Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Jun. 30, 2017 | Aug. 16, 2017 | Dec. 31, 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-K | ||
Document Period End Date | Jun. 30, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 77,438,286 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 6,851,199,964 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
REVENUE | |||||||||||
License | $ 326 | $ 516 | $ 849 | $ 694 | $ 511 | $ 292 | $ 634 | $ 1,604 | $ 2,385 | $ 3,041 | $ 2,635 |
Support and service | 371,008 | 342,769 | 337,515 | 333,046 | 353,364 | 319,649 | 320,219 | 307,746 | 1,384,338 | 1,300,978 | 1,200,652 |
Hardware | 12,435 | 10,482 | 10,189 | 11,288 | 13,095 | 13,245 | 12,019 | 12,268 | 44,394 | 50,627 | 52,903 |
Total revenue | 383,769 | 353,767 | 348,553 | 345,028 | 366,970 | 333,186 | 332,872 | 321,618 | 1,431,117 | 1,354,646 | 1,256,190 |
COST OF SALES | |||||||||||
Cost of license | 139 | 280 | 59 | 252 | 325 | 193 | 498 | 181 | 730 | 1,197 | 1,187 |
Cost of support and service | 210,138 | 198,844 | 191,269 | 185,892 | 195,878 | 184,527 | 181,989 | 174,714 | 786,143 | 737,108 | 680,750 |
Cost of hardware | 9,121 | 7,603 | 6,818 | 8,619 | 9,067 | 9,553 | 7,958 | 8,768 | 32,161 | 35,346 | 38,399 |
Total cost of sales | 219,398 | 206,727 | 198,146 | 194,763 | 205,270 | 194,273 | 190,445 | 183,663 | 819,034 | 773,651 | 720,336 |
GROSS PROFIT | 164,371 | 147,040 | 150,407 | 150,265 | 161,700 | 138,913 | 142,427 | 137,955 | 612,083 | 580,995 | 535,854 |
OPERATING EXPENSES | |||||||||||
Selling and marketing | 25,696 | 23,571 | 21,903 | 22,127 | 23,365 | 22,732 | 22,231 | 21,751 | 93,297 | 90,079 | 89,004 |
Research and development | 23,340 | 20,801 | 20,873 | 19,739 | 23,964 | 19,854 | 18,862 | 18,554 | 84,753 | 81,234 | 71,495 |
General and administrative | 17,407 | 16,223 | 18,989 | 16,982 | 17,357 | 16,497 | 16,547 | 17,113 | 69,601 | 67,514 | 64,364 |
Gain on disposal of a business | (1,020) | (2,286) | 36 | 0 | (19,491) | 0 | 0 | 0 | (3,270) | (19,491) | (6,874) |
Total operating expenses | 65,423 | 58,309 | 61,801 | 58,848 | 45,195 | 59,083 | 57,640 | 57,418 | 244,381 | 219,336 | 217,989 |
OPERATING INCOME | 98,948 | 88,731 | 88,606 | 91,417 | 116,505 | 79,830 | 84,787 | 80,537 | 367,702 | 361,659 | 317,865 |
INTEREST INCOME (EXPENSE) | |||||||||||
Interest income | 38 | 42 | 60 | 108 | 49 | 54 | 91 | 113 | 248 | 307 | 169 |
Interest expense | (392) | (278) | (184) | (142) | (448) | (486) | (276) | (220) | (996) | (1,430) | (1,594) |
Total interest income (expense) | (354) | (236) | (124) | (34) | (399) | (432) | (185) | (107) | (748) | (1,123) | (1,425) |
INCOME BEFORE INCOME TAXES | 98,594 | 88,495 | 88,482 | 91,383 | 116,106 | 79,398 | 84,602 | 80,430 | 366,954 | 360,536 | 316,440 |
PROVISION FOR INCOME TAXES | 33,903 | 28,451 | 29,668 | 29,139 | 31,836 | 25,515 | 25,254 | 29,064 | 121,161 | 111,669 | 105,219 |
NET INCOME | $ 64,691 | $ 60,044 | $ 58,814 | $ 62,244 | $ 84,270 | $ 53,883 | $ 59,348 | $ 51,366 | $ 245,793 | $ 248,867 | $ 211,221 |
Earnings Per Share | |||||||||||
Basic earnings per share | $ 0.83 | $ 0.77 | $ 0.76 | $ 0.79 | $ 1.07 | $ 0.68 | $ 0.75 | $ 0.64 | $ 3.16 | $ 3.13 | $ 2.60 |
Basic weighted average shares outstanding | 77,602 | 77,597 | 77,814 | 78,413 | 78,841 | 78,805 | 79,473 | 80,545 | 77,856 | 79,416 | 81,353 |
Diluted earnings per share | $ 0.83 | $ 0.77 | $ 0.75 | $ 0.79 | $ 1.06 | $ 0.68 | $ 0.74 | $ 0.64 | $ 3.14 | $ 3.12 | $ 2.59 |
Diluted weighted average shares outstanding | 78,064 | 77,932 | 78,180 | 78,844 | 79,261 | 79,167 | 79,770 | 80,735 | 78,255 | 79,734 | 81,601 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 114,765 | $ 70,310 |
Receivables, net | 276,923 | 253,923 |
Income tax receivable | 20,135 | 15,636 |
Prepaid expenses and other | 66,894 | 56,588 |
Deferred costs | 41,314 | 35,472 |
Total current assets | 520,031 | 431,929 |
PROPERTY AND EQUIPMENT, net | 282,934 | 298,564 |
OTHER ASSETS: | ||
Non-current deferred costs | 96,847 | 99,799 |
Computer software, net of amortization | 247,317 | 222,115 |
Other non-current assets | 82,525 | 70,461 |
Other intangible assets, net of amortization | 36,393 | 35,706 |
Goodwill | 552,465 | 552,853 |
Total other assets | 1,105,980 | 1,085,019 |
Total assets | 1,908,945 | 1,815,512 |
CURRENT LIABILITIES: | ||
Accounts payable | 6,841 | 14,596 |
Accrued expenses | 81,574 | 85,411 |
Notes payable and current maturities of long term debt | 0 | 200 |
Deferred revenues | 382,777 | 343,525 |
Total current liabilities | 471,192 | 443,732 |
LONG TERM LIABILITIES: | ||
Non-current deferred revenues | 128,607 | 177,529 |
Non-current deferred income tax liability | 219,541 | 188,601 |
Debt, net of current maturities | 50,000 | 0 |
Other long-term liabilities | 7,554 | 9,440 |
Total long term liabilities | 405,702 | 375,570 |
Total liabilities | 876,894 | 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; 103,083,299 shares issued at June 30, 2017; 102,903,971 shares issued at June 30, 2016 | 1,031 | 1,029 |
Additional paid-in capital | 452,016 | 440,123 |
Retained earnings | 1,585,278 | 1,431,192 |
Less treasury stock at cost; 25,660,212 shares at June 30, 2017; 24,208,517 shares at June 30, 2016 | (1,006,274) | (876,134) |
Total stockholders' equity | 1,032,051 | 996,210 |
Total liabilities and equity | 1,908,945 | 1,815,512 |
Customer Relationships [Member] | ||
OTHER ASSETS: | ||
Customer relationships, net of amortization | $ 90,433 | $ 104,085 |
CONSOLIDATED BALANCE SHEETS PAR
CONSOLIDATED BALANCE SHEETS PARENTHETICAL - $ / shares | Jun. 30, 2017 | Jun. 30, 2016 |
Statement of Financial Position [Abstract] | ||
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 | 103,083,299 | 102,903,971 |
Treasury Stock, Shares | 25,660,212 | 24,208,517 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock |
Balance, beginning of year (value) at Jun. 30, 2014 | $ 1,024 | $ 412,512 | $ 1,131,632 | $ (577,781) | ||
Shares, beginning of year at Jun. 30, 2014 | 102,429,926 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Shares issued for equity-based payment arrangements (value) | $ 2 | 640 | ||||
Shares issued for equity-based payment arrangements (shares) | 172,661 | |||||
Tax withholding related to share based compensation | (7,951) | |||||
Shares issued for Employee Stock Purchase Plan (value) | $ 1 | 4,880 | ||||
Shares issued for Employee Stock Purchase Plan (shares) | 92,627 | |||||
Tax benefits from share-based compensation (value) | 4,343 | |||||
Stock-based compensation expense (value) | 10,112 | |||||
Net Income | $ 211,221 | 211,221 | ||||
Dividends (value) | (76,410) | |||||
Purchase of treasury shares | (122,691) | |||||
Balance, end of year (value) at Jun. 30, 2015 | $ 991,534 | $ 1,027 | 424,536 | 1,266,443 | (700,472) | |
Shares, end of year at Jun. 30, 2015 | 102,695,214 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared per share | $ 0.94 | |||||
Preferred Shares | 0 | |||||
Shares issued for equity-based payment arrangements (value) | $ 1 | 696 | ||||
Shares issued for equity-based payment arrangements (shares) | 121,348 | |||||
Tax withholding related to share based compensation | (2,590) | |||||
Shares issued for Employee Stock Purchase Plan (value) | $ 1 | 5,710 | ||||
Shares issued for Employee Stock Purchase Plan (shares) | 87,409 | |||||
Tax benefits from share-based compensation (value) | 1,051 | |||||
Stock-based compensation expense (value) | 10,720 | |||||
Net Income | $ 248,867 | 248,867 | ||||
Dividends (value) | (84,118) | |||||
Purchase of treasury shares | (175,662) | |||||
Balance, end of year (value) at Jun. 30, 2016 | $ 996,210 | $ 1,029 | 440,123 | 1,431,192 | (876,134) | |
Shares, end of year at Jun. 30, 2016 | 102,903,971 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared per share | $ 1.06 | |||||
Preferred Shares | 0 | |||||
Shares issued for equity-based payment arrangements (value) | $ 1 | (1) | ||||
Shares issued for equity-based payment arrangements (shares) | 98,781 | |||||
Tax withholding related to share based compensation | (5,479) | |||||
Shares issued for Employee Stock Purchase Plan (value) | $ 1 | 6,244 | ||||
Shares issued for Employee Stock Purchase Plan (shares) | 80,547 | |||||
Tax benefits from share-based compensation (value) | 0 | |||||
Stock-based compensation expense (value) | 11,129 | |||||
Net Income | $ 245,793 | 245,793 | ||||
Dividends (value) | (91,707) | |||||
Purchase of treasury shares | (130,140) | |||||
Balance, end of year (value) at Jun. 30, 2017 | $ 1,032,051 | $ 1,031 | $ 452,016 | $ 1,585,278 | $ (1,006,274) | |
Shares, end of year at Jun. 30, 2017 | 103,083,299 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends declared per share | $ 1.18 | |||||
Preferred Shares | 0 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ 245,793 | $ 248,867 | $ 211,221 |
Adjustments to reconcile net income to net cash from operating activities: | |||
Depreciation | 49,677 | 50,571 | 54,155 |
Amortization | 90,109 | 79,077 | 64,841 |
Change in deferred income taxes | 30,940 | 37,524 | 29,443 |
Other | 0 | 0 | (4,343) |
Expense for stock-based compensation | 11,129 | 10,720 | 10,112 |
Gain/loss on disposal of assets and businesses | 4,771 | (16,888) | (5,046) |
Changes in operating assets and liabilities: | |||
Change in receivables | (22,499) | (13,735) | (21,346) |
Change in prepaid expenses, deferred costs and other | (25,088) | (29,577) | (33,858) |
Change in accounts payable | (7,812) | 4,663 | (583) |
Change in accrued expenses | (4,454) | 7,460 | 14,483 |
Change in income taxes | (6,444) | (16,624) | 14,146 |
Change in deferred revenues | (8,800) | 4,364 | 40,565 |
Net cash from operating activities | 357,322 | 366,422 | 373,790 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Payment for acquisitions, net of cash acquired | 0 | (8,275) | 0 |
Capital expenditures | (41,947) | (56,325) | (54,409) |
Proceeds from the sale of businesses | 5,632 | 34,030 | 8,135 |
Proceeds from the sale of assets | 968 | 2,844 | 182 |
Internal use software | (16,608) | (11,826) | (14,020) |
Computer software developed | (89,631) | (96,411) | (76,872) |
Net cash from investing activities | (141,586) | (135,963) | (136,984) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Borrowings on credit facilities | 80,000 | 100,000 | 90,000 |
Repayments on credit facilities | (30,200) | (152,500) | (50,783) |
Debt acquisition costs | 0 | 0 | (901) |
Purchase of treasury stock | (130,140) | (175,662) | (122,691) |
Dividends paid | (91,707) | (84,118) | (76,410) |
Other | 0 | 0 | 4,343 |
Proceeds from issuance of common stock upon exercise of stock options | 1 | 697 | 642 |
Minimum tax withholding payments related to option exercises | (5,480) | (2,590) | (7,951) |
Proceeds from sale of common stock | 6,245 | 5,711 | 4,881 |
Net cash from financing activities | (171,281) | (308,462) | (158,870) |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 44,455 | (78,003) | 77,936 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 70,310 | 148,313 | 70,377 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | $ 114,765 | $ 70,310 | $ 148,313 |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Nature of Operations and Summary of Significant Accounting Policies [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 software implementation services for financial institutions to utilize JHA software systems, and by providing other related services. JHA also provides continuing support and services to customers using in-house or outsourced systems. CONSOLIDATION The 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. USE OF ESTIMATES The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. REVENUE RECOGNITION The Company derives revenue from the following sources: license arrangements, support and service fees (non-software) and hardware sales. There are no rights of return, condition of acceptance or price protection in the Company’s sales contracts. License Arrangements: For software license agreements, the Company recognizes revenue when persuasive evidence of an arrangement exists, delivery of the product or service has occurred, the fee is fixed or determinable and collection is probable. For arrangements where the fee is not fixed or determinable, revenue is deferred until payments become due. The Company’s software license agreements generally include multiple products and services or “elements.” Generally, none of these elements are deemed to be essential to the functionality of the other elements. For multiple element arrangements, which contain software elements and non-software elements, we allocate revenue to the software deliverables and the non-software deliverables as a group based on the relative selling prices of all of the deliverables in the arrangement. For our non-software deliverables, we allocate the arrangement consideration based on the relative selling price of the deliverables using estimated selling price ("ESP"). For our software elements, we use vendor-specific objective evidence ("VSOE") for this allocation when it can be established and ESP when VSOE cannot be established. The selling price for each element is based upon the following selling price hierarchy: VSOE if available, third-party evidence ("TPE") if VSOE is not available, or ESP if neither VSOE or TPE are available. Generally, we are not able to determine TPE because our go-to-market strategy differs from that of our peers and our offerings contain a significant level of differentiation such that the comparable pricing of products with similar functionality cannot be obtained. ESP is determined after considering both market conditions (such as the sale of similar products in the market place) and entity-specific factors (such as pricing practices and the specifics of each transaction). For our non-software deliverables, a delivered item is accounted for as a separate unit of accounting if the delivered item has standalone value and if the customer has a general right of return relative to the delivered item, delivery or performance of the undelivered item is probable and substantially within our control. For our software licenses and related services, including the software elements of multiple-element software and non-software arrangements, U.S. GAAP generally require revenue earned on software arrangements involving multiple elements to be allocated to each element based on vendor-specific objective evidence (“VSOE”) of fair value. VSOE of fair value is determined for implementation services based on a rate per hour for stand-alone professional services and the estimated hours for the bundled implementation, if the hours can be reasonably estimated. VSOE of fair value is determined for post-contract support ("PCS") based upon the price charged when sold separately. For a majority of the elements within our software arrangements, we have determined that VSOE cannot be established; therefore, revenue on our software arrangements is generally deferred until the only remaining element is post-contract support ("PCS"). At that point, the entire arrangement fee is recognized ratably over the remaining PCS period, assuming that all other criteria for revenue recognition have been met. The amounts deferred are included in the balance sheet as deferred revenue and recognized as Bundled Products & Services revenue within Support & Service revenue in the consolidated statements of income. For arrangements that include specified upgrades, such upgrades are accounted for as a separate element of the arrangement. For those specified upgrades for which VSOE of fair value cannot be determined, revenue related to the software elements within the arrangement is deferred until such specified upgrades have been delivered. Total revenue recognized related to our Bundled Products & Services was $117,046 , $94,391 , and $62,888 for the years ended June 30, 2017 , 2016 , and 2015 , respectively. Support and Service Fee Revenue (Non-software): Maintenance support revenue contracted for outside of a license arrangement is recognized pro-rata over the contract period, typically one year. Outsourced data processing and ATM, debit card, and other transaction processing services revenue is recognized in the month the transactions are processed or the services are rendered. Hardware Revenue: Hardware revenue is recognized upon delivery to the customer, when title and risk of loss are transferred. In most cases, we do not stock in inventory the hardware products we sell, but arrange for third-party suppliers to drop-ship the products to our customers on our behalf. The revenue related to these hardware sales is recorded gross, as we are the primary obligor in the contract with the customer. The Company also remarkets maintenance contracts on hardware to our customers. Hardware maintenance revenue is recognized ratably over the agreement period. Revenue-based taxes collected from customers and remitted to governmental authorities are presented on a net basis (i.e. excluded from revenues). DEFERRED COSTS Costs for certain software and hardware maintenance contracts with third parties, which are prepaid, are recognized ratably over the life of the maintenance contract, generally one to five years, with the related revenue amortized from deferred revenues. Direct and incremental costs associated with arrangements subject to Accounting Standards Codification ("ASC") 985-605 (for which VSOE of fair value cannot be established) are deferred until the only remaining element in the revenue arrangement is PCS at which point the costs are recognized ratably over the remaining PCS period with the related revenue. Deferred direct and incremental costs associated with arrangements not subject to ASC 985-605 consist primarily of certain up-front costs incurred in connection with our software hosting arrangements and are recognized ratably over the contract period which typically ranges from 5-7 years. These costs include commissions, costs of third-party licenses and the direct costs of our implementation services, consisting of payroll and other fringe benefits. DEFERRED REVENUES Deferred revenues consist primarily of prepaid annual software support fees, deferred bundled software arrangements revenue, and prepaid hardware maintenance fees. Deferred bundled software arrangements revenue and hardware maintenance contracts may be recognized over multiple years; therefore, the related deferred revenue and maintenance are classified as current or non-current in accordance with the terms of the contract. Software and hardware deposits received are also reflected as deferred revenues. The vast majority of our maintenance (PCS) renews annually and runs from July 1 to June 30. Renewal billings are submitted to customers each June and the Company has the right to bill at that date; therefore we include those billings as gross in deferred revenue and as a receivable on our balance sheet at the end of each fiscal year. COMPUTER SOFTWARE DEVELOPMENT The Company capitalizes new product development costs incurred for software to be sold from the point at which technological feasibility has been established through the point at which the product is ready for general availability. Software development costs that are capitalized are evaluated on a product-by-product basis annually and are assigned an estimated economic life based on the type of product, market characteristics, and maturity of the market for that particular product. These costs are amortized based on current and estimated future revenue from the product or on a straight-line basis, whichever yields greater amortization expense. All of this amortization expense is included within Cost of support and service. The Company capitalizes development costs for internal use software beginning at the start of application development. Amortization begins on the date the software is placed in service and the amortization period is based on estimated useful life. CASH EQUIVALENTS The Company considers all highly liquid investments with maturities of three months or less at the time of acquisition to be cash equivalents. ACCOUNTS RECEIVABLE Receivables are recorded at the time of billing. A reasonable estimate of the realizability of customer receivables is made through the establishment of an allowance for doubtful accounts, which is estimated based on a combination of write-off history, aging analysis, and any specifically known collection issues. 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. 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. The Company reviews its long-lived assets and identifiable intangible assets with finite lives for impairment whenever events or changes in circumstances have indicated that the carrying amount of its assets might not be recoverable. The Company evaluates goodwill and other indefinite-lived intangible assets for impairment of value on an annual basis as of January 1 and between annual tests if events or changes in circumstances indicate that the asset might be impaired. COMPREHENSIVE INCOME Comprehensive income for each of the years ending June 30, 2017 , 2016 , and 2015 equals the Company’s net income. REPORTABLE SEGMENT INFORMATION In accordance with U.S. GAAP, the Company's operations are classified as two reportable segments: bank systems and services and credit union systems and services (see Note 13). Revenue by type of product and service is presented on the face of the consolidated statements of income. Substantially all the Company’s revenues are derived from operations and assets located within the United States of America. 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 June 30, 2017 , there were 25,660 shares in treasury stock and the Company had the remaining authority to repurchase up to 4,330 additional shares. The total cost of treasury shares at June 30, 2017 is $1,006,274 . During fiscal 2017 , the Company repurchased 1,452 treasury shares for $130,140 . 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. EARNINGS PER SHARE Per share information is based on the weighted average number of common shares outstanding during the year. Stock options and restricted stock have been included in the calculation of income per diluted share to the extent they are dilutive. The difference between basic and diluted weighted average shares outstanding is the dilutive effect of outstanding stock options and restricted stock (see Note 10). INCOME TAXES Deferred tax liabilities and assets are recognized for the tax effects of differences between the financial statement and tax bases of assets and liabilities. A valuation allowance would be established to reduce deferred tax assets if it is more likely than not that a deferred tax asset will not be realized. The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based upon the technical merits of the position. The tax benefit recognized in the financial statements from such a position is measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. Also, interest and penalties expense are recognized on the full amount of deferred benefits for uncertain tax positions. Our policy is to include interest and penalties related to unrecognized tax benefits in income tax expense. 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. This standard is part of an effort to create a common revenue standard for U.S. generally accepted accounting principles (U.S. GAAP) and International Financial Reporting Standards (IFRS). The new standard will supersede much of the existing authoritative literature for revenue recognition. The new model enacts a five-step process for achieving the core principle, which is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In August 2015, the FASB also issued ASU No. 2015-14 which deferred the effective date of the new standard by one year, but allows early application as of the original effective date. We do not intend to adopt the provisions of the new standard early, so 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. 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, ASU No. 2016-12, and ASU No. 2016-20 also address specific aspects of the new standard. 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. The Company is currently evaluating the newly issued guidance, including which transition approach will be applied, and continuing to assess all potential impacts of the standard. We expect the adoption of this standard to have a significant impact on our revenue recognition currently subject to Accounting Standards Codification (ASC) Topic 985. We are currently in the process of implementing and testing new software to assist in applying the five-step model to our various revenue streams and comparing the results to our current accounting practices. One of the most significant expected impacts relates to the recognition of license and implementation revenue on our multi-element arrangements. We expect to recognize license and install revenue at the time of the install completion, rather than over the maintenance period of the software on our multi-element agreements. We expect revenue related to hardware, Outlink contracts, payment processing, and professional services to remain substantially unchanged. 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 $2,638 for the year ended June 30, 2017 were recognized as reductions of income tax expense. These tax benefits reduced our effective income tax rate for the year-to-date period by 0.72% , and caused an increase in basic and diluted earnings per share of $0.03 for the year ended June 30, 2017 . 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; however, fiscal 2015 was not restated due to immateriality. The restatement for fiscal 2016 resulted in an increase to both net cash provided by operations and net cash used in financing of $1,306 for the year ended June 30, 2016 . 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. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 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 fair value of long-term debt also approximates carrying value as estimated using discounted cash flows based on the Company’s current incremental borrowing rates. 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 Recurring Fair Value Measurements Level 1 Level 2 Level 3 Value June 30, 2017 Financial Assets: Money market funds $ 68,474 $ — $ — $ 68,474 Certificate of Deposit $ — $ 2,001 $ — $ 2,001 Financial Liabilities: Revolving credit facility $ — $ 50,000 $ — $ 50,000 June 30, 2016 Financial Assets: Money market funds $ 35,782 $ — $ — $ 35,782 Certificate of Deposit $ — $ 1,000 $ — $ 1,000 Financial Liabilities: Revolving credit facility $ — $ — $ — $ — Non-Recurring Fair Value Measurements June 30, 2017 Long-lived assets held for sale (a) $ — $ 1,300 $ — $ 1,300 (a) In accordance with ASC Subtopic 360-10, long-lived assets held for sale with a carrying value of $4,575 were written down to their fair value of $1,300 , resulting in an impairment totaling $3,275 , which was included in earnings for the period. These assets are expected to be disposed of by sale within the twelve months of June 30, 2017 . |
Property and Equipment (Text Bl
Property and Equipment (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | PROPERTY AND EQUIPMENT The classification of property and equipment, together with their estimated useful lives is as follows: June 30, 2017 2016 Estimated Useful Life Land $ 24,987 $ 24,987 Land improvements 25,362 25,470 5 - 20 years Buildings 143,350 146,464 20 - 30 years Leasehold improvements 47,291 46,897 5 - 30 years (1) Equipment and furniture 332,465 337,565 3 - 10 years Aircraft and equipment 38,522 37,967 4 - 10 years Construction in progress 15,971 7,373 627,948 626,723 Less accumulated depreciation 345,014 328,159 Property and equipment, net $ 282,934 $ 298,564 (1) Lesser of lease term or estimated useful life Property and equipment included $534 and $651 that was in accrued liabilities at June 30, 2017 and 2016 , respectively. These amounts were excluded from capital expenditures on the statements of cash flows. In fiscal 2017 , we recorded an impairment loss on one of our facilities of $3,275 due to damage caused by water intrusion around the facility's windows and roof. The impairment loss is included in the caption "Cost of support and service" in our consolidated statements of income and is included in our Bank segment. |
Other Assets (Text Block)
Other Assets (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Other Assets Disclosure [Text Block] | OTHER ASSETS Goodwill The carrying amount of goodwill for the years ended June 30, 2017 and 2016 , by reportable segments, is as follows: June 30, Bank systems and services 2017 2016 Beginning balance $ 423,282 $ 420,795 Goodwill, acquired during the year — 6,099 Goodwill, written-off related to sale (388 ) (3,612 ) Ending balance $ 422,894 $ 423,282 Credit Union systems and services Beginning balance $ 129,571 $ 129,571 Goodwill, acquired during the year — — Ending balance $ 129,571 $ 129,571 The Goodwill written-off during fiscal 2017 was a result of our sale of our Regulatory Filing products to Fed Reporter on May 1, 2017. Goodwill allocated to the carrying amount of the net assets sold (mainly computer software) was calculated based on the relative fair values of the business disposed and the portion of the reporting unit that was retained. The goodwill acquired during fiscal 2016 of $6,099 was a result of our purchase of Bayside Business Solutions, Inc. The goodwill 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 has been allocated to our Bank segment. During fiscal 2016 the Company sold its Alogent business (Alogent) to Antelope Acquisition Co., an affiliate of Battery Ventures. Alogent was included in our Bank segment. Goodwill allocated to the carrying amount of the net assets sold was calculated based on the relative fair values of the business disposed and the portion of the reporting unit that was retained. Other Intangible Assets Information regarding other identifiable intangible assets is as follows: June 30, 2017 Gross Carrying Amount Accumulated Amortization Net Customer relationships $ 262,693 $ (172,260 ) $ 90,433 Computer software $ 543,913 $ (296,596 ) $ 247,317 Other intangible assets: $ 71,190 $ (34,797 ) $ 36,393 June 30, 2016 Gross Carrying Amount Accumulated Amortization Net Customer relationships $ 266,545 $ (162,460 ) $ 104,085 Computer software $ 474,738 $ (252,623 ) $ 222,115 Other intangible assets: $ 56,494 $ (20,788 ) $ 35,706 Customer relationships have lives ranging from 5 to 20 years. Computer software includes cost of software to be sold, leased, or marketed of $117,065 and costs of internal-use software of $130,252 at June 30, 2017 . At June 30, 2016 , costs of software to be sold, leased, or marketed totaled $108,991 , and costs of internal-use software totaled $113,124 . Computer software includes the unamortized cost of commercial software products developed or acquired by the Company, which are capitalized and amortized over useful lives generally ranging from 5 to 10 years. Amortization expense for computer software totaled $60,880 , $54,810 , and $43,798 for the fiscal years ended June 30, 2017 , 2016 , and 2015 , respectively. There were no material impairments in any of the fiscal years presented. Our other intangible assets have useful lives ranging from 3 to 20 years. Amortization expense for all intangible assets was $90,109 , $79,077 , and $64,841 for the fiscal years ended June 30, 2017 , 2016 , and 2015 , respectively. The estimated aggregate future amortization expense for each of the next five years for all intangible assets remaining as of June 30, 2017 , is as follows: Years Ending June 30, Computer Software Customer Relationships Other Intangible Assets Total 2018 $ 60,412 $ 12,220 $ 12,779 $ 85,411 2019 52,157 11,978 8,462 72,597 2020 41,555 10,074 2,962 54,591 2021 24,874 8,430 641 33,945 2022 9,522 7,811 613 17,946 |
Debt (Text Block)
Debt (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Debt and Capital Leases Disclosures [Text Block] | DEBT The Company’s outstanding long and short-term debt is as follows: June 30, June 30, 2017 2016 LONG-TERM DEBT Revolving credit facility $ 50,000 $ — SHORT-TERM DEBT Capital leases $ — $ 200 The following table summarizes the future annual principal payments required for all outstanding debt as of June 30, 2017 : Fiscal years ended June 30, 2020 50,000 $ 50,000 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 June 30, 2017 . At June 30, 2016 , the Company had capital lease obligations totaling $200 and property and equipment included assets under capital leases totaling $2,329 , with accumulated depreciation totaling $898 . Revolving credit facility The revolving credit facility provides 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 June 30, 2017 , the Company was in compliance with all such covenants. The revolving loan terminates February 20, 2020 and at June 30, 2017 there was a $50,000 outstanding balance. Other lines of credit The Company renewed an unsecured bank credit line on April 24, 2017 which provides for funding of up to $5,000 and bears interest at the prime rate less 1.0% . The credit line was renewed through April 30, 2019 . At June 30, 2017 , no amount was outstanding. Interest The Company paid interest of $767 , $1,320 , and $1,111 during the years ended June 30, 2017 , 2016 , and 2015 , respectively. |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | COMMITMENTS AND CONTINGENCIES Property and Equipment The Company had no material commitments at June 30, 2017 to purchase property and equipment. There were also no material commitments at June 30, 2016 . Leases The Company leases certain property under operating leases which expire over the next 13 years, but certain of the leases contain options to extend the lease term. All lease payments are based on the lapse of time but include, in some cases, payments for operating expenses and property taxes. There are no purchase options on real estate leases at this time. Certain leases on real estate are subject to annual escalations for increases in operating expenses and property taxes. As of June 30, 2017 , net future minimum lease payments are as follows: Years Ending June 30, Lease Payments 2018 $ 10,945 2019 8,172 2020 6,675 2021 4,578 2022 3,317 Thereafter 14,304 Total $ 47,991 Rent expense was $10,195 , $10,167 , and $9,547 in 2017 , 2016 , and 2015 respectively. |
Income Taxes (Text Block)
Income Taxes (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | INCOME TAXES The provision for income taxes consists of the following: Year Ended June 30, 2017 2016 2015 Current: Federal $ 80,752 $ 66,574 $ 70,555 State 9,469 7,571 5,221 Deferred: Federal 25,756 34,355 28,018 State 5,184 3,169 1,425 $ 121,161 $ 111,669 $ 105,219 The tax effects of temporary differences related to deferred taxes shown on the balance sheets were: June 30, 2017 2016 Deferred tax assets: Contract and service revenues and costs $ 54,908 $ 69,597 Expense reserves (bad debts, insurance, franchise tax and vacation) 14,648 14,770 Net operating loss carryforwards 3,547 3,543 Other, net 2,119 2,090 Total gross deferred tax assets 75,222 90,000 Valuation allowance (357 ) (608 ) Net deferred tax assets 74,865 89,392 Deferred tax liabilities: Accelerated tax depreciation (36,994 ) (40,857 ) Accelerated tax amortization (178,999 ) (160,719 ) Contract and service revenues and costs (78,413 ) (76,417 ) Total gross deferred liabilities (294,406 ) (277,993 ) Net deferred tax liability $ (219,541 ) $ (188,601 ) The following analysis reconciles the statutory federal income tax rate to the effective income tax rates reflected above: Year Ended June 30, 2017 2016 2015 Computed "expected" tax expense 35.0 % 35.0 % 35.0 % Increase (reduction) in taxes resulting from: State income taxes, net of federal income tax benefits 2.6 % 1.9 % 1.4 % Research and development credit (2.0 )% (2.5 )% (1.5 )% Domestic production activities deduction (2.1 )% (1.9 )% (2.0 )% Tax over book basis in subsidiary stock — % (1.7 )% — % Tax effects of share-based payments (0.7 )% — % — % Other (net) 0.2 % 0.2 % 0.4 % 33.0 % 31.0 % 33.3 % As of June 30, 2017 , we have $5,193 of gross federal net operating loss (“NOL”) carryforwards pertaining to the acquisition of Goldleaf Financial Solutions, Inc., which are expected to be utilized after the application of IRC Section 382. Separately, as of June 30, 2017 , we have state NOL carryforwards with a tax-effected value of $1,731 . The federal and state losses have varying expiration dates, ranging from fiscal year 2017 to 2036 . Based on state tax rules which restrict our utilization of these losses, we believe it is more likely than not that $357 of these losses will expire unutilized. Accordingly, a valuation allowance of $357 and $608 has been recorded against these assets as of June 30, 2017 and 2016 , respectively. The Company paid income taxes, net of refunds, of $96,074 , $90,307 , and $61,885 in 2017 , 2016 , and 2015 respectively. At June 30, 2017 , the Company had $5,449 of gross unrecognized tax benefits, $3,990 of which, if recognized, would affect our effective tax rate. At June 30, 2016 , the Company had $7,421 of unrecognized tax benefits, $5,986 of which, if recognized, would affect our effective tax rate. We had accrued interest and penalties of $995 and $1,178 related to uncertain tax positions at June 30, 2017 and 2016 , respectively. The income tax provision included interest expense and penalties (or benefits) on unrecognized tax benefits of $(105) , $47 , and $(155) in the years ending June 30, 2017 , 2016 , and 2015 , respectively. A reconciliation of the unrecognized tax benefits for the years ended June 30, 2017 and 2016 follows: Unrecognized Tax Benefits Balance at July 1, 2015 $ 7,104 Additions for current year tax positions 1,581 Reductions for current year tax positions (56 ) Additions for prior year tax positions 507 Reductions for prior year tax positions (38 ) Reductions related to expirations of statute of limitations (1,677 ) Balance at June 30, 2016 7,421 Additions for current year tax positions 1,457 Reductions for current year tax positions — Additions for prior year tax positions 23 Reductions for prior year tax positions (766 ) Settlements (1,040 ) Reductions related to expirations of statute of limitations (1,646 ) Balance at June 30, 2017 $ 5,449 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 fiscal years ended June 30, 2014 and 2015 . The examination was completed during the quarter ending December 31, 2016 . The closing of the examination did not result in a material change to the Company’s financial statements. The U.S. federal and state income tax returns for June 30, 2014 and all subsequent years remain subject to examination as of June 30, 2017 under statute of limitations rules. We anticipate that potential changes due to lapsing statutes of limitations and examination closures could reduce the unrecognized tax benefits balance by $500 - $1,500 within twelve months of June 30, 2017 . |
Industry and Supplier Concentra
Industry and Supplier Concentrations (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
Concentration Risk Disclosure [Text Block] | INDUSTRY AND SUPPLIER CONCENTRATIONS The Company sells its products to banks, credit unions, and financial institutions throughout the United States and generally does not require collateral. All billings to customers are due 30 days from date of billing. Reserves (which are insignificant at June 30, 2017 and 2016 ) are maintained for potential credit losses. In addition, some of the Company’s key solutions are dependent on technology manufactured by IBM Corporation and Microsoft. Termination of the Company’s relationship with either IBM or Microsoft could have a negative impact on the operations of the Company. |
Stock Based Compensation (Text
Stock Based Compensation (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | STOCK-BASED COMPENSATION Our pre-tax operating income for the years ended June 30, 2017 , 2016 , and 2015 includes $11,129 , $10,720 , and $10,112 of equity-based compensation costs, respectively, of which $9,861 , $9,712 , and $9,251 relates to the restricted stock plans, respectively. The income tax benefits from stock option exercises and restricted stock vests totaled $2,638 , $1,051 , and $4,343 for the years ended June 30, 2017 , 2016 , and 2015 , 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 were determined by the Compensation Committee of the Board of Directors when granted. The option period must expire not more than ten years from the options grant date. The options granted under this plan are exercisable beginning three years after grant 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, ninety days after termination of employment, 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. The 2005 NSOP was adopted by the Company on September 23, 2005 , for its outside directors. Generally, options were exercisable beginning 6 months after grant at an exercise price equal to the fair market value of the stock at the grant date. For individuals who have served less than four continuous years, 25% of all options will vest after one year of service, 50% shall vest after two years, and 75% shall vest after three years of service on the Board. 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. 700 shares of common stock were reserved for issuance under this plan with a maximum of 100 for each director. A summary of option plan activity under the plans is as follows: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Outstanding July 1, 2014 125 $ 22.29 Granted — — Forfeited — — Exercised (25 ) 19.17 Outstanding July 1, 2015 100 23.07 Granted — — Forfeited — — Exercised (50 ) 23.99 Outstanding July 1, 2016 50 22.14 Granted 32 87.27 Forfeited — — Exercised (10 ) 28.52 Outstanding June 30, 2017 72 $ 50.04 $ 3,859 Vested and Expected to Vest June 30, 2017 72 $ 50.04 $ 3,859 Exercisable June 30, 2017 40 $ 20.55 $ 3,333 There were 32 options granted in fiscal 2017 , and no options granted during either of the two prior years presented. The weighted-average fair value at the grant date of options granted during fiscal 2017 was $15.78 . The Company utilized a Black-Scholes option pricing model to estimate fair value of the stock option grants at the grant date. All 32 options granted during fiscal 2017 were granted on July 1, 2016 . 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 June 30, 2017 , there was $334 of compensation cost yet to be recognized related to outstanding options. The weighted average remaining contractual term on options currently exercisable as of June 30, 2017 was 1.88 years . The total intrinsic value of options exercised was $747 , $3,011 , and $1,044 for the fiscal years ended June 30, 2017 , 2016 , and 2015 , respectively. Restricted Stock Plan and 2015 Equity Incentive Plan The Restricted Stock Plan was adopted by the Company on November 1, 2005 , for its employees. The plan expired on November 1, 2015 . Up to 3,000 shares of common stock were available for issuance under the plan. The 2015 EIP was adopted by the company on November 10, 2015 for its employees. Up to 3,000 shares of common stock are available for issuance under the 2015 Equity Incentive Plan. Upon issuance, shares of restricted stock are subject to forfeiture and to restrictions which limit the sale or transfer of the shares during the restriction period. The restrictions will be lifted over periods ranging from 3 years to 5 years from grant date. The following table summarizes non-vested share awards activity: Share awards Shares Weighted Average Grant Date Fair Value Outstanding July 1, 2014 138 33.56 Granted 12 57.77 Vested (71 ) 35.69 Forfeited (7 ) 46.39 Outstanding July 1, 2015 72 34.28 Granted 22 66.31 Vested (24 ) 43.45 Forfeited (12 ) 23.82 Outstanding July 1, 2016 58 44.95 Granted 17 87.27 Vested (38 ) 37.00 Forfeited (1 ) 65.52 Outstanding June 30, 2017 36 $ 73.66 The non-vested share awards granted prior to July 1, 2016 do not participate in dividends during the restriction period. As a result, the weighted-average fair value of the non-vested share awards was based on the fair market value of the Company’s equity shares on the grant date, less the present value of the expected future dividends to be declared during the restriction period, consistent with the methodology for calculating compensation expense on such awards. The 17 non-vested share awards granted during the year ending June 30, 2017 do participate in dividends during the restriction period. The weighted-average fair value of such participating awards was based on the fair market value on the grant date. At June 30, 2017 , there was $1,094 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 0.96 years . An amendment to the Restricted Stock Plan was adopted by the Company on August 20, 2010 . Unit awards were made to employees remaining in continuous employment throughout the performance period and vary based on the Company’s percentile ranking in Total Shareholder Return (“TSR”) over the performance period compared to a peer group of companies. TSR is defined as the change in the stock price through the performance period plus dividends per share paid during the performance period, all divided by the stock price at the beginning of the performance period. It is the intention of the Company to settle the unit awards in shares of the Company’s stock. Certain Restricted Stock Unit awards are not tied to performance goals, and for such awards, vesting occurs over a period of 1 to 3 years. The following table summarizes non-vested unit awards as of June 30, 2017 , as well as activity for the year then ended: Unit awards Shares Weighted Average Grant Date Fair Value Aggregate Outstanding July 1, 2014 709 31.66 Granted 178 53.62 Vested (277 ) 19.69 Forfeited (111 ) 22.74 Outstanding July 1, 2015 499 48.13 Granted 130 75.99 Vested (99 ) 44.09 Forfeited (101 ) 45.89 Outstanding July 1, 2016 429 58.06 Granted 130 77.75 Vested (136 ) 50.12 Forfeited (37 ) 54.30 Outstanding June 30, 2017 386 $67.84 $40,043 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 grant dates are as follows: Year Ended June 30, 2017 2016 2015 Volatility 16.0 % 15.6 % 17.8 % Risk free interest rate 0.93 % 1.06 % 1.06 % Dividend yield 1.3 % 1.5 % 1.5 % Stock Beta 0.684 0.741 0.765 For the year ended June 30, 2017 , 85 unit awards were granted and measured using the above assumptions. The remaining 45 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 June 30, 2017 , there was $9,887 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 1.04 years . The fair value of restricted shares and units at vest date totaled $15,085 , $8,677 , and $20,275 for the years ended June 30, 2017 , 2016 , and 2015 , respectively. |
Earnings Per Share (Text Block)
Earnings Per Share (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share, Basic and Diluted [Abstract] | |
Earnings Per Share [Text Block] | EARNINGS PER SHARE The following table reflects the reconciliation between basic and diluted earnings per share. Year Ended June 30, 2017 2016 2015 Net Income $ 245,793 $ 248,867 $ 211,221 Common share information: Weighted average shares outstanding for basic earnings per share 77,856 79,416 81,353 Dilutive effect of stock options and restricted stock 399 318 248 Weighted average shares outstanding for diluted earnings per share 78,255 79,734 81,601 Basic earnings per share $ 3.16 $ 3.13 $ 2.60 Diluted earnings per share $ 3.14 $ 3.12 $ 2.59 Per share information is based on the weighted average number of common shares outstanding for each of the fiscal years. Stock options and restricted stock have been included in the calculation of earnings per share to the extent they are dilutive. The two-class method for computing EPS has not been applied because no outstanding awards contain non-forfeitable rights to participate in dividends. There were 32 anti-dilutive stock options and restricted stock excluded for fiscal 2017 , 0 shares excluded for fiscal 2016 , and 0 shares excluded for fiscal 2015 . |
Employee Benefits Plans (Text B
Employee Benefits Plans (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Stock Purchase Plan and 401(k) Disclosure [Text Block] | EMPLOYEE BENEFIT PLANS The Company established an employee stock purchase plan in 2006 . The plan allows the majority of employees the opportunity to directly purchase shares of the Company at a 15% discount. The plan does not meet the criteria as a non-compensatory plan. As a result, the Company records the total dollar value of the stock discount given to employees under the plan as expense. Total expense recorded by the Company under the plan for the year ended June 30, 2017 , 2016 and 2015 was $1,102 , $1,008 and $861 , respectively. The Company has a defined contribution plan for its employees: the 401(k) Retirement Savings Plan (the “Plan”). The Plan is subject to the Employee Retirement Income Security Act of 1975 (“ERISA”) as amended. Under the Plan, the Company matches 100% of full time employee contributions up to 5% of eligible compensation subject to a maximum of $5 per year. In order to receive matching contributions, employees must be 18 years of age and be employed for at least six months . The Company has the option of making a discretionary contribution; however, none has been made for any of the three most recent fiscal years. The total matching contributions for the Plan were $17,550 , $16,794 , and $15,378 for fiscal 2017 , 2016 and 2015 , respectively. |
Business Acquisitions (Text Blo
Business Acquisitions (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
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 has been allocated to our Bank Systems and Services segment. The goodwill is not expected to be deductible for income tax purposes. 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 included within general and administrative expenses. The results of Bayside Business Solutions’ operations included in the Company’s consolidated statement of income for the twelve months ended June 30, 2017 included revenue of $6,536 and after-tax net income of $1,307 . For the twelve months ended June 30, 2016 , Bayside Business Solutions' contributed $4,273 to revenue, and after-tax net income of $303 . The accompanying consolidated statements of income do not include any revenues and expenses related to this acquisition prior to the acquisition date. 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) | 12 Months Ended |
Jun. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | REPORTABLE SEGMENT INFORMATION The Company is a leading provider of technology solutions and payment processing services primarily for financial services organizations. 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. Year Ended June 30, 2017 Bank Credit Union Total REVENUE License $ 1,928 $ 457 $ 2,385 Support and service 1,025,378 358,960 1,384,338 Hardware 28,457 15,937 44,394 Total revenue 1,055,763 375,354 1,431,117 COST OF SALES Cost of license 627 103 730 Cost of support and service 605,414 180,729 786,143 Cost of hardware 20,281 11,880 32,161 Total cost of sales 626,322 192,712 819,034 GROSS PROFIT $ 429,441 $ 182,642 612,083 OPERATING EXPENSES 244,381 INTEREST INCOME (EXPENSE) (748 ) INCOME BEFORE INCOME TAXES $ 366,954 Year Ended June 30, 2016 Bank Credit Union Total REVENUE License $ 2,536 $ 505 $ 3,041 Support and service 960,738 340,240 1,300,978 Hardware 33,394 17,233 50,627 Total revenue 996,668 357,978 1,354,646 COST OF SALES Cost of license 1,058 139 1,197 Cost of support and service 564,851 172,257 737,108 Cost of hardware 23,159 12,187 35,346 Total cost of sales 589,068 184,583 773,651 GROSS PROFIT $ 407,600 $ 173,395 580,995 OPERATING EXPENSES 219,336 INTEREST INCOME (EXPENSE) (1,123 ) INCOME BEFORE INCOME TAXES $ 360,536 Year Ended June 30, 2015 Bank Credit Union Total REVENUE License $ 1,727 $ 908 $ 2,635 Support and service 922,545 278,107 1,200,652 Hardware 38,457 14,446 52,903 Total revenue 962,729 293,461 1,256,190 COST OF SALES Cost of license 832 355 1,187 Cost of support and service 533,407 147,343 680,750 Cost of hardware 27,831 10,568 38,399 Total cost of sales 562,070 158,266 720,336 GROSS PROFIT $ 400,659 $ 135,195 535,854 OPERATING EXPENSES 217,989 INTEREST INCOME (EXPENSE) (1,425 ) INCOME BEFORE INCOME TAXES $ 316,440 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 (Text Block)
Subsequent Events (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | SUBSEQUENT EVENTS Dividends On August 18, 2017 , the Company's Board of Directors declared a cash dividend of $0.31 per share on its common stock, payable on September 28, 2017 to shareholders of record on September 8, 2017 . Change in Reportable Segments Beginning in the first quarter of fiscal 2018, JHA intends to make a change to the reportable segment structure. The current Bank and Credit Union segments will be replaced by four new segments: Payments, Core Software, Complementary Software, and Corporate/ Other. The proposed change is being made based on the view of our new Chief Operating Decision Maker, David Foss, that the Company could be more effectively managed using a product-centric approach as opposed to the customer-centric approach that had been previously used. |
Quarterly Financial Information
Quarterly Financial Information (Text Block) | 12 Months Ended |
Jun. 30, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | QUARTERLY FINANCIAL INFORMATION (unaudited) For the Year Ended June 30, 2017 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Total REVENUE License $ 694 $ 849 $ 516 $ 326 $ 2,385 Support and service 333,046 337,515 342,769 371,008 1,384,338 Hardware 11,288 10,189 10,482 12,435 44,394 Total revenue 345,028 348,553 353,767 383,769 1,431,117 COST OF SALES Cost of license 252 59 280 139 730 Cost of support and service 185,892 191,269 198,844 210,138 786,143 Cost of hardware 8,619 6,818 7,603 9,121 32,161 Total cost of sales 194,763 198,146 206,727 219,398 819,034 GROSS PROFIT 150,265 150,407 147,040 164,371 612,083 OPERATING EXPENSES Selling and marketing 22,127 21,903 23,571 25,696 93,297 Research and development 19,739 20,873 20,801 23,340 84,753 General and administrative 16,982 18,989 16,223 17,407 69,601 Gain on disposal of businesses* — 36 (2,286 ) (1,020 ) (3,270 ) Total operating expenses 58,848 61,801 58,309 65,423 244,381 OPERATING INCOME 91,417 88,606 88,731 98,948 367,702 INTEREST INCOME (EXPENSE) Interest income 108 60 42 38 248 Interest expense (142 ) (184 ) (278 ) (392 ) (996 ) Total interest income (expense) (34 ) (124 ) (236 ) (354 ) (748 ) INCOME BEFORE INCOME TAXES 91,383 88,482 88,495 98,594 366,954 PROVISION FOR INCOME TAXES 29,139 29,668 28,451 33,903 121,161 NET INCOME $ 62,244 $ 58,814 $ 60,044 $ 64,691 $ 245,793 Basic earnings per share $ 0.79 $ 0.76 $ 0.77 $ 0.83 $ 3.16 Basic weighted average shares outstanding 78,413 77,814 77,597 77,602 77,856 Diluted earnings per share $ 0.79 $ 0.75 $ 0.77 $ 0.83 $ 3.14 Diluted weighted average shares outstanding 78,844 78,180 77,932 78,064 78,255 *Gain on disposal of business was included in general and administrative expenses within the financial statements previously filed in the Company's Quarterly Reports on Form 10-Q. For the Year Ended June 30, 2016 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Total REVENUE License $ 1,604 $ 634 $ 292 $ 511 $ 3,041 Support and service 307,746 320,219 319,649 353,364 1,300,978 Hardware 12,268 12,019 13,245 13,095 50,627 Total revenue 321,618 332,872 333,186 366,970 1,354,646 COST OF SALES Cost of license 181 498 193 325 1,197 Cost of support and service 174,714 181,989 184,527 195,878 737,108 Cost of hardware 8,768 7,958 9,553 9,067 35,346 Total cost of sales 183,663 190,445 194,273 205,270 773,651 GROSS PROFIT 137,955 142,427 138,913 161,700 580,995 OPERATING EXPENSES Selling and marketing 21,751 22,231 22,732 23,365 90,079 Research and development 18,554 18,862 19,854 23,964 81,234 General and administrative 17,113 16,547 16,497 17,357 67,514 Gain on disposal of businesses — — — (19,491 ) (19,491 ) Total operating expenses 57,418 57,640 59,083 45,195 219,336 OPERATING INCOME 80,537 84,787 79,830 116,505 361,659 INTEREST INCOME (EXPENSE) Interest income 113 91 54 49 307 Interest expense (220 ) (276 ) (486 ) (448 ) (1,430 ) Total interest income (expense) (107 ) (185 ) (432 ) (399 ) (1,123 ) INCOME BEFORE INCOME TAXES 80,430 84,602 79,398 116,106 360,536 PROVISION FOR INCOME TAXES 29,064 25,254 25,515 31,836 111,669 NET INCOME $ 51,366 $ 59,348 $ 53,883 $ 84,270 $ 248,867 Basic net income per share $ 0.64 $ 0.75 $ 0.68 $ 1.07 $ 3.13 Basic weighted average shares outstanding 80,545 79,473 78,805 78,841 79,416 Diluted net income per share $ 0.64 $ 0.74 $ 0.68 $ 1.06 $ 3.12 Diluted weighted average shares outstanding 80,735 79,770 79,167 79,261 79,734 |
Nature of Operations and Summ22
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Consolidation | CONSOLIDATION The 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. |
Use of Estimates | USE OF ESTIMATES The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Revenue Recognition | REVENUE RECOGNITION The Company derives revenue from the following sources: license arrangements, support and service fees (non-software) and hardware sales. There are no rights of return, condition of acceptance or price protection in the Company’s sales contracts. License Arrangements: For software license agreements, the Company recognizes revenue when persuasive evidence of an arrangement exists, delivery of the product or service has occurred, the fee is fixed or determinable and collection is probable. For arrangements where the fee is not fixed or determinable, revenue is deferred until payments become due. The Company’s software license agreements generally include multiple products and services or “elements.” Generally, none of these elements are deemed to be essential to the functionality of the other elements. For multiple element arrangements, which contain software elements and non-software elements, we allocate revenue to the software deliverables and the non-software deliverables as a group based on the relative selling prices of all of the deliverables in the arrangement. For our non-software deliverables, we allocate the arrangement consideration based on the relative selling price of the deliverables using estimated selling price ("ESP"). For our software elements, we use vendor-specific objective evidence ("VSOE") for this allocation when it can be established and ESP when VSOE cannot be established. The selling price for each element is based upon the following selling price hierarchy: VSOE if available, third-party evidence ("TPE") if VSOE is not available, or ESP if neither VSOE or TPE are available. Generally, we are not able to determine TPE because our go-to-market strategy differs from that of our peers and our offerings contain a significant level of differentiation such that the comparable pricing of products with similar functionality cannot be obtained. ESP is determined after considering both market conditions (such as the sale of similar products in the market place) and entity-specific factors (such as pricing practices and the specifics of each transaction). For our non-software deliverables, a delivered item is accounted for as a separate unit of accounting if the delivered item has standalone value and if the customer has a general right of return relative to the delivered item, delivery or performance of the undelivered item is probable and substantially within our control. For our software licenses and related services, including the software elements of multiple-element software and non-software arrangements, U.S. GAAP generally require revenue earned on software arrangements involving multiple elements to be allocated to each element based on vendor-specific objective evidence (“VSOE”) of fair value. VSOE of fair value is determined for implementation services based on a rate per hour for stand-alone professional services and the estimated hours for the bundled implementation, if the hours can be reasonably estimated. VSOE of fair value is determined for post-contract support ("PCS") based upon the price charged when sold separately. For a majority of the elements within our software arrangements, we have determined that VSOE cannot be established; therefore, revenue on our software arrangements is generally deferred until the only remaining element is post-contract support ("PCS"). At that point, the entire arrangement fee is recognized ratably over the remaining PCS period, assuming that all other criteria for revenue recognition have been met. The amounts deferred are included in the balance sheet as deferred revenue and recognized as Bundled Products & Services revenue within Support & Service revenue in the consolidated statements of income. For arrangements that include specified upgrades, such upgrades are accounted for as a separate element of the arrangement. For those specified upgrades for which VSOE of fair value cannot be determined, revenue related to the software elements within the arrangement is deferred until such specified upgrades have been delivered. Total revenue recognized related to our Bundled Products & Services was $117,046 , $94,391 , and $62,888 for the years ended June 30, 2017 , 2016 , and 2015 , respectively. Support and Service Fee Revenue (Non-software): Maintenance support revenue contracted for outside of a license arrangement is recognized pro-rata over the contract period, typically one year. Outsourced data processing and ATM, debit card, and other transaction processing services revenue is recognized in the month the transactions are processed or the services are rendered. Hardware Revenue: Hardware revenue is recognized upon delivery to the customer, when title and risk of loss are transferred. In most cases, we do not stock in inventory the hardware products we sell, but arrange for third-party suppliers to drop-ship the products to our customers on our behalf. The revenue related to these hardware sales is recorded gross, as we are the primary obligor in the contract with the customer. The Company also remarkets maintenance contracts on hardware to our customers. Hardware maintenance revenue is recognized ratably over the agreement period. Revenue-based taxes collected from customers and remitted to governmental authorities are presented on a net basis (i.e. excluded from revenues). |
Deferred Costs | DEFERRED COSTS Costs for certain software and hardware maintenance contracts with third parties, which are prepaid, are recognized ratably over the life of the maintenance contract, generally one to five years, with the related revenue amortized from deferred revenues. Direct and incremental costs associated with arrangements subject to Accounting Standards Codification ("ASC") 985-605 (for which VSOE of fair value cannot be established) are deferred until the only remaining element in the revenue arrangement is PCS at which point the costs are recognized ratably over the remaining PCS period with the related revenue. Deferred direct and incremental costs associated with arrangements not subject to ASC 985-605 consist primarily of certain up-front costs incurred in connection with our software hosting arrangements and are recognized ratably over the contract period which typically ranges from 5-7 years. These costs include commissions, costs of third-party licenses and the direct costs of our implementation services, consisting of payroll and other fringe benefits. |
Deferred Revenues | DEFERRED REVENUES Deferred revenues consist primarily of prepaid annual software support fees, deferred bundled software arrangements revenue, and prepaid hardware maintenance fees. Deferred bundled software arrangements revenue and hardware maintenance contracts may be recognized over multiple years; therefore, the related deferred revenue and maintenance are classified as current or non-current in accordance with the terms of the contract. Software and hardware deposits received are also reflected as deferred revenues. The vast majority of our maintenance (PCS) renews annually and runs from July 1 to June 30. Renewal billings are submitted to customers each June and the Company has the right to bill at that date; therefore we include those billings as gross in deferred revenue and as a receivable on our balance sheet at the end of each fiscal year. |
Computer Software Development | COMPUTER SOFTWARE DEVELOPMENT The Company capitalizes new product development costs incurred for software to be sold from the point at which technological feasibility has been established through the point at which the product is ready for general availability. Software development costs that are capitalized are evaluated on a product-by-product basis annually and are assigned an estimated economic life based on the type of product, market characteristics, and maturity of the market for that particular product. These costs are amortized based on current and estimated future revenue from the product or on a straight-line basis, whichever yields greater amortization expense. All of this amortization expense is included within Cost of support and service. |
Internal Use Software | The Company capitalizes development costs for internal use software beginning at the start of application development. Amortization begins on the date the software is placed in service and the amortization period is based on estimated useful life. |
Cash Equivalents | CASH EQUIVALENTS The Company considers all highly liquid investments with maturities of three months or less at the time of acquisition to be cash equivalents. |
Accounts Receivable | ACCOUNTS RECEIVABLE Receivables are recorded at the time of billing. A reasonable estimate of the realizability of customer receivables is made through the establishment of an allowance for doubtful accounts, which is estimated based on a combination of write-off history, aging analysis, and any specifically known collection issues. |
Property and Equipment | 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. |
Intangible Assets | 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. The Company reviews its long-lived assets and identifiable intangible assets with finite lives for impairment whenever events or changes in circumstances have indicated that the carrying amount of its assets might not be recoverable. The Company evaluates goodwill and other indefinite-lived intangible assets for impairment of value on an annual basis as of January 1 and between annual tests if events or changes in circumstances indicate that the asset might be impaired. |
Comprehensive Income | COMPREHENSIVE INCOME Comprehensive income for each of the years ending June 30, 2017 , 2016 , and 2015 equals the Company’s net income. |
Reportable Segment Information | REPORTABLE SEGMENT INFORMATION In accordance with U.S. GAAP, the Company's operations are classified as two reportable segments: bank systems and services and credit union systems and services (see Note 13). Revenue by type of product and service is presented on the face of the consolidated statements of income. Substantially all the Company’s revenues are derived from operations and assets located within the United States of America. |
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. |
Earnings Per Share | EARNINGS PER SHARE Per share information is based on the weighted average number of common shares outstanding during the year. Stock options and restricted stock have been included in the calculation of income per diluted share to the extent they are dilutive. The difference between basic and diluted weighted average shares outstanding is the dilutive effect of outstanding stock options and restricted stock (see Note 10). |
Income Taxes | INCOME TAXES Deferred tax liabilities and assets are recognized for the tax effects of differences between the financial statement and tax bases of assets and liabilities. A valuation allowance would be established to reduce deferred tax assets if it is more likely than not that a deferred tax asset will not be realized. The Company recognizes the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based upon the technical merits of the position. The tax benefit recognized in the financial statements from such a position is measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. Also, interest and penalties expense are recognized on the full amount of deferred benefits for uncertain tax positions. Our policy is to include interest and penalties related to unrecognized tax benefits in income tax expense. |
Fair Value of Financial Instr23
Fair Value of Financial Instruments (Policies) | 12 Months Ended |
Jun. 30, 2017 | |
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 fair value of long-term debt also approximates carrying value as estimated using discounted cash flows based on the Company’s current incremental borrowing rates. 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 Instr24
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Recurring Fair Value Measurements [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 Recurring Fair Value Measurements Level 1 Level 2 Level 3 Value June 30, 2017 Financial Assets: Money market funds $ 68,474 $ — $ — $ 68,474 Certificate of Deposit $ — $ 2,001 $ — $ 2,001 Financial Liabilities: Revolving credit facility $ — $ 50,000 $ — $ 50,000 June 30, 2016 Financial Assets: Money market funds $ 35,782 $ — $ — $ 35,782 Certificate of Deposit $ — $ 1,000 $ — $ 1,000 Financial Liabilities: Revolving credit facility $ — $ — $ — $ — |
Non-Recurring Fair Value Measurements [Table Text Block] | Non-Recurring Fair Value Measurements June 30, 2017 Long-lived assets held for sale (a) $ — $ 1,300 $ — $ 1,300 (a) In accordance with ASC Subtopic 360-10, long-lived assets held for sale with a carrying value of $4,575 were written down to their fair value of $1,300 , resulting in an impairment totaling $3,275 , which was included in earnings for the period. These assets are expected to be disposed of by sale within the twelve months of June 30, 2017 . |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment [Table Text Block] | The classification of property and equipment, together with their estimated useful lives is as follows: June 30, 2017 2016 Estimated Useful Life Land $ 24,987 $ 24,987 Land improvements 25,362 25,470 5 - 20 years Buildings 143,350 146,464 20 - 30 years Leasehold improvements 47,291 46,897 5 - 30 years (1) Equipment and furniture 332,465 337,565 3 - 10 years Aircraft and equipment 38,522 37,967 4 - 10 years Construction in progress 15,971 7,373 627,948 626,723 Less accumulated depreciation 345,014 328,159 Property and equipment, net $ 282,934 $ 298,564 (1) Lesser of lease term or estimated useful life |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | The carrying amount of goodwill for the years ended June 30, 2017 and 2016 , by reportable segments, is as follows: June 30, Bank systems and services 2017 2016 Beginning balance $ 423,282 $ 420,795 Goodwill, acquired during the year — 6,099 Goodwill, written-off related to sale (388 ) (3,612 ) Ending balance $ 422,894 $ 423,282 Credit Union systems and services Beginning balance $ 129,571 $ 129,571 Goodwill, acquired during the year — — Ending balance $ 129,571 $ 129,571 |
Schedule of Intangible Assets [Table Text Block] | Information regarding other identifiable intangible assets is as follows: June 30, 2017 Gross Carrying Amount Accumulated Amortization Net Customer relationships $ 262,693 $ (172,260 ) $ 90,433 Computer software $ 543,913 $ (296,596 ) $ 247,317 Other intangible assets: $ 71,190 $ (34,797 ) $ 36,393 June 30, 2016 Gross Carrying Amount Accumulated Amortization Net Customer relationships $ 266,545 $ (162,460 ) $ 104,085 Computer software $ 474,738 $ (252,623 ) $ 222,115 Other intangible assets: $ 56,494 $ (20,788 ) $ 35,706 |
Schedule of Future Amortization Expense [Table Text Block] | The estimated aggregate future amortization expense for each of the next five years for all intangible assets remaining as of June 30, 2017 , is as follows: Years Ending June 30, Computer Software Customer Relationships Other Intangible Assets Total 2018 $ 60,412 $ 12,220 $ 12,779 $ 85,411 2019 52,157 11,978 8,462 72,597 2020 41,555 10,074 2,962 54,591 2021 24,874 8,430 641 33,945 2022 9,522 7,811 613 17,946 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | The Company’s outstanding long and short-term debt is as follows: June 30, June 30, 2017 2016 LONG-TERM DEBT Revolving credit facility $ 50,000 $ — |
Schedule of Short-term Debt [Table Text Block] | SHORT-TERM DEBT Capital leases $ — $ 200 |
Schedule of Maturities of Long-term Debt [Table Text Block] | The following table summarizes the future annual principal payments required for all outstanding debt as of June 30, 2017 : Fiscal years ended June 30, 2020 50,000 $ 50,000 |
Commitments and Contingencies L
Commitments and Contingencies Lease Commitments (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Leases [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | As of June 30, 2017 , net future minimum lease payments are as follows: Years Ending June 30, Lease Payments 2018 $ 10,945 2019 8,172 2020 6,675 2021 4,578 2022 3,317 Thereafter 14,304 Total $ 47,991 |
Income Taxes Income Taxes (Tabl
Income Taxes Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The provision for income taxes consists of the following: Year Ended June 30, 2017 2016 2015 Current: Federal $ 80,752 $ 66,574 $ 70,555 State 9,469 7,571 5,221 Deferred: Federal 25,756 34,355 28,018 State 5,184 3,169 1,425 $ 121,161 $ 111,669 $ 105,219 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | The tax effects of temporary differences related to deferred taxes shown on the balance sheets were: June 30, 2017 2016 Deferred tax assets: Contract and service revenues and costs $ 54,908 $ 69,597 Expense reserves (bad debts, insurance, franchise tax and vacation) 14,648 14,770 Net operating loss carryforwards 3,547 3,543 Other, net 2,119 2,090 Total gross deferred tax assets 75,222 90,000 Valuation allowance (357 ) (608 ) Net deferred tax assets 74,865 89,392 Deferred tax liabilities: Accelerated tax depreciation (36,994 ) (40,857 ) Accelerated tax amortization (178,999 ) (160,719 ) Contract and service revenues and costs (78,413 ) (76,417 ) Total gross deferred liabilities (294,406 ) (277,993 ) Net deferred tax liability $ (219,541 ) $ (188,601 ) |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The following analysis reconciles the statutory federal income tax rate to the effective income tax rates reflected above: Year Ended June 30, 2017 2016 2015 Computed "expected" tax expense 35.0 % 35.0 % 35.0 % Increase (reduction) in taxes resulting from: State income taxes, net of federal income tax benefits 2.6 % 1.9 % 1.4 % Research and development credit (2.0 )% (2.5 )% (1.5 )% Domestic production activities deduction (2.1 )% (1.9 )% (2.0 )% Tax over book basis in subsidiary stock — % (1.7 )% — % Tax effects of share-based payments (0.7 )% — % — % Other (net) 0.2 % 0.2 % 0.4 % 33.0 % 31.0 % 33.3 % |
Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Table Text Block] | A reconciliation of the unrecognized tax benefits for the years ended June 30, 2017 and 2016 follows: Unrecognized Tax Benefits Balance at July 1, 2015 $ 7,104 Additions for current year tax positions 1,581 Reductions for current year tax positions (56 ) Additions for prior year tax positions 507 Reductions for prior year tax positions (38 ) Reductions related to expirations of statute of limitations (1,677 ) Balance at June 30, 2016 7,421 Additions for current year tax positions 1,457 Reductions for current year tax positions — Additions for prior year tax positions 23 Reductions for prior year tax positions (766 ) Settlements (1,040 ) Reductions related to expirations of statute of limitations (1,646 ) Balance at June 30, 2017 $ 5,449 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
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 the plans is as follows: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value Outstanding July 1, 2014 125 $ 22.29 Granted — — Forfeited — — Exercised (25 ) 19.17 Outstanding July 1, 2015 100 23.07 Granted — — Forfeited — — Exercised (50 ) 23.99 Outstanding July 1, 2016 50 22.14 Granted 32 87.27 Forfeited — — Exercised (10 ) 28.52 Outstanding June 30, 2017 72 $ 50.04 $ 3,859 Vested and Expected to Vest June 30, 2017 72 $ 50.04 $ 3,859 Exercisable June 30, 2017 40 $ 20.55 $ 3,333 |
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 activity: Share awards Shares Weighted Average Grant Date Fair Value Outstanding July 1, 2014 138 33.56 Granted 12 57.77 Vested (71 ) 35.69 Forfeited (7 ) 46.39 Outstanding July 1, 2015 72 34.28 Granted 22 66.31 Vested (24 ) 43.45 Forfeited (12 ) 23.82 Outstanding July 1, 2016 58 44.95 Granted 17 87.27 Vested (38 ) 37.00 Forfeited (1 ) 65.52 Outstanding June 30, 2017 36 $ 73.66 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | The following table summarizes non-vested unit awards as of June 30, 2017 , as well as activity for the year then ended: Unit awards Shares Weighted Average Grant Date Fair Value Aggregate Outstanding July 1, 2014 709 31.66 Granted 178 53.62 Vested (277 ) 19.69 Forfeited (111 ) 22.74 Outstanding July 1, 2015 499 48.13 Granted 130 75.99 Vested (99 ) 44.09 Forfeited (101 ) 45.89 Outstanding July 1, 2016 429 58.06 Granted 130 77.75 Vested (136 ) 50.12 Forfeited (37 ) 54.30 Outstanding June 30, 2017 386 $67.84 $40,043 |
ScheduleOfShareBasedPaymentAwardRSUValuationAssumptionsTableTextBlock [Table Text Block] | The weighted average assumptions used in this model to estimate fair value at the grant dates are as follows: Year Ended June 30, 2017 2016 2015 Volatility 16.0 % 15.6 % 17.8 % Risk free interest rate 0.93 % 1.06 % 1.06 % Dividend yield 1.3 % 1.5 % 1.5 % Stock Beta 0.684 0.741 0.765 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
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. Year Ended June 30, 2017 2016 2015 Net Income $ 245,793 $ 248,867 $ 211,221 Common share information: Weighted average shares outstanding for basic earnings per share 77,856 79,416 81,353 Dilutive effect of stock options and restricted stock 399 318 248 Weighted average shares outstanding for diluted earnings per share 78,255 79,734 81,601 Basic earnings per share $ 3.16 $ 3.13 $ 2.60 Diluted earnings per share $ 3.14 $ 3.12 $ 2.59 |
Business Acquisitions (Tables)
Business Acquisitions (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Net [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | 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 |
Business Segment Information 33
Business Segment Information (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Segment Reporting [Abstract] | |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated [Table Text Block] | Year Ended June 30, 2017 Bank Credit Union Total REVENUE License $ 1,928 $ 457 $ 2,385 Support and service 1,025,378 358,960 1,384,338 Hardware 28,457 15,937 44,394 Total revenue 1,055,763 375,354 1,431,117 COST OF SALES Cost of license 627 103 730 Cost of support and service 605,414 180,729 786,143 Cost of hardware 20,281 11,880 32,161 Total cost of sales 626,322 192,712 819,034 GROSS PROFIT $ 429,441 $ 182,642 612,083 OPERATING EXPENSES 244,381 INTEREST INCOME (EXPENSE) (748 ) INCOME BEFORE INCOME TAXES $ 366,954 Year Ended June 30, 2016 Bank Credit Union Total REVENUE License $ 2,536 $ 505 $ 3,041 Support and service 960,738 340,240 1,300,978 Hardware 33,394 17,233 50,627 Total revenue 996,668 357,978 1,354,646 COST OF SALES Cost of license 1,058 139 1,197 Cost of support and service 564,851 172,257 737,108 Cost of hardware 23,159 12,187 35,346 Total cost of sales 589,068 184,583 773,651 GROSS PROFIT $ 407,600 $ 173,395 580,995 OPERATING EXPENSES 219,336 INTEREST INCOME (EXPENSE) (1,123 ) INCOME BEFORE INCOME TAXES $ 360,536 Year Ended June 30, 2015 Bank Credit Union Total REVENUE License $ 1,727 $ 908 $ 2,635 Support and service 922,545 278,107 1,200,652 Hardware 38,457 14,446 52,903 Total revenue 962,729 293,461 1,256,190 COST OF SALES Cost of license 832 355 1,187 Cost of support and service 533,407 147,343 680,750 Cost of hardware 27,831 10,568 38,399 Total cost of sales 562,070 158,266 720,336 GROSS PROFIT $ 400,659 $ 135,195 535,854 OPERATING EXPENSES 217,989 INTEREST INCOME (EXPENSE) (1,425 ) INCOME BEFORE INCOME TAXES $ 316,440 |
Quarterly Financial Informati34
Quarterly Financial Information (Tables) | 12 Months Ended |
Jun. 30, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information [Table Text Block] | For the Year Ended June 30, 2017 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Total REVENUE License $ 694 $ 849 $ 516 $ 326 $ 2,385 Support and service 333,046 337,515 342,769 371,008 1,384,338 Hardware 11,288 10,189 10,482 12,435 44,394 Total revenue 345,028 348,553 353,767 383,769 1,431,117 COST OF SALES Cost of license 252 59 280 139 730 Cost of support and service 185,892 191,269 198,844 210,138 786,143 Cost of hardware 8,619 6,818 7,603 9,121 32,161 Total cost of sales 194,763 198,146 206,727 219,398 819,034 GROSS PROFIT 150,265 150,407 147,040 164,371 612,083 OPERATING EXPENSES Selling and marketing 22,127 21,903 23,571 25,696 93,297 Research and development 19,739 20,873 20,801 23,340 84,753 General and administrative 16,982 18,989 16,223 17,407 69,601 Gain on disposal of businesses* — 36 (2,286 ) (1,020 ) (3,270 ) Total operating expenses 58,848 61,801 58,309 65,423 244,381 OPERATING INCOME 91,417 88,606 88,731 98,948 367,702 INTEREST INCOME (EXPENSE) Interest income 108 60 42 38 248 Interest expense (142 ) (184 ) (278 ) (392 ) (996 ) Total interest income (expense) (34 ) (124 ) (236 ) (354 ) (748 ) INCOME BEFORE INCOME TAXES 91,383 88,482 88,495 98,594 366,954 PROVISION FOR INCOME TAXES 29,139 29,668 28,451 33,903 121,161 NET INCOME $ 62,244 $ 58,814 $ 60,044 $ 64,691 $ 245,793 Basic earnings per share $ 0.79 $ 0.76 $ 0.77 $ 0.83 $ 3.16 Basic weighted average shares outstanding 78,413 77,814 77,597 77,602 77,856 Diluted earnings per share $ 0.79 $ 0.75 $ 0.77 $ 0.83 $ 3.14 Diluted weighted average shares outstanding 78,844 78,180 77,932 78,064 78,255 *Gain on disposal of business was included in general and administrative expenses within the financial statements previously filed in the Company's Quarterly Reports on Form 10-Q. For the Year Ended June 30, 2016 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Total REVENUE License $ 1,604 $ 634 $ 292 $ 511 $ 3,041 Support and service 307,746 320,219 319,649 353,364 1,300,978 Hardware 12,268 12,019 13,245 13,095 50,627 Total revenue 321,618 332,872 333,186 366,970 1,354,646 COST OF SALES Cost of license 181 498 193 325 1,197 Cost of support and service 174,714 181,989 184,527 195,878 737,108 Cost of hardware 8,768 7,958 9,553 9,067 35,346 Total cost of sales 183,663 190,445 194,273 205,270 773,651 GROSS PROFIT 137,955 142,427 138,913 161,700 580,995 OPERATING EXPENSES Selling and marketing 21,751 22,231 22,732 23,365 90,079 Research and development 18,554 18,862 19,854 23,964 81,234 General and administrative 17,113 16,547 16,497 17,357 67,514 Gain on disposal of businesses — — — (19,491 ) (19,491 ) Total operating expenses 57,418 57,640 59,083 45,195 219,336 OPERATING INCOME 80,537 84,787 79,830 116,505 361,659 INTEREST INCOME (EXPENSE) Interest income 113 91 54 49 307 Interest expense (220 ) (276 ) (486 ) (448 ) (1,430 ) Total interest income (expense) (107 ) (185 ) (432 ) (399 ) (1,123 ) INCOME BEFORE INCOME TAXES 80,430 84,602 79,398 116,106 360,536 PROVISION FOR INCOME TAXES 29,064 25,254 25,515 31,836 111,669 NET INCOME $ 51,366 $ 59,348 $ 53,883 $ 84,270 $ 248,867 Basic net income per share $ 0.64 $ 0.75 $ 0.68 $ 1.07 $ 3.13 Basic weighted average shares outstanding 80,545 79,473 78,805 78,841 79,416 Diluted net income per share $ 0.64 $ 0.74 $ 0.68 $ 1.06 $ 3.12 Diluted weighted average shares outstanding 80,735 79,770 79,167 79,261 79,734 |
Bundled Products & Services (De
Bundled Products & Services (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Deferred Revenue Disclosure [Abstract] | |||
Bundled Products & Services ratable revenue | $ 117,046 | $ 94,391 | $ 62,888 |
Treasury Stock (Details)
Treasury Stock (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Equity [Abstract] | |||
Treasury Stock, Shares | 25,660,212 | 24,208,517 | |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 4,330,000 | 5,782,000 | |
Treasury Stock, Value | $ 1,006,274 | $ 876,134 | |
Treasury Stock, Shares, Acquired | 1,452,000 | ||
Payments for Repurchase of Common Stock | $ 130,140 | $ 175,662 | $ 122,691 |
Nature of Operations and Summ37
Nature of Operations and Summary of Significant Accounting Policies Recent Accounting Pronouncements (Details) - New Accounting Pronouncement, Early Adoption, Effect [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
New Accounting Pronouncement, Early Adoption [Line Items] | ||
Excess Tax Benefit from Share-based Compensation, Operating Activities | $ (2,638) | $ (1,306) |
Excess Tax Benefit from Share-based Compensation, Financing Activities | $ 2,638 | $ 1,306 |
New Accounting Pronouncement, Effect of Change On Effective Income Tax Rate | 0.72% | |
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 |
Fair Value of Financial Instr38
Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-lived assets held for sale, carrying value prior to impairment | $ 4,575 | |
Impairment of Long-Lived Assets to be Disposed of | (3,275) | |
Fair Value, Measurements, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-lived assets held for sale | 1,300 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-lived assets held for sale | 0 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-lived assets held for sale | 1,300 | |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-lived assets held for sale | 0 | |
Revolving Credit Facility [Member] | Line of Credit [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Lines of Credit, Fair Value Disclosure | 50,000 | $ 0 |
Revolving Credit Facility [Member] | Line of Credit [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Lines of Credit, Fair Value Disclosure | 0 | 0 |
Revolving Credit Facility [Member] | Line of Credit [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Lines of Credit, Fair Value Disclosure | 50,000 | 0 |
Revolving Credit Facility [Member] | Line of Credit [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Lines of Credit, Fair Value Disclosure | 0 | 0 |
Money Market Funds [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 68,474 | 35,782 |
Money Market Funds [Member] | Fair Value, Measurements, Recurring [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 | 68,474 | 35,782 |
Money Market Funds [Member] | Fair Value, Measurements, Recurring [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, Measurements, Recurring [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, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 2,001 | 1,000 |
Certificates of Deposit [Member] | Fair Value, Measurements, Recurring [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, Measurements, Recurring [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 | 2,001 | 1,000 |
Certificates of Deposit [Member] | Fair Value, Measurements, Recurring [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 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Land | $ 24,987 | $ 24,987 |
Land improvements | 25,362 | 25,470 |
Buildings | 143,350 | 146,464 |
Leasehold improvements | 47,291 | 46,897 |
Equipment and furniture | 332,465 | 337,565 |
Aircraft and equipment | 38,522 | 37,967 |
Construction in progress | 15,971 | 7,373 |
Property and equipment, total | 627,948 | 626,723 |
Less accumulated depreciation | 345,014 | 328,159 |
Property and equipment, net | 282,934 | 298,564 |
Liabilities Assumed | 534 | $ 651 |
Impairment of Long-Lived Assets to be Disposed of | $ 3,275 | |
Land Improvements [Member] | Minimum [Member] | ||
Estimated Useful Life | 5 years | |
Land Improvements [Member] | Maximum [Member] | ||
Estimated Useful Life | 20 years | |
Building [Member] | Minimum [Member] | ||
Estimated Useful Life | 20 years | |
Building [Member] | Maximum [Member] | ||
Estimated Useful Life | 30 years | |
Leasehold Improvements [Member] | Minimum [Member] | ||
Estimated Useful Life | 5 years | |
Leasehold Improvements [Member] | Maximum [Member] | ||
Estimated Useful Life | 30 years | |
Equipment [Member] | Minimum [Member] | ||
Estimated Useful Life | 3 years | |
Equipment [Member] | Maximum [Member] | ||
Estimated Useful Life | 10 years | |
Flight Equipment [Member] | Minimum [Member] | ||
Estimated Useful Life | 4 years | |
Flight Equipment [Member] | Maximum [Member] | ||
Estimated Useful Life | 10 years | |
Bank Systems and Services [Member] | ||
Impairment of Long-Lived Assets to be Disposed of | $ 3,275 |
Other Assets Goodwill (Details)
Other Assets Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | $ 552,853 | |
Goodwill, ending balance | 552,465 | $ 552,853 |
Bank Systems and Services [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 423,282 | 420,795 |
Goodwill, acquired during the year | 0 | 6,099 |
Goodwill, written off related to sale | (388) | (3,612) |
Goodwill, ending balance | 422,894 | 423,282 |
Credit Union Systems and Services [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 129,571 | 129,571 |
Goodwill, acquired during the year | 0 | 0 |
Goodwill, ending balance | $ 129,571 | 129,571 |
Business Acquisition, Bayside Business Solutions [Member] | Bank Systems and Services [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill, acquired during the year | $ 6,099 |
Other Assets Other Intangible A
Other Assets Other Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Capitalized Computer Software, Net | $ 247,317 | $ 222,115 | |
Impairment of Intangible Assets (Excluding Goodwill) | 0 | $ 0 | |
Amortization | 90,109 | 79,077 | 64,841 |
Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 262,693 | 266,545 | |
Finite-Lived Intangible Assets, Accumulated Amortization | 172,260 | 162,460 | |
Finite-Lived Intangible Assets, Net of Amortization | 90,433 | 104,085 | |
Computer Software to be Sold, Leased, or Marketed [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Capitalized Computer Software, Net | 117,065 | 108,991 | |
Internal Use Computer Software [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Capitalized Computer Software, Net | 130,252 | 113,124 | |
Computer Software [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 543,913 | 474,738 | |
Finite-Lived Intangible Assets, Accumulated Amortization | 296,596 | 252,623 | |
Finite-Lived Intangible Assets, Net of Amortization | 247,317 | 222,115 | |
Impairment of Intangible Assets (Excluding Goodwill) | 0 | ||
Amortization | 60,880 | 54,810 | $ 43,798 |
Other Intangible Assets [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 71,190 | 56,494 | |
Finite-Lived Intangible Assets, Accumulated Amortization | 34,797 | 20,788 | |
Finite-Lived Intangible Assets, Net of Amortization | $ 36,393 | $ 35,706 | |
Minimum [Member] | Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 5 years | ||
Minimum [Member] | Computer Software [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 5 years | ||
Minimum [Member] | Other Intangible Assets [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 3 years | ||
Maximum [Member] | Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 20 years | ||
Maximum [Member] | Computer Software [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 10 years | ||
Maximum [Member] | Other Intangible Assets [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 20 years |
Other Assets Future Amortizatio
Other Assets Future Amortization Expense (Details) $ in Thousands | Jun. 30, 2017USD ($) |
2,018 | $ 85,411 |
2,019 | 72,597 |
2,020 | 54,591 |
2,021 | 33,945 |
2,022 | 17,946 |
Customer Relationships [Member] | |
2,018 | 12,220 |
2,019 | 11,978 |
2,020 | 10,074 |
2,021 | 8,430 |
2,022 | 7,811 |
Computer Software [Member] | |
2,018 | 60,412 |
2,019 | 52,157 |
2,020 | 41,555 |
2,021 | 24,874 |
2,022 | 9,522 |
Other Intangible Assets [Member] | |
2,018 | 12,779 |
2,019 | 8,462 |
2,020 | 2,962 |
2,021 | 641 |
2,022 | $ 613 |
Long Term (Details)
Long Term (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
LONG TERM DEBT | ||
Debt, net of current maturities | $ 50,000 | $ 0 |
Revolving Credit Facility [Member] | Line of Credit [Member] | ||
LONG TERM DEBT | ||
Long Term Debt | $ 50,000 | $ 0 |
Short Term (Details)
Short Term (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Short-term Debt [Abstract] | ||
Capital leases | $ 0 | $ 200 |
Notes payable and current maturities of long term debt | $ 0 | $ 200 |
Debt Maturity (Details)
Debt Maturity (Details) $ in Thousands | Jun. 30, 2017USD ($) |
Debt Disclosure [Abstract] | |
2,020 | $ 50,000 |
Annual Principal Payments | $ 50,000 |
Debt Narrative (Details)
Debt Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Debt Instrument [Line Items] | |||
Capital leases - short term | $ 0 | $ 200 | |
Capital Leased Assets, Gross | 2,329 | ||
Capital Leased Assets, Accumulated Depreciation | 898 | ||
Interest Paid | 767 | 1,320 | $ 1,111 |
Revolving Credit Facility [Member] | Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Long-term Debt | 50,000 | $ 0 | |
Revolving Credit Facility, Current Borrowing Capacity | 300,000 | ||
Revolving Credit Facility, Maximum Borrowing Capacity | $ 600,000 | ||
Revolving Credit Facility, Expiration Date | Feb. 20, 2020 | ||
Unsecured Debt [Member] | |||
Debt Instrument [Line Items] | |||
Unsecured Loan, Issuance Date | Apr. 24, 2017 | ||
Unsecured Loan, Unused Borrowing Capacity | $ 5,000 | ||
Unsecured Loan, Maturity Date | Apr. 30, 2019 | ||
Unsecured Loan, Amount Outstanding | $ 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%) |
Commitments and Contingencies47
Commitments and Contingencies Long Term Commitments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Material Commitments to Purchase Property and Equipment | $ 0 | $ 0 |
Commitments and Contingencies48
Commitments and Contingencies Lease Commitments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
2,018 | $ 10,945 | ||
2,019 | 8,172 | ||
2,020 | 6,675 | ||
2,021 | 4,578 | ||
2,022 | 3,317 | ||
Thereafter | 14,304 | ||
Future Lease Payments | 47,991 | ||
Operating Leases, Rent Expense | $ 10,195 | $ 10,167 | $ 9,547 |
Maximum [Member] | |||
Lessee Leasing Arrangements, Operating Leases, Term of Contract | 13 years |
Provision For Income Taxes (Det
Provision For Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Income Tax Disclosure [Abstract] | |||||||||||
Current Federal | $ 80,752 | $ 66,574 | $ 70,555 | ||||||||
Current State | 9,469 | 7,571 | 5,221 | ||||||||
Deferred Federal | 25,756 | 34,355 | 28,018 | ||||||||
Deferred State | 5,184 | 3,169 | 1,425 | ||||||||
PROVISION FOR INCOME TAXES | $ 33,903 | $ 28,451 | $ 29,668 | $ 29,139 | $ 31,836 | $ 25,515 | $ 25,254 | $ 29,064 | $ 121,161 | $ 111,669 | $ 105,219 |
Deferred Tax Liability (Details
Deferred Tax Liability (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Jun. 30, 2016 |
Income Tax Disclosure [Abstract] | ||
Contract and service revenues and costs | $ 54,908 | $ 69,597 |
Expense reserves (bad debts, insurance, franchise tax and vacation) | 14,648 | 14,770 |
Net operating loss carryforwards | 3,547 | 3,543 |
Other, net | 2,119 | 2,090 |
Total gross deferred tax assets | 75,222 | 90,000 |
Valuation allowance | (357) | (608) |
Net deferred tax assets | 74,865 | 89,392 |
Accelerated tax depreciation | (36,994) | (40,857) |
Accelerated tax amortization | (178,999) | (160,719) |
Contract and service revenues and costs | (78,413) | (76,417) |
Total gross deferred liabilities | 294,406 | 277,993 |
Net deferred tax liability | $ (219,541) | $ (188,601) |
Effective Tax Rate Reconciliati
Effective Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Jun. 30, 2017Rate | Jun. 30, 2016Rate | Jun. 30, 2015Rate | |
Income Tax Disclosure [Abstract] | |||
Computed expected tax expense | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal income tax benefits | 2.60% | 1.90% | 1.40% |
Research and development credit | (2.00%) | (2.50%) | (1.50%) |
Domestic production activities deduction | (2.10%) | (1.90%) | (2.00%) |
Sale of subsidiary stock | 0.00% | (1.70%) | 0.00% |
Tax effects of share-based payments | (0.70%) | (0.00%) | (0.00%) |
Other reconciling items (net) | 0.20% | 0.20% | 0.40% |
Effective Income Tax Rate Continuing Operations, percent | 33.00% | 31.00% | 33.30% |
Income Taxes Narrative (Details
Income Taxes Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Deferred Tax Assets, Valuation Allowance | $ 357 | $ 608 | |
Income Taxes Paid | 96,074 | 90,307 | $ 61,885 |
Unrecognized Tax Benefits | 5,449 | 7,421 | 7,104 |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 3,990 | 5,986 | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 995 | 1,178 | |
Income Tax penalties and interest expense (or benefits) included in income tax provision | (105) | $ 47 | $ (155) |
Internal Revenue Service (IRS) [Member] | |||
Operating Loss Carryforwards | 5,193 | ||
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards | 1,731 | ||
Minimum [Member] | |||
Expiration of statutes of limitations impact on UTB balance | 500 | ||
Maximum [Member] | |||
Expiration of statutes of limitations impact on UTB balance | $ 1,500 |
Unrecognized Tax Benefits (Deta
Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Unrecognized Tax Benefits, period start | $ 7,421 | $ 7,104 |
Additions for current year tax positions | 1,457 | 1,581 |
Reductions for current year tax positions | 0 | (56) |
Additions for prior year tax positions | 23 | 507 |
Reductions for prior year tax positions | (766) | (38) |
Settlements | 1,040 | |
Reductions related to expirations of statute of limitations | (1,646) | (1,677) |
Unrecognized Tax Benefits, period end | $ 5,449 | $ 7,421 |
Industry and Supplier Concent54
Industry and Supplier Concentrations Concentration Risk (Details) | 12 Months Ended |
Jun. 30, 2017 | |
Risks and Uncertainties [Abstract] | |
Concentration Risk, Customer | The Company sells its products to banks, credit unions, and financial institutions throughout the United States and generally does not require collateral. All billings to customers are due 30 days from date of billing. Reserves (which are insignificant at June 30, 2017 and 2016) are maintained for potential credit losses. |
Concentration Risk, Supplier | In addition, some of the Company’s key solutions are dependent on technology manufactured by IBM Corporation and Microsoft. Termination of the Company’s relationship with either IBM or Microsoft could have a negative impact on the operations of the Company. |
Stock Based Compensation Narrat
Stock Based Compensation Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expense for stock-based compensation | $ 11,129 | $ 10,720 | $ 10,112 |
Restricted Stock Plan Expense | 9,861 | 9,712 | 9,251 |
Tax benefit from stock-based compensation expense | 2,638 | 1,051 | 4,343 |
Restricted Shares and Units, Vested in Period, Fair Value | $ 15,085 | $ 8,677 | $ 20,275 |
Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option Termination Period After Termination of Employment | 90 days | ||
Granted, number of shares | 32,000 | 0 | 0 |
Stock Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 15.78 | ||
Compensation not yet recognized, stock options | $ 334 | ||
Weighted average remaining contractual term | 1 year 321 days | ||
Total intrinsic value of options exercised | $ 747 | $ 3,011 | $ 1,044 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common Stock Reserved for Future Issuance | 3,000,000 | ||
Granted, number of shares | 17,000 | 22,000 | 12,000 |
Compensation expense yet to be recognized | $ 1,094 | ||
Compensation expense yet to be recognized, period for recognition | 350 days | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted, number of shares | 130,000 | 130,000 | 178,000 |
Compensation expense yet to be recognized | $ 9,887 | ||
Compensation expense yet to be recognized, period for recognition | 1 year 15 days | ||
2015 EIP [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common Stock Reserved for Future Issuance | 3,000,000 | ||
2015 EIP [Member] | Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option Exercise Requisite Service Period | 3 years | ||
Stock Option Termination Period After Death | 1 year | ||
Stock Option Termination After Grant Date | 10 years | ||
2005 NSOP [Member] | Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common Stock Reserved for Future Issuance | 700 | ||
Common Stock Reserved for Future Issuance for each Director | 100 | ||
Stock Option Vesting Period | 6 months | ||
Stock Option Exercise Requisite Service Period | 4 years | ||
Stock Option Termination Period After Death | 1 year | ||
Stock Option Termination After Grant Date | 10 years | ||
Minimum [Member] | Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option Exercise Requisite Service Period | 3 years | ||
Maximum [Member] | Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option Exercise Requisite Service Period | 5 years | ||
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 | 45,000 | ||
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 | 85,000 | ||
Percent vesting after one year of service [Member] | 2005 NSOP [Member] | Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option, Percent Vesting | 25.00% | ||
Percent vesting after two years of service [Member] | 2005 NSOP [Member] | Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option, Percent Vesting | 50.00% | ||
Percent vesting after three years of service [Member] | 2005 NSOP [Member] | Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Option, Percent Vesting | 75.00% |
Stock Options (Details)
Stock Options (Details) - Employee Stock Option [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Outstanding, period start, number of shares | 50 | 100 | 125 |
Granted, number of shares | 32 | 0 | 0 |
Forfeited, number of shares | 0 | 0 | 0 |
Exercised, number of shares | (10) | (50) | (25) |
Outstanding, period end, number of shares | 72 | 50 | 100 |
Outstanding, period start, weighted average exercise price | $ 22.14 | $ 23.07 | $ 22.29 |
Granted, weighted average exercise price | 87.27 | 0 | 0 |
Forfeited, weighted average exercise price | 0 | 0 | 0 |
Exercised, weighted average exercise price | 28.52 | 23.99 | 19.17 |
Outstanding, period end, weighted average exercise price | $ 50.04 | $ 22.14 | $ 23.07 |
Outstanding, period end, intrinsic value | $ 3,859 | ||
Vested and Expected to Vest, period end, number of shares | 72 | ||
Vested and Expected to Vest, period end, weighted average exercise price | $ 50.04 | ||
Vested and Expected to Vest, period end, intrinsic value | $ 3,859 | ||
Exercisable, period end, number of shares | 40 | ||
Exercisable, period end, weighted average exercise price | $ 20.55 | ||
Exercisable, period end, intrinsic value | $ 3,333 |
Stock Based Compensation Stock
Stock Based Compensation Stock Option Grant Date Fair Value Assumptions (Details) - Employee Stock Option [Member] | 12 Months Ended |
Jun. 30, 2017Rate | |
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% |
Restricted Stock Share Awards (
Restricted Stock Share Awards (Details) - Restricted Stock [Member] - $ / shares shares in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
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 | 58 | 72 | 138 |
Granted, number of shares | 17 | 22 | 12 |
Vested, number of shares | (38) | (24) | (71) |
Forfeited, number of shares | (1) | (12) | (7) |
Outstanding, period end, number of shares | 36 | 58 | 72 |
Outstanding, period start, weighted average grant date fair value | $ 44.95 | $ 34.28 | $ 33.56 |
Granted, weighted average grant date fair value | 87.27 | 66.31 | 57.77 |
Vested, weighted average grant date fair value | 37 | 43.45 | 35.69 |
Forfeited, weighted average grant date fair value | 65.52 | 23.82 | 46.39 |
Outstanding, period end, weighted average grant date fair value | $ 73.66 | $ 44.95 | $ 34.28 |
Restricted Stock Unit Awards (D
Restricted Stock Unit Awards (Details) - Restricted Stock Units (RSUs) [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
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 | 429 | 499 | 709 |
Granted, number of shares | 130 | 130 | 178 |
Vested, number of shares | (136) | (99) | (277) |
Forfeited, number of shares | (37) | (101) | (111) |
Outstanding, period end, number of shares | 386 | 429 | 499 |
Outstanding, period start, weighted average grant date fair value | $ 58.06 | $ 48.13 | $ 31.66 |
Granted, weighted average grant date fair value | 77.75 | 75.99 | 53.62 |
Vested, weighted average grant date fair value | 50.12 | 44.09 | 19.69 |
Forfeited, weighted average grant date fair value | 54.30 | 45.89 | 22.74 |
Outstanding, period end, weighted average grant date fair value | $ 67.84 | $ 58.06 | $ 48.13 |
Outstanding, period end, aggregate intrinsic value | $ 40,043 |
RSU Measurement Date Assumption
RSU Measurement Date Assumptions (Details) - Restricted Stock Units (RSUs) [Member] | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
RSU grant date weighted average fair value assumptions | |||
Volatility | 16.00% | 15.60% | 17.80% |
Risk free interest rate | 0.93% | 1.06% | 1.06% |
Dividend yield | 1.30% | 1.50% | 1.50% |
Stock Beta | 0.684 | 0.741 | 0.765 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Earnings Per Share, Basic and Diluted [Abstract] | |||||||||||
Net Income | $ 64,691 | $ 60,044 | $ 58,814 | $ 62,244 | $ 84,270 | $ 53,883 | $ 59,348 | $ 51,366 | $ 245,793 | $ 248,867 | $ 211,221 |
Common share information: | |||||||||||
Basic weighted average shares outstanding | 77,602 | 77,597 | 77,814 | 78,413 | 78,841 | 78,805 | 79,473 | 80,545 | 77,856 | 79,416 | 81,353 |
Dilutive effect of stock options and restricted stock | 399 | 318 | 248 | ||||||||
Diluted weighted average shares outstanding | 78,064 | 77,932 | 78,180 | 78,844 | 79,261 | 79,167 | 79,770 | 80,735 | 78,255 | 79,734 | 81,601 |
Basic earnings per share | $ 0.83 | $ 0.77 | $ 0.76 | $ 0.79 | $ 1.07 | $ 0.68 | $ 0.75 | $ 0.64 | $ 3.16 | $ 3.13 | $ 2.60 |
Diluted earnings per share | $ 0.83 | $ 0.77 | $ 0.75 | $ 0.79 | $ 1.06 | $ 0.68 | $ 0.74 | $ 0.64 | $ 3.14 | $ 3.12 | $ 2.59 |
Antidilutive stock options and restricted stock excluded from computation of earnings per share | 32 | 0 | 0 |
Employee Benefits Plans Employe
Employee Benefits Plans Employee Stock Purchase Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Employee Stock Purchase Plan, Discount Percent | 15.00% | ||
Employee Stock Purchase Plan, Expense | $ 1,102 | $ 1,008 | $ 861 |
Employee Benefits Plans 401(k)
Employee Benefits Plans 401(k) (Details) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2017USD ($)Rate | Jun. 30, 2016USD ($) | Jun. 30, 2015USD ($) | |
Compensation and Retirement Disclosure [Abstract] | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | Rate | 100.00% | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | Rate | 5.00% | ||
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Amount | $ 5 | ||
Defined Contribution Plan, Age Requirement | 18 | ||
Defined Contribution Plan, Employment Length Requirement | 6 months | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 0 | ||
Defined Contribution Plan, Matching Contributions | $ 17,550 | $ 16,794 | $ 15,378 |
Business Acquisitions (Details)
Business Acquisitions (Details) - USD ($) $ in Thousands | Jul. 01, 2015 | Jun. 30, 2017 | Jun. 30, 2016 |
Business Acquisition, Bayside Business Solutions [Member] | |||
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 | ||
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 | $ 6,536 | 4,273 | |
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 1,307 | 303 | |
Customer Relationships [Member] | Business Acquisition, Bayside Business Solutions [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 [Member] | Business Acquisition, Bayside Business Solutions [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, Bayside Business Solutions [Member] | |||
Business Acquisition [Line Items] | |||
Finite-lived Intangible Assets Acquired | $ 944 | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 20 years | ||
Bank Systems and Services [Member] | |||
Business Acquisition [Line Items] | |||
Goodwill, acquired during the year | $ 0 | 6,099 | |
Bank Systems and Services [Member] | Business Acquisition, Bayside Business Solutions [Member] | |||
Business Acquisition [Line Items] | |||
Goodwill, acquired during the year | $ 6,099 |
Business Segment Information Na
Business Segment Information Narrative (Details) | 12 Months Ended |
Jun. 30, 2017segment | |
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 | 12 Months Ended | |||||||||
Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
REVENUE | |||||||||||
License | $ 326 | $ 516 | $ 849 | $ 694 | $ 511 | $ 292 | $ 634 | $ 1,604 | $ 2,385 | $ 3,041 | $ 2,635 |
Support and service | 371,008 | 342,769 | 337,515 | 333,046 | 353,364 | 319,649 | 320,219 | 307,746 | 1,384,338 | 1,300,978 | 1,200,652 |
Hardware | 12,435 | 10,482 | 10,189 | 11,288 | 13,095 | 13,245 | 12,019 | 12,268 | 44,394 | 50,627 | 52,903 |
Total revenue | 383,769 | 353,767 | 348,553 | 345,028 | 366,970 | 333,186 | 332,872 | 321,618 | 1,431,117 | 1,354,646 | 1,256,190 |
COST OF SALES | |||||||||||
Cost of license | 139 | 280 | 59 | 252 | 325 | 193 | 498 | 181 | 730 | 1,197 | 1,187 |
Cost of support and service | 210,138 | 198,844 | 191,269 | 185,892 | 195,878 | 184,527 | 181,989 | 174,714 | 786,143 | 737,108 | 680,750 |
Cost of hardware | 9,121 | 7,603 | 6,818 | 8,619 | 9,067 | 9,553 | 7,958 | 8,768 | 32,161 | 35,346 | 38,399 |
Total cost of sales | 219,398 | 206,727 | 198,146 | 194,763 | 205,270 | 194,273 | 190,445 | 183,663 | 819,034 | 773,651 | 720,336 |
GROSS PROFIT | 164,371 | 147,040 | 150,407 | 150,265 | 161,700 | 138,913 | 142,427 | 137,955 | 612,083 | 580,995 | 535,854 |
OPERATING EXPENSES | 65,423 | 58,309 | 61,801 | 58,848 | 45,195 | 59,083 | 57,640 | 57,418 | 244,381 | 219,336 | 217,989 |
INTEREST INCOME (EXPENSE) | (354) | (236) | (124) | (34) | (399) | (432) | (185) | (107) | (748) | (1,123) | (1,425) |
INCOME BEFORE INCOME TAXES | $ 98,594 | $ 88,495 | $ 88,482 | $ 91,383 | $ 116,106 | $ 79,398 | $ 84,602 | $ 80,430 | 366,954 | 360,536 | 316,440 |
Bank Systems and Services [Member] | |||||||||||
REVENUE | |||||||||||
License | 1,928 | 2,536 | 1,727 | ||||||||
Support and service | 1,025,378 | 960,738 | 922,545 | ||||||||
Hardware | 28,457 | 33,394 | 38,457 | ||||||||
Total revenue | 1,055,763 | 996,668 | 962,729 | ||||||||
COST OF SALES | |||||||||||
Cost of license | 627 | 1,058 | 832 | ||||||||
Cost of support and service | 605,414 | 564,851 | 533,407 | ||||||||
Cost of hardware | 20,281 | 23,159 | 27,831 | ||||||||
Total cost of sales | 626,322 | 589,068 | 562,070 | ||||||||
GROSS PROFIT | 429,441 | 407,600 | 400,659 | ||||||||
Credit Union Systems and Services [Member] | |||||||||||
REVENUE | |||||||||||
License | 457 | 505 | 908 | ||||||||
Support and service | 358,960 | 340,240 | 278,107 | ||||||||
Hardware | 15,937 | 17,233 | 14,446 | ||||||||
Total revenue | 375,354 | 357,978 | 293,461 | ||||||||
COST OF SALES | |||||||||||
Cost of license | 103 | 139 | 355 | ||||||||
Cost of support and service | 180,729 | 172,257 | 147,343 | ||||||||
Cost of hardware | 11,880 | 12,187 | 10,568 | ||||||||
Total cost of sales | 192,712 | 184,583 | 158,266 | ||||||||
GROSS PROFIT | $ 182,642 | $ 173,395 | $ 135,195 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | Aug. 18, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 |
Subsequent Events | ||||
Dividends declared per share | $ 1.18 | $ 1.06 | $ 0.94 | |
Dividend declared | ||||
Subsequent Events | ||||
Dividend declared date | Aug. 18, 2017 | |||
Dividends declared per share | $ 0.31 | |||
Dividend payable date | Sep. 28, 2017 | |||
Dividend record date | Sep. 8, 2017 |
Quarterly Financial Informati68
Quarterly Financial Information (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2015 | |
REVENUE | |||||||||||
License | $ 326 | $ 516 | $ 849 | $ 694 | $ 511 | $ 292 | $ 634 | $ 1,604 | $ 2,385 | $ 3,041 | $ 2,635 |
Support and service | 371,008 | 342,769 | 337,515 | 333,046 | 353,364 | 319,649 | 320,219 | 307,746 | 1,384,338 | 1,300,978 | 1,200,652 |
Hardware | 12,435 | 10,482 | 10,189 | 11,288 | 13,095 | 13,245 | 12,019 | 12,268 | 44,394 | 50,627 | 52,903 |
Total revenue | 383,769 | 353,767 | 348,553 | 345,028 | 366,970 | 333,186 | 332,872 | 321,618 | 1,431,117 | 1,354,646 | 1,256,190 |
COST OF SALES | |||||||||||
Cost of license | 139 | 280 | 59 | 252 | 325 | 193 | 498 | 181 | 730 | 1,197 | 1,187 |
Cost of support and service | 210,138 | 198,844 | 191,269 | 185,892 | 195,878 | 184,527 | 181,989 | 174,714 | 786,143 | 737,108 | 680,750 |
Cost of hardware | 9,121 | 7,603 | 6,818 | 8,619 | 9,067 | 9,553 | 7,958 | 8,768 | 32,161 | 35,346 | 38,399 |
Total cost of sales | 219,398 | 206,727 | 198,146 | 194,763 | 205,270 | 194,273 | 190,445 | 183,663 | 819,034 | 773,651 | 720,336 |
GROSS PROFIT | 164,371 | 147,040 | 150,407 | 150,265 | 161,700 | 138,913 | 142,427 | 137,955 | 612,083 | 580,995 | 535,854 |
OPERATING EXPENSES | |||||||||||
Selling and marketing | 25,696 | 23,571 | 21,903 | 22,127 | 23,365 | 22,732 | 22,231 | 21,751 | 93,297 | 90,079 | 89,004 |
Research and development | 23,340 | 20,801 | 20,873 | 19,739 | 23,964 | 19,854 | 18,862 | 18,554 | 84,753 | 81,234 | 71,495 |
General and administrative | 17,407 | 16,223 | 18,989 | 16,982 | 17,357 | 16,497 | 16,547 | 17,113 | 69,601 | 67,514 | 64,364 |
Gain on disposal of a business | (1,020) | (2,286) | 36 | 0 | (19,491) | 0 | 0 | 0 | (3,270) | (19,491) | (6,874) |
Total operating expenses | 65,423 | 58,309 | 61,801 | 58,848 | 45,195 | 59,083 | 57,640 | 57,418 | 244,381 | 219,336 | 217,989 |
OPERATING INCOME | 98,948 | 88,731 | 88,606 | 91,417 | 116,505 | 79,830 | 84,787 | 80,537 | 367,702 | 361,659 | 317,865 |
INTEREST INCOME (EXPENSE) | |||||||||||
Interest income | 38 | 42 | 60 | 108 | 49 | 54 | 91 | 113 | 248 | 307 | 169 |
Interest expense | (392) | (278) | (184) | (142) | (448) | (486) | (276) | (220) | (996) | (1,430) | (1,594) |
Total interest income (expense) | (354) | (236) | (124) | (34) | (399) | (432) | (185) | (107) | (748) | (1,123) | (1,425) |
INCOME BEFORE INCOME TAXES | 98,594 | 88,495 | 88,482 | 91,383 | 116,106 | 79,398 | 84,602 | 80,430 | 366,954 | 360,536 | 316,440 |
PROVISION FOR INCOME TAXES | 33,903 | 28,451 | 29,668 | 29,139 | 31,836 | 25,515 | 25,254 | 29,064 | 121,161 | 111,669 | 105,219 |
NET INCOME | $ 64,691 | $ 60,044 | $ 58,814 | $ 62,244 | $ 84,270 | $ 53,883 | $ 59,348 | $ 51,366 | $ 245,793 | $ 248,867 | $ 211,221 |
Basic earnings per share | $ 0.83 | $ 0.77 | $ 0.76 | $ 0.79 | $ 1.07 | $ 0.68 | $ 0.75 | $ 0.64 | $ 3.16 | $ 3.13 | $ 2.60 |
Basic weighted average shares outstanding | 77,602 | 77,597 | 77,814 | 78,413 | 78,841 | 78,805 | 79,473 | 80,545 | 77,856 | 79,416 | 81,353 |
Diluted earnings per share | $ 0.83 | $ 0.77 | $ 0.75 | $ 0.79 | $ 1.06 | $ 0.68 | $ 0.74 | $ 0.64 | $ 3.14 | $ 3.12 | $ 2.59 |
Diluted weighted average shares outstanding | 78,064 | 77,932 | 78,180 | 78,844 | 79,261 | 79,167 | 79,770 | 80,735 | 78,255 | 79,734 | 81,601 |