Broadridge Financial Solutions, Inc. (BR) reported impressive second-quarter fiscal 2024 results, with both earnings and revenues beating the Zacks Consensus Estimate.Adjusted earnings of 92 cents per share beat the consensus mark by 4.6% and increased 1% year over year. Total revenues of $1.41 billion beat the consensus mark by 0.9% and were up 9% year over year.Recurring revenues of $899 million increased 7% year over year on a reported basis and 6% on a constant currency basis.Shares of the company have ...

Broadridge Financial Solutions, Inc. (NYSE:BR) Q2 2024 Results Conference Call February 1, 2024 8:30 AM ET Company Participants Edings Thibault - IR Tim Gokey - CEO Edmund Reese - CFO Conference Call Participants Dan Perlin - RBC Capital Darrin Peller - Wolfe Research David Togut - Evercore ISI James Faucette - Morgan Stanley Patrick O'Shaughnessy - Raymond James Peter Heckmann - D.A. Davidson Operator Good morning, and welcome to the Broadridge Second Quarter and Fiscal Year 2024 Earnings Conference Call. ...

For the quarter ended December 2023, Broadridge Financial Solutions (BR) reported revenue of $1.41 billion, up 8.7% over the same period last year. EPS came in at $0.92, compared to $0.91 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $1.39 billion, representing a surprise of +0.94%. The company delivered an EPS surprise of +4.55%, with the consensus EPS estimate being $0.88.While investors closely watch year-over-year changes in headline numbers -- revenue and earn ...

Broadridge Financial Solutions (BR) came out with quarterly earnings of $0.92 per share, beating the Zacks Consensus Estimate of $0.88 per share. This compares to earnings of $0.91 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 4.55%. A quarter ago, it was expected that this technology outsourcing company would post earnings of $0.94 per share when it actually produced earnings of $1.09, delivering a surprise of 15.96%.Over t ...

NEW YORK, Jan. 31, 2024 (GLOBE NEWSWIRE) -- Exchange Data International (EDI) and global Fintech leader Broadridge Financial Solutions, Inc. (NYSE:BR) announce an alliance to offer Broadridge's Global Asset Servicing Solution clients EDI's corporate actions, securities reference and pricing data to help inform decision making and improve client choice. Broadridge's Asset Servicing Solution addresses key industry, business and operational challenges for banks, broker-dealers and RIA custodians of all sizes b ...

[Forward-Looking Statements](index=4&type=section&id=NOTE%20ABOUT%20FORWARD-LOOKING%20STATEMENTS) This report contains forward-looking statements subject to risks like changes in laws, client reliance, cybersecurity threats, market declines, and competition - This report contains forward-looking statements, subject to risks and uncertainties that could cause actual results to differ materially, including changes in laws, reliance on a small number of clients, cybersecurity threats, market declines, and competition[13](index=13&type=chunk) [PART I. FINANCIAL INFORMATION](index=5&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Financial Statements](index=5&type=section&id=Item%201.%20FINANCIAL%20STATEMENTS) This section presents Broadridge Financial Solutions' unaudited Condensed Consolidated Financial Statements for Q2 FY2024, showing increased revenues and net earnings [Condensed Consolidated Statements of Earnings](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Earnings) Revenues for the three months ended December 31, 2023, increased to **$1.41 billion** from **$1.29 billion**, with net earnings rising to **$70.3 million** from **$57.5 million** Condensed Consolidated Statements of Earnings (Unaudited, in millions, except per share data) | | Three Months Ended Dec 31, | | Six Months Ended Dec 31, | | | :--- | :--- | :--- | :--- | :--- | | | **2023** | **2022** | **2023** | **2022** | | **Revenues** | **$1,405.0** | **$1,292.9** | **$2,836.0** | **$2,576.2** | | Operating income | $124.4 | $107.9 | $272.8 | $195.4 | | **Net earnings** | **$70.3** | **$57.5** | **$161.2** | **$108.0** | | **Diluted earnings per share** | **$0.59** | **$0.48** | **$1.35** | **$0.91** | [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of December 31, 2023, total assets were **$8.00 billion**, a slight decrease from **$8.23 billion**, with total liabilities also decreasing to **$5.93 billion** Condensed Consolidated Balance Sheet Highlights (Unaudited, in millions) | | **Dec 31, 2023** | **June 30, 2023** | | :--- | :--- | :--- | | **Total current assets** | $1,363.6 | $1,392.5 | | Goodwill | $3,429.3 | $3,461.6 | | **Total assets** | **$7,999.8** | **$8,233.2** | | Total current liabilities | $971.2 | $2,397.8 | | Long-term debt | $3,652.9 | $2,234.7 | | **Total liabilities** | **$5,932.2** | **$5,992.6** | | **Total stockholders' equity** | **$2,067.6** | **$2,240.6** | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operating activities for the six months ended December 31, 2023, was **$127.8 million**, a significant improvement from a **$81.4 million** outflow in the prior year Condensed Consolidated Statements of Cash Flows (Unaudited, in millions) | | **Six Months Ended Dec 31, 2023** | **Six Months Ended Dec 31, 2022** | | :--- | :--- | :--- | | Net cash flows from operating activities | $127.8 | $(81.4) | | Net cash flows from investing activities | $(36.4) | $(35.1) | | Net cash flows from financing activities | $(66.2) | $176.9 | | **Net change in Cash and cash equivalents** | **$24.7** | **$55.3** | [Notes to Condensed Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies, revenue recognition, debt structure, segment performance, and commitments for ICS and GTO segments - The company operates in two segments: **Investor Communication Solutions (ICS)** for communications and **Global Technology and Operations (GTO)** for capital markets and wealth management technology[61](index=61&type=chunk)[62](index=62&type=chunk) Disaggregation of Revenue by Segment (Six Months Ended Dec 31, in millions) | Revenue Type | **2023** | **2022** | | :--- | :--- | :--- | | **ICS Recurring** | $962.2 | $910.1 | | ICS Event-driven | $142.1 | $100.2 | | ICS Distribution | $923.9 | $829.7 | | **Total ICS** | **$2,028.2** | **$1,840.0** | | **GTO Recurring** | $807.9 | $736.2 | | **Total Revenues** | **$2,836.0** | **$2,576.2** | - As of December 31, 2023, total debt was **$3.67 billion**, comprising a **$1.3 billion** Term Loan and **$2.25 billion** in Senior Notes[111](index=111&type=chunk)[115](index=115&type=chunk)[139](index=139&type=chunk) - Significant contractual commitments include **$112.1 million** for IT services, **$133.2 million** for private cloud, and **$153.9 million** for cloud services resale[147](index=147&type=chunk)[148](index=148&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=29&type=section&id=Item%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Management discusses Q2 and H1 FY2024 financial results, highlighting 9% and 10% revenue growth, key performance indicators, segment results, non-GAAP measures, and liquidity [Results of Operations](index=33&type=section&id=Results%20of%20Operations) For the six months ended December 31, 2023, revenues increased **10%** to **$2.84 billion**, with operating income up **40%** to **$272.8 million** and net earnings up **49%** to **$161.2 million** Financial Highlights - Six Months Ended Dec 31, 2023 vs 2022 (in millions) | Metric | **2023** | **2022** | **Change ($)** | **Change (%)** | | :--- | :--- | :--- | :--- | :--- | | **Total Revenues** | $2,836.0 | $2,576.2 | $259.9 | 10% | | Recurring revenues | $1,770.0 | $1,646.2 | $123.8 | 8% | | Event-driven revenues | $142.1 | $100.2 | $41.9 | 42% | | **Operating Income** | $272.8 | $195.4 | $77.4 | 40% | | **Net Earnings** | $161.2 | $108.0 | $53.2 | 49% | - Closed sales, representing new annual recurring revenue, increased **12%** to **$105.6 million** for the six months ended December 31, 2023, indicating a healthy sales pipeline[198](index=198&type=chunk) [Analysis of Reportable Segments](index=39&type=section&id=Analysis%20of%20Reportable%20Segments) For the six months ended December 31, 2023, ICS revenues grew **10%** to **$2.03 billion** with earnings up **69%**, while GTO revenues grew **10%** to **$807.9 million** but earnings fell **13%** Segment Performance - Six Months Ended Dec 31, 2023 vs 2022 (in millions) | Segment | Revenues 2023 | Revenues 2022 | Change (%) | Earnings Before Taxes 2023 | Earnings Before Taxes 2022 | Change (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **ICS** | $2,028.2 | $1,840.0 | 10% | $211.0 | $124.9 | 69% | | **GTO** | $807.9 | $736.2 | 10% | $73.0 | $84.3 | (13)% | - ICS revenue growth was driven by a **6%** increase in recurring revenues and a **42%** increase in event-driven revenues, primarily from mutual fund proxy and corporate action activity[217](index=217&type=chunk)[270](index=270&type=chunk) - GTO's **10%** recurring revenue growth was driven by Net New Business and Internal Growth, though pre-tax margins decreased from **11.5%** to **9.0%** due to higher expenses, including a **$30.2 million** increase in amortization[244](index=244&type=chunk)[274](index=274&type=chunk) [Explanation and Reconciliation of Non-GAAP Financial Measures](index=43&type=section&id=Explanation%20and%20Reconciliation%20of%20the%20Company%27s%20Use%20of%20Non-GAAP%20Financial%20Measures) The company uses non-GAAP measures like Adjusted Operating Income and Free Cash Flow to assess operational performance, with Adjusted Operating Income at **$373.7 million** for H1 FY2024 Reconciliation of GAAP to Non-GAAP Measures (Six Months Ended Dec 31, in millions) | Measure | **2023** | **2022** | | :--- | :--- | :--- | | **Operating income (GAAP)** | **$272.8** | **$195.4** | | Amortization of Acquired Intangibles | $100.7 | $109.5 | | Acquisition and Integration Costs | $0.2 | $7.7 | | Russia-Related Exit Costs | $0.0 | $10.5 | | **Adjusted Operating income (Non-GAAP)** | **$373.7** | **$323.2** | | **Net earnings (GAAP)** | **$161.2** | **$108.0** | | **Adjusted Net earnings (Non-GAAP)** | **$239.2** | **$208.2** | Free Cash Flow (Non-GAAP, Six Months Ended Dec 31, in millions) | | **2023** | **2022** | | :--- | :--- | :--- | | Net cash flows from operating activities (GAAP) | $127.8 | $(81.4) | | Capital expenditures & Software purchases | $(36.4) | $(33.1) | | **Free cash flow (Non-GAAP)** | **$91.4** | **$(114.5)** | [Financial Condition, Liquidity and Capital Resources](index=47&type=section&id=Financial%20Condition%2C%20Liquidity%20and%20Capital%20Resources) As of December 31, 2023, the company had **$277.0 million** in cash, **$3.67 billion** in total debt, and generated **$91.4 million** in positive free cash flow - Cash from operating activities increased by **$209.2 million** for the six months ended December 31, 2023, driven by higher net earnings and lower implementation costs[23](index=23&type=chunk)[291](index=291&type=chunk) - On August 17, 2023, the company amended its Term Credit Agreement, replacing the previous loan with a new **$1.3 billion** Fiscal 2024 Amended Term Loan[137](index=137&type=chunk)[306](index=306&type=chunk) - The company's business is seasonal, with revenues, operating income, and cash flows typically higher in the third and fourth fiscal quarters due to proxy processing timing[264](index=264&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=51&type=section&id=Item%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) No material changes have occurred in the quantitative and qualitative disclosures about market risk since the FY2023 Annual Report - No material changes to the market risk disclosures from the **2023 Annual Report**[313](index=313&type=chunk) [Controls and Procedures](index=51&type=section&id=Item%204.%20CONTROLS%20AND%20PROCEDURES) Management concluded that disclosure controls and procedures were effective as of December 31, 2023, with no material changes to internal control over financial reporting - Management concluded that disclosure controls and procedures were **effective** as of December 31, 2023[314](index=314&type=chunk) - No material changes to internal control over financial reporting occurred during the quarter ended December 31, 2023[29](index=29&type=chunk) [PART II. OTHER INFORMATION](index=52&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=52&type=section&id=Item%201.%20LEGAL%20PROCEEDINGS) The company faces various legal claims, including a Plan Management Corp. lawsuit where a new damages trial is set for March 4, 2024, with possible losses up to **$30 million** - In the Plan Management Corp. case, a trial court vacated a damages award, with a new trial on damages scheduled for **March 4, 2024**, and no material loss is deemed probable[152](index=152&type=chunk) - Management estimates reasonably possible losses for outstanding legal matters of up to **$30 million** in excess of established reserves[128](index=128&type=chunk) [Risk Factors](index=52&type=section&id=Item%201A.%20RISK%20FACTORS) No material changes have occurred in the risk factors previously disclosed in the FY2023 Annual Report - No material changes have been made to the risk factors disclosed in the **2023 Annual Report**[299](index=299&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=52&type=section&id=Item%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) During Q2 FY2024, the company purchased **2,225** shares from employees for tax purposes, with **8.8 million** shares remaining for repurchase under the program Issuer Purchases of Equity Securities (Q2 FY2024) | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | Oct 1 - Oct 31, 2023 | 1,412 | $179.05 | | Nov 1 - Nov 30, 2023 | 167 | $180.32 | | Dec 1 - Dec 31, 2023 | 646 | $192.01 | | **Total** | **2,225** | **$182.91** | - Shares purchased were from employees to cover taxes on vested stock awards, with no repurchases under the publicly announced share repurchase program during the quarter[300](index=300&type=chunk)[318](index=318&type=chunk) [Exhibits](index=53&type=section&id=Item%206.%20EXHIBITS) This section lists exhibits filed with Form 10-Q, including CEO/CFO certifications and XBRL interactive data files - Filed exhibits include **CEO and CFO certifications** under Sarbanes-Oxley Sections 302 and 906, and financial statements in **Inline XBRL** format[34](index=34&type=chunk)

NEW YORK, Jan. 31, 2024 /PRNewswire/ -- FORTUNE® magazine has named Broadridge Financial Solutions, Inc. (NYSE: BR) to its list of the World's Most Admired Companies in the financial data services category for the tenth time. The FORTUNE list, considered one of the leading measures of corporate reputation among the world's largest companies, rates firms on a range of criteria from investment value to global competitiveness and innovation. Fortune's 2024 World's Most Admired Companies Broadridge is a tru ...

Broadridge's Sentry solution to streamline and further automate Silverview's private credit investment processes NEW YORK, Jan. 31, 2024 /PRNewswire/ -- As investor demand for private debt and direct lending investments grows, Silverview Credit Partners has optimized its technology capabilities to support this asset class with global Fintech leader Broadridge Financial Solutions Inc's. (NYSE: BR) Sentry Portfolio Management solution. This technology will enable Silverview Credit Partners to achieve greater ...

Wall Street analysts expect Broadridge Financial Solutions (BR) to post quarterly earnings of $0.88 per share in its upcoming report, which indicates a year-over-year decline of 3.3%. Revenues are expected to be $1.39 billion, up 7.7% from the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Prior to a company's earnings release, it is ...

NEW YORK, Jan. 29, 2024 /PRNewswire/ -- LTX, a subsidiary of global Fintech leader, Broadridge Financial Solutions, Inc. (NYSE:BR), today announced that it has been awarded four new patents on its fixed income trading innovations of bond similarity technology, dealer selection score technology, liquidity aggregation technology, and RFQ+ trading protocol. Together, these technologies serve to inform pre-trade decision-making and bring new efficiency to trade execution. The newly patented technologies enhance ...