outstanding | $ | $ 31,914 |
Stock Based Compensation RSU Me
Stock Based Compensation RSU Measurement Date Assumptions (Details) - Restricted Stock Units (RSUs) [Member] | 3 Months Ended |
Sep. 30, 2016 | |
RSU grant date weighted average fair value assumptions | |
Volatility | 16.00% |
Risk free interest rate | 0.93% |
Dividend yield | 1.30% |
Stock Beta | 0.684 |
Earnings Per Share Earnings P37
Earnings Per Share Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Earnings Per Share, Basic and Diluted [Abstract] | ||
Net Income | $ 62,244 | $ 51,366 |
Common share information: | ||
Weighted average shares outstanding for basic earnings per share | 78,413 | 80,545 |
Dilutive effect of stock options and restricted stock | 431 | 190 |
Weighted average shares outstanding for diluted earnings per share | 78,844 | 80,735 |
Basic earnings per share | $ 0.79 | $ 0.64 |
Diluted earnings per share | $ 0.79 | $ 0.64 |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 32 | 26 |
Business Acquisitions (Details)
Business Acquisitions (Details) - Business Acquisition, Bayside Business Solutions [Member] - USD ($) $ in Thousands | Jul. 01, 2015 | Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 |
Business Acquisition [Line Items] | ||||
Business Acquisition, Effective Date of Acquisition | Jul. 1, 2015 | |||
Payments to Acquire Businesses, Gross | $ 10,000 | |||
Current assets | 1,922 | |||
Long-term assets | 253 | |||
Identifiable intangible assets | 5,005 | |||
Total liabilities assumed | (3,279) | |||
Total identifiable net assets | 3,901 | |||
Net assets acquired | $ 10,000 | |||
Business Acquisition, Purchase Price Allocation, Goodwill, Expected Tax Deductible Percent | 0.00% | |||
Cash Acquired from Acquisition | $ 1,725 | |||
Business Combination, Acquired Receivables, Fair Value | 178 | |||
Business Combination, Acquired Receivables, Gross Contractual Amount | 178 | |||
Business Combination, Acquired Receivables, Estimated Uncollectible | 0 | |||
Business Acquisition, Transaction Costs | $ 55 | |||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | $ 1,470 | $ 742 | ||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | $ 248 | $ (354) | ||
Customer Relationships [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | $ 3,402 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 15 years | |||
Computer Software, Intangible Asset [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | $ 659 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 5 years | |||
Other Intangible Assets [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | $ 944 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 20 years | |||
Banking Systems and Services [Member] | ||||
Business Acquisition [Line Items] | ||||
Goodwill, Acquired During Period | $ 6,099 |
Business Segment Information Na
Business Segment Information Narrative (Details) | 3 Months Ended |
Sep. 30, 2016segment | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 2 |
Business Segment Information Re
Business Segment Information Reconciliation of Operating Profit by Segment to Consolidated (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
REVENUE | ||
License | $ 694 | $ 1,604 |
Support and service | 333,046 | 307,746 |
Hardware | 11,288 | 12,268 |
Total revenue | 345,028 | 321,618 |
COST OF SALES | ||
Cost of license | 252 | 181 |
Cost of support and service | 185,892 | 174,714 |
Cost of hardware | 8,619 | 8,768 |
Total cost of sales | 194,763 | 183,663 |
GROSS PROFIT | 150,265 | 137,955 |
Total operating expenses | 58,848 | 57,418 |
Total interest income (expense) | (34) | (107) |
INCOME BEFORE INCOME TAXES | 91,383 | 80,430 |
Banking Systems and Services [Member] | ||
REVENUE | ||
License | 455 | 1,247 |
Support and service | 250,322 | 227,622 |
Hardware | 7,045 | 7,844 |
Total revenue | 257,822 | 236,713 |
COST OF SALES | ||
Cost of license | 193 | 113 |
Cost of support and service | 142,812 | 135,366 |
Cost of hardware | 5,327 | 5,553 |
Total cost of sales | 148,332 | 141,032 |
GROSS PROFIT | 109,490 | 95,681 |
Credit Union Systems and Services [Member] | ||
REVENUE | ||
License | 239 | 357 |
Support and service | 82,724 | 80,124 |
Hardware | 4,243 | 4,425 |
Total revenue | 87,206 | 84,906 |
COST OF SALES | ||
Cost of license | 59 | 68 |
Cost of support and service | 43,080 | 39,348 |
Cost of hardware | 3,292 | 3,215 |
Total cost of sales | 46,431 | 42,631 |
GROSS PROFIT | $ 40,775 | $ 42,275 |