Fair Isaac (FICO) 10-Q 30 Jul 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Jun. 30, 2015	Jul. 17, 2015
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Trading Symbol	FICO
Entity Registrant Name	FAIR ISAAC CORP
Entity Central Index Key	814,547
Current Fiscal Year End Date	--09-30
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		31,137,873

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Sep. 30, 2014
Current assets:
Cash and cash equivalents	$ 84,358	$ 105,075
Accounts receivable, net	147,304	155,295
Prepaid expenses and other current assets	37,428	28,157
Total current assets	269,090	288,527
Marketable securities available for sale	9,907	8,751
Other investments	10,958	11,033
Property and equipment, net	38,706	36,677
Goodwill	818,952	779,928
Intangible assets, net	51,269	47,914
Deferred income taxes	9,499	13,061
Other assets	7,746	6,407
Total assets	1,216,127	1,192,298
Current liabilities:
Accounts payable	26,386	22,000
Accrued compensation and employee benefits	36,648	56,650
Other accrued liabilities	29,623	36,235
Deferred revenue	54,260	56,519
Current maturities on debt	72,000	170,000
Total current liabilities	218,917	341,404
Long-term debt	576,000	376,000
Other liabilities	24,548	20,280
Total liabilities	$ 819,465	$ 737,684
Commitments and contingencies
Stockholders’ equity:
Preferred stock [$0.01 par value; 1,000 shares authorized; none issued and outstanding]	$ 0	$ 0
Common stock ($0.01 par value; 200,000 shares authorized, 88,857 shares issued and 31,137 and 32,047 shares outstanding at June 30, 2015 and September 30, 2014, respectively)	311	320
Paid-in-capital	1,140,768	1,129,317
Treasury stock, at cost (57,720 and 56,810 shares at June 30, 2015 and September 30, 2014, respectively)	(2,039,050)	(1,936,095)
Retained earnings	1,335,562	1,284,261
Accumulated other comprehensive loss	(40,929)	(23,189)
Total stockholders’ equity	396,662	454,614
Total liabilities and stockholders’ equity	$ 1,216,127	$ 1,192,298

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2015	Sep. 30, 2014
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, issued	0	0
Preferred stock, outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	88,857,000	88,857,000
Common stock, shares outstanding	31,137,000	32,047,000
Treasury stock, shares	57,720,000	56,810,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (Unaudited) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended		9 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues:
Transactional and maintenance		$ 144,695	$ 132,254	$ 414,788	$ 394,278
Professional services		37,998	38,522	111,142	107,427
License		26,673	26,834	80,095	65,710
Total revenues		209,366	197,610	606,025	567,415
Operating expenses:
Cost of revenues	[1]	66,202	62,752	203,493	178,254
Research and development		25,610	23,240	72,588	61,022
Selling, general and administrative	[1]	74,645	71,557	221,309	204,490
Amortization of intangible assets	[1]	3,599	3,019	10,046	8,940
Restructuring and acquisition-related		2,256	621	2,256	4,281
Total operating expenses		172,312	161,189	509,692	456,987
Operating income		37,054	36,421	96,333	110,428
Interest expense, net		(7,360)	(7,051)	(22,283)	(21,276)
Other income (expense), net		770	931	771	(381)
Income before income taxes		30,464	30,301	74,821	88,771
Provision for income taxes		10,558	9,753	21,638	30,495
Net income		19,906	20,548	53,183	58,276
Other comprehensive income (loss):
Foreign currency translation adjustments		12,779	5,705	(17,740)	12,603
Comprehensive income		$ 32,685	$ 26,253	$ 35,443	$ 70,879
Earnings per share:
Basic (in dollars per share)		$ 0.64	$ 0.60	$ 1.69	$ 1.69
Diluted (in dollars per share)		$ 0.62	$ 0.58	$ 1.63	$ 1.65
Shares used in computing earnings per share:
Basic (in shares)		31,118	34,210	31,465	34,458
Diluted (in shares)		32,363	35,162	32,648	35,420
[1]	Cost of revenues and selling, general and administrative expenses exclude the amortization of intangible assets. See Note 5 to the condensed consolidated financial statements.

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) - 9 months ended Jun. 30, 2015 - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Paid-in-Capital	Treasury Stock	Retained Earnings	Accumulated Other Comprehensive Loss
Beginning Balance at Sep. 30, 2014	$ 454,614	$ 320	$ 1,129,317	$ (1,936,095)	$ 1,284,261	$ (23,189)
Beginning Balance (in shares) at Sep. 30, 2014		32,047
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation	32,762		32,762
Issuance of treasury stock under employee stock plans	(4,459)	$ 8	(32,214)	27,747
Issuance of treasury stock under employee stock plans (in shares)		801
Tax effect from share-based payment arrangements	10,903		10,903
Repurchases of common stock	(130,719)	$ (17)		(130,702)
Repurchases of common stock (shares)		(1,711)
Dividends paid	(1,882)				(1,882)
Net income	53,183				53,183
Foreign currency translation adjustments	(17,740)					(17,740)
Ending Balance at Jun. 30, 2015	$ 396,662	$ 311	$ 1,140,768	$ (2,039,050)	$ 1,335,562	$ (40,929)
Ending Balance (in shares) at Jun. 30, 2015		31,137

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net income	$ 53,183	$ 58,276
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	26,093	24,196
Share-based compensation	32,762	25,631
Deferred income taxes	75	(7,576)
Tax effect from share-based payment arrangements	10,903	5,844
Excess tax benefits from share-based payment arrangements	(11,364)	(5,934)
Provision for doubtful accounts, net	0	998
Net loss on sales of property and equipment	12	3
Changes in operating assets and liabilities:
Accounts receivable	10,609	(9,934)
Prepaid expenses and other assets	(11,309)	1,206
Accounts payable	2,324	1,622
Accrued compensation and employee benefits	(19,700)	2,976
Other liabilities	(6,968)	5,532
Deferred revenue	(220)	973
Net cash provided by operating activities	86,400	103,813
Cash flows from investing activities:
Purchases of property and equipment	(18,266)	(7,088)
Cash paid for acquisitions, net of cash acquired	(56,992)	(7,253)
Distribution from cost method investees	75	0
Net cash used in investing activities	(75,183)	(14,341)
Cash flows from financing activities:
Proceeds from revolving line of credit	241,000	96,000
Payments on revolving line of credit	(68,000)	(28,000)
Payments on senior notes	(71,000)	(8,000)
Proceeds from issuance of treasury stock under employee stock plans	13,643	18,041
Taxes paid related to net share settlement of equity awards	(18,102)	(10,790)
Dividends paid	(1,882)	(2,074)
Repurchases of common stock	(130,719)	(152,329)
Excess tax benefits from share-based payment arrangements	11,364	5,934
Net cash used in financing activities	(23,696)	(81,218)
Effect of exchange rate changes on cash	(8,238)	1,677
Increase (decrease) in cash and cash equivalents	(20,717)	9,931
Cash and cash equivalents, beginning of period	105,075	83,178
Cash and cash equivalents, end of period	84,358	93,109
Supplemental disclosures of cash flow information:
Cash paid for income taxes, net of refunds	31,122	17,174
Cash paid for interest	22,835	21,468
Supplemental disclosures of non-cash investing and financing activities:
Purchase of property and equipment included in accounts payable	733	708
Unsettled repurchases of common stock	$ 0	$ 8,846

Nature of Business

Nature of Business	9 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Nature of Business	Nature of Business Fair Isaac Corporation Incorporated under the laws of the State of Delaware, Fair Isaac Corporation (“FICO”) is a provider of analytic, software and data management products and services that enable businesses to automate, improve and connect decisions. FICO provides a range of analytical solutions, credit scoring and credit account management products and services to banks, credit reporting agencies, credit card processing agencies, insurers, retailers, telecommunications providers, pharmaceutical companies, healthcare organizations, public agencies and organizations in other industries. In these condensed consolidated financial statements, Fair Isaac Corporation is referred to as “FICO,” “we,” “us,” “our,” or “the Company.” Principles of Consolidation and Basis of Presentation We have prepared the accompanying unaudited interim condensed consolidated financial statements in accordance with the instructions to Form 10-Q and the applicable accounting guidance. Consequently, we have not necessarily included in this Form 10-Q all information and footnotes required for audited financial statements. In our opinion, the accompanying unaudited interim condensed consolidated financial statements in this Form 10-Q reflect all adjustments (consisting only of normal recurring adjustments, except as otherwise indicated) necessary for a fair presentation of our financial position and results of operations. These unaudited condensed consolidated financial statements and notes thereto should be read in conjunction with our audited consolidated financial statements and notes thereto presented in our Annual Report on Form 10-K for the year ended September 30, 2014 . The interim financial information contained in this report is not necessarily indicative of the results to be expected for any other interim period or for the entire fiscal year. The condensed consolidated financial statements include the accounts of FICO and its subsidiaries. All intercompany accounts and transactions have been eliminated. Use of Estimates We make estimates and assumptions that affect the amounts reported in the financial statements and the disclosures made in the accompanying notes. For example, we use estimates in determining the collectibility of accounts receivable; the appropriate levels of various accruals; labor hours in connection with fixed-fee service contracts; the amount of our tax provision and the realizability of deferred tax assets. We also use estimates in determining the remaining economic lives and carrying values of acquired intangible assets, property and equipment, and other long-lived assets. In addition, we use assumptions to estimate the fair value of reporting units and share-based compensation. Actual results may differ from our estimates. New Accounting Pronouncements Recently Issued or Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, " Revenue from Contracts with Customers (Topic 606)" ("ASU 2014-09"). ASU 2014-09 requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. Generally Accepted Accounting Principles when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. The guidance also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. In July 2015, the FASB issued guidance to defer the effective date for one year. For public entities, the standard will be effective for annual reporting periods beginning after December 15, 2017 (including interim reporting periods within those periods), which means it will be effective for our fiscal year beginning October 1, 2018. Early adoption is permitted to the original effective date of December 15, 2016 (including interim reporting periods within those periods). We have not yet selected a transition method and we are currently evaluating the impact that the updated standard will have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, "Simplifying the Presentation of Debt Issuance" ("ASU 2015-03"), which changes the presentation of debt issuance costs in financial statements. Under ASU 2015-03, an entity presents such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs is reported as interest expense. ASU 2015-03 is effective for fiscal years and interim periods within those fiscal years, beginning after December 15, 2015, which means it will be effective for our fiscal year beginning October 1, 2016. Early adoption is permitted. We do not believe that adoption of ASU 2015-03 will have a significant impact on our consolidated financial statements.

Business Combinations

Business Combinations	9 Months Ended
	Jun. 30, 2015
Business Combinations [Abstract]
Business Combinations	Business Combinations On January 12, 2015, we acquired 100% of the equity of TONBELLER Aktiengesellschaft ("TONBELLER"). TONBELLER is an innovative provider of financial crime and compliance ("FCC") solutions that support the demanding regulatory compliance requirements of more than a thousand banks and commercial organizations. This acquisition will allow us to capitalize on the escalating demand for new, risk-based, integrated FCC solutions. The purchase price allocation as of the date of the acquisition was based on a preliminary valuation and is subject to revision as more detailed analyses are completed and additional information about the fair value of assets acquired and liabilities assumed become available. The major classes of assets and liabilities to which we have preliminarily allocated the purchase price are as follows: (In thousands) Consideration Cash $ 59,632 Acquisition-related costs (included in the company’s condensed consolidated statement of income for the nine months ended June 30, 2015 as a component of restructuring and acquisition-related expenses) $ 763 Recognized amounts of identifiable assets acquired and liabilities assumed Cash and cash equivalents $ 2,640 Accounts receivable, net 5,389 Prepaid expenses and other current assets 209 Intangible assets: Completed technology 2,700 Customer relationships 11,600 Trade names 600 Other assets 112 Accounts payable (1,118 ) Accrued compensation and employee benefits (1,506 ) Other accrued liabilities (2,838 ) Deferred income taxes (4,349 ) Total identifiable net assets 13,439 Goodwill 46,193 Total $ 59,632 The acquired identifiable intangible assets have a weighted average useful life of approximately 4.9 years and are being amortized using the straight-line method over their estimated useful lives as follows: completed technology, five years ; customer relationships, five years ; and trade names, three years . The goodwill of $46.2 million arising from the acquisition consists largely of the revenue synergies related to market expansion and more rapid innovation for our solutions. The goodwill was allocated to our Applications segment and is not deductible for tax purposes. TONBELLER has been included in our operating results since the acquisition date. The pro forma impact of this acquisition was not deemed material to our results of operations.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Fair value is defined as the price that would be received from the sale of an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The accounting guidance establishes a three-level hierarchy for disclosure that is based on the extent and level of judgment used to estimate the fair value of assets and liabilities. • Level 1 - uses unadjusted quoted prices that are available in active markets for identical assets or liabilities. Our Level 1 assets are comprised of money market funds and certain equity securities. • Level 2 - uses inputs other than quoted prices included in Level 1 that are either directly or indirectly observable through correlation with market data. These include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; and inputs to valuation models or other pricing methodologies that do not require significant judgment because the inputs used in the model, such as interest rates and volatility, can be corroborated by readily observable market data. We do not have any assets that are valued using inputs identified under a Level 2 hierarchy as of June 30, 2015 and September 30, 2014 . • Level 3 - uses one or more significant inputs that are unobservable and supported by little or no market activity, and that reflect the use of significant management judgment. Level 3 assets and liabilities include those whose fair value measurements are determined using pricing models, discounted cash flow methodologies or similar valuation techniques, and significant management judgment or estimation. We do not have any assets or liabilities that are valued using inputs identified under a Level 3 hierarchy as of June 30, 2015 and September 30, 2014 . The following tables represent financial assets that we measured at fair value on a recurring basis at June 30, 2015 and September 30, 2014 : June 30, 2015 Active Markets for Identical Instruments (Level 1) Fair Value as of June 30, 2015 (In thousands) Assets: Cash equivalents (1) $ 439 $ 439 Marketable securities (2) 9,907 9,907 Total $ 10,346 $ 10,346 September 30, 2014 Active Markets for Fair Value as of September 30, 2014 (In thousands) Assets: Cash equivalents (1) $ 10,326 $ 10,326 Marketable securities (2) 8,751 8,751 Total $ 19,077 $ 19,077 (1) Included in cash and cash equivalents on our condensed consolidated balance sheet at June 30, 2015 and September 30, 2014 . Not included in these tables are cash deposits of $83.9 million and $94.7 million at June 30, 2015 and September 30, 2014 , respectively. (2) Represents securities held under a supplemental retirement and savings plan for senior management employees, which are distributed upon termination or retirement of the employees. Included in marketable securities available for sale on our condensed consolidated balance sheet at June 30, 2015 and September 30, 2014 . Where applicable, we use quoted prices in active markets for identical assets or liabilities to determine fair value. This pricing applies to our Level 1 investments. To the extent quoted prices in active markets for assets or liabilities are not available, the valuation techniques used to measure the fair values of our financial assets incorporate market inputs, which include reported trades, broker/dealer quotes, benchmark yields, issuer spreads, benchmark securities and other inputs derived from or corroborated by observable market data. This methodology would apply to our Level 2 investments. We have not changed our valuation techniques in measuring the fair value of any financial assets and liabilities during the period. For the fair value of our derivative instruments and senior notes, see Note 4 and Note 8 to the condensed consolidated financial statements, respectively.

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments We use derivative instruments to manage risks caused by fluctuations in foreign exchange rates. The primary objective of our derivative instruments is to protect the value of foreign-currency-denominated receivable and cash balances from the effects of volatility in foreign exchange rates that might occur prior to conversion to their respective functional currencies. We principally utilize foreign currency forward contracts, which enable us to buy and sell foreign currencies in the future at fixed exchange rates and economically offset changes in foreign exchange rates. We routinely enter into contracts to offset exposures denominated in the British pound, Euro and Canadian dollar. Foreign-currency-denominated receivable and cash balances are remeasured at foreign exchange rates in effect on the balance sheet date with the effects of changes in foreign exchange rates reported in other income (expense), net. The forward contracts are not designated as hedges and are marked to market through other income (expense), net. Fair value changes in the forward contracts help mitigate the changes in the value of the remeasured receivable and cash balances attributable to changes in foreign exchange rates. The forward contracts are short-term in nature and typically have average maturities at inception of less than three months . The following tables summarize our outstanding foreign currency forward contracts, by currency, at June 30, 2015 and September 30, 2014 : June 30, 2015 Contract Amount Fair Value Foreign Currency US$ US$ (In thousands) Sell foreign currency: Canadian dollar (CAD) CAD 4,000 $ 3,208 $ — Euro (EUR) EUR 6,600 $ 7,389 $ — Buy foreign currency: British pound (GBP) GBP 4,397 $ 6,900 $ — September 30, 2014 Contract Amount Fair Value Foreign Currency US$ US$ (In thousands) Sell foreign currency: Canadian dollar (CAD) CAD 3,300 $ 2,960 $ — Euro (EUR) EUR 3,800 $ 4,790 $ — Buy foreign currency: British pound (GBP) GBP 6,795 $ 11,000 $ — The foreign currency forward contracts were entered into on June 30, 2015 and September 30, 2014 , respectively; therefore, their fair value was $0 on each of these dates. Gains on derivative financial instruments are recorded in our condensed consolidated statements of income and comprehensive income as a component of other income (expense), net, and consisted of the following: Quarter Ended June 30, Nine Months Ended June 30, 2015 2014 2015 2014 (In thousands) Gains on foreign currency forward contracts $ 548 $ 318 $ 209 $ 850

Goodwill and Intangible Assets

Goodwill and Intangible Assets	9 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets	Goodwill and Intangible Assets Amortization expense associated with our intangible assets, which has been reflected as a separate operating expense caption within the accompanying condensed consolidated statements of income and comprehensive income, consisted of the following: Quarter Ended June 30, Nine Months Ended June 30, 2015 2014 2015 2014 (In thousands) Cost of revenues $ 1,919 $ 1,880 $ 5,656 $ 5,502 Selling, general and administrative expenses 1,680 1,139 4,390 3,438 $ 3,599 $ 3,019 $ 10,046 $ 8,940 Cost of revenues reflects our amortization of completed technology and selling, general and administrative expenses reflects our amortization of other intangible assets. Intangible assets, gross were $ 155.1 million and $ 142.2 million as of June 30, 2015 and September 30, 2014 , respectively. Estimated future intangible asset amortization expense associated with intangible assets existing at June 30, 2015 , was as follows (in thousands): Year Ended September 30, 2015 (excluding the nine months ended June 30, 2015) $ 3,644 2016 14,347 2017 13,220 2018 6,006 2019 5,492 Thereafter 8,560 $ 51,269 The following table summarizes changes to goodwill during the nine months ended June 30, 2015 , both in total and as allocated to our segments: Applications Scores Tools Total (In thousands) Balance at September 30, 2014 $ 560,295 $ 146,648 $ 72,985 $ 779,928 Addition from acquisitions 46,193 — — 46,193 Foreign currency translation adjustment (6,277 ) — (892 ) (7,169 ) Balance at June 30, 2015 $ 600,211 $ 146,648 $ 72,093 $ 818,952

Composition of Certain Financia

Composition of Certain Financial Statement Captions	9 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Composition of Certain Financial Statement Captions	Composition of Certain Financial Statement Captions The following table summarizes property and equipment, and the related accumulated depreciation and amortization at June 30, 2015 and September 30, 2014 : June 30, September 30, (In thousands) Property and equipment $ 112,515 $ 164,548 Less: accumulated depreciation and amortization (73,809 ) (127,871 ) $ 38,706 $ 36,677

Revolving Line of Credit

Revolving Line of Credit	9 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Revolving Line of Credit	Revolving Line of Credit We have a $400 million unsecured revolving line of credit with a syndicate of banks that expires on December 30, 2019 . Proceeds from the credit facility can be used for working capital and general corporate purposes and may also be used for the refinancing of existing debt, acquisitions and the repurchase of our common stock. Interest on amounts borrowed under the credit facility is based on (i) a base rate, which is the greater of (a) the prime rate, (b) the Federal Funds rate plus 0.500% and (c) the one-month LIBOR rate plus 1.000% , plus, in each case, an applicable margin, or (ii) an adjusted LIBOR rate plus an applicable margin. The applicable margin for base rate borrowings ranges from 0% to 0.875% and for LIBOR borrowings ranges from 1.000% to 1.875% , and is determined based on our consolidated leverage ratio. In addition, we must pay credit facility fees. The credit facility contains certain restrictive covenants including maintaining a minimum fixed charge ratio of 2.5 and a maximum consolidated leverage ratio of 3.0 , subject to a step up to 3.5 following certain permitted acquisitions. The credit agreement also contains other covenants typical of unsecured facilities. As of June 30, 2015 , we had $272.0 million in borrowings outstanding at a weighted average interest rate of 1.835% , of which $200.0 million was classified as a long-term liability and recorded in long-term debt within the accompanying condensed consolidated balance sheets. We were in compliance with all financial covenants under this credit facility as of June 30, 2015 .

Senior Notes

Senior Notes	9 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Senior Notes	Senior Notes On May 7, 2008, we issued $275 million of senior notes in a private placement to a group of institutional investors (the “2008 Senior Notes”). The 2008 Senior Notes were issued in four series with maturities ranging from 5 to 10 years. The Series C Note matured on May 7, 2015 and the entire $63.0 million principal balance was repaid. The outstanding 2008 Senior Notes’ weighted average interest rate is 7.2% and the weighted average maturity is 10.0 years . On July 14, 2010, we issued $245 million of senior notes in a private placement to a group of institutional investors (the “2010 Senior Notes” and, with the 2008 Senior Notes, the “Senior Notes”). The 2010 Senior Notes were issued in four series with maturities ranging from 6 to 10 years. The 2010 Senior Notes’ weighted average interest rate is 5.2% and the weighted average maturity is 8.0 years . The Senior Notes require interest payments semi-annually and also include certain restrictive covenants. As of June 30, 2015 , we were in compliance with all financial covenants which include the maintenance of consolidated net debt to consolidated EBITDA ratio and a fixed charge coverage ratio. The issuance of the Senior Notes also required us to make certain covenants typical of unsecured facilities. The carrying value of the Senior Notes was $376.0 million and $447.0 million as of June 30, 2015 and September 30, 2014 , respectively. The fair value of the Senior Notes was $403.2 million and $462.7 million as of June 30, 2015 and September 30, 2014 , respectively. We measure the fair value of the Senior Notes based on Level 2 inputs, which include quoted market prices and interest rate spreads of similar securities.

Restructuring Expenses

Restructuring Expenses	9 Months Ended
	Jun. 30, 2015
Restructuring and Related Activities [Abstract]
Restructuring Expenses	Restructuring Expenses During the quarter ended June 30, 2015, we incurred $1.5 million in severance charges due to the elimination of 44 positions throughout the company. Cash payments for all the restructuring charges will be paid by the end of the first quarter of our fiscal 2016. The following table summarizes our restructuring accruals and certain FICO facility closures. The accrual for employee separation is recorded in other accrued current liabilities within the accompanying condensed consolidated balance sheets. Accrual at Expense Additions Cash Payments Accrual at September 30, 2014 June 30, 2015 (In thousands) Facilities charges $ 92 $ — $ (92 ) $ — Employee separation 170 1,493 (1,139 ) 524 $ 262 $ 1,493 $ (1,231 ) $ 524

Income Taxes

Income Taxes	9 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes Effective Tax Rate The effective income tax rate was 34.7% and 32.2% during the quarters ended June 30, 2015 and 2014 , respectively and 28.9% and 34.4% during the nine months ended June 30, 2015 and 2014 , respectively. The provision for income taxes during interim quarterly reporting periods is based on our estimates of the effective tax rates for the respective full fiscal year. The effective tax rate in any quarter can also be affected positively or negatively by adjustments that are required to be reported in the specific quarter of resolution. The decrease in our effective tax rate year over year was primarily due to the retroactive extension of the U.S. Federal Research and Development Credit through 2014, which was enacted during the first quarter of our fiscal 2015, as well as lower foreign tax expense. The total unrecognized tax benefit for uncertain tax positions is estimated to be approximately $5.2 million and $4.6 million at June 30, 2015 and September 30, 2014 , respectively. We recognize interest expense related to unrecognized tax benefits and penalties as part of the provision for income taxes in our condensed consolidated statements of income and comprehensive income. We have accrued interest of $0.7 million and $0.5 million , related to unrecognized tax benefits as of June 30, 2015 and September 30, 2014 , respectively.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share The following table presents reconciliations for the numerators and denominators of basic and diluted earnings per share (“EPS”) for the quarters and nine months ended June 30, 2015 and 2014 : Quarter Ended June 30, Nine Months Ended June 30, 2015 2014 2015 2014 (In thousands, except per share data) Numerator for diluted and basic earnings per share: Net Income $ 19,906 $ 20,548 $ 53,183 $ 58,276 Denominator - share: Basic weighted-average shares 31,118 34,210 31,465 34,458 Effect of dilutive securities 1,245 952 1,183 962 Diluted weighted-average shares 32,363 35,162 32,648 35,420 Earnings per share: Basic $ 0.64 $ 0.60 $ 1.69 $ 1.69 Diluted $ 0.62 $ 0.58 $ 1.63 $ 1.65 We exclude the options to purchase shares of common stock in the computation of the diluted EPS where the options’ exercise price exceeds the average market price of our common stock as their inclusion would be antidilutive. There were no options excluded for the quarter ended June 30, 2015. There were approximately 14,000 options excluded for the quarter ended June 30, 2014. There were approximately 179,850 and 9,000 options excluded for the nine months ended June 30, 2015 and 2014 , respectively.

Segment Information

Segment Information	9 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Segment Information	Segment Information We are organized into the following three operating segments, each of which is a reportable segment, to align with internal management of our worldwide business operations based on product offerings. • Applications . Our Applications products are pre-configured decision management applications and associated professional services, designed for a specific type of business problem or process, such as marketing, account origination, customer management, fraud and insurance claims management. • Scores . This segment includes our business-to-business scoring solutions, our myFICO ® solutions for consumers and associated professional services. Our scoring solutions give our clients access to analytics that can be easily integrated into their transaction streams and decision-making processes. Our scoring solutions are distributed through major credit reporting agencies, as well as services through which we provide our scores to clients directly. • Tools . The Tools segment is composed of software tools and associated professional services that clients can use to create their own custom decision management applications. Our Chief Executive Officer evaluates segment financial performance based on segment revenues and segment operating income. Segment operating expenses consist of direct and indirect costs principally related to personnel, facilities, consulting, travel and depreciation. Indirect costs are allocated to the segments generally based on relative segment revenues, fixed rates established by management based upon estimated expense contribution levels and other assumptions that management considers reasonable. We do not allocate broad-based incentive expense, share-based compensation expense, restructuring expense, amortization expense, various corporate charges and certain other income and expense measures to our segments. These income and expense items are not allocated because they are not considered in evaluating the segment’s operating performance. Our Chief Executive Officer does not evaluate the financial performance of each segment based on its respective assets or capital expenditures; rather, depreciation amounts are allocated to the segments from their internal cost centers as described above. The following tables summarize segment information for the quarters and nine months ended June 30, 2015 and 2014 : Quarter Ended June 30, 2015 Applications Scores Tools Unallocated Corporate Expenses Total (In thousands) Segment revenues: Transactional and maintenance $ 79,731 $ 54,255 $ 10,709 $ — $ 144,695 Professional services 31,009 615 6,374 — 37,998 License 16,394 884 9,395 — 26,673 Total segment revenues 127,134 55,754 26,478 — 209,366 Segment operating expense (90,228 ) (14,736 ) (28,554 ) (20,773 ) (154,291 ) Segment operating income (loss) $ 36,906 $ 41,018 $ (2,076 ) $ (20,773 ) 55,075 Unallocated share-based compensation expense (12,166 ) Unallocated amortization expense (3,599 ) Unallocated restructuring and acquisition-related (2,256 ) Operating income 37,054 Unallocated interest expense, net (7,360 ) Unallocated other income, net 770 Income before income taxes $ 30,464 Depreciation expense $ 3,734 $ 258 $ 834 $ 621 $ 5,447 Quarter Ended June 30, 2014 Applications Scores Tools Unallocated Corporate Expenses Total (In thousands) Segment revenues: Transactional and maintenance $ 78,915 $ 44,077 $ 9,262 $ — $ 132,254 Professional services 31,898 801 5,823 — 38,522 License 19,043 452 7,339 — 26,834 Total segment revenues 129,856 45,330 22,424 — 197,610 Segment operating expense (86,413 ) (11,444 ) (24,923 ) (25,424 ) (148,204 ) Segment operating income (loss) $ 43,443 $ 33,886 $ (2,499 ) $ (25,424 ) 49,406 Unallocated share-based compensation expense (9,345 ) Unallocated amortization expense (3,019 ) Unallocated restructuring and acquisition-related (621 ) Operating income 36,421 Unallocated interest expense, net (7,051 ) Unallocated other income, net 931 Income before income taxes $ 30,301 Depreciation expense $ 3,616 $ 213 $ 706 $ 630 $ 5,165 Nine Months Ended June 30, 2015 Applications Scores Tools Unallocated Total (In thousands) Segment revenues: Transactional and maintenance $ 238,597 $ 145,006 $ 31,185 $ — $ 414,788 Professional services 90,500 2,369 18,273 — 111,142 License 47,923 2,257 29,915 — 80,095 Total segment revenues 377,020 149,632 79,373 — 606,025 Segment operating expense (274,157 ) (42,246 ) (86,080 ) (62,145 ) (464,628 ) Segment operating income (loss) $ 102,863 $ 107,386 $ (6,707 ) $ (62,145 ) 141,397 Unallocated share-based compensation expense (32,762 ) Unallocated amortization expense (10,046 ) Unallocated restructuring and acquisition-related (2,256 ) Operating income 96,333 Unallocated interest expense, net (22,283 ) Unallocated other income, net 771 Income before income taxes $ 74,821 Depreciation expense $ 10,948 $ 702 $ 2,424 $ 1,973 $ 16,047 Nine Months Ended June 30, 2014 Applications Scores Tools Unallocated Total (In thousands) Segment revenues: Transactional and maintenance $ 233,592 $ 133,955 $ 26,731 — $ 394,278 Professional services 87,058 2,167 18,202 — 107,427 License 36,732 4,246 24,732 — 65,710 Total segment revenues 357,382 140,368 69,665 — 567,415 Segment operating expense (247,326 ) (32,758 ) (66,798 ) (71,253 ) (418,135 ) Segment operating income $ 110,056 $ 107,610 $ 2,867 $ (71,253 ) 149,280 Unallocated share-based compensation expense (25,631 ) Unallocated amortization expense (8,940 ) Unallocated restructuring and acquisition-related (4,281 ) Operating income 110,428 Unallocated interest expense, net (21,276 ) Unallocated other expense, net (381 ) Income before income taxes $ 88,771 Depreciation expense $ 10,714 $ 623 $ 1,942 $ 1,977 $ 15,256

Contingencies

Contingencies	9 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Contingencies	Contingencies We are in disputes with certain customers regarding amounts owed in connection with the sale of certain of our products and services. We also have had claims asserted by former employees relating to compensation and other employment matters. We are also involved in various other claims and legal actions arising in the ordinary course of business. We record litigation accruals for legal matters which are both probable and estimable. For legal proceedings for which there is a reasonable possibility of loss (meaning those losses for which the likelihood is more than remote but less than probable), we have determined we do not have material exposure on an aggregate basis.

Nature of Business (Policies)

Nature of Business (Policies)	9 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Fair Isaac Corporation	Fair Isaac Corporation Incorporated under the laws of the State of Delaware, Fair Isaac Corporation (“FICO”) is a provider of analytic, software and data management products and services that enable businesses to automate, improve and connect decisions. FICO provides a range of analytical solutions, credit scoring and credit account management products and services to banks, credit reporting agencies, credit card processing agencies, insurers, retailers, telecommunications providers, pharmaceutical companies, healthcare organizations, public agencies and organizations in other industries. In these condensed consolidated financial statements, Fair Isaac Corporation is referred to as “FICO,” “we,” “us,” “our,” or “the Company.”
Principles of Consolidation and Basis of Presentation	Principles of Consolidation and Basis of Presentation We have prepared the accompanying unaudited interim condensed consolidated financial statements in accordance with the instructions to Form 10-Q and the applicable accounting guidance. Consequently, we have not necessarily included in this Form 10-Q all information and footnotes required for audited financial statements. In our opinion, the accompanying unaudited interim condensed consolidated financial statements in this Form 10-Q reflect all adjustments (consisting only of normal recurring adjustments, except as otherwise indicated) necessary for a fair presentation of our financial position and results of operations. These unaudited condensed consolidated financial statements and notes thereto should be read in conjunction with our audited consolidated financial statements and notes thereto presented in our Annual Report on Form 10-K for the year ended September 30, 2014 . The interim financial information contained in this report is not necessarily indicative of the results to be expected for any other interim period or for the entire fiscal year. The condensed consolidated financial statements include the accounts of FICO and its subsidiaries. All intercompany accounts and transactions have been eliminated.
Use of Estimates	Use of Estimates We make estimates and assumptions that affect the amounts reported in the financial statements and the disclosures made in the accompanying notes. For example, we use estimates in determining the collectibility of accounts receivable; the appropriate levels of various accruals; labor hours in connection with fixed-fee service contracts; the amount of our tax provision and the realizability of deferred tax assets. We also use estimates in determining the remaining economic lives and carrying values of acquired intangible assets, property and equipment, and other long-lived assets. In addition, we use assumptions to estimate the fair value of reporting units and share-based compensation. Actual results may differ from our estimates.
New Accounting Pronouncements Recently Issued or Adopted	New Accounting Pronouncements Recently Issued or Adopted In May 2014, the Financial Accounting Standards Board ("FASB") issued ASU No. 2014-09, " Revenue from Contracts with Customers (Topic 606)" ("ASU 2014-09"). ASU 2014-09 requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. Generally Accepted Accounting Principles when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. The guidance also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts. In July 2015, the FASB issued guidance to defer the effective date for one year. For public entities, the standard will be effective for annual reporting periods beginning after December 15, 2017 (including interim reporting periods within those periods), which means it will be effective for our fiscal year beginning October 1, 2018. Early adoption is permitted to the original effective date of December 15, 2016 (including interim reporting periods within those periods). We have not yet selected a transition method and we are currently evaluating the impact that the updated standard will have on our consolidated financial statements. In April 2015, the FASB issued ASU No. 2015-03, "Simplifying the Presentation of Debt Issuance" ("ASU 2015-03"), which changes the presentation of debt issuance costs in financial statements. Under ASU 2015-03, an entity presents such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs is reported as interest expense. ASU 2015-03 is effective for fiscal years and interim periods within those fiscal years, beginning after December 15, 2015, which means it will be effective for our fiscal year beginning October 1, 2016. Early adoption is permitted. We do not believe that adoption of ASU 2015-03 will have a significant impact on our consolidated financial statements.

Business Combinations (Tables)

Business Combinations (Tables)	9 Months Ended
	Jun. 30, 2015
Business Combinations [Abstract]
Schedule of Business Acquisitions	The major classes of assets and liabilities to which we have preliminarily allocated the purchase price are as follows: (In thousands) Consideration Cash $ 59,632 Acquisition-related costs (included in the company’s condensed consolidated statement of income for the nine months ended June 30, 2015 as a component of restructuring and acquisition-related expenses) $ 763 Recognized amounts of identifiable assets acquired and liabilities assumed Cash and cash equivalents $ 2,640 Accounts receivable, net 5,389 Prepaid expenses and other current assets 209 Intangible assets: Completed technology 2,700 Customer relationships 11,600 Trade names 600 Other assets 112 Accounts payable (1,118 ) Accrued compensation and employee benefits (1,506 ) Other accrued liabilities (2,838 ) Deferred income taxes (4,349 ) Total identifiable net assets 13,439 Goodwill 46,193 Total $ 59,632

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Jun. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value, Assets Measured on Recurring Basis	The following tables represent financial assets that we measured at fair value on a recurring basis at June 30, 2015 and September 30, 2014 : June 30, 2015 Active Markets for Identical Instruments (Level 1) Fair Value as of June 30, 2015 (In thousands) Assets: Cash equivalents (1) $ 439 $ 439 Marketable securities (2) 9,907 9,907 Total $ 10,346 $ 10,346 September 30, 2014 Active Markets for Fair Value as of September 30, 2014 (In thousands) Assets: Cash equivalents (1) $ 10,326 $ 10,326 Marketable securities (2) 8,751 8,751 Total $ 19,077 $ 19,077 (1) Included in cash and cash equivalents on our condensed consolidated balance sheet at June 30, 2015 and September 30, 2014 . Not included in these tables are cash deposits of $83.9 million and $94.7 million at June 30, 2015 and September 30, 2014 , respectively. (2) Represents securities held under a supplemental retirement and savings plan for senior management employees, which are distributed upon termination or retirement of the employees. Included in marketable securities available for sale on our condensed consolidated balance sheet at June 30, 2015 and September 30, 2014 .

Derivative Financial Instrume23

Derivative Financial Instruments (Tables)	9 Months Ended
	Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Notional Amounts of Outstanding Derivative Positions	The following tables summarize our outstanding foreign currency forward contracts, by currency, at June 30, 2015 and September 30, 2014 : June 30, 2015 Contract Amount Fair Value Foreign Currency US$ US$ (In thousands) Sell foreign currency: Canadian dollar (CAD) CAD 4,000 $ 3,208 $ — Euro (EUR) EUR 6,600 $ 7,389 $ — Buy foreign currency: British pound (GBP) GBP 4,397 $ 6,900 $ — September 30, 2014 Contract Amount Fair Value Foreign Currency US$ US$ (In thousands) Sell foreign currency: Canadian dollar (CAD) CAD 3,300 $ 2,960 $ — Euro (EUR) EUR 3,800 $ 4,790 $ — Buy foreign currency: British pound (GBP) GBP 6,795 $ 11,000 $ —
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance	Gains on derivative financial instruments are recorded in our condensed consolidated statements of income and comprehensive income as a component of other income (expense), net, and consisted of the following: Quarter Ended June 30, Nine Months Ended June 30, 2015 2014 2015 2014 (In thousands) Gains on foreign currency forward contracts $ 548 $ 318 $ 209 $ 850

Goodwill and Intangible Assets

Goodwill and Intangible Assets (Tables)	9 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Amortization Expense	Amortization expense associated with our intangible assets, which has been reflected as a separate operating expense caption within the accompanying condensed consolidated statements of income and comprehensive income, consisted of the following: Quarter Ended June 30, Nine Months Ended June 30, 2015 2014 2015 2014 (In thousands) Cost of revenues $ 1,919 $ 1,880 $ 5,656 $ 5,502 Selling, general and administrative expenses 1,680 1,139 4,390 3,438 $ 3,599 $ 3,019 $ 10,046 $ 8,940
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	Estimated future intangible asset amortization expense associated with intangible assets existing at June 30, 2015 , was as follows (in thousands): Year Ended September 30, 2015 (excluding the nine months ended June 30, 2015) $ 3,644 2016 14,347 2017 13,220 2018 6,006 2019 5,492 Thereafter 8,560 $ 51,269
Schedule of Goodwill	The following table summarizes changes to goodwill during the nine months ended June 30, 2015 , both in total and as allocated to our segments: Applications Scores Tools Total (In thousands) Balance at September 30, 2014 $ 560,295 $ 146,648 $ 72,985 $ 779,928 Addition from acquisitions 46,193 — — 46,193 Foreign currency translation adjustment (6,277 ) — (892 ) (7,169 ) Balance at June 30, 2015 $ 600,211 $ 146,648 $ 72,093 $ 818,952

Composition of Certain Financ25

Composition of Certain Financial Statement Captions (Tables)	9 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Property, Plant and Equipment	The following table summarizes property and equipment, and the related accumulated depreciation and amortization at June 30, 2015 and September 30, 2014 : June 30, September 30, (In thousands) Property and equipment $ 112,515 $ 164,548 Less: accumulated depreciation and amortization (73,809 ) (127,871 ) $ 38,706 $ 36,677

Restructuring Expenses (Tables)

Restructuring Expenses (Tables)	9 Months Ended
	Jun. 30, 2015
Restructuring and Related Activities [Abstract]
Schedule of Restructuring and Related Costs	The following table summarizes our restructuring accruals and certain FICO facility closures. The accrual for employee separation is recorded in other accrued current liabilities within the accompanying condensed consolidated balance sheets. Accrual at Expense Additions Cash Payments Accrual at September 30, 2014 June 30, 2015 (In thousands) Facilities charges $ 92 $ — $ (92 ) $ — Employee separation 170 1,493 (1,139 ) 524 $ 262 $ 1,493 $ (1,231 ) $ 524

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Reconciliation of Numerators and Denominators of Basic and Diluted Earnings Per Share	The following table presents reconciliations for the numerators and denominators of basic and diluted earnings per share (“EPS”) for the quarters and nine months ended June 30, 2015 and 2014 : Quarter Ended June 30, Nine Months Ended June 30, 2015 2014 2015 2014 (In thousands, except per share data) Numerator for diluted and basic earnings per share: Net Income $ 19,906 $ 20,548 $ 53,183 $ 58,276 Denominator - share: Basic weighted-average shares 31,118 34,210 31,465 34,458 Effect of dilutive securities 1,245 952 1,183 962 Diluted weighted-average shares 32,363 35,162 32,648 35,420 Earnings per share: Basic $ 0.64 $ 0.60 $ 1.69 $ 1.69 Diluted $ 0.62 $ 0.58 $ 1.63 $ 1.65

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The following tables summarize segment information for the quarters and nine months ended June 30, 2015 and 2014 : Quarter Ended June 30, 2015 Applications Scores Tools Unallocated Corporate Expenses Total (In thousands) Segment revenues: Transactional and maintenance $ 79,731 $ 54,255 $ 10,709 $ — $ 144,695 Professional services 31,009 615 6,374 — 37,998 License 16,394 884 9,395 — 26,673 Total segment revenues 127,134 55,754 26,478 — 209,366 Segment operating expense (90,228 ) (14,736 ) (28,554 ) (20,773 ) (154,291 ) Segment operating income (loss) $ 36,906 $ 41,018 $ (2,076 ) $ (20,773 ) 55,075 Unallocated share-based compensation expense (12,166 ) Unallocated amortization expense (3,599 ) Unallocated restructuring and acquisition-related (2,256 ) Operating income 37,054 Unallocated interest expense, net (7,360 ) Unallocated other income, net 770 Income before income taxes $ 30,464 Depreciation expense $ 3,734 $ 258 $ 834 $ 621 $ 5,447 Quarter Ended June 30, 2014 Applications Scores Tools Unallocated Corporate Expenses Total (In thousands) Segment revenues: Transactional and maintenance $ 78,915 $ 44,077 $ 9,262 $ — $ 132,254 Professional services 31,898 801 5,823 — 38,522 License 19,043 452 7,339 — 26,834 Total segment revenues 129,856 45,330 22,424 — 197,610 Segment operating expense (86,413 ) (11,444 ) (24,923 ) (25,424 ) (148,204 ) Segment operating income (loss) $ 43,443 $ 33,886 $ (2,499 ) $ (25,424 ) 49,406 Unallocated share-based compensation expense (9,345 ) Unallocated amortization expense (3,019 ) Unallocated restructuring and acquisition-related (621 ) Operating income 36,421 Unallocated interest expense, net (7,051 ) Unallocated other income, net 931 Income before income taxes $ 30,301 Depreciation expense $ 3,616 $ 213 $ 706 $ 630 $ 5,165 Nine Months Ended June 30, 2015 Applications Scores Tools Unallocated Total (In thousands) Segment revenues: Transactional and maintenance $ 238,597 $ 145,006 $ 31,185 $ — $ 414,788 Professional services 90,500 2,369 18,273 — 111,142 License 47,923 2,257 29,915 — 80,095 Total segment revenues 377,020 149,632 79,373 — 606,025 Segment operating expense (274,157 ) (42,246 ) (86,080 ) (62,145 ) (464,628 ) Segment operating income (loss) $ 102,863 $ 107,386 $ (6,707 ) $ (62,145 ) 141,397 Unallocated share-based compensation expense (32,762 ) Unallocated amortization expense (10,046 ) Unallocated restructuring and acquisition-related (2,256 ) Operating income 96,333 Unallocated interest expense, net (22,283 ) Unallocated other income, net 771 Income before income taxes $ 74,821 Depreciation expense $ 10,948 $ 702 $ 2,424 $ 1,973 $ 16,047 Nine Months Ended June 30, 2014 Applications Scores Tools Unallocated Total (In thousands) Segment revenues: Transactional and maintenance $ 233,592 $ 133,955 $ 26,731 — $ 394,278 Professional services 87,058 2,167 18,202 — 107,427 License 36,732 4,246 24,732 — 65,710 Total segment revenues 357,382 140,368 69,665 — 567,415 Segment operating expense (247,326 ) (32,758 ) (66,798 ) (71,253 ) (418,135 ) Segment operating income $ 110,056 $ 107,610 $ 2,867 $ (71,253 ) 149,280 Unallocated share-based compensation expense (25,631 ) Unallocated amortization expense (8,940 ) Unallocated restructuring and acquisition-related (4,281 ) Operating income 110,428 Unallocated interest expense, net (21,276 ) Unallocated other expense, net (381 ) Income before income taxes $ 88,771 Depreciation expense $ 10,714 $ 623 $ 1,942 $ 1,977 $ 15,256

Business Combinations - Additio

Business Combinations - Additional Information (Details) customer in Thousands, $ in Thousands	Jan. 12, 2015USD ($)customer	Jun. 30, 2015USD ($)	Sep. 30, 2014USD ($)
Business Acquisition [Line Items]
Goodwill		$ 818,952	$ 779,928
TONBELLER
Business Acquisition [Line Items]
Common stock acquired (percent)	100.00%
Number of customers (more than a thousand) | customer	1
Weighted average useful life	4 years 11 months
Goodwill	$ 46,193
Completed technology | TONBELLER
Business Acquisition [Line Items]
Weighted average useful life	5 years
Customer relationships | TONBELLER
Business Acquisition [Line Items]
Weighted average useful life	5 years
Trade names | TONBELLER
Business Acquisition [Line Items]
Weighted average useful life	3 years

Summary of Assets Acquired and

Summary of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Jan. 12, 2015	Jun. 30, 2015	Sep. 30, 2014
Intangible assets
Goodwill		$ 818,952	$ 779,928
TONBELLER
Consideration
Cash	$ 59,632
Recognized amounts of identifiable assets acquired and liabilities assumed
Cash and cash equivalents	2,640
Accounts receivable, net	5,389
Prepaid expenses and other current assets	209
Intangible assets
Other assets	112
Accounts payable	(1,118)
Accrued compensation and employee benefits	(1,506)
Other accrued liabilities	(2,838)
Deferred income taxes	(4,349)
Total identifiable net assets	13,439
Goodwill	46,193
Total	59,632
TONBELLER | Restructuring and acquisition-related expense
Consideration
Acquisition-related costs	763
TONBELLER | Completed technology
Intangible assets
Intangible assets:	2,700
TONBELLER | Customer relationships
Intangible assets
Intangible assets:	11,600
TONBELLER | Trade names
Intangible assets
Intangible assets:	$ 600

Financial Assets Measured at Fa

Financial Assets Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands		Jun. 30, 2015	Sep. 30, 2014
Assets:
Marketable securities available-for-sale		$ 9,907	$ 8,751
Cash deposits		83,900	94,700
Fair Value, Measurements, Recurring
Assets:
Cash equivalents	[1]	439	10,326
Marketable securities available-for-sale	[2]	9,907	8,751
Total		10,346	19,077
Fair Value, Measurements, Recurring | Active Markets for Identical Instruments (Level 1)
Assets:
Cash equivalents	[1]	439	10,326
Marketable securities available-for-sale	[2]	9,907	8,751
Total		$ 10,346	$ 19,077
[1]	Included in cash and cash equivalents on our condensed consolidated balance sheet at June 30, 2015 and September 30, 2014. Not included in these tables are cash deposits of $83.9 million and $94.7 million at June 30, 2015 and September 30, 2014, respectively.
[2]	Represents securities held under a supplemental retirement and savings plan for senior management employees, which are distributed upon termination or retirement of the employees. Included in marketable securities available for sale on our condensed consolidated balance sheet at June 30, 2015 and September 30, 2014.

Derivative Financial Instrume32

Derivative Financial Instruments - Additional Information (Detail) - USD ($)	9 Months Ended
	Jun. 30, 2015	Sep. 30, 2014
Derivative [Line Items]
Short-term forward contracts, average maturities at inception	3 months
Foreign currency forward contracts
Derivative [Line Items]
Forward foreign currency contracts fair value	$ 0	$ 0

Summary of Outstanding Forward

Summary of Outstanding Forward Foreign Currency Contracts by Currency (Detail) € in Thousands, £ in Thousands, CAD in Thousands, $ in Thousands	Jun. 30, 2015CAD	Jun. 30, 2015GBP (£)	Jun. 30, 2015EUR (€)	Jun. 30, 2015USD ($)	Sep. 30, 2014CAD	Sep. 30, 2014GBP (£)	Sep. 30, 2014EUR (€)	Sep. 30, 2014USD ($)
Foreign Exchange Contracts to Sell Canadian Dollar for US Dollar
Derivative [Line Items]
Fair value of forward foreign currency contracts to sell and buy foreign currency				$ 0				$ 0
Foreign Exchange Contracts to Sell Canadian Dollar for US Dollar | Foreign currency forward contracts | Short | Not Designated as Hedging Instrument
Derivative [Line Items]
Contract amount of forward foreign currency contracts	CAD 4,000			3,208	CAD 3,300			2,960
Foreign Exchange Contracts To Sell European Euro for US Dollar
Derivative [Line Items]
Fair value of forward foreign currency contracts to sell and buy foreign currency				0				0
Foreign Exchange Contracts To Sell European Euro for US Dollar | Foreign currency forward contracts | Short | Not Designated as Hedging Instrument
Derivative [Line Items]
Contract amount of forward foreign currency contracts			€ 6,600	7,389			€ 3,800	4,790
Foreign Exchange Contracts To Purchase British Pounds With US Dollars
Derivative [Line Items]
Fair value of forward foreign currency contracts to sell and buy foreign currency				0				0
Foreign Exchange Contracts To Purchase British Pounds With US Dollars | Foreign currency forward contracts | Short | Not Designated as Hedging Instrument
Derivative [Line Items]
Contract amount of forward foreign currency contracts		£ 4,397		$ 6,900		£ 6,795		$ 11,000

Gains Losses on Derivative Fina

Gains Losses on Derivative Financial Instruments Recorded in Consolidated Statements of Income (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Foreign currency forward contracts
Derivative [Line Items]
Gains on foreign currency forward contracts	$ 548	$ 318	$ 209	$ 850

Amortization Expense Associated

Amortization Expense Associated with Intangible Assets (Detail) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Finite-Lived Intangible Assets [Line Items]
Amortization expense of intangible assets	[1]	$ 3,599	$ 3,019	$ 10,046	$ 8,940
Cost of revenues
Finite-Lived Intangible Assets [Line Items]
Amortization expense of intangible assets		1,919	1,880	5,656	5,502
Selling, general and administrative expenses
Finite-Lived Intangible Assets [Line Items]
Amortization expense of intangible assets		$ 1,680	$ 1,139	$ 4,390	$ 3,438
[1]	Cost of revenues and selling, general and administrative expenses exclude the amortization of intangible assets. See Note 5 to the condensed consolidated financial statements.

Goodwill and Intangible Asset36

Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions	Jun. 30, 2015	Sep. 30, 2014
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible assets, gross	$ 155.1	$ 142.2

Estimated Future Intangible Ass

Estimated Future Intangible Asset Amortization Expense (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Sep. 30, 2014
Estimated future intangible asset amortization expense
2015 (excluding the nine months ended June 30, 2015)	$ 3,644
2,016	14,347
2,017	13,220
2,018	6,006
2,019	5,492
Thereafter	8,560
Total	$ 51,269	$ 47,914

Summary of Changes to Goodwill

Summary of Changes to Goodwill (Detail) $ in Thousands	9 Months Ended
	Jun. 30, 2015USD ($)
Goodwill [Roll Forward]
Balance at September 30, 2014	$ 779,928
Addition from acquisitions	46,193
Foreign currency translation adjustment	(7,169)
Balance at June 30, 2015	818,952
Applications
Goodwill [Roll Forward]
Balance at September 30, 2014	560,295
Addition from acquisitions	46,193
Foreign currency translation adjustment	(6,277)
Balance at June 30, 2015	600,211
Scores
Goodwill [Roll Forward]
Balance at September 30, 2014	146,648
Addition from acquisitions	0
Foreign currency translation adjustment	0
Balance at June 30, 2015	146,648
Tools
Goodwill [Roll Forward]
Balance at September 30, 2014	72,985
Addition from acquisitions	0
Foreign currency translation adjustment	(892)
Balance at June 30, 2015	$ 72,093

Property and Equipment (Detail)

Property and Equipment (Detail) - USD ($) $ in Thousands	Jun. 30, 2015	Sep. 30, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Property and equipment	$ 112,515	$ 164,548
Less: accumulated depreciation and amortization	(73,809)	(127,871)
Total	$ 38,706	$ 36,677

Revolving Line of Credit - Addi

Revolving Line of Credit - Additional Information (Detail) - Jun. 30, 2015	USD ($)
Line of Credit Facility [Line Items]
Unsecured revolving line of credit	$ 400,000,000
Revolving credit facility, expiration date	Dec. 30, 2019
Revolving credit facility, interest rate description	Interest on amounts borrowed under the credit facility is based on (i) a base rate, which is the greater of (a) the prime rate, (b) the Federal Funds rate plus 0.500% and (c) the one-month LIBOR rate plus 1.000%, plus, in each case, an applicable margin, or (ii) an adjusted LIBOR rate plus an applicable margin. The applicable margin for base rate borrowings ranges from 0% to 0.875% and for LIBOR borrowings ranges from 1.000% to 1.875%, and is determined based on our consolidated leverage ratio
Credit facility restrictive covenant, minimum fixed charge ratio	2.5
Credit facility restrictive covenant, maximum consolidated leverage ratio	3
Credit facility restrictive covenant, maximum consolidated leverage ratio step up	3.5
Borrowings outstanding	$ 272,000,000
Interest rate of borrowings outstanding	1.835%
Federal Fund Rate
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	0.50%
Libor
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	1.00%
Libor | Minimum
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	1.00%
Libor | Maximum
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	1.875%
Base Rate | Minimum
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	0.00%
Base Rate | Maximum
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	0.875%
Long-term Debt
Line of Credit Facility [Line Items]
Borrowings outstanding	$ 200,000,000

Senior Notes - Additional Infor

Senior Notes - Additional Information (Detail)	May. 07, 2015USD ($)	Jul. 14, 2010USD ($)Contract	May. 07, 2008USD ($)Contract	Jun. 30, 2015USD ($)	Sep. 30, 2014USD ($)
Debt Instrument [Line Items]
Senior Notes, weighted average interest rate				1.835%
Carrying value of Senior Notes				$ 376,000,000	$ 447,000,000
Fair value of Senior Notes				$ 403,200,000	$ 462,700,000
May 2008 senior notes
Debt Instrument [Line Items]
Senior Notes issued in a private placement to a group of institutional investors			$ 275,000,000
Number of series of Senior Notes issued | Contract			4
Senior Notes, weighted average interest rate			7.20%
Senior Notes, weighted average maturity (in years)			10 years
May 2008 senior notes | Minimum
Debt Instrument [Line Items]
Senior Notes, maturity (in years)			5 years
May 2008 senior notes | Maximum
Debt Instrument [Line Items]
Senior Notes, maturity (in years)			10 years
Series C
Debt Instrument [Line Items]
Repayment of principal balance	$ 63,000,000
July 2010 senior notes
Debt Instrument [Line Items]
Senior Notes issued in a private placement to a group of institutional investors		$ 245,000,000
Number of series of Senior Notes issued | Contract		4
Senior Notes, weighted average interest rate		5.20%
Senior Notes, weighted average maturity (in years)		8 years
July 2010 senior notes | Minimum
Debt Instrument [Line Items]
Senior Notes, maturity (in years)		6 years
July 2010 senior notes | Maximum
Debt Instrument [Line Items]
Senior Notes, maturity (in years)		10 years

Summary of Restructuring Accrua

Summary of Restructuring Accruals and Certain Facility Closures (Detail) - Jun. 30, 2015 - USD ($) $ in Thousands	Total	Total
Restructuring Reserve [Roll Forward]
Accrual at September 30, 2014		$ 262
Expense Additions		1,493
Cash Payments		(1,231)
Accrual at June 30, 2015	$ 524	524
Facilities charges
Restructuring Reserve [Roll Forward]
Accrual at September 30, 2014		92
Expense Additions		0
Cash Payments		(92)
Accrual at June 30, 2015	0	0
Employee separation
Restructuring Reserve [Roll Forward]
Accrual at September 30, 2014		170
Expense Additions	1,500	1,493
Cash Payments		(1,139)
Accrual at June 30, 2015	$ 524	$ 524

Restructuring Expenses Addition

Restructuring Expenses Additional Information (Details) - Jun. 30, 2015 $ in Thousands	USD ($)position	USD ($)
Restructuring Cost and Reserve [Line Items]
Restructuring charges		$ 1,493
Employee separation
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 1,500	$ 1,493
Number of positions reduced | position	44

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Sep. 30, 2014
Income Tax Disclosure [Abstract]
Effective income tax rate	34.70%	32.20%	28.90%	34.40%
Unrecognized tax benefits, uncertain tax positions	$ 5.2		$ 5.2		$ 4.6
Unrecognized tax benefits, accrued interest	$ 0.7		$ 0.7		$ 0.5

Reconciliation of Numerators an

Reconciliation of Numerators and Denominators of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Numerator for diluted and basic earnings per share:
Net income	$ 19,906	$ 20,548	$ 53,183	$ 58,276
Denominator - share:
Basic weighted-average shares	31,118	34,210	31,465	34,458
Effect of dilutive securities	1,245	952	1,183	962
Diluted weighted-average shares	32,363	35,162	32,648	35,420
Earnings per share:
Basic (in dollars per share)	$ 0.64	$ 0.60	$ 1.69	$ 1.69
Diluted (in dollars per share)	$ 0.62	$ 0.58	$ 1.63	$ 1.65

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Detail) - shares	3 Months Ended		9 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Earnings Per Share [Abstract]
Options to purchase shares of common stock excluded in the computation of diluted earnings per share because their inclusion would be antidilutive, shares	0	14,000	179,850	9,000

Segment Information - Additiona

Segment Information - Additional Information (Detail)	9 Months Ended
	Jun. 30, 2015Segment
Segment Reporting [Abstract]
Number of operating segments	3
Number of reportable segments	3

Summary of Segment Information

Summary of Segment Information (Detail) - USD ($) $ in Thousands		3 Months Ended		9 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment revenues:
Transactional and maintenance		$ 144,695	$ 132,254	$ 414,788	$ 394,278
Professional services		37,998	38,522	111,142	107,427
License		26,673	26,834	80,095	65,710
Total revenues		209,366	197,610	606,025	567,415
Segment operating expense		(172,312)	(161,189)	(509,692)	(456,987)
Unallocated share-based compensation expense		(12,166)	(9,345)	(32,762)	(25,631)
Unallocated amortization expense	[1]	(3,599)	(3,019)	(10,046)	(8,940)
Unallocated restructuring and acquisition-related		(2,256)	(621)	(2,256)	(4,281)
Operating income (loss)		37,054	36,421	96,333	110,428
Unallocated interest expense		(7,360)	(7,051)	(22,283)	(21,276)
Unallocated other income (expense), net		770	931	771	(381)
Income before income taxes		30,464	30,301	74,821	88,771
Depreciation expense		5,447	5,165	16,047	15,256
Operating Segments
Segment revenues:
Segment operating expense		(154,291)	(148,204)	(464,628)	(418,135)
Operating income (loss)		55,075	49,406	141,397	149,280
Applications
Segment revenues:
Transactional and maintenance		79,731	78,915	238,597	233,592
Professional services		31,009	31,898	90,500	87,058
License		16,394	19,043	47,923	36,732
Total revenues		127,134	129,856	377,020	357,382
Depreciation expense		3,734	3,616	10,948	10,714
Applications | Operating Segments
Segment revenues:
Segment operating expense		(90,228)	(86,413)	(274,157)	(247,326)
Operating income (loss)		36,906	43,443	102,863	110,056
Scores
Segment revenues:
Transactional and maintenance		54,255	44,077	145,006	133,955
Professional services		615	801	2,369	2,167
License		884	452	2,257	4,246
Total revenues		55,754	45,330	149,632	140,368
Depreciation expense		258	213	702	623
Scores | Operating Segments
Segment revenues:
Segment operating expense		(14,736)	(11,444)	(42,246)	(32,758)
Operating income (loss)		41,018	33,886	107,386	107,610
Tools
Segment revenues:
Transactional and maintenance		10,709	9,262	31,185	26,731
Professional services		6,374	5,823	18,273	18,202
License		9,395	7,339	29,915	24,732
Total revenues		26,478	22,424	79,373	69,665
Depreciation expense		834	706	2,424	1,942
Tools | Operating Segments
Segment revenues:
Segment operating expense		(28,554)	(24,923)	(86,080)	(66,798)
Operating income (loss)		(2,076)	(2,499)	(6,707)	2,867
Unallocated Corporate Expenses
Segment revenues:
Total revenues				0	0
Depreciation expense		621	630	1,973	1,977
Unallocated Corporate Expenses | Operating Segments
Segment revenues:
Segment operating expense		(20,773)	(25,424)	(62,145)	(71,253)
Operating income (loss)		$ (20,773)	$ (25,424)	$ (62,145)	$ (71,253)
[1]	Cost of revenues and selling, general and administrative expenses exclude the amortization of intangible assets. See Note 5 to the condensed consolidated financial statements.