Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2020 | Oct. 28, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-34501 | |
Entity Registrant Name | JUNIPER NETWORKS, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 77-0422528 | |
Entity Address, Address Line One | 1133 Innovation Way | |
Entity Address, City or Town | Sunnyvale, | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94089 | |
City Area Code | 408 | |
Local Phone Number | 745-2000 | |
Title of 12(b) Security | Common Stock, par value $0.00001 per share | |
Trading Symbol | JNPR | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 329,736,374 | |
Entity Central Index Key | 0001043604 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Total net revenues | $ 1,138.2 | $ 1,133.1 | $ 3,222.5 | $ 3,237.3 |
Cost of revenues: | ||||
Total cost of revenues | 480.4 | 454.7 | 1,365.8 | 1,339.8 |
Gross margin | 657.8 | 678.4 | 1,856.7 | 1,897.5 |
Operating expenses: | ||||
Research and development | 242.4 | 244.5 | 715.9 | 716.1 |
Sales and marketing | 229.3 | 235.3 | 692.7 | 692.8 |
General and administrative | 59.8 | 61.2 | 178.2 | 189.4 |
Restructuring charges (benefits) | 1.2 | (1.1) | 14.9 | 35.6 |
Total operating expenses | 532.7 | 539.9 | 1,601.7 | 1,633.9 |
Operating income | 125.1 | 138.5 | 255 | 263.6 |
Other expense, net | (13.5) | (20.4) | (29) | (23.2) |
Income before income taxes | 111.6 | 118.1 | 226 | 240.4 |
Income tax (benefit) provision | (33.8) | 18.8 | (1) | 63.8 |
Net income | $ 145.4 | $ 99.3 | $ 227 | $ 176.6 |
Net income per share: | ||||
Basic (in dollars per share) | $ 0.44 | $ 0.29 | $ 0.69 | $ 0.51 |
Diluted, (in dollars per share) | $ 0.43 | $ 0.29 | $ 0.68 | $ 0.50 |
Weighted-average shares used to compute net income per share: | ||||
Basic (in shares) | 330.9 | 342.2 | 330.9 | 345.5 |
Diluted (in shares) | 334.5 | 345.5 | 335.2 | 350.1 |
Product | ||||
Total net revenues | $ 733.7 | $ 743.2 | $ 2,034.8 | $ 2,075.8 |
Cost of revenues: | ||||
Total cost of revenues | 327.7 | 304 | 918.4 | 888.3 |
Service | ||||
Total net revenues | 404.5 | 389.9 | 1,187.7 | 1,161.5 |
Cost of revenues: | ||||
Total cost of revenues | $ 152.7 | $ 150.7 | $ 447.4 | $ 451.5 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 145.4 | $ 99.3 | $ 227 | $ 176.6 |
Available-for-sale debt securities: | ||||
Change in net unrealized gains, net of tax benefit of $0.1and $2.0 during the three and nine months ended September 30, 2020, respectively, and tax provision of zero and $(0.8) for the comparable periods in 2019, respectively | 0.5 | 0 | 6.2 | 3.8 |
Net realized gains and losses reclassified into net income, net of tax | (0.8) | (0.1) | (0.5) | (0.1) |
Net change on available-for-sale debt securities, net of tax | (0.3) | (0.1) | 5.7 | 3.7 |
Cash flow hedges: | ||||
Change in net unrealized gains and (losses), net of tax provision of $(5.5) and $(3.1) during the three and nine months ended September 30, 2020, respectively, and tax provision of $(0.2) and $(1.3) for the comparable periods in 2019, respectively | 29.8 | (12.6) | 21 | (12.3) |
Net realized losses reclassified into net income, net of tax benefit of $0.4 and $1.3 during the three and nine months ended September 30, 2020, respectively, and tax provision of $(0.7) and $(1.5) for the comparable periods in 2019, respectively | 1 | 1.5 | 8.5 | 3 |
Net change on cash flow hedges, net of tax | 30.8 | (11.1) | 29.5 | (9.3) |
Change in foreign currency translation adjustments | 7.6 | (4.3) | (1.5) | (3) |
Other comprehensive loss, net | 38.1 | (15.5) | 33.7 | (8.6) |
Comprehensive income | $ 183.5 | $ 83.8 | $ 260.7 | $ 168 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Parentheticals) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Comprehensive Income [Abstract] | ||||
Unrealized gain (loss) on available-for-sale securities, tax benefit (provision) | $ 0.1 | $ 0 | $ 2 | $ (0.8) |
Unrealized (loss) gain on cash flow hedges, tax benefit (provision) | (5.5) | (0.2) | (3.1) | (1.3) |
Reclassification adjustment for realized net loss (gain) on cash flow hedges included in net income, tax benefit (provision) | $ 0.4 | $ (0.7) | $ 1.3 | $ (1.5) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 1,341.5 | $ 1,215.8 |
Short-term investments | 499.3 | 738 |
Accounts receivable, net of allowances | 754 | 879.7 |
Prepaid expenses and other current assets | 443.7 | 376.3 |
Total current assets | 3,038.5 | 3,209.8 |
Property and equipment, net | 768.6 | 830.9 |
Operating lease assets | 172.7 | 169.7 |
Long-term investments | 720.4 | 589.8 |
Purchased intangible assets, net | 151.9 | 185.8 |
Goodwill | 3,337.1 | 3,337.1 |
Other long-term assets | 505.5 | 514.6 |
Total assets | 8,694.7 | 8,837.7 |
Current liabilities: | ||
Accounts payable | 269.6 | 219.5 |
Accrued compensation | 197 | 229 |
Deferred revenue | 750.2 | 812.9 |
Other accrued liabilities | 284.8 | 282.5 |
Total current liabilities | 1,501.6 | 1,543.9 |
Long-term debt | 1,714.1 | 1,683.9 |
Long-term deferred revenue | 383.8 | 410.5 |
Long-term income taxes payable | 308.6 | 372.6 |
Long-term operating lease liabilities | 159.2 | 158.1 |
Other long-term liabilities | 66.6 | 58.1 |
Total liabilities | 4,133.9 | 4,227.1 |
Commitments and contingencies (Note 13) | ||
Stockholders' equity: | ||
Preferred stock, $0.00001 par value; 10.0 shares authorized; none issued and outstanding | 0 | 0 |
Common stock, $0.00001 par value; 1,000.0 shares authorized; 329.3 shares and 335.9 shares issued and outstanding as of September 30, 2020 and December 31, 2019, respectively | 0 | 0 |
Additional paid-in capital | 7,214.8 | 7,370.5 |
Accumulated other comprehensive income (loss) | 15.2 | (18.5) |
Accumulated deficit | (2,669.2) | (2,741.4) |
Total stockholders' equity | 4,560.8 | 4,610.6 |
Total liabilities and stockholders' equity | $ 8,694.7 | $ 8,837.7 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parentheticals) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Preferred stock - par value (in dollars per share) | $ 0.00001 | $ 0.00001 |
Preferred stock - shares authorized (shares) | 10,000,000 | 10,000,000 |
Preferred stock - issued (shares) | 0 | 0 |
Preferred stock - outstanding (shares) | 0 | 0 |
Common stock - par value (in dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock - shares authorized (shares) | 1,000,000,000 | 1,000,000,000 |
Common stock - issued (shares) | 329,300,000 | 335,900,000 |
Common stock - outstanding (shares) | 329,300,000 | 335,900,000 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 227 | $ 176.6 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Share-based compensation expense | 138.7 | 147.1 |
Depreciation, amortization, and accretion | 158 | 155.5 |
Operating lease assets expense | 31.5 | 32 |
Loss on extinguishment of debt | 0 | 15.3 |
Other | 2.6 | 3.6 |
Changes in operating assets and liabilities, net of acquisitions: | ||
Accounts receivable, net | 126.1 | 125.2 |
Prepaid expenses and other assets | (43.8) | (33.8) |
Accounts payable | 50.2 | 19.1 |
Accrued compensation | (31.6) | (45.4) |
Income taxes payable | (60.1) | (8.7) |
Other accrued liabilities | (23.8) | (49.5) |
Deferred revenue | (88.6) | (103.8) |
Net cash provided by operating activities | 486.2 | 433.2 |
Cash flows from investing activities: | ||
Purchases of property and equipment | (67.9) | (83.5) |
Purchases of available-for-sale debt securities | (831.9) | (2,789.6) |
Proceeds from sales of available-for-sale debt securities | 198.7 | 1,035 |
Proceeds from maturities and redemptions of available-for-sale debt securities | 746.6 | 1,410.1 |
Purchases of equity securities | (9.4) | (10.2) |
Proceeds from sales of equity securities | 4.6 | 5 |
Proceeds from Pulse note receivable | 50 | 0 |
Payments for business acquisitions, net of cash and cash equivalents acquired | 0 | (270.9) |
Other | (4.7) | 0 |
Net cash provided by (used in) investing activities | 86 | (704.1) |
Cash flows from financing activities: | ||
Repurchase and retirement of common stock | (305.7) | (354.9) |
Proceeds from issuance of common stock | 54.5 | 55.4 |
Payment of dividends | (198) | (196.4) |
Payment of debt | 0 | (950) |
Issuance of debt, net | 0 | 495.2 |
Payment for debt extinguishment costs | 0 | (14.6) |
Other | 4.8 | 0 |
Net cash used in financing activities | (444.4) | (965.3) |
Effect of foreign currency exchange rates on cash, cash equivalents, and restricted cash | (2.5) | (3.6) |
Net increase (decrease) in cash, cash equivalents, and restricted cash | 125.3 | (1,239.8) |
Cash, cash equivalents, and restricted cash at beginning of period | 1,276.5 | 2,505.8 |
Cash, cash equivalents, and restricted cash at end of period | $ 1,401.8 | $ 1,266 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Shares | Common Stock and Additional Paid-in Capital | Accumulated Other Comprehensive Loss | Accumulated Deficit | Cumulative Effect, Period of Adoption, Adjustment | Cumulative Effect, Period of Adoption, AdjustmentAccumulated Deficit |
Balance (in shares) at Dec. 31, 2018 | 346.4 | ||||||
Balance at Dec. 31, 2018 | $ 4,823.2 | $ 7,672.8 | $ (18.2) | $ (2,831.4) | |||
Balance (Accounting Standards Update 2017-12) at Dec. 31, 2018 | $ 0.1 | $ 0.1 | |||||
Balance (Accounting Standards Update 2016-02) at Dec. 31, 2018 | $ (4.8) | $ (4.8) | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 176.6 | 176.6 | |||||
Other comprehensive income (loss), net | (8.6) | (8.6) | |||||
Issuance of common stock (in shares) | 8.5 | ||||||
Issuance of common stock | 55.4 | 55.4 | |||||
Common stock assumed upon business combination | 4.7 | 4.7 | |||||
Repurchase and retirement of common stock (in shares) | (13.9) | ||||||
Repurchase and retirement of common stock | (354.9) | (181.7) | (173.2) | ||||
Share-based compensation expense | 147.1 | 147.1 | |||||
Payments of cash dividends | (196.4) | (196.4) | |||||
Balance (in shares) at Sep. 30, 2019 | 341 | ||||||
Balance at Sep. 30, 2019 | 4,642.4 | 7,501.9 | (26.8) | (2,832.7) | |||
Balance (in shares) at Jun. 30, 2019 | 344.5 | ||||||
Balance at Jun. 30, 2019 | 4,591.2 | 7,491.2 | (11.3) | (2,888.7) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 99.3 | 99.3 | |||||
Other comprehensive income (loss), net | (15.5) | (15.5) | |||||
Issuance of common stock (in shares) | 1.7 | ||||||
Issuance of common stock | 25.7 | 25.7 | |||||
Repurchase and retirement of common stock (in shares) | (5.2) | ||||||
Repurchase and retirement of common stock | (111.1) | (67.8) | (43.3) | ||||
Purchase of forward contract under accelerated share repurchase program ("ASR") | 60 | 60 | |||||
Share-based compensation expense | 57.5 | 57.5 | |||||
Payments of cash dividends | (64.7) | (64.7) | |||||
Balance (in shares) at Sep. 30, 2019 | 341 | ||||||
Balance at Sep. 30, 2019 | 4,642.4 | 7,501.9 | (26.8) | (2,832.7) | |||
Balance (in shares) at Dec. 31, 2019 | 335.9 | ||||||
Balance at Dec. 31, 2019 | 4,610.6 | 7,370.5 | (18.5) | (2,741.4) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 227 | 227 | |||||
Other comprehensive income (loss), net | 33.7 | 33.7 | |||||
Issuance of common stock (in shares) | 8.2 | ||||||
Issuance of common stock | 54.5 | 54.5 | |||||
Repurchase and retirement of common stock (in shares) | (14.8) | ||||||
Repurchase and retirement of common stock | (345.7) | (190.9) | (154.8) | ||||
Purchase of forward contract under accelerated share repurchase program ("ASR") | 40 | 40 | |||||
Share-based compensation expense | 138.7 | 138.7 | |||||
Payments of cash dividends | (198) | (198) | |||||
Balance (in shares) at Sep. 30, 2020 | 329.3 | ||||||
Balance at Sep. 30, 2020 | 4,560.8 | 7,214.8 | 15.2 | (2,669.2) | |||
Balance (in shares) at Jun. 30, 2020 | 331.7 | ||||||
Balance at Jun. 30, 2020 | 4,464.3 | 7,255.7 | (22.9) | (2,768.5) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 145.4 | 145.4 | |||||
Other comprehensive income (loss), net | 38.1 | 38.1 | |||||
Issuance of common stock (in shares) | 1.8 | ||||||
Issuance of common stock | 26.9 | 26.9 | |||||
Repurchase and retirement of common stock (in shares) | (4.2) | ||||||
Repurchase and retirement of common stock | (100.4) | (54.3) | (46.1) | ||||
Share-based compensation expense | 52.7 | 52.7 | |||||
Payments of cash dividends | (66.2) | (66.2) | |||||
Balance (in shares) at Sep. 30, 2020 | 329.3 | ||||||
Balance at Sep. 30, 2020 | $ 4,560.8 | $ 7,214.8 | $ 15.2 | $ (2,669.2) |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends (in dollars per share) | $ 0.20 | $ 0.19 | $ 0.60 | $ 0.57 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Summary of Significant Accounting Policies | Note 1. Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation The Condensed Consolidated Financial Statements of Juniper Networks, Inc. (the “Company” or “Juniper”) were prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information. Accordingly, they do not include all information and footnotes required by U.S. GAAP for complete financial statements. The Condensed Consolidated Balance Sheet as of December 31, 2019 has been derived from the audited Consolidated Financial Statements at that date. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. The results of operations for the three and nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020, or any future period. These Condensed Consolidated Financial Statements and accompanying notes should be read in conjunction with the audited Consolidated Financial Statements and accompanying notes in the Company's Annual Report on Form 10-K for the year ended December 31, 2019 (the "Form 10-K"). We have evaluated all subsequent events through the date these condensed consolidated financial statements were issued. The preparation of the financial statements and related disclosures in accordance with U.S. GAAP requires the Company to make judgments, assumptions, and estimates that affect the amounts reported in the Condensed Consolidated Financial Statements and the accompanying notes. Actual results could differ materially from those estimates under different assumptions or conditions. Summary of Significant Accounting Policies Except for the change in certain policies upon adoption of the accounting standards and the policy for interest rate lock cash flow hedges described below, there have been no significant changes to the Company's significant accounting policies described in Note 2, Significant Accounting Policies , in Notes to Consolidated Financial Statements in Item 8 of Part II of the Form 10-K. The Company records changes in fair value of interest rate locks in accumulated other comprehensive income (loss) in the consolidated balance sheets, in the period of change. When the forecasted transaction occurs, the Company will start to amortize the accumulated gain or losses included as a component of other comprehensive income (loss) related to the interest rate lock cash flow hedges to interest expense. In the event the underlying forecasted transaction does not occur, or it becomes probable that it will not occur, the gain or loss on the related cash flow hedge from accumulated other comprehensive income (loss) will be reclassified to other income and expense within the income statement. Recently Adopted Accounting Standards Fair Value Measurement: On January 1, 2020, the Company adopted ASU No. 2018-13 (Topic 820) Disclosure Framework — Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds, and modifies certain disclosure requirements for fair value measurements under ASC 820. The Company adopted the standard under the prospective approach for certain modified or new disclosure requirements, and all other amendments in the standard under the retrospective approach. See Note 3, Fair Value Measurements for required disclosures. Simplifying the Test for Goodwill Impairment: On January 1, 2020, the Company adopted ASU No. 2017-04 (Topic 350) Intangibles—Goodwill and Other: Simplifying the Test for Goodwill Impairmen t, which removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Under the amended guidance, a goodwill impairment charge will be recognized for the amount by which the carrying value of a reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. The Company adopted the standard under the prospective approach. Upon adoption, the standard did not have a material impact on the Consolidated Financial Statements. Credit Losses on Financial Instruments: On January 1, 2020, the Company adopted ASU 2016-13 (Topic 326) Financial Instruments-Credit Losses: Measurement of Credit Losses on Financial Instruments , as further clarified by the Financial Accounting Standards Board (the "FASB") through the issuance of additional related ASUs, which requires the measurement and recognition of current expected credit losses for financial assets held at amortized cost. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss model, which requires the use of forward-looking information to calculate credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. These changes will result in earlier recognition of credit losses. The Company adopted the standard under the modified retrospective approach. Upon adoption, the standard did not have a material impact on the Consolidated Financial Statements. Recent Accounting Standards Not Yet Adopted Reference Rate Reform: In March 2020, the FASB issued ASU No. 2020-04 (Topic 848), Reference Rate Reform - Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides temporary optional expedients and exceptions to the existing guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (SOFR). The standard was effective upon issuance and may generally be applied through December 31, 2022, to any new or amended contracts, hedging relationships, and other transactions that reference LIBOR. The Company is currently evaluating the impact of the transition and disclosure requirements of the standard on its Consolidated Financial Statements. Simplifying the Accounting for Income Taxes: In December 2019, the FASB issued ASU No. 2019-12 (Topic 740) Income Taxes — Simplifying the Accounting for Income Taxes , which enhances and simplifies various aspects related to accounting for income taxes. This ASU is to be applied on a prospective basis with the exception of certain amendments that are to be applied on either a retrospective or modified retrospective basis. The new standard is effective for interim and annual periods beginning after December 15, 2020. The Company does not expect the adoption to have a material impact on its Consolidated Financial Statements. |
Cash Equivalents and Investment
Cash Equivalents and Investments | 9 Months Ended |
Sep. 30, 2020 | |
Cash Equivalents and Investments [Abstract] | |
Cash Equivalents and Investments | Note 2. Cash Equivalents and Investments Investments in Available-for-Sale Debt Securities The following table summarizes the Company's unrealized gains and losses and fair value of investments designated as available-for-sale debt securities as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, 2020 As of December 31, 2019 Amortized Gross Unrealized Gross Unrealized Estimated Fair Amortized Gross Unrealized Gross Unrealized Estimated Fair Fixed income securities: Asset-backed securities $ 74.0 $ 0.3 $ — $ 74.3 $ 81.3 $ 0.1 $ — $ 81.4 Certificates of deposit 31.8 — — 31.8 38.6 — — 38.6 Commercial paper 87.1 — — 87.1 168.2 — — 168.2 Corporate debt securities 672.8 6.4 (0.2) 679.0 604.9 0.7 (0.1) 605.5 Foreign government debt securities 8.0 — — 8.0 11.4 — — 11.4 Time deposits 223.6 — — 223.6 226.3 — — 226.3 U.S. government agency securities 58.3 0.2 — 58.5 89.0 — — 89.0 U.S. government securities 407.1 1.7 — 408.8 394.3 0.3 (0.1) 394.5 Total fixed income securities 1,562.7 8.6 (0.2) 1,571.1 1,614.0 1.1 (0.2) 1,614.9 Privately-held debt and redeemable preferred stock securities 19.3 37.4 — 56.7 19.1 37.4 — 56.5 Total available-for-sale debt securities $ 1,582.0 $ 46.0 $ (0.2) $ 1,627.8 $ 1,633.1 $ 38.5 $ (0.2) $ 1,671.4 Reported as: Cash equivalents $ 356.2 $ — $ — $ 356.2 $ 290.9 $ — $ — $ 290.9 Short-term investments 492.8 1.7 — 494.5 733.7 0.5 — 734.2 Long-term investments 713.7 6.9 (0.2) 720.4 589.4 0.6 (0.2) 589.8 Other long-term assets 19.3 37.4 — 56.7 19.1 37.4 — 56.5 Total $ 1,582.0 $ 46.0 $ (0.2) $ 1,627.8 $ 1,633.1 $ 38.5 $ (0.2) $ 1,671.4 The following table presents the contractual maturities of the Company's total fixed income securities as of September 30, 2020 (in millions): Amortized Estimated Fair Due in less than one year $ 849.0 $ 850.7 Due between one and five years 713.7 720.4 Total $ 1,562.7 $ 1,571.1 The following tables present the Company's total fixed income securities that were in an unrealized loss position as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, 2020 Less than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Fixed income securities: Asset-backed securities $ 10.3 $ — $ — $ — $ 10.3 $ — Corporate debt securities 105.2 (0.2) — — 105.2 (0.2) Foreign government debt securities 8.0 — — — 8.0 — U.S. government securities 13.4 — — — 13.4 — Total fixed income securities $ 136.9 $ (0.2) $ — $ — $ 136.9 $ (0.2) As of December 31, 2019 Less than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Fixed income securities: Asset-backed securities $ 21.6 $ — $ 5.2 $ — $ 26.8 $ — Corporate debt securities 142.6 (0.1) 2.1 — 144.7 (0.1) Foreign government debt securities 4.0 — 4.0 — 8.0 — U.S. government agency securities 20.0 — — — 20.0 — U.S. government securities 71.6 (0.1) — — 71.6 (0.1) Total fixed income securities $ 259.8 $ (0.2) $ 11.3 $ — $ 271.1 $ (0.2) For available-for-sale debt securities that have unrealized losses, the Company assesses impairment by evaluating various factors, including whether (i) it has the intention to sell any of these investments and (ii) whether it is more likely than not that it will be required to sell any of these investments before recovery of the entire amortized cost basis. The Company periodically assesses performance indicators of the investment by evaluating various factors such as (i) changes in the credit ratings and (ii) review of the issuer. As of September 30, 2020, the Company had 97 investments in unrealized loss positions. The gross unrealized losses related to these investments were primarily due to changes in market interest rates. The Company anticipates that it will recover the entire amortized cost basis of such available-for-sale debt securities and has determined that no allowance for credit losses was required to be recognized during the three and nine months ended September 30, 2020 and September 30, 2019. During the three and nine months ended September 30, 2020 and September 30, 2019, there were no material gross realized gains or losses from available-for-sale debt securities. Investments in Equity Securities The following table presents the Company's investments in equity securities as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, December 31, Equity investments with readily determinable fair value Money market funds $ 580.4 $ 446.4 Mutual funds 27.1 26.8 Publicly-traded equity securities 4.8 3.8 Equity investments without readily determinable fair value 140.0 133.3 Total equity securities $ 752.3 $ 610.3 Reported as: Cash equivalents $ 576.4 $ 442.3 Short-term investments 4.8 3.8 Prepaid expenses and other current assets 7.2 4.1 Other long-term assets 163.9 160.1 Total $ 752.3 $ 610.3 For the three and nine months ended September 30, 2020 and September 30, 2019, there were no material unrealized gains or losses recognized for equity investments. Restricted Cash and Investments The Company has restricted cash and investments for: (i) amounts held in escrow accounts, as required in connection with certain acquisitions completed primarily in 2019; (ii) amounts held under the Company's short-term disability plan in California; and (iii) amounts under the Company's non-qualified deferred compensation plan for senior-level employees. Restricted investments consist of equity investments. As of September 30, 2020, the carrying value of restricted cash and investments was $91.4 million, of which $67.4 million was included in prepaid expenses and other current assets, and $24.0 million was included in other long-term assets on the Condensed Consolidated Balance Sheet. The following table provides a reconciliation of cash, cash equivalents, and restricted cash included in the Condensed Consolidated Balance Sheets as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, December 31, Cash and cash equivalents $ 1,341.5 $ 1,215.8 Restricted cash included in Prepaid expenses and other current assets 60.3 60.7 Total cash, cash equivalents, and restricted cash $ 1,401.8 $ 1,276.5 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 3. Fair Value Measurements Assets and Liabilities Measured at Fair Value on a Recurring Basis The following table provides a summary of assets and liabilities measured at fair value on a recurring basis and as reported in the Condensed Consolidated Balance Sheets (in millions): Fair Value Measurements at Fair Value Measurements at Quoted Prices in Significant Other Significant Other Total Quoted Prices in Significant Other Significant Other Total Assets: Available-for-sale debt securities: Asset-backed securities $ — $ 74.3 $ — $ 74.3 $ — $ 81.4 $ — $ 81.4 Certificates of deposit — 31.8 — 31.8 — 38.6 — 38.6 Commercial paper — 87.1 — 87.1 — 168.2 — 168.2 Corporate debt securities — 679.0 — 679.0 — 605.5 — 605.5 Foreign government debt securities — 8.0 — 8.0 — 11.4 — 11.4 Time deposits — 223.6 — 223.6 — 226.3 — 226.3 U.S. government agency securities — 58.5 — 58.5 — 89.0 — 89.0 U.S. government securities 214.2 194.6 — 408.8 318.9 75.6 — 394.5 Privately-held debt and redeemable preferred stock securities — — 56.7 56.7 — — 56.5 56.5 Total available-for-sale debt securities 214.2 1,356.9 56.7 1,627.8 318.9 1,296.0 56.5 1,671.4 Equity securities: Money market funds 580.4 — — 580.4 446.4 — — 446.4 Mutual funds 27.1 — — 27.1 26.8 — — 26.8 Publicly-traded equity securities 4.8 — — 4.8 3.8 — — 3.8 Total equity securities 612.3 — — 612.3 477.0 — — 477.0 Derivative assets: Foreign exchange contracts — 20.9 — 20.9 — 2.5 — 2.5 Interest rate contracts — 36.8 — 36.8 — — — — Total derivative assets — 57.7 — 57.7 — 2.5 — 2.5 Total assets measured at fair value on a recurring basis $ 826.5 $ 1,414.6 $ 56.7 $ 2,297.8 $ 795.9 $ 1,298.5 $ 56.5 $ 2,150.9 Liabilities: Derivative liabilities: Foreign exchange contracts $ — $ (2.2) $ — $ (2.2) $ — $ (6.8) $ — $ (6.8) Interest rate contracts — — — — — (3.1) — (3.1) Total derivative liabilities — (2.2) — (2.2) — (9.9) — (9.9) Total liabilities measured at fair value on a recurring basis $ — $ (2.2) $ — $ (2.2) $ — $ (9.9) $ — $ (9.9) Fair Value Measurements at Fair Value Measurements at Quoted Prices in Significant Other Significant Other Total Quoted Prices in Significant Other Significant Other Total Total assets, reported as: Cash equivalents $ 576.4 $ 356.2 $ — $ 932.6 $ 442.3 $ 290.9 $ — $ 733.2 Short-term investments 117.2 382.1 — 499.3 188.8 549.2 — 738.0 Long-term investments 101.8 618.6 — 720.4 133.9 455.9 — 589.8 Prepaid expenses and other current assets 7.2 12.2 — 19.4 4.1 2.5 — 6.6 Other long-term assets 23.9 45.5 56.7 126.1 26.8 — 56.5 83.3 Total assets measured at fair value $ 826.5 $ 1,414.6 $ 56.7 $ 2,297.8 $ 795.9 $ 1,298.5 $ 56.5 $ 2,150.9 Total liabilities, reported as: Other accrued liabilities $ — $ (2.0) $ — $ (2.0) $ — $ (6.8) $ — $ (6.8) Other long-term liabilities — (0.2) — (0.2) — (3.1) — (3.1) Total liabilities measured at fair value on a recurring basis $ — $ (2.2) $ — $ (2.2) $ — $ (9.9) $ — $ (9.9) The Company's Level 2 available-for-sale debt securities are priced using quoted market prices for similar instruments or non-binding market prices that are corroborated by observable market data. The Company uses inputs such as actual trade data, benchmark yields, broker/dealer quotes, or alternative pricing sources with reasonable levels of price transparency, which are obtained from quoted market prices, independent pricing vendors, or other sources, to determine the ultimate fair value of these assets. The Company's derivative instruments are classified as Level 2, as they are not actively traded and are valued using pricing models that use observable market inputs. During the three and nine months ended September 30, 2020, the Company had no transfers into or out of Level 3 of the fair value hierarchy of its assets or liabilities measured at fair value. The Company's privately-held debt and redeemable preferred stock securities are classified as Level 3 assets due to the lack of observable inputs to determine fair value. The Company estimates the fair value of its privately-held debt and redeemable preferred stock securities on a recurring basis using an analysis of the financial condition and near-term prospects of the investee, including recent valuations at the time of financing activities and the investee's capital structure. During the three and nine months ended September 30, 2020, there were no significant activities related to privately-held debt and redeemable preferred stock securities. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis The Company's investments in equity securities without readily determinable fair value are classified as Level 3 assets due to the lack of observable inputs to determine fair value. The Company estimates the fair value on a nonrecurring basis (i.e. when an observable transaction occurs) using an analysis of the financial condition and near-term prospects of the investee, including recent financing activities and the investee's capital structure. As of September 30, 2020, there have been no material upward or downward adjustments for price changes to the equity securities without readily determinable fair value. Certain of the Company's assets, including intangible assets and goodwill, are measured at fair value on a nonrecurring basis. There were no significant impairment charges recognized during the three and nine months ended September 30, 2020. As of September 30, 2020 and December 31, 2019, the Company had no liabilities required to be measured at fair value on a nonrecurring basis. Assets and Liabilities Not Measured at Fair Value The carrying amounts of the Company's accounts receivable, accounts payable, and other accrued liabilities approximate fair value due to their short maturities. As of September 30, 2020 and December 31, 2019, the estimated fair value of the Company's total outstanding debt in the Condensed Consolidated Balance Sheets was $1,984.0 million and $1,852.1 million, respectively, based on observable market inputs (Level 2). The carrying value of a contract manufacturer deposit of $58.3 million, reported within other long-term assets, in the Condensed Consolidated Balance Sheets approximates its fair value as of September 30, 2020. See Note 5, Other Financial Information, for further information on the contract manufacturer deposit. In July 2020, the Company received payment against the promissory note receivable, with a maturity date of September 30, 2022, in connection with the previously completed sale of Junos Pulse. The borrower exercised its prepayment option and paid the outstanding principal of $50.0 million along with the accumulated interest of $37.7 million, aggregating to $87.7 million, in full. |
Derivative Instruments
Derivative Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Note 4. Derivative Instruments The Company uses derivative instruments to manage a variety of risks, including risks related to fluctuations in foreign currency exchange rates and interest rates on debt instruments. We do not use derivative financial instruments for speculative purposes. The notional amount of the Company's derivatives is summarized as follows (in millions): As of September 30, December 31, Designated derivatives: Cash flow hedges: Foreign currency contracts $ 711.7 $ 484.0 Interest rate lock contracts 650.0 — Fair value hedges: Interest rate swap contracts 300.0 300.0 Total designated derivatives 1,661.7 784.0 Non-designated derivatives 163.3 162.9 Total $ 1,825.0 $ 946.9 The fair value of derivative instruments on the Consolidated Balance Sheets was as follows: As of Balance Sheet Classification September 30, December 31, Derivative assets: Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 12.1 $ 2.2 Foreign currency contracts Other long-term assets 8.7 0.3 Interest rate lock contracts Other long-term assets 10.9 — Interest rate swap contracts Other long-term assets 25.9 — Total derivatives designated as hedging instruments $ 57.6 $ 2.5 Derivatives not designated as hedging instruments Other current assets 0.1 — Total derivative assets $ 57.7 $ 2.5 Derivative liabilities: Derivatives designated as hedging instruments: Foreign currency contracts Other accrued liabilities $ 1.8 $ 6.6 Foreign currency contracts Other long-term liabilities 0.2 — Interest rate swap contracts Other long-term liabilities — 3.1 Total derivatives designated as hedging instruments $ 2.0 $ 9.7 Derivatives not designated as hedging instruments Other accrued liabilities 0.2 0.2 Total derivative liabilities $ 2.2 $ 9.9 Designated Derivatives The Company uses foreign currency forward contracts to hedge the Company's planned cost of revenues and operating expenses denominated in foreign currencies. These derivatives are designated as cash flow hedges and typically have maturities of thirty-six months or less. In 2020, the Company entered into interest rate locks with large financial institutions, which fix the benchmark interest rates of future debt issuance for an aggregate notional amount of $650.0 million. These contracts are designated as cash flow hedges and are expected to terminate within 5 years. In 2019, the Company entered into interest rate swaps with an aggregate notional amount of $300.0 million designated as fair value hedges of our fixed-rate 2041 Notes. These swaps convert the fixed interest rates of the notes to floating interest rates based on the LIBOR. Most of the interest rate swaps will expire within nine years or less. Effect of Derivative Instruments on the Consolidated Statements of Operations For cash flow hedges, the Company recognized an unrealized gain of $35.3 million and $24.1 million in accumulated other comprehensive income for the effective portion of its derivative instruments for the three and nine months ended September 30, 2020, respectively. The Company recognized an unrealized loss of $12.4 million and $11.1 million in accumulated other comprehensive income for the effective portion of its derivative instruments for the three and nine months ended September 30, 2019, respectively. For foreign currency forward contracts, the Company reclassified a loss of $1.4 million and $9.8 million out of accumulated other comprehensive income to cost of revenues and operating expenses in the Condensed Consolidated Statements of Operations during the three and nine months ended September 30, 2020, respectively, and a loss of $0.8 million and $1.5 million for the comparable periods ended September 30, 2019, respectively. As of September 30, 2020, an estimated $10.2 million of unrealized net gain within accumulated other comprehensive loss is expected to be reclassified into earnings within the next twelve months. Non-Designated Derivatives The Company also uses foreign currency forward contracts to mitigate variability in gains and losses generated from the remeasurement of certain monetary assets and liabilities denominated in foreign currencies. These foreign exchange forward contracts typically have maturities of approximately one |
Other Financial Information
Other Financial Information | 9 Months Ended |
Sep. 30, 2020 | |
Other Financial Information [Abstract] | |
Other Financial Information | Note 5. Other Financial Information Inventory Total inventory consisted of the following (in millions): As of September 30, December 31, Production and service materials $ 144.6 $ 69.0 Finished goods 31.2 25.2 Inventory $ 175.8 $ 94.2 Reported as: Prepaid expenses and other current assets $ 166.4 $ 90.6 Other long-term assets 9.4 3.6 Total $ 175.8 $ 94.2 Deposit The Company has a non-interest bearing deposit balance of $58.3 million, net of an unamortized discount balance of $3.0 million, to a contract manufacturer. The discount is calculated based on an imputed interest rate of 5.0% at September 30, 2020. The imputed interest will be amortized over the term of the deposit to interest income along with a corresponding charge to cost of revenues. The deposit is classified as other long-term assets on the Condensed Consolidated Balance Sheets. Warranties Changes during the nine months ended September 30, 2020 in the Company’s warranty reserve as reported within other accrued liabilities in the Condensed Consolidated Balance Sheets were as follows (in millions): Balance as of December 31, 2019 $ 31.4 Provisions made during the period 28.1 Actual costs incurred during the period (28.9) Balance as of September 30, 2020 $ 30.6 Deferred Revenue Details of the Company's deferred revenue, as reported in the Condensed Consolidated Balance Sheets, were as follows (in millions): As of September 30, December 31, Deferred product revenue: Undelivered product commitments and other product deferrals $ 109.8 $ 141.7 Deferred gross product revenue 109.8 141.7 Deferred cost of product revenue (10.5) (9.1) Deferred product revenue, net 99.3 132.6 Deferred service revenue 1,034.7 1,090.8 Total $ 1,134.0 $ 1,223.4 Reported as: Current $ 750.2 $ 812.9 Long-term 383.8 410.5 Total $ 1,134.0 $ 1,223.4 Revenue See Note 10, Segments, for disaggregated revenue by product and service, customer vertical, and geographic region. Product revenue of $13.3 million and $61.7 million included in deferred revenue at January 1, 2020 was recognized during the three and nine months ended September 30, 2020, respectively. Service revenue of $149.6 million and $622.6 million included in deferred revenue at January 1, 2020 was recognized during the three and nine months ended September 30, 2020, respectively. The following table summarizes the transaction price for contracts that have not yet been recognized as revenue as of September 30, 2020 and when the Company expects to recognize the amounts as revenue (in millions): Revenue Recognition Expected by Period Total Less than 1 year 1-3 years More than 3 years Product $ 109.8 $ 90.4 $ 17.3 $ 2.1 Service (*) 1,049.0 677.5 308.2 63.3 Total $ 1,158.8 $ 767.9 $ 325.5 $ 65.4 ________________________________ (*) Represents unearned service revenue allocated to the performance obligations not delivered or partially delivered as of September 30, 2020. The unearned service revenue is comprised of deferred revenue and non-cancellable contract revenue for which we have not invoiced. Deferred Commissions Deferred commissions were $26.2 million as of September 30, 2020. For the three and nine months ended September 30, 2020, amortization expense for the deferred commissions was $35.1 million and $92.7 million, respectively, and there were no impairment charges recognized. Other Expense, Net Other expense, net, consisted of the following (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Interest income $ 6.1 $ 19.7 $ 30.4 $ 63.0 Interest expense (19.1) (22.1) (58.5) (68.3) Loss on extinguishment of debt — (15.3) — (15.3) Gain (loss) on investments, net 2.0 (3.4) 2.7 (4.6) Other (2.5) 0.7 (3.6) 2.0 Other expense, net $ (13.5) $ (20.4) $ (29.0) $ (23.2) |
Restructuring Charges
Restructuring Charges | 9 Months Ended |
Sep. 30, 2020 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Charges | Note 6. Restructuring Charges During the first quarter of 2020, the Company initiated a restructuring plan (the "2020 Restructuring Plan") designed to realign its workforce with the Company's sales strategy, enhance productivity and cost efficiencies, and enable reinvestment in certain key priority areas. In connection with the 2020 Restructuring Plan, during the three months ended September 30, 2020, the Company recorded $1.2 million in severance costs; during the nine months ended September 30, 2020, the Company recorded $9.6 million in severance and $5.3 million in impairment charges included in other exit related costs, which were reported as restructuring charges in the Condensed Consolidated Statements of Operations. Restructuring liabilities are reported within other accrued liabilities in the Condensed Consolidated Balance Sheets. The following table provides a summary of changes in the restructuring liabilities for the Company's 2020 and prior year restructuring plan (in millions): December 31, Charges Cash September 30, Severance $ 0.7 $ 9.6 $ (7.0) $ — $ 3.3 Other — 5.3 — (5.3) — Total $ 0.7 $ 14.9 $ (7.0) $ (5.3) $ 3.3 The Company expects to substantially pay the remaining restructuring liabilities by the end of the fourth quarter of 2020. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Note 7. Debt Debt The following table summarizes the Company's total debt (in millions, except percentages): As of September 30, 2020 Issuance date Maturity Date Amount Effective Interest Senior Notes ("Notes"): 4.500% fixed-rate notes ("2024 Notes") March 2014 March 2024 $ 350.0 4.63 % 4.500% fixed-rate notes ("2024 Notes") February 2016 March 2024 150.0 4.87 % 4.350% fixed-rate notes ("2025 Notes") March 2015 June 2025 300.0 4.47 % 3.750% fixed-rate notes ("2029 Notes") August 2019 August 2029 500.0 3.86 % 5.950% fixed-rate notes ("2041 Notes") March 2011 March 2041 400.0 6.03 % Total Notes 1,700.0 Unaccreted discount and debt issuance costs (11.8) Hedge accounting fair value adjustments (*) 25.9 Total $ 1,714.1 ________________________________ (*) Represents the fair value adjustments for interest rate swaps with an aggregate notional amount of $300.0 million designated as fair value hedges of our fixed-rate 2041 Notes. See Note 4, Derivative Instruments , for a discussion of the Company's interest rate swaps. The Notes above are the Company’s senior unsecured and unsubordinated obligations, ranking equally in right of payment to all of the Company’s existing and future senior unsecured and unsubordinated indebtedness, and senior in right of payment to any of the Company’s future indebtedness that is expressly subordinated to the Notes. Interest on the Notes is payable in cash semiannually. The effective interest rates for the Notes include the interest on the Notes, accretion of the discount, and amortization of issuance costs. The indentures that govern the Notes also contain various covenants, including limitations on the Company's ability to incur liens or enter into sale-leaseback transactions over certain dollar thresholds. As of September 30, 2020, the Company was in compliance with all covenants in the indentures governing the Notes. Revolving Credit Facility The Company has an unsecured revolving credit facility that will expire in April 2024, which enables borrowings of up to $500.0 million, with an option to increase the amount of the credit facility by up to an additional $200.0 million, subject to the lenders' approval. The credit facility will terminate in April 2024, subject to a one-year maturity extension option. As of September 30, 2020, the Company was in compliance with all covenants and no amounts were outstanding under our credit facility. |
Equity
Equity | 9 Months Ended |
Sep. 30, 2020 | |
Stockholders' Equity Note [Abstract] | |
Equity | Note 8. Equity The following table summarizes dividends paid, stock repurchases, and retirements under the Company's stock repurchase program (in millions, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Dividends Per share $ 0.20 $ 0.19 $ 0.60 $ 0.57 Amount $ 66.2 $ 64.7 $ 197.9 $ 196.4 Repurchased under the 2018 Stock Repurchase Program Shares 4.2 5.1 14.5 13.7 Average price per share (*) $ 23.93 $ 24.90 $ 23.86 $ 25.45 Amount $ 100.0 $ 50.0 $ 300.0 $ 350.0 ________________________________ (*) During the three months ended September 30, 2020, the $23.93 average price per share includes $100.0 million in open market purchases. During the nine months ended September 30, 2020, the $23.86 average price per share includes $300.0 million in open market purchases, and settlement of the forward contract of $40.0 million under the ASR, which was initiated during the fourth quarter of 2019. During the three and nine months ended September 30, 2019, the $24.90 and $25.45 average price per share includes the forward contract of $60.0 million under the ASR, which was initiated and settled during the second and the third quarter of 2019, respectively. Cash Dividends on Shares of Common Stock During the three and nine months ended September 30, 2020, the Company declared a quarterly cash dividend of $0.20 per share of common stock on January 27, 2020, April 28, 2020 and July 28, 2020, respectively, which was paid on March 23, 2020, June 22, 2020 and September 22, 2020, respectively, to stockholders of record on March 2, 2020, June 1, 2020 and September 1, 2020, respectively. Any future dividends, and the establishment of record and payment dates, are subject to approval by the Board of Directors (the “Board”) of Juniper or an authorized committee thereof. See Note 14, Subsequent Events, for discussion of the Company's dividend declaration subsequent to September 30, 2020. Stock Repurchase Activities In January 2018, the Board approved a $2.0 billion share repurchase program ("2018 Stock Repurchase Program"), which replaced our prior authorization. In October 2019, the Board authorized a $1.0 billion increase to the 2018 Stock Repurchase Program for a total of $3.0 billion. In October 2019, the Company entered into an ASR, to repurchase an aggregate of $200.0 million of the Company’s outstanding common stock. During the three months ended December 31, 2019, the Company made an up-front payment of $200.0 million pursuant to the ASR and received and retired an initial 6.4 million shares of the Company’s common stock for an aggregate price of $160.0 million, based on the market price of $25.15 per share of the Company’s common stock on the date of the transaction. During the three months ended March 31, 2020, the ASR was completed, and an additional 1.8 million shares were received for a total repurchase of 8.2 million shares of the Company's common stock at a volume weighted average repurchase price, less an agreed upon discount, of $24.44 per share. The shares received by the Company were retired, accounted for as a reduction to stockholder’s equity in the Condensed Consolidated Balance Sheets, and treated as a repurchase of common stock for purposes of calculating earnings per share. During the nine months ended September 30, 2020, the Company repurchased 14.5 million shares of its common stock in the open market for an aggregate purchase price of $300.0 million at an average price of $23.86 per share, under the 2018 Stock Repurchase Program. As of September 30, 2020, there was approximately $1.4 billion of authorized funds remaining under the 2018 Stock Repurchase Program. Future share repurchases under the 2018 Stock Repurchase Program will be subject to a review of the circumstances at that time and will be made from time to time in private transactions or open market purchases as permitted by securities laws and other legal requirements. The Company's 2018 Stock Repurchase Program may be discontinued at any time. In addition to repurchases under the 2018 Stock Repurchase Program, the Company also withholds shares of common stock from certain employees in connection with the vesting of stock awards issued to such employees to satisfy applicable tax withholding requirements. Such withheld shares are treated as common stock repurchases in our financial statements as they reduce the number of shares that would have been issued upon vesting. Repurchases associated with tax withholdings were not material during the three and nine months ended September 30, 2020 and September 30, 2019. Accumulated Other Comprehensive Loss, Net of Tax The components of accumulated other comprehensive loss, net of related taxes, for the nine months ended September 30, 2020 were as follows (in millions): Unrealized Unrealized Foreign Total Balance as of December 31, 2019 $ 29.7 $ (4.3) $ (43.9) $ (18.5) Other comprehensive loss before reclassifications 6.2 21.0 (1.5) 25.7 Amount reclassified from accumulated other comprehensive loss (0.5) 8.5 — 8.0 Other comprehensive loss, net 5.7 29.5 (1.5) 33.7 Balance as of September 30, 2020 $ 35.4 $ 25.2 $ (45.4) $ 15.2 |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Sep. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Employee Benefit Plans | Note 9. Employee Benefit Plans Equity Incentive Plans The Company has stock-based compensation plans pursuant to which it has granted stock options, restricted stock units (“RSUs”), and performance share awards (“PSAs”). The Company also maintains its 2008 Employee Stock Purchase Plan (the “ESPP”) for all eligible employees. As of September 30, 2020, 12.4 million and 11.5 million shares were available for future issuance under the Company's 2015 Equity Incentive Plan (the "2015 Plan") and the ESPP, respectively. In connection with past acquisitions, the Company has also assumed or substituted stock options, RSUs, restricted stock awards ("RSAs"), and PSAs. RSU, RSA and PSA Activities The Company’s RSU, RSA and PSA activity and related information as of and for the nine months ended September 30, 2020 were as follows (in millions, except per share amounts and years): Outstanding RSUs, RSAs and PSAs Number of Shares Weighted Average Weighted Average Aggregate Balance as of December 31, 2019 17.5 $ 25.30 Granted (*) 7.4 22.32 Vested (5.9) 25.95 Canceled (2.0) 25.22 Balance as of September 30, 2020 17.0 $ 23.79 1.2 $ 364.9 ________________________________ (*) Includes 6.2 million service-based, 0.8 million performance-based, and 0.4 million market-based RSUs and PSAs, as applicable. The number of shares subject to performance-based and market-based conditions represents the aggregate maximum number of shares that may be issued pursuant to the award over its full term. The grant date fair value of RSUs and PSAs was reduced by the present value of dividends expected to be paid on the underlying shares of common stock during the requisite and derived service period as these awards are not entitled to receive dividends until vested. Employee Stock Purchase Plan The following table summarizes employee stock purchases through the ESPP (in millions, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Shares purchased 1.3 1.2 2.7 2.4 Average exercise price per share $ 19.68 $ 22.03 $ 19.59 $ 22.04 The ESPP provides a 24-month offering period with four 6-month purchase periods. A new 24-month offering period commences every six months. The purchase price for the Company’s common stock under the ESPP is 85% of the lower of the fair market value of the shares at (1) the beginning of the applicable offering period or (2) the end of each 6-month purchase period during such offering period. The ESPP will continue in effect until February 25, 2028, unless terminated earlier under the provisions of the ESPP. Share-Based Compensation Expense Share-based compensation expense associated with stock options, RSUs, RSAs, PSAs, and the ESPP was recorded in the following cost and expense categories in the Condensed Consolidated Statements of Operations (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Cost of revenues - Product $ 1.4 $ 0.8 $ 3.9 $ 4.3 Cost of revenues - Service 4.0 4.1 11.6 13.0 Research and development 22.9 29.6 57.1 68.0 Sales and marketing 16.4 15.5 43.4 40.0 General and administrative 8.0 7.5 22.7 21.8 Total $ 52.7 $ 57.5 $ 138.7 $ 147.1 The following table summarizes share-based compensation expense by award type (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Stock options $ 1.5 $ 2.3 $ 5.2 $ 5.6 RSUs, RSAs, and PSAs 45.8 50.9 118.0 127.7 ESPP 5.4 4.3 15.5 13.8 Total $ 52.7 $ 57.5 $ 138.7 $ 147.1 |
Segments
Segments | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segments | Note 10. Segments The Company operates in one reportable segment. The Company's chief executive officer, who is the chief operating decision maker, reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance, accompanied by disaggregated information about net revenues by product and service, customer vertical, and geographic region as presented below. The following table presents net revenues by product and service (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Routing $ 432.0 $ 407.5 $ 1,149.7 $ 1,199.1 Switching 229.0 241.6 657.6 633.6 Security 72.7 94.1 227.5 243.1 Total product 733.7 743.2 2,034.8 2,075.8 Total service 404.5 389.9 1,187.7 1,161.5 Total $ 1,138.2 $ 1,133.1 $ 3,222.5 $ 3,237.3 The following table presents net revenues by customer vertical (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Cloud $ 253.1 $ 271.9 $ 800.5 $ 780.0 Service Provider 475.1 452.5 1,286.8 1,335.3 Enterprise 410.0 408.7 1,135.2 1,122.0 Total $ 1,138.2 $ 1,133.1 $ 3,222.5 $ 3,237.3 The Company attributes revenues to geographic region based on the customer’s shipping address. The following table presents net revenues by geographic region (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Americas: United States $ 575.0 $ 599.4 $ 1,651.7 $ 1,677.2 Other 49.3 49.4 160.9 164.0 Total Americas 624.3 648.8 1,812.6 1,841.2 Europe, Middle East, and Africa 321.1 301.5 870.2 879.6 Asia Pacific 192.8 182.8 539.7 516.5 Total $ 1,138.2 $ 1,133.1 $ 3,222.5 $ 3,237.3 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 11. Income Taxes The following table provides details of income taxes (in millions, except percentages): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Income before income taxes $ 111.6 $ 118.1 $ 226.0 $ 240.4 Income tax (benefit) provision $ (33.8) $ 18.8 $ (1.0) $ 63.8 Effective tax rate (30.3) % 15.9 % (0.4) % 26.5 % The Company’s effective tax rate differs from the federal statutory rate of 21% primarily due to the tax impact of state taxes, geographic mix of earnings including foreign-derived intangible income deductions and global intangible low-taxed income, research and development ("R&D") tax credits, tax audit settlements, nondeductible compensation, cost sharing of stock-based compensation, and other transfer pricing adjustments. In the third quarter of 2020, the Company received final orders from the U.S. and India Competent Authorities, which resolved the Company’s dispute with the India Tax Authorities for the 2010 through 2012 income tax years. The Company also remeasured certain previously unrecognized tax benefits for all open years resulting in a total release of $54.5 million, including $18.4 million of interest and penalties. The Company’s effective tax rate for the nine months ended September 30, 2020 reflects the cumulative recognition of previously unrecognized tax benefits for transfer pricing of $54.5 million referenced above. On June 7, 2019, the Ninth Circuit Court of Appeals issued an opinion in Altera Corp. v. Commissioner requiring related parties in an intercompany cost-sharing arrangement to share expenses related to stock-based compensation. On February 10, 2020, Altera appealed this decision to the U.S. Supreme Court, which on June 22, 2020, declined to review the decision. Based on the Supreme Court decision to not review the Ninth Circuit Court’s decision, stock-based compensation is subject to cost sharing, and the Company recorded a $18.2 million charge. The Company's effective tax rate for the nine months ended September 30, 2019 reflected the recognition of previously unrecognized tax benefits, due to a lapse in statutes of limitation. As of September 30, 2020, the total amount of gross unrecognized tax benefits was $112.2 million. |
Net Income Per Share
Net Income Per Share | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | Note 12. Net Income per Share The Company computed basic and diluted net income per share as follows (in millions, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Numerator: Net income $ 145.4 $ 99.3 $ 227.0 $ 176.6 Denominator: Weighted-average shares used to compute basic net income per share 330.9 342.2 330.9 345.5 Dilutive effect of employee stock awards 3.6 3.3 4.3 4.6 Weighted-average shares used to compute diluted net income per share 334.5 345.5 335.2 350.1 Net income per share Basic $ 0.44 $ 0.29 $ 0.69 $ 0.51 Diluted $ 0.43 $ 0.29 $ 0.68 $ 0.50 Anti-dilutive shares 3.4 2.8 5.5 2.7 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 13. Commitments and Contingencies Commitments Except for the items below, there have been no material changes to the Company's commitments compared to the commitments described in Note 16, Commitments and Contingencies , in Notes to Consolidated Financial Statements in Item 8 of Part II of the Form 10-K. Unconditional Purchase Obligations Unconditional purchase obligations consist of agreements that include firm and non-cancelable terms to transfer funds in the future for fixed or minimum amounts or quantities to be purchased at fixed or minimum prices. During the second quarter of 2020, the Company amended its existing Master Services Agreement and certain Statements of Work (collectively, the "Agreement") with International Business Machines Corporation ("IBM") related to IT outsourcing services, resulting in a $79.4 million reduction in fees payable to IBM over the remaining initial term of the Agreement. Purchase Commitments with Contract Manufacturers and Suppliers In order to reduce manufacturing lead times and in the interest of having access to adequate component supply, the Company enters into agreements with contract manufacturers and certain suppliers to procure inventory based on the Company's requirements. A significant portion of the Company's purchase commitments arising from these agreements consists of firm and non-cancelable commitments. These purchase commitments totaled $1,402.5 million as of September 30, 2020. The Company establishes a liability in connection with purchase commitments related to quantities in excess of its demand forecasts or obsolete materials charges for components purchased by the contract manufacturers based on the Company’s demand forecast or customer orders. As of September 30, 2020, the Company had accrued $18.5 million based on its estimate of such charges. Legal Proceedings In the ordinary course of business, the Company is subject to various pending and potential investigations, disputes, litigations, and legal proceedings. The Company records an accrual for loss contingencies for legal proceedings when it believes that an unfavorable outcome is both (a) probable and (b) the amount or range of any possible loss is reasonably estimable. The Company intends to aggressively defend itself in any legal matters, and while the outcome of any pending matters is not currently determinable, the Company believes that none of its currently existing claims or proceedings are likely to have a material adverse effect on its financial position. Notwithstanding the foregoing, there are many uncertainties associated with any litigation and these matters or any other third-party claims against the Company may cause the Company to incur costly litigation and/or substantial settlement charges. In addition, the resolution of any intellectual property litigation may require the Company to make royalty payments, which could adversely affect gross margins in future periods. If any of these events were to occur, the Company's business, financial condition, results of operations, and cash flows could be adversely affected. The actual liability in any such matters may be materially different from the Company's estimates, if any, which could result in the need to adjust the liability and record additional expenses. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 14. Subsequent Events 128 Technology Acquisition In October 2020, the Company announced and entered into a definitive agreement to acquire 128 Technology for approximately $450.0 million, subject to customary adjustments, cash and the assumption of outstanding equity awards. We expect that the acquisition will enhance Juniper's AI-driven enterprise network portfolio by uniting 128 Technology’s session-smart networking with Juniper's campus and branch solutions driven by Mist AI. The acquisition is expected to close in the fourth quarter of 2020, subject to regulatory approvals and other customary closing conditions. Netrounds Acquisition On October 26, 2020, the Company completed the acquisition of Netrounds, a company that provides a programmable, software-based active test and service assurance platform suitable for fixed and mobile networks, for approximately $35.0 million in cash, subject to adjustments for cash on hand, indebtedness, and certain other closing adjustments. Netrounds will enhance Juniper’s automated WAN solutions by further simplifying operations for service providers and ensuring positive end-user experiences. Dividend Declaration On October 27, 2020, the Company announced that the Board declared a cash dividend of $0.20 per share of common stock to be paid on December 22, 2020 to stockholders of record as of the close of business on December 1, 2020. |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The Condensed Consolidated Financial Statements of Juniper Networks, Inc. (the “Company” or “Juniper”) were prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information. Accordingly, they do not include all information and footnotes required by U.S. GAAP for complete financial statements. The Condensed Consolidated Balance Sheet as of December 31, 2019 has been derived from the audited Consolidated Financial Statements at that date. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair presentation have been included. The results of operations for the three and nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020, or any future period. These Condensed Consolidated Financial Statements and accompanying notes should be read in conjunction with the audited Consolidated Financial Statements and accompanying notes in the Company's Annual Report on Form 10-K for the year ended December 31, 2019 (the "Form 10-K"). We have evaluated all subsequent events through the date these condensed consolidated financial statements were issued. |
Use of Estimates | The preparation of the financial statements and related disclosures in accordance with U.S. GAAP requires the Company to make judgments, assumptions, and estimates that affect the amounts reported in the Condensed Consolidated Financial Statements and the accompanying notes. Actual results could differ materially from those estimates under different assumptions or conditions. |
Derivatives | The Company records changes in fair value of interest rate locks in accumulated other comprehensive income (loss) in the consolidated balance sheets, in the period of change. When the forecasted transaction occurs, the Company will start to amortize the accumulated gain or losses included as a component of other comprehensive income (loss) related to the interest rate lock cash flow hedges to interest expense. In the event the underlying forecasted transaction does not occur, or it becomes probable that it will not occur, the gain or loss on the related cash flow hedge from accumulated other comprehensive income (loss) will be reclassified to other income and expense within the income statement. |
Recently Adopted Accounting Standards and Recent Accounting Standards Not Yet Adopted | Recently Adopted Accounting Standards Fair Value Measurement: On January 1, 2020, the Company adopted ASU No. 2018-13 (Topic 820) Disclosure Framework — Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds, and modifies certain disclosure requirements for fair value measurements under ASC 820. The Company adopted the standard under the prospective approach for certain modified or new disclosure requirements, and all other amendments in the standard under the retrospective approach. See Note 3, Fair Value Measurements for required disclosures. Simplifying the Test for Goodwill Impairment: On January 1, 2020, the Company adopted ASU No. 2017-04 (Topic 350) Intangibles—Goodwill and Other: Simplifying the Test for Goodwill Impairmen t, which removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Under the amended guidance, a goodwill impairment charge will be recognized for the amount by which the carrying value of a reporting unit exceeds its fair value, not to exceed the carrying amount of goodwill. The Company adopted the standard under the prospective approach. Upon adoption, the standard did not have a material impact on the Consolidated Financial Statements. Credit Losses on Financial Instruments: On January 1, 2020, the Company adopted ASU 2016-13 (Topic 326) Financial Instruments-Credit Losses: Measurement of Credit Losses on Financial Instruments , as further clarified by the Financial Accounting Standards Board (the "FASB") through the issuance of additional related ASUs, which requires the measurement and recognition of current expected credit losses for financial assets held at amortized cost. ASU 2016-13 replaces the existing incurred loss impairment model with an expected loss model, which requires the use of forward-looking information to calculate credit loss estimates. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. These changes will result in earlier recognition of credit losses. The Company adopted the standard under the modified retrospective approach. Upon adoption, the standard did not have a material impact on the Consolidated Financial Statements. Recent Accounting Standards Not Yet Adopted Reference Rate Reform: In March 2020, the FASB issued ASU No. 2020-04 (Topic 848), Reference Rate Reform - Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides temporary optional expedients and exceptions to the existing guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates, such as the Secured Overnight Financing Rate (SOFR). The standard was effective upon issuance and may generally be applied through December 31, 2022, to any new or amended contracts, hedging relationships, and other transactions that reference LIBOR. The Company is currently evaluating the impact of the transition and disclosure requirements of the standard on its Consolidated Financial Statements. Simplifying the Accounting for Income Taxes: In December 2019, the FASB issued ASU No. 2019-12 (Topic 740) Income Taxes — Simplifying the Accounting for Income Taxes , which enhances and simplifies various aspects related to accounting for income taxes. This ASU is to be applied on a prospective basis with the exception of certain amendments that are to be applied on either a retrospective or modified retrospective basis. The new standard is effective for interim and annual periods beginning after December 15, 2020. The Company does not expect the adoption to have a material impact on its Consolidated Financial Statements. |
Cash Equivalents and Investme_2
Cash Equivalents and Investments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Cash Equivalents and Investments [Abstract] | |
Unrealized gains and losses and fair value of available-for-sale debt securities | The following table summarizes the Company's unrealized gains and losses and fair value of investments designated as available-for-sale debt securities as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, 2020 As of December 31, 2019 Amortized Gross Unrealized Gross Unrealized Estimated Fair Amortized Gross Unrealized Gross Unrealized Estimated Fair Fixed income securities: Asset-backed securities $ 74.0 $ 0.3 $ — $ 74.3 $ 81.3 $ 0.1 $ — $ 81.4 Certificates of deposit 31.8 — — 31.8 38.6 — — 38.6 Commercial paper 87.1 — — 87.1 168.2 — — 168.2 Corporate debt securities 672.8 6.4 (0.2) 679.0 604.9 0.7 (0.1) 605.5 Foreign government debt securities 8.0 — — 8.0 11.4 — — 11.4 Time deposits 223.6 — — 223.6 226.3 — — 226.3 U.S. government agency securities 58.3 0.2 — 58.5 89.0 — — 89.0 U.S. government securities 407.1 1.7 — 408.8 394.3 0.3 (0.1) 394.5 Total fixed income securities 1,562.7 8.6 (0.2) 1,571.1 1,614.0 1.1 (0.2) 1,614.9 Privately-held debt and redeemable preferred stock securities 19.3 37.4 — 56.7 19.1 37.4 — 56.5 Total available-for-sale debt securities $ 1,582.0 $ 46.0 $ (0.2) $ 1,627.8 $ 1,633.1 $ 38.5 $ (0.2) $ 1,671.4 Reported as: Cash equivalents $ 356.2 $ — $ — $ 356.2 $ 290.9 $ — $ — $ 290.9 Short-term investments 492.8 1.7 — 494.5 733.7 0.5 — 734.2 Long-term investments 713.7 6.9 (0.2) 720.4 589.4 0.6 (0.2) 589.8 Other long-term assets 19.3 37.4 — 56.7 19.1 37.4 — 56.5 Total $ 1,582.0 $ 46.0 $ (0.2) $ 1,627.8 $ 1,633.1 $ 38.5 $ (0.2) $ 1,671.4 |
Maturities of fixed income securities | The following table presents the contractual maturities of the Company's total fixed income securities as of September 30, 2020 (in millions): Amortized Estimated Fair Due in less than one year $ 849.0 $ 850.7 Due between one and five years 713.7 720.4 Total $ 1,562.7 $ 1,571.1 |
Available-for-sale securities in unrealized loss position | The following tables present the Company's total fixed income securities that were in an unrealized loss position as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, 2020 Less than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Fixed income securities: Asset-backed securities $ 10.3 $ — $ — $ — $ 10.3 $ — Corporate debt securities 105.2 (0.2) — — 105.2 (0.2) Foreign government debt securities 8.0 — — — 8.0 — U.S. government securities 13.4 — — — 13.4 — Total fixed income securities $ 136.9 $ (0.2) $ — $ — $ 136.9 $ (0.2) As of December 31, 2019 Less than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Fixed income securities: Asset-backed securities $ 21.6 $ — $ 5.2 $ — $ 26.8 $ — Corporate debt securities 142.6 (0.1) 2.1 — 144.7 (0.1) Foreign government debt securities 4.0 — 4.0 — 8.0 — U.S. government agency securities 20.0 — — — 20.0 — U.S. government securities 71.6 (0.1) — — 71.6 (0.1) Total fixed income securities $ 259.8 $ (0.2) $ 11.3 $ — $ 271.1 $ (0.2) |
Schedule of investments in equity securities | The following table presents the Company's investments in equity securities as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, December 31, Equity investments with readily determinable fair value Money market funds $ 580.4 $ 446.4 Mutual funds 27.1 26.8 Publicly-traded equity securities 4.8 3.8 Equity investments without readily determinable fair value 140.0 133.3 Total equity securities $ 752.3 $ 610.3 Reported as: Cash equivalents $ 576.4 $ 442.3 Short-term investments 4.8 3.8 Prepaid expenses and other current assets 7.2 4.1 Other long-term assets 163.9 160.1 Total $ 752.3 $ 610.3 |
Schedule of reconciliation of cash, cash equivalents and restricted cash | The following table provides a reconciliation of cash, cash equivalents, and restricted cash included in the Condensed Consolidated Balance Sheets as of September 30, 2020 and December 31, 2019 (in millions): As of September 30, December 31, Cash and cash equivalents $ 1,341.5 $ 1,215.8 Restricted cash included in Prepaid expenses and other current assets 60.3 60.7 Total cash, cash equivalents, and restricted cash $ 1,401.8 $ 1,276.5 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis | The following table provides a summary of assets and liabilities measured at fair value on a recurring basis and as reported in the Condensed Consolidated Balance Sheets (in millions): Fair Value Measurements at Fair Value Measurements at Quoted Prices in Significant Other Significant Other Total Quoted Prices in Significant Other Significant Other Total Assets: Available-for-sale debt securities: Asset-backed securities $ — $ 74.3 $ — $ 74.3 $ — $ 81.4 $ — $ 81.4 Certificates of deposit — 31.8 — 31.8 — 38.6 — 38.6 Commercial paper — 87.1 — 87.1 — 168.2 — 168.2 Corporate debt securities — 679.0 — 679.0 — 605.5 — 605.5 Foreign government debt securities — 8.0 — 8.0 — 11.4 — 11.4 Time deposits — 223.6 — 223.6 — 226.3 — 226.3 U.S. government agency securities — 58.5 — 58.5 — 89.0 — 89.0 U.S. government securities 214.2 194.6 — 408.8 318.9 75.6 — 394.5 Privately-held debt and redeemable preferred stock securities — — 56.7 56.7 — — 56.5 56.5 Total available-for-sale debt securities 214.2 1,356.9 56.7 1,627.8 318.9 1,296.0 56.5 1,671.4 Equity securities: Money market funds 580.4 — — 580.4 446.4 — — 446.4 Mutual funds 27.1 — — 27.1 26.8 — — 26.8 Publicly-traded equity securities 4.8 — — 4.8 3.8 — — 3.8 Total equity securities 612.3 — — 612.3 477.0 — — 477.0 Derivative assets: Foreign exchange contracts — 20.9 — 20.9 — 2.5 — 2.5 Interest rate contracts — 36.8 — 36.8 — — — — Total derivative assets — 57.7 — 57.7 — 2.5 — 2.5 Total assets measured at fair value on a recurring basis $ 826.5 $ 1,414.6 $ 56.7 $ 2,297.8 $ 795.9 $ 1,298.5 $ 56.5 $ 2,150.9 Liabilities: Derivative liabilities: Foreign exchange contracts $ — $ (2.2) $ — $ (2.2) $ — $ (6.8) $ — $ (6.8) Interest rate contracts — — — — — (3.1) — (3.1) Total derivative liabilities — (2.2) — (2.2) — (9.9) — (9.9) Total liabilities measured at fair value on a recurring basis $ — $ (2.2) $ — $ (2.2) $ — $ (9.9) $ — $ (9.9) Fair Value Measurements at Fair Value Measurements at Quoted Prices in Significant Other Significant Other Total Quoted Prices in Significant Other Significant Other Total Total assets, reported as: Cash equivalents $ 576.4 $ 356.2 $ — $ 932.6 $ 442.3 $ 290.9 $ — $ 733.2 Short-term investments 117.2 382.1 — 499.3 188.8 549.2 — 738.0 Long-term investments 101.8 618.6 — 720.4 133.9 455.9 — 589.8 Prepaid expenses and other current assets 7.2 12.2 — 19.4 4.1 2.5 — 6.6 Other long-term assets 23.9 45.5 56.7 126.1 26.8 — 56.5 83.3 Total assets measured at fair value $ 826.5 $ 1,414.6 $ 56.7 $ 2,297.8 $ 795.9 $ 1,298.5 $ 56.5 $ 2,150.9 Total liabilities, reported as: Other accrued liabilities $ — $ (2.0) $ — $ (2.0) $ — $ (6.8) $ — $ (6.8) Other long-term liabilities — (0.2) — (0.2) — (3.1) — (3.1) Total liabilities measured at fair value on a recurring basis $ — $ (2.2) $ — $ (2.2) $ — $ (9.9) $ — $ (9.9) |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative instruments | The notional amount of the Company's derivatives is summarized as follows (in millions): As of September 30, December 31, Designated derivatives: Cash flow hedges: Foreign currency contracts $ 711.7 $ 484.0 Interest rate lock contracts 650.0 — Fair value hedges: Interest rate swap contracts 300.0 300.0 Total designated derivatives 1,661.7 784.0 Non-designated derivatives 163.3 162.9 Total $ 1,825.0 $ 946.9 |
Schedule of Derivative Assets at Fair Value | The fair value of derivative instruments on the Consolidated Balance Sheets was as follows: As of Balance Sheet Classification September 30, December 31, Derivative assets: Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 12.1 $ 2.2 Foreign currency contracts Other long-term assets 8.7 0.3 Interest rate lock contracts Other long-term assets 10.9 — Interest rate swap contracts Other long-term assets 25.9 — Total derivatives designated as hedging instruments $ 57.6 $ 2.5 Derivatives not designated as hedging instruments Other current assets 0.1 — Total derivative assets $ 57.7 $ 2.5 Derivative liabilities: Derivatives designated as hedging instruments: Foreign currency contracts Other accrued liabilities $ 1.8 $ 6.6 Foreign currency contracts Other long-term liabilities 0.2 — Interest rate swap contracts Other long-term liabilities — 3.1 Total derivatives designated as hedging instruments $ 2.0 $ 9.7 Derivatives not designated as hedging instruments Other accrued liabilities 0.2 0.2 Total derivative liabilities $ 2.2 $ 9.9 |
Schedule of Derivative Liabilities at Fair Value | The fair value of derivative instruments on the Consolidated Balance Sheets was as follows: As of Balance Sheet Classification September 30, December 31, Derivative assets: Derivatives designated as hedging instruments: Foreign currency contracts Other current assets $ 12.1 $ 2.2 Foreign currency contracts Other long-term assets 8.7 0.3 Interest rate lock contracts Other long-term assets 10.9 — Interest rate swap contracts Other long-term assets 25.9 — Total derivatives designated as hedging instruments $ 57.6 $ 2.5 Derivatives not designated as hedging instruments Other current assets 0.1 — Total derivative assets $ 57.7 $ 2.5 Derivative liabilities: Derivatives designated as hedging instruments: Foreign currency contracts Other accrued liabilities $ 1.8 $ 6.6 Foreign currency contracts Other long-term liabilities 0.2 — Interest rate swap contracts Other long-term liabilities — 3.1 Total derivatives designated as hedging instruments $ 2.0 $ 9.7 Derivatives not designated as hedging instruments Other accrued liabilities 0.2 0.2 Total derivative liabilities $ 2.2 $ 9.9 |
Other Financial Information (Ta
Other Financial Information (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Other Financial Information [Abstract] | |
Inventories | Total inventory consisted of the following (in millions): As of September 30, December 31, Production and service materials $ 144.6 $ 69.0 Finished goods 31.2 25.2 Inventory $ 175.8 $ 94.2 Reported as: Prepaid expenses and other current assets $ 166.4 $ 90.6 Other long-term assets 9.4 3.6 Total $ 175.8 $ 94.2 |
Warranties | Changes during the nine months ended September 30, 2020 in the Company’s warranty reserve as reported within other accrued liabilities in the Condensed Consolidated Balance Sheets were as follows (in millions): Balance as of December 31, 2019 $ 31.4 Provisions made during the period 28.1 Actual costs incurred during the period (28.9) Balance as of September 30, 2020 $ 30.6 |
Deferred revenue | Details of the Company's deferred revenue, as reported in the Condensed Consolidated Balance Sheets, were as follows (in millions): As of September 30, December 31, Deferred product revenue: Undelivered product commitments and other product deferrals $ 109.8 $ 141.7 Deferred gross product revenue 109.8 141.7 Deferred cost of product revenue (10.5) (9.1) Deferred product revenue, net 99.3 132.6 Deferred service revenue 1,034.7 1,090.8 Total $ 1,134.0 $ 1,223.4 Reported as: Current $ 750.2 $ 812.9 Long-term 383.8 410.5 Total $ 1,134.0 $ 1,223.4 |
Performance obligation | The following table summarizes the transaction price for contracts that have not yet been recognized as revenue as of September 30, 2020 and when the Company expects to recognize the amounts as revenue (in millions): Revenue Recognition Expected by Period Total Less than 1 year 1-3 years More than 3 years Product $ 109.8 $ 90.4 $ 17.3 $ 2.1 Service (*) 1,049.0 677.5 308.2 63.3 Total $ 1,158.8 $ 767.9 $ 325.5 $ 65.4 ________________________________ (*) Represents unearned service revenue allocated to the performance obligations not delivered or partially delivered as of September 30, 2020. The unearned service revenue is comprised of deferred revenue and non-cancellable contract revenue for which we have not invoiced. |
Other income (expense), net | Other expense, net, consisted of the following (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Interest income $ 6.1 $ 19.7 $ 30.4 $ 63.0 Interest expense (19.1) (22.1) (58.5) (68.3) Loss on extinguishment of debt — (15.3) — (15.3) Gain (loss) on investments, net 2.0 (3.4) 2.7 (4.6) Other (2.5) 0.7 (3.6) 2.0 Other expense, net $ (13.5) $ (20.4) $ (29.0) $ (23.2) |
Restructuring (Benefits) Charge
Restructuring (Benefits) Charges (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Restructuring and Related Activities [Abstract] | |
Schedule of restructuring liabilities | The following table provides a summary of changes in the restructuring liabilities for the Company's 2020 and prior year restructuring plan (in millions): December 31, Charges Cash September 30, Severance $ 0.7 $ 9.6 $ (7.0) $ — $ 3.3 Other — 5.3 — (5.3) — Total $ 0.7 $ 14.9 $ (7.0) $ (5.3) $ 3.3 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Summary of total debt | The following table summarizes the Company's total debt (in millions, except percentages): As of September 30, 2020 Issuance date Maturity Date Amount Effective Interest Senior Notes ("Notes"): 4.500% fixed-rate notes ("2024 Notes") March 2014 March 2024 $ 350.0 4.63 % 4.500% fixed-rate notes ("2024 Notes") February 2016 March 2024 150.0 4.87 % 4.350% fixed-rate notes ("2025 Notes") March 2015 June 2025 300.0 4.47 % 3.750% fixed-rate notes ("2029 Notes") August 2019 August 2029 500.0 3.86 % 5.950% fixed-rate notes ("2041 Notes") March 2011 March 2041 400.0 6.03 % Total Notes 1,700.0 Unaccreted discount and debt issuance costs (11.8) Hedge accounting fair value adjustments (*) 25.9 Total $ 1,714.1 ________________________________ (*) Represents the fair value adjustments for interest rate swaps with an aggregate notional amount of $300.0 million designated as fair value hedges of our fixed-rate 2041 Notes. See Note 4, Derivative Instruments , for a discussion of the Company's interest rate swaps. |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Stockholders' Equity Note [Abstract] | |
Summary of dividends paid and stock repurchases and retirements under stock repurchase program | The following table summarizes dividends paid, stock repurchases, and retirements under the Company's stock repurchase program (in millions, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Dividends Per share $ 0.20 $ 0.19 $ 0.60 $ 0.57 Amount $ 66.2 $ 64.7 $ 197.9 $ 196.4 Repurchased under the 2018 Stock Repurchase Program Shares 4.2 5.1 14.5 13.7 Average price per share (*) $ 23.93 $ 24.90 $ 23.86 $ 25.45 Amount $ 100.0 $ 50.0 $ 300.0 $ 350.0 ________________________________ (*) During the three months ended September 30, 2020, the $23.93 average price per share includes $100.0 million in open market purchases. During the nine months ended September 30, 2020, the $23.86 average price per share includes $300.0 million in open market purchases, and settlement of the forward contract of $40.0 million under the ASR, which was initiated during the fourth quarter of 2019. During the three and nine months ended September 30, 2019, the $24.90 and $25.45 average price per share includes the forward contract of $60.0 million under the ASR, which was initiated and settled during the second and the third quarter of 2019, respectively. |
Components of accumulated other comprehensive loss, net of taxes | The components of accumulated other comprehensive loss, net of related taxes, for the nine months ended September 30, 2020 were as follows (in millions): Unrealized Unrealized Foreign Total Balance as of December 31, 2019 $ 29.7 $ (4.3) $ (43.9) $ (18.5) Other comprehensive loss before reclassifications 6.2 21.0 (1.5) 25.7 Amount reclassified from accumulated other comprehensive loss (0.5) 8.5 — 8.0 Other comprehensive loss, net 5.7 29.5 (1.5) 33.7 Balance as of September 30, 2020 $ 35.4 $ 25.2 $ (45.4) $ 15.2 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of nonvested share activity | The Company’s RSU, RSA and PSA activity and related information as of and for the nine months ended September 30, 2020 were as follows (in millions, except per share amounts and years): Outstanding RSUs, RSAs and PSAs Number of Shares Weighted Average Weighted Average Aggregate Balance as of December 31, 2019 17.5 $ 25.30 Granted (*) 7.4 22.32 Vested (5.9) 25.95 Canceled (2.0) 25.22 Balance as of September 30, 2020 17.0 $ 23.79 1.2 $ 364.9 ________________________________ (*) Includes 6.2 million service-based, 0.8 million performance-based, and 0.4 million market-based RSUs and PSAs, as applicable. The number of shares subject to performance-based and market-based conditions represents the aggregate maximum number of shares that may be issued pursuant to the award over its full term. The grant date fair value of RSUs and PSAs was reduced by the present value of dividends expected to be paid on the underlying shares of common stock during the requisite and derived service period as these awards are not entitled to receive dividends until vested. |
Schedule of employee stock purchases through ESPP | The following table summarizes employee stock purchases through the ESPP (in millions, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Shares purchased 1.3 1.2 2.7 2.4 Average exercise price per share $ 19.68 $ 22.03 $ 19.59 $ 22.04 |
Schedule of employee service share-based compensation, allocation of recognized period costs | Share-based compensation expense associated with stock options, RSUs, RSAs, PSAs, and the ESPP was recorded in the following cost and expense categories in the Condensed Consolidated Statements of Operations (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Cost of revenues - Product $ 1.4 $ 0.8 $ 3.9 $ 4.3 Cost of revenues - Service 4.0 4.1 11.6 13.0 Research and development 22.9 29.6 57.1 68.0 Sales and marketing 16.4 15.5 43.4 40.0 General and administrative 8.0 7.5 22.7 21.8 Total $ 52.7 $ 57.5 $ 138.7 $ 147.1 |
Disclosure of share-based compensation arrangements by share-based payment award | The following table summarizes share-based compensation expense by award type (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Stock options $ 1.5 $ 2.3 $ 5.2 $ 5.6 RSUs, RSAs, and PSAs 45.8 50.9 118.0 127.7 ESPP 5.4 4.3 15.5 13.8 Total $ 52.7 $ 57.5 $ 138.7 $ 147.1 |
Segments (Tables)
Segments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Financial information for each segment | The following table presents net revenues by product and service (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Routing $ 432.0 $ 407.5 $ 1,149.7 $ 1,199.1 Switching 229.0 241.6 657.6 633.6 Security 72.7 94.1 227.5 243.1 Total product 733.7 743.2 2,034.8 2,075.8 Total service 404.5 389.9 1,187.7 1,161.5 Total $ 1,138.2 $ 1,133.1 $ 3,222.5 $ 3,237.3 The following table presents net revenues by customer vertical (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Cloud $ 253.1 $ 271.9 $ 800.5 $ 780.0 Service Provider 475.1 452.5 1,286.8 1,335.3 Enterprise 410.0 408.7 1,135.2 1,122.0 Total $ 1,138.2 $ 1,133.1 $ 3,222.5 $ 3,237.3 |
Net revenues by geographic region | The Company attributes revenues to geographic region based on the customer’s shipping address. The following table presents net revenues by geographic region (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Americas: United States $ 575.0 $ 599.4 $ 1,651.7 $ 1,677.2 Other 49.3 49.4 160.9 164.0 Total Americas 624.3 648.8 1,812.6 1,841.2 Europe, Middle East, and Africa 321.1 301.5 870.2 879.6 Asia Pacific 192.8 182.8 539.7 516.5 Total $ 1,138.2 $ 1,133.1 $ 3,222.5 $ 3,237.3 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of effective income tax rate reconciliation | The following table provides details of income taxes (in millions, except percentages): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Income before income taxes $ 111.6 $ 118.1 $ 226.0 $ 240.4 Income tax (benefit) provision $ (33.8) $ 18.8 $ (1.0) $ 63.8 Effective tax rate (30.3) % 15.9 % (0.4) % 26.5 % |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of basic and diluted net income per share | The Company computed basic and diluted net income per share as follows (in millions, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Numerator: Net income $ 145.4 $ 99.3 $ 227.0 $ 176.6 Denominator: Weighted-average shares used to compute basic net income per share 330.9 342.2 330.9 345.5 Dilutive effect of employee stock awards 3.6 3.3 4.3 4.6 Weighted-average shares used to compute diluted net income per share 334.5 345.5 335.2 350.1 Net income per share Basic $ 0.44 $ 0.29 $ 0.69 $ 0.51 Diluted $ 0.43 $ 0.29 $ 0.68 $ 0.50 Anti-dilutive shares 3.4 2.8 5.5 2.7 |
Cash Equivalents and Investme_3
Cash Equivalents and Investments - Available-For-Sale (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale debt securities: | ||
Amortized Cost | $ 1,582 | $ 1,633.1 |
Gross Unrealized Gains | 46 | 38.5 |
Gross Unrealized Losses | (0.2) | (0.2) |
Estimated Fair Value | 1,627.8 | 1,671.4 |
Asset-backed securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 74 | 81.3 |
Gross Unrealized Gains | 0.3 | 0.1 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 74.3 | 81.4 |
Certificates of deposit | ||
Available-for-sale debt securities: | ||
Amortized Cost | 31.8 | 38.6 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 31.8 | 38.6 |
Commercial paper | ||
Available-for-sale debt securities: | ||
Amortized Cost | 87.1 | 168.2 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 87.1 | 168.2 |
Corporate debt securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 672.8 | 604.9 |
Gross Unrealized Gains | 6.4 | 0.7 |
Gross Unrealized Losses | (0.2) | (0.1) |
Estimated Fair Value | 679 | 605.5 |
Foreign government debt securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 8 | 11.4 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 8 | 11.4 |
Time deposits | ||
Available-for-sale debt securities: | ||
Amortized Cost | 223.6 | 226.3 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 223.6 | 226.3 |
U.S. government agency securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 58.3 | 89 |
Gross Unrealized Gains | 0.2 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 58.5 | 89 |
U.S. government securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 407.1 | 394.3 |
Gross Unrealized Gains | 1.7 | 0.3 |
Gross Unrealized Losses | 0 | (0.1) |
Estimated Fair Value | 408.8 | 394.5 |
Fixed Income securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 1,562.7 | 1,614 |
Gross Unrealized Gains | 8.6 | 1.1 |
Gross Unrealized Losses | (0.2) | (0.2) |
Estimated Fair Value | 1,571.1 | 1,614.9 |
Privately-held debt and redeemable preferred stock securities | ||
Available-for-sale debt securities: | ||
Amortized Cost | 19.3 | 19.1 |
Gross Unrealized Gains | 37.4 | 37.4 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 56.7 | 56.5 |
Cash equivalents | ||
Available-for-sale debt securities: | ||
Amortized Cost | 356.2 | 290.9 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 356.2 | 290.9 |
Short-term investments | ||
Available-for-sale debt securities: | ||
Amortized Cost | 492.8 | 733.7 |
Gross Unrealized Gains | 1.7 | 0.5 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 494.5 | 734.2 |
Long-term investments | ||
Available-for-sale debt securities: | ||
Amortized Cost | 713.7 | 589.4 |
Gross Unrealized Gains | 6.9 | 0.6 |
Gross Unrealized Losses | (0.2) | (0.2) |
Estimated Fair Value | 720.4 | 589.8 |
Other long-term assets | ||
Available-for-sale debt securities: | ||
Amortized Cost | 19.3 | 19.1 |
Gross Unrealized Gains | 37.4 | 37.4 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | $ 56.7 | $ 56.5 |
Cash Equivalents and Investme_4
Cash Equivalents and Investments - Maturities of Fixed Income Securities (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Amortized Cost | ||
Amortized Cost | $ 1,582 | $ 1,633.1 |
Estimated Fair Value | ||
Total | 1,627.8 | 1,671.4 |
Fixed Income Securities | ||
Amortized Cost | ||
Due in less than one year | 849 | |
Due between one and five years | 713.7 | |
Amortized Cost | 1,562.7 | 1,614 |
Estimated Fair Value | ||
Due in less than one year | 850.7 | |
Due between one and five years | 720.4 | |
Total | $ 1,571.1 | $ 1,614.9 |
Cash Equivalents and Investme_5
Cash Equivalents and Investments - Unrealized Loss Position on Fixed Income Securities (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Unrealized Loss | ||
Less than 12 months, fair value | $ 136.9 | $ 259.8 |
Less than 12 months, unrealized loss | (0.2) | (0.2) |
12 months or greater, fair value | 0 | 11.3 |
12 months or greater, unrealized loss | 0 | 0 |
Total, fair value | 136.9 | 271.1 |
Total, unrealized loss | (0.2) | (0.2) |
Asset-backed securities | ||
Unrealized Loss | ||
Less than 12 months, fair value | 10.3 | 21.6 |
Less than 12 months, unrealized loss | 0 | 0 |
12 months or greater, fair value | 0 | 5.2 |
12 months or greater, unrealized loss | 0 | 0 |
Total, fair value | 10.3 | 26.8 |
Total, unrealized loss | 0 | 0 |
Corporate debt securities | ||
Unrealized Loss | ||
Less than 12 months, fair value | 105.2 | 142.6 |
Less than 12 months, unrealized loss | (0.2) | (0.1) |
12 months or greater, fair value | 0 | 2.1 |
12 months or greater, unrealized loss | 0 | 0 |
Total, fair value | 105.2 | 144.7 |
Total, unrealized loss | (0.2) | (0.1) |
Foreign government debt securities | ||
Unrealized Loss | ||
Less than 12 months, fair value | 8 | 4 |
Less than 12 months, unrealized loss | 0 | 0 |
12 months or greater, fair value | 0 | 4 |
12 months or greater, unrealized loss | 0 | 0 |
Total, fair value | 8 | 8 |
Total, unrealized loss | 0 | 0 |
U.S. government agency securities | ||
Unrealized Loss | ||
Less than 12 months, fair value | 20 | |
Less than 12 months, unrealized loss | 0 | |
12 months or greater, fair value | 0 | |
12 months or greater, unrealized loss | 0 | |
Total, fair value | 20 | |
Total, unrealized loss | 0 | |
U.S. government securities | ||
Unrealized Loss | ||
Less than 12 months, fair value | 13.4 | 71.6 |
Less than 12 months, unrealized loss | 0 | (0.1) |
12 months or greater, fair value | 0 | 0 |
12 months or greater, unrealized loss | 0 | 0 |
Total, fair value | 13.4 | 71.6 |
Total, unrealized loss | $ 0 | $ (0.1) |
Cash Equivalents and Investme_6
Cash Equivalents and Investments - Narrative (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($)Investment | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)Investment | Sep. 30, 2019USD ($) | |
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Total investments in unrealized loss position | Investment | 97 | 97 | ||
Available-for-sale debt securities, gross realized gain | $ 0 | $ 0 | $ 0 | $ 0 |
Available-for-sale debt securities, gross realized loss | 0 | 0 | 0 | 0 |
Equity investments, unrealized gains | 0 | 0 | 0 | 0 |
Equity investments, unrealized losses | 0 | 0 | 0 | 0 |
Restricted cash and investments | 91,400,000 | 91,400,000 | ||
Prepaid expenses and other current assets | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash and investments | 67,400,000 | 67,400,000 | ||
Other long-term assets | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash and investments | 24,000,000 | 24,000,000 | ||
Debt Securities | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Allowance for credit losses | $ 0 | $ 0 | $ 0 | $ 0 |
Cash Equivalents and Investme_7
Cash Equivalents and Investments - Investments in Equity Securities (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Equity investments without readily determinable fair value | $ 140 | $ 133.3 |
Total equity securities | 752.3 | 610.3 |
Cash equivalents | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Total equity securities | 576.4 | 442.3 |
Short-term investments | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Total equity securities | 4.8 | 3.8 |
Prepaid expenses and other current assets | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Total equity securities | 7.2 | 4.1 |
Other long-term assets | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Total equity securities | 163.9 | 160.1 |
Money market funds | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Equity investments with readily determinable fair value | 580.4 | 446.4 |
Mutual funds | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Equity investments with readily determinable fair value | 27.1 | 26.8 |
Publicly-traded equity securities | ||
Debt Securities, Trading, and Equity Securities, FV-NI [Line Items] | ||
Equity investments with readily determinable fair value | $ 4.8 | $ 3.8 |
Cash Equivalents and Investme_8
Cash Equivalents and Investments - Restricted Cash and Investments (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Cash and cash equivalents | $ 1,341.5 | $ 1,215.8 | ||
Total cash, cash equivalents, and restricted cash | 1,401.8 | 1,276.5 | $ 1,266 | $ 2,505.8 |
Prepaid expenses and other current assets | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash included in Prepaid expenses and other current assets | $ 60.3 | $ 60.7 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale debt securities: | ||
Available-for-sale debt securities | $ 1,627.8 | $ 1,671.4 |
Derivative assets: | ||
Derivative assets: | 57.7 | 2.5 |
Asset-backed securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 74.3 | 81.4 |
Certificates of deposit | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 31.8 | 38.6 |
Commercial paper | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 87.1 | 168.2 |
Corporate debt securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 679 | 605.5 |
Foreign government debt securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 8 | 11.4 |
Time deposits | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 223.6 | 226.3 |
U.S. government agency securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 58.5 | 89 |
U.S. government securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 408.8 | 394.5 |
Privately-held debt and redeemable preferred stock securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 56.7 | 56.5 |
Money market funds | ||
Equity securities: | ||
Equity securities | 580.4 | 446.4 |
Publicly-traded equity securities | ||
Equity securities: | ||
Equity securities | 4.8 | 3.8 |
Fair Value, Measurements, Recurring | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 1,627.8 | 1,671.4 |
Equity securities: | ||
Equity securities | 612.3 | 477 |
Derivative assets: | ||
Derivative assets: | 57.7 | 2.5 |
Total assets measured at fair value on a recurring basis | 2,297.8 | 2,150.9 |
Liabilities measured at fair value: | ||
Derivative liabilities: | (2.2) | (9.9) |
Total liabilities measured at fair value on a recurring basis | (2.2) | (9.9) |
Fair Value, Measurements, Recurring | Foreign exchange contracts | ||
Derivative assets: | ||
Derivative assets: | 20.9 | 2.5 |
Liabilities measured at fair value: | ||
Derivative liabilities: | (2.2) | (6.8) |
Fair Value, Measurements, Recurring | Interest rate contracts | ||
Derivative assets: | ||
Derivative assets: | 36.8 | 0 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | (3.1) |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 214.2 | 318.9 |
Equity securities: | ||
Equity securities | 612.3 | 477 |
Derivative assets: | ||
Derivative assets: | 0 | 0 |
Total assets measured at fair value on a recurring basis | 826.5 | 795.9 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | 0 |
Total liabilities measured at fair value on a recurring basis | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | Foreign exchange contracts | ||
Derivative assets: | ||
Derivative assets: | 0 | 0 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | Interest rate contracts | ||
Derivative assets: | ||
Derivative assets: | 0 | 0 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 1,356.9 | 1,296 |
Equity securities: | ||
Equity securities | 0 | 0 |
Derivative assets: | ||
Derivative assets: | 57.7 | 2.5 |
Total assets measured at fair value on a recurring basis | 1,414.6 | 1,298.5 |
Liabilities measured at fair value: | ||
Derivative liabilities: | (2.2) | (9.9) |
Total liabilities measured at fair value on a recurring basis | (2.2) | (9.9) |
Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | Foreign exchange contracts | ||
Derivative assets: | ||
Derivative assets: | 20.9 | 2.5 |
Liabilities measured at fair value: | ||
Derivative liabilities: | (2.2) | (6.8) |
Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | Interest rate contracts | ||
Derivative assets: | ||
Derivative assets: | 36.8 | 0 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | (3.1) |
Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 56.7 | 56.5 |
Equity securities: | ||
Equity securities | 0 | 0 |
Derivative assets: | ||
Derivative assets: | 0 | 0 |
Total assets measured at fair value on a recurring basis | 56.7 | 56.5 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | 0 |
Total liabilities measured at fair value on a recurring basis | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | Foreign exchange contracts | ||
Derivative assets: | ||
Derivative assets: | 0 | 0 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | Interest rate contracts | ||
Derivative assets: | ||
Derivative assets: | 0 | 0 |
Liabilities measured at fair value: | ||
Derivative liabilities: | 0 | 0 |
Fair Value, Measurements, Recurring | Asset-backed securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 74.3 | 81.4 |
Fair Value, Measurements, Recurring | Asset-backed securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Asset-backed securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 74.3 | 81.4 |
Fair Value, Measurements, Recurring | Asset-backed securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Certificates of deposit | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 31.8 | 38.6 |
Fair Value, Measurements, Recurring | Certificates of deposit | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Certificates of deposit | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 31.8 | 38.6 |
Fair Value, Measurements, Recurring | Certificates of deposit | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Commercial paper | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 87.1 | 168.2 |
Fair Value, Measurements, Recurring | Commercial paper | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Commercial paper | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 87.1 | 168.2 |
Fair Value, Measurements, Recurring | Commercial paper | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Corporate debt securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 679 | 605.5 |
Fair Value, Measurements, Recurring | Corporate debt securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Corporate debt securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 679 | 605.5 |
Fair Value, Measurements, Recurring | Corporate debt securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Foreign government debt securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 8 | 11.4 |
Fair Value, Measurements, Recurring | Foreign government debt securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Foreign government debt securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 8 | 11.4 |
Fair Value, Measurements, Recurring | Foreign government debt securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Time deposits | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 223.6 | 226.3 |
Fair Value, Measurements, Recurring | Time deposits | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Time deposits | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 223.6 | 226.3 |
Fair Value, Measurements, Recurring | Time deposits | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. government agency securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 58.5 | 89 |
Fair Value, Measurements, Recurring | U.S. government agency securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. government agency securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 58.5 | 89 |
Fair Value, Measurements, Recurring | U.S. government agency securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | U.S. government securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 408.8 | 394.5 |
Fair Value, Measurements, Recurring | U.S. government securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 214.2 | 318.9 |
Fair Value, Measurements, Recurring | U.S. government securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 194.6 | 75.6 |
Fair Value, Measurements, Recurring | U.S. government securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Privately-held debt and redeemable preferred stock securities | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 56.7 | 56.5 |
Fair Value, Measurements, Recurring | Privately-held debt and redeemable preferred stock securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Privately-held debt and redeemable preferred stock securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 0 | 0 |
Fair Value, Measurements, Recurring | Privately-held debt and redeemable preferred stock securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 56.7 | 56.5 |
Fair Value, Measurements, Recurring | Money market funds | ||
Equity securities: | ||
Equity securities | 580.4 | 446.4 |
Fair Value, Measurements, Recurring | Money market funds | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Equity securities: | ||
Equity securities | 580.4 | 446.4 |
Fair Value, Measurements, Recurring | Money market funds | Significant Other Observable Remaining Inputs (Level 2) | ||
Equity securities: | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring | Money market funds | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Equity securities: | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring | Mutual funds | ||
Equity securities: | ||
Equity securities | 27.1 | 26.8 |
Fair Value, Measurements, Recurring | Mutual funds | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Equity securities: | ||
Equity securities | 27.1 | 26.8 |
Fair Value, Measurements, Recurring | Mutual funds | Significant Other Observable Remaining Inputs (Level 2) | ||
Equity securities: | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring | Mutual funds | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Equity securities: | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring | Publicly-traded equity securities | ||
Equity securities: | ||
Equity securities | 4.8 | 3.8 |
Fair Value, Measurements, Recurring | Publicly-traded equity securities | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Equity securities: | ||
Equity securities | 4.8 | 3.8 |
Fair Value, Measurements, Recurring | Publicly-traded equity securities | Significant Other Observable Remaining Inputs (Level 2) | ||
Equity securities: | ||
Equity securities | 0 | 0 |
Fair Value, Measurements, Recurring | Publicly-traded equity securities | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Equity securities: | ||
Equity securities | 0 | 0 |
Cash equivalents | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 356.2 | 290.9 |
Cash equivalents | Fair Value, Measurements, Recurring | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 932.6 | 733.2 |
Cash equivalents | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 576.4 | 442.3 |
Cash equivalents | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 356.2 | 290.9 |
Cash equivalents | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 0 | 0 |
Short-term investments | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 494.5 | 734.2 |
Short-term investments | Fair Value, Measurements, Recurring | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 499.3 | 738 |
Short-term investments | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 117.2 | 188.8 |
Short-term investments | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 382.1 | 549.2 |
Short-term investments | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 0 | 0 |
Long-term investments | ||
Available-for-sale debt securities: | ||
Available-for-sale debt securities | 720.4 | 589.8 |
Long-term investments | Fair Value, Measurements, Recurring | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 720.4 | 589.8 |
Long-term investments | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 101.8 | 133.9 |
Long-term investments | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 618.6 | 455.9 |
Long-term investments | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 0 | 0 |
Prepaid expenses and other current assets | Fair Value, Measurements, Recurring | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 19.4 | 6.6 |
Prepaid expenses and other current assets | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 7.2 | 4.1 |
Prepaid expenses and other current assets | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 12.2 | 2.5 |
Prepaid expenses and other current assets | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 0 | 0 |
Other long-term assets | Fair Value, Measurements, Recurring | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 126.1 | 83.3 |
Other long-term assets | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 23.9 | 26.8 |
Other long-term assets | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 45.5 | 0 |
Other long-term assets | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Derivative assets: | ||
Total assets measured at fair value on a recurring basis | 56.7 | 56.5 |
Other accrued liabilities | Fair Value, Measurements, Recurring | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | (2) | (6.8) |
Other accrued liabilities | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | 0 | 0 |
Other accrued liabilities | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | (2) | (6.8) |
Other accrued liabilities | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | 0 | 0 |
Other long-term liabilities | Fair Value, Measurements, Recurring | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | (0.2) | (3.1) |
Other long-term liabilities | Fair Value, Measurements, Recurring | Quoted Prices in Active Markets For Identical Assets (Level 1) | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | 0 | 0 |
Other long-term liabilities | Fair Value, Measurements, Recurring | Significant Other Observable Remaining Inputs (Level 2) | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | (0.2) | (3.1) |
Other long-term liabilities | Fair Value, Measurements, Recurring | Significant Other Unobservable Remaining Inputs (Level 3) | ||
Liabilities measured at fair value: | ||
Total liabilities measured at fair value on a recurring basis | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Equity securities without readily determinable fair value, upward adjustment | $ 0 | |||||
Equity securities without readily determinable fair value, downward adjustment | 0 | |||||
Goodwill and intangible impairment | $ 0 | 0 | ||||
Contract manufacturer deposit (non-interest bearing) | 58,300,000 | 58,300,000 | ||||
Junos Pulse | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Proceeds from collection of notes receivable, principal | $ 50,000,000 | |||||
Proceeds from collection of notes receivable, accrued interest | 37,700,000 | |||||
Proceeds from collection of notes receivable | $ 87,700,000 | |||||
Fair Value, Measurements, Recurring | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Financial and nonfinancial liabilities, fair value disclosure | 2,200,000 | 2,200,000 | $ 9,900,000 | |||
Fair Value, Measurements, Nonrecurring | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Financial and nonfinancial liabilities, fair value disclosure | 0 | 0 | 0 | |||
Significant Other Unobservable Remaining Inputs (Level 3) | Fair Value, Measurements, Recurring | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Financial and nonfinancial liabilities, fair value disclosure | 0 | 0 | 0 | |||
Significant Other Observable Remaining Inputs (Level 2) | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Total outstanding debt, fair value | 1,984,000,000 | 1,984,000,000 | 1,852,100,000 | |||
Significant Other Observable Remaining Inputs (Level 2) | Fair Value, Measurements, Recurring | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Financial and nonfinancial liabilities, fair value disclosure | 2,200,000 | 2,200,000 | $ 9,900,000 | |||
Privately-held debt and redeemable preferred stock securities | Significant Other Unobservable Remaining Inputs (Level 3) | Fair Value, Measurements, Recurring | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Unrealized gain (loss) on investments | $ 0 | $ 0 | $ 0 | $ 0 |
Derivative Instruments - Notion
Derivative Instruments - Notional Amount (Details) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Notional amount of derivatives | $ 1,825,000,000 | $ 946,900,000 |
Designated derivatives: | ||
Derivative [Line Items] | ||
Notional amount of derivatives | 1,661,700,000 | 784,000,000 |
Non-designated derivatives | ||
Derivative [Line Items] | ||
Notional amount of derivatives | 163,300,000 | 162,900,000 |
Foreign currency contracts | Cash flow hedges: | Designated derivatives: | ||
Derivative [Line Items] | ||
Notional amount of derivatives | 711,700,000 | 484,000,000 |
Interest rate lock contracts | Cash flow hedges: | Designated derivatives: | ||
Derivative [Line Items] | ||
Notional amount of derivatives | 650,000,000 | 0 |
Interest rate swap contracts | Fair value hedges: | Designated derivatives: | ||
Derivative [Line Items] | ||
Notional amount of derivatives | $ 300,000,000 | $ 300,000,000 |
Derivative Instruments Fair Val
Derivative Instruments Fair Value of Derivative Assets and Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Derivative assets: | $ 57.7 | $ 2.5 |
Derivative liabilities: | 2.2 | 9.9 |
Designated derivatives: | ||
Derivative [Line Items] | ||
Derivative assets: | 57.6 | 2.5 |
Derivative liabilities: | 2 | 9.7 |
Other current assets | Designated derivatives: | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Derivative assets: | 12.1 | 2.2 |
Other current assets | Non-designated derivatives | ||
Derivative [Line Items] | ||
Derivative assets: | 0.1 | 0 |
Other accrued liabilities | Designated derivatives: | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Derivative liabilities: | 1.8 | 6.6 |
Other accrued liabilities | Non-designated derivatives | ||
Derivative [Line Items] | ||
Derivative liabilities: | 0.2 | 0.2 |
Other long-term liabilities | Designated derivatives: | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Derivative liabilities: | 0.2 | 0 |
Other long-term liabilities | Designated derivatives: | Interest rate swap contracts | ||
Derivative [Line Items] | ||
Derivative liabilities: | 0 | 3.1 |
Other long-term assets | Designated derivatives: | Foreign exchange contracts | ||
Derivative [Line Items] | ||
Derivative assets: | 8.7 | 0.3 |
Other long-term assets | Designated derivatives: | Interest rate lock contracts | ||
Derivative [Line Items] | ||
Derivative assets: | 10.9 | 0 |
Other long-term assets | Designated derivatives: | Interest rate swap contracts | ||
Derivative [Line Items] | ||
Derivative assets: | $ 25.9 | $ 0 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Derivatives, Notional Amount [Line Items] | |||||
Notional amount of derivatives | $ 1,825,000,000 | $ 1,825,000,000 | $ 946,900,000 | ||
Designated derivatives: | |||||
Derivatives, Notional Amount [Line Items] | |||||
Notional amount of derivatives | 1,661,700,000 | 1,661,700,000 | 784,000,000 | ||
Cash flow hedges: | |||||
Derivatives, Notional Amount [Line Items] | |||||
Derivative instruments, gain (loss) recognized in other comprehensive income (loss), effective portion | 35,300,000 | $ (12,400,000) | $ 24,100,000 | $ (11,100,000) | |
Cash flow hedges: | Designated derivatives: | |||||
Derivatives, Notional Amount [Line Items] | |||||
Maximum maturities of cash flow hedge derivatives | 36 months | ||||
Losses expected to be reclassified into earnings within the next 12 months | $ 10,200,000 | ||||
Interest rate lock contracts | Cash flow hedges: | Designated derivatives: | |||||
Derivatives, Notional Amount [Line Items] | |||||
Notional amount of derivatives | 650,000,000 | $ 650,000,000 | 0 | ||
Swaps designated as cash flow hedges, expected termination period | 5 years | ||||
Interest rate swap contracts | Fair value hedges: | Designated derivatives: | |||||
Derivatives, Notional Amount [Line Items] | |||||
Notional amount of derivatives | 300,000,000 | $ 300,000,000 | 300,000,000 | ||
Foreign exchange contracts | |||||
Derivatives, Notional Amount [Line Items] | |||||
Foreign currency forward contracts, amounts reclassified out of AOCI | (1,400,000) | $ (800,000) | (9,800,000) | $ (1,500,000) | |
Foreign exchange contracts | Cash flow hedges: | Designated derivatives: | |||||
Derivatives, Notional Amount [Line Items] | |||||
Notional amount of derivatives | $ 711,700,000 | $ 711,700,000 | $ 484,000,000 | ||
Minimum | Foreign exchange contracts | |||||
Derivatives, Notional Amount [Line Items] | |||||
Maturity of foreign currency derivatives | 1 month | ||||
Maximum | Foreign exchange contracts | |||||
Derivatives, Notional Amount [Line Items] | |||||
Maturity of foreign currency derivatives | 4 months | ||||
Maximum | Interest rate swap contracts | |||||
Derivatives, Notional Amount [Line Items] | |||||
Derivative expiration period | 9 years |
Other Financial Information - I
Other Financial Information - Inventories, Net (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Schedule Of Inventory [Line Items] | ||
Production and service materials | $ 144.6 | $ 69 |
Finished goods | 31.2 | 25.2 |
Inventory | 175.8 | 94.2 |
Prepaid expenses and other current assets | ||
Schedule Of Inventory [Line Items] | ||
Inventory | 166.4 | 90.6 |
Other long-term assets | ||
Schedule Of Inventory [Line Items] | ||
Inventory | $ 9.4 | $ 3.6 |
Other Financial Information - N
Other Financial Information - Narrative (Details) | 3 Months Ended | 9 Months Ended |
Sep. 30, 2020USD ($) | Sep. 30, 2020USD ($) | |
Other Financial Information [Abstract] | ||
Contract manufacturer deposit (non-interest bearing) | $ 58,300,000 | $ 58,300,000 |
Non-interest bearing deposit to contract manufacturer, unamortized discount | 3,000,000 | $ 3,000,000 |
Non-interest bearing deposit to contract manufacturer, imputed interest rate | 5.00% | |
Disaggregation of Revenue [Line Items] | ||
Deferred commission | 26,200,000 | $ 26,200,000 |
Amortization of deferred commission | 35,100,000 | 92,700,000 |
Impairment loss | 0 | 0 |
Product | ||
Disaggregation of Revenue [Line Items] | ||
Contract with customer, liability, revenue recognized | 13,300,000 | 61,700,000 |
Service | ||
Disaggregation of Revenue [Line Items] | ||
Contract with customer, liability, revenue recognized | $ 149,600,000 | $ 622,600,000 |
Other Financial Information - W
Other Financial Information - Warranties (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Movement in Standard Product Warranty Accrual [Roll Forward] | |
Balance as of December 31, 2019 | $ 31.4 |
Provisions made during the period | 28.1 |
Actual costs incurred during the period | (28.9) |
Balance as of September 30, 2020 | $ 30.6 |
Other Financial Information - D
Other Financial Information - Deferred Revenue (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Reported as: | ||
Current | $ 750.2 | $ 812.9 |
Long-term | 383.8 | 410.5 |
Deferred revenue | 1,134 | 1,223.4 |
Undelivered product commitments and other product deferrals | ||
Deferred product revenue: | ||
Deferred gross product revenue | 109.8 | 141.7 |
Product | ||
Deferred product revenue: | ||
Deferred gross product revenue | 109.8 | 141.7 |
Deferred cost of product revenue | (10.5) | (9.1) |
Reported as: | ||
Deferred revenue | 99.3 | 132.6 |
Service | ||
Reported as: | ||
Deferred revenue | $ 1,034.7 | $ 1,090.8 |
Other Financial Information - R
Other Financial Information - Revenue (Details) $ in Millions | Sep. 30, 2020USD ($) |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 1,158.8 |
Product | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | 109.8 |
Service | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | 1,049 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01 | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | 767.9 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01 | Product | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 90.4 |
Revenue recognition expected by period, satisfaction period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01 | Service | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 677.5 |
Revenue recognition expected by period, satisfaction period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-10-01 | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 325.5 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-10-01 | Product | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 17.3 |
Revenue recognition expected by period, satisfaction period | 2 years |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-10-01 | Service | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 308.2 |
Revenue recognition expected by period, satisfaction period | 2 years |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01 | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 65.4 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01 | Product | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 2.1 |
Revenue recognition expected by period, satisfaction period | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01 | Service | |
Disaggregation of Revenue [Line Items] | |
Revenue recognition expected by period | $ 63.3 |
Revenue recognition expected by period, satisfaction period |
Other Financial Information -_2
Other Financial Information - Revenue - Total (Details) $ in Millions | Sep. 30, 2020USD ($) |
Segment Reporting Information [Line Items] | |
Revenue recognition expected by period | $ 1,158.8 |
Product | |
Segment Reporting Information [Line Items] | |
Revenue recognition expected by period | 109.8 |
Service | |
Segment Reporting Information [Line Items] | |
Revenue recognition expected by period | $ 1,049 |
Other Financial Information - O
Other Financial Information - Other Expense, Net (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Other Financial Information [Abstract] | ||||
Interest income | $ 6.1 | $ 19.7 | $ 30.4 | $ 63 |
Interest expense | (19.1) | (22.1) | (58.5) | (68.3) |
Loss on extinguishment of debt | 0 | (15.3) | 0 | (15.3) |
Gain (loss) on investments, net | 2 | (3.4) | 2.7 | (4.6) |
Other | (2.5) | 0.7 | (3.6) | 2 |
Other expense, net | $ (13.5) | $ (20.4) | $ (29) | $ (23.2) |
Restructuring Charges - Narrati
Restructuring Charges - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (benefits) | $ 1.2 | $ (1.1) | $ 14.9 | $ 35.6 |
2020 Restructuring Plan | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (benefits) | 14.9 | |||
2020 Restructuring Plan | Severance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (benefits) | $ 1.2 | 9.6 | ||
2020 Restructuring Plan | Other Restructuring | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring charges (benefits) | 5.3 | |||
Asset impairment charges | $ 5.3 |
Restructuring Charges - Changes
Restructuring Charges - Changes to Restructuring Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Restructuring Reserve [Roll Forward] | ||||
Charges | $ 1.2 | $ (1.1) | $ 14.9 | $ 35.6 |
2020 Restructuring Plan | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring liability, beginning balance | 0.7 | |||
Charges | 14.9 | |||
Cash Payments | (7) | |||
Other | (5.3) | |||
Restructuring liability, ending balance | 3.3 | 3.3 | ||
2020 Restructuring Plan | Severance | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring liability, beginning balance | 0.7 | |||
Charges | 1.2 | 9.6 | ||
Cash Payments | (7) | |||
Other | 0 | |||
Restructuring liability, ending balance | 3.3 | 3.3 | ||
2020 Restructuring Plan | Other Restructuring | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring liability, beginning balance | 0 | |||
Charges | 5.3 | |||
Cash Payments | 0 | |||
Other | (5.3) | |||
Restructuring liability, ending balance | $ 0 | $ 0 |
Debt - Schedule of Debt (Detail
Debt - Schedule of Debt (Details) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Long-term debt | $ 1,700,000,000 | |
Unaccreted discount and debt issuance costs | (11,800,000) | |
Hedge accounting fair value adjustments | 25,900,000 | |
Total | 1,714,100,000 | |
Notional amount of derivatives | 1,825,000,000 | $ 946,900,000 |
Designated derivatives: | ||
Debt Instrument [Line Items] | ||
Notional amount of derivatives | 1,661,700,000 | 784,000,000 |
Designated derivatives: | Fair value hedges: | Interest rate swap contracts | ||
Debt Instrument [Line Items] | ||
Notional amount of derivatives | 300,000,000 | $ 300,000,000 |
Senior notes | 4.500% fixed-rate notes (2024 Notes) | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 350,000,000 | |
Effective interest rate | 4.63% | |
Stated interest rate | 4.50% | |
Senior notes | 4.500% fixed-rate notes (2024 Notes) | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 150,000,000 | |
Effective interest rate | 4.87% | |
Stated interest rate | 4.50% | |
Senior notes | 4.350% fixed-rate notes ("2025 Notes") | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 300,000,000 | |
Effective interest rate | 4.47% | |
Stated interest rate | 4.35% | |
Senior notes | 3.750% fixed-rate notes ("2029 Notes") | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 500,000,000 | |
Effective interest rate | 3.86% | |
Stated interest rate | 3.75% | |
Senior notes | 5.950% fixed-rate notes ("2041 Notes") | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 400,000,000 | |
Effective interest rate | 6.03% | |
Stated interest rate | 5.95% |
Debt - Revolving Credit Facilit
Debt - Revolving Credit Facility (Details) | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Line of Credit Facility [Line Items] | |
Amount outstanding | $ 1,714,100,000 |
Unsecured Revolving Credit Facility | Line of Credit | |
Line of Credit Facility [Line Items] | |
Borrowing capacity | 500,000,000 |
Increase amount of borrowings, subject to lenders' approval | $ 200,000,000 |
Extension option term | 1 year |
Amount outstanding | $ 0 |
Equity - Summary of Dividends P
Equity - Summary of Dividends Paid and Stock Repurchases and Retirements (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Dividends | |||||
Per share (in dollars per share) | $ 0.20 | $ 0.19 | $ 0.60 | $ 0.57 | |
Amount | $ 66.2 | $ 64.7 | $ 197.9 | $ 196.4 | |
Repurchased under the 2018 Stock Repurchase Program | |||||
Amount | $ 100.4 | 111.1 | 345.7 | $ 354.9 | |
Forward contract under ASR | $ 60 | $ 60 | $ 40 | ||
Stock Repurchase Program 2018 | |||||
Repurchased under the 2018 Stock Repurchase Program | |||||
Shares (in shares) | 4.2 | 5.1 | 14.5 | 13.7 | |
Average price (in usd per share) | $ 23.93 | $ 24.90 | $ 23.86 | $ 25.45 | |
Amount | $ 100 | $ 50 | $ 300 | $ 350 |
Equity - Cash Dividends on Shar
Equity - Cash Dividends on Shares of Common Stock (Details) - $ / shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2020 | Sep. 30, 2020 | |
Stockholders' Equity Note [Abstract] | ||
Cash dividends declared per share of common stock (in dollars per share) | $ 0.20 | $ 0.20 |
Equity - Stock Repurchase Activ
Equity - Stock Repurchase Activities (Details) - USD ($) $ / shares in Units, shares in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||||
Oct. 31, 2019 | Sep. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Mar. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Jan. 31, 2018 | |
Accelerated Share Repurchases [Line Items] | |||||||||
Payment pursuant to ASR | $ 305,700,000 | $ 354,900,000 | |||||||
Common stock received, aggregate price | $ 100,400,000 | $ 111,100,000 | $ 345,700,000 | $ 354,900,000 | |||||
Stock Repurchase Program 2018 | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 3,000,000,000 | $ 2,000,000,000 | |||||||
Stock repurchase program, increase to authorized amount | 1,000,000,000 | ||||||||
Stock repurchased and retired (in shares) | 4.2 | 5.1 | 14.5 | 13.7 | |||||
Common stock received, aggregate price | $ 100,000,000 | $ 50,000,000 | $ 300,000,000 | $ 350,000,000 | |||||
Stock repurchased (in shares) | 14.5 | ||||||||
Common stock repurchased, average cost per share (in dollars per share) | $ 23.86 | ||||||||
Stock repurchase program, remaining authorized repurchase amount | $ 1,400,000,000 | $ 1,400,000,000 | |||||||
Accelerated Share Repurchase Program | |||||||||
Accelerated Share Repurchases [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 200,000,000 | ||||||||
Payment pursuant to ASR | $ 200,000,000 | ||||||||
Stock repurchased and retired (in shares) | 1.8 | 6.4 | 8.2 | ||||||
Common stock received, aggregate price | $ 160,000,000 | ||||||||
Common stock repurchased under stock repurchase program market price (in usd per share) | $ 25.15 | ||||||||
Weighted average repurchase price, stock repurchased and retired during period (in usd per share) | $ 24.44 |
Equity - Components of Accumula
Equity - Components of Accumulated Other Comprehensive (Loss) Income, Net of Tax (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance | $ 4,464.3 | $ 4,591.2 | $ 4,610.6 | $ 4,823.2 |
Other comprehensive loss before reclassifications | 25.7 | |||
Amount reclassified from accumulated other comprehensive loss | 8 | |||
Other comprehensive loss, net | 38.1 | (15.5) | 33.7 | (8.6) |
Balance | 4,560.8 | 4,642.4 | 4,560.8 | 4,642.4 |
Accumulated Other Comprehensive Loss | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance | (22.9) | (11.3) | (18.5) | (18.2) |
Balance | 15.2 | $ (26.8) | 15.2 | $ (26.8) |
Unrealized Gains/Losses on Available-for- Sale Debt Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance | 29.7 | |||
Other comprehensive loss before reclassifications | 6.2 | |||
Amount reclassified from accumulated other comprehensive loss | (0.5) | |||
Other comprehensive loss, net | 5.7 | |||
Balance | 35.4 | 35.4 | ||
Unrealized Gains/Losses on Cash Flow Hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance | (4.3) | |||
Other comprehensive loss before reclassifications | 21 | |||
Amount reclassified from accumulated other comprehensive loss | 8.5 | |||
Other comprehensive loss, net | 29.5 | |||
Balance | 25.2 | 25.2 | ||
Foreign Currency Translation Adjustments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance | (43.9) | |||
Other comprehensive loss before reclassifications | (1.5) | |||
Amount reclassified from accumulated other comprehensive loss | 0 | |||
Other comprehensive loss, net | (1.5) | |||
Balance | $ (45.4) | $ (45.4) |
Employee Benefit Plans - Equity
Employee Benefit Plans - Equity Incentive Plan (Details) shares in Millions | Sep. 30, 2020shares |
Equity incentive plan 2015 | |
Share-Based Compensation Plans | |
Number of shares available for future issuance (in shares) | 12.4 |
Employee stock purchase plan 2008 | |
Share-Based Compensation Plans | |
Number of shares available for future issuance (in shares) | 11.5 |
Employee Benefit Plans - Restri
Employee Benefit Plans - Restricted Stock Unit and Performance Share Award Activities (Details) $ / shares in Units, shares in Millions, $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($)$ / sharesshares | |
Service-based RSUs | |
Number of Shares | |
Granted (in shares) | 6.2 |
RSUs, RSAs, and PSAs | |
Number of Shares | |
Balance at beginning of period (in shares) | 17.5 |
Granted (in shares) | 7.4 |
Vested (in shares) | (5.9) |
Canceled (in shares) | (2) |
Balance at end of period (in shares) | 17 |
Weighted Average Grant-Date Fair Value per Share | |
Balance at beginning of period (in dollars per share) | $ / shares | $ 25.30 |
Granted (in dollars per share) | $ / shares | 22.32 |
Vested (in dollars per share) | $ / shares | 25.95 |
Canceled (in dollars per share) | $ / shares | 25.22 |
Balance at end of period (in dollars per share) | $ / shares | $ 23.79 |
Weighted average remaining contractual term | 1 year 2 months 12 days |
Aggregate intrinsic value | $ | $ 364.9 |
Performance Shares | |
Number of Shares | |
Granted (in shares) | 0.8 |
Market-based RSUs | |
Number of Shares | |
Granted (in shares) | 0.4 |
Employee Benefit Plans - Employ
Employee Benefit Plans - Employee Stock Purchase Plan (Details) shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020period$ / sharesshares | Sep. 30, 2019$ / sharesshares | Sep. 30, 2020period$ / sharesshares | Sep. 30, 2019$ / sharesshares | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
ESPP offering period duration | 24 months | |||
ESPP, number of purchase period | period | 4 | 4 | ||
ESPP. purchase period | 6 months | |||
ESPP, purchase price of common stock, percent | 85.00% | |||
Employee stock purchase plan 2008 | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Shares purchased (in shares) | shares | 1.3 | 1.2 | 2.7 | 2.4 |
Average exercise price per share (in dollars per share) | $ / shares | $ 19.68 | $ 22.03 | $ 19.59 | $ 22.04 |
Employee Benefit Plans - Share
Employee Benefit Plans - Share Based Compensation by Cost and Expense Categories (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | $ 52.7 | $ 57.5 | $ 138.7 | $ 147.1 |
Stock options | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 1.5 | 2.3 | 5.2 | 5.6 |
RSUs, RSAs, and PSAs | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 45.8 | 50.9 | 118 | 127.7 |
ESPP | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 5.4 | 4.3 | 15.5 | 13.8 |
Cost of revenues - Product | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 1.4 | 0.8 | 3.9 | 4.3 |
Cost of revenues - Service | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 4 | 4.1 | 11.6 | 13 |
Research and development | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 22.9 | 29.6 | 57.1 | 68 |
Sales and marketing | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | 16.4 | 15.5 | 43.4 | 40 |
General and administrative | ||||
Stock Based Compensation Expense Recorded in Cost and Expense Categories | ||||
Share-based compensation expense | $ 8 | $ 7.5 | $ 22.7 | $ 21.8 |
Employee Benefit Plans - Shar_2
Employee Benefit Plans - Share Based Compensation by Share Based Payment Award Types (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Share-based Payment Arrangement [Abstract] | |
Unrecognized compensation cost | $ 288.4 |
Unrecognized compensation, weighted average recognition period | 1 year 8 months 4 days |
Segments - Revenue by Product (
Segments - Revenue by Product (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)segment | Sep. 30, 2019USD ($) | |
Segment Reporting Information [Line Items] | ||||
Number of reportable segments | segment | 1 | |||
Total net revenues | $ 1,138.2 | $ 1,133.1 | $ 3,222.5 | $ 3,237.3 |
Product | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 733.7 | 743.2 | 2,034.8 | 2,075.8 |
Routing | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 432 | 407.5 | 1,149.7 | 1,199.1 |
Switching | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 229 | 241.6 | 657.6 | 633.6 |
Security | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 72.7 | 94.1 | 227.5 | 243.1 |
Service | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | $ 404.5 | $ 389.9 | $ 1,187.7 | $ 1,161.5 |
Segments - Revenues by Customer
Segments - Revenues by Customer Vertical (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Total net revenues | $ 1,138.2 | $ 1,133.1 | $ 3,222.5 | $ 3,237.3 |
Cloud | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 253.1 | 271.9 | 800.5 | 780 |
Service Provider | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 475.1 | 452.5 | 1,286.8 | 1,335.3 |
Enterprise | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | $ 410 | $ 408.7 | $ 1,135.2 | $ 1,122 |
Segments - Geographic (Details)
Segments - Geographic (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Total net revenues | $ 1,138.2 | $ 1,133.1 | $ 3,222.5 | $ 3,237.3 |
Total Americas | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 624.3 | 648.8 | 1,812.6 | 1,841.2 |
United States | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 575 | 599.4 | 1,651.7 | 1,677.2 |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 49.3 | 49.4 | 160.9 | 164 |
Europe, Middle East, and Africa | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | 321.1 | 301.5 | 870.2 | 879.6 |
Asia Pacific | ||||
Segment Reporting Information [Line Items] | ||||
Total net revenues | $ 192.8 | $ 182.8 | $ 539.7 | $ 516.5 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | Jun. 22, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 |
Income Tax Contingency [Line Items] | |||||
Income before income taxes | $ 111.6 | $ 118.1 | $ 226 | $ 240.4 | |
Income tax (benefit) provision | $ (33.8) | $ 18.8 | $ (1) | $ 63.8 | |
Effective tax rate | (30.30%) | 15.90% | (0.40%) | 26.50% | |
Unrecognized tax benefits | $ 112.2 | $ 112.2 | |||
Interest and penalties | 18.4 | 18.4 | |||
Cumulative impact of cost sharing for stock-based compensation | $ 18.2 | ||||
India tax authority | |||||
Income Tax Contingency [Line Items] | |||||
Unrecognized tax benefits | 54.5 | 54.5 | |||
Maximum | |||||
Income Tax Contingency [Line Items] | |||||
Unrecognized tax benefits, maximum decrease in the next twelve months | $ 11.6 | $ 11.6 |
Net Income Per Share (Details)
Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Numerator: | ||||
Net income | $ 145.4 | $ 99.3 | $ 227 | $ 176.6 |
Denominator: | ||||
Weighted-average shares used to compute basic net income per share (in shares) | 330.9 | 342.2 | 330.9 | 345.5 |
Dilutive effect of employee stock awards (in shares) | 3.6 | 3.3 | 4.3 | 4.6 |
Weighted-average shares used to compute diluted net income per share (in shares) | 334.5 | 345.5 | 335.2 | 350.1 |
Net income per share | ||||
Basic (in dollars per share) | $ 0.44 | $ 0.29 | $ 0.69 | $ 0.51 |
Diluted, (in dollars per share) | $ 0.43 | $ 0.29 | $ 0.68 | $ 0.50 |
Anti-dilutive shares (in shares) | 3.4 | 2.8 | 5.5 | 2.7 |
Commitments and Contingencies -
Commitments and Contingencies - Commitments (Details) $ in Millions | Sep. 30, 2020USD ($) |
Loss Contingencies [Line Items] | |
Purchase obligation | $ 1,402.5 |
Excess purchase commitments and obsolete materials liability | 18.5 |
Master Service Agreement | |
Loss Contingencies [Line Items] | |
Reduction in fees payable | $ 79.4 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | Oct. 27, 2020 | Oct. 26, 2020 | Oct. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2020 |
Subsequent Event [Line Items] | |||||
Cash dividends declared per share of common stock (in dollars per share) | $ 0.20 | $ 0.20 | |||
Subsequent Event | |||||
Subsequent Event [Line Items] | |||||
Cash dividends declared per share of common stock (in dollars per share) | $ 0.20 | ||||
Subsequent Event | 128 Technology | |||||
Subsequent Event [Line Items] | |||||
Consideration transferred, cash | $ 450 | ||||
Subsequent Event | Netrounds | |||||
Subsequent Event [Line Items] | |||||
Consideration transferred, cash | $ 35 |