Latest News by Industry
Recurring revenues grew 7%; up 9% constant currency
Diluted EPS was $0.42 and Adjusted EPS was $0.84
Reaffirming Fiscal Year 2023 Guidance including 6 - 9% Recurring revenue growth
constant currency and 7 - 11% Adjusted EPS growth
NEW YORK, Nov. 2, 2022 /PRNewswire/ -- Broadridge Financial Solutions, Inc. (NYSE:BR) today reported financial results for the first quarter ended September 30, 2022 of its fiscal year 2023. Results compared with the same period last year were as follows:
Summary Financial Results | First Quarter | ||||
Dollars in millions, except per share data | 2023 | 2022 | Change | ||
Recurring revenues | $806 | $750 | 7 % | ||
Constant currency growth - Non-GAAP | 9 % | ||||
Total revenues | $1,283 | $1,193 | 8 % | ||
Operating income | $88 | $103 | (15 %) | ||
Margin | 6.8 % | 8.7 % | |||
Adjusted Operating income - Non-GAAP | $150 | $177 | (15 %) | ||
Margin - Non-GAAP | 11.7 % | 14.8 % | |||
Diluted EPS | $0.42 | $0.57 | (26 %) | ||
Adjusted EPS - Non-GAAP | $0.84 | $1.07 | (21 %) | ||
Closed sales | $29 | $30 | (2 %) |
"Broadridge reported another strong quarter, highlighting the resilience of our business model and the positive long-term trends driving our growth," said Tim Gokey, Broadridge's CEO. "Recurring revenues grew 9% constant currency, powered by new sales, continued strength in investor participation, and the strong performance of our BTCS business. Adjusted EPS of $0.84 was modestly ahead of our expectations in our seasonally small first quarter."
Fiscal Year 2023 Financial Guidance | |||
FY'23 Guidance | Updates / Changes | ||
Recurring revenue growth constant currency - Non-GAAP | 6 - 9% | No Change | |
Adjusted Operating income margin - Non-GAAP | Increase of ~50 bps | No Change | |
Adjusted earnings per share growth - Non-GAAP | 7 - 11% | No Change | |
Closed sales | $270 - $310M | No Change |
Financial Results for First Quarter Fiscal Year 2023 compared to First Quarter Fiscal Year 2022
Segment and Other Results for First Quarter Fiscal Year 2023 compared to First Quarter Fiscal Year 2022
Investor Communication Solutions ("ICS")
Global Technology and Operations ("GTO")
Other
Change in Foreign Exchange Rates
Beginning with the first quarter of fiscal year 2023, the Company changed reporting for segment revenues, segment earnings (loss) before income taxes, segment amortization of acquired intangibles and purchased intellectual property, and Closed sales to reflect the impact of actual foreign exchange rates applicable to the individual periods presented. The presentation of these metrics for the prior periods has been changed to conform to the current period presentation. Total consolidated revenues and earnings before income taxes were not impacted. For additional information, please see the Company's Form 8-K filed on September 26, 2022.
Earnings Conference Call
An analyst conference call will be held today, November 2, 2022 at 8:30 a.m. ET. A live webcast of the call will be available to the public on a listen-only basis. To listen to the live event and access the slide presentation, visit Broadridge's Investor Relations website at www.broadridge-ir.com prior to the start of the webcast. To listen to the call, investors may also dial 1-877-328-2502 within the United States and international callers may dial 1-412-317-5419. A replay of the webcast will be available and can be accessed in the same manner as the live webcast at the Broadridge Investor Relations site. Through November 9, 2022, the recording will also be available by dialing 1-877-344-7529 within the United States or 1-412-317-0088 for international callers, using passcode 4447835 for either dial-in number.
Explanation and Reconciliation of the Company's Use of Non-GAAP Financial Measures
The Company's results in this press release are presented in accordance with U.S. GAAP except where otherwise noted. In certain circumstances, results have been presented that are not generally accepted accounting principles measures ("Non-GAAP"). These Non-GAAP measures are Adjusted Operating income, Adjusted Operating income margin, Adjusted Net earnings, Adjusted earnings per share, Free cash flow, and Recurring revenue growth constant currency. These Non-GAAP financial measures should be viewed in addition to, and not as a substitute for, the Company's reported results.
The Company believes our Non-GAAP financial measures help investors understand how management plans, measures and evaluates the Company's business performance. Management believes that Non-GAAP measures provide consistency in its financial reporting and facilitates investors' understanding of the Company's operating results and trends by providing an additional basis for comparison. Management uses these Non-GAAP financial measures to, among other things, evaluate our ongoing operations, and for internal planning and forecasting purposes. In addition, and as a consequence of the importance of these Non-GAAP financial measures in managing our business, the Company's Compensation Committee of the Board of Directors incorporates Non-GAAP financial measures in the evaluation process for determining management compensation.
Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted Net Earnings and Adjusted Earnings Per Share
These Non-GAAP measures are adjusted to exclude the impact of certain costs, expenses, gains and losses and other specified items the exclusion of which management believes provides insight regarding our ongoing operating performance. Depending on the period presented, these adjusted measures exclude the impact of certain of the following items: (i) Amortization of Acquired Intangibles and Purchased Intellectual Property, (ii) Acquisition and Integration Costs, (iii) Real Estate Realignment and Covid-19 Related Expenses, and (iv) Russia-Related Exit Costs. Amortization of Acquired Intangibles and Purchased Intellectual Property represents non-cash amortization expenses associated with the Company's acquisition activities. Acquisition and Integration Costs represent certain transaction and integration costs associated with the Company's acquisition activities. Real Estate Realignment and Covid-19 Related Expenses are comprised of two major components: Real Estate Realignment Expenses, and Covid-19 Related Expenses. Real Estate Realignment Expenses are expenses associated with the exit of certain of the Company's leased facilities in response to the Covid-19 pandemic, which consist of the impairment of certain right of use assets, leasehold improvements and equipment, as well as other related facility exit expenses directly resulting from, and attributable to, the exit of these leased facilities. Covid-19 Related Expense are direct and incremental expenses incurred by the Company to protect the health and safety of Broadridge associates during the Covid-19 outbreak, including expenses associated with monitoring the temperatures for associates entering our facilities, enhancing the safety of our office environment in preparation for workers to return to Company facilities on a more regular basis, ensuring proper social distancing in our production facilities, personal protective equipment, enhanced cleaning measures in our facilities, and other safety related expenses. Russia-Related Exit Costs are direct and incremental costs associated with the Company's wind down of business activities in Russia in response to Russia's invasion of Ukraine, including relocation-related expenses of impacted associates.
We exclude Acquisition and Integration Costs, Real Estate Realignment and Covid-19 Related Expenses, and Russia-Related Exit Costs from our Adjusted Operating income (as applicable) and other adjusted earnings measures because excluding such information provides us with an understanding of the results from the primary operations of our business and enhances comparability across fiscal reporting periods, as these items are not reflective of our underlying operations or performance. We also exclude the impact of Amortization of Acquired Intangibles and Purchased Intellectual Property, as these non-cash amounts are significantly impacted by the timing and size of individual acquisitions and do not factor into the Company's capital allocation decisions, management compensation metrics or multi-year objectives. Furthermore, management believes that this adjustment enables better comparison of our results as Amortization of Acquired Intangibles and Purchased Intellectual Property will not recur in future periods once such intangible assets have been fully amortized. Although we exclude Amortization of Acquired Intangibles and Purchased Intellectual Property from our adjusted earnings measures, our management believes that it is important for investors to understand that these intangible assets contribute to revenue generation. Amortization of intangible assets that relate to past acquisitions will recur in future periods until such intangible assets have been fully amortized. Any future acquisitions may result in the amortization of additional intangible assets.
Free Cash Flow
In addition to the Non-GAAP financial measures discussed above, we provide Free cash flow information because we consider Free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated that could be used for dividends, share repurchases, strategic acquisitions, other investments, as well as debt servicing. Free cash flow is a Non-GAAP financial measure and is defined by the Company as Net cash flows provided by operating activities less Capital expenditures as well as Software purchases and capitalized internal use software.
Recurring revenue growth constant currency
As a multi-national company, we are subject to variability of our reported U.S. dollar results due to changes in foreign currency exchange rates. The exclusion of the impact of foreign currency exchange fluctuations from our Recurring revenue growth, or what we refer to as amounts expressed "on a constant currency basis," is a Non-GAAP measure. We believe that excluding the impact of foreign currency exchange fluctuations from our Recurring revenue growth provides additional information that enables enhanced comparison to prior periods.
Changes in Recurring revenue growth expressed on a constant currency basis are presented excluding the impact of foreign currency exchange fluctuations. To present this information, current period results for entities reporting in currencies other than the U.S. dollar are translated into U.S. dollars at the average exchange rates in effect during the corresponding period of the comparative year, rather than at the actual average exchange rates in effect during the current fiscal year.
Forward-Looking Statements
This press release and other written or oral statements made from time to time by representatives of Broadridge may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not historical in nature, and which may be identified by the use of words such as "expects," "assumes," "projects," "anticipates," "estimates," "we believe," "could be," "on track," and other words of similar meaning, are forward-looking statements. In particular, information appearing in the "Fiscal Year 2023 Financial Guidance" section and statements about our three-year objectives are forward-looking statements.
These statements are based on management's expectations and assumptions and are subject to risks and uncertainties that may cause actual results to differ materially from those expressed. These risks and uncertainties include those risk factors described and discussed in Part I, "Item 1A. Risk Factors" of our Annual Report on Form 10-K for the year ended June 30, 2022 (the "2022 Annual Report"), as they may be updated in any future reports filed with the Securities and Exchange Commission. All forward-looking statements speak only as of the date of this press release and are expressly qualified in their entirety by reference to the factors discussed in the 2022 Annual Report.
These risks include:
Broadridge disclaims any obligation to update or revise forward-looking statements that may be made to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events, other than as required by law.
About Broadridge
Broadridge Financial Solutions (NYSE: BR), a global Fintech leader with over $5 billion in revenues, provides the critical infrastructure that powers investing, corporate governance and communications to enable better financial lives. We deliver technology-driven solutions to banks, broker-dealers, asset and wealth managers and public companies. Broadridge's infrastructure serves as a global communications hub enabling corporate governance by linking thousands of public companies and mutual funds to tens of millions of individual and institutional investors around the world. In addition, Broadridge's technology and operations platforms underpin the daily trading of on average more than U.S. $9 trillion of equities, fixed income and other securities globally. A certified Great Place to Work®, Broadridge is a part of the S&P 500® Index, employing over 14,000 associates in 21 countries. For more information about Broadridge, please visit www.broadridge.com.
Contact Information | |
Investors: | |
W. Edings Thibault | Sean Silva |
(516) 472-5129 | (332) 213-6371 |
Media: | |
Gregg Rosenberg | |
(212) 918-6966 |
Condensed Consolidated Statements of Earnings | ||||
(Unaudited) | ||||
In millions, except per share amounts | Three Months Ended | |||
2022 | 2021 | |||
Revenues | $ 1,283.3 | $ 1,192.9 | ||
Operating expenses: | ||||
Cost of revenues | 990.4 | 914.1 | ||
Selling, general and administrative expenses | 205.3 | 175.5 | ||
Total operating expenses | 1,195.7 | 1,089.6 | ||
Operating income | 87.5 | 103.3 | ||
Interest expense, net | (26.9) | (22.6) | ||
Other non-operating expense, net | (5.2) | (2.4) | ||
Earnings before income taxes | 55.4 | 78.2 | ||
Provision for income taxes | 5.0 | 11.0 | ||
Net earnings | $ 50.4 | $ 67.2 | ||
Basic earnings per share | $ 0.43 | $ 0.58 | ||
Diluted earnings per share | $ 0.42 | $ 0.57 | ||
Weighted-average shares outstanding: | ||||
Basic | 117.5 | 116.2 | ||
Diluted | 118.9 | 118.3 |
Amounts may not sum due to rounding. |
Condensed Consolidated Balance Sheets | |||||
(Unaudited) | |||||
In millions, except per share amounts | September 30, | June 30, | |||
Assets | |||||
Current assets: | |||||
Cash and cash equivalents | $ 227.1 | $ 224.7 | |||
Accounts receivable, net of allowance for doubtful accounts of | 840.1 | 946.9 | |||
Other current assets | 154.9 | 156.8 | |||
Total current assets | 1,222.0 | 1,328.4 | |||
Property, plant and equipment, net | 145.1 | 150.9 | |||
Goodwill | 3,434.0 | 3,484.9 | |||
Intangible assets, net | 1,003.3 | 1,077.1 | |||
Deferred client conversion and start-up costs | 1,359.8 | 1,232.3 | |||
Other non-current assets | 926.5 | 895.3 | |||
Total assets | $ 8,090.6 | $ 8,168.8 | |||
Liabilities and Stockholders' Equity | |||||
Current liabilities: | |||||
Payables and accrued expenses | $ 816.0 | $ 1,114.9 | |||
Contract liabilities | 175.7 | 198.5 | |||
Total current liabilities | 991.7 | 1,313.4 | |||
Long-term debt | 4,064.2 | 3,793.0 | |||
Deferred taxes | 447.3 | 446.1 | |||
Contract liabilities | 213.4 | 215.8 | |||
Other non-current liabilities | 470.3 | 481.5 | |||
Total liabilities | 6,186.9 | 6,249.8 | |||
Commitments and contingencies | |||||
Stockholders' equity: | |||||
Preferred stock: Authorized, 25.0 shares; issued and outstanding, none | — | — | |||
Common stock, $0.01 par value: Authorized, 650.0 shares; issued, | 1.6 | 1.6 | |||
Additional paid-in capital | 1,379.8 | 1,344.7 | |||
Retained earnings | 2,789.1 | 2,824.0 | |||
Treasury stock, at cost: 36.8 and 37.2 shares, respectively | (2,017.7) | (2,024.8) | |||
Accumulated other comprehensive income (loss) | (249.2) | (226.3) | |||
Total stockholders' equity | 1,903.7 | 1,919.1 | |||
Total liabilities and stockholders' equity | $ 8,090.6 | $ 8,168.8 |
Amounts may not sum due to rounding. |
Condensed Consolidated Statements of Cash Flows | |||
(Unaudited) | |||
In millions | Three Months Ended September 30, | ||
2022 | 2021 | ||
Cash Flows From Operating Activities | |||
Net earnings | $ 50.4 | $ 67.2 | |
Adjustments to reconcile net earnings to net cash flows used in operating activities: | |||
Depreciation and amortization | $ 20.7 | 20.4 | |
Amortization of acquired intangibles and purchased intellectual property | 55.9 | 68.7 | |
Amortization of other assets | 32.1 | 30.9 | |
Stock-based compensation expense | 15.6 | 13.6 | |
Deferred income taxes | (9.7) | (3.0) | |
Other | 3.5 | 0.9 | |
Changes in operating assets and liabilities, net of assets and liabilities acquired: | |||
Current assets and liabilities: | |||
Decrease in Accounts receivable, net | 115.6 | 96.6 | |
Decrease in Other current assets | 1.5 | 1.6 | |
Decrease in Payables and accrued expenses | (319.3) | (324.7) | |
Decrease in Contract liabilities | (17.1) | (5.8) | |
Non-current assets and liabilities: | |||
Increase in Other non-current assets | (167.4) | (119.8) | |
Increase in Other non-current liabilities | 13.6 | 18.1 | |
Net cash flows used in operating activities | (204.5) | (135.4) | |
Cash Flows From Investing Activities | |||
Capital expenditures | (5.5) | (5.7) | |
Software purchases and capitalized internal use software | (8.1) | (10.2) | |
Acquisitions, net of cash acquired | — | (13.3) | |
Other investing activities | — | (7.1) | |
Net cash flows used in investing activities | (13.6) | (36.4) | |
Cash Flows From Financing Activities | |||
Debt proceeds | 410.0 | 380.0 | |
Debt repayments | (140.0) | (100.0) | |
Dividends paid | (75.0) | (66.8) | |
Purchases of Treasury stock | (2.1) | — | |
Proceeds from exercise of stock options | 30.2 | 8.7 | |
Other financing activities | (0.3) | (4.9) | |
Net cash flows provided by financing activities | 222.8 | 217.0 | |
Effect of exchange rate changes on Cash and cash equivalents | (2.3) | (3.1) | |
Net change in Cash and cash equivalents | 2.4 | 42.2 | |
Cash and cash equivalents, beginning of period | 224.7 | 274.5 | |
Cash and cash equivalents, end of period | $ 227.1 | $ 316.7 |
Amounts may not sum due to rounding. |
Segment Results | |||
(Unaudited) | |||
In millions | Three Months Ended September 30, | ||
2022 | 2021 | ||
Revenues | |||
Investor Communication Solutions | $ 920.6 | $ 853.4 | |
Global Technology and Operations | 362.7 | 339.4 | |
Total | $ 1,283.3 | $ 1,192.9 | |
Earnings before Income Taxes | |||
Investor Communication Solutions | $ 60.0 | $ 82.4 | |
Global Technology and Operations | 40.3 | 18.6 | |
Other | (44.8) | (22.8) | |
Total | $ 55.4 | $ 78.2 | |
Pre-tax margins: | |||
Investor Communication Solutions | 6.5 % | 9.7 % | |
Global Technology and Operations | 11.1 % | 5.5 % | |
Amortization of acquired intangibles and purchased intellectual property | |||
Investor Communication Solutions | $ 15.5 | $ 20.9 | |
Global Technology and Operations | 40.4 | 47.8 | |
Total | $ 55.9 | $ 68.7 | |
Amounts may not sum due to rounding. |
Supplemental Reporting Detail - Additional Product Line Reporting | |||||
(Unaudited) | |||||
In millions | Three Months Ended September 30, | ||||
2022 | 2021 | % Change | |||
Investor Communication Solutions | |||||
Regulatory | $ 170.8 | $ 165.4 | 3 % | ||
Data-driven fund solutions | 92.5 | 83.2 | 11 % | ||
Issuer | 23.9 | 20.6 | 16 % | ||
Customer communications | 155.9 | 140.9 | 11 % | ||
Total ICS Recurring revenues | 443.1 | 410.2 | 8 % | ||
Equity and other | 29.5 | 27.6 | 7 % | ||
Mutual funds | 33.2 | 48.8 | (32 %) | ||
Total ICS Event-driven revenues | 62.7 | 76.3 | (18 %) | ||
Distribution revenues | 414.8 | 367.0 | 13 % | ||
Total ICS Revenues | $ 920.6 | $ 853.4 | 8 % | ||
Global Technology and Operations | |||||
Capital markets | $ 226.7 | $ 208.6 | 9 % | ||
Wealth and investment management | 136.0 | 130.8 | 4 % | ||
Total GTO Recurring revenues | 362.7 | 339.4 | 7 % | ||
Total Revenues | $ 1,283.3 | $ 1,192.9 | 8 % | ||
Revenues by Type | |||||
Recurring revenues | $ 805.8 | $ 749.6 | 7 % | ||
Event-driven revenues | 62.7 | 76.3 | (18 %) | ||
Distribution revenues | 414.8 | 367.0 | 13 % | ||
Total Revenues | $ 1,283.3 | $ 1,192.9 | 8 % |
Amounts may not sum due to rounding. |
Select Operating Metrics | |||||
(Unaudited) | |||||
Three Months Ended | |||||
In millions | 2022 | 2021 | % | ||
Closed sales1 | $29.0 | $29.7 | (2 %) | ||
Record Growth2 | |||||
Equity proxy | 9 % | 39 % | |||
Mutual fund interims | 11 % | 9 % | |||
Internal Trade Growth3 | 6 % | 2 % | |||
Amounts may not sum due to rounding. | |||||
1Refer to the "Results of Operations" section of Broadridge's Form 10-Q for a description of Closed sales and its calculation. | |||||
2Stock record growth and interim record growth measure the estimated annual change in total positions eligible for equity proxy materials and mutual fund and exchange-traded fund interim communications, respectively, for equities and mutual fund position data reported to Broadridge in both the current and prior year periods. | |||||
3Represents the estimated change in daily average trade volumes for clients whose contracts are linked to trade volumes and who were on Broadridge's trading platforms in both the current and prior year periods. | |||||
Reconciliation of Non-GAAP to GAAP Measures | |||
(Unaudited) | |||
In millions, except per share amounts | Three Months Ended September 30, | ||
2022 | 2021 | ||
Reconciliation of Adjusted Operating Income | |||
Operating income (GAAP) | $ 87.5 | $ 103.3 | |
Adjustments: | |||
Amortization of Acquired Intangibles and Purchased Intellectual Property | 55.9 | 68.7 | |
Acquisition and Integration Costs | 4.1 | 2.9 | |
Real Estate Realignment and Covid-19 Related Expenses (a) | — | 1.8 | |
Russia-Related Exit Costs | 2.6 | — | |
Adjusted Operating income (Non-GAAP) | $ 150.1 | $ 176.7 | |
Operating income margin (GAAP) | 6.8 % | 8.7 % | |
Adjusted Operating income margin (Non-GAAP) | 11.7 % | 14.8 % | |
Reconciliation of Adjusted Net earnings | |||
Net earnings (GAAP) | $ 50.4 | $ 67.2 | |
Adjustments: | |||
Amortization of Acquired Intangibles and Purchased Intellectual Property | 55.9 | 68.7 | |
Acquisition and Integration Costs | 4.1 | 2.9 | |
Real Estate Realignment and Covid-19 Related Expenses (a) | — | 1.8 | |
Russia-Related Exit Costs | 2.6 | — | |
Subtotal of adjustments | 62.5 | 73.4 | |
Tax impact of adjustments (c) | (13.2) | (14.4) | |
Adjusted Net earnings (Non-GAAP) | $ 99.7 | $ 126.3 | |
Reconciliation of Adjusted EPS | |||
Diluted earnings per share (GAAP) | $ 0.42 | $ 0.57 | |
Adjustments: | |||
Amortization of Acquired Intangibles and Purchased Intellectual Property | 0.47 | 0.58 | |
Acquisition and Integration Costs | 0.03 | 0.02 | |
Real Estate Realignment and Covid-19 Related Expenses (b) | — | 0.02 | |
Russia-Related Exit Costs | 0.02 | — | |
Subtotal of adjustments | 0.53 | 0.62 | |
Tax impact of adjustments (c) | (0.11) | (0.12) | |
Adjusted earnings per share (Non-GAAP) | $ 0.84 | $ 1.07 |
(a) Real Estate Realignment and Covid-19 Related Expenses were ($0.1 million) and $1.9 million, respectively, for the three months ended September 30, 2021. |
(b) Real Estate Realignment Expenses impacted Adjusted earnings per share by $0.00 for the three months ended September 30, 2021. Covid-19 Related Expenses impacted Adjusted earnings per share by $0.02 for the three months ended September 30, 2021. |
(c) Calculated using the GAAP effective tax rate, adjusted to exclude $6.7 million and $4.3 million of excess tax benefits associated with stock-based compensation for the three months ended September 30, 2022 and 2021, respectively. For purposes of calculating the Adjusted earnings per share, the same adjustments were made on a per share basis. |
Three Months Ended | |||
2022 | 2021 | ||
Reconciliation of Free Cash Flow | |||
Net cash flows used in operating activities (GAAP) | $ (204.5) | $ (135.4) | |
Capital expenditures and Software purchases and capitalized internal use software | (13.6) | (15.9) | |
Free cash flow (Non-GAAP) | $ (218.1) | $ (151.4) | |
Reconciliation of Recurring Revenue Growth Constant Currency | |||||||||
Three Months Ended September 30, 2022 | |||||||||
Investor Communications Solutions | Regulatory | Data- | Issuer | Customer | Total | ||||
Recurring revenue growth (GAAP) | 3 % | 11 % | 16 % | 11 % | 8 % | ||||
Impact of foreign currency exchange | — % | 2 % | — % | — % | 1 % | ||||
Recurring revenue growth constant currency (Non-GAAP) | 4 % | 13 % | 16 % | 11 % | 9 % |
Three Months Ended September 30, 2022 | |||||
Global Technology and Operations | Capital | Wealth and | Total | ||
Recurring revenue growth (GAAP) | 9 % | 4 % | 7 % | ||
Impact of foreign currency exchange | 5 % | 2 % | 4 % | ||
Recurring revenue growth constant currency (Non-GAAP) | 14 % | 5 % | 10 % |
Three Months | |
Consolidated | Total |
Recurring revenue growth (GAAP) | 7 % |
Impact of foreign currency exchange | 2 % |
Recurring revenue growth constant currency (Non-GAAP) | 9 % |
Amounts may not sum due to rounding. |
2023 Guidance | ||
Reconciliation of Non-GAAP to GAAP Measures | ||
(Unaudited) | ||
FY23 Recurring revenue growth (a) | ||
Impact of foreign currency exchange | — | |
Recurring revenue growth constant currency - Non-GAAP | 6 - 9% | |
FY23 Adjusted Operating income margin (b) | ||
Operating income margin % - GAAP | Increase of ~ 150 bps | |
Adjusted Operating income margin % - Non-GAAP | Increase of ~ 50 bps | |
FY23 Adjusted earnings per share growth rate (c) | ||
Diluted earnings per share - GAAP | ~13 - 17% growth | |
Adjusted earnings per share - Non-GAAP | 7 - 11% growth |
(a) The Company is unable to reconcile its forward-looking Recurring revenue growth constant currency fiscal year 2023 guidance without unreasonable efforts because of the uncertainty in the amounts of future foreign currency exchange rates. For the same reason, the Company is unable to address the probable significance of the unavailable information, which could be material to future results. |
(b) Adjusted Operating income margin (Non-GAAP) is adjusted to exclude the projected impact of Amortization of Acquired Intangibles and Purchased Intellectual Property, Acquisition and Integration Costs, and Russia-Related Exit Costs. Fiscal year 2023 Non-GAAP Adjusted Operating income margin guidance estimates excludes approximately $255 million. |
(c) Adjusted earnings per share growth (Non-GAAP) is adjusted to exclude the projected impact of Amortization of Acquired Intangibles and Purchased Intellectual Property, Acquisition and Integration Costs, and Russia-Related Exit Costs, and is calculated using diluted shares outstanding. Fiscal year 2023 Non-GAAP Adjusted earnings per share guidance estimates exclude, net of taxes, approximately $1.66 per share. |
View original content: https://www.prnewswire.com/news-releases/broadridge-reports-first-quarter-fiscal-2023-results-301665672.html
SOURCE Broadridge Financial Solutions, Inc.