[Financial Highlights and Outlook](index=1&type=section&id=Financial%20Highlights%20and%20Outlook) This section provides an overview of Broadridge's strong fiscal year 2025 performance, outlines optimistic fiscal year 2026 guidance, and details its balanced capital allocation strategy [Fiscal Year 2025 Performance Summary](index=1&type=section&id=Fiscal%20Year%2025%20Performance%20Summary) Broadridge reported strong fiscal year 2025 results, characterized by 7% growth in recurring revenues on a constant currency basis and an 11% increase in Adjusted EPS. Despite a 16% decline in closed sales, the company demonstrated solid operational performance and growth across key financial metrics Fiscal Year 2025 Key Financial Results (vs. FY 2024) | Metric | FY 2025 | FY 2024 | Change | | :--- | :--- | :--- | :--- | | Recurring Revenues | $4,508M | $4,223M | +7% | | Total Revenues | $6,889M | $6,507M | +6% | | Operating Income | $1,189M | $1,017M | +17% | | Diluted EPS | $7.10 | $5.86 | +21% | | Adjusted EPS (Non-GAAP) | $8.55 | $7.73 | +11% | | Closed Sales | $288M | $342M | -16% | - The company is executing on its growth strategy focusing on the democratization of governance, innovation in capital markets, and modernization of wealth management[1](index=1&type=chunk) [Fiscal Year 2026 Guidance](index=1&type=section&id=Fiscal%20Year%2026%20Guidance) The company projects continued growth for fiscal year 2026, with recurring revenue expected to grow 5-7% on a constant currency basis and Adjusted EPS growth forecasted at 8-12%. Closed sales are anticipated to be in the range of $290 million to $330 million Fiscal Year 2026 Financial Guidance | Metric | Guidance | | :--- | :--- | | Recurring Revenue Growth (Constant Currency) | 5 - 7% | | Adjusted Operating Income Margin | 20 – 21% | | Adjusted EPS Growth | 8 - 12% | | Closed Sales | $290 - $330 million | - Broadridge states it is on track to deliver on its three-year top and bottom-line growth objectives[3](index=3&type=chunk) [Capital Allocation](index=1&type=section&id=Capital%20Allocation) Broadridge demonstrated a balanced capital allocation strategy in fiscal 2025, highlighted by an 11% increase in its annual dividend to $3.90 per share, marking the 19th consecutive annual increase. The company also invested in strategic M&A and repurchased $100 million of its shares - The Board of Directors approved an **11% increase** in the annual dividend to **$3.90 per share**, the **19th consecutive annual increase**[2](index=2&type=chunk)[19](index=19&type=chunk) - In fiscal year 2025, the company repurchased **$100 million** of its shares[2](index=2&type=chunk) - The company invested in strategic M&A to strengthen its wealth business in Canada[2](index=2&type=chunk) [Detailed Financial Results](index=2&type=section&id=Detailed%20Financial%20Results) This section provides a comprehensive breakdown of Broadridge's financial performance for the fourth quarter and full fiscal year 2025, detailing revenue and profitability across its key business segments [Fourth Quarter Fiscal Year 2025 Results](index=2&type=section&id=Fourth%20Quarter%20Fiscal%20Year%202025%20Results) In the fourth quarter of fiscal 2025, total revenues grew 6% to $2,065 million, driven by a 7% increase in recurring revenues. Operating income rose 13% to $499 million, and Diluted EPS increased 16% to $3.16. However, Adjusted Operating income was flat compared to the prior year period Q4 2025 Financial Performance (vs. Q4 2024) | Metric | Q4 2025 | Q4 2024 | Change | | :--- | :--- | :--- | :--- | | Total Revenues | $2,065M | $1,944M | +6% | | Recurring Revenues | $1,424M | $1,326M | +7% | | Operating Income | $499M | $441M | +13% | | Diluted EPS | $3.16 | $2.72 | +16% | | Adjusted EPS | $3.55 | $3.50 | +1% | [Segment Results (Q4 FY25)](index=2&type=section&id=Q4%20FY25%20Segment%20Results) In Q4, Investor Communication Solutions (ICS) revenues grew 5%, driven by 5% recurring revenue growth. Global Technology and Operations (GTO) revenues increased 12%, boosted by organic growth and the SIS acquisition. GTO's pre-tax margin declined significantly from 11.3% to 7.3% due to higher expenses and growth investments - **Investor Communication Solutions (ICS):** Total revenues increased **5%** to **$1,601 million**, with recurring revenues up **5%** driven by Net New Business and Internal Growth. Regulatory product line recurring revenue grew **8%**[7](index=7&type=chunk) - **Global Technology and Operations (GTO):** Recurring revenues grew **12%** to **$465 million**, with **6 percentage points** from organic growth and **5 percentage points** from the SIS acquisition. The Wealth and investment management product line saw a **25%** revenue increase[11](index=11&type=chunk) - **Corporate and Other:** Loss before income taxes decreased to **$53 million** from **$106 million** in the prior year, primarily due to **$54 million** of lower Restructuring and Other Related Costs[9](index=9&type=chunk) [Full Fiscal Year 2025 Results](index=3&type=section&id=Full%20Fiscal%20Year%202025%20Results) For the full fiscal year 2025, total revenues increased 6% to $6,889 million, and recurring revenues grew 7%. Operating income saw a significant 17% increase to $1,189 million, with operating margin expanding to 17.3% from 15.6%. Adjusted Operating income grew 8%, and Diluted EPS rose 21% to $7.10 Full Year 2025 Financial Performance (vs. FY 2024) | Metric | FY 2025 | FY 2024 | Change | | :--- | :--- | :--- | :--- | | Total Revenues | $6,889M | $6,507M | +6% | | Recurring Revenues | $4,508M | $4,223M | +7% | | Operating Income | $1,189M | $1,017M | +17% | | Diluted EPS | $7.10 | $5.86 | +21% | | Adjusted EPS | $8.55 | $7.73 | +11% | [Segment Results (FY25)](index=4&type=section&id=FY25%20Segment%20Results) For the full fiscal year, ICS revenues grew 5%, with a 6% increase in recurring revenues and pre-tax margins expanding to 20.6%. GTO recurring revenues rose 8%, split evenly between organic growth and the SIS acquisition, with pre-tax margins improving to 11.3% - **Investor Communication Solutions (ICS):** Total revenues increased **5%** to **$5,113 million**. Recurring revenues grew **6%**, driven by Net New Business and Internal Growth. Pre-tax margins increased to **20.6%** from **19.6%**[16](index=16&type=chunk) - **Global Technology and Operations (GTO):** Recurring revenues grew **8%** to **$1,776 million**, driven by **4 percentage points** of organic growth and **4 percentage points** from the SIS acquisition. Pre-tax margins increased to **11.3%** from **10.5%**[16](index=16&type=chunk)[23](index=23&type=chunk) - **Corporate and Other:** Loss before income taxes decreased to **$197 million** from **$246 million**, due to lower restructuring costs, litigation expenses, and net interest expense[17](index=17&type=chunk) [Corporate Developments](index=5&type=section&id=Corporate%20Developments) This section highlights Broadridge's strategic corporate activities, specifically detailing the proposed acquisition of Acolin Group to expand its European fund distribution capabilities [Acolin Acquisition Announcement](index=5&type=section&id=Acolin%20Acquisition%20Announcement) On July 3, 2025, Broadridge announced the proposed acquisition of Acolin Group, a European provider of cross-border fund distribution and regulatory services. The acquisition, valued at approximately $70 million plus contingent consideration, is expected to close in the first half of fiscal 2026 and will enhance Broadridge's pan-European fund distribution network - Broadridge announced the proposed acquisition of Acolin Group Holdco Limited ("Acolin"), a leading European provider of cross-border fund distribution and regulatory services[18](index=18&type=chunk) - The total purchase price is approximately **$70 million** plus additional contingent consideration[18](index=18&type=chunk) - The acquisition is expected to close in the **first half of Broadridge's 2026 fiscal year** and will be included in the ICS reportable segment[18](index=18&type=chunk) [Financial Statements](index=9&type=section&id=Financial%20Statements) This section presents Broadridge's core financial statements, including the consolidated statements of earnings, balance sheets, and cash flows, providing a comprehensive view of the company's financial position and performance [Condensed Consolidated Statements of Earnings](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Earnings) The statement shows a 6% increase in total revenues for fiscal year 2025, leading to a 17% rise in operating income and a 20% increase in net earnings compared to fiscal year 2024 Fiscal Year 2025 Statement of Earnings Highlights (in millions) | Account | FY 2025 | FY 2024 | | :--- | :--- | :--- | | Revenues | $6,889.1 | $6,506.8 | | Operating income | $1,188.6 | $1,017.1 | | Earnings before income taxes | $1,058.7 | $877.4 | | Net earnings | $839.5 | $698.1 | | Diluted earnings per share | $7.10 | $5.86 | [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to $8.55 billion from $8.24 billion a year prior. Total liabilities decreased to $5.89 billion from $6.07 billion, while total stockholders' equity grew significantly to $2.66 billion from $2.17 billion Balance Sheet Highlights (in millions, as of June 30) | Account | 2025 | 2024 | | :--- | :--- | :--- | | Total current assets | $1,817.1 | $1,540.9 | | Total assets | $8,545.0 | $8,242.4 | | Total current liabilities | $1,861.2 | $1,421.8 | | Long-term debt | $2,753.0 | $3,355.1 | | Total liabilities | $5,889.9 | $6,074.2 | | Total stockholders' equity | $2,655.1 | $2,168.2 | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For fiscal year 2025, net cash from operating activities was $1.17 billion, an increase from $1.06 billion in the prior year. The company used cash for investing activities ($316.2 million) and financing activities ($600.8 million), which included debt repayments, dividends, and share repurchases. The cash and cash equivalents balance increased by $257.1 million during the year Statement of Cash Flows Highlights (in millions, for Fiscal Year Ended June 30) | Account | 2025 | 2024 | | :--- | :--- | :--- | | Net cash flows from operating activities | $1,171.3 | $1,056.2 | | Net cash flows from investing activities | $(316.2) | $(148.0) | | Net cash flows from financing activities | $(600.8) | $(855.5) | | Net change in Cash and cash equivalents | $257.1 | $52.1 | | Cash and cash equivalents, end of year | $561.5 | $304.4 | [Supplemental Information](index=5&type=section&id=Supplemental%20Information) This section provides additional financial details, including segment and product line revenue breakdowns, key operating metrics, reconciliations of non-GAAP financial measures, and important disclosures regarding forward-looking statements and risk factors [Segment and Product Line Revenue Detail](index=12&type=section&id=Segment%20and%20Product%20Line%20Revenue%20Detail) This section provides a detailed breakdown of revenues by segment (ICS and GTO) and by product line for both the fourth quarter and the full fiscal year. For FY2025, ICS recurring revenues grew 6% to $2.73 billion, while GTO recurring revenues grew 8% to $1.78 billion FY 2025 Recurring Revenues by Product Line (in millions) | Segment / Product Line | FY 2025 Revenue | Change vs. FY24 | | :--- | :--- | :--- | | **ICS Recurring** | **$2,731.8** | **+6%** | | Regulatory | $1,280.6 | +7% | | Data-driven fund solutions | $459.2 | +6% | | Issuer | $273.2 | +5% | | Customer communications | $718.8 | +5% | | **GTO Recurring** | **$1,776.1** | **+8%** | | Capital markets | $1,115.3 | +6% | | Wealth and investment management | $660.8 | +10% | [Key Operating Metrics](index=15&type=section&id=Key%20Operating%20Metrics) Key operating metrics for fiscal year 2025 show a 16% decline in closed sales to $287.9 million. However, position growth was strong, with equity positions growing 16% and mutual fund/ETF positions growing 7%. Internal trade growth remained stable at 13% Select Operating Metrics (Fiscal Year Ended June 30) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Closed sales (in millions) | $287.9 | $341.8 | (16%) | | Equity positions growth | 16% | 6% | N/A | | Mutual fund/ETF positions growth | 7% | 3% | N/A | | Internal Trade Growth | 13% | 13% | N/A | [Non-GAAP Financial Measures and Reconciliations](index=5&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) The report uses several Non-GAAP measures, such as Adjusted Operating Income, Adjusted EPS, and Free Cash Flow, to provide investors with insight into ongoing operating performance by excluding items like amortization of acquired intangibles, acquisition costs, and restructuring charges. Detailed reconciliations of these Non-GAAP measures to their nearest GAAP equivalents are provided - The company uses Non-GAAP measures including **Adjusted Operating income**, **Adjusted Net earnings**, **Adjusted EPS**, **Free cash flow**, and **Recurring revenue growth constant currency**[22](index=22&type=chunk) - Management believes these measures help investors understand business performance, provide consistency, and facilitate comparison by excluding items not reflective of underlying operations such as amortization of acquired intangibles, acquisition costs, and restructuring costs[23](index=23&type=chunk)[25](index=25&type=chunk)[28](index=28&type=chunk) FY 2025 Reconciliation of Operating Income to Adjusted Operating Income (in millions) | Line Item | Amount | | :--- | :--- | | Operating income (GAAP) | $1,188.6 | | Amortization of Acquired Intangibles | $196.6 | | Acquisition and Integration Costs | $18.3 | | Restructuring and Other Related Costs | $7.4 | | **Adjusted Operating income (Non-GAAP)** | **$1,410.9** | [Forward-Looking Statements and Risk Factors](index=7&type=section&id=Forward-Looking%20Statements%20and%20Risk%20Factors) The report contains forward-looking statements, including the Fiscal Year 2026 Financial Guidance, which are based on current management expectations and are subject to various risks and uncertainties. Key risks include reliance on a small number of clients, potential cybersecurity attacks, market declines, and competition - The press release contains forward-looking statements, particularly in the "Fiscal Year 2026 Financial Guidance" section, which are subject to risks and uncertainties[35](index=35&type=chunk) - Key risks identified include: - Reliance on a relatively small number of clients - Material security breaches or cybersecurity attacks - Declines in securities market activity - Failure to keep pace with technological changes - Competitive conditions[38](index=38&type=chunk)

Fiscal Year 2025 Recurring revenues grew 7% on a reported and constant currency basis Diluted EPS was $7.10 and Adjusted EPS grew 11% to $8.55 Closed sales were $288 million Raising annual dividend 11% to $3.90 per share, 19th consecutive annual dividend increase Fiscal year 2026 guidance includes 5-7% Recurring revenue growth constant currency and 8-12% Adjusted EPS growth NEW YORK, Aug. 5, 2025 /PRNewswire/ -- Broadridge Financial Solutions, Inc. (NYSE:BR) today reported financial results for the fourth q ...

Core Insights - Analysts expect Broadridge Financial Solutions (BR) to report quarterly earnings of $3.51 per share, reflecting a year-over-year increase of 0.3% [1] - Revenue projections stand at $2.05 billion, indicating a 5.6% increase from the same quarter last year [1] - There have been no revisions in the consensus EPS estimate over the past 30 days, suggesting stability in analyst projections [1] Revenue Estimates - 'Revenues- Global Technology and Operations' are estimated at $454.93 million, representing a year-over-year change of +9.4% [4] - 'Investor Communication Solutions- Total ICS Recurring revenues' is projected to be $969.03 million, indicating a +6.4% change year over year [4] - 'Investor Communication Solutions- ICS Event-driven revenues- Equity and other' is expected to be $33.11 million, reflecting a -21.4% year-over-year change [5] - 'Investor Communication Solutions- ICS Event-driven revenues- Mutual funds' is forecasted at $25.51 million, indicating a -25% change year over year [5] - 'Investor Communication Solutions- Total ICS Event-driven revenues' is estimated at $58.62 million, suggesting a -23% year-over-year change [6] - 'Investor Communication Solutions- Distribution revenues' is projected to reach $570.24 million, indicating a +5.2% change from the prior year [6] - 'Revenues- Investor Communication Solutions' is expected to be $1.60 billion, reflecting a +4.5% year-over-year change [7] - 'Investor Communication Solutions- ICS Recurring revenues- Data-driven fund solutions' is estimated at $128.26 million, indicating a +5.3% change from the prior year [7] - 'Investor Communication Solutions- ICS Recurring revenues- Issuer' is projected to be $148.54 million, reflecting a +5.3% year-over-year change [8] - 'Investor Communication Solutions- ICS Recurring revenues- Customer communications' is expected to reach $180.82 million, indicating a +6% change year over year [8] - 'Global Technology and Operations- GTO Recurring revenues- Capital markets' is estimated at $288.64 million, reflecting a +5.9% year-over-year change [9] - 'Global Technology and Operations- GTO Recurring revenues- Wealth and investment management' is projected to be $166.55 million, indicating a +16.1% change year over year [9] Stock Performance - Over the past month, Broadridge Financial shares have recorded a return of +2.2%, compared to the Zacks S&P 500 composite's +2.3% change [10] - The company holds a Zacks Rank 3 (Hold), suggesting it will likely perform in line with the overall market in the upcoming period [10]

Group 1: Broadridge Financial Solutions (BR) - Broadridge Financial Solutions shares increased by 4.3% to close at $252.99, supported by high trading volume compared to normal sessions [1] - The stock's performance is attributed to its recurring revenue model, contributions from acquisitions, growth prospects, and dividend payouts [1] - The consensus EPS estimate for Broadridge Financial for the upcoming quarter has remained unchanged over the last 30 days, indicating a potential stability in earnings expectations [3] Group 2: Industry Insights - Broadridge Financial is part of the Zacks Internet - Software industry, which includes other companies like Braze, Inc. [4] - Braze's consensus EPS estimate for the upcoming report has also remained unchanged, but it reflects a significant year-over-year decline of 66.7% [5] - The stock performance of Braze has shown a return of 7.3% over the past month, indicating some positive momentum within the industry [4]

Core Viewpoint - Broadridge Financial Solutions, Inc. is set to announce its financial results for Q4 and fiscal year 2025 on August 5, 2025, with a conference call scheduled for 8:30 a.m. ET on the same day [1]. Company Overview - Broadridge Financial Solutions is a global technology leader that provides expertise and transformative technology to the financial services industry, focusing on operational resiliency and enhancing business performance [4]. - The company processes over 7 billion communications annually and supports daily trading of more than $10 trillion in securities worldwide [5]. - Broadridge is recognized as a certified Great Place to Work® and is part of the S&P 500® Index, employing over 14,000 associates across 21 countries [5]. Event Details - Investors can access the live webcast and slide presentation on Broadridge's Investor Relations website prior to the event [2]. - A replay of the webcast will be available on the same website, and a recording of the conference call can be accessed until August 12, 2025, using specific dial-in numbers and a passcode [3].

Core Insights - Broadridge Financial Solutions is enhancing financial institutions' compliance with EU Instant Payment regulations through its efficient service for connectivity and message processing [1][2] - The company has successfully onboarded seven clients within five months, demonstrating rapid adoption of its instant payment solutions [2][3] - Broadridge's infrastructure supports real-time payments with zero downtime, processing transactions in less than 10 seconds [6] Group 1: Service Adoption and Impact - The service launched in fall 2024 has seen significant market adoption, reflecting Broadridge's commitment to improving transaction speed and efficiency [1][2] - Partnerships with core banking solution providers like CPB SOFTWARE and instant payment application providers such as Foconis have facilitated rapid deployment for financial institutions [5] - The instructing party model developed with the European Central Bank's TIPS system has simplified compliance and reduced costs for clients [3][4] Group 2: Operational Resilience and Compliance - Broadridge's infrastructure features "active-active" failover across two data centers, ensuring uninterrupted service availability and enhancing resilience [4] - The company is helping banks navigate the evolving regulatory landscape with confidence as the October 2025 compliance deadline approaches [4] - The solution minimizes onboarding complexity, providing a significant cost advantage for financial institutions [2][3]

Acquisition will enhance Broadridge's global fund distribution, data and regulatory service capabilities and reinforce its role at the intersection of funds and distributorsLONDON and NEW YORK, July 3, 2025 /PRNewswire/ -- Global Fintech leader Broadridge Financial Solutions, Inc. (NYSE:BR) today announced its agreement to acquire Acolin, a leading European provider of cross-border fund distribution and regulatory services. The acquisition will create a robust pan-European fund distribution network, facilit ...

Core Insights - Broadridge Financial Solutions has announced expanded roles for Doug DeSchutter and Tom Carey to support its evolution into a platform company [1][4] - Doug DeSchutter has been appointed President of Investor Communication Solutions, having been with the company since 2002 and previously serving as Co-President of the ICS segment [2] - Tom Carey, currently President of Global Technology & Operations, will also oversee the Enterprise Product Management organization, bringing extensive experience in technology-driven businesses [3] Company Overview - Broadridge Financial Solutions is a global technology leader that provides transformative technology to help clients in the financial services industry operate and innovate [4] - The company supports daily trading of over $10 trillion in equities, fixed income, and other securities globally, employing over 14,000 associates in 21 countries [5]

Group 1 - Robert F. Abbott has been managing family investments since 1995 and incorporated options trading in 2010, focusing on covered calls and collars with long stocks [1] - Abbott is a freelance writer with a project aimed at providing information for new and intermediate-level mutual fund investors [1] - He holds a Bachelor of Arts and a Master of Business Administration (MBA) degree [1]

Core Insights - Active ETF assets have grown over 600% in the past five years, reaching $631 billion in 2024, indicating a significant expansion in this investment vehicle [1] - The whitepaper titled "Active ETFs: Achieving Escape Velocity" outlines strategic imperatives for asset managers to successfully launch and scale active ETFs [1][2] Industry Trends - In 2024, a record 660 active ETFs were launched, yet they only account for 6% of total active AUM, suggesting substantial growth potential [2] - The top 10 active asset managers control 77% of active ETF assets, highlighting a concentration challenge within the industry [7] Strategic Principles for Asset Managers - **Go with the Flow**: Success relies on strong distribution, particularly through Registered Investment Advisor (RIA) channels, which dominate active ETF assets [3] - **Pick a Lane**: Successful managers leverage unique investment strategies, proprietary distribution channels, and strong brand identity, focusing on their inherent strengths [4] - **Less is More**: Engaging with high-potential advisors who already utilize active ETFs can enhance conversion rates and sales, emphasizing the importance of advisor scoring and segmentation [5] Future Projections - Active ETF assets are projected to grow to $1.2 trillion by 2027, up from $81 billion in 2019, indicating a robust growth trajectory [7] - Only 11% of active ETFs launched in the past three years raised over $100 million in their first year, which is a critical success indicator [7]