Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2019 | May 31, 2019 | Oct. 31, 2018 | |
Entity Information [Line Items] | |||
Entity Registrant Name | WILEY JOHN & SONS, INC. | ||
Entity Central Index Key | 0000107140 | ||
Current Fiscal Year End Date | --04-30 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Shell Company | false | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Ex Transition Period | false | ||
Entity Public Float | $ 2,465 | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Apr. 30, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Common Stock Class A [Member] | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 47,499,550 | ||
Common Stock Class B [Member] | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 9,132,133 |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - USD ($) $ in Thousands | Apr. 30, 2019 | Apr. 30, 2018 | ||
Current Assets | ||||
Cash and cash equivalents | $ 92,890 | $ 169,773 | ||
Accounts receivable, net | 294,867 | [1] | 212,377 | |
Inventories, net | 35,582 | 39,489 | ||
Prepaid expenses and other current assets | 67,441 | 58,332 | ||
Total Current Assets | 490,780 | 479,971 | ||
Product Development Assets | 62,470 | 78,814 | ||
Royalty Advances, net | 36,185 | 37,058 | ||
Technology, Property and Equipment, net | 289,021 | 289,934 | ||
Intangible Assets, net | 865,572 | 848,071 | ||
Goodwill | 1,095,666 | 1,019,801 | [2] | |
Other Non-Current Assets | 97,308 | 85,802 | ||
Total Assets | 2,937,002 | 2,839,451 | ||
Current Liabilities | ||||
Accounts payable | 90,980 | 90,097 | ||
Accrued royalties | 78,062 | 73,007 | ||
Contract liability (Deferred revenue) | 507,365 | [1] | 486,353 | |
Accrued employment costs | 97,230 | 116,179 | ||
Accrued income taxes | 21,025 | 13,927 | ||
Other accrued liabilities | 75,900 | 94,748 | ||
Total Current Liabilities | 870,562 | 874,311 | ||
Long-Term Debt | 478,790 | 360,000 | ||
Accrued Pension Liability | 166,331 | 190,301 | ||
Deferred Income Tax Liabilities | 143,775 | 143,518 | ||
Other Long-Term Liabilities | 96,197 | 80,764 | ||
Total Liabilities | 1,755,655 | 1,648,894 | ||
Shareholders' Equity | ||||
Preferred Stock, $1 par value: Authorized - 2 million, Issued 0 | 0 | 0 | ||
Additional paid-in-capital | 422,305 | 407,120 | ||
Retained earnings | 1,931,074 | 1,834,057 | ||
Accumulated other comprehensive (loss): | ||||
Foreign currency translation adjustment | (312,107) | (251,573) | ||
Unamortized retirement costs, net of tax | (196,057) | (191,026) | ||
Unrealized (loss) gain on interest rate swap, net of tax | (574) | 3,019 | ||
Total accumulated other comprehensive loss, net of tax | (508,738) | (439,580) | ||
Less: Treasury Shares At Cost (Class A - 22,633,869 and 21,853,257 as of April 30, 2019 and 2018, respectively, Class B - 3,917,574 and 3,917,574 of April 30, 2019 and 2018, respectively) | (746,476) | (694,222) | ||
Total Shareholders' Equity | 1,181,347 | 1,190,557 | ||
Total Liabilities and Shareholders' Equity | 2,937,002 | 2,839,451 | ||
Class A [Member] | ||||
Shareholders' Equity | ||||
Common Stock | 70,127 | 70,111 | ||
Class B [Member] | ||||
Shareholders' Equity | ||||
Common Stock | $ 13,055 | $ 13,071 | ||
[1] | Due to the adoption of the new revenue standard, the sales return reserve as of April 30, 2019 of $25.9 million is recorded in Contract Liability (Deferred Revenue). In prior periods, it was recorded as a reduction to Accounts Receivable, net on the Consolidated Statements of Financial Position. At April 30, 2018 the sales return reserve was $28.3 million. | |||
[2] | The April 30, 2018 goodwill balances were revised for the Publishing segment which decreased and the Solutions segment which increased to reflect foreign translation adjustments of $11.6 million. |
CONSOLIDATED STATEMENTS OF FI_2
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (Parenthetical) - $ / shares | Apr. 30, 2019 | Apr. 30, 2018 |
Shareholders' Equity | ||
Preferred Stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred Stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred Stock, shares issued (in shares) | 0 | 0 |
Class A [Member] | ||
Shareholders' Equity | ||
Common Stock, par value (in dollars per share) | $ 1 | $ 1 |
Common Stock, shares authorized (in shares) | 180,000,000 | 180,000,000 |
Common Stock, shares issued (in shares) | 70,126,963 | 70,110,603 |
Treasury stock (in shares) | 22,633,869 | 21,853,257 |
Class B [Member] | ||
Shareholders' Equity | ||
Common Stock, par value (in dollars per share) | $ 1 | $ 1 |
Common Stock, shares authorized (in shares) | 72,000,000 | 72,000,000 |
Common Stock, shares issued (in shares) | 13,054,707 | 13,071,067 |
Treasury stock (in shares) | 3,917,574 | 3,917,574 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | ||||
Revenue, net | $ 1,800,069 | $ 1,796,103 | $ 1,718,530 | |||
Costs and Expenses | ||||||
Cost of sales | [1] | 554,722 | 531,024 | [2] | 500,794 | [2] |
Operating and administrative expenses | [1],[2] | 963,582 | 956,822 | 943,242 | ||
Restructuring and related charges | 3,118 | 28,566 | 13,355 | |||
Amortization of intangibles | 54,658 | 48,230 | 49,669 | |||
Total Costs and Expenses | 1,576,080 | 1,564,642 | 1,507,060 | |||
Operating Income | 223,989 | 231,461 | [3] | 211,470 | [3] | |
Interest Expense | (16,121) | (13,274) | (16,938) | |||
Foreign Exchange Transaction (Losses) Gains | (6,016) | (12,819) | 421 | |||
Interest and Other Income (Expense) | [2] | 11,100 | 8,563 | [1] | (3,837) | [1] |
Income Before Taxes | 212,952 | 213,931 | 191,116 | |||
Provision for Income Taxes | 44,689 | 21,745 | 77,473 | |||
Net Income | $ 168,263 | $ 192,186 | $ 113,643 | |||
Earnings Per Share | ||||||
Basic (in dollars per share) | $ 2.94 | $ 3.37 | $ 1.98 | |||
Diluted (in dollars per share) | $ 2.91 | $ 3.32 | $ 1.95 | |||
Weighted Average Number of Common Shares Outstanding | ||||||
Basic (in shares) | 57,192 | 57,043 | 57,337 | |||
Diluted (in shares) | 57,840 | 57,888 | 58,199 | |||
Class A [Member] | ||||||
Cash Dividends Per Share | ||||||
Common stock (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 | |||
Class B [Member] | ||||||
Cash Dividends Per Share | ||||||
Common stock (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 | |||
[1] | In connection with the acquisition of The Learning House, Inc. ("Learning House"), we changed our accounting policy for certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. Under the new accounting policy, these costs are included in Cost of Sales whereas they were previously included in Operating and Administrative Expenses on the Consolidated Statements of Income. Including these expenses in Cost of Sales will better align these costs with the related revenue and conform with the presentation of such costs for Learning House. This change in accounting policy was applied retrospectively. The Consolidated Statements of Income for the years ended April 30, 2018, and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018, and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to "Change in Accounting Policy" in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House. | |||||
[2] | Due to the retrospective adoption of Accounting Standards Update ("ASU") 2017-07, "Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,", total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest and Other Income (Expense) for the years ended April 30, 2018 and 2017, respectively. Total net benefits (costs) related to the non-service components of defined benefit and other post-employment benefit plans were $8.8 million for the year ended April 30, 2019. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards, in the Notes to Consolidated Financial Statements for more information. | |||||
[3] | Due to the retrospective adoption of ASU 2017-07, total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest Income and Other for the years ended April 30, 2018 and 2017, respectively. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2018 was $4.2 million in Research, $2.3 million in Publishing, and $1.6 million in Corporate expenses. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2017 was $1.6 million in Research, $1.2 million in Publishing, and $(8.1) million in Corporate expenses. |
CONSOLIDATED STATEMENTS OF IN_2
CONSOLIDATED STATEMENTS OF INCOME (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | ||||
Costs and Expenses | ||||||
Cost of sales | [1] | $ 554,722 | $ 531,024 | [2] | $ 500,794 | [2] |
Operating and administrative expenses | [1],[2] | 963,582 | 956,822 | 943,242 | ||
Change in Accounting Policy for Certain Advertising and Marketing Costs [Member] | The Learning House, Inc. [Member] | ||||||
Costs and Expenses | ||||||
Cost of sales | 45,800 | 40,000 | ||||
Operating and administrative expenses | (45,800) | (40,000) | ||||
ASU 2017-07 Member] | ||||||
Costs and Expenses | ||||||
Net charges benefits (cost) | $ 8,800 | $ 8,100 | $ (5,300) | |||
[1] | In connection with the acquisition of The Learning House, Inc. ("Learning House"), we changed our accounting policy for certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. Under the new accounting policy, these costs are included in Cost of Sales whereas they were previously included in Operating and Administrative Expenses on the Consolidated Statements of Income. Including these expenses in Cost of Sales will better align these costs with the related revenue and conform with the presentation of such costs for Learning House. This change in accounting policy was applied retrospectively. The Consolidated Statements of Income for the years ended April 30, 2018, and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018, and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to "Change in Accounting Policy" in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House. | |||||
[2] | Due to the retrospective adoption of Accounting Standards Update ("ASU") 2017-07, "Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,", total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest and Other Income (Expense) for the years ended April 30, 2018 and 2017, respectively. Total net benefits (costs) related to the non-service components of defined benefit and other post-employment benefit plans were $8.8 million for the year ended April 30, 2019. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards, in the Notes to Consolidated Financial Statements for more information. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | |||
Net Income | $ 168,263 | $ 192,186 | $ 113,643 |
Other Comprehensive (Loss) Income: | |||
Foreign currency translation adjustment | (60,534) | 67,639 | (51,292) |
Unrealized retirement costs, net of tax benefit of $1,337, $252, and $3,286, respectively | (5,031) | (524) | (11,097) |
Unrealized (loss) gain on interest rate swaps, net of tax benefit (expense) of $1,161, $(459), and $(1,709), respectively | (3,593) | 592 | 2,788 |
Total Other Comprehensive (Loss) Income | (69,158) | 67,707 | (59,601) |
Comprehensive Income | $ 99,105 | $ 259,893 | $ 54,042 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Other Comprehensive (Loss) Income: | |||
Unrealized retirement costs, net of tax benefit | $ 1,337 | $ 252 | $ 3,286 |
Unrealized (loss) gain on interest rate swaps, net of tax benefit (expense) | $ 1,161 | $ (459) | $ (1,709) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | ||
Operating Activities | ||||
Net Income | $ 168,263 | $ 192,186 | $ 113,643 | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||||
Amortization of intangibles | 54,658 | 48,230 | 49,669 | |
Amortization of product development assets | 37,079 | 41,432 | 40,209 | |
Depreciation and amortization of technology, property and equipment | 69,418 | 64,327 | 66,683 | |
Restructuring and related charges | 3,118 | 28,566 | 13,355 | |
Deferred income tax benefit on U.K. rate changes | 0 | 0 | (2,575) | |
Stock-based compensation expense | 18,327 | 11,244 | 17,552 | |
Excess tax benefits from stock-based compensation | 0 | 0 | (414) | |
Employee retirement plan expense | 5,236 | 7,388 | 13,169 | |
Royalty advances | (129,949) | (122,602) | (112,370) | |
Earned royalty advances | 129,125 | 116,620 | 114,647 | |
Impairment of publishing brand | 0 | 3,600 | 0 | |
Foreign currency gains (losses) | 6,016 | 12,819 | (421) | |
Unfavorable tax litigation | 0 | 0 | 49,029 | |
One-time pension settlement | 0 | 0 | 8,842 | |
Other non-cash credits | (11,934) | (30,752) | (6,450) | |
Changes in Operating Assets and Liabilities | ||||
Accounts receivable, net | (52,939) | (14,209) | (29,886) | |
Inventories, net | 3,820 | 13,517 | 8,003 | |
Accounts payable | 7,369 | 16,543 | (24,182) | |
Accrued royalties | 6,169 | 3,664 | 4,325 | |
Contract liability (Deferred revenue) | 18,106 | 36,243 | 22,692 | |
Accrued income taxes | 9,613 | (565) | 19,479 | |
Restructuring payments | (15,219) | (30,595) | (22,854) | |
Other accrued liabilities | (32,713) | 1,022 | 10,367 | |
Employee retirement plan contributions | (40,470) | (27,550) | (39,687) | |
Other | (2,262) | 11,194 | 2,078 | |
Net Cash Provided by Operating Activities | 250,831 | 382,322 | 314,903 | |
Investing Activities | ||||
Product development spending | (24,426) | (36,503) | (43,603) | |
Additions to technology, property and equipment | (77,167) | (114,225) | (105,058) | |
Acquisitions of publication rights and other | (9,494) | (26,683) | (28,842) | |
Businesses acquired in purchase transactions, net of cash acquired | (190,415) | 0 | (125,924) | |
Proceeds from settlement of foreign exchange forward contracts | 0 | 0 | 60,417 | |
Net Cash Used in Investing Activities | (301,502) | (177,411) | (243,010) | |
Financing Activities | ||||
Repayment of long-term debt | (476,246) | (467,915) | (923,007) | |
Borrowing of long-term debt | 596,320 | 459,304 | 683,000 | |
Purchase of treasury shares | (59,994) | (39,688) | (50,326) | |
Change in book overdrafts | (5,674) | (4,191) | (214) | |
Cash dividends | (75,752) | (73,542) | (71,545) | |
Net proceeds from exercise of stock options and other | 3,751 | 29,201 | 15,506 | |
Excess tax benefits from stock-based compensation | 0 | 0 | 414 | |
Net Cash Used in Financing Activities | (17,595) | (96,831) | (346,172) | |
Effects of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash | [1] | (8,443) | 3,661 | (31,011) |
Cash, Cash Equivalents and Restricted Cash | ||||
(Decrease)/Increase for year | [1] | (76,709) | 111,741 | (305,290) |
Balance at beginning of year | [1] | 170,257 | 58,516 | 363,806 |
Balance at end of year | [1] | 93,548 | 170,257 | 58,516 |
Cash Paid During the Year for | ||||
Interest | 14,867 | 12,221 | 15,733 | |
Income taxes, net of refunds | 48,264 | 48,709 | 33,674 | |
Learning House [Member] | Warrants [Member] | ||||
Non-cash items associated with acquisition | ||||
Warrants to purchase 0.4 million shares of Wiley Class A Common Stock issued in connection with the Learning House acquisition | $ 565 | $ 0 | $ 0 | |
[1] | Due to the retrospective adoption of ASU 2016-18, "Statement of Cash Flows (Topic 230): Restricted Cash," we are now required to include restricted cash as part of the change in cash, cash equivalents, and restricted cash. As a result, amounts which were previously classified as cash flows from operating activities have been reclassified as they are recognized in the total change in cash, cash equivalents and restricted cash. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," in the Notes to Consolidated Financial Statements for more information. |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) shares in Millions | Apr. 30, 2019shares |
Non-cash items associated with acquisition | |
Warrants to purchase shares, in connection with acquisition (in shares) | 0.4 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock [Member]Class A [Member] | Common Stock [Member]Class B [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member]Class A [Member] | Additional Paid-in Capital [Member]Class B [Member] | Retained Earnings [Member] | Retained Earnings [Member]Class A [Member] | Retained Earnings [Member]Class B [Member] | Treasury Stock [Member] | Treasury Stock [Member]Class A [Member] | Treasury Stock [Member]Class B [Member] | Accumulated Other Comprehensive Loss [Member] | Accumulated Other Comprehensive Loss [Member]Class A [Member] | Accumulated Other Comprehensive Loss [Member]Class B [Member] | Total | Class A [Member] | Class B [Member] |
Balance at Apr. 30, 2016 | $ 69,798 | $ 13,392 | $ 368,698 | $ 1,673,325 | $ (640,421) | $ (447,686) | $ 1,037,106 | ||||||||||
Restricted Shares Issued under Stock-based Compensation Plans | 0 | 0 | (7,617) | 0 | 8,013 | 0 | 396 | ||||||||||
Net (Payments)/Proceeds from Exercise of Stock Options and Other | 0 | 0 | 8,849 | 0 | 6,657 | 0 | 15,506 | ||||||||||
Excess Tax Benefits from Stock-based Compensation | 0 | 0 | 414 | 0 | 0 | 0 | 414 | ||||||||||
Stock-based Compensation Expense | 0 | 0 | 17,552 | 0 | 0 | 0 | 17,552 | ||||||||||
Purchase of Treasury Shares | 0 | 0 | 0 | 0 | (50,326) | 0 | (50,326) | ||||||||||
Common Stock Dividends | 0 | 0 | $ 0 | $ 0 | $ (60,143) | $ (11,402) | $ 0 | $ 0 | $ 0 | $ 0 | $ (60,143) | $ (11,402) | |||||
Common Stock Class Conversions | 288 | (296) | 0 | 0 | 0 | 0 | (8) | ||||||||||
Comprehensive Income (Loss), Net of Tax | 0 | 0 | 0 | 113,643 | 0 | (59,601) | 54,042 | ||||||||||
Balance at Apr. 30, 2017 | 70,086 | 13,096 | 387,896 | 1,715,423 | (676,077) | (507,287) | 1,003,137 | ||||||||||
Restricted Shares Issued under Stock-based Compensation Plans | 0 | 0 | (7,646) | (10) | 7,968 | 0 | 312 | ||||||||||
Net (Payments)/Proceeds from Exercise of Stock Options and Other | 0 | 0 | 15,686 | 0 | 13,515 | 0 | 29,201 | ||||||||||
Stock-based Compensation Expense | 0 | 0 | 11,184 | 0 | 60 | 0 | 11,244 | ||||||||||
Purchase of Treasury Shares | 0 | 0 | 0 | 0 | (39,688) | 0 | (39,688) | ||||||||||
Common Stock Dividends | 0 | 0 | 0 | 0 | (61,813) | (11,729) | 0 | 0 | 0 | 0 | (61,813) | (11,729) | |||||
Common Stock Class Conversions | 25 | (25) | 0 | 0 | 0 | 0 | 0 | ||||||||||
Comprehensive Income (Loss), Net of Tax | 0 | 0 | 0 | 192,186 | 0 | 67,707 | 259,893 | ||||||||||
Balance at Apr. 30, 2018 | 70,111 | 13,071 | 407,120 | 1,834,057 | (694,222) | (439,580) | 1,190,557 | ||||||||||
Adjustment due to adoption of new revenue standard | New Revenue Standard [Member] | 0 | 0 | 0 | 4,503 | 0 | 0 | 4,503 | ||||||||||
Restricted Shares Issued under Stock-based Compensation Plans | 0 | 0 | (8,544) | 3 | 8,826 | 0 | 285 | ||||||||||
Net (Payments)/Proceeds from Exercise of Stock Options and Other | 0 | 0 | 4,837 | 0 | (1,086) | 0 | 3,751 | ||||||||||
Stock-based Compensation Expense | 0 | 0 | 18,327 | 0 | 0 | 0 | 18,327 | ||||||||||
Purchase of Treasury Shares | 0 | 0 | 0 | 0 | (59,994) | 0 | (59,994) | ||||||||||
Common Stock Dividends | 0 | 0 | $ 0 | $ 0 | $ (63,684) | $ (12,068) | $ 0 | $ 0 | $ 0 | $ 0 | $ (63,684) | $ (12,068) | |||||
Common Stock Class Conversions | 16 | (16) | 0 | 0 | 0 | 0 | 0 | ||||||||||
Issuance of Warrants Related to Acquisition of a Business | 0 | 565 | 0 | 0 | 0 | 565 | |||||||||||
Comprehensive Income (Loss), Net of Tax | 0 | 0 | 0 | 168,263 | 0 | (69,158) | 99,105 | ||||||||||
Balance at Apr. 30, 2019 | $ 70,127 | $ 13,055 | $ 422,305 | $ 1,931,074 | $ (746,476) | $ (508,738) | $ 1,181,347 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Class A [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Common stock dividend (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 |
Class B [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Common stock dividend (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 |
Description of Business
Description of Business | 12 Months Ended |
Apr. 30, 2019 | |
Description of Business [Abstract] | |
Description of Business | The Company, founded in 1807, was incorporated in the state of New York on January 15, 1904. Throughout this report, when we refer to “Wiley,” the “Company,” “we,” “our,” or “us,” we are referring to John Wiley & Sons, Inc. and all of our subsidiaries, except where the context indicates otherwise. We are a global research and learning company. Through our Research Publishing Solutions |
Summary of Significant Accounti
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards | 12 Months Ended |
Apr. 30, 2019 | |
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards [Abstract] | |
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards | Summary of Significant Accounting Policies Basis of Presentation: Our Consolidated Financial Statements include all of the accounts of the Company and our subsidiaries. We have eliminated all intercompany transactions and balances in consolidation. All amounts are in thousands, except per share amounts, and approximate due to rounding. Change in Accounting Policy: In connection The Consolidated Statements of Income for the years ended April 30, 2018 and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018 and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share on the Consolidated Statements of Income. Reclassifications: Certain prior year amounts have been reclassified to conform to the current year’s presentation. Use of Estimates: The preparation of our Consolidated Financial Statements and related disclosures in conformity with U.S. GAAP requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements and revenue and expenses during the reporting period. These estimates include, among other items, revenue recognition, sales return reserves, allocation of acquisition purchase price to assets acquired and liabilities assumed, goodwill and indefinite-lived intangible assets, intangible assets with finite lives and other long-lived assets, and retirement plans. We review these estimates and assumptions periodically using historical experience and other factors and reflect the effects of any revisions on the Consolidated Financial Statements in the period we determine any revisions to be necessary. Actual results could differ from those estimates, which could affect the reported results. Book Overdrafts: Under our cash management system, a book overdraft balance exists for our primary disbursement accounts. This overdraft represents uncleared checks in excess of cash balances in individual bank accounts. Our funds are transferred from other existing bank account balances or from lines of credit as needed to fund checks presented for payment. As of April 30, 2019 and 2018, book overdrafts of $7.4 million and $13.1 million, respectively, were included in Accounts Payable on the Consolidated Statements of Financial Position. Revenue Recognition: See Note 3, “Revenue Recognition, Contracts with Customers,” of the Notes to Consolidated Financial Statements for details of our revenue recognition policy. Cash and Cash Equivalents: Cash and cash equivalents consist of highly liquid investments with an original maturity of three months or less at the time of purchase and are stated at cost, which approximates market value, because of the short-term maturity of the instruments. Allowance for Doubtful Accounts: The estimated allowance for doubtful accounts is based on a review of the aging of the accounts receivable balances, historical write-off experience, credit evaluations of customers, and current market conditions. A change in the evaluation of a customer’s credit could affect the estimated allowance. The allowance for doubtful accounts is shown as a reduction of Accounts Receivable, net on the Consolidated Statements of Financial Position and amounted to $14.3 million and $10.1 million as of April 30, 2019 and 2018, respectively. Sales Return Reserves: The process that we use to determine our sales returns and the related reserve provision charged against revenue is based on applying an estimated return rate to current year returnable print book sales. This rate is based upon an analysis of actual historical return experience in the various markets and geographic regions in which we do business. We collect, maintain and analyze significant amounts of sales returns data for large volumes of homogeneous transactions. This allows us to make reasonable estimates of the amount of future returns. All available data is utilized to identify the returns by market and to which fiscal year the sales returns apply. This enables management to track the returns in detail and identify and react to trends occurring in the marketplace, with the objective of being able to make the most informed judgments possible in setting reserve rates. Associated with the estimated sales return reserves, we also include a related increase to inventory and a reduction to accrued royalties as a result of the expected returns. Print book sales return reserves amounted to a net liability balance of $18.5 million and $18.6 million as of April 30, 2019 and 2018, respectively. The reserves are reflected in the following accounts of the Consolidated Statements of Financial Position – increase (decrease): 2019 2018 Accounts receivable, net (1) $ — $ (28,302 ) Inventories, net $ 3,739 $ 4,626 Accrued royalties $ (3,653 ) $ (5,048 ) Contract liability (Deferred revenue) (1) $ 25,934 $ — Decrease in Net Assets $ (18,542 ) $ (18,628 ) (1) Due to Revenue from Contracts with Customers Inventories: Inventories are carried at the lower of cost or market. U.S. book inventories aggregating $21.0 million and $24.0 million at April 30, 2019 and 2018, respectively, are valued using the last-in, first-out (LIFO) method. All other inventories are valued using the first-in, first-out (FIFO) method. Reserve for Inventory Obsolescence A reserve for inventory obsolescence is estimated based on a review of damaged, obsolete, or otherwise unsalable inventory. The review encompasses historical unit sales trends by title, current market conditions, including estimates of customer demand compared to the number of units currently on hand, and publication revision cycles. The inventory obsolescence reserve is reported as a reduction of the Inventories, net balance on the Consolidated Statements of Financial Position and amounted to $15.8 million and $18.2 million as of April 30, 2019 and 2018, respectively. Product Development Assets: Product development assets consist of book composition costs and other product development costs. Costs associated with developing a book publication are expensed until the product is determined to be commercially viable. Book composition costs represent the costs incurred to bring an edited commercial manuscript to publication, which include typesetting, proofreading, design, illustration costs, and digital formatting. Book composition costs are capitalized and are generally amortized on a double-declining basis over their estimated useful lives, ranging from 1 to 3 years. Other product development costs represent the costs incurred in developing software, platforms, and digital content to be sold and licensed to third parties. Other product development costs are capitalized and generally amortized on a straight-line basis over their estimated useful lives. As of April 30, 2019, the weighted average estimated useful life of other product development costs was approximately 5 years. Royalty Advances: Royalty advances are capitalized and, upon publication, are expensed as royalties earned based on sales of the published works. Royalty advances are reviewed for recoverability and a reserve for loss is maintained, if appropriate. Shipping and Handling Costs: Costs incurred for third party shipping and handling are primarily reflected in Operating and Administrative Expenses on the Consolidated Statements of Income. We incurred $32.7 million, $33.7 million, and $39.1 million in shipping and handling costs in the years ended April 30, 2019, 2018, and 2017, respectively. Advertising Expense: Advertising costs are expensed as incurred. We incurred $89.5 million, $68.3 million, and $61.4 million in advertising costs in the years ended April 30, 2019, 2018, and 2017, respectively, and these costs are included in Cost of Sales and Operating and Administrative Expenses on the Consolidated Statements of Income. Advertising costs of $53.7 million, $38.3 million, and $32.4 million were included in Cost of Sales in the years ended April 30, 2019, 2018, and 2017, respectively. Advertising costs of $35.8 million, $30.0 million, and $29.0 million were included in Operating and Administrative Expenses in the years ended April 30, 2019, 2018, and 2017, respectively. Technology, Property, and Equipment: Technology, property, and equipment is recorded at cost. Major renewals and improvements are capitalized, while maintenance and repairs are expensed as incurred. Technology, property and equipment is depreciated using the straight-line method based upon the following estimated useful lives: Computer Software – 3 to 10 years, Computer Hardware – 3 to 5 years; Buildings and Leasehold Improvements – the lesser of the estimated useful life of the asset up to 40 years or the duration of the lease; Furniture, Fixtures, and Warehouse Equipment – 5 to 10 years. Costs incurred for computer software internally developed or obtained for internal use are capitalized during the application development stage and expensed as incurred during the preliminary project and post-implementation stages. Costs incurred during the application development stage include costs of materials and services and payroll and payroll-related costs for employees who are directly associated with the software project. Such costs are amortized over the expected useful life of the related software, which is generally 3 to 5 years. Costs related to the investment in our Enterprise Resource Planning and related systems are amortized over an expected useful life of 10 years. Maintenance, training, and upgrade costs that do not result in additional functionality are expensed as incurred. Allocation of Acquisition Purchase Price to Assets Acquired and Liabilities Assumed In connection with acquisitions, we allocate the cost of the acquisition to the assets acquired and the liabilities assumed based on the estimates of fair value for such items, including intangible assets and technology acquired. Such estimates include discounted estimated cash flows to be generated by those assets and the expected useful lives based on historical experience and current market trends to be achieved from the acquisition and the expected tax basis of assets acquired. We may use a third-party valuation consultant to assist in the determination of such estimates. Goodwill and Indefinite-lived Intangible Assets: Goodwill represents the excess of the aggregate of the following: (1) consideration transferred, (2) the fair value of any noncontrolling interest in the acquiree, and (3) if the business combination is achieved in stages, the acquisition-date fair value of our previously held equity interest in the acquiree over the net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed. Indefinite-lived intangible assets primarily consist of brands, trademarks, content, and publishing rights and are typically characterized by intellectual property with a long and well-established revenue stream resulting from strong and well-established imprint/brand recognition in the market. We use the acquisition method of accounting for all business combinations and do not amortize goodwill or intangible assets with indefinite useful lives. Goodwill and intangible assets with indefinite useful lives are tested for possible impairment annually during the fourth quarter of each fiscal year, or more frequently if events or changes in circumstances indicate that the asset might be impaired. Intangible Assets with Finite Lives and Other Long-Lived Assets: Finite-lived intangible assets principally consist of brands, trademarks, content and publication rights, customer relationships, and non-compete agreements and are amortized over their estimated useful lives. The most significant factors in determining the estimated lives of these intangibles are the history and longevity of the brands, trademarks, and content and publication rights acquired combined with the strength of cash flows. Intangible assets with finite lives as of April 30, 2019, are amortized on a straight line basis over the following weighted average estimated useful lives: content and publishing rights – 34 years, customer relationships – 18 years, brands and trademarks – 16 years, non-compete agreements – 3 years. Assets with finite lives are evaluated for impairment upon a significant change in the operating or macroeconomic environment. In these circumstances, if an evaluation of the projected undiscounted cash flows indicates impairment, the asset is written down to its estimated fair value based on the discounted future cash flows. Derivative Financial Instruments: From time to time, we enter into foreign exchange forward and interest rate swap contracts as a hedge against foreign currency asset and liability commitments, changes in interest rates, and anticipated transaction exposures, including intercompany purchases. All derivatives are recognized as assets or liabilities and measured at fair value. Derivatives that are not determined to be effective hedges are adjusted to fair value with a corresponding adjustment to earnings. We do not use financial instruments for trading or speculative purposes. Foreign Currency Gains/Losses: We maintain operations in many non-U.S. locations. Assets and liabilities are translated into U.S. dollars using end-of-period exchange rates and revenues and expenses are translated into U.S. dollars using weighted average rates. Our significant investments in non-U.S. businesses are exposed to foreign currency risk. Foreign currency translation adjustments are reported as a separate component of Accumulated Other Comprehensive Loss within Shareholders’ Equity. During the year ended April 30, 2019, we recorded $60.5 million of foreign currency translation losses primarily Foreign currency transaction gains or losses are recognized on the Consolidated Statements of Income as incurred. Stock-Based Compensation: We recognize stock-based compensation expense based on the fair value of the stock-based awards on the grant date, reduced by an estimate for future forfeited awards. As such, stock-based compensation expense is only recognized for those awards that are expected to ultimately vest. The fair value of stock-based awards is recognized in net income generally on a straight-line basis over the requisite service period. The grant date fair value for stock options is estimated using the Black-Scholes option-pricing model. The determination of the assumptions used in the Black-Scholes model required us to make judgments and estimates, which include the expected life of an option, the expected volatility of our Common Stock over the estimated life of the option, a risk-free interest rate, and the expected dividend yield. Judgment was also required in estimating the amount of stock-based awards that may be forfeited. Stock-based compensation expense associated with performance-based stock awards is based on actual financial results for targets established three years in advance. The cumulative effect on current and prior periods of a change in the estimated number of performance share awards, or estimated forfeiture rate, is recognized as an adjustment to earnings in the period of the revision. If actual results differ significantly from estimates, our stock-based compensation expense and consolidated results of operations could be impacted. Recently Adopted Accounting Standards Stock Compensation – Scope of Modification Accounting In May 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-09, “Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting,” which clarifies when changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. Under the new guidance, modification accounting is only required if the fair value, vesting conditions or classification (equity or liability) of the new award are different from the original award immediately before the original award is modified. We adopted ASU 2017-09 on May 1, 2018 and there was no impact to our consolidated financial statements. The new guidance must be applied prospectively to awards modified on or after the adoption date. The future impact of ASU 2017-09 will be dependent on the nature of future stock award modifications. Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost In March 2017, the FASB issued ASU 2017-07, “Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” The guidance requires that the service cost component of net pension and postretirement benefit costs be reported in the same line item as other compensation costs arising from services rendered by the pertinent employees during the period, while the other components of net benefit costs must be reported separately from the service cost component and below operating income. The guidance also allows only the service cost component to be eligible for capitalization when applicable. We adopted ASU 2017-07 on May 1, 2018. The new guidance must be applied retrospectively for the presentation of net benefit costs in the income statement and prospectively for the capitalization of the service cost component of net benefit costs. The effect of retrospectively adopting this guidance resulted in a reclassification of net benefits (costs) of $8.1 million and $(5.3) million from Operating and Administrative Expenses to Interest and Other Income (Expense) on the Consolidated Statements of Income for the years ended April 30, 2018 and 2017, respectively. The amount included in Interest and Other Income (Expense) on the Consolidated Statements of Income for the year ended April 30, 2019 was a net benefit of $8.8 million. We do not capitalize any service costs. Business Combinations: Clarifying the Definition of a Business In January 2017, the FASB issued ASU 2017-01, “Business Combinations (Topic 805): Clarifying the Definition of a Business”, which clarifies the definition of a business in order to allow for the evaluation of whether transactions should be accounted for as acquisitions or disposals of assets or business. We adopted ASU 2017-01 on May 1, 2018 and the adoption had no impact for us in fiscal year 2019. The future impact of ASU 2017-01 will be dependent upon the nature of future acquisitions or dispositions made by us. Statement of Cash Flows: Restricted Cash In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash.” ASU 2016-18 requires that entities include restricted cash and restricted cash equivalents with cash and cash equivalents in the beginning-of-period and end-of-period total amounts shown on the Statement of Cash Flows. We adopted ASU 2016-18 on May 1, 2018. Retrospective transition method is to be applied to each period presented. As a result of this retrospective adoption, the reclassification of restricted cash into a change in total cash resulted in a reduction in Cash Provided By Operating Activities of $0.5 million for the year ended April 30, 2018. There was no impact for the year ended April 30, 2017. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Statements of Financial Position that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows. April 30, 2019 April 30, 2018 April 30, 2017 April 30, 2016 Cash and cash equivalents $ 92,890 $ 169,773 $ 58,516 $ 363,806 Restricted cash included in Prepaid expenses and other current assets 658 484 — — Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows $ 93,548 $ 170,257 $ 58,516 $ 363,806 Income taxes: Intra-Entity Transfers of Assets Other than Inventory In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory”, which simplifies the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. Current U.S. GAAP prohibits the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. The new guidance states that an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. Consequently, the amendments in this Standard eliminate the exception for an intra-entity transfer of an asset other than inventory. We adopted ASU 2016-16 on May 1, 2018. The adoption of ASU 2016-16 did not have a material impact to our consolidated financial statements. Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments,” which provides clarification on classifying a variety of activities within the Statement of Cash Flows. We adopted ASU 2016-15 on May 1, 2018. The adoption of ASU 2016-15 did not have a material impact to our consolidated statements of cash flows. Financial Instruments: Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, the FASB issued ASU 2016-01, “Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” Subsequently, the FASB issued ASU 2018-03, “Technical Corrections and Improvements to Financial Instruments-Overall.” ASU 2016-01 requires equity investments except those under the equity method of accounting to be measured at fair value with the changes in fair value recognized in net income. The amendment simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment. In addition, it also requires enhanced disclosures about investments. We adopted ASU 2016-01 on May 1, 2018. The adoption of ASU 2016- 01 did not have a material impact to our consolidated financial statements. Revenue from Contracts with Customers In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers," (Topic 606) which superseded most existing revenue recognition guidance. We adopted ASU 2014-09 on May 1, 2018. The standard allows for either "full retrospective" adoption, meaning the standard is applied to all periods presented, or "modified retrospective" adoption, meaning the standard is applied only to the most current period presented in the financial statements. Subsequently, the FASB issued ASU 2016-08, "Revenue from Contracts with Customers (Topic 606) – Principal versus Agent Considerations", ASU 2016-10, "Revenue from Contracts with Customers (Topic 606) – Identifying Performance Obligations and Licensing", ASU 2016-12, "Revenue from Contracts with Customers (Topic 606) – Narrow Scope Improvements and Practical Expedients", and ASU 2016-20, "Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers," which provide clarification and additional guidance related to ASU 2014-09. We also adopted ASU 2016-08, ASU 2016-10, ASU 2016-12, and ASU 2016-20 with ASU 2014-09 (collectively, the “new revenue standard”) on May 1, 2018. We utilized a comprehensive approach to assess the impact of the new revenue standard on our contract portfolio by reviewing our current accounting policies and practices to identify differences that would result from applying the new revenue standard to our revenue contracts. Additionally, we reviewed customer agreements representative of our business models and assessed whether changes in revenue recognition were appropriate under the new revenue standard. We adopted the new revenue standard as of May 1, 2018, using the modified retrospective method. The adoption of the new revenue standard did not have a material impact to our consolidated revenues, financial position, or results of operations. Upon adoption, we recorded an immaterial net increase to opening retained earnings resulting from the change in timing of when certain components of our revenue are recognized as required under the new revenue standard as compared to historical policies. Such changes include: (i) perpetual licenses granted in connection with other deliverables; revenue that was previously recognized over the life of the associated subscription for future content is now recognized at a point in time, which is when access to content is initially granted, (ii) customers’ unexercised rights; revenue which was previously recognized at the end of a pre-determined period for situations where we have received a nonrefundable payment for a customer to receive a good or service and the customer has not exercised such right is now recognized as revenue in proportion to the pattern of rights exercised by the customer, (iii) recognition of estimated revenue from royalty agreements in the period of usage, and (iv) recognition of revenue for certain arrangements with minimum guarantees on a time-based (straight-line) basis due to a stand-ready obligation to provide additional rights to content. The adoption of the new revenue standard resulted in the discontinuance of the historical practice of presenting accounts receivable and deferred revenue balances on a net basis for some of our subscription licensing agreements where we have invoiced a customer in advance of the related revenue being recognized and payment has not yet been received. As of April 30, 2018, the amounts that were previously netted down from accounts receivable and deferred revenue were $59.5 million. The current policy for our subscription licensing agreements is to record accounts receivable when performance occurs and recognize contract liabilities, at the earlier of cash payment being received or the invoice is sent. In addition, the adoption of the new revenue standard resulted in the reclassification of the sales return reserve provision to Contract Liability (Deferred Revenue) from Accounts Receivable, Net on the Consolidated Statements of Financial Position. As of April 30, 2019 and 2018 the amount was $25.9 million and $28.3 million, respectively. The impact of the adoption of the new revenue standard was not material to our Consolidated Statements of Income for the year ended April 30, 2019; therefore, we have omitted the disclosure that summarizes the effect of the revenue recognition standard by line item on our Consolidated Statements of Income. The impact to the Consolidated Statements of Financial Position was also not material by line item, except for the reclassification of the sales return reserve provision to contract liability from accounts receivable, net. April 30, 2018 Adjustments due to Adoption May 1, 2018 Assets Accounts receivable, net $ 212,377 $ 93,349 $ 305,726 Product development assets 78,814 (3,725 ) 75,089 Technology, property and equipment, net 289,934 (361 ) 289,573 Other non-current assets 85,802 5,274 91,076 Liabilities Accrued royalties 73,007 (731 ) 72,276 Contract liability (Deferred revenue) 486,353 89,364 575,717 Deferred income tax liabilities 143,518 1,400 144,918 Retained earnings $ 1,834,057 $ 4,503 $ 1,838,560 Recently Issued Accounting Standards Intangibles-Goodwill and Other-Internal-Use Software: Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract In August 2018, the FASB issued ASU 2018-15, “Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract.” ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The standard is effective for us on May 1, 2020, and interim periods within that fiscal year, with early adoption permitted. We are currently assessing the impact the new guidance will have on our consolidated financial statements. Changes to the Disclosure Requirements for Defined Benefit Plans In August 2018, the FASB issued ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans.” ASU 2018-14 removes certain disclosures that are not considered cost beneficial, clarifies certain required disclosures and added additional disclosures. The standard is effective for us on May 1, 2021, with early adoption permitted. The amendments in ASU 2018-14 would need to be applied on a retrospective basis. We are currently assessing the impact the new guidance will have on our disclosures. Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement.” ASU 2018-13 removes certain disclosures, modifies certain disclosures and added additional disclosures. The standard is effective for us on May 1, 2020, with early adoption permitted. Certain disclosures in ASU 2018-13 would need to be applied on a retrospective basis and others on a prospective basis. We are currently assessing the impact the new guidance will have on our disclosures. Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02 “Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income,” which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. The standard is effective for us on May 1, 2019, and interim periods within that fiscal year, with early adoption permitted. We adopted ASU 2018-02 on May 1, 2019. We did not elect to reclassify the income tax effects from comprehensive income to retained earnings for the stranded tax effects resulting from the Tax Cuts and Jobs Act. Our policy for releasing the income tax effects from accumulated other comprehensive income is when the corresponding pretax accumulated other comprehensive income items are reclassified to earnings. Targeted Improvements to Accounting for Hedging Activities In August 2017, the FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities,” to simplify and improve the application and financial reporting of hedge accounting. Subsequently, in November 2018, the FASB issued ASU 2018-16, “Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes”. In April 2019, the FASB issued ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments — Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments.” ASU 2017-12 eases the requirements for measuring and reporting hedge ineffectiveness and clarifies that changes in the fair value of hedging instruments for cash flow, net investment, and fair value hedges should be reflected in the same income statement line item as the earnings effect of the hedged item. The guidance also permits entities to designate specific components in cash flow and interest rate hedges as the hedged risk, instead of using total cash flows. ASU 2018-16 allows the use of the OIS rate based on the SOFR as a U.S. benchmark interest rate for hedge accounting purposes. These ASUs are effective for us on May 1, 2019, with early adoption permitted. We adopted ASU 2017-12, 2018-16 and 2019-04, for those portions related to ASU 2017-02, on May 1, 2019 and there was no impact to our consolidated financial statements at the date of adoption. The future impact will depend upon any future hedging activities we may enter into. Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU 2017-04, “Intangibles–Goodwill and Other (Topic 350): “Simplifying the Test for Goodwill Impairment”, which simplifie |
Revenue Recognition, Contracts
Revenue Recognition, Contracts with Customers | 12 Months Ended |
Apr. 30, 2019 | |
Revenue Recognition, Contracts with Customers [Abstract] | |
Revenue Recognition, Contracts with Customers | Revenue Recognition, Contracts with Customers Revenue from contracts with customers is recognized using a five-step model consisting of the following: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when (or as) we satisfy a performance obligation. Performance obligations are satisfied when we transfer control of a good or service to a customer, which can occur over time or at a point in time. The amount of revenue recognized is based on the consideration to which we expect to be entitled in exchange for those goods or services, including the expected value of variable consideration. The customer’s ability and intent to pay the transaction price is assessed in determining whether a contract exists with the customer. If collectability of substantially all the consideration in a contract is not probable, consideration received is not recognized as revenue unless the consideration is nonrefundable, and we no longer have an obligation to transfer additional goods or services to the customer or collectability becomes probable. Disaggregation of Revenue The following tables present our revenue from contracts with customers disaggregated by segment and product type for the years ended April 30, 2019, 2018 and 2017: Years Ended April 30, 2019 2018 2017 Research Publishing Solutions Total Research Publishing Solutions Total Research Publishing Solutions Total Research: Journals Subscriptions $ 661,055 $ — $ — $ 661,055 $ 677,685 $ — $ — $ 677,685 $ 639,720 $ — $ — $ 639,720 Open Access 54,671 — — 54,671 41,997 — — 41,997 30,633 — — 30,633 Licensing, Reprints, Backfiles and Other 185,619 — — 185,619 181,806 — — 181,806 164,070 — — 164,070 Publishing Technology Services (Atypon) 35,968 — — 35,968 32,907 — — 32,907 19,066 — — 19,066 Publishing: STM and Professional Publishing — 265,719 — 265,719 — 287,315 — 287,315 — 291,255 — 291,255 Education Publishing — 157,579 — 157,579 — 187,178 — 187,178 — 196,343 — 196,343 Courseware (WileyPLUS) — 63,485 — 63,485 — 59,475 — 59,475 — 62,348 — 62,348 Test Preparation and Certification — 40,606 — 40,606 — 35,534 — 35,534 — 35,609 — 35,609 Licensing, Distribution, Advertising and Other — 46,803 — 46,803 — 48,146 — 48,146 — 47,894 — 47,894 Solutions: Education Services — — 157,549 157,549 — — 119,131 119,131 — — 111,638 111,638 Professional Assessment — — 65,889 65,889 — — 61,094 61,094 — — 59,868 59,868 Corporate Learning — — 65,126 65,126 — — 63,835 63,835 — — 60,086 60,086 Total $ 937,313 $ 574,192 $ 288,564 $ 1,800,069 $ 934,395 $ 617,648 $ 244,060 $ 1,796,103 $ 853,489 $ 633,449 $ 231,592 $ 1,718,530 Description of Revenue Generating Activities We generate our revenues from sales from our three reportable segments. We report our segment information in accordance with the provisions of FASB ASC Topic 280, “Segment Reporting” (“FASB ASC Topic 280”). Our segment reporting structure consists of three reportable segments, which are listed below, and a Corporate category: ● Research, ● Publishing, and ● Solutions. Research Segment Included within the Research segment are the following revenue streams: ● Journal Subscriptions, ● Open Access, ● Licensing, Reprints, Backfiles and Other, and ● Publishing Technology Services (Atypon). Journal Subscriptions We publish approximately 1,700 academic research journals. We sell journal subscriptions directly through our sales representatives, indirectly through independent subscription agents, through promotional campaigns, and through memberships in professional societies for those journals that are sponsored by societies. Journal subscriptions are primarily licensed through contracts for digital content available online through Wiley Online Library , which we migrated to our Literatum platform, acquired as part of our purchase of Atypon Systems, Inc. ( Atypon ) in March 2018. Contracts are negotiated by us directly with customers or their subscription agents. Subscription periods typically cover calendar years. Print journals are generally mailed to subscribers directly from independent printers. We do not own or manage printing facilities. Subscription revenue is generally collected in advance. In a In journal subscriptions, multiple performance obligations exist, which include a stand-ready promise to provide access to new content for one year and a perpetual license for access to historical journal content. The transaction price consists of fixed consideration. We allocate revenue to the stand-ready promise to provide access to new content for one year based on its standalone selling price and the revenue for new content is recognized over time as we have a continuous stand-ready obligation to provide the right of access to additional intellectual property. The allocation of revenue to the perpetual licenses for access to historical journal content is done using the expected cost plus a margin approach as permitted by the new revenue standard. Revenue is recognized at the point in time when access to historical content is initially granted. Open Access Under the Author-Funded Access business model, accepted research articles are published subject to payment of Article Publication Charges (“APCs”). All Author-Funded articles are immediately free to access online. Contributors of Author-Funded Access articles retain many rights and typically license their work under terms that permit re-use. Author-Funded Access offers authors choices in how to share and disseminate their work, and it serves the needs of researchers who may be required by their research funder to make articles freely accessible without embargo. APCs are typically paid by the individual author or by the author’s funder, and payments are often mediated by the author’s institution. We provide specific workflows and infrastructure to authors, funders and institutions to support the requirements of the Author-Funded Access model. Customers in open access are typically individual educational institutions or a consortium of universities. Under the Author-Funded Access model, we have a signed contract with the customer that contains enforceable rights. The Author-Funded Access model in a typical model includes an over-time single performance obligation that combines a promise to host the customer’s content on our open access platform, and a promise to provide a discount on APCs of eligible users (as defined in the contract) in exchange for an upfront payment. Enforceable right to payment occurs over time as we fulfill our obligation to provide a discount to eligible users, as defined, on future APCs. Therefore, the upfront payment is deferred and recognized over time. In January 2019, Wiley announced a new contractual arrangement in support of Open Access, a countrywide partnership agreement with Projekt DEAL, a representative of nearly 700 academic institutions in Germany. This transformative three-year agreement provides all Projekt DEAL institutions with access to read Wiley’s academic journals back to the year 1997, and researchers at Projekt DEAL institutions can publish articles open access in Wiley’s journals. The partnership will better support institutions and researchers in advancing open science, driving discovery, and developing and disseminating knowledge. We are compensated primarily through a fee per article published. Licensing, Reprints, Backfiles and Other Licensing, Reprints, Backfiles, and Other includes advertising, backfile sales, the licensing of publishing rights, journal and article reprints, and individual article sales. A backfile license provides access to a historical collection of Wiley journals, generally for a one-time fee. Within Licensing, the revenue derived from these contracts is primarily comprised of advance payments, including minimum guarantees and sales- or usage-based royalty agreements. For our sales-or usage-based royalty agreements, we recognize revenue in the period of usage based on the amounts earned. We record revenue under these arrangements for the amounts due and not yet reported to us based on estimates of the sales or usage of these customers and pursuant to the terms of the contracts. We also have certain licenses whereby we receive a non-refundable minimum guarantee against a volume-based royalty throughout the term of the agreement. We recognize revenue for the minimum guarantee on a straight-line basis over the term of the agreement because of the stand-ready promise to provide updates during the subscription period. We recognize volume-based royalty income only when cumulative consideration exceeds the minimum guarantee. Reprints contracts generally contain a single performance obligation which is the delivery of printed articles. Revenue is recognized at the time of delivery of the printed articles. For Backfiles, the performance obligation is the granting of a functional intellectual property license. Revenue is recognized at the time the functional intellectual property license is granted. Other includes our Article Select offering, whereby we have a single performance obligation to our customers to give access to an article through the purchase of a token. The customer redeems the token for access to the article for a 24-hour period. The customer purchases the tokens with an upfront cash payment. Revenue is recognized when access to the article is provided. Publishing Technology Services (Atypon) Atypon is a publishing software and service provider that enables scholarly and professional societies and publishers to deliver, host, enhance, market, and manage their content on the web through the Literatum Publishing Segment Included within the Publishing segment are the following revenue streams: ● STM (Scientific, Technical and Medical) and Professional Publishing, ● Education Publishing, ● Courseware (WileyPLUS), ● Test Preparation and Certification, and ● Licensing, Distribution, Advertising and Other. STM (Scientific, Technical and Medical) and Professional Publishing and Education Publishing STM books are sold and distributed globally in digital and print formats through multiple channels, including research libraries and library consortia, independent subscription agents, direct sales to professional society members, bookstores, online booksellers, and other customers. Professional books, which include business and finance, technology, and other professional categories, as well as the For Dummies Education textbooks and related supplementary material and digital products are sold primarily to bookstores and online booksellers serving both for-profit and nonprofit educational institutions (primarily colleges and universities), and direct-to-students. We employ sales representatives who call on faculty responsible for selecting books to be used in courses, and on the bookstores that serve such institutions and their students. The textbook business is seasonal, with the majority of textbook sales occurring during the July-through-October and December-through-January periods. Book sales for STM, Professional and Education Publishing are generally made on a returnable basis with certain restrictions. Our performance obligations as it relates to STM, Professional and Education Publishing are primarily book products delivered in both print and digital form which could include a single or multiple performance obligations based on the number of International Standard Book Number (“ISBN’s”) purchased. This revenue stream also includes variable consideration as it relates to discounts and returns for both print and digital books. Discounts are identifiable by performance obligation and therefore are applied at the point of sale by performance obligation. The process that we use to determine our sales returns and the related reserve provision charged against revenue is based on applying an estimated return rate to current year returnable print book sales. This rate is based upon an analysis of actual historical return experience in the various markets and geographic regions in which we do business. We collect, maintain and analyze significant amounts of sales returns data for large volumes of homogeneous transactions. This allows us to make reasonable estimates of the amount of future returns. All available data is utilized to identify the returns by market and to which fiscal year the sales returns apply. This enables management to track the returns in detail and identify and react to trends occurring in the marketplace, with the objective of being able to make the most informed judgments possible in setting reserve rates. Associated with the estimated sales return reserves, we also include a related reduction in inventory and royalty costs as a result of the expected returns. As it relates to print and digital books within the STM, Professional and Education Publishing, revenue is recognized at the point when control of product transfers, which for print is upon shipment or for digital when fulfillment of the products has been rendered. Courseware (WileyPLUS) We offer high-quality online learning solutions, including WileyPLUS, a research-based, online environment for effective teaching and learning that is integrated with a complete digital textbook. Courseware customers purchase access codes to utilize the product. This could include a single or multiple performance obligations based on the number of course ISBN’s purchased. Revenue is recognized when the access codes are activated and then over the applicable semester term such product relates to. Test Preparation and Certification The Test Preparation and Certification business represents learning solutions, training activities and print and digital formats that are delivered to customers directly through online digital delivery platforms, bookstores, online booksellers, and other customers. Products include CPAExcel, a modular, digital platform comprised of online self-study, videos, mobile apps, and sophisticated planning tools to help professionals prepare for the CPA exam, and test preparation products for the CFA®, CMA, CIA®, CMT®, FRN®, FINRA, Banking, and PMP® exams. Test Preparation and Certification contracts are generally three-year agreements. This revenue stream includes multiple performance obligations as it relates to the on-line and printed course materials, including such items as text books, e-books, video lectures, flashcards, study guides and test banks. The transaction price is fixed; however, discounts are offered and returns of certain products are allowed. We allocate revenue to each performance obligation based on its standalone selling price. Depending on the performance obligation, revenue is recognized at the time the product is delivered and control has passed to the customer or over time due to our stand-ready obligation to provide updates to the customer. Licensing, Distribution, Advertising and Other Licensing and distribution services are made available to other publishers under agency arrangements. We also engage in co-publishing titles with international publishers and receive licensing revenue from photocopies, reproductions, translations, and digital uses of our content. Wiley also realizes advertising revenue from branded Web sites (e.g., Dummies.com, etc.) and online applications. Licensing, Distribution, Advertising and Other contracts are generally multi-year agreements. Revenue derived from our licensing contracts is primarily comprised of advance payments and sales- or usage-based royalties. Revenue for advance payments is recognized at the point in time that the functional intellectual property license is granted. For sales- or usage- based royalties, we record revenue under these arrangements for the amounts due and not yet reported to us based on estimates of the sales or usage of these customers and pursuant to the terms of the contracts. Solutions Segment Included within the Solutions segment are the following revenue streams: ● Education Services, ● Professional Assessment, and ● Corporate Learning. Education Services As student demand for online degree and certificate programs continues to increase, traditional institutions are partnering with o nline program management Education Services includes a single performance obligation for the services provided because of the integrated technology and services our institutional clients need to attract, enroll, educate and support students. Consideration is variable since it is based on the number of students enrolled in a program. We begin to recognize revenue at the start of the delivery of the class within a semester, which is also when the variable consideration contingency is resolved. Professional Assessment Our Professional Assessment services include pre-hire screening and post-hire personality assessments, which are delivered to business customers through online digital delivery platforms, either directly or through an authorized distributor network of independent consultants, trainers, and coaches. Professional Assessment services contracts are generally one year. Professional Assessment includes a performance obligation to stand ready to provide assessments to our distributor’s customers or to provide assessments direct to a customer. Revenue for Professional Assessments is recognized at the time the product or service is provided or delivered. Consideration is allocated to assessments based on standalone selling prices. In addition, as it relates to Professional Assessments customers' unexercised rights for situations where we have received a nonrefundable payment for a customer to receive a good or service and the customer is not expected to exercise such right, we will recognize such “breakage” amounts as revenue in proportion to the pattern of rights exercised by the customer. Corporate Learning The Corporate Learning business offers online learning and training solutions for global corporations, universities, and small and medium-sized enterprises, which are sold on a subscription or fee basis. Learning formats and modules on topics such as leadership development, value creation, client orientation, change management and corporate strategy are delivered on a cloud-based Learning Management System (“LMS”) platform that hosts over 20,000 content assets (videos, digital learning modules, written files, etc.) in 17 languages. Its Mohive offering also provides a collaborative e-learning publishing and program creation system. Revenue growth is derived from legacy markets, such as France, England, and other European markets, and newer markets, such as the U.S. and Brazil. In addition, content and LMS offerings are continuously refreshed and expanded to serve a wider variety of customer needs. The transaction price consists of fixed consideration that is determined at the beginning of each year and received at the same time. Within Corporate Learning there are multiple performance obligations which includes the licenses to learning content and the learning application. Revenue is recognized over time as we have a continuous obligation to provide the right of access to the intellectual property which includes the licenses and learning applications. Accounts Receivable, net and Contract Liability (Deferred Revenue) Balances When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded. Contract liabilities are recognized as revenue when, or as, control of the products or services are transferred to the customer and all revenue recognition criteria have been met. The following table provides information about receivables and contract liabilities from contracts with customers. April 30, 2019 April 30, 2018 (1) Increase/ (Decrease) Balances from contracts with customers: Accounts receivable, net (2) $ 294,867 $ 212,377 $ 82,490 Contract liability (Deferred revenue) (2) 507,365 486,353 21,012 Contract liability (Deferred revenue) (included in Other Long-Term Liabilities) $ 10,722 $ — $ 10,722 (1) (2) $28.3 million. Revenue recognized for the year ended April 30, 2019 relating to the contract liability at April 30, 2018 after the adjustments for the adoption of the new revenue standard on May 1, 2018 was $530.4 million. Remaining Performance Obligations included in Contract Liability (Deferred Revenue) As of April 30, 2019, the aggregate amount of the transaction price allocated to the remaining performance obligations is approximately $518.1 million, which included the sales return reserve of $25.9 million. Excluding the sales return reserve, we expect that approximately $481.5 million will be recognized in the next twelve months with the remaining $10.7 million to be recognized thereafter. Assets Recognized for the Costs to Fulfill a Contract Costs to fulfill a contract are directly related to a contract that will be used to satisfy a performance obligation in the future and are expected to be recovered. These types of costs are incurred in the following revenue streams, (1) Publishing Technology Services (Atypon) and (2) Education Services. Our assets associated with incremental costs to fulfill a contract were $8.9 million at April 30, 2019 and are included within Other Non-Current Assets on our Consolidated Statements of Financial Position. We recorded amortization expense of $2.6 million during the year ended April 30, 2019 related to these assets within Cost of Sales on the Consolidated Statements of Income. The costs related to Education Services were previously included in Product Development Assets on our Consolidated Statements of Financial Position. Certain costs related to Publishing Technology Services (Atypon) were previously included in Sales and value-added taxes are excluded from revenues. Shipping and handling costs, which are primarily incurred within the Publishing segment, occur before the transfer of control of the related goods. Therefore, in accordance with the new revenue standard, it is not considered a promised service to the customer and would be considered a cost to fulfill our promise to transfer the goods. Costs incurred for third party shipping and handling are primarily reflected in Operating and Administrative Expenses on the Consolidated Statements of Income. We incurred $32.7 million, $33.7 million, and $39.1 million in shipping and handling costs in the years ended April 30, 2019, 2018 and 2017 respectively. |
Acquisitions
Acquisitions | 12 Months Ended |
Apr. 30, 2019 | |
Acquisition [Abstract] | |
Acquisitions | The Learning House, Inc. On November 1, 2018, we completed the acquisition of 100% of the outstanding stock of The Learning House, Inc. (“Learning House”) a diversified education services provider. Headquartered in Louisville, KY, Learning House provides online program management services including graduate and undergraduate programs; short courses, boot camps, and other skills training and credentialing for students and professionals; pathway services for international students ; The fair value of the consideration transferred was approximately $201.3 million which included $200.7 million of cash and $0.6 million of warrants, inclusive of purchase price adjustments which were finalized in the fourth quarter of fiscal year 2019. We financed the payment of the cash consideration through borrowings under our revolving credit agreement ("RCA"). The warrants were classified as equity and allow the holder to purchase 400,000 shares of our Class A Common Stock at an exercise price of $90.00, subject to adjustments. The term of the warrants is three years, expiring on November 1, 2021. The fair value of the warrants was determined using the Black-Scholes option pricing model. The fair value of the cash consideration transferred, net of $10.3 million of cash acquired was approximately $190.4 million. The transaction was accounted for using the acquisition method of accounting. We recorded the preliminary fair value of the assets acquired and liabilities assumed on the acquisition date, all of which are included in the Solutions segment. None of the goodwill will be deductible for tax purposes. The allocation of the consideration transferred to the assets acquired and the liabilities assumed is preliminary and could be revised as a result of additional information obtained due to the finalization of the third-party valuation report, tax related matters and contingencies, but such amounts will be finalized within the measurement period, which will not exceed one year from the acquisition date. The following table summarizes the consideration transferred to acquire Learning House and the preliminary allocation of the purchase price among the assets acquired and the liabilities assumed. Preliminary Allocation as of April 30, 2019 Total consideration transferred $ 201,274 Assets: Current Assets Cash and cash equivalents 10,293 Accounts receivable, net 8,621 Prepaid expenses and other current assets 1,439 Total Current Assets 20,353 Technology, Property and Equipment, net 343 Intangible Assets, net 109,548 Goodwill 110,805 Other Non-Current Assets 5,025 Total Assets $ 246,074 Liabilities: Current Liabilities Accounts payable 1,542 Contract liability (Deferred revenue) 959 Accrued employment costs 4,925 Other accrued liabilities 9,422 Total Current Liabilities 16,848 Deferred Income Tax Liabilities 26,769 Other Long-Term Liabilities 1,184 Total Liabilities $ 44,801 The following table summarizes the identifiable intangible assets acquired and their weighted-average useful life at the date of acquisition. Estimated Fair Value Weighted-Average Useful Life (in Years) Customer Relationships $ 103,850 15 Course Content 5,698 4 Total $ 109,548 Learning House’s revenue and operating loss included in our Solutions segment results for the year ended April 30, 2019 was $31.5 million and $8.0 million, respectively. Pro forma financial information related to this acquisition has not been provided as it is not material to our consolidated results of operations. Atypon Systems, Inc. On September 30, 2016, we acquired the net assets of Atypon, a Silicon Valley-based publishing-software company, for approximately $121 million in cash, net of cash acquired. We finalized our purchase accounting for Atypon on July 31, 2017, and there were no material changes in the purchase accounting allocation compared to April 30, 2017. We recorded the fair value of the assets acquired and liabilities assumed on the acquisition date, which included $48 million of intangible assets. Goodwill of $70 million was recorded, which is deductible for tax purposes. Atypon's revenue included in our Research segment results for the years ended April 30, 2019, 2018 and 2017 were $36.0 million, $32.9 million and $19.1 million, respectively. Atypon's operating loss included in our Research segment results for the years ended April 30, 2019, 2018 and 2017 were $3.9 million, $2.7 million and $3.5 million, respectively. |
Reconciliation of Weighted Aver
Reconciliation of Weighted Average Shares Outstanding | 12 Months Ended |
Apr. 30, 2019 | |
Reconciliation of Weighted Average Shares Outstanding [Abstract] | |
Reconciliation of Weighted Average Shares Outstanding | A reconciliation of the shares used in the computation of earnings per share for the years ended April 30 follows: 2019 2018 2017 Weighted average shares outstanding 57,240 57,181 57,531 Less: Unvested restricted shares (48) (138) (194) Shares used for basic earnings per share 57,192 57,043 57,337 Dilutive effect of stock options and other stock awards 648 845 862 Shares used for diluted earnings per share 57,840 57,888 58,199 Since their inclusion in the calculation of diluted earnings per share would have been anti-dilutive, options to purchase 260,984, 244,590 and 301,527 shares of Class A Common Stock have been excluded for the years ended April 30, 2019, 2018 and 2017, respectively. In addition, there were no restricted shares excluded for the year ended April 30, 2019. For the years ended April 30, 2018 and 2017, restricted shares of 26,740 and none, respectively, have been excluded as their inclusion would have been anti-dilutive. Warrants 2019 2018 and 2017 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Apr. 30, 2019 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | Changes in Accumulated Other Comprehensive Loss by component, net of tax, for the years ended April 30, 2019, 2018, and 2017 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total Balance at April 30, 2016 $ (267,920 ) $ (179,405 ) $ (361 ) $ (447,686 ) Other comprehensive (loss) income before reclassifications (51,292 ) (18,458 ) 2,735 (67,015 ) Amounts reclassified from Accumulated Other Comprehensive Loss — 7,361 53 7,414 Total other comprehensive (loss) income (51,292 ) (11,097 ) 2,788 (59,601 ) Balance at April 30, 2017 $ (319,212 ) $ (190,502 ) $ 2,427 $ (507,287 ) Other comprehensive income (loss) before reclassifications 67,639 (4,979 ) 1,739 64,399 Amounts reclassified from Accumulated Other Comprehensive Loss — 4,455 (1,147 ) 3,308 Total other comprehensive income (loss) 67,639 (524 ) 592 67,707 Balance at April 30, 2018 $ (251,573 ) $ (191,026 ) $ 3,019 $ (439,580 ) Other comprehensive (loss) income before reclassifications (60,534 ) (9,422 ) 1,121 (68,835 ) Amounts reclassified from Accumulated Other Comprehensive Loss — 4,391 (4,714 ) (323 ) Total other comprehensive loss (60,534 ) (5,031 ) (3,593 ) (69,158 ) Balance at April 30, 2019 $ (312,107 ) $ (196,057 ) $ (574 ) $ (508,738 ) For the years ended April 30, 2019 and 2018, pre-tax actuarial losses included in Unamortized Retirement Costs of approximately $5.5 million and $5.9 million, respectively, were amortized from Accumulated Other Comprehensive Loss and recognized as pension expense in Operating and Administrative Expenses and Interest and Other Income (Expense) on the Consolidated Statements of Income. |
Restructuring and Related Charg
Restructuring and Related Charges | 12 Months Ended |
Apr. 30, 2019 | |
Restructuring and Related Charges [Abstract] | |
Restructuring and Related Charges | In the years ended April 30, 2019, 2018 and 2017, we recorded pre-tax restructuring and related charges of $3.1 million, $28.6 million, and $13.4 million, respectively, which are reflected in the Restructuring and Related Charges line item on the Consolidated Statements of Income and described in more detail below: Restructuring and Reinvestment Program: Beginning in the year ended April 30, 2013, we initiated a global program (the “Restructuring and Reinvestment Program”) to restructure and realign our cost base with current and anticipated future market conditions. We are targeting a majority of the expected cost savings achieved to improve margins and earnings, while the remainder will be reinvested in high-growth digital business opportunities. The following tables summarize the pre-tax restructuring charges related to this program: 2019 2018 2017 Total Charges Incurred to Date Charges by Segment: Research $ 1,131 $ 5,257 $ 1,949 $ 26,544 Publishing 650 6,443 1,596 39,581 Solutions 878 3,695 1,787 7,125 Corporate Expenses 459 13,171 8,023 96,378 Total Restructuring and Related Charges $ 3,118 $ 28,566 $ 13,355 $ 169,628 Charges (Credits) by Activity: Severance $ 1,456 $ 27,213 $ 8,386 $ 116,259 Consulting and Contract Termination Costs 526 1,815 148 21,155 Other Activities 1,136 (462 ) 4,821 32,214 Total Restructuring and Related Charges $ 3,118 $ 28,566 $ 13,355 $ 169,628 Other Act Other Activities for the year ended April 30, 2017 reflect facility relocation and lease impairment related costs. The following table summarizes the activity for the Restructuring and Reinvestment Program liability for the year ended April 30, 2019: April 30, 2018 Charges Payments Foreign Translation & Other Adjustments April 30, 2019 Severance $ 17,279 $ 1,456 $ (13,388 ) $ (460 ) $ 4,887 Consulting and Contract Termination Costs — 526 (223 ) — 303 Other Activities 2,772 1,136 (1,608 ) 244 2,544 Total $ 20,051 $ 3,118 $ (15,219 ) $ (216 ) $ 7,734 The charges above are net of changes in estimates for previously accrued restructuring charges. The restructuring liability for accrued severance costs of $4.9 million is reflected in Accrued Employment Costs on the Consolidated Statements of Financial Position. The liability for Consulting and Contract Termination Costs is reflected in Other Accrued Liabilities. Approximately $1.1 million and $1.4 million of the Other Activities are included in Other Accrued Liabilities and Other Long-Term Liabilities, respectively on the Consolidated Statements of Financial Position, and mainly relate to facility relocation and lease impairment related costs. We currently do not anticipate any further material charges related to the Restructuring and Reinvestment Program. The amount included in Other Long-Term Liabilities that relates to Other Activities is expected to be paid starting in 2021 until 2022. |
Inventories
Inventories | 12 Months Ended |
Apr. 30, 2019 | |
Inventories [Abstract] | |
Inventories | Inventories, net at April 30 were as follows: 2019 2018 Finished Goods $ 33,736 $ 36,503 Work-in-Process 2,094 2,139 Paper and Other Materials 373 550 36,203 39,192 Inventory Value of Estimated Sales Returns 3,739 4,626 LIFO Reserve (4,360 ) (4,329 ) Total Inventories $ 35,582 $ 39,489 See Note 2, “Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards,” under the caption “Sales Return Reserves,” for a discussion of the Inventory Value of Estimated Sales Returns. Finished Goods are net of a reserve for inventory obsolescence of $15.8 million and $18.2 million as of April 30, 2019 and 2018, respectively. |
Product Development Assets
Product Development Assets | 12 Months Ended |
Apr. 30, 2019 | |
Product Development Assets [Abstract] | |
Product Development Assets | Product development assets consisted of the following at April 30: 2019 2018 Book Composition Costs $ 19,197 $ 24,887 Software Costs 38,048 52,078 Content Development Costs 5,225 1,849 Total $ 62,470 $ 78,814 Product development assets include $4.3 million and $4.1 million of work-in-process as of April 30, 2019 and 2018, respectively, mainly for book composition costs. Product development assets are net of accumulated amortization of $236.5 million and $238.1 million as of April 30, 2019 and 2018, respectively. |
Technology, Property and Equipm
Technology, Property and Equipment | 12 Months Ended |
Apr. 30, 2019 | |
Technology, Property and Equipment [Abstract] | |
Technology, Property and Equipment | Technology, property and equipment, net consisted of the following at April 30: 2019 2018 Capitalized Software $ 440,437 $ 390,774 Computer Hardware 68,718 57,493 Buildings and Leasehold Improvements 118,685 121,381 Furniture, Fixtures, and Warehouse Equipment 57,471 60,869 Land and Land Improvements 3,390 3,678 688,701 634,195 Accumulated Depreciation and Amortization (399,680 ) (344,261 ) Total $ 289,021 $ 289,934 The following table details our depreciation and amortization expense for technology, property and equipment, net for the years ended April 30: 2019 2018 2017 Capitalized Software Amortization Expense $ 50,095 $ 45,449 $ 48,343 Depreciation and Amortization Expense, Excluding Capitalized Software 19,323 18,878 18,340 Total Depreciation and Amortization Expense for Technology, Property and Equipment $ 69,418 $ 64,327 $ 66,683 Technology, property and equipment includes $2.3 million and zero of work-in-process as of April 30, 2019 and 2018, respectively, mainly for capitalized software. The net book value of capitalized software costs was $200.2 million and $198.0 million as of April 30, 2019 and 2018, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Apr. 30, 2019 | |
Goodwill and Intangible Assets [Abstract] | |
Goodwill and Intangible Assets | Goodwill The following table summarizes the activity in goodwill by segment as of April 30: 2018 (1) Acquisition (2) Foreign Translation Adjustment 2019 Research $ 463,419 $ — $ (24,908 ) $ 438,511 Publishing 283,851 — (706 ) 283,145 Solutions 272,531 110,805 (9,326 ) 374,010 Total $ 1,019,801 $ 110,805 $ (34,940 ) $ 1,095,666 (1) The April 30, 2018 goodwill balances were revised for the Publishing segment which decreased and the Solutions segment which increased to reflect foreign translation adjustments of $11.6 million. (2) Refer to Note 4, “Acquisition,” in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House on November 1, 2018. Prior to fiscal year 2019, we reviewed goodwill for impairment on a reporting unit basis annually during the third quarter of each year, using a measurement date of January 31, and whenever events or changes in circumstances indicate the carrying value of goodwill may not be recoverable. While we are permitted to conduct a qualitative assessment to determine whether it is necessary to perform a two-step quantitative goodwill impairment test, for our annual goodwill impairment test in the third quarter of 2018 and 2017 we performed a quantitative test for all of our reporting units. As discussed below, during the fourth quarter of 2018, we voluntarily changed our annual impairment assessment date from January 31 to February 1 for all of our reporting units and our indefinite-lived intangible assets. F qualitative assessment for all of our reporting units. The goodwill impairment test involves a two-step process. In step one, we compare the fair value of each of our reporting units to its carrying value, including the goodwill allocated to the reporting unit. If the fair value of the reporting unit exceeds its carrying value, there is no indication of impairment and no further testing is required. If the fair value of the reporting unit is less than the carrying value, we must perform step two of the impairment test to measure the amount of impairment loss, if any. In step two, the reporting unit’s fair value is allocated to all of the assets and liabilities of the reporting unit, including any unrecognized intangible assets, in a hypothetical analysis that calculates the implied fair value of goodwill in the same manner as if the reporting unit was being acquired in a business combination. If the implied fair value of the reporting unit’s goodwill is less than the carrying value, the difference is recorded as an impairment loss. 2019 Annual Impairment Test as of February 1, 2019 During the fourth quarter of 2019, we completed step one of our annual goodwill impairment test for our reporting units. We concluded that the fair values of these reporting units were above their carrying values and, therefore, there was no indication of impairment. We estimated the fair value of these reporting units using a weighting of fair values derived from an income and a market approach. Under the income approach, we determined the fair value of a reporting unit based on the present value of estimated future cash flows. Cash flow projections are based on management’s estimates of revenue growth rates and operating margins, taking into consideration industry and market conditions. The discount rate used is based on a weighted average cost of capital adjusted for the relevant risk associated with the characteristics of the business and the projected cash flows. The market approach estimates fair value based on market multiples of current and forward 12-month operating performance results, as applicable, derived from comparable publicly traded companies with similar operating and investment characteristics as the reporting unit. As noted above, the fair value determined under step one of the goodwill impairment test completed in the fourth quarter of 2019 exceeded the carrying value for each reporting unit. Therefore, there was no impairment of goodwill. However, if the fair value decreases in future periods, we may fail step one of the goodwill impairment test and be required to perform step two. In performing step two, the fair value would have to be allocated to all of the assets and liabilities of the reporting unit. Therefore, any potential goodwill impairment charge would be dependent upon the estimated fair value of the reporting unit at that time and the outcome of step two of the impairment test. The fair values of the assets and liabilities of the reporting unit, including the intangible assets, could vary depending on various factors. The future occurrence of a potential indicator of impairment, such as a decrease in expected net earnings, adverse equity market conditions, a decline in current market multiples, a decline in our common stock price, a significant adverse change in legal factors or business climates, an adverse action or assessment by a regulator, unanticipated competition, strategic decisions made in response to economic or competitive conditions, or a more-likely-than-not expectation that a reporting unit or a significant portion of a reporting unit will be sold or disposed of, could require an interim assessment for some or all of the reporting units before the next required annual assessment. We also review our indefinite-lived intangible assets for impairment annually, which consists of brands and trademarks and certain acquired publishing rights. During the fourth quarter of 2019, we completed our annual impairment test related to the indefinite lived intangible assets. We concluded that the fair values of these indefinite-lived intangible assets were above their carrying values and, therefore, there was no indication of impairment. We also concluded that one of our indefinite-lived trademarks had an Change in Annual Impairment Assessment Date During the fourth quarter of 2018, we voluntarily changed our annual impairment assessment date from January 31 to February 1 for all of our reporting units and our indefinite-lived intangible assets. This change was made to improve alignment of impairment testing procedures with year-end financial reporting, our annual business planning and budgeting process and the multi-year strategic forecast, which begins in the fourth quarter of each year. As a result, the goodwill and indefinite-lived intangible asset impairment testing will reflect the result of inputs from each of the businesses in the development of the budget and forecast process, including the impact of seasonality of our financial results. Accordingly, management considers this accounting change preferable. This change does not accelerate, delay, avoid, or cause an impairment charge, nor does this change result in adjustments to previously issued financial statements. In connection with the change in the date of the annual goodwill impairment test, we completed a qualitative assessment of the goodwill by reporting unit as of February 1, 2018 and concluded that it was more likely than not that the fair value of each of the reporting units exceeded its carrying amount. In addition, we also completed a qualitative assessment of our indefinite-lived intangible assets as of February 1, 2018 and concluded that it was more likely than not that the fair value of each of the indefinite-lived intangible assets exceeded its carrying amount. Intangibles Intangible assets, net as of April 30 were as follows: 2019 2018 Cost Accumulated Amortization Accumulated Impairment Net Cost Accumulated Amortization Accumulated Impairment Net Intangible Assets with Determinable Lives, net Content and Publishing Rights (1) $ 806,628 $ (417,456 ) $ — $ 389,172 $ 824,146 $ (387,386 ) $ — $ 436,760 Customer Relationships (1) 310,977 (65,147 ) — 245,830 212,020 (50,291 ) — 161,729 Brands and Trademarks 32,802 (19,809 ) — 12,993 32,111 (16,011 ) — 16,100 Covenants not to Compete 1,681 (1,236 ) — 445 1,499 (844 ) — 655 Total 1,152,088 (503,648 ) — 648,440 1,069,776 (454,532 ) — 615,244 Intangible Assets with Indefinite Lives Brands and Trademarks 134,509 — (3,600 ) 130,909 142,189 — (3,600 ) 138,589 Content and Publishing Rights 86,223 — — 86,223 94,238 — — 94,238 Total 220,732 — (3,600 ) 217,132 236,427 — (3,600 ) 232,827 Total Intangible Assets, Net $ 1,372,820 $ (503,648 ) $ (3,600 ) $ 865,572 $ 1,306,203 $ (454,532 ) $ (3,600 ) $ 848,071 (1) Based on the current amount of intangible assets subject to amortization and assuming current foreign exchange rates, the estimated amortization expense for the following years are as follows: Fiscal Year Amount 2020 $ 50,419 2021 48,517 2022 44,115 2023 40,305 2024 37,929 Thereafter 427,155 Total $ 648,440 In conjunction with a business review performed in the Publishing segment associated with the restructuring activities in the first quarter of the year ended April 30, 2018, we identified an indefinite-lived brand with forecasted cash flows that did not exceed its carrying value. As a result, an impairment charge of $3.6 million was recorded in the first quarter of the year ended April 30, 2018 to reduce the carrying value of the brand to its fair value of $1.2 million, which will now be amortized over an estimated useful life of 5 years. This impairment charge was included in Operating and Administrative Expenses on the Consolidated Statements of Income. |
Income Taxes
Income Taxes | 12 Months Ended |
Apr. 30, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | The provisions for income taxes for the years ended April 30 were as follows: 2019 2018 2017 Current Provision U.S. – Federal $ 2,384 $ (2,216 ) $ 912 International 52,518 46,112 105,228 State and Local 2,536 961 100 Total Current Provision $ 57,438 $ 44,857 $ 106,240 Deferred Provision (Benefit) U.S. – Federal $ 335 $ (26,062 ) $ (13,852 ) International (7,630 ) 2,420 (15,330 ) State and Local (5,454 ) 530 415 Total Deferred (Benefit) Provision $ (12,749 ) $ (23,112 ) $ (28,767 ) Total Provision $ 44,689 $ 21,745 $ 77,473 International and United States pretax income for the years ended April 30 were as follows: 2019 2018 2017 International $ 204,326 $ 219,178 $ 192,910 United States 8,626 (5,247 ) (1,794 ) Total $ 212,952 $ 213,931 $ 191,116 Our effective income tax rate as a percentage of pretax income differed from the U.S. federal statutory rate as shown below: 2019 2018 2017 U.S. Federal Statutory Rate 21.0% 30.4% 35.0% German Tax Litigation Expense — — 25.7 Cost (Benefit) of Higher (Lower) Taxes on Non-U.S. Income 0.9 (8.4) (12.7) State Income Taxes, net of U.S. Federal Tax Benefit (1.3) 0.4 0.1 Deferred Tax (Benefit) from U.S. Tax Reform Rate Change 0.1 (11.7) — Deferred Tax Benefit from U.K. Statutory Tax Rate Change — — (1.3) Tax Credits and Related Benefits (0.8) (1.7) (6.2) Tax Adjustments and Other 1.1 1.2 (0.1) Effective Income Tax Rate 21.0% 10.2% 40.5% A substantial portion of our 2019 income was earned outside the U.S. in jurisdictions with different statutory income tax rates than our U.S. statutory rate including: U.K. (57%), Germany (24%), and Australia (7%). On December 22, 2017, the U.S. government enacted comprehensive Federal tax legislation originally known as the Tax Cuts and Jobs Act of 2017 (the “Tax Act”). In December 2017, the SEC staff issued Staff Accounting Bulletin No. 118, Income Tax Accounting Implications of the Tax Cuts and Jobs Act (“SAB 118”), which allowed us to record provisional amounts related to the effect of the Tax Act during a measurement period not to extend beyond one year of the enactment date. We completed our analysis during the year ended April 30, 2019 within the measurement period in accordance with SAB 118. The effective tax rate for the year ended April 30, 2019 was greater than the year ended April 30, 2018 due to the net deferred tax benefit from the Tax Act in the year ended April 30, 2018. Excluding the effect of the Tax Act, the rate was 21.9% for the year ended April 30, 2018, compared to 21.0% for the year ended April 30, 2019. The effective tax rate was equal to the U.S. statutory rate for the year ended April 30, 2019. The increase from higher taxes on non-U.S. income and various other items was offset by a state tax benefit from more favorable apportionment factors which reduced our deferred tax liabilities, net of federal benefit. German Tax Litigation Expense: Deferred Tax Benefit from U.K. Statutory Tax Rate Change: Tax Adjustments and Other: The Tax Act On December 22, 2017, the U.S. government enacted comprehensive tax legislation. The Tax Act significantly revised the U.S. corporate income tax system by, among other changes, the following: • lowering the U.S. federal corporate income tax rate to 21% with a potentially lower rate for certain foreign derived income; • accelerating deductions for certain business assets; • establishing a dividend received deduction, generally eliminating federal income taxes on cash repatriation from foreign subsidiaries; • requiring companies to pay a one-time transition tax on post-1986 unrepatriated cumulative non-U.S. earnings and profits (“E&P”) of foreign subsidiaries; • eliminating certain deductions such as the domestic production deduction; • establishing limitations on the deductibility of certain expenses including interest and executive compensation; and • creating new taxes on certain foreign earnings. Deferred tax balances – In the year ended April 30, 2018 we remeasured our U.S. deferred tax assets and liabilities based on the federal rate at which they are expected to reverse in the future, generally 21% for reversals anticipated to occur after April 30, 2019. In the prior period, the provisional amount recorded related to the re-measurement of our net deferred tax liability was an estimated net benefit of $25.0 million. During the year ended April 30, 2019, in accordance with SAB 118, we completed the analysis and recorded a minimal $0.2 million expense. Foreign tax effects – In connection with the transition from a global tax system, the Tax Act established a mandatory deemed repatriation tax. The tax was computed using our post-1986 E&P that was previously deferred from U.S. income taxes. The tax was based on the amount of foreign earnings held in cash equivalents and certain net assets, which were taxed at 15.5%, and those held in other assets, which were taxed at 8.0%. In accordance with the Tax Act including certain rules applicable to non-calendar year taxpayers, we recorded a provisional amount of $14.2 million in the year ended April 30, 2018. Since April 30, 2018, we no longer assert that we intend to permanently reinvest earnings outside the U.S. The Tax Act reduced the Federal statutory tax rate from 35% to 21% effective January 1, 2018. As a result, our U.S. federal statutory tax rate was 21.0% for the year ended April 30, 2019 and a blended rate of 30.4% for the year ended April 30, 2018. The Tax Act created new taxes, effective for us on May 1, 2018, including a provision designed to tax global low taxed income (“GILTI”) and a provision establishing new minimum taxes, such as the base erosion anti-abuse tax (“BEAT”). We have evaluated these provisions and determined there is no material impact to our effective tax rate. The Tax Act also created a new benefit, effective for us on May 1, 2018, for Foreign Derived Intangible Income (“FDII”), providing a deduction intended to result in a reduced federal income tax rate of approximately 13.125% on certain foreign derived eligible income. For the year ended April 30, 2019, we recorded a tax benefit of $1.2 million. Accounting for Uncertainty in Income Taxes: As of April 30, 2019 and April 30, 2018, the total amount of unrecognized tax benefits were $7.7 million and $6.8 million, respectively, of which $0.7 million and $0.6 million represented accruals for interest and penalties recorded as additional tax expense in accordance with our accounting policy. Within the income tax provision for the years ended April 30, 2019 and 2018, we recorded net interest expense on reserves for unrecognized and recognized tax benefits of $0.3 million and $0.2 million, respectively. As of April 30, 2019, and April 30, 2018, the total amounts of unrecognized tax benefits that would reduce our income tax provision, if recognized, were approximately $7.7 million and $6.8 million, respectively. We do not expect any significant changes to the unrecognized tax benefits within the next twelve months. A reconciliation of the unrecognized tax benefits included within the Other Long-Term Liabilities line item on the Consolidated Statements of Financial Position follows: 2019 2018 Balance at May 1 $ 6,833 $ 6,124 Additions for Current Year Tax Positions 1,473 1,372 Additions for Prior Year Tax Positions 414 69 Reductions for Prior Year Tax Positions (578 ) (38 ) Foreign Translation Adjustment (42 ) 45 Payments and Settlements (136 ) (124 ) Reductions for Lapse of Statute of Limitations (305 ) (615 ) Balance at April 30 $ 7,659 $ 6,833 Tax Audits: We file income tax returns in the U.S. and various states and non-U.S. tax jurisdictions. Our major taxing jurisdictions include the United States, the United Kingdom, and Germany. Except for one immaterial item, we are no longer subject to income tax examinations for years prior to fiscal year 2014 in the major jurisdictions in which we are subject to tax. Our last completed U.S. federal tax audit was for fiscal years 2011 through 2013, which resulted in minimal adjustments related to temporary differences. Deferred Taxes: Deferred taxes result from temporary differences in the recognition of revenue and expense for tax and financial reporting purposes. We believe that it is more likely than not that the results of future operations will generate sufficient taxable income to realize the net deferred tax assets. The significant components of deferred tax assets and liabilities at April 30 were as follows: 2019 2018 Net Operating Losses $ 14,491 $ 8,976 Reserve for Sales Returns and Doubtful Accounts 2,923 2,506 Accrued Employee Compensation 17,528 20,096 Foreign and Federal Credits 34,401 31,109 Other Accrued Expenses 6,262 4,632 Retirement and Post-Employment Benefits 40,653 39,160 Total Gross Deferred Tax Assets $ 116,258 $ 106,479 Less Valuation Allowance (21,179 ) (8,811 ) Total Deferred Tax Assets $ 95,079 $ 97,668 Prepaid Expenses and Other Current Assets $ (744 ) $ (3,203 ) Unremitted Foreign Earnings (1,985 ) (1,985 ) Intangible and Fixed Assets (226,898 ) (231,869 ) Total Deferred Tax Liabilities $ (229,627 ) $ (237,057 ) Net Deferred Tax Liabilities $ (134,548 ) $ (139,389 ) Reported As Deferred Tax Assets $ 9,227 $ 4,129 Deferred Tax Liabilities (143,775 ) (143,518 ) Net Deferred Tax Liabilities $ (134,548 ) $ (139,389 ) The decrease in net deferred tax liabilities is attributable to a foreign exchange driven decrease in our deferred tax liability primarily related to intangible and fixed assets. Our increase in deferred tax liabilities relating to our acquisition of Learning House was offset by the amortization of our deferred tax liabilities related to intangibles and fixed assets, primarily from prior acquisitions. Our increase in deferred tax assets, primarily from foreign and federal tax credits as well as net operating losses, was offset by an increase in our valuation allowance related to those assets. We have concluded that after valuation allowances, it is more likely than not that we will realize substantially all of the net deferred tax assets at April 30, 2019. In assessing the need for a valuation allowance, we take into account related deferred tax liabilities and estimated future reversals of existing temporary differences, future taxable earnings and tax planning strategies to determine which deferred tax assets are more likely than not to be realized in the future. Changes to tax laws, statutory tax rates and future taxable earnings can have an impact on our valuation allowances. A $21.2 million valuation allowance has been provided based on the uncertainty of utilizing the tax benefits related to our deferred tax assets for foreign tax credits, state, and, to a small extent, Federal net operating loss carry forwards. As of April 30, 2019, we have apportioned state net operating loss carryforwards totaling $99 million, with a tax effected value of $6 million net of federal benefits, expiring in various amounts over 1 to 20 years. On June 18, 2019, U.S. Treasury published certain proposed and temporary regulations which would, among other changes, eliminate the dividend received deduction with respect to certain income recognized by us with respect to the transition tax imposed by the Tax Act. Although we are still reviewing the regulations, if applied, such regulations would not materially impact our consolidated financial position or results of operations, as the decrease in our foreign tax credit carryforward would most likely be offset by a decrease in our valuation allowance. Since April 30, 2018, we no longer intend to permanently reinvest earnings outside the U.S. We have a $2.0 million liability related to the estimated taxes that would be incurred upon repatriating certain non-U.S. earnings. |
Debt and Available Credit Facil
Debt and Available Credit Facilities | 12 Months Ended |
Apr. 30, 2019 | |
Debt and Available Credit Facilities [Abstract] | |
Debt and Available Credit Facilities | As of April 30, 2019 and 2018, our debt of $478.8 million and $360.0 million, respectively, consisted of amounts due under our revolving credit facilities. We have a revolving credit agreement (“RCA”) with a syndicated bank group led by Bank of America. The RCA consists of a $1.1 billion five-year senior revolving credit facility payable March 1, 2021. Under the RCA, which can be drawn in multiple currencies, we have the option of borrowing at the following floating interest rates: (i) at a rate based on the London Interbank Offered Rate (“LIBOR”) plus an applicable margin ranging from 0.98% to 1.50%, depending on our consolidated leverage ratio, as defined, or (ii) for U.S. dollar-denominated loans only, at the lender’s base rate plus an applicable margin ranging from zero to 0.45%, depending on our consolidated leverage ratio. The lender’s base rate is defined as the highest of (i) the U.S. federal funds effective rate plus a 0.50% margin, (ii) the Eurocurrency rate, as defined, plus a 1.00% margin, or (iii) the Bank of America prime lending rate. In addition, we pay a facility fee ranging from 0.15% to 0.25% depending on our consolidated leverage ratio. We also have the option to request an additional credit limit increase of up to $350 million in minimum increments of $50 million, subject to the approval of the lenders. The RCA contains certain restrictive covenants related to our consolidated leverage ratio and interest coverage ratio, which we were in compliance with as of April 30, 2019 and 2018. Due to the fact that there are no principal payments due until the end of the agreement in the year ended April 30, 2021, we have classified our entire debt obligation as long-term as of April 30, 2019 and 2018. We have other lines of credit aggregating $2.7 million at various interest rates. There were no outstanding borrowings under these credit lines at April 30, 2019 and 2018. Our total available lines of credit as of April 30, 2019, were approximately $1.1 billion, of which approximately $0.6 billion was unused. The weighted average interest rates on total debt outstanding during the years ended April 30, 2019 and 2018 were 2.69% and 2.44%, respectively. As of April 30, 2019 and 2018, the weighted average interest rates for total debt were 2.88% and 2.58%, respectively. Based on estimates of interest rates currently available to us for loans with similar terms and maturities, the fair value of our debt approximates its carrying value. On May 30, 2019, we entered into a credit agreement that amended and restated our existing RCA. See Note 21, Subsequent Events, for further details. |
Derivative Instruments and Acti
Derivative Instruments and Activities | 12 Months Ended |
Apr. 30, 2019 | |
Derivative Instruments and Activities [Abstract] | |
Derivative Instruments and Activities | From time-to-time, we enter into forward exchange and interest rate swap contracts as a hedge against foreign currency asset and liability commitments, changes in interest rates, and anticipated transaction exposures, including intercompany purchases. All derivatives are recognized as assets or liabilities and measured at fair value. Derivatives that are not determined to be effective hedges are adjusted to fair value with a corresponding adjustment to earnings. We do not use financial instruments for trading or speculative purposes. Interest Rate Contracts: We had $478.8 million of variable rate loans outstanding at April 30, 2019, which approximated fair value. As of April 30, 2019 and 2018, the interest rate swap agreements we maintained were designated as fully effective cash flow hedges as defined under Accounting Standards Codification 815 “Derivatives and Hedging” ("ASC 815"). As a result, there was no impact on our Consolidated Statements of Income from changes in the fair value of the interest rate swaps, as they were fully offset by changes in the interest expense on the underlying variable rate debt instruments. Under ASC 815, derivative instruments that are designated as cash flow hedges have changes in their fair value recorded initially within Accumulated Other Comprehensive Loss on the Consolidated Statements of Financial Position. As interest expense is recognized based on the variable rate loan agreements, the corresponding deferred gain or loss on the interest rate swaps is reclassified from Accumulated Other Comprehensive Loss to Interest Expense on the Consolidated Statements of Income. It is management’s intention that the notional amount of interest rate swaps be less than the variable rate loans outstanding during the life of the derivatives. On April 4, 2016, we entered into a forward starting interest rate swap agreement, which fixed a portion of the variable interest due on a variable rate debt renewal on May 16, 2016. Under the terms of the agreement, we will pay a fixed rate of 0.92% and receive a variable rate of interest based on one-month LIBOR (as defined) from the counterparty which is reset every month for a three-year period starting May 16, 2016, ending May 15, 2019. As of April 30, 2019, the notional amount of the interest rate swap was $350.0 million. We record the fair value of our interest rate swaps on a recurring basis using Level 2 inputs of quoted prices for similar assets or liabilities in active markets. The fair value of the interest rate swaps as of April 30, 2019 and 2018, was a deferred gain of $0.5 million and $5.1 million, respectively. Based on the maturity dates of the contracts, the entire deferred gain as of April 30, 2019 was recorded within Prepaid Expenses and Other Current Assets and as of April 30, 2018, was recorded within Other Non-Current Assets. The pre-tax (gains) losses that were reclassified from Accumulated Other Comprehensive Loss to Interest Expense for the years ended April 30, 2019, 2018, and 2017 were $(4.7) million, $(1.5) million, and $1.1 million, respectively. Based on the amount in Accumulated Other Comprehensive Loss at April 30, 2019, approximately $0.2 million, net of tax, of unrecognized gains would be reclassified into net income in the next twelve months. Foreign Currency Contracts: We may enter into forward exchange contracts to manage our exposure on certain foreign currency denominated assets and liabilities. The forward exchange contracts are marked to market through Foreign Exchange Transaction (Losses) Gains on the Consolidated Statements of Income and carried at their fair value on the Consolidated Statements of Financial Position. Foreign currency denominated assets and liabilities are remeasured at spot rates in effect on the balance sheet date, with the effects of changes in spot rates reported in Foreign Exchange Transaction (Losses) Gains on the Consolidated Statements of Income. As of April 30, 2019 and 2018, we did not maintain any open forward contracts. As of April 30, 2017, here were two open forward exchange contracts with notional amounts of 31 million euros and 274 million pounds sterling to manage foreign currency exposures on intercompany loans. These contracts matured in May 2016 and February 2017, respectively. For the year ended April 30, 2017, the gains recognized on forward contracts were $59.0 million. |
Commitment and Contingencies
Commitment and Contingencies | 12 Months Ended |
Apr. 30, 2019 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | The following schedule shows the composition of net rent expense for operating leases: 2019 2018 2017 Minimum Rental $ 29,066 $ 31,451 $ 35,464 Less: Sublease Rentals (719 ) (708 ) (626 ) Total $ 28,347 $ 30,743 $ 34,838 At April 30, 2019, estimated future minimum annual rental commitments under non-cancelable real and personal property leases, were as follows: Fiscal Year Amount 2020 $ 30,887 2021 27,326 2022 23,183 2023 19,257 2024 18,576 Thereafter 129,382 Total $ 248,611 Rent expense associated with operating leases that include scheduled rent increases and tenant incentives, such as rent holidays or leasehold improvement allowances, are recorded on a straight-line basis over the term of the lease. We are involved in routine litigation in the ordinary course of our business. A provision for litigation is accrued when information available to us indicates that it is probable a liability has been incurred and the amount of loss can be reasonably estimated. Significant judgment may be required to determine both the probability and estimates of loss. When the amount of the loss can only be estimated within a range, the most likely outcome within that range is accrued. If no amount within the range is a better estimate than any other amount, the minimum amount within the range is accrued. When uncertainties exist related to the probable outcome of litigation and/or the amount or range of loss, we do not record a liability, but disclose facts related to the nature of the contingency and possible losses if management considers the information to be material. Reserves for legal defense costs are recognized when incurred. The accruals for loss contingencies and legal costs are reviewed regularly and may be adjusted to reflect updated information on the status of litigation and advice of legal counsel. In the opinion of management, the ultimate resolution of all pending litigation as of April 30, 2019, will not have a material effect upon our consolidated financial condition or results of operations. |
Retirement Plans
Retirement Plans | 12 Months Ended |
Apr. 30, 2019 | |
Retirement Plans [Abstract] | |
Retirement Plans | We have retirement plans that cover substantially all employees. The plans generally provide for employee retirement between the ages 60 and 65, and benefits based on length of service and compensation, as defined. Our Board of Directors approved plan amendments that froze the following retirement plans: • Retirement Plan for the Employees of John Wiley & Sons, Canada was frozen effective December 31, 2015; • Retirement Plan for the Employees of John Wiley & Sons, Ltd., a U.K. plan was frozen effective April 30, 2015 and; • U.S. Employees’ Retirement Plan, Supplemental Benefit Plan, and Supplemental Executive Retirement Plan, were frozen effective June 30, 2013. We maintain the Supplemental Executive Retirement Plan for certain officers and senior management which provides for the payment of supplemental retirement benefits after the termination of employment for 10 years or in a lifetime annuity. Under certain circumstances, including a change of control as defined, the payment of such amounts could be accelerated on a present value basis. Future accrued benefits to this plan have been discontinued as noted above. The components of net pension expense (income) for the defined benefit plans and the weighted average assumptions were as follows: 2019 2018 2017 U.S. Non-U.S. U.S. Non-U.S. U.S. Non-U.S. Service Cost $ — $ 912 $ — $ 960 $ — $ 967 Interest Cost 11,704 12,943 11,666 13,876 12,398 14,449 Expected Return on Plan Assets (13,472 ) (25,551 ) (13,154 ) (26,385 ) (14,053 ) (21,173 ) Net Amortization of Prior Service Cost (154 ) 57 (154 ) 57 (154 ) 54 Recognized Net Actuarial Loss 2,035 3,746 2,289 3,832 2,622 2,553 Curtailment/Settlement Loss — — - 19 8,842 — Net Pension Expense (Income) $ 113 $ (7,893 ) $ 647 $ (7,641 ) $ 9,655 $ (3,150 ) Discount Rate 4.3 % 2.6 % 4.1 % 2.6 % 4.0 % 3.5 % Rate of Compensation Increase N/A 3.0 % N/A 3.0 % N/A 3.0 % Expected Return on Plan Assets 6.8 % 6.5 % 6.8 % 6.5 % 6.8 % 6.7 % We adopted Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards We announced a voluntary, limited-time opportunity for terminated vested employees who are participants in the U.S. Employees’ Retirement Plan of John Wiley & Sons, Inc. (the “Pension Plan”) to request early payment of their entire Pension Plan benefit in the form of a single lump sum payment. Eligible participants who wished to receive the lump sum payment were required to make an election by August 29, 2016. Approximately 780 eligible participants made the election to receive the lump sum totaling $28.3 million which was paid from pension plan assets in October 2016. Settlement accounting rules were applied, which resulted in a plan remeasurement and recognition of a pro-rata portion of unamortized net actuarial loss of $8.8 million which was recorded in Operating and Administrative Expenses on the Consolidated Statements of Income in the year ended April 30, 2017. The projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for the retirement plans with accumulated benefit obligations in excess of plan assets were $794.2 million, $762.8 million and $621.9 million, respectively, as of April 30, 2019, and $820.4 million, $787.6 million, and $624.4 million, respectively, as of April 30, 2018. The Recognized Net Actuarial Loss for each fiscal year is calculated using the “corridor method,” which reflects the amortization of the net loss at the beginning of the fiscal year in excess of 10% of the greater of the market value of plan assets or the projected benefit obligation. The amortization period is based on the average expected life of plan participants. We recognize the overfunded or underfunded status of defined benefit postretirement plans, measured as the difference between the fair value of plan assets and the projected benefit obligation, on the Consolidated Statements of Financial Position. The change in the funded status of the plan is recognized in Accumulated Other Comprehensive Loss on the Consolidated Statements of Financial Position. Plan assets and obligations are measured at fair value as of our balance sheet date. The amounts in Accumulated Other Comprehensive Loss that are expected to be recognized as components of net periodic benefit cost during the next fiscal year are as follows: U.S. Non-U.S. Total Actuarial Loss $ 2,390 $ 4,091 $ 6,481 Prior Service Cost (154 ) 82 (72 ) Total $ 2,236 $ 4,173 $ 6,409 The following table sets forth the changes in and the status of our defined benefit plans’ assets and benefit obligations: 2019 2018 U.S. Non-U.S. U.S. Non-U.S. CHANGE IN PLAN ASSETS Fair Value of Plan Assets, Beginning of Year $ 204,983 $ 419,448 $ 200,001 $ 390,133 Actual Return on Plan Assets 9,705 24,891 15,352 2,780 Employer Contributions 14,753 11,872 5,020 8,385 Employee Contributions — — — — Settlements — — - (239 ) Benefits Paid (15,813 ) (16,282 ) (15,390 ) (15,909 ) Foreign Currency Rate Changes — (31,680 ) — 34,298 Fair Value, End of Year $ 213,628 $ 408,249 $ 204,983 $ 419,448 CHANGE IN PROJECTED BENEFIT OBLIGATION Benefit Obligation, Beginning of Year $ (279,644 ) $ (540,686 ) $ (290,785 ) $ (519,588 ) Service Cost — (912 ) — (960 ) Interest Cost (11,704 ) (12,943 ) (11,666 ) (13,876 ) Actuarial Gains (Losses) (9,662 ) (11,013 ) 7,417 23,528 Benefits Paid 15,813 16,282 15,390 15,909 Foreign Currency Rate Changes — 41,143 — (45,938 ) Settlements and Other — (886 ) - 239 Benefit Obligation, End of Year $ (285,197 ) $ (509,015 ) $ (279,644 ) $ (540,686 ) Underfunded Status, End of Year $ (71,569 ) $ (100,766 ) $ (74,661 ) $ (121,238 ) AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION Current Pension Liability (5,188 ) (816 ) (4,818 ) (780 ) Noncurrent Pension Liability (66,381 ) (99,950 ) (69,843 ) (120,458 ) Net Amount Recognized in Statement of Financial Position $ (71,569 ) $ (100,766 ) $ (74,661 ) $ (121,238 ) AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF Net Actuarial (Losses) $ (94,028 ) $ (177,157 ) $ (82,636 ) $ (183,316 ) Prior Service Cost Gains (Losses) 2,408 (1,154 ) 2,562 (441 ) Total Accumulated Other Comprehensive Loss $ (91,620 ) $ (178,311 ) $ (80,074 ) $ (183,757 ) Change in Accumulated Other Comprehensive Loss $ (11,546 ) $ 5,446 $ 11,749 $ (11,708 ) WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES Discount Rate 4.1 % 2.4 % 4.3 % 2.6 % Rate of Compensation Increase N/A 3.0 % N/A 3.0 % Accumulated Benefit Obligations $ (285,197 ) $ (477,561 ) $ (279,644 ) $ (507,932 ) Pension plan assets/investments: The investment guidelines for the defined benefit pension plans are established based upon an evaluation of market conditions, plan liabilities, cash requirements for benefit payments, and tolerance for risk. Investment guidelines include the use of actively and passively managed securities. The investment objective is to ensure that funds are available to meet the plans benefit obligations when they are due. The investment strategy is to invest in high quality and diversified equity and debt securities to achieve our long-term expectation. The plans’ risk management practices provide guidance to the investment managers, including guidelines for asset concentration, credit rating and liquidity. Asset allocation favors a balanced portfolio, with a global aggregated target allocation of approximately 50% equity securities and 50% fixed income securities and cash. Due to volatility in the market, the target allocation is not always desirable and asset allocations will fluctuate between acceptable ranges of plus or minus 5%. We regularly review the investment allocations and periodically rebalance investments to the target allocations. We categorize our pension assets into three levels based upon the assumptions (inputs) used to price the assets. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows: • • • We did not maintain any level 3 assets during the years ended April 30, 2019 and 2018. In accordance with ASU 2015-07, “Fair Value Measurement (“Topic 820”), certain investments that are measured at fair value using the net asset value (“NAV”) per share (or its equivalent) practical expedient do not have to be classified in the fair value hierarchy. We adopted ASU 2015-07 in the year ended April 30, 2018 and it was applied retrospectively to all periods presented. The fair value amounts presented in the following tables are intended to permit reconciliation of the fair value hierarchy to the amounts presented for the total pension benefit plan assets. The following tables set forth, by level within the fair value hierarchy, pension plan assets at their fair value as of April 30: 2019 2018 Level 1 Level 2 Total Level 1 Level 2 Total U.S. Plan Assets Investments measured at NAV: Global Equity Securities: Limited Partnership $ 109,490 $ 95,933 Fixed Income Securities: Commingled Trust Funds 104,138 100,295 Other: Real Estate Commingled Trust Fund — 8,755 Total Assets at NAV $ 213,628 $ 204,983 Non-U.S. Plan Assets Equity Securities: U.S. Equities $ — $ 39,652 $ 39,652 $ — $ 31,203 $ 31,203 Non-U.S. Equities — 117,575 117,575 — 96,387 96,387 Balanced Managed Funds — 48,550 48,550 — 91,743 91,743 Fixed Income Securities: Commingled Funds 855 199,720 200,575 — 197,804 197,804 Other: Real Estate/Other — 501 501 — 549 549 Cash and Cash Equivalents 1,396 — 1,396 1,762 — 1,762 Total Non-U.S. Plan Assets $ 2,251 $ 405,998 $ 408,249 $ 1,762 $ 417,686 $ 419,448 Total Plan Assets $ 2,251 $ 405,998 $ 621,877 $ 1,762 $ 417,686 $ 624,431 Expected employer contributions to the defined benefit pension plans in the year ended April 30, 2020 will be approximately $17.0 million, including $11.7 million of minimum amounts required for our non-U.S. plans. From time to time, we may elect to make voluntary contributions to our defined benefit plans to improve their funded status. Included in our defined benefit pension contributions for the year ended April 30, 2019 was a discretionary contribution of $10.0 million to the Benefit payments to retirees from all defined benefit plans are expected to be the following in the fiscal year indicated: Fiscal Year U.S. Non-U.S. Total 2020 $ 16,287 $ 8,868 $ 25,155 2021 14,741 9,610 24,351 2022 14,894 11,019 25,913 2023 15,259 11,433 26,692 2024 15,436 12,097 27,533 2025 – 2029 76,053 71,732 147,785 Total $ 152,670 $ 124,759 $ 277,429 We provide contributory life insurance and health care benefits, subject to certain dollar limitations, for substantially all of our eligible retired U.S. employees. The retiree health benefit is no longer available for any employee who retires after December 31, 2017. This resulted in a curtailment gain of $2.5 million which was recognized in the Operating and Administrative Expenses line item in our Consolidated Statement of Income in the year ended April 30, 2017. The cost of such benefits is expensed over the years the employee renders service and is not funded in advance. The accumulated post-retirement benefit obligation recognized on the Consolidated Statements of Financial Position as of April 30, 2019 and 2018, was $1.6 million and $1.8 million, respectively. Annual (credits) expenses for these plans for the years ended April 30, 2019, 2018, and 2017 were $(0.1) million, $(0.1) million and $(0.2) million, respectively. We have defined contribution savings plans. Our contribution is based on employee contributions and the level of our match. We may make discretionary contributions to all employees as a group. The expense recorded for these plans was approximately $13.1 million, $14.4 million, and $15.5 million in the years ended April 30, 2019, 2018, and 2017 respectively. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Apr. 30, 2019 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | All equity compensation plans have been approved by shareholders. Under the 2014 Key Employee Stock Plan, (“the Plan”), qualified employees are eligible to receive awards that may include stock options, performance-based stock awards, and other restricted stock awards. Under the Plan, a maximum number of 6.5 million shares of our Class A stock may be issued. As of April 30, 2019, there were approximately 4,355,399 securities remaining available for future issuance under the Plan. We issue treasury shares to fund awards issued under the Plan. Stock Option Activity: Under the terms of our stock option plan, the exercise price of stock options granted may not be less than 100% of the fair market value of the stock at the date of grant. Options are exercisable over a maximum period of 10 years from the date of grant. For the years ended April 30, 2015 and prior, options generally vest 50% on the fourth and fifth anniversary date after the award is granted. For the year ended April 30, 2016, options vest 25% per year on April 30. We did not grant any stock option awards in the years ended April 30, 2019, 2018 and 2017. As of April 30, 2019, all outstanding options have vested allowing the participant the right to exercise their awards. The following table provides the estimated weighted average fair value for options granted in the year ended April 30, 2016 using the Black-Scholes option-pricing model and the significant weighted average assumptions used in their determination. The expected life represents an estimate of the period of time stock options will be outstanding based on the historical exercise behavior of option recipients. The risk-free interest rate is based on the corresponding U.S. Treasury yield curve in effect at the time of the grant. The expected volatility is based on the historical volatility of our Common Stock price over the estimated life of the option, while the dividend yield is based on the expected dividend payments to be made by us. 2016 Fair Value of Options on Grant Date $ 14.77 Weighted Average assumptions: Expected Life of Options (years) 7.2 Risk-Free Interest Rate 2.1 % Expected Volatility 29.7 % Expected Dividend Yield 2.1 % Fair Value of Common Stock on Grant Date $ 55.99 A summary of the activity and status of our stock option plans follows: 2019 2018 2017 Number of Options (in 000’s) Weighted Average Exercise Price Weighted Average Remaining Term (in years) Aggregate Intrinsic Value (in millions) Number of Options (in 000’s) Weighted Average Exercise Price Number of Options (in 000’s) Weighted Average Exercise Price Outstanding at Beginning of Year 611 $ 48.88 1,429 $ 47.39 1,966 $ 46.62 Granted — $ — — $ — — $ — Exercised (229 ) $ 47.21 (788 ) $ 45.97 (469 ) $ 43.74 Expired or Forfeited (10 ) $ 56.97 (30 ) $ 54.24 (68 ) $ 49.91 Outstanding at End of Year 372 $ 49.70 2.8 $ 0.8 611 $ 48.88 1,429 $ 47.39 Exercisable at End of Year 372 $ 49.70 2.8 $ 0.8 530 $ 47.43 1,064 $ 46.04 Vested and Expected to Vest in the Future at April 30 372 $ 49.70 2.8 $ 0.8 599 $ 48.90 1,249 $ 45.88 The intrinsic value is the difference between our common stock price and the option grant price. The total intrinsic value of options exercised during the years ended April 30, 2019, 2018, and 2017 was $4.4 million, $10.4 million, and $20.5 million, respectively. The total grant date fair value of stock options vested during the years ended April 30, 2019 and 2018 was $4.8 and $13.4 million, respectively. As of April 30, 2019, there is no unrecognized share-based compensation expense related to stock options. The following table summarizes information about stock options outstanding and exercisable at April 30, 2019: Options Outstanding Options Exercisable Range of Exercise Prices Number of Options (in 000’s) Weighted Average Remaining Term (in years) Weighted Average Exercise Price Number of Options (in 000’s) Weighted Average Exercise Price $ 35.04 11 0.2 $ 35.04 11 $ 35.04 $ 39.53 to $40.02 101 2.3 $ 39.71 101 $ 39.71 $ 48.06 to $49.55 106 2.3 $ 48.69 106 $ 48.69 $ 55.99 to $59.70 154 3.6 $ 57.87 154 $ 57.87 Total/Average 372 2.8 $ 49.70 372 $ 49.70 Performance-Based and Other Restricted Stock Activity: Under the terms of our long-term incentive plans, performance-based restricted unit awards are payable in restricted shares of our Class A Common Stock upon the achievement of certain three-year financial performance-based targets. During each three-year period, we adjust compensation expense based upon our best estimate of expected performance. For the years ended April 30, 2015 and prior, restricted performance shares vest 50% on the first and second anniversary date after the award is earned. For the years ended April 30, 2016 and 2017, restricted performance shares vest 50% on June 30 following the end of the three-year performance cycle and 50% on April 30 of the following year. Beginning in the year ended April 30, 2018, restricted performance share units vest 100% on June 30 following the end of the three-year performance cycle. We may also grant individual restricted unit awards payable in restricted shares of our Class A Common Stock to key employees in connection with their employment. For the years ended April 30, 2015 and prior, the restricted shares generally vest 50% at the end of the fourth and fifth years following the date of the grant. Starting with the year ended April 30, 2016 grants, restricted shares vest ratably 25% per year. Under certain circumstances relating to a change of control or termination, as defined, the restrictions would lapse, and shares would vest earlier. Activity for performance-based and other restricted stock awards during the years ended April 30, 2019, 2018, and 2017 was as follows (shares in thousands): 2019 2018 2017 Restricted Shares Weighted Average Grant Date Value Restricted Shares Restricted Shares Nonvested Shares at Beginning of Year 861 $ 53.22 913 915 Granted 415 $ 62.63 525 509 Change in Shares Due to Performance (19 ) $ 44.17 (107 ) (67 ) Vested and Issued (357 ) $ 54.95 (318 ) (267 ) Forfeited (144 ) $ 55.37 (152 ) (177 ) Nonvested Shares at End of Year 756 $ 57.38 861 913 As of April 30, 2019, there was $28.1 million of unrecognized share-based compensation cost related to performance-based and other restricted stock awards, which is expected to be recognized over a period up to 4 years, or 2.2 years on a weighted average basis. Compensation expense for restricted stock awards is measured using the closing market price of our Class A Common Stock at the date of grant. The total grant date value of shares vested during the years ended April 30, 2019, 2018, and 2017 was $19.6 million, $15.7 million, and $12.1 million, respectively. President and CEO New Hire Equity Awards On October 17, 2017, we announced Brian A. Napack as the new President and Chief Executive Officer of Wiley effective December 4, 2017 (the "Commencement Date"). Upon the Commencement Date, Mr. Napack also became a member of our Board of Directors (the "Board"). In connection with his appointment, Wiley and Mr. Napack entered into an employment offer letter (the "Employment Agreement"). The Employment Agreement provides that beginning with the year ended April 30, 2018–2020 performance cycle, eligibility to participate in annual grants under our Executive Long-Term Incentive Program (ELTIP). Targeted long-term incentive for this cycle is equal to 300% of base salary, or $2.7 million. Sixty percent of the ELTIP value will be delivered in the form of target performance share units and forty percent in restricted share units. The grant date fair value for restricted share units was $59.15 per share and included 20,611 restricted share units, which vest 25% each year starting on April 30, 2018 to April 30, 2021. In addition, there was a performance share unit award with a target of 30,916 units and a grant date fair value of $59.15. The performance metrics are based on cumulative EBITDA for the year ended April 30, 2018-2020 and cumulative normalized free cash flow for the year ended April 30, 2018–2020. The awards are described in further detail in Mr. Napack’s Employment Agreement filed with the SEC as Exhibit 10.1 to our Current Report on Form 8-K filed on October 17, 2017. In addition, the Employment Agreement provides for a sign-on grant of restricted share units, with a grant value of $4.0 million, converted to shares using our Class A closing stock price as of the Commencement Date, and vesting in two equal installments on the first and second anniversaries of the employment date. The grant date fair value for this award was $59.15 per share and included 67,625 units at the date of grant. Grants are subject to forfeiture in the case of voluntary termination prior to vesting and accelerated vesting in the case of earlier termination of employment without Cause, due to death or Disability or Constructive Discharge, or upon a Change in Control (as such terms are defined in the Employment Agreement). The awards are described in further detail in Mr. Napack’s Employment Agreement filed with the SEC as Exhibit 10.1 to our Current Report on Form 8-K filed on October 17, 2017. Director Stock Awards: Under the terms of our 2018 Director Stock Plan (the “Director Plan”), each non-employee director, other than the Chairman of the Board, receives an annual award of restricted shares of our Class A Common Stock equal in value to 100% of the annual director stock retainer fee, based on the stock price at the close of the New York Stock Exchange on the date of grant. Such restricted shares will vest on the earliest of (i) the day before the next Annual Meeting following the grant, (ii) the non-employee director’s death or disability (as determined by the Governance Committee), or (iii) a change in control (as defined in the 2014 Key Employee Stock Plan). The granted shares may not be sold or transferred during the time the non-employee director remains a director. There were 18,991 restricted shares awarded under the Director Plan for the year ended April 30, 2019, and 19,900, and 20,243 shares awarded under the Director Plan for the years ended April 30, 2018, and 2017, respectively. |
Capital Stock and Changes in Ca
Capital Stock and Changes in Capital Accounts | 12 Months Ended |
Apr. 30, 2019 | |
Capital Stock and Changes in Capital Accounts [Abstract] | |
Capital Stock and Changes in Capital Accounts | Each share of our Class B Common Stock is convertible into one share of Class A Common Stock. The holders of Class A stock are entitled to elect 30% of the entire Board of Directors and the holders of Class B stock are entitled to elect the remainder. On all other matters, each share of Class A stock is entitled to one tenth of one vote and each share of Class B stock is entitled to one vote. During the year ended April 30, 2017, our Board of Directors approved an additional share repurchase program of four million shares of Class A or B Common Stock. We repurchased in the year ended April 30, 2019 1,191,496 Class A shares at an average price of $50.35 per share. In the year ended April 30, 2018, we repurchased 713,177 shares at an average price of $55.65 per share. In the year ended April 30, 2017, we repurchased 953,188 shares, which included 952,667 Class A shares and 521 Class B shares at an average price of $52.80 per share. As of April 30, 2019, we had authorization from our Board of Directors to purchase up to 1,888,975 additional shares. The following is a summary of changes during the years ended April 30, in shares of our common stock and common stock in treasury (shares in thousands). Changes in Common Stock A: 2019 2018 2017 Number of shares, beginning of year 70,111 70,086 69,798 Common stock class conversions and other 16 25 288 Number of shares issued, end of year 70,127 70,111 70,086 Changes in Common Stock A in treasury: Number of shares held, beginning of year 21,853 22,097 21,709 Purchase of treasury shares 1,192 713 953 Restricted shares issued under stock-based compensation plans - non-PSU Awards (210) (153) (74) Restricted shares issued under stock-based compensation plans - PSU Awards (110) (126) (186) Stock grants of fully vested Class A shares - common stock — (20) (24) Restricted shares, forfeited 9 15 8 Restricted shares issued from exercise of stock options (229) (788) (469) Shares withheld for taxes 130 116 97 Other (1) (1) 83 Number of shares held, end of year 22,634 21,853 22,097 Number of Common Stock A outstanding, end of year 47,493 48,258 47,989 Changes in Common Stock B: 2019 2018 2017 Number of shares, beginning of year 13,071 13,096 13,392 Common stock class conversions and other (16) (25) (296) Number of shares issued, end of year 13,055 13,071 13,096 Changes in Common Stock B in treasury: Number of shares held, beginning of year 3,918 3,918 3,917 Shares repurchased — — 1 Number of shares held, end of year 3,918 3,918 3,918 Number of Common Stock B outstanding, end of year 9,137 9,153 9,178 The following table summarizes the cash dividends paid during the year ended April 30, 2019: Date of Declaration by Board of Directors Quarterly Cash Dividend Total Dividend Class of Common Stock Dividend Paid Date Shareholders of Record as of Date June 21, 2018 $0.33 per common share $19.0 million Class A and Class B July 18, 2018 July 3, 2018 September 26, 2018 $0.33 per common share $18.9 million Class A and Class B October 24, 2018 October 9, 2018 December 19, 2018 $0.33 per common share $18.9 million Class A and Class B January 16, 2019 January 2, 2019 March 20, 2019 $0.33 per common share $18.6 million Class A and Class B April 17, 2019 April 2, 2019 |
Segment Information
Segment Information | 12 Months Ended |
Apr. 30, 2019 | |
Segment Information [Abstract] | |
Segment Information | Our segment reporting structure consists of three reportable segments, which are listed below and a Corporate category as follows: • • • Segment information is as follows: For the Years Ended April 30, 2019 2018 2017 Revenue: Research $ 937,313 $ 934,395 $ 853,489 Publishing 574,192 617,648 633,449 Solutions 288,564 244,060 231,592 Total Revenue $ 1,800,069 $ 1,796,103 $ 1,718,530 Contribution to Profit (1) Research $ 258,875 $ 271,326 $ 250,648 Publishing 118,901 121,639 124,531 Solutions 14,967 22,099 14,822 Total Contribution to Profit $ 392,743 $ 415,064 $ 390,001 Corporate Expenses (168,754 ) (183,603 ) (178,531 ) Operating Income $ 223,989 $ 231,461 $ 211,470 (1) See Note 3, “Revenue Recognition, Contracts with Customers,” for revenue from contracts with customers disaggregated by segment and product type for the years ended April 30, 2019, 2018 and 2017. For the Years Ended April 30, 2019 2018 2017 Total Assets Research $ 1,152,973 $ 1,238,178 $ 1,133,846 Publishing 643,549 575,033 582,339 Solutions 751,854 563,489 575,068 Corporate 388,626 462,751 314,964 Total $ 2,937,002 $ 2,839,451 $ 2,606,217 Product Development Spending and Additions to Technology, Property and Equipment Research $ (6,457 ) $ (7,538 ) $ (154,189 ) Publishing (19,712 ) (23,666 ) (29,420 ) Solutions (9,001 ) (16,786 ) (21,210 ) Corporate (66,423 ) (102,738 ) (98,608 ) Total $ (101,593 ) $ (150,728 ) $ (303,427 ) Depreciation and Amortization Research $ 37,088 $ 33,655 $ 29,330 Publishing 33,892 39,495 43,831 Solutions 34,300 27,703 26,792 Corporate 55,875 53,136 56,608 Total $ 161,155 $ 153,989 $ 156,561 Revenue from external customers is based on the location of the customer and Technology, Property and Equipment, Net by geographic area were as follows: Revenue, net Technology, Property and Equipment, Net 2019 2018 2017 2019 2018 2017 United States $ 932,927 $ 913,852 $ 786,574 $ 252,459 $ 249,542 $ 208,572 United Kingdom 150,242 147,406 189,479 18,331 20,955 21,368 Germany 97,505 98,404 75,090 8,423 9,259 8,770 Japan 77,145 81,572 62,674 87 72 75 Australia 77,453 78,270 66,309 1,440 1,454 591 China 55,024 53,076 39,653 688 229 270 Canada 50,882 55,568 50,740 2,659 3,635 1,232 France 51,441 51,826 44,760 403 635 335 India 36,472 41,637 34,306 1,299 1,437 245 Other Countries 270,978 274,492 368,945 3,232 2,716 1,600 Total $ 1,800,069 $ 1,796,103 $ 1,718,530 $ 289,021 $ 289,934 $ 243,058 |
Supplementary Quarterly Financi
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) | 12 Months Ended |
Apr. 30, 2019 | |
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) [Abstract] | |
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) | Amounts in millions, except per share data 2019 2018 Revenue, net First Quarter $ 410.9 $ 411.4 Second Quarter 448.6 451.7 Third Quarter 449.4 455.7 Fourth Quarter 491.2 477.3 Year ended April 30, $ 1,800.1 $ 1,796.1 Gross Profit (1) First Quarter $ 283.1 $ 285.5 Second Quarter 316.0 319.6 Third Quarter 305.5 319.3 Fourth Quarter 340.7 340.7 Year ended April 30, $ 1,245.3 $ 1,265.1 Operating Income (2) First Quarter $ 36.1 $ 12.6 Second Quarter 57.5 80.8 Third Quarter 50.3 65.4 Fourth Quarter 80.1 72.7 Year ended April 30, $ 224.0 $ 231.5 Net Income First Quarter $ 26.3 $ 9.2 Second Quarter 43.8 60.0 Third Quarter 34.9 68.8 Fourth Quarter 63.3 54.2 Year ended April 30, $ 168.3 $ 192.2 2019 2018 Basic Diluted Basic Diluted Earnings Per Share (3) First Quarter $ 0.46 $ 0.45 $ 0.16 $ 0.16 Second Quarter 0.76 0.76 1.06 1.04 Third Quarter 0.61 0.61 1.21 1.19 Fourth Quarter 1.11 1.10 0.95 0.93 Year ended April 30, $ 2.94 $ 2.91 $ 3.37 $ 3.32 (1) This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to “Change in Accounting Policy” in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, “Acquisition,” for more information related to the acquisition of Learning House. (2) (3) |
Subsequent Events
Subsequent Events | 12 Months Ended |
Apr. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Amended and Restated Credit Agreement: On May 30, 2019, we entered into a credit agreement that amended and restated our existing RCA. The credit agreement provides for senior unsecured credit facilities comprised of a (i) five-year revolving credit facility in an aggregate principal amount up to $1.25 billion, and (ii) a five-year term loan A facility consisting of $250 million. The agreement contains certain customary affirmative and negative covenants, including a financial covenant in the form of a consolidated net leverage ratio and consolidated interest coverage ratio. We incurred approximately $4.0 million of costs related to this agreement. Acquisitions: On May 31, 2019, we completed the acquisition of certain assets of Knewton, Inc. (“Knewton”), included in our Publishing segment. Knewton is a provider of affordable courseware and adaptive learning technology for an undisclosed amount. On July 1, 2019, we completed the acquisition of Zyante Inc. ("Zyante"), a leading provider of computer science and STEM education courseware. Under the terms of the agreement, Zyante shareholders received $56 million in cash. Zyante will be included in our Education Publishing segment. Dividend: On June 28, 2019, our Board of Directors declared a quarterly dividend of $0.34 per share, or approximately $19.2 million, on our Class A and Class B Common Stock. The dividend is payable on July 24, 2019 to shareholders of record on July 10, 2019. |
Schedule II-VALUATION AND QUALI
Schedule II-VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Apr. 30, 2019 | |
Schedule II - VALUATION AND QUALIFYING ACCOUNTS [Abstract] | |
Schedule II - VALUATION AND QUALIFYING ACCOUNTS | (2) Financial Statement Schedule JOHN WILEY & SONS, INC. AND SUBSIDIARIES VALUATION AND QUALIFYING ACCOUNTS FOR THE YEARS ENDED APRIL 30, 2019, 2018, AND 2017 (Dollars in thousands) Description Balance at Beginning of Period Charged to Expenses Deductions From Reserves and Other (2) Balance at End of Period Year Ended April 30, 2019 Allowance for Sales Returns (1) $ 18,628 $ 37,483 $ 37,569 $ 18,542 Allowance for Doubtful Accounts $ 10,107 $ 5,279 $ 1,079 $ 14,307 Allowance for Inventory Obsolescence $ 18,193 $ 7,328 $ 9,696 $ 15,825 Valuation Allowance on Deferred Tax Assets $ 8,811 $ 51 $ (12,317 ) $ 21,179 Year Ended April 30, 2018 Allowance for Sales Returns (1) $ 24,300 $ 38,711 $ 44,383 $ 18,628 Allowance for Doubtful Accounts $ 7,186 $ 5,439 $ 2,518 $ 10,107 Allowance for Inventory Obsolescence $ 21,096 $ 9,182 $ 12,085 $ 18,193 Valuation Allowance on Deferred Tax Assets $ 1,300 $ 7,511 $ — $ 8,811 Year Ended April 30, 2017 Allowance for Sales Returns (1) $ 19,861 $ 53,482 $ 49,043 $ 24,300 Allowance for Doubtful Accounts $ 7,254 $ 2,913 $ 2,981 $ 7,186 Allowance for Inventory Obsolescence $ 21,968 $ 9,538 $ 10,410 $ 21,096 Valuation Allowance on Deferred Tax Assets $ — $ 1,300 $ — 1,300 (1) Allowance for Sales Returns represents anticipated returns net of a recovery of inventory and royalty costs. The provision is reported as a reduction of gross sales to arrive at revenue and the reserve balance is reported as a reduction of Accounts Receivable, net (in the years ended April 30, 2018 and 2017) with a corresponding increase in Inventories, net and a reduction in Accrued Royalties for the years ended April 30, 2019, 2018 and 2017. Due to the adoption of the new revenue standard, the sales return reserve as of April 30, 2019 is recorded in Contract Liability (Deferred Revenue). . See Note 3, “Revenue Recognition, Contracts with Customers,” of the Notes to Consolidated Financial Statements for more information. (2) Deductions From Reserves and Other for the years ended April 30, 2019, 2018 and 2017 include foreign exchange translation adjustments. Included in Allowance for Doubtful Accounts are accounts written off, less recoveries. Included in Allowance for Inventory Obsolescence are items removed from inventory. Included in Valuation Allowance on Deferred Tax Assets are |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards (Policies) | 12 Months Ended |
Apr. 30, 2019 | |
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards [Abstract] | |
Basis of Presentation | Basis of Presentation: Our Consolidated Financial Statements include all of the accounts of the Company and our subsidiaries. We have eliminated all intercompany transactions and balances in consolidation. All amounts are in thousands, except per share amounts, and approximate due to rounding. Change in Accounting Policy: In connection The Consolidated Statements of Income for the years ended April 30, 2018 and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018 and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share on the Consolidated Statements of Income. |
Reclassifications | Reclassifications: Certain prior year amounts have been reclassified to conform to the current year’s presentation. |
Use of Estimates | Use of Estimates: The preparation of our Consolidated Financial Statements and related disclosures in conformity with U.S. GAAP requires our management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of the date of the financial statements and revenue and expenses during the reporting period. These estimates include, among other items, revenue recognition, sales return reserves, allocation of acquisition purchase price to assets acquired and liabilities assumed, goodwill and indefinite-lived intangible assets, intangible assets with finite lives and other long-lived assets, and retirement plans. We review these estimates and assumptions periodically using historical experience and other factors and reflect the effects of any revisions on the Consolidated Financial Statements in the period we determine any revisions to be necessary. Actual results could differ from those estimates, which could affect the reported results. |
Book Overdrafts | Book Overdrafts: Under our cash management system, a book overdraft balance exists for our primary disbursement accounts. This overdraft represents uncleared checks in excess of cash balances in individual bank accounts. Our funds are transferred from other existing bank account balances or from lines of credit as needed to fund checks presented for payment. As of April 30, 2019 and 2018, book overdrafts of $7.4 million and $13.1 million, respectively, were included in Accounts Payable on the Consolidated Statements of Financial Position. |
Revenue Recognition | Revenue Recognition: See Note 3, “Revenue Recognition, Contracts with Customers,” of the Notes to Consolidated Financial Statements for details of our revenue recognition policy. |
Cash Equivalents | Cash and Cash Equivalents: Cash and cash equivalents consist of highly liquid investments with an original maturity of three months or less at the time of purchase and are stated at cost, which approximates market value, because of the short-term maturity of the instruments. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts: The estimated allowance for doubtful accounts is based on a review of the aging of the accounts receivable balances, historical write-off experience, credit evaluations of customers, and current market conditions. A change in the evaluation of a customer’s credit could affect the estimated allowance. The allowance for doubtful accounts is shown as a reduction of Accounts Receivable, net on the Consolidated Statements of Financial Position and amounted to $14.3 million and $10.1 million as of April 30, 2019 and 2018, respectively. |
Sales Return Reserves | Sales Return Reserves: The process that we use to determine our sales returns and the related reserve provision charged against revenue is based on applying an estimated return rate to current year returnable print book sales. This rate is based upon an analysis of actual historical return experience in the various markets and geographic regions in which we do business. We collect, maintain and analyze significant amounts of sales returns data for large volumes of homogeneous transactions. This allows us to make reasonable estimates of the amount of future returns. All available data is utilized to identify the returns by market and to which fiscal year the sales returns apply. This enables management to track the returns in detail and identify and react to trends occurring in the marketplace, with the objective of being able to make the most informed judgments possible in setting reserve rates. Associated with the estimated sales return reserves, we also include a related increase to inventory and a reduction to accrued royalties as a result of the expected returns. Print book sales return reserves amounted to a net liability balance of $18.5 million and $18.6 million as of April 30, 2019 and 2018, respectively. The reserves are reflected in the following accounts of the Consolidated Statements of Financial Position – increase (decrease): 2019 2018 Accounts receivable, net (1) $ — $ (28,302 ) Inventories, net $ 3,739 $ 4,626 Accrued royalties $ (3,653 ) $ (5,048 ) Contract liability (Deferred revenue) (1) $ 25,934 $ — Decrease in Net Assets $ (18,542 ) $ (18,628 ) (1) Due to Revenue from Contracts with Customers |
Inventories | Inventories: Inventories are carried at the lower of cost or market. U.S. book inventories aggregating $21.0 million and $24.0 million at April 30, 2019 and 2018, respectively, are valued using the last-in, first-out (LIFO) method. All other inventories are valued using the first-in, first-out (FIFO) method. |
Reserve for Inventory Obsolescence | Reserve for Inventory Obsolescence A reserve for inventory obsolescence is estimated based on a review of damaged, obsolete, or otherwise unsalable inventory. The review encompasses historical unit sales trends by title, current market conditions, including estimates of customer demand compared to the number of units currently on hand, and publication revision cycles. The inventory obsolescence reserve is reported as a reduction of the Inventories, net balance on the Consolidated Statements of Financial Position and amounted to $15.8 million and $18.2 million as of April 30, 2019 and 2018, respectively. |
Product Development Assets | Product Development Assets: Product development assets consist of book composition costs and other product development costs. Costs associated with developing a book publication are expensed until the product is determined to be commercially viable. Book composition costs represent the costs incurred to bring an edited commercial manuscript to publication, which include typesetting, proofreading, design, illustration costs, and digital formatting. Book composition costs are capitalized and are generally amortized on a double-declining basis over their estimated useful lives, ranging from 1 to 3 years. Other product development costs represent the costs incurred in developing software, platforms, and digital content to be sold and licensed to third parties. Other product development costs are capitalized and generally amortized on a straight-line basis over their estimated useful lives. As of April 30, 2019, the weighted average estimated useful life of other product development costs was approximately 5 years. |
Royalty Advances | Royalty Advances: Royalty advances are capitalized and, upon publication, are expensed as royalties earned based on sales of the published works. Royalty advances are reviewed for recoverability and a reserve for loss is maintained, if appropriate. |
Shipping and Handling Costs | Shipping and Handling Costs: Costs incurred for third party shipping and handling are primarily reflected in Operating and Administrative Expenses on the Consolidated Statements of Income. We incurred $32.7 million, $33.7 million, and $39.1 million in shipping and handling costs in the years ended April 30, 2019, 2018, and 2017, respectively. |
Advertising Expense | Advertising Expense: Advertising costs are expensed as incurred. We incurred $89.5 million, $68.3 million, and $61.4 million in advertising costs in the years ended April 30, 2019, 2018, and 2017, respectively, and these costs are included in Cost of Sales and Operating and Administrative Expenses on the Consolidated Statements of Income. Advertising costs of $53.7 million, $38.3 million, and $32.4 million were included in Cost of Sales in the years ended April 30, 2019, 2018, and 2017, respectively. Advertising costs of $35.8 million, $30.0 million, and $29.0 million were included in Operating and Administrative Expenses in the years ended April 30, 2019, 2018, and 2017, respectively. |
Technology, Property and Equipment | Technology, Property, and Equipment: Technology, property, and equipment is recorded at cost. Major renewals and improvements are capitalized, while maintenance and repairs are expensed as incurred. Technology, property and equipment is depreciated using the straight-line method based upon the following estimated useful lives: Computer Software – 3 to 10 years, Computer Hardware – 3 to 5 years; Buildings and Leasehold Improvements – the lesser of the estimated useful life of the asset up to 40 years or the duration of the lease; Furniture, Fixtures, and Warehouse Equipment – 5 to 10 years. Costs incurred for computer software internally developed or obtained for internal use are capitalized during the application development stage and expensed as incurred during the preliminary project and post-implementation stages. Costs incurred during the application development stage include costs of materials and services and payroll and payroll-related costs for employees who are directly associated with the software project. Such costs are amortized over the expected useful life of the related software, which is generally 3 to 5 years. Costs related to the investment in our Enterprise Resource Planning and related systems are amortized over an expected useful life of 10 years. Maintenance, training, and upgrade costs that do not result in additional functionality are expensed as incurred. |
Allocation of Acquisition Purchase Price to Assets Acquired and Liabilities Assumed | Allocation of Acquisition Purchase Price to Assets Acquired and Liabilities Assumed In connection with acquisitions, we allocate the cost of the acquisition to the assets acquired and the liabilities assumed based on the estimates of fair value for such items, including intangible assets and technology acquired. Such estimates include discounted estimated cash flows to be generated by those assets and the expected useful lives based on historical experience and current market trends to be achieved from the acquisition and the expected tax basis of assets acquired. We may use a third-party valuation consultant to assist in the determination of such estimates. |
Goodwill and Indefinite-lived Intangible Assets | Goodwill and Indefinite-lived Intangible Assets: Goodwill represents the excess of the aggregate of the following: (1) consideration transferred, (2) the fair value of any noncontrolling interest in the acquiree, and (3) if the business combination is achieved in stages, the acquisition-date fair value of our previously held equity interest in the acquiree over the net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed. Indefinite-lived intangible assets primarily consist of brands, trademarks, content, and publishing rights and are typically characterized by intellectual property with a long and well-established revenue stream resulting from strong and well-established imprint/brand recognition in the market. We use the acquisition method of accounting for all business combinations and do not amortize goodwill or intangible assets with indefinite useful lives. Goodwill and intangible assets with indefinite useful lives are tested for possible impairment annually during the fourth quarter of each fiscal year, or more frequently if events or changes in circumstances indicate that the asset might be impaired. |
Intangible Assets with Finite Lives and Other Long-Lived Assets | Intangible Assets with Finite Lives and Other Long-Lived Assets: Finite-lived intangible assets principally consist of brands, trademarks, content and publication rights, customer relationships, and non-compete agreements and are amortized over their estimated useful lives. The most significant factors in determining the estimated lives of these intangibles are the history and longevity of the brands, trademarks, and content and publication rights acquired combined with the strength of cash flows. Intangible assets with finite lives as of April 30, 2019, are amortized on a straight line basis over the following weighted average estimated useful lives: content and publishing rights – 34 years, customer relationships – 18 years, brands and trademarks – 16 years, non-compete agreements – 3 years. Assets with finite lives are evaluated for impairment upon a significant change in the operating or macroeconomic environment. In these circumstances, if an evaluation of the projected undiscounted cash flows indicates impairment, the asset is written down to its estimated fair value based on the discounted future cash flows. |
Derivative Financial Instruments | Derivative Financial Instruments: From time to time, we enter into foreign exchange forward and interest rate swap contracts as a hedge against foreign currency asset and liability commitments, changes in interest rates, and anticipated transaction exposures, including intercompany purchases. All derivatives are recognized as assets or liabilities and measured at fair value. Derivatives that are not determined to be effective hedges are adjusted to fair value with a corresponding adjustment to earnings. We do not use financial instruments for trading or speculative purposes. |
Foreign Currency Gains/Losses | Foreign Currency Gains/Losses: We maintain operations in many non-U.S. locations. Assets and liabilities are translated into U.S. dollars using end-of-period exchange rates and revenues and expenses are translated into U.S. dollars using weighted average rates. Our significant investments in non-U.S. businesses are exposed to foreign currency risk. Foreign currency translation adjustments are reported as a separate component of Accumulated Other Comprehensive Loss within Shareholders’ Equity. During the year ended April 30, 2019, we recorded $60.5 million of foreign currency translation losses primarily Foreign currency transaction gains or losses are recognized on the Consolidated Statements of Income as incurred. |
Share-Based Compensation | Stock-Based Compensation: We recognize stock-based compensation expense based on the fair value of the stock-based awards on the grant date, reduced by an estimate for future forfeited awards. As such, stock-based compensation expense is only recognized for those awards that are expected to ultimately vest. The fair value of stock-based awards is recognized in net income generally on a straight-line basis over the requisite service period. The grant date fair value for stock options is estimated using the Black-Scholes option-pricing model. The determination of the assumptions used in the Black-Scholes model required us to make judgments and estimates, which include the expected life of an option, the expected volatility of our Common Stock over the estimated life of the option, a risk-free interest rate, and the expected dividend yield. Judgment was also required in estimating the amount of stock-based awards that may be forfeited. Stock-based compensation expense associated with performance-based stock awards is based on actual financial results for targets established three years in advance. The cumulative effect on current and prior periods of a change in the estimated number of performance share awards, or estimated forfeiture rate, is recognized as an adjustment to earnings in the period of the revision. If actual results differ significantly from estimates, our stock-based compensation expense and consolidated results of operations could be impacted. |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards Stock Compensation – Scope of Modification Accounting In May 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2017-09, “Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting,” which clarifies when changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting. Under the new guidance, modification accounting is only required if the fair value, vesting conditions or classification (equity or liability) of the new award are different from the original award immediately before the original award is modified. We adopted ASU 2017-09 on May 1, 2018 and there was no impact to our consolidated financial statements. The new guidance must be applied prospectively to awards modified on or after the adoption date. The future impact of ASU 2017-09 will be dependent on the nature of future stock award modifications. Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost In March 2017, the FASB issued ASU 2017-07, “Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” The guidance requires that the service cost component of net pension and postretirement benefit costs be reported in the same line item as other compensation costs arising from services rendered by the pertinent employees during the period, while the other components of net benefit costs must be reported separately from the service cost component and below operating income. The guidance also allows only the service cost component to be eligible for capitalization when applicable. We adopted ASU 2017-07 on May 1, 2018. The new guidance must be applied retrospectively for the presentation of net benefit costs in the income statement and prospectively for the capitalization of the service cost component of net benefit costs. The effect of retrospectively adopting this guidance resulted in a reclassification of net benefits (costs) of $8.1 million and $(5.3) million from Operating and Administrative Expenses to Interest and Other Income (Expense) on the Consolidated Statements of Income for the years ended April 30, 2018 and 2017, respectively. The amount included in Interest and Other Income (Expense) on the Consolidated Statements of Income for the year ended April 30, 2019 was a net benefit of $8.8 million. We do not capitalize any service costs. Business Combinations: Clarifying the Definition of a Business In January 2017, the FASB issued ASU 2017-01, “Business Combinations (Topic 805): Clarifying the Definition of a Business”, which clarifies the definition of a business in order to allow for the evaluation of whether transactions should be accounted for as acquisitions or disposals of assets or business. We adopted ASU 2017-01 on May 1, 2018 and the adoption had no impact for us in fiscal year 2019. The future impact of ASU 2017-01 will be dependent upon the nature of future acquisitions or dispositions made by us. Statement of Cash Flows: Restricted Cash In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash.” ASU 2016-18 requires that entities include restricted cash and restricted cash equivalents with cash and cash equivalents in the beginning-of-period and end-of-period total amounts shown on the Statement of Cash Flows. We adopted ASU 2016-18 on May 1, 2018. Retrospective transition method is to be applied to each period presented. As a result of this retrospective adoption, the reclassification of restricted cash into a change in total cash resulted in a reduction in Cash Provided By Operating Activities of $0.5 million for the year ended April 30, 2018. There was no impact for the year ended April 30, 2017. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Statements of Financial Position that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows. April 30, 2019 April 30, 2018 April 30, 2017 April 30, 2016 Cash and cash equivalents $ 92,890 $ 169,773 $ 58,516 $ 363,806 Restricted cash included in Prepaid expenses and other current assets 658 484 — — Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows $ 93,548 $ 170,257 $ 58,516 $ 363,806 Income taxes: Intra-Entity Transfers of Assets Other than Inventory In October 2016, the FASB issued ASU 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory”, which simplifies the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. Current U.S. GAAP prohibits the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to an outside party. The new guidance states that an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. Consequently, the amendments in this Standard eliminate the exception for an intra-entity transfer of an asset other than inventory. We adopted ASU 2016-16 on May 1, 2018. The adoption of ASU 2016-16 did not have a material impact to our consolidated financial statements. Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments In August 2016, the FASB issued ASU 2016-15, “Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments,” which provides clarification on classifying a variety of activities within the Statement of Cash Flows. We adopted ASU 2016-15 on May 1, 2018. The adoption of ASU 2016-15 did not have a material impact to our consolidated statements of cash flows. Financial Instruments: Recognition and Measurement of Financial Assets and Financial Liabilities In January 2016, the FASB issued ASU 2016-01, “Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” Subsequently, the FASB issued ASU 2018-03, “Technical Corrections and Improvements to Financial Instruments-Overall.” ASU 2016-01 requires equity investments except those under the equity method of accounting to be measured at fair value with the changes in fair value recognized in net income. The amendment simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment. In addition, it also requires enhanced disclosures about investments. We adopted ASU 2016-01 on May 1, 2018. The adoption of ASU 2016- 01 did not have a material impact to our consolidated financial statements. Revenue from Contracts with Customers In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers," (Topic 606) which superseded most existing revenue recognition guidance. We adopted ASU 2014-09 on May 1, 2018. The standard allows for either "full retrospective" adoption, meaning the standard is applied to all periods presented, or "modified retrospective" adoption, meaning the standard is applied only to the most current period presented in the financial statements. Subsequently, the FASB issued ASU 2016-08, "Revenue from Contracts with Customers (Topic 606) – Principal versus Agent Considerations", ASU 2016-10, "Revenue from Contracts with Customers (Topic 606) – Identifying Performance Obligations and Licensing", ASU 2016-12, "Revenue from Contracts with Customers (Topic 606) – Narrow Scope Improvements and Practical Expedients", and ASU 2016-20, "Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers," which provide clarification and additional guidance related to ASU 2014-09. We also adopted ASU 2016-08, ASU 2016-10, ASU 2016-12, and ASU 2016-20 with ASU 2014-09 (collectively, the “new revenue standard”) on May 1, 2018. We utilized a comprehensive approach to assess the impact of the new revenue standard on our contract portfolio by reviewing our current accounting policies and practices to identify differences that would result from applying the new revenue standard to our revenue contracts. Additionally, we reviewed customer agreements representative of our business models and assessed whether changes in revenue recognition were appropriate under the new revenue standard. We adopted the new revenue standard as of May 1, 2018, using the modified retrospective method. The adoption of the new revenue standard did not have a material impact to our consolidated revenues, financial position, or results of operations. Upon adoption, we recorded an immaterial net increase to opening retained earnings resulting from the change in timing of when certain components of our revenue are recognized as required under the new revenue standard as compared to historical policies. Such changes include: (i) perpetual licenses granted in connection with other deliverables; revenue that was previously recognized over the life of the associated subscription for future content is now recognized at a point in time, which is when access to content is initially granted, (ii) customers’ unexercised rights; revenue which was previously recognized at the end of a pre-determined period for situations where we have received a nonrefundable payment for a customer to receive a good or service and the customer has not exercised such right is now recognized as revenue in proportion to the pattern of rights exercised by the customer, (iii) recognition of estimated revenue from royalty agreements in the period of usage, and (iv) recognition of revenue for certain arrangements with minimum guarantees on a time-based (straight-line) basis due to a stand-ready obligation to provide additional rights to content. The adoption of the new revenue standard resulted in the discontinuance of the historical practice of presenting accounts receivable and deferred revenue balances on a net basis for some of our subscription licensing agreements where we have invoiced a customer in advance of the related revenue being recognized and payment has not yet been received. As of April 30, 2018, the amounts that were previously netted down from accounts receivable and deferred revenue were $59.5 million. The current policy for our subscription licensing agreements is to record accounts receivable when performance occurs and recognize contract liabilities, at the earlier of cash payment being received or the invoice is sent. In addition, the adoption of the new revenue standard resulted in the reclassification of the sales return reserve provision to Contract Liability (Deferred Revenue) from Accounts Receivable, Net on the Consolidated Statements of Financial Position. As of April 30, 2019 and 2018 the amount was $25.9 million and $28.3 million, respectively. The impact of the adoption of the new revenue standard was not material to our Consolidated Statements of Income for the year ended April 30, 2019; therefore, we have omitted the disclosure that summarizes the effect of the revenue recognition standard by line item on our Consolidated Statements of Income. The impact to the Consolidated Statements of Financial Position was also not material by line item, except for the reclassification of the sales return reserve provision to contract liability from accounts receivable, net. April 30, 2018 Adjustments due to Adoption May 1, 2018 Assets Accounts receivable, net $ 212,377 $ 93,349 $ 305,726 Product development assets 78,814 (3,725 ) 75,089 Technology, property and equipment, net 289,934 (361 ) 289,573 Other non-current assets 85,802 5,274 91,076 Liabilities Accrued royalties 73,007 (731 ) 72,276 Contract liability (Deferred revenue) 486,353 89,364 575,717 Deferred income tax liabilities 143,518 1,400 144,918 Retained earnings $ 1,834,057 $ 4,503 $ 1,838,560 |
Recently Issued Accounting Standards | Recently Issued Accounting Standards Intangibles-Goodwill and Other-Internal-Use Software: Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract In August 2018, the FASB issued ASU 2018-15, “Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract.” ASU 2018-15 aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The standard is effective for us on May 1, 2020, and interim periods within that fiscal year, with early adoption permitted. We are currently assessing the impact the new guidance will have on our consolidated financial statements. Changes to the Disclosure Requirements for Defined Benefit Plans In August 2018, the FASB issued ASU 2018-14, “Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans.” ASU 2018-14 removes certain disclosures that are not considered cost beneficial, clarifies certain required disclosures and added additional disclosures. The standard is effective for us on May 1, 2021, with early adoption permitted. The amendments in ASU 2018-14 would need to be applied on a retrospective basis. We are currently assessing the impact the new guidance will have on our disclosures. Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement.” ASU 2018-13 removes certain disclosures, modifies certain disclosures and added additional disclosures. The standard is effective for us on May 1, 2020, with early adoption permitted. Certain disclosures in ASU 2018-13 would need to be applied on a retrospective basis and others on a prospective basis. We are currently assessing the impact the new guidance will have on our disclosures. Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02 “Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income,” which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. The standard is effective for us on May 1, 2019, and interim periods within that fiscal year, with early adoption permitted. We adopted ASU 2018-02 on May 1, 2019. We did not elect to reclassify the income tax effects from comprehensive income to retained earnings for the stranded tax effects resulting from the Tax Cuts and Jobs Act. Our policy for releasing the income tax effects from accumulated other comprehensive income is when the corresponding pretax accumulated other comprehensive income items are reclassified to earnings. Targeted Improvements to Accounting for Hedging Activities In August 2017, the FASB issued ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities,” to simplify and improve the application and financial reporting of hedge accounting. Subsequently, in November 2018, the FASB issued ASU 2018-16, “Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes”. In April 2019, the FASB issued ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments — Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments.” ASU 2017-12 eases the requirements for measuring and reporting hedge ineffectiveness and clarifies that changes in the fair value of hedging instruments for cash flow, net investment, and fair value hedges should be reflected in the same income statement line item as the earnings effect of the hedged item. The guidance also permits entities to designate specific components in cash flow and interest rate hedges as the hedged risk, instead of using total cash flows. ASU 2018-16 allows the use of the OIS rate based on the SOFR as a U.S. benchmark interest rate for hedge accounting purposes. These ASUs are effective for us on May 1, 2019, with early adoption permitted. We adopted ASU 2017-12, 2018-16 and 2019-04, for those portions related to ASU 2017-02, on May 1, 2019 and there was no impact to our consolidated financial statements at the date of adoption. The future impact will depend upon any future hedging activities we may enter into. Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU 2017-04, “Intangibles–Goodwill and Other (Topic 350): “Simplifying the Test for Goodwill Impairment”, which simplifies the measurement of a potential goodwill impairment charge by eliminating the requirement to calculate an implied fair value of the goodwill based on the fair value of a reporting unit’s other assets and liabilities. The new guidance eliminates the implied fair value method and instead measures a potential impairment charge based on the excess of a reporting unit’s carrying value compared to its fair value. The impairment charge cannot exceed the total amount of goodwill allocated to that reporting unit. The standard is effective for us on May 1, 2020, with early adoption permitted. Based on our most recent annual goodwill impairment test completed in the year ended April 30, 2019, we expect no initial impact on adoption. Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments.” Subsequently, in May 2019, the FASB issued ASU 2019 ”, in April 2019, the FASB issued ASU 2019-04, “ ,” and in November 2018, the FASB issued ASU 2018-19, “Codification Improvements to Topic 326, Financial Instruments-Credit Losses”. ASU 2016-13 requires entities to measure all expected credit losses for most financial assets held at the reporting date based on an expected loss model which includes historical experience, current conditions, and reasonable and supportable forecasts. Entities will now use forward-looking information to better form their credit loss estimates. ASU 2016-13 also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an entity’s portfolio. ASU 2016-13, ASU 2019-05, ASU 2019-04 and ASU 2018-19 are effective for us on May 1, 2020, including interim periods within those fiscal periods, with early adoption permitted. We are currently assessing the impact the new guidance will have on our consolidated financial statements. Leases In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)”. Subsequently, the FASB issued in March 2019, ASU 2019-01, “Leases (Topic 842): Codification Improvements”, in December 2018 ASU 2018-20, “Leases (Topic 842): Narrow Scope Improvements for Lessors”, and in July 2018 the FASB issued ASU 2018-11, “Leases (Topic 842): Targeted Improvements” and ASU 2018-10, “Codification Improvements to Topic 842, Leases”. ASU 2016-02 requires an entity to recognize a right-of-use asset (“ROU”) and lease liability for all leases with terms of more than 12 months and provide enhanced disclosures. Recognition, measurement, and presentation of expenses will depend on classification as a finance or operating lease. Similar modifications have been made to lessor accounting in-line with revenue recognition guidance. The new standard provides a number of optional practical expedients in transition. We expect to elect the practical expedients to forgo a reassessment of (1) whether any expired or existing contracts are or contain leases, (2) the lease classification for any expired or existing leases, and (3) initial direct costs. We do not expect to elect the practical expedient allowing the use-of-hindsight which would require us to reassess the lease term of our leases based on all facts and circumstances through the effective date. In addition, we do not expect to elect the practical expedient pertaining to land easements. In addition, the new standard provides as a practical expedient, certain policy elections for ongoing lease accounting to (i) not separate nonlease components from the associated lease component if certain conditions are met, and (ii) not recognize ROU assets and lease liabilities for leases that qualify as short-term. If the short-term recognition exemption is elected, we will not recognize ROU assets or lease liabilities for existing short-term leases in transition. We expect to elect these policy elections. The standard is effective for us on May 1, 2019, with early adoption permitted. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. A company may choose to use either (1) its effective date or (2) the beginning of the earliest comparative period presented in the financial statements as of its date of initial application. We adopted the new standard on May 1, 2019 and used the effective date as the date of initial application. Accordingly, previously reported financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods before May 1, 2019. We expect to recognize operating lease liabilities ranging from approximately $175 to $185 million based on the present value of the remaining minimum rental payments for existing operating leases and ROU assets ranging from approximately $135 to $145 million on our Consolidated Statements of Financial Position. Additionally, we are in the process of implementing a lease accounting system for our leases, including the conversion of our existing lease data to a new system and implementing relevant internal controls and procedures. See Note 15, “Commitment and Contingencies,” of the Notes to Consolidated Financial Statements for details of our operating leases and future commitments. |
Revenue Recognition, Contract_2
Revenue Recognition, Contracts with Customers (Policies) | 12 Months Ended |
Apr. 30, 2019 | |
Revenue Recognition, Contracts with Customers [Abstract] | |
Revenue from Contract with Customer | Description of Revenue Generating Activities We generate our revenues from sales from our three reportable segments. We report our segment information in accordance with the provisions of FASB ASC Topic 280, “Segment Reporting” (“FASB ASC Topic 280”). Our segment reporting structure consists of three reportable segments, which are listed below, and a Corporate category: ● Research, ● Publishing, and ● Solutions. Research Segment Included within the Research segment are the following revenue streams: ● Journal Subscriptions, ● Open Access, ● Licensing, Reprints, Backfiles and Other, and ● Publishing Technology Services (Atypon). Journal Subscriptions We publish approximately 1,700 academic research journals. We sell journal subscriptions directly through our sales representatives, indirectly through independent subscription agents, through promotional campaigns, and through memberships in professional societies for those journals that are sponsored by societies. Journal subscriptions are primarily licensed through contracts for digital content available online through Wiley Online Library , which we migrated to our Literatum platform, acquired as part of our purchase of Atypon Systems, Inc. ( Atypon ) in March 2018. Contracts are negotiated by us directly with customers or their subscription agents. Subscription periods typically cover calendar years. Print journals are generally mailed to subscribers directly from independent printers. We do not own or manage printing facilities. Subscription revenue is generally collected in advance. In a In journal subscriptions, multiple performance obligations exist, which include a stand-ready promise to provide access to new content for one year and a perpetual license for access to historical journal content. The transaction price consists of fixed consideration. We allocate revenue to the stand-ready promise to provide access to new content for one year based on its standalone selling price and the revenue for new content is recognized over time as we have a continuous stand-ready obligation to provide the right of access to additional intellectual property. The allocation of revenue to the perpetual licenses for access to historical journal content is done using the expected cost plus a margin approach as permitted by the new revenue standard. Revenue is recognized at the point in time when access to historical content is initially granted. Open Access Under the Author-Funded Access business model, accepted research articles are published subject to payment of Article Publication Charges (“APCs”). All Author-Funded articles are immediately free to access online. Contributors of Author-Funded Access articles retain many rights and typically license their work under terms that permit re-use. Author-Funded Access offers authors choices in how to share and disseminate their work, and it serves the needs of researchers who may be required by their research funder to make articles freely accessible without embargo. APCs are typically paid by the individual author or by the author’s funder, and payments are often mediated by the author’s institution. We provide specific workflows and infrastructure to authors, funders and institutions to support the requirements of the Author-Funded Access model. Customers in open access are typically individual educational institutions or a consortium of universities. Under the Author-Funded Access model, we have a signed contract with the customer that contains enforceable rights. The Author-Funded Access model in a typical model includes an over-time single performance obligation that combines a promise to host the customer’s content on our open access platform, and a promise to provide a discount on APCs of eligible users (as defined in the contract) in exchange for an upfront payment. Enforceable right to payment occurs over time as we fulfill our obligation to provide a discount to eligible users, as defined, on future APCs. Therefore, the upfront payment is deferred and recognized over time. In January 2019, Wiley announced a new contractual arrangement in support of Open Access, a countrywide partnership agreement with Projekt DEAL, a representative of nearly 700 academic institutions in Germany. This transformative three-year agreement provides all Projekt DEAL institutions with access to read Wiley’s academic journals back to the year 1997, and researchers at Projekt DEAL institutions can publish articles open access in Wiley’s journals. The partnership will better support institutions and researchers in advancing open science, driving discovery, and developing and disseminating knowledge. We are compensated primarily through a fee per article published. Licensing, Reprints, Backfiles and Other Licensing, Reprints, Backfiles, and Other includes advertising, backfile sales, the licensing of publishing rights, journal and article reprints, and individual article sales. A backfile license provides access to a historical collection of Wiley journals, generally for a one-time fee. Within Licensing, the revenue derived from these contracts is primarily comprised of advance payments, including minimum guarantees and sales- or usage-based royalty agreements. For our sales-or usage-based royalty agreements, we recognize revenue in the period of usage based on the amounts earned. We record revenue under these arrangements for the amounts due and not yet reported to us based on estimates of the sales or usage of these customers and pursuant to the terms of the contracts. We also have certain licenses whereby we receive a non-refundable minimum guarantee against a volume-based royalty throughout the term of the agreement. We recognize revenue for the minimum guarantee on a straight-line basis over the term of the agreement because of the stand-ready promise to provide updates during the subscription period. We recognize volume-based royalty income only when cumulative consideration exceeds the minimum guarantee. Reprints contracts generally contain a single performance obligation which is the delivery of printed articles. Revenue is recognized at the time of delivery of the printed articles. For Backfiles, the performance obligation is the granting of a functional intellectual property license. Revenue is recognized at the time the functional intellectual property license is granted. Other includes our Article Select offering, whereby we have a single performance obligation to our customers to give access to an article through the purchase of a token. The customer redeems the token for access to the article for a 24-hour period. The customer purchases the tokens with an upfront cash payment. Revenue is recognized when access to the article is provided. Publishing Technology Services (Atypon) Atypon is a publishing software and service provider that enables scholarly and professional societies and publishers to deliver, host, enhance, market, and manage their content on the web through the Literatum Publishing Segment Included within the Publishing segment are the following revenue streams: ● STM (Scientific, Technical and Medical) and Professional Publishing, ● Education Publishing, ● Courseware (WileyPLUS), ● Test Preparation and Certification, and ● Licensing, Distribution, Advertising and Other. STM (Scientific, Technical and Medical) and Professional Publishing and Education Publishing STM books are sold and distributed globally in digital and print formats through multiple channels, including research libraries and library consortia, independent subscription agents, direct sales to professional society members, bookstores, online booksellers, and other customers. Professional books, which include business and finance, technology, and other professional categories, as well as the For Dummies Education textbooks and related supplementary material and digital products are sold primarily to bookstores and online booksellers serving both for-profit and nonprofit educational institutions (primarily colleges and universities), and direct-to-students. We employ sales representatives who call on faculty responsible for selecting books to be used in courses, and on the bookstores that serve such institutions and their students. The textbook business is seasonal, with the majority of textbook sales occurring during the July-through-October and December-through-January periods. Book sales for STM, Professional and Education Publishing are generally made on a returnable basis with certain restrictions. Our performance obligations as it relates to STM, Professional and Education Publishing are primarily book products delivered in both print and digital form which could include a single or multiple performance obligations based on the number of International Standard Book Number (“ISBN’s”) purchased. This revenue stream also includes variable consideration as it relates to discounts and returns for both print and digital books. Discounts are identifiable by performance obligation and therefore are applied at the point of sale by performance obligation. The process that we use to determine our sales returns and the related reserve provision charged against revenue is based on applying an estimated return rate to current year returnable print book sales. This rate is based upon an analysis of actual historical return experience in the various markets and geographic regions in which we do business. We collect, maintain and analyze significant amounts of sales returns data for large volumes of homogeneous transactions. This allows us to make reasonable estimates of the amount of future returns. All available data is utilized to identify the returns by market and to which fiscal year the sales returns apply. This enables management to track the returns in detail and identify and react to trends occurring in the marketplace, with the objective of being able to make the most informed judgments possible in setting reserve rates. Associated with the estimated sales return reserves, we also include a related reduction in inventory and royalty costs as a result of the expected returns. As it relates to print and digital books within the STM, Professional and Education Publishing, revenue is recognized at the point when control of product transfers, which for print is upon shipment or for digital when fulfillment of the products has been rendered. Courseware (WileyPLUS) We offer high-quality online learning solutions, including WileyPLUS, a research-based, online environment for effective teaching and learning that is integrated with a complete digital textbook. Courseware customers purchase access codes to utilize the product. This could include a single or multiple performance obligations based on the number of course ISBN’s purchased. Revenue is recognized when the access codes are activated and then over the applicable semester term such product relates to. Test Preparation and Certification The Test Preparation and Certification business represents learning solutions, training activities and print and digital formats that are delivered to customers directly through online digital delivery platforms, bookstores, online booksellers, and other customers. Products include CPAExcel, a modular, digital platform comprised of online self-study, videos, mobile apps, and sophisticated planning tools to help professionals prepare for the CPA exam, and test preparation products for the CFA®, CMA, CIA®, CMT®, FRN®, FINRA, Banking, and PMP® exams. Test Preparation and Certification contracts are generally three-year agreements. This revenue stream includes multiple performance obligations as it relates to the on-line and printed course materials, including such items as text books, e-books, video lectures, flashcards, study guides and test banks. The transaction price is fixed; however, discounts are offered and returns of certain products are allowed. We allocate revenue to each performance obligation based on its standalone selling price. Depending on the performance obligation, revenue is recognized at the time the product is delivered and control has passed to the customer or over time due to our stand-ready obligation to provide updates to the customer. Licensing, Distribution, Advertising and Other Licensing and distribution services are made available to other publishers under agency arrangements. We also engage in co-publishing titles with international publishers and receive licensing revenue from photocopies, reproductions, translations, and digital uses of our content. Wiley also realizes advertising revenue from branded Web sites (e.g., Dummies.com, etc.) and online applications. Licensing, Distribution, Advertising and Other contracts are generally multi-year agreements. Revenue derived from our licensing contracts is primarily comprised of advance payments and sales- or usage-based royalties. Revenue for advance payments is recognized at the point in time that the functional intellectual property license is granted. For sales- or usage- based royalties, we record revenue under these arrangements for the amounts due and not yet reported to us based on estimates of the sales or usage of these customers and pursuant to the terms of the contracts. Solutions Segment Included within the Solutions segment are the following revenue streams: ● Education Services, ● Professional Assessment, and ● Corporate Learning. Education Services As student demand for online degree and certificate programs continues to increase, traditional institutions are partnering with o nline program management Education Services includes a single performance obligation for the services provided because of the integrated technology and services our institutional clients need to attract, enroll, educate and support students. Consideration is variable since it is based on the number of students enrolled in a program. We begin to recognize revenue at the start of the delivery of the class within a semester, which is also when the variable consideration contingency is resolved. Professional Assessment Our Professional Assessment services include pre-hire screening and post-hire personality assessments, which are delivered to business customers through online digital delivery platforms, either directly or through an authorized distributor network of independent consultants, trainers, and coaches. Professional Assessment services contracts are generally one year. Professional Assessment includes a performance obligation to stand ready to provide assessments to our distributor’s customers or to provide assessments direct to a customer. Revenue for Professional Assessments is recognized at the time the product or service is provided or delivered. Consideration is allocated to assessments based on standalone selling prices. In addition, as it relates to Professional Assessments customers' unexercised rights for situations where we have received a nonrefundable payment for a customer to receive a good or service and the customer is not expected to exercise such right, we will recognize such “breakage” amounts as revenue in proportion to the pattern of rights exercised by the customer. Corporate Learning The Corporate Learning business offers online learning and training solutions for global corporations, universities, and small and medium-sized enterprises, which are sold on a subscription or fee basis. Learning formats and modules on topics such as leadership development, value creation, client orientation, change management and corporate strategy are delivered on a cloud-based Learning Management System (“LMS”) platform that hosts over 20,000 content assets (videos, digital learning modules, written files, etc.) in 17 languages. Its Mohive offering also provides a collaborative e-learning publishing and program creation system. Revenue growth is derived from legacy markets, such as France, England, and other European markets, and newer markets, such as the U.S. and Brazil. In addition, content and LMS offerings are continuously refreshed and expanded to serve a wider variety of customer needs. The transaction price consists of fixed consideration that is determined at the beginning of each year and received at the same time. Within Corporate Learning there are multiple performance obligations which includes the licenses to learning content and the learning application. Revenue is recognized over time as we have a continuous obligation to provide the right of access to the intellectual property which includes the licenses and learning applications. Accounts Receivable, net and Contract Liability (Deferred Revenue) Balances When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded. Contract liabilities are recognized as revenue when, or as, control of the products or services are transferred to the customer and all revenue recognition criteria have been met. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards [Abstract] | |
Net Sales Return Reserves by Balance Sheet Account | The reserves are reflected in the following accounts of the Consolidated Statements of Financial Position – increase (decrease): 2019 2018 Accounts receivable, net (1) $ — $ (28,302 ) Inventories, net $ 3,739 $ 4,626 Accrued royalties $ (3,653 ) $ (5,048 ) Contract liability (Deferred revenue) (1) $ 25,934 $ — Decrease in Net Assets $ (18,542 ) $ (18,628 ) (1) Due to Revenue from Contracts with Customers |
Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the Consolidated Statements of Financial Position that sum to the total of the same such amounts shown in the Consolidated Statements of Cash Flows. April 30, 2019 April 30, 2018 April 30, 2017 April 30, 2016 Cash and cash equivalents $ 92,890 $ 169,773 $ 58,516 $ 363,806 Restricted cash included in Prepaid expenses and other current assets 658 484 — — Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows $ 93,548 $ 170,257 $ 58,516 $ 363,806 |
Cumulative Effect of Changes Made to Consolidated Balance Sheet As a Result of Adoption of New Revenue Standard | The impact of the adoption of the new revenue standard was not material to our Consolidated Statements of Income for the year ended April 30, 2019; therefore, we have omitted the disclosure that summarizes the effect of the revenue recognition standard by line item on our Consolidated Statements of Income. The impact to the Consolidated Statements of Financial Position was also not material by line item, except for the reclassification of the sales return reserve provision to contract liability from accounts receivable, net. April 30, 2018 Adjustments due to Adoption May 1, 2018 Assets Accounts receivable, net $ 212,377 $ 93,349 $ 305,726 Product development assets 78,814 (3,725 ) 75,089 Technology, property and equipment, net 289,934 (361 ) 289,573 Other non-current assets 85,802 5,274 91,076 Liabilities Accrued royalties 73,007 (731 ) 72,276 Contract liability (Deferred revenue) 486,353 89,364 575,717 Deferred income tax liabilities 143,518 1,400 144,918 Retained earnings $ 1,834,057 $ 4,503 $ 1,838,560 |
Revenue Recognition, Contract_3
Revenue Recognition, Contracts with Customers (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Revenue Recognition, Contracts with Customers [Abstract] | |
Revenue from Contracts With Customers Disaggregated by Segment and Product Type | The following tables present our revenue from contracts with customers disaggregated by segment and product type for the years ended April 30, 2019, 2018 and 2017: Years Ended April 30, 2019 2018 2017 Research Publishing Solutions Total Research Publishing Solutions Total Research Publishing Solutions Total Research: Journals Subscriptions $ 661,055 $ — $ — $ 661,055 $ 677,685 $ — $ — $ 677,685 $ 639,720 $ — $ — $ 639,720 Open Access 54,671 — — 54,671 41,997 — — 41,997 30,633 — — 30,633 Licensing, Reprints, Backfiles and Other 185,619 — — 185,619 181,806 — — 181,806 164,070 — — 164,070 Publishing Technology Services (Atypon) 35,968 — — 35,968 32,907 — — 32,907 19,066 — — 19,066 Publishing: STM and Professional Publishing — 265,719 — 265,719 — 287,315 — 287,315 — 291,255 — 291,255 Education Publishing — 157,579 — 157,579 — 187,178 — 187,178 — 196,343 — 196,343 Courseware (WileyPLUS) — 63,485 — 63,485 — 59,475 — 59,475 — 62,348 — 62,348 Test Preparation and Certification — 40,606 — 40,606 — 35,534 — 35,534 — 35,609 — 35,609 Licensing, Distribution, Advertising and Other — 46,803 — 46,803 — 48,146 — 48,146 — 47,894 — 47,894 Solutions: Education Services — — 157,549 157,549 — — 119,131 119,131 — — 111,638 111,638 Professional Assessment — — 65,889 65,889 — — 61,094 61,094 — — 59,868 59,868 Corporate Learning — — 65,126 65,126 — — 63,835 63,835 — — 60,086 60,086 Total $ 937,313 $ 574,192 $ 288,564 $ 1,800,069 $ 934,395 $ 617,648 $ 244,060 $ 1,796,103 $ 853,489 $ 633,449 $ 231,592 $ 1,718,530 |
Contract Asset and Liability Balances | The following table provides information about receivables and contract liabilities from contracts with customers. April 30, 2019 April 30, 2018 (1) Increase/ (Decrease) Balances from contracts with customers: Accounts receivable, net (2) $ 294,867 $ 212,377 $ 82,490 Contract liability (Deferred revenue) (2) 507,365 486,353 21,012 Contract liability (Deferred revenue) (included in Other Long-Term Liabilities) $ 10,722 $ — $ 10,722 (1) (2) $28.3 million. |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Acquisition [Abstract] | |
Consideration Transferred and Preliminary Allocation of Purchase Price | The transaction was accounted for using the acquisition method of accounting. We recorded the preliminary fair value of the assets acquired and liabilities assumed on the acquisition date, all of which are included in the Solutions segment. None of the goodwill will be deductible for tax purposes. The allocation of the consideration transferred to the assets acquired and the liabilities assumed is preliminary and could be revised as a result of additional information obtained due to the finalization of the third-party valuation report, tax related matters and contingencies, but such amounts will be finalized within the measurement period, which will not exceed one year from the acquisition date. The following table summarizes the consideration transferred to acquire Learning House and the preliminary allocation of the purchase price among the assets acquired and the liabilities assumed. Preliminary Allocation as of April 30, 2019 Total consideration transferred $ 201,274 Assets: Current Assets Cash and cash equivalents 10,293 Accounts receivable, net 8,621 Prepaid expenses and other current assets 1,439 Total Current Assets 20,353 Technology, Property and Equipment, net 343 Intangible Assets, net 109,548 Goodwill 110,805 Other Non-Current Assets 5,025 Total Assets $ 246,074 Liabilities: Current Liabilities Accounts payable 1,542 Contract liability (Deferred revenue) 959 Accrued employment costs 4,925 Other accrued liabilities 9,422 Total Current Liabilities 16,848 Deferred Income Tax Liabilities 26,769 Other Long-Term Liabilities 1,184 Total Liabilities $ 44,801 |
Intangible Assets Acquired and Weighted-Average Useful Life | The following table summarizes the identifiable intangible assets acquired and their weighted-average useful life at the date of acquisition. Estimated Fair Value Weighted-Average Useful Life (in Years) Customer Relationships $ 103,850 15 Course Content 5,698 4 Total $ 109,548 |
Reconciliation of Weighted Av_2
Reconciliation of Weighted Average Shares Outstanding (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Reconciliation of Weighted Average Shares Outstanding [Abstract] | |
Reconciliation of Shares used in Computation of Earnings Per Share | A reconciliation of the shares used in the computation of earnings per share for the years ended April 30 follows: 2019 2018 2017 Weighted average shares outstanding 57,240 57,181 57,531 Less: Unvested restricted shares (48) (138) (194) Shares used for basic earnings per share 57,192 57,043 57,337 Dilutive effect of stock options and other stock awards 648 845 862 Shares used for diluted earnings per share 57,840 57,888 58,199 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component, Net of Tax | Changes in Accumulated Other Comprehensive Loss by component, net of tax, for the years ended April 30, 2019, 2018, and 2017 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total Balance at April 30, 2016 $ (267,920 ) $ (179,405 ) $ (361 ) $ (447,686 ) Other comprehensive (loss) income before reclassifications (51,292 ) (18,458 ) 2,735 (67,015 ) Amounts reclassified from Accumulated Other Comprehensive Loss — 7,361 53 7,414 Total other comprehensive (loss) income (51,292 ) (11,097 ) 2,788 (59,601 ) Balance at April 30, 2017 $ (319,212 ) $ (190,502 ) $ 2,427 $ (507,287 ) Other comprehensive income (loss) before reclassifications 67,639 (4,979 ) 1,739 64,399 Amounts reclassified from Accumulated Other Comprehensive Loss — 4,455 (1,147 ) 3,308 Total other comprehensive income (loss) 67,639 (524 ) 592 67,707 Balance at April 30, 2018 $ (251,573 ) $ (191,026 ) $ 3,019 $ (439,580 ) Other comprehensive (loss) income before reclassifications (60,534 ) (9,422 ) 1,121 (68,835 ) Amounts reclassified from Accumulated Other Comprehensive Loss — 4,391 (4,714 ) (323 ) Total other comprehensive loss (60,534 ) (5,031 ) (3,593 ) (69,158 ) Balance at April 30, 2019 $ (312,107 ) $ (196,057 ) $ (574 ) $ (508,738 ) |
Restructuring and Related Cha_2
Restructuring and Related Charges (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Restructuring and Related Charges [Abstract] | |
Pre-tax Restructuring (Credits) Charges | The following tables summarize the pre-tax restructuring charges related to this program: 2019 2018 2017 Total Charges Incurred to Date Charges by Segment: Research $ 1,131 $ 5,257 $ 1,949 $ 26,544 Publishing 650 6,443 1,596 39,581 Solutions 878 3,695 1,787 7,125 Corporate Expenses 459 13,171 8,023 96,378 Total Restructuring and Related Charges $ 3,118 $ 28,566 $ 13,355 $ 169,628 Charges (Credits) by Activity: Severance $ 1,456 $ 27,213 $ 8,386 $ 116,259 Consulting and Contract Termination Costs 526 1,815 148 21,155 Other Activities 1,136 (462 ) 4,821 32,214 Total Restructuring and Related Charges $ 3,118 $ 28,566 $ 13,355 $ 169,628 |
Activity for Restructuring and Reinvestment Program Liability | The following table summarizes the activity for the Restructuring and Reinvestment Program liability for the year ended April 30, 2019: April 30, 2018 Charges Payments Foreign Translation & Other Adjustments April 30, 2019 Severance $ 17,279 $ 1,456 $ (13,388 ) $ (460 ) $ 4,887 Consulting and Contract Termination Costs — 526 (223 ) — 303 Other Activities 2,772 1,136 (1,608 ) 244 2,544 Total $ 20,051 $ 3,118 $ (15,219 ) $ (216 ) $ 7,734 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Inventories [Abstract] | |
Inventories | Inventories, net at April 30 were as follows: 2019 2018 Finished Goods $ 33,736 $ 36,503 Work-in-Process 2,094 2,139 Paper and Other Materials 373 550 36,203 39,192 Inventory Value of Estimated Sales Returns 3,739 4,626 LIFO Reserve (4,360 ) (4,329 ) Total Inventories $ 35,582 $ 39,489 |
Product Development Assets (Tab
Product Development Assets (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Product Development Assets [Abstract] | |
Product Development Assets | Product development assets consisted of the following at April 30: 2019 2018 Book Composition Costs $ 19,197 $ 24,887 Software Costs 38,048 52,078 Content Development Costs 5,225 1,849 Total $ 62,470 $ 78,814 |
Technology, Property and Equi_2
Technology, Property and Equipment (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Technology, Property and Equipment [Abstract] | |
Technology, Property and Equipment | Technology, property and equipment, net consisted of the following at April 30: 2019 2018 Capitalized Software $ 440,437 $ 390,774 Computer Hardware 68,718 57,493 Buildings and Leasehold Improvements 118,685 121,381 Furniture, Fixtures, and Warehouse Equipment 57,471 60,869 Land and Land Improvements 3,390 3,678 688,701 634,195 Accumulated Depreciation and Amortization (399,680 ) (344,261 ) Total $ 289,021 $ 289,934 The following table details our depreciation and amortization expense for technology, property and equipment, net for the years ended April 30: 2019 2018 2017 Capitalized Software Amortization Expense $ 50,095 $ 45,449 $ 48,343 Depreciation and Amortization Expense, Excluding Capitalized Software 19,323 18,878 18,340 Total Depreciation and Amortization Expense for Technology, Property and Equipment $ 69,418 $ 64,327 $ 66,683 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Goodwill and Intangible Assets [Abstract] | |
Activity in Goodwill by Segment | The following table summarizes the activity in goodwill by segment as of April 30: 2018 (1) Acquisition (2) Foreign Translation Adjustment 2019 Research $ 463,419 $ — $ (24,908 ) $ 438,511 Publishing 283,851 — (706 ) 283,145 Solutions 272,531 110,805 (9,326 ) 374,010 Total $ 1,019,801 $ 110,805 $ (34,940 ) $ 1,095,666 (1) The April 30, 2018 goodwill balances were revised for the Publishing segment which decreased and the Solutions segment which increased to reflect foreign translation adjustments of $11.6 million. (2) Refer to Note 4, “Acquisition,” in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House on November 1, 2018. |
Intangible Assets | Intangibles Intangible assets, net as of April 30 were as follows: 2019 2018 Cost Accumulated Amortization Accumulated Impairment Net Cost Accumulated Amortization Accumulated Impairment Net Intangible Assets with Determinable Lives, net Content and Publishing Rights (1) $ 806,628 $ (417,456 ) $ — $ 389,172 $ 824,146 $ (387,386 ) $ — $ 436,760 Customer Relationships (1) 310,977 (65,147 ) — 245,830 212,020 (50,291 ) — 161,729 Brands and Trademarks 32,802 (19,809 ) — 12,993 32,111 (16,011 ) — 16,100 Covenants not to Compete 1,681 (1,236 ) — 445 1,499 (844 ) — 655 Total 1,152,088 (503,648 ) — 648,440 1,069,776 (454,532 ) — 615,244 Intangible Assets with Indefinite Lives Brands and Trademarks 134,509 — (3,600 ) 130,909 142,189 — (3,600 ) 138,589 Content and Publishing Rights 86,223 — — 86,223 94,238 — — 94,238 Total 220,732 — (3,600 ) 217,132 236,427 — (3,600 ) 232,827 Total Intangible Assets, Net $ 1,372,820 $ (503,648 ) $ (3,600 ) $ 865,572 $ 1,306,203 $ (454,532 ) $ (3,600 ) $ 848,071 (1) |
Future Amortization Expense | Based on the current amount of intangible assets subject to amortization and assuming current foreign exchange rates, the estimated amortization expense for the following years are as follows: Fiscal Year Amount 2020 $ 50,419 2021 48,517 2022 44,115 2023 40,305 2024 37,929 Thereafter 427,155 Total $ 648,440 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Income Taxes [Abstract] | |
Provision for Income Taxes | The provisions for income taxes for the years ended April 30 were as follows: 2019 2018 2017 Current Provision U.S. – Federal $ 2,384 $ (2,216 ) $ 912 International 52,518 46,112 105,228 State and Local 2,536 961 100 Total Current Provision $ 57,438 $ 44,857 $ 106,240 Deferred Provision (Benefit) U.S. – Federal $ 335 $ (26,062 ) $ (13,852 ) International (7,630 ) 2,420 (15,330 ) State and Local (5,454 ) 530 415 Total Deferred (Benefit) Provision $ (12,749 ) $ (23,112 ) $ (28,767 ) Total Provision $ 44,689 $ 21,745 $ 77,473 |
International and United States Pretax Income | International and United States pretax income for the years ended April 30 were as follows: 2019 2018 2017 International $ 204,326 $ 219,178 $ 192,910 United States 8,626 (5,247 ) (1,794 ) Total $ 212,952 $ 213,931 $ 191,116 |
Reconciliation of Effective Income Tax Rate | Our effective income tax rate as a percentage of pretax income differed from the U.S. federal statutory rate as shown below: 2019 2018 2017 U.S. Federal Statutory Rate 21.0% 30.4% 35.0% German Tax Litigation Expense — — 25.7 Cost (Benefit) of Higher (Lower) Taxes on Non-U.S. Income 0.9 (8.4) (12.7) State Income Taxes, net of U.S. Federal Tax Benefit (1.3) 0.4 0.1 Deferred Tax (Benefit) from U.S. Tax Reform Rate Change 0.1 (11.7) — Deferred Tax Benefit from U.K. Statutory Tax Rate Change — — (1.3) Tax Credits and Related Benefits (0.8) (1.7) (6.2) Tax Adjustments and Other 1.1 1.2 (0.1) Effective Income Tax Rate 21.0% 10.2% 40.5% A substantial portion of our 2019 income was earned outside the U.S. in jurisdictions with different statutory income tax rates than our U.S. statutory rate including: U.K. (57%), Germany (24%), and Australia (7%). |
Unrecognized Tax Benefits | A reconciliation of the unrecognized tax benefits included within the Other Long-Term Liabilities line item on the Consolidated Statements of Financial Position follows: 2019 2018 Balance at May 1 $ 6,833 $ 6,124 Additions for Current Year Tax Positions 1,473 1,372 Additions for Prior Year Tax Positions 414 69 Reductions for Prior Year Tax Positions (578 ) (38 ) Foreign Translation Adjustment (42 ) 45 Payments and Settlements (136 ) (124 ) Reductions for Lapse of Statute of Limitations (305 ) (615 ) Balance at April 30 $ 7,659 $ 6,833 |
Deferred Tax Assets and Liabilities | We believe that it is more likely than not that the results of future operations will generate sufficient taxable income to realize the net deferred tax assets. The significant components of deferred tax assets and liabilities at April 30 were as follows: 2019 2018 Net Operating Losses $ 14,491 $ 8,976 Reserve for Sales Returns and Doubtful Accounts 2,923 2,506 Accrued Employee Compensation 17,528 20,096 Foreign and Federal Credits 34,401 31,109 Other Accrued Expenses 6,262 4,632 Retirement and Post-Employment Benefits 40,653 39,160 Total Gross Deferred Tax Assets $ 116,258 $ 106,479 Less Valuation Allowance (21,179 ) (8,811 ) Total Deferred Tax Assets $ 95,079 $ 97,668 Prepaid Expenses and Other Current Assets $ (744 ) $ (3,203 ) Unremitted Foreign Earnings (1,985 ) (1,985 ) Intangible and Fixed Assets (226,898 ) (231,869 ) Total Deferred Tax Liabilities $ (229,627 ) $ (237,057 ) Net Deferred Tax Liabilities $ (134,548 ) $ (139,389 ) Reported As Deferred Tax Assets $ 9,227 $ 4,129 Deferred Tax Liabilities (143,775 ) (143,518 ) Net Deferred Tax Liabilities $ (134,548 ) $ (139,389 ) |
Commitment and Contingencies (T
Commitment and Contingencies (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Commitments and Contingencies [Abstract] | |
Net Rent Expense for Operating Leases | The following schedule shows the composition of net rent expense for operating leases: 2019 2018 2017 Minimum Rental $ 29,066 $ 31,451 $ 35,464 Less: Sublease Rentals (719 ) (708 ) (626 ) Total $ 28,347 $ 30,743 $ 34,838 |
Estimated Future Minimum Annual Rental Commitments under Non-cancelable Real and Personal Property Leases | At April 30, 2019, estimated future minimum annual rental commitments under non-cancelable real and personal property leases, were as follows: Fiscal Year Amount 2020 $ 30,887 2021 27,326 2022 23,183 2023 19,257 2024 18,576 Thereafter 129,382 Total $ 248,611 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Retirement Plans [Abstract] | |
Net Periodic Pension Expense (Income) for Defined Benefit Plans and Weighted-Average Assumptions | The components of net pension expense (income) for the defined benefit plans and the weighted average assumptions were as follows: 2019 2018 2017 U.S. Non-U.S. U.S. Non-U.S. U.S. Non-U.S. Service Cost $ — $ 912 $ — $ 960 $ — $ 967 Interest Cost 11,704 12,943 11,666 13,876 12,398 14,449 Expected Return on Plan Assets (13,472 ) (25,551 ) (13,154 ) (26,385 ) (14,053 ) (21,173 ) Net Amortization of Prior Service Cost (154 ) 57 (154 ) 57 (154 ) 54 Recognized Net Actuarial Loss 2,035 3,746 2,289 3,832 2,622 2,553 Curtailment/Settlement Loss — — - 19 8,842 — Net Pension Expense (Income) $ 113 $ (7,893 ) $ 647 $ (7,641 ) $ 9,655 $ (3,150 ) Discount Rate 4.3 % 2.6 % 4.1 % 2.6 % 4.0 % 3.5 % Rate of Compensation Increase N/A 3.0 % N/A 3.0 % N/A 3.0 % Expected Return on Plan Assets 6.8 % 6.5 % 6.8 % 6.5 % 6.8 % 6.7 % |
Amounts in Accumulated Other Comprehensive Loss to Be Recognized as Components of Net Periodic Benefit Cost During Next Fiscal Year | The amounts in Accumulated Other Comprehensive Loss that are expected to be recognized as components of net periodic benefit cost during the next fiscal year are as follows: U.S. Non-U.S. Total Actuarial Loss $ 2,390 $ 4,091 $ 6,481 Prior Service Cost (154 ) 82 (72 ) Total $ 2,236 $ 4,173 $ 6,409 |
Changes in and Status of Plans' Assets and Benefit Obligations | The following table sets forth the changes in and the status of our defined benefit plans’ assets and benefit obligations: 2019 2018 U.S. Non-U.S. U.S. Non-U.S. CHANGE IN PLAN ASSETS Fair Value of Plan Assets, Beginning of Year $ 204,983 $ 419,448 $ 200,001 $ 390,133 Actual Return on Plan Assets 9,705 24,891 15,352 2,780 Employer Contributions 14,753 11,872 5,020 8,385 Employee Contributions — — — — Settlements — — - (239 ) Benefits Paid (15,813 ) (16,282 ) (15,390 ) (15,909 ) Foreign Currency Rate Changes — (31,680 ) — 34,298 Fair Value, End of Year $ 213,628 $ 408,249 $ 204,983 $ 419,448 CHANGE IN PROJECTED BENEFIT OBLIGATION Benefit Obligation, Beginning of Year $ (279,644 ) $ (540,686 ) $ (290,785 ) $ (519,588 ) Service Cost — (912 ) — (960 ) Interest Cost (11,704 ) (12,943 ) (11,666 ) (13,876 ) Actuarial Gains (Losses) (9,662 ) (11,013 ) 7,417 23,528 Benefits Paid 15,813 16,282 15,390 15,909 Foreign Currency Rate Changes — 41,143 — (45,938 ) Settlements and Other — (886 ) - 239 Benefit Obligation, End of Year $ (285,197 ) $ (509,015 ) $ (279,644 ) $ (540,686 ) Underfunded Status, End of Year $ (71,569 ) $ (100,766 ) $ (74,661 ) $ (121,238 ) AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION Current Pension Liability (5,188 ) (816 ) (4,818 ) (780 ) Noncurrent Pension Liability (66,381 ) (99,950 ) (69,843 ) (120,458 ) Net Amount Recognized in Statement of Financial Position $ (71,569 ) $ (100,766 ) $ (74,661 ) $ (121,238 ) AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF Net Actuarial (Losses) $ (94,028 ) $ (177,157 ) $ (82,636 ) $ (183,316 ) Prior Service Cost Gains (Losses) 2,408 (1,154 ) 2,562 (441 ) Total Accumulated Other Comprehensive Loss $ (91,620 ) $ (178,311 ) $ (80,074 ) $ (183,757 ) Change in Accumulated Other Comprehensive Loss $ (11,546 ) $ 5,446 $ 11,749 $ (11,708 ) WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES Discount Rate 4.1 % 2.4 % 4.3 % 2.6 % Rate of Compensation Increase N/A 3.0 % N/A 3.0 % Accumulated Benefit Obligations $ (285,197 ) $ (477,561 ) $ (279,644 ) $ (507,932 ) |
Pension Plan Assets at Fair Value by Level Within Fair Value Hierarchy | We did not maintain any level 3 assets during the years ended April 30, 2019 and 2018. In accordance with ASU 2015-07, “Fair Value Measurement (“Topic 820”), certain investments that are measured at fair value using the net asset value (“NAV”) per share (or its equivalent) practical expedient do not have to be classified in the fair value hierarchy. We adopted ASU 2015-07 in the year ended April 30, 2018 and it was applied retrospectively to all periods presented. The fair value amounts presented in the following tables are intended to permit reconciliation of the fair value hierarchy to the amounts presented for the total pension benefit plan assets. The following tables set forth, by level within the fair value hierarchy, pension plan assets at their fair value as of April 30: 2019 2018 Level 1 Level 2 Total Level 1 Level 2 Total U.S. Plan Assets Investments measured at NAV: Global Equity Securities: Limited Partnership $ 109,490 $ 95,933 Fixed Income Securities: Commingled Trust Funds 104,138 100,295 Other: Real Estate Commingled Trust Fund — 8,755 Total Assets at NAV $ 213,628 $ 204,983 Non-U.S. Plan Assets Equity Securities: U.S. Equities $ — $ 39,652 $ 39,652 $ — $ 31,203 $ 31,203 Non-U.S. Equities — 117,575 117,575 — 96,387 96,387 Balanced Managed Funds — 48,550 48,550 — 91,743 91,743 Fixed Income Securities: Commingled Funds 855 199,720 200,575 — 197,804 197,804 Other: Real Estate/Other — 501 501 — 549 549 Cash and Cash Equivalents 1,396 — 1,396 1,762 — 1,762 Total Non-U.S. Plan Assets $ 2,251 $ 405,998 $ 408,249 $ 1,762 $ 417,686 $ 419,448 Total Plan Assets $ 2,251 $ 405,998 $ 621,877 $ 1,762 $ 417,686 $ 624,431 |
Expected Future Benefit Payments | Benefit payments to retirees from all defined benefit plans are expected to be the following in the fiscal year indicated: Fiscal Year U.S. Non-U.S. Total 2020 $ 16,287 $ 8,868 $ 25,155 2021 14,741 9,610 24,351 2022 14,894 11,019 25,913 2023 15,259 11,433 26,692 2024 15,436 12,097 27,533 2025 – 2029 76,053 71,732 147,785 Total $ 152,670 $ 124,759 $ 277,429 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Stock-Based Compensation [Abstract] | |
Estimated Weighted-Average Fair Value for Options Granted and Significant Weighted-Average Assumptions Used | The following table provides the estimated weighted average fair value for options granted in the year ended April 30, 2016 using the Black-Scholes option-pricing model and the significant weighted average assumptions used in their determination. The expected life represents an estimate of the period of time stock options will be outstanding based on the historical exercise behavior of option recipients. The risk-free interest rate is based on the corresponding U.S. Treasury yield curve in effect at the time of the grant. The expected volatility is based on the historical volatility of our Common Stock price over the estimated life of the option, while the dividend yield is based on the expected dividend payments to be made by us. 2016 Fair Value of Options on Grant Date $ 14.77 Weighted Average assumptions: Expected Life of Options (years) 7.2 Risk-Free Interest Rate 2.1 % Expected Volatility 29.7 % Expected Dividend Yield 2.1 % Fair Value of Common Stock on Grant Date $ 55.99 |
Stock Option Plans | A summary of the activity and status of our stock option plans follows: 2019 2018 2017 Number of Options (in 000’s) Weighted Average Exercise Price Weighted Average Remaining Term (in years) Aggregate Intrinsic Value (in millions) Number of Options (in 000’s) Weighted Average Exercise Price Number of Options (in 000’s) Weighted Average Exercise Price Outstanding at Beginning of Year 611 $ 48.88 1,429 $ 47.39 1,966 $ 46.62 Granted — $ — — $ — — $ — Exercised (229 ) $ 47.21 (788 ) $ 45.97 (469 ) $ 43.74 Expired or Forfeited (10 ) $ 56.97 (30 ) $ 54.24 (68 ) $ 49.91 Outstanding at End of Year 372 $ 49.70 2.8 $ 0.8 611 $ 48.88 1,429 $ 47.39 Exercisable at End of Year 372 $ 49.70 2.8 $ 0.8 530 $ 47.43 1,064 $ 46.04 Vested and Expected to Vest in the Future at April 30 372 $ 49.70 2.8 $ 0.8 599 $ 48.90 1,249 $ 45.88 |
Stock Options Outstanding and Exercisable | The following table summarizes information about stock options outstanding and exercisable at April 30, 2019: Options Outstanding Options Exercisable Range of Exercise Prices Number of Options (in 000’s) Weighted Average Remaining Term (in years) Weighted Average Exercise Price Number of Options (in 000’s) Weighted Average Exercise Price $ 35.04 11 0.2 $ 35.04 11 $ 35.04 $ 39.53 to $40.02 101 2.3 $ 39.71 101 $ 39.71 $ 48.06 to $49.55 106 2.3 $ 48.69 106 $ 48.69 $ 55.99 to $59.70 154 3.6 $ 57.87 154 $ 57.87 Total/Average 372 2.8 $ 49.70 372 $ 49.70 |
Activity for Performance-Based and Other Restricted Stock Awards | Activity for performance-based and other restricted stock awards during the years ended April 30, 2019, 2018, and 2017 was as follows (shares in thousands): 2019 2018 2017 Restricted Shares Weighted Average Grant Date Value Restricted Shares Restricted Shares Nonvested Shares at Beginning of Year 861 $ 53.22 913 915 Granted 415 $ 62.63 525 509 Change in Shares Due to Performance (19 ) $ 44.17 (107 ) (67 ) Vested and Issued (357 ) $ 54.95 (318 ) (267 ) Forfeited (144 ) $ 55.37 (152 ) (177 ) Nonvested Shares at End of Year 756 $ 57.38 861 913 |
Capital Stock and Changes in _2
Capital Stock and Changes in Capital Accounts (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Capital Stock and Changes in Capital Accounts [Abstract] | |
Summary of Changes of Common Stock and Common Stock in Treasury | The following is a summary of changes during the years ended April 30, in shares of our common stock and common stock in treasury (shares in thousands). Changes in Common Stock A: 2019 2018 2017 Number of shares, beginning of year 70,111 70,086 69,798 Common stock class conversions and other 16 25 288 Number of shares issued, end of year 70,127 70,111 70,086 Changes in Common Stock A in treasury: Number of shares held, beginning of year 21,853 22,097 21,709 Purchase of treasury shares 1,192 713 953 Restricted shares issued under stock-based compensation plans - non-PSU Awards (210) (153) (74) Restricted shares issued under stock-based compensation plans - PSU Awards (110) (126) (186) Stock grants of fully vested Class A shares - common stock — (20) (24) Restricted shares, forfeited 9 15 8 Restricted shares issued from exercise of stock options (229) (788) (469) Shares withheld for taxes 130 116 97 Other (1) (1) 83 Number of shares held, end of year 22,634 21,853 22,097 Number of Common Stock A outstanding, end of year 47,493 48,258 47,989 Changes in Common Stock B: 2019 2018 2017 Number of shares, beginning of year 13,071 13,096 13,392 Common stock class conversions and other (16) (25) (296) Number of shares issued, end of year 13,055 13,071 13,096 Changes in Common Stock B in treasury: Number of shares held, beginning of year 3,918 3,918 3,917 Shares repurchased — — 1 Number of shares held, end of year 3,918 3,918 3,918 Number of Common Stock B outstanding, end of year 9,137 9,153 9,178 |
Cash Dividends Paid | The following table summarizes the cash dividends paid during the year ended April 30, 2019: Date of Declaration by Board of Directors Quarterly Cash Dividend Total Dividend Class of Common Stock Dividend Paid Date Shareholders of Record as of Date June 21, 2018 $0.33 per common share $19.0 million Class A and Class B July 18, 2018 July 3, 2018 September 26, 2018 $0.33 per common share $18.9 million Class A and Class B October 24, 2018 October 9, 2018 December 19, 2018 $0.33 per common share $18.9 million Class A and Class B January 16, 2019 January 2, 2019 March 20, 2019 $0.33 per common share $18.6 million Class A and Class B April 17, 2019 April 2, 2019 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Segment Information [Abstract] | |
Segment Information | Segment information is as follows: For the Years Ended April 30, 2019 2018 2017 Revenue: Research $ 937,313 $ 934,395 $ 853,489 Publishing 574,192 617,648 633,449 Solutions 288,564 244,060 231,592 Total Revenue $ 1,800,069 $ 1,796,103 $ 1,718,530 Contribution to Profit (1) Research $ 258,875 $ 271,326 $ 250,648 Publishing 118,901 121,639 124,531 Solutions 14,967 22,099 14,822 Total Contribution to Profit $ 392,743 $ 415,064 $ 390,001 Corporate Expenses (168,754 ) (183,603 ) (178,531 ) Operating Income $ 223,989 $ 231,461 $ 211,470 (1) See Note 3, “Revenue Recognition, Contracts with Customers,” for revenue from contracts with customers disaggregated by segment and product type for the years ended April 30, 2019, 2018 and 2017. |
Total Revenue by Product/Service and Total Assets, Expenditure for Long-Lived Assets and Depreciation and Amortization by Segment | For the Years Ended April 30, 2019 2018 2017 Total Assets Research $ 1,152,973 $ 1,238,178 $ 1,133,846 Publishing 643,549 575,033 582,339 Solutions 751,854 563,489 575,068 Corporate 388,626 462,751 314,964 Total $ 2,937,002 $ 2,839,451 $ 2,606,217 Product Development Spending and Additions to Technology, Property and Equipment Research $ (6,457 ) $ (7,538 ) $ (154,189 ) Publishing (19,712 ) (23,666 ) (29,420 ) Solutions (9,001 ) (16,786 ) (21,210 ) Corporate (66,423 ) (102,738 ) (98,608 ) Total $ (101,593 ) $ (150,728 ) $ (303,427 ) Depreciation and Amortization Research $ 37,088 $ 33,655 $ 29,330 Publishing 33,892 39,495 43,831 Solutions 34,300 27,703 26,792 Corporate 55,875 53,136 56,608 Total $ 161,155 $ 153,989 $ 156,561 |
Revenue from External Customers Based on Location of The Customer and Technology, Property and Equipment by Geographical Area | Revenue from external customers is based on the location of the customer and Technology, Property and Equipment, Net by geographic area were as follows: Revenue, net Technology, Property and Equipment, Net 2019 2018 2017 2019 2018 2017 United States $ 932,927 $ 913,852 $ 786,574 $ 252,459 $ 249,542 $ 208,572 United Kingdom 150,242 147,406 189,479 18,331 20,955 21,368 Germany 97,505 98,404 75,090 8,423 9,259 8,770 Japan 77,145 81,572 62,674 87 72 75 Australia 77,453 78,270 66,309 1,440 1,454 591 China 55,024 53,076 39,653 688 229 270 Canada 50,882 55,568 50,740 2,659 3,635 1,232 France 51,441 51,826 44,760 403 635 335 India 36,472 41,637 34,306 1,299 1,437 245 Other Countries 270,978 274,492 368,945 3,232 2,716 1,600 Total $ 1,800,069 $ 1,796,103 $ 1,718,530 $ 289,021 $ 289,934 $ 243,058 |
Supplementary Quarterly Finan_2
Supplementary Quarterly Financial Information (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) [Abstract] | |
Quarterly Financial Information | Amounts in millions, except per share data 2019 2018 Revenue, net First Quarter $ 410.9 $ 411.4 Second Quarter 448.6 451.7 Third Quarter 449.4 455.7 Fourth Quarter 491.2 477.3 Year ended April 30, $ 1,800.1 $ 1,796.1 Gross Profit (1) First Quarter $ 283.1 $ 285.5 Second Quarter 316.0 319.6 Third Quarter 305.5 319.3 Fourth Quarter 340.7 340.7 Year ended April 30, $ 1,245.3 $ 1,265.1 Operating Income (2) First Quarter $ 36.1 $ 12.6 Second Quarter 57.5 80.8 Third Quarter 50.3 65.4 Fourth Quarter 80.1 72.7 Year ended April 30, $ 224.0 $ 231.5 Net Income First Quarter $ 26.3 $ 9.2 Second Quarter 43.8 60.0 Third Quarter 34.9 68.8 Fourth Quarter 63.3 54.2 Year ended April 30, $ 168.3 $ 192.2 2019 2018 Basic Diluted Basic Diluted Earnings Per Share (3) First Quarter $ 0.46 $ 0.45 $ 0.16 $ 0.16 Second Quarter 0.76 0.76 1.06 1.04 Third Quarter 0.61 0.61 1.21 1.19 Fourth Quarter 1.11 1.10 0.95 0.93 Year ended April 30, $ 2.94 $ 2.91 $ 3.37 $ 3.32 (1) This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to “Change in Accounting Policy” in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, “Acquisition,” for more information related to the acquisition of Learning House. (2) (3) |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | ||||
Operating Costs and Expenses [Abstract] | ||||||
Cost of sales | [1] | $ 554,722 | $ 531,024 | [2] | $ 500,794 | [2] |
Operating and administrative expenses | [1],[2] | 963,582 | 956,822 | 943,242 | ||
Book Overdrafts [Abstract] | ||||||
Book overdrafts | 7,400 | 13,100 | ||||
Allowance for Doubtful Accounts [Abstract] | ||||||
Allowance for doubtful accounts | 14,300 | 10,100 | ||||
Sales Return Reserves [Abstract] | ||||||
Decrease in net assets | (18,542) | (18,628) | ||||
Inventories [Abstract] | ||||||
LIFO inventories | 21,000 | 24,000 | ||||
Reserve for Inventory Obsolescence [Abstract] | ||||||
Inventory obsolescence reserve | 15,800 | 18,200 | ||||
Advertising Expense [Abstract] | ||||||
Advertising costs | 89,500 | 68,300 | 61,400 | |||
Foreign Currency Gains/Losses [Abstract] | ||||||
Foreign currency translation losses | 60,500 | |||||
Shipping and Handling [Member] | ||||||
Operating Costs and Expenses [Abstract] | ||||||
Cost of sales | 32,700 | 33,700 | 39,100 | |||
Operating and administrative expenses | 32,700 | 33,700 | 39,100 | |||
Reserve for Inventory Obsolescence [Abstract] | ||||||
Inventory obsolescence reserve | 15,800 | 18,200 | ||||
Accounts Receivable, Net [Member] | ||||||
Sales Return Reserves [Abstract] | ||||||
Decrease in net assets | [3] | 0 | (28,302) | |||
Inventories, Net [Member] | ||||||
Sales Return Reserves [Abstract] | ||||||
Decrease in net assets | 3,739 | 4,626 | ||||
Accrued Royalties [Member] | ||||||
Sales Return Reserves [Abstract] | ||||||
Decrease in net assets | (3,653) | (5,048) | ||||
Contract Liability (Deferred Revenue) [Member] | ||||||
Sales Return Reserves [Abstract] | ||||||
Decrease in net assets | [3] | 25,934 | 0 | |||
Cost of Sales [Member] | ||||||
Advertising Expense [Abstract] | ||||||
Advertising costs | 53,700 | 38,300 | 32,400 | |||
Operating and Admin Expenses [Member] | ||||||
Advertising Expense [Abstract] | ||||||
Advertising costs | $ 35,800 | 30,000 | 29,000 | |||
Computer Software [Member] | Minimum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 3 years | |||||
Computer Software [Member] | Maximum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 10 years | |||||
Computer Hardware [Member] | Minimum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 3 years | |||||
Computer Hardware [Member] | Maximum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 5 years | |||||
Building and Leasehold Improvements [Member] | Maximum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 40 years | |||||
Furniture, Fixtures and Warehouse Equipment [Member] | Minimum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 5 years | |||||
Furniture, Fixtures and Warehouse Equipment [Member] | Maximum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 10 years | |||||
Enterprise Resource Planning and Related Systems [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 10 years | |||||
Book Composition Costs [Member] | Minimum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 1 year | |||||
Book Composition Costs [Member] | Maximum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 3 years | |||||
Other Product Development Costs [Member] | Weighted Average [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 5 years | |||||
Software Development [Member] | Minimum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 3 years | |||||
Software Development [Member] | Maximum [Member] | ||||||
Property Plant and Equipment Useful Life [Abstract] | ||||||
Estimated useful life | 5 years | |||||
Content and Publishing Rights [Member] | Weighted Average [Member] | ||||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||||
Estimated useful life | 34 years | |||||
Trademarks [Member] | Weighted Average [Member] | ||||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||||
Estimated useful life | 16 years | |||||
Customer Relationships [Member] | Weighted Average [Member] | ||||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||||
Estimated useful life | 18 years | |||||
Brands [Member] | Weighted Average [Member] | ||||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||||
Estimated useful life | 16 years | |||||
Non-compete Agreements [Member] | Weighted Average [Member] | ||||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||||
Estimated useful life | 3 years | |||||
Performance-based Stock Awards [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Abstract] | ||||||
Target period for stock-based compensation expense in advance of actual financial results | 3 years | |||||
Change in Accounting Policy for Certain Advertising and Marketing Costs [Member] | The Learning House, Inc. [Member] | ||||||
Operating Costs and Expenses [Abstract] | ||||||
Cost of sales | 45,800 | 40,000 | ||||
Operating and administrative expenses | $ (45,800) | $ (40,000) | ||||
[1] | In connection with the acquisition of The Learning House, Inc. ("Learning House"), we changed our accounting policy for certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. Under the new accounting policy, these costs are included in Cost of Sales whereas they were previously included in Operating and Administrative Expenses on the Consolidated Statements of Income. Including these expenses in Cost of Sales will better align these costs with the related revenue and conform with the presentation of such costs for Learning House. This change in accounting policy was applied retrospectively. The Consolidated Statements of Income for the years ended April 30, 2018, and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018, and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to "Change in Accounting Policy" in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House. | |||||
[2] | Due to the retrospective adoption of Accounting Standards Update ("ASU") 2017-07, "Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,", total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest and Other Income (Expense) for the years ended April 30, 2018 and 2017, respectively. Total net benefits (costs) related to the non-service components of defined benefit and other post-employment benefit plans were $8.8 million for the year ended April 30, 2019. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards, in the Notes to Consolidated Financial Statements for more information. | |||||
[3] | Due to the adoption of the new revenue standard, See Note 3, Revenue from Contracts with Customers the sales return reserve as of April 30, 2019 of $25.9 million is recorded in Contract Liability (Deferred Revenue). In prior periods, the sales return reserve of $28.3 million was recorded as a reduction to Accounts Receivable, net on the Consolidated Statements of Financial Position. |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards, Recently Adopted and Issued Accounting Standards (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||
Apr. 30, 2019 | Jan. 31, 2019 | Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | Apr. 30, 2016 | ||||||
Reconciliation of cash, cash equivalents and restricted cash reported within Condensed Consolidated Statement of Cash Flows [Abstract] | |||||||||||||||||
Cash and cash equivalents | $ 92,890 | $ 169,773 | $ 92,890 | $ 169,773 | $ 58,516 | $ 363,806 | |||||||||||
Restricted cash included in Prepaid expenses and other current assets | 658 | 484 | 658 | 484 | 0 | 0 | |||||||||||
Total cash, cash equivalents, and restricted cash shown in the Consolidated Statement of Cash Flows | [1] | 93,548 | 170,257 | 93,548 | 170,257 | 58,516 | $ 363,806 | ||||||||||
Assets [Abstract] | |||||||||||||||||
Accounts receivable, net | 294,867 | [2] | 212,377 | 294,867 | [2] | 212,377 | |||||||||||
Product development assets | 62,470 | 78,814 | 62,470 | 78,814 | |||||||||||||
Technology, property and equipment, net | 289,021 | 289,934 | 289,021 | 289,934 | 243,058 | ||||||||||||
Other non-current assets | 97,308 | 85,802 | 97,308 | 85,802 | |||||||||||||
Liabilities [Abstract] | |||||||||||||||||
Accrued royalties | 78,062 | 73,007 | 78,062 | 73,007 | |||||||||||||
Contract liability (Deferred revenue) | 507,365 | [2] | 486,353 | 507,365 | [2] | 486,353 | |||||||||||
Deferred income tax liabilities | 143,775 | 143,518 | 143,775 | 143,518 | |||||||||||||
Retained earnings | 1,931,074 | 1,834,057 | 1,931,074 | 1,834,057 | |||||||||||||
Accounts receivable, net | 294,867 | [2] | 212,377 | 294,867 | [2] | 212,377 | |||||||||||
Contract liability (Deferred revenue) | 507,365 | [2] | 486,353 | 507,365 | [2] | 486,353 | |||||||||||
Revenue, net | 491,200 | $ 449,400 | $ 448,600 | $ 410,900 | 477,300 | $ 455,700 | $ 451,700 | $ 411,400 | 1,800,069 | 1,796,103 | 1,718,530 | ||||||
Cost of sales | [3] | 554,722 | 531,024 | [4] | 500,794 | [4] | |||||||||||
Topic 606 [Member] | |||||||||||||||||
Liabilities [Abstract] | |||||||||||||||||
Amounts netted down from accounts receivable, net and deferred revenue | 59,500 | 59,500 | |||||||||||||||
Topic 606 [Member] | Adjustments due to Adoption [Member] | |||||||||||||||||
Assets [Abstract] | |||||||||||||||||
Accounts receivable, net | 93,349 | 93,349 | |||||||||||||||
Product development assets | (3,725) | (3,725) | |||||||||||||||
Technology, property and equipment, net | (361) | (361) | |||||||||||||||
Other non-current assets | 5,274 | 5,274 | |||||||||||||||
Liabilities [Abstract] | |||||||||||||||||
Accrued royalties | (731) | (731) | |||||||||||||||
Contract liability (Deferred revenue) | 89,364 | 89,364 | |||||||||||||||
Deferred income tax liabilities | 1,400 | 1,400 | |||||||||||||||
Retained earnings | 4,503 | 4,503 | |||||||||||||||
Accounts receivable, net | 93,349 | 93,349 | |||||||||||||||
Contract liability (Deferred revenue) | 89,364 | 89,364 | |||||||||||||||
Topic 606 [Member] | Balances without Adoption of Topic 606 [Member] | |||||||||||||||||
Assets [Abstract] | |||||||||||||||||
Accounts receivable, net | [2],[5] | 212,377 | 212,377 | ||||||||||||||
Liabilities [Abstract] | |||||||||||||||||
Contract liability (Deferred revenue) | [2],[5] | 486,353 | 486,353 | ||||||||||||||
Accounts receivable, net | [2],[5] | 212,377 | 212,377 | ||||||||||||||
Contract liability (Deferred revenue) | [2],[5] | 486,353 | 486,353 | ||||||||||||||
Topic 606 [Member] | Balances upon Adoption of Topic 606 [Member] | |||||||||||||||||
Assets [Abstract] | |||||||||||||||||
Accounts receivable, net | 305,726 | 305,726 | |||||||||||||||
Product development assets | 75,089 | 75,089 | |||||||||||||||
Technology, property and equipment, net | 289,573 | 289,573 | |||||||||||||||
Other non-current assets | 91,076 | 91,076 | |||||||||||||||
Liabilities [Abstract] | |||||||||||||||||
Accrued royalties | 72,276 | 72,276 | |||||||||||||||
Contract liability (Deferred revenue) | 575,717 | 575,717 | |||||||||||||||
Deferred income tax liabilities | 144,918 | 144,918 | |||||||||||||||
Retained earnings | 1,838,560 | 1,838,560 | |||||||||||||||
Accounts receivable, net | 305,726 | 305,726 | |||||||||||||||
Contract liability (Deferred revenue) | 575,717 | 575,717 | |||||||||||||||
Topic 606 [Member] | Sales Return Reserve Provision [Member] | |||||||||||||||||
Assets [Abstract] | |||||||||||||||||
Accounts receivable, net | 25,900 | 28,300 | 25,900 | 28,300 | |||||||||||||
Liabilities [Abstract] | |||||||||||||||||
Contract liability (Deferred revenue) | 25,900 | 28,300 | 25,900 | 28,300 | |||||||||||||
Accounts receivable, net | 25,900 | 28,300 | 25,900 | 28,300 | |||||||||||||
Contract liability (Deferred revenue) | 25,900 | $ 28,300 | 25,900 | 28,300 | |||||||||||||
ASU 2017-07 Member] | |||||||||||||||||
Recently Adopted Accounting Standards [Abstract] | |||||||||||||||||
Net charges benefits (cost) | 8,800 | 8,100 | (5,300) | ||||||||||||||
ASU 2017-07 Member] | Operating and Administrative Expenses [Member] | |||||||||||||||||
Recently Adopted Accounting Standards [Abstract] | |||||||||||||||||
Net charges benefits (cost) | 8,100 | ||||||||||||||||
ASU 2017-07 Member] | Operating and Administrative Expenses [Member] | Plan [Member] | |||||||||||||||||
Recently Adopted Accounting Standards [Abstract] | |||||||||||||||||
Net charges benefits (cost) | (5,300) | (5,300) | |||||||||||||||
ASU 2017-07 Member] | Interest and Other Income [Member] | |||||||||||||||||
Recently Adopted Accounting Standards [Abstract] | |||||||||||||||||
Net charges benefits (cost) | (5,300) | ||||||||||||||||
ASU 2017-07 Member] | Interest and Other Income [Member] | Plan [Member] | |||||||||||||||||
Recently Adopted Accounting Standards [Abstract] | |||||||||||||||||
Net charges benefits (cost) | 8,800 | 8,100 | $ 8,100 | ||||||||||||||
ASU 2016-18 [Member] | |||||||||||||||||
Recently Adopted Accounting Standards [Abstract] | |||||||||||||||||
Reduction in cash used in operating activities | $ (500) | ||||||||||||||||
ASU 2016-02 [Member] | Minimum [Member] | |||||||||||||||||
Assets and Liabilities, Lessee [Abstract] | |||||||||||||||||
Operating lease, liability | 175,000 | 175,000 | |||||||||||||||
Operating lease, right-of-use asset | 135,000 | 135,000 | |||||||||||||||
ASU 2016-02 [Member] | Maximum [Member] | |||||||||||||||||
Assets and Liabilities, Lessee [Abstract] | |||||||||||||||||
Operating lease, liability | 185,000 | 185,000 | |||||||||||||||
Operating lease, right-of-use asset | $ 145,000 | $ 145,000 | |||||||||||||||
[1] | Due to the retrospective adoption of ASU 2016-18, "Statement of Cash Flows (Topic 230): Restricted Cash," we are now required to include restricted cash as part of the change in cash, cash equivalents, and restricted cash. As a result, amounts which were previously classified as cash flows from operating activities have been reclassified as they are recognized in the total change in cash, cash equivalents and restricted cash. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," in the Notes to Consolidated Financial Statements for more information. | ||||||||||||||||
[2] | Due to the adoption of the new revenue standard, the sales return reserve as of April 30, 2019 of $25.9 million is recorded in Contract Liability (Deferred Revenue). In prior periods, it was recorded as a reduction to Accounts Receivable, net on the Consolidated Statements of Financial Position. At April 30, 2018 the sales return reserve was $28.3 million. | ||||||||||||||||
[3] | In connection with the acquisition of The Learning House, Inc. ("Learning House"), we changed our accounting policy for certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. Under the new accounting policy, these costs are included in Cost of Sales whereas they were previously included in Operating and Administrative Expenses on the Consolidated Statements of Income. Including these expenses in Cost of Sales will better align these costs with the related revenue and conform with the presentation of such costs for Learning House. This change in accounting policy was applied retrospectively. The Consolidated Statements of Income for the years ended April 30, 2018, and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018, and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to "Change in Accounting Policy" in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House. | ||||||||||||||||
[4] | Due to the retrospective adoption of Accounting Standards Update ("ASU") 2017-07, "Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,", total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest and Other Income (Expense) for the years ended April 30, 2018 and 2017, respectively. Total net benefits (costs) related to the non-service components of defined benefit and other post-employment benefit plans were $8.8 million for the year ended April 30, 2019. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards, in the Notes to Consolidated Financial Statements for more information. | ||||||||||||||||
[5] | As noted above, prior period amounts have not been adjusted due to adoption of the new revenue standard under the modified retrospective method. |
Revenue Recognition, Contract_4
Revenue Recognition, Contracts with Customers, Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Apr. 30, 2019 | Jan. 31, 2019 | Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | $ 491,200 | $ 449,400 | $ 448,600 | $ 410,900 | $ 477,300 | $ 455,700 | $ 451,700 | $ 411,400 | $ 1,800,069 | $ 1,796,103 | $ 1,718,530 | ||
Journals Subscriptions [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 661,055 | 677,685 | 639,720 | ||||||||||
Open Access [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 54,671 | 41,997 | 30,633 | ||||||||||
Licensing, Reprints, Backfiles and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 185,619 | 181,806 | 164,070 | ||||||||||
Publishing Technology Services (Atypon) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 35,968 | 32,907 | 19,066 | ||||||||||
STM and Professional Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 265,719 | 287,315 | 291,255 | ||||||||||
Education Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 157,579 | 187,178 | 196,343 | ||||||||||
Courseware (WileyPLUS) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 63,485 | 59,475 | 62,348 | ||||||||||
Test Preparation and Certification [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 40,606 | 35,534 | 35,609 | ||||||||||
Licensing, Distribution, Advertising and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 46,803 | 48,146 | 47,894 | ||||||||||
Education Services [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 157,549 | 119,131 | 111,638 | ||||||||||
Professional Assessment [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 65,889 | 61,094 | 59,868 | ||||||||||
Corporate Learning [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 65,126 | 63,835 | 60,086 | ||||||||||
Operating Segments [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 1,800,069 | 1,796,103 | [1] | 1,718,530 | [1] | ||||||||
Operating Segments [Member] | Research [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 937,313 | 934,395 | [1] | 853,489 | [1] | ||||||||
Operating Segments [Member] | Research [Member] | Journals Subscriptions [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 661,055 | 677,685 | 639,720 | ||||||||||
Operating Segments [Member] | Research [Member] | Open Access [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 54,671 | 41,997 | 30,633 | ||||||||||
Operating Segments [Member] | Research [Member] | Licensing, Reprints, Backfiles and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 185,619 | 181,806 | 164,070 | ||||||||||
Operating Segments [Member] | Research [Member] | Publishing Technology Services (Atypon) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 35,968 | 32,907 | 19,066 | ||||||||||
Operating Segments [Member] | Research [Member] | STM and Professional Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Education Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Courseware (WileyPLUS) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Test Preparation and Certification [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Licensing, Distribution, Advertising and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Education Services [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Professional Assessment [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Research [Member] | Corporate Learning [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 574,192 | 617,648 | [1] | 633,449 | [1] | ||||||||
Operating Segments [Member] | Publishing [Member] | Journals Subscriptions [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Open Access [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Licensing, Reprints, Backfiles and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Publishing Technology Services (Atypon) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | STM and Professional Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 265,719 | 287,315 | 291,255 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Education Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 157,579 | 187,178 | 196,343 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Courseware (WileyPLUS) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 63,485 | 59,475 | 62,348 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Test Preparation and Certification [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 40,606 | 35,534 | 35,609 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Licensing, Distribution, Advertising and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 46,803 | 48,146 | 47,894 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Education Services [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Professional Assessment [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Publishing [Member] | Corporate Learning [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 288,564 | 244,060 | [1] | 231,592 | [1] | ||||||||
Operating Segments [Member] | Solutions [Member] | Journals Subscriptions [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Open Access [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Licensing, Reprints, Backfiles and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Publishing Technology Services (Atypon) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | STM and Professional Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Education Publishing [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Courseware (WileyPLUS) [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Test Preparation and Certification [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Licensing, Distribution, Advertising and Other [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 0 | 0 | 0 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Education Services [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 157,549 | 119,131 | 111,638 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Professional Assessment [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | 65,889 | 61,094 | 59,868 | ||||||||||
Operating Segments [Member] | Solutions [Member] | Corporate Learning [Member] | |||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | |||||||||||||
Revenue | $ 65,126 | $ 63,835 | $ 60,086 | ||||||||||
[1] | Due to the retrospective adoption of ASU 2017-07, total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest Income and Other for the years ended April 30, 2018 and 2017, respectively. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2018 was $4.2 million in Research, $2.3 million in Publishing, and $1.6 million in Corporate expenses. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2017 was $1.6 million in Research, $1.2 million in Publishing, and $(8.1) million in Corporate expenses. |
Revenue Recognition, Contract_5
Revenue Recognition, Contracts with Customers, Description of Revenue Generating Activities (Details) | 12 Months Ended |
Apr. 30, 2019SegmentJournalInstitutionAssetLanguage | |
Description of Revenue Generating Activities [Abstract] | |
Number of reportable segments | Segment | 3 |
Number of academic institutions | Institution | 700 |
Number of languages available for learning contracts | Language | 17 |
Journals Subscriptions [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Number of academic research journals published | Journal | 1,700 |
Duration of contract | 1 year |
Test Preparation and Certification [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 3 years |
Professional Assessment [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 1 year |
Minimum [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Number of content assets available for corporate learning contracts | Asset | 20,000 |
Minimum [Member] | Publishing Technology Services [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 2 years |
Minimum [Member] | Education Services [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 7 years |
Maximum [Member] | Publishing Technology Services [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 5 years |
Maximum [Member] | Education Services [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 10 years |
Revenue Recognition, Contract_6
Revenue Recognition, Contracts with Customers, Accounts Receivable, net and Contract Liability (Deferred Revenue) Balances (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |||
Balances from contracts with customers [Abstract] | |||||
Accounts receivable, net | $ 294,867 | [1] | $ 212,377 | ||
Contract liability (Deferred revenue) | 507,365 | [1] | 486,353 | ||
Contract liability (Deferred revenue) (included in Other Long-Term Liabilities) | 10,722 | ||||
Increase/(decrease) [Abstract] | |||||
Accounts receivable, net | (52,939) | (14,209) | $ (29,886) | ||
Contract liability (Deferred revenue) | 18,106 | 36,243 | $ 22,692 | ||
Sales return reserve recorded in contract liability | 25,900 | ||||
Revenue recognized from beginning contract liability | 530,400 | ||||
Balances without Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | |||||
Balances from contracts with customers [Abstract] | |||||
Accounts receivable, net | [1],[2] | 212,377 | |||
Contract liability (Deferred revenue) | [1],[2] | 486,353 | |||
Contract liability (Deferred revenue) (included in Other Long-Term Liabilities) | [2] | 0 | |||
Effect of Change Higher/(Lower) [Member] | ASU 2014-09 [Member] | |||||
Balances from contracts with customers [Abstract] | |||||
Accounts receivable, net | 93,349 | ||||
Contract liability (Deferred revenue) | $ 89,364 | ||||
Increase/(decrease) [Abstract] | |||||
Accounts receivable, net | [1] | 82,490 | |||
Contract liability (Deferred revenue) | [1] | 21,012 | |||
Contract liability (Deferred revenue) (included in Other Long-Term Liabilities) | $ 10,722 | ||||
[1] | Due to the adoption of the new revenue standard, the sales return reserve as of April 30, 2019 of $25.9 million is recorded in Contract Liability (Deferred Revenue). In prior periods, it was recorded as a reduction to Accounts Receivable, net on the Consolidated Statements of Financial Position. At April 30, 2018 the sales return reserve was $28.3 million. | ||||
[2] | As noted above, prior period amounts have not been adjusted due to adoption of the new revenue standard under the modified retrospective method. |
Revenue Recognition, Contract_7
Revenue Recognition, Contracts with Customers, Remaining Performance Obligations, Assets Recognized for the Costs to Obtain or Fulfill a Contract (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | ||
Remaining Performance Obligations [Abstract] | ||||
Remaining performance obligations | $ 518,100 | |||
Assets Recognized for the Costs to Obtain or Fulfill a Contract [Abstract] | ||||
Costs capitalized | 8,900 | |||
Amortization | 2,600 | |||
Cost of revenue [Abstract] | ||||
Operating and administrative expenses | [1],[2] | 963,582 | $ 956,822 | $ 943,242 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-05-01 | ||||
Remaining Performance Obligations [Abstract] | ||||
Remaining performance obligations excluding sales return reserve | $ 481,500 | |||
Expected timing of satisfaction, period | 12 months | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-05-01 | ||||
Remaining Performance Obligations [Abstract] | ||||
Remaining performance obligations excluding sales return reserve | $ 10,700 | |||
Expected timing of satisfaction, period | ||||
Shipping and Handling [Member] | ||||
Cost of revenue [Abstract] | ||||
Operating and administrative expenses | $ 32,700 | $ 33,700 | $ 39,100 | |
[1] | Due to the retrospective adoption of Accounting Standards Update ("ASU") 2017-07, "Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,", total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest and Other Income (Expense) for the years ended April 30, 2018 and 2017, respectively. Total net benefits (costs) related to the non-service components of defined benefit and other post-employment benefit plans were $8.8 million for the year ended April 30, 2019. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards, in the Notes to Consolidated Financial Statements for more information. | |||
[2] | In connection with the acquisition of The Learning House, Inc. ("Learning House"), we changed our accounting policy for certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. Under the new accounting policy, these costs are included in Cost of Sales whereas they were previously included in Operating and Administrative Expenses on the Consolidated Statements of Income. Including these expenses in Cost of Sales will better align these costs with the related revenue and conform with the presentation of such costs for Learning House. This change in accounting policy was applied retrospectively. The Consolidated Statements of Income for the years ended April 30, 2018, and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018, and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to "Change in Accounting Policy" in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House. |
Acquisitions (Details)
Acquisitions (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 30, 2019 | Nov. 01, 2018 | Sep. 30, 2016 | Apr. 30, 2019 | Jan. 31, 2019 | Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |||
Acquisitions [Abstract] | |||||||||||||||||
Number of shares of common stock warrantholders are allowed to purchase (in shares) | 400,000 | 400,000 | 400,000 | ||||||||||||||
Cash, net of cash acquired | $ 190,415 | $ 0 | $ 125,924 | ||||||||||||||
Current Assets [Abstract] | |||||||||||||||||
Goodwill | $ 1,095,666 | $ 1,095,666 | $ 1,019,801 | [1] | 1,095,666 | 1,019,801 | [1] | ||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Identifiable intangible assets acquired | 648,440 | 648,440 | 615,244 | 648,440 | 615,244 | ||||||||||||
Revenue | 491,200 | $ 449,400 | $ 448,600 | $ 410,900 | 477,300 | $ 455,700 | $ 451,700 | $ 411,400 | 1,800,069 | 1,796,103 | 1,718,530 | ||||||
Operating loss | 80,100 | $ 50,300 | $ 57,500 | $ 36,100 | 72,700 | $ 65,400 | $ 80,800 | 12,600 | 223,989 | 231,461 | [2] | 211,470 | [2] | ||||
Solutions [Member] | |||||||||||||||||
Current Assets [Abstract] | |||||||||||||||||
Goodwill | 374,010 | 374,010 | 272,531 | [1] | 374,010 | 272,531 | [1] | ||||||||||
Customer Relationships [Member] | |||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Identifiable intangible assets acquired | 245,830 | 245,830 | $ 161,729 | 245,830 | 161,729 | ||||||||||||
Atypon Systems Inc [Member] | |||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||
Cash, net of cash acquired | $ 121,000 | ||||||||||||||||
Current Assets [Abstract] | |||||||||||||||||
Intangible Assets, net | 48,000 | ||||||||||||||||
Goodwill | $ 70,000 | ||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Revenue | 36,000 | 32,900 | 19,100 | ||||||||||||||
Operating loss | 3,900 | $ 2,700 | $ 3,500 | ||||||||||||||
The Learning House, Inc. [Member] | |||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||
Percentage of ownership interest acquired | 100.00% | ||||||||||||||||
Payment to acquire business, gross | $ 200,700 | ||||||||||||||||
Cash, net of cash acquired | 190,400 | ||||||||||||||||
Cash acquired | 10,300 | ||||||||||||||||
Assets acquired and liabilities assumed [Abstract] | |||||||||||||||||
Consideration transferred | 201,274 | ||||||||||||||||
Current Assets [Abstract] | |||||||||||||||||
Cash and cash equivalents | 10,293 | 10,293 | 10,293 | ||||||||||||||
Accounts receivable, net | 8,621 | 8,621 | 8,621 | ||||||||||||||
Prepaid expenses and other current assets | 1,439 | 1,439 | 1,439 | ||||||||||||||
Total Current Assets | 20,353 | 20,353 | 20,353 | ||||||||||||||
Technology, Property and Equipment, net | 343 | 343 | 343 | ||||||||||||||
Intangible Assets, net | 109,548 | 109,548 | 109,548 | ||||||||||||||
Goodwill | 110,805 | 110,805 | 110,805 | ||||||||||||||
Other Non-Current Assets | 5,025 | 5,025 | 5,025 | ||||||||||||||
Total Assets | 246,074 | 246,074 | 246,074 | ||||||||||||||
Current Liabilities [Abstract] | |||||||||||||||||
Accounts payable | 1,542 | 1,542 | 1,542 | ||||||||||||||
Contract liability (Deferred revenue) | 959 | 959 | 959 | ||||||||||||||
Accrued employment costs | 4,925 | 4,925 | 4,925 | ||||||||||||||
Other accrued liabilities | 9,422 | 9,422 | 9,422 | ||||||||||||||
Total Current Liabilities | 16,848 | 16,848 | 16,848 | ||||||||||||||
Deferred Income Tax Liabilities | 26,769 | 26,769 | 26,769 | ||||||||||||||
Other Long-Term Liabilities | 1,184 | 1,184 | 1,184 | ||||||||||||||
Total Liabilities | 44,801 | 44,801 | 44,801 | ||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Identifiable intangible assets acquired | $ 109,548 | $ 109,548 | 109,548 | ||||||||||||||
The Learning House, Inc. [Member] | Solutions [Member] | |||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||
Goodwill deductible for tax purposes | $ 0 | ||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Revenue | 31,500 | ||||||||||||||||
Operating loss | $ 8,000 | ||||||||||||||||
The Learning House, Inc. [Member] | Warrants [Member] | |||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||
Issuance of warrants | $ 600 | ||||||||||||||||
Term of warrants | 3 years | 3 years | 3 years | ||||||||||||||
The Learning House, Inc. [Member] | Warrants [Member] | Common Stock Class A [Member] | |||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||
Number of shares of common stock warrantholders are allowed to purchase (in shares) | 400,000 | ||||||||||||||||
Exercise price per share (in dollars per share) | $ 90 | ||||||||||||||||
The Learning House, Inc. [Member] | Customer Relationships [Member] | |||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Identifiable intangible assets acquired | $ 103,850 | $ 103,850 | $ 103,850 | ||||||||||||||
Weighted-average useful life | 15 years | ||||||||||||||||
The Learning House, Inc. [Member] | Course Content [Member] | |||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||
Identifiable intangible assets acquired | $ 5,698 | $ 5,698 | $ 5,698 | ||||||||||||||
Weighted-average useful life | 4 years | ||||||||||||||||
[1] | The April 30, 2018 goodwill balances were revised for the Publishing segment which decreased and the Solutions segment which increased to reflect foreign translation adjustments of $11.6 million. | ||||||||||||||||
[2] | Due to the retrospective adoption of ASU 2017-07, total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest Income and Other for the years ended April 30, 2018 and 2017, respectively. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2018 was $4.2 million in Research, $2.3 million in Publishing, and $1.6 million in Corporate expenses. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2017 was $1.6 million in Research, $1.2 million in Publishing, and $(8.1) million in Corporate expenses. |
Reconciliation of Weighted Av_3
Reconciliation of Weighted Average Shares Outstanding (Details) - shares | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Reconciliation of Weighted Average Shares Outstanding [Abstract] | |||
Weighted Average Shares Outstanding (in shares) | 57,240,000 | 57,181,000 | 57,531,000 |
Less: Unvested restricted shares (in shares) | (48,000) | (138,000) | (194,000) |
Shares Used for Basic Earnings Per Share (in shares) | 57,192,000 | 57,043,000 | 57,337,000 |
Dilutive Effect of Stock Options and Other Stock Awards (in shares) | 648,000 | 845,000 | 862,000 |
Shares Used for Diluted Earnings Per Share (in shares) | 57,840,000 | 57,888,000 | 58,199,000 |
Stock Options [Member] | Common Stock Class A [Member] | |||
Reconciliation of Weighted Average Shares Outstanding and Share Repurchases [Abstract] | |||
Anti-dilutive shares excluded from diluted EPS calculation (in shares) | 260,984 | 244,590 | 301,527 |
Warrants [Member] | Common Stock Class A [Member] | |||
Reconciliation of Weighted Average Shares Outstanding and Share Repurchases [Abstract] | |||
Anti-dilutive shares excluded from diluted EPS calculation (in shares) | 242,402 | 0 | 0 |
Restricted Stock [Member] | |||
Reconciliation of Weighted Average Shares Outstanding and Share Repurchases [Abstract] | |||
Anti-dilutive shares excluded from diluted EPS calculation (in shares) | 0 | 26,740 | 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | $ 1,190,557 | $ 1,003,137 | $ 1,037,106 |
Other comprehensive (loss) income before reclassifications | (68,835) | 64,399 | (67,015) |
Amounts reclassified from Accumulated Other Comprehensive Loss | (323) | 3,308 | 7,414 |
Total Other Comprehensive (Loss) Income | (69,158) | 67,707 | (59,601) |
Balance | 1,181,347 | 1,190,557 | 1,003,137 |
Accumulated Other Comprehensive Loss [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (439,580) | (507,287) | (447,686) |
Balance | (508,738) | (439,580) | (507,287) |
Foreign Currency Translation [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (251,573) | (319,212) | (267,920) |
Other comprehensive (loss) income before reclassifications | (60,534) | 67,639 | (51,292) |
Amounts reclassified from Accumulated Other Comprehensive Loss | 0 | 0 | 0 |
Total Other Comprehensive (Loss) Income | (60,534) | 67,639 | (51,292) |
Balance | (312,107) | (251,573) | (319,212) |
Unamortized Retirement Costs [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (191,026) | (190,502) | (179,405) |
Other comprehensive (loss) income before reclassifications | (9,422) | (4,979) | (18,458) |
Amounts reclassified from Accumulated Other Comprehensive Loss | 4,391 | 4,455 | 7,361 |
Total Other Comprehensive (Loss) Income | (5,031) | (524) | (11,097) |
Balance | (196,057) | (191,026) | (190,502) |
Interest Rate Swaps [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | 3,019 | 2,427 | (361) |
Other comprehensive (loss) income before reclassifications | 1,121 | 1,739 | 2,735 |
Amounts reclassified from Accumulated Other Comprehensive Loss | (4,714) | (1,147) | 53 |
Total Other Comprehensive (Loss) Income | (3,593) | 592 | 2,788 |
Balance | $ (574) | $ 3,019 | $ 2,427 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss, Reclassification out of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | ||
Amortization from Accumulated Other Comprehensive Loss [Abstract] | ||||
Operating and administrative expenses | [1],[2] | $ 963,582 | $ 956,822 | $ 943,242 |
Unamortized Retirement Costs [Member] | Reclassification out of Accumulated Other Comprehensive Loss [Member] | ||||
Amortization from Accumulated Other Comprehensive Loss [Abstract] | ||||
Operating and administrative expenses | $ 5,500 | $ 5,900 | ||
[1] | Due to the retrospective adoption of Accounting Standards Update ("ASU") 2017-07, "Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,", total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest and Other Income (Expense) for the years ended April 30, 2018 and 2017, respectively. Total net benefits (costs) related to the non-service components of defined benefit and other post-employment benefit plans were $8.8 million for the year ended April 30, 2019. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards, in the Notes to Consolidated Financial Statements for more information. | |||
[2] | In connection with the acquisition of The Learning House, Inc. ("Learning House"), we changed our accounting policy for certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. Under the new accounting policy, these costs are included in Cost of Sales whereas they were previously included in Operating and Administrative Expenses on the Consolidated Statements of Income. Including these expenses in Cost of Sales will better align these costs with the related revenue and conform with the presentation of such costs for Learning House. This change in accounting policy was applied retrospectively. The Consolidated Statements of Income for the years ended April 30, 2018, and 2017 have been reclassified to reflect this change in accounting policy. The impact of this reclassification was an increase to Cost of Sales and a corresponding decrease to Operating and Administrative Expenses of $45.8 million and $40.0 million for the years ended April 30, 2018, and 2017, respectively. This reclassification had no impact on Revenue, net, Operating Income, Net Income, or Earnings per Share. Refer to "Change in Accounting Policy" in Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information on the accounting policy change and Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House. |
Restructuring and Related Cha_3
Restructuring and Related Charges, Pre-tax Restructuring Charges (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Restructuring and Related Charges [Abstract] | |||
Restructuring charge (in dollars per share) | $ 3.1 | $ 28.6 | $ 13.4 |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | $ 3,118 | $ 28,566 | $ 13,355 |
Restructuring and Reinvestment Program [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 3,118 | 28,566 | 13,355 |
Restructuring and related charges incurred to date | 169,628 | ||
Restructuring and Reinvestment Program [Member] | Severance [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 1,456 | 27,213 | 8,386 |
Restructuring and related charges incurred to date | 116,259 | ||
Restructuring and Reinvestment Program [Member] | Consulting and Contract Termination Costs [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 526 | 1,815 | 148 |
Restructuring and related charges incurred to date | 21,155 | ||
Restructuring and Reinvestment Program [Member] | Other Activities [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 1,136 | (462) | 4,821 |
Restructuring and related charges incurred to date | 32,214 | ||
Research [Member] | Restructuring and Reinvestment Program [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 1,131 | 5,257 | 1,949 |
Restructuring and related charges incurred to date | 26,544 | ||
Publishing [Member] | Restructuring and Reinvestment Program [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 650 | 6,443 | 1,596 |
Restructuring and related charges incurred to date | 39,581 | ||
Solutions [Member] | Restructuring and Reinvestment Program [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 878 | 3,695 | 1,787 |
Restructuring and related charges incurred to date | 7,125 | ||
Corporate Expenses [Member] | Restructuring and Reinvestment Program [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring and related (credits) charges | 459 | $ 13,171 | $ 8,023 |
Restructuring and related charges incurred to date | $ 96,378 |
Restructuring and Related Cha_4
Restructuring and Related Charges, Activity for Restructuring and Reinvestment Program Liability (Details) - Restructuring and Reinvestment Program [Member] $ in Thousands | 12 Months Ended |
Apr. 30, 2019USD ($) | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, beginning of period | $ 20,051 |
Charges | 3,118 |
Payments | (15,219) |
Foreign translation & other adjustments | (216) |
Restructuring liability, end of period | 7,734 |
Severance [Member] | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, beginning of period | 17,279 |
Charges | 1,456 |
Payments | (13,388) |
Foreign translation & other adjustments | (460) |
Restructuring liability, end of period | 4,887 |
Severance [Member] | Accrued Employment Costs [Member] | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, end of period | 4,900 |
Consulting and Contract Termination Costs [Member] | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, beginning of period | 0 |
Charges | 526 |
Payments | (223) |
Foreign translation & other adjustments | 0 |
Restructuring liability, end of period | 303 |
Other Activities [Member] | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, beginning of period | 2,772 |
Charges | 1,136 |
Payments | (1,608) |
Foreign translation & other adjustments | 244 |
Restructuring liability, end of period | 2,544 |
Other Activities [Member] | Other Accrued Liabilities [Member] | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, end of period | 1,100 |
Other Activities [Member] | Other Long-Term Liabilities [Member] | |
Activity for Restructuring and Reinvestment Program liability [Roll Forward] | |
Restructuring liability, end of period | $ 1,400 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Apr. 30, 2019 | Apr. 30, 2018 |
Inventory, Net [Abstract] | ||
Finished Goods | $ 33,736 | $ 36,503 |
Work-in-Process | 2,094 | 2,139 |
Paper and Other Materials | 373 | 550 |
Gross inventory | 36,203 | 39,192 |
Inventory Value of Estimated Sales Returns | 3,739 | 4,626 |
LIFO Reserve | (4,360) | (4,329) |
Total Inventories | 35,582 | 39,489 |
Inventory obsolescence reserve | $ 15,800 | $ 18,200 |
Product Development Assets (Det
Product Development Assets (Details) - USD ($) $ in Thousands | Apr. 30, 2019 | Apr. 30, 2018 |
Product Development Assets [Abstract] | ||
Product development assets | $ 62,470 | $ 78,814 |
Accumulated amortization | 236,500 | 238,100 |
Book Composition Costs [Member] | ||
Product Development Assets [Abstract] | ||
Product development assets | 19,197 | 24,887 |
Work in process | 4,300 | 4,100 |
Software Costs [Member] | ||
Product Development Assets [Abstract] | ||
Product development assets | 38,048 | 52,078 |
Content Development Costs [Member] | ||
Product Development Assets [Abstract] | ||
Product development assets | $ 5,225 | $ 1,849 |
Technology, Property and Equi_3
Technology, Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | $ 688,701 | $ 634,195 | |
Accumulated Depreciation and Amortization | (399,680) | (344,261) | |
Total | 289,021 | 289,934 | $ 243,058 |
Net book value of capitalized software costs | 200,200 | 198,000 | |
Capitalized Software Amortization Expense | 50,095 | 45,449 | 48,343 |
Depreciation and Amortization Expense, Excluding Capitalized Software | 19,323 | 18,878 | 18,340 |
Total depreciation and amortization expense for technology, property, and equipment | 69,418 | 64,327 | $ 66,683 |
Capitalized Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 440,437 | 390,774 | |
Work in process | 2,300 | 0 | |
Computer Hardware [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 68,718 | 57,493 | |
Buildings and Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 118,685 | 121,381 | |
Furniture, Fixtures and Warehouse Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 57,471 | 60,869 | |
Land and Land Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | $ 3,390 | $ 3,678 |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Goodwill (Details) - USD ($) | 12 Months Ended | |||
Apr. 30, 2019 | Apr. 30, 2018 | |||
Goodwill [Roll Forward] | ||||
Beginning balance | [1] | $ 1,019,801,000 | ||
Acquisition | [2] | 110,805,000 | ||
Foreign translation adjustment | (34,940,000) | |||
Ending balance | 1,095,666,000 | $ 1,019,801,000 | [1] | |
Research [Member] | ||||
Goodwill [Roll Forward] | ||||
Beginning balance | [1] | 463,419,000 | ||
Acquisition | [2] | 0 | ||
Foreign translation adjustment | (24,908,000) | |||
Ending balance | 438,511,000 | 463,419,000 | [1] | |
Publishing [Member] | ||||
Goodwill [Roll Forward] | ||||
Beginning balance | [1] | 283,851,000 | ||
Acquisition | [2] | 0 | ||
Foreign translation adjustment | (706,000) | (11,600) | ||
Ending balance | 283,145,000 | 283,851,000 | [1] | |
Solutions [Member] | ||||
Goodwill [Roll Forward] | ||||
Beginning balance | [1] | 272,531,000 | ||
Acquisition | [2] | 110,805,000 | ||
Foreign translation adjustment | (9,326,000) | 11,600 | ||
Ending balance | $ 374,010,000 | $ 272,531,000 | [1] | |
[1] | The April 30, 2018 goodwill balances were revised for the Publishing segment which decreased and the Solutions segment which increased to reflect foreign translation adjustments of $11.6 million. | |||
[2] | Refer to Note 4, "Acquisition," in the Notes to Consolidated Financial Statements for more information related to the acquisition of Learning House on November 1, 2018. |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jul. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Finite-lived intangible assets [Abstract] | ||||
Cost | $ 1,152,088 | $ 1,069,776 | ||
Accumulated amortization | (503,648) | (454,532) | ||
Total | 648,440 | 615,244 | ||
Intangible assets with indefinite lives [Abstract] | ||||
Cost | 220,732 | 236,427 | ||
Accumulated impairment | (3,600) | (3,600) | ||
Total | 217,132 | 232,827 | ||
Intangible assets (excluding goodwill) [Abstract] | ||||
Cost | 1,372,820 | 1,306,203 | ||
Total Intangible Assets, Net | 865,572 | 848,071 | ||
Impairment charges | 0 | 3,600 | $ 0 | |
Estimated future amortization expense related to intangible assets [Abstract] | ||||
2020 | 50,419 | |||
2021 | 48,517 | |||
2022 | 44,115 | |||
2023 | 40,305 | |||
2024 | 37,929 | |||
Thereafter | 427,155 | |||
Total | 648,440 | 615,244 | ||
Brands and Trademarks [Member] | ||||
Intangible assets with indefinite lives [Abstract] | ||||
Cost | 134,509 | 142,189 | ||
Accumulated impairment | (3,600) | (3,600) | ||
Total | $ 130,909 | 138,589 | ||
Trademarks [Member] | ||||
Intangible assets (excluding goodwill) [Abstract] | ||||
% by which estimated fair value exceeds carrying value | 7.00% | |||
Content and Publishing Rights [Member] | ||||
Intangible assets with indefinite lives [Abstract] | ||||
Cost | $ 86,223 | 94,238 | ||
Accumulated impairment | 0 | 0 | ||
Total | 86,223 | 94,238 | ||
Brands [Member] | ||||
Intangible assets (excluding goodwill) [Abstract] | ||||
Impairment charges | $ 3,600 | |||
Fair value of intangible assets | $ 1,200 | |||
Content and Publishing Rights [Member] | ||||
Finite-lived intangible assets [Abstract] | ||||
Cost | 806,628 | 824,146 | ||
Accumulated amortization | (417,456) | (387,386) | ||
Total | 389,172 | 436,760 | ||
Estimated future amortization expense related to intangible assets [Abstract] | ||||
Total | 389,172 | 436,760 | ||
Customer Relationships [Member] | ||||
Finite-lived intangible assets [Abstract] | ||||
Cost | 310,977 | 212,020 | ||
Accumulated amortization | (65,147) | (50,291) | ||
Total | 245,830 | 161,729 | ||
Estimated future amortization expense related to intangible assets [Abstract] | ||||
Total | 245,830 | 161,729 | ||
Brands and Trademarks [Member] | ||||
Finite-lived intangible assets [Abstract] | ||||
Cost | 32,802 | 32,111 | ||
Accumulated amortization | (19,809) | (16,011) | ||
Total | 12,993 | 16,100 | ||
Estimated future amortization expense related to intangible assets [Abstract] | ||||
Total | 12,993 | 16,100 | ||
Covenants Not to Compete [Member] | ||||
Finite-lived intangible assets [Abstract] | ||||
Cost | 1,681 | 1,499 | ||
Accumulated amortization | (1,236) | (844) | ||
Total | 445 | 655 | ||
Estimated future amortization expense related to intangible assets [Abstract] | ||||
Total | $ 445 | $ 655 | ||
Brands [Member] | ||||
Finite-lived intangible assets [Abstract] | ||||
Estimated useful life | 5 years |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ / shares in Units, $ in Thousands | 4 Months Ended | 12 Months Ended | |||
Apr. 30, 2018 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | Apr. 30, 2016 | |
Current Provision [Abstract] | |||||
U.S. - Federal | $ 2,384 | $ (2,216) | $ 912 | ||
International | 52,518 | 46,112 | 105,228 | ||
State and Local | 2,536 | 961 | 100 | ||
Total Current Provision | 57,438 | 44,857 | 106,240 | ||
Deferred Provision (Benefit) [Abstract] | |||||
U.S. - Federal | 335 | (26,062) | (13,852) | ||
International | (7,630) | 2,420 | (15,330) | ||
State and Local | (5,454) | 530 | 415 | ||
Total Deferred (Benefit) Provision | (12,749) | (23,112) | (28,767) | ||
Total Provision | 44,689 | 21,745 | 77,473 | ||
Foreign and domestic pretax income [Abstract] | |||||
International | 204,326 | 219,178 | 192,910 | ||
United States | 8,626 | (5,247) | (1,794) | ||
Income Before Taxes | $ 212,952 | $ 213,931 | $ 191,116 | ||
Effective income tax rate reconciliation [Abstract] | |||||
U.S. Federal Statutory Rate | 21.00% | 21.00% | 30.40% | 35.00% | |
German Tax Litigation Expense | 0.00% | 0.00% | 25.70% | ||
Cost (Benefit) of Higher (Lower) Taxes on Non-U.S. Income | 0.90% | (8.40%) | (12.70%) | ||
State Income Taxes, net of U.S. Federal Tax Benefit | (1.30%) | 0.40% | 0.10% | ||
Deferred Tax (Benefit) from U.S. Tax Reform Rate Change | 0.10% | (11.70%) | 0.00% | ||
Deferred Tax Benefit from U.K. Statutory Tax Rate Change | 0.00% | 0.00% | (1.30%) | ||
Tax Credits and Related Benefits | (0.80%) | (1.70%) | (6.20%) | ||
Tax Adjustments and Other | 1.10% | 1.20% | (0.10%) | ||
Effective Income Tax Rate | 21.00% | 10.20% | 40.50% | ||
Expense recorded with completion of SAB 118 analysis (2019) and Provisional benefit amount recorded related to re-measurement of net deferred tax liability (2018) | $ 200 | $ 25,000 | |||
Estimated net impact of non-recurring items from Tax Act excluding non-recurring items | 21.00% | 21.90% | |||
Income Tax Contingency [Line Items] | |||||
Recorded tax benefits due to expiration of statute of limitations and favorable resolutions of certain tax matters with tax authorities | $ 300 | $ 600 | |||
Income Tax Disclosure [Line Items] | |||||
U.S. Federal Statutory Rate | 21.00% | 21.00% | 30.40% | 35.00% | |
Repatriation tax rate on foreign earnings held in cash equivalents and certain net assets | 15.50% | ||||
Repatriation tax rate on foreign earnings held in other assets | 8.00% | ||||
Provisional tax expense related to mandatory deemed repatriation tax on foreign earnings | $ 14,200 | ||||
Accounting for uncertainty in income taxes [Abstract] | |||||
Accruals for interest and penalties | $ 600 | 700 | $ 600 | ||
Net interest expense on reserves for unrecognized and recognized tax benefits | 300 | 200 | |||
Total amount of unrecognized tax benefits that, if recognized, would reduce the Company's income tax provision | 6,800 | 7,700 | 6,800 | ||
Reconciliation of unrecognized tax benefits [Roll Forward] | |||||
Tax benefit related to Foreign Derived Intangible Income benefit | 6,833 | 6,124 | |||
Additions for Current Year Tax Positions | 1,473 | 1,372 | |||
Additions for Prior Year Tax Positions | 414 | 69 | |||
Reductions for Prior Year Tax Positions | (578) | (38) | |||
Foreign Translation Adjustment | (42) | ||||
Foreign Translation Adjustment | 45 | ||||
Payments and Settlements | (136) | (124) | |||
Reductions for Lapse of Statute of Limitations | (305) | (615) | |||
Balance, end of period | 6,833 | 7,659 | 6,833 | $ 6,124 | |
Income Tax Examination [Line Items] | |||||
Income tax charge related to unfavorable tax settlement | 0 | 0 | $ 49,029 | ||
Significant components of deferred tax assets and liabilities [Abstract] | |||||
Net Operating Losses | 8,976 | 14,491 | 8,976 | ||
Reserve for Sales Returns and Doubtful Accounts | 2,506 | 2,923 | 2,506 | ||
Accrued Employee Compensation | 20,096 | 17,528 | 20,096 | ||
Foreign and Federal Credits | 31,109 | 34,401 | 31,109 | ||
Other Accrued Expenses | 4,632 | 6,262 | 4,632 | ||
Retirement and Post-Employment Benefits | 39,160 | 40,653 | 39,160 | ||
Total Gross Deferred Tax Assets | 106,479 | 116,258 | 106,479 | ||
Less Valuation Allowance | (8,811) | (21,179) | (8,811) | ||
Total Deferred Tax Assets | 97,668 | 95,079 | 97,668 | ||
Prepaid Expenses and Other Current Assets | (3,203) | (744) | (3,203) | ||
Unremitted Foreign Earnings | (1,985) | (1,985) | (1,985) | ||
Intangible and Fixed Assets | (231,869) | (226,898) | (231,869) | ||
Total Deferred Tax Liabilities | (237,057) | (229,627) | (237,057) | ||
Net Deferred Tax Liabilities | (139,389) | (134,548) | (139,389) | ||
Reported As [Abstract] | |||||
Non-current Deferred Tax Assets | 4,129 | 9,227 | 4,129 | ||
Non-current Deferred Tax Liabilities | (143,518) | (143,775) | (143,518) | ||
Net Deferred Tax Liabilities | $ (139,389) | $ (134,548) | $ (139,389) | ||
U.K. [Member] | |||||
Income Tax Contingency [Line Items] | |||||
Foreign statutory tax rate | 57.00% | 19.00% | |||
Foreign statutory tax rate in 2020 | 17.00% | 18.00% | |||
Tax benefit from the re-measurement legislation enacted | $ (2,600) | ||||
Deferred tax benefits associated with new tax legislation enacted (in dollars per share) | $ 0.04 | ||||
Germany [Member] | |||||
Income Tax Contingency [Line Items] | |||||
Foreign statutory tax rate | 24.00% | ||||
Australia [Member] | |||||
Income Tax Contingency [Line Items] | |||||
Foreign statutory tax rate | 7.00% | ||||
Foreign Tax Authority [Member] | |||||
Effective income tax rate reconciliation [Abstract] | |||||
U.S. Federal Statutory Rate | 13.125% | ||||
Income Tax Disclosure [Line Items] | |||||
U.S. Federal Statutory Rate | 13.125% | ||||
Estimated taxes upon repatriation | $ 2,000 | ||||
Reconciliation of unrecognized tax benefits [Roll Forward] | |||||
Balance, end of period | 1,200 | ||||
Income Tax Examination [Line Items] | |||||
Income tax charge related to unfavorable tax settlement | $ 49,029 | ||||
Income tax charge related to unfavorable tax settlement (in dollars per share) | $ 0.85 | ||||
State and Local Jurisdiction [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carry forwards | 99,000 | ||||
Net operating loss carry forwards, tax effect | $ 6,000 | ||||
State and Local Jurisdiction [Member] | Minimum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carry forwards, expiration period | 1 year | ||||
State and Local Jurisdiction [Member] | Maximum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carry forwards, expiration period | 20 years |
Debt and Available Credit Fac_2
Debt and Available Credit Facilities (Details) - USD ($) $ in Millions | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Revolving Credit Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Outstanding borrowings under revolving credit facilities | $ 478.8 | $ 360 |
Amount of financing available under credit facilities | 1,100 | |
Unused lines of credit | $ 600 | |
Weighted average interest rate on total debt outstanding during the period | 2.69% | 2.44% |
Weighted average interest rate on total debt at period end | 2.88% | 2.58% |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | ||
Line of Credit Facility [Line Items] | ||
Amount of financing available under credit facilities | $ 1,100 | |
Line of credit facility, due date | Mar. 1, 2021 | |
Term of credit facility | 5 years | |
Optional credit limit increase available on request | $ 350 | |
Minimum increments in which optional credit limit increase may be requested | $ 50 | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Minimum [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility fee percentage | 0.15% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Maximum [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit facility fee percentage | 0.25% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | Minimum [Member] | ||
Line of Credit Facility [Line Items] | ||
Applicable margin | 0.98% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | LIBOR [Member] | Maximum [Member] | ||
Line of Credit Facility [Line Items] | ||
Applicable margin | 1.50% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Base Rate [Member] | Minimum [Member] | ||
Line of Credit Facility [Line Items] | ||
Applicable margin | 0.00% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Base Rate [Member] | Maximum [Member] | ||
Line of Credit Facility [Line Items] | ||
Applicable margin | 0.45% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Federal Funds Effective Rate [Member] | ||
Line of Credit Facility [Line Items] | ||
Margin rate over reference rate used in determining base rate | 0.50% | |
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Eurocurrency Rate [Member] | ||
Line of Credit Facility [Line Items] | ||
Margin rate over reference rate used in determining base rate | 1.00% | |
Other Credit Facilities [Member] | Line of Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Outstanding borrowings under revolving credit facilities | $ 0 | $ 0 |
Amount of financing available under credit facilities | $ 2.7 |
Derivative Instruments and Ac_2
Derivative Instruments and Activities (Details) € in Millions, £ in Millions, $ in Millions | 12 Months Ended | ||||
Apr. 30, 2019USD ($) | Apr. 30, 2018USD ($) | Apr. 30, 2017USD ($) | Apr. 30, 2017GBP (£)Contract | Apr. 30, 2017EUR (€)Contract | |
Derivative [Line Items] | |||||
Variable rate loans outstanding | $ 478.8 | ||||
Interest Rate Swaps [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | |||||
Derivative [Line Items] | |||||
Unrecognized gains to be reclassified into net income in the next twelve months | 0.2 | ||||
Interest Rate Swaps [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Interest Expense [Member] | |||||
Derivative [Line Items] | |||||
Net (gains) losses reclassified from Accumulated Other Comprehensive Loss | (4.7) | $ (1.5) | $ 1.1 | ||
Interest Rate Swaps [Member] | Recurring [Member] | Level 2 [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | |||||
Derivative [Line Items] | |||||
Assets fair value of derivative instrument | $ 0.5 | $ 5.1 | |||
Interest Rate Swaps [Member] | April 2016 Interest Rate Swap (Variable Rate Loans) [Member] | LIBOR [Member] | |||||
Derivative [Line Items] | |||||
Inception date | Apr. 4, 2016 | ||||
Fixed interest rate to be paid | 0.92% | ||||
Description of variable rate basis | one-month LIBOR | ||||
Term of variable rate | 1 month | ||||
Term of derivative instrument | 3 years | ||||
Expiration date | May 15, 2019 | ||||
Notional amount of derivative liability | $ 350 | ||||
Forward Exchange Contracts [Member] | Not Designated as Hedging Instrument [Member] | |||||
Derivative [Line Items] | |||||
Number of open derivative contracts held | Contract | 2 | 2 | |||
Notional amount of derivative liability | £ 274 | € 31 | |||
Forward Exchange Contracts [Member] | Not Designated as Hedging Instrument [Member] | Foreign Exchange Transaction Gains (Losses) [Member] | |||||
Derivative [Line Items] | |||||
Gains recognized on derivative instruments | $ 59 |
Commitment and Contingencies (D
Commitment and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Composition of rent expense [Abstract] | |||
Minimum Rental | $ 29,066 | $ 31,451 | $ 35,464 |
Less: Sublease Rentals | (719) | (708) | (626) |
Total | 28,347 | $ 30,743 | $ 34,838 |
Estimated future minimum annual rental commitments under non-cancelable real and personal property leases [Abstract] | |||
2020 | 30,887 | ||
2021 | 27,326 | ||
2022 | 23,183 | ||
2023 | 19,257 | ||
2024 | 18,576 | ||
Thereafter | 129,382 | ||
Total | $ 248,611 |
Retirement Plans, Recent Plan C
Retirement Plans, Recent Plan Curtailments (Details) | 12 Months Ended |
Apr. 30, 2019 | |
Minimum [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Employee retirement age limit under retirement plans | 60 years |
Maximum [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Employee retirement age limit under retirement plans | 65 years |
Supplemental Executive Retirement Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Term of supplemental retirement benefits | 10 years |
Retirement Plans, Components of
Retirement Plans, Components of Net Pension Expense (Income) and Weighted-Average Assumptions (Details) $ in Thousands | Aug. 29, 2016USD ($)Participant | Oct. 31, 2016USD ($) | Apr. 30, 2019USD ($) | Apr. 30, 2018USD ($) | Apr. 30, 2017USD ($) |
Weighted-average assumptions [Abstract] | |||||
Net actuarial loss related to early lump sum payment of pension plan benefit | $ 0 | $ 0 | $ 8,842 | ||
Retirement plans with accumulated benefit obligations in excess of plan assets [Abstract] | |||||
Projected benefit obligation for plans with accumulated benefit obligations in excess of plan assets | 794,200 | 820,400 | |||
Accumulated benefit obligation for plans with accumulated benefit obligations in excess of plan assets | 762,800 | 787,600 | |||
Fair value of plan assets for plans with accumulated benefit obligations in excess of plan assets | 621,900 | 624,400 | |||
U.S. [Member] | |||||
Defined benefit plans, net pension expense (income) [Abstract] | |||||
Service Cost | 0 | 0 | 0 | ||
Interest Cost | 11,704 | 11,666 | 12,398 | ||
Expected Return on Plan Assets | (13,472) | (13,154) | (14,053) | ||
Net Amortization of Prior Service Cost | (154) | (154) | (154) | ||
Recognized Net Actuarial Loss | 2,035 | 2,289 | 2,622 | ||
Curtailment/Settlement Loss | 0 | 0 | 8,842 | ||
Net Pension Expense (Income) | $ 113 | $ 647 | $ 9,655 | ||
Weighted-average assumptions [Abstract] | |||||
Discount Rate | 4.30% | 4.10% | 4.00% | ||
Rate of Compensation Increase | |||||
Expected Return on Plan Assets | 6.80% | 6.80% | 6.80% | ||
Number of eligible participants | Participant | 780 | ||||
Total liability for early payment of pension plan benefit in a single lump sum payment | $ 28,300 | ||||
Lump sum payment for early payment of pension plan benefit | $ 28,300 | ||||
Net actuarial loss related to early lump sum payment of pension plan benefit | $ 8,800 | ||||
Retirement plans with accumulated benefit obligations in excess of plan assets [Abstract] | |||||
Projected benefit obligation for plans with accumulated benefit obligations in excess of plan assets | $ 285,197 | $ 279,644 | |||
Non-U.S. [Member] | |||||
Defined benefit plans, net pension expense (income) [Abstract] | |||||
Service Cost | 912 | 960 | 967 | ||
Interest Cost | 12,943 | 13,876 | 14,449 | ||
Expected Return on Plan Assets | (25,551) | (26,385) | (21,173) | ||
Net Amortization of Prior Service Cost | 57 | 57 | 54 | ||
Recognized Net Actuarial Loss | 3,746 | 3,832 | 2,553 | ||
Curtailment/Settlement Loss | 0 | 19 | 0 | ||
Net Pension Expense (Income) | $ (7,893) | $ (7,641) | $ (3,150) | ||
Weighted-average assumptions [Abstract] | |||||
Discount Rate | 2.60% | 2.60% | 3.50% | ||
Rate of Compensation Increase | 3.00% | 3.00% | 3.00% | ||
Expected Return on Plan Assets | 6.50% | 6.50% | 6.70% | ||
Retirement plans with accumulated benefit obligations in excess of plan assets [Abstract] | |||||
Projected benefit obligation for plans with accumulated benefit obligations in excess of plan assets | $ 477,561 | $ 507,932 |
Retirement Plans, Amounts in Ac
Retirement Plans, Amounts in Accumulated Other Comprehensive Loss to Be Recognized During Next Fiscal Year (Details) $ in Thousands | Apr. 30, 2019USD ($) |
Amounts in Accumulated Other Comprehensive Loss to be recognized in next fiscal year [Abstract] | |
Actuarial Loss | $ 6,481 |
Prior Service Cost | (72) |
Total | 6,409 |
U.S. [Member] | |
Amounts in Accumulated Other Comprehensive Loss to be recognized in next fiscal year [Abstract] | |
Actuarial Loss | 2,390 |
Prior Service Cost | (154) |
Total | 2,236 |
Non-U.S. [Member] | |
Amounts in Accumulated Other Comprehensive Loss to be recognized in next fiscal year [Abstract] | |
Actuarial Loss | 4,091 |
Prior Service Cost | 82 |
Total | $ 4,173 |
Retirement Plans, Changes in an
Retirement Plans, Changes in and Status of Defined Benefit Plans' Assets and Benefit Obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
CHANGE IN PLAN ASSETS [Roll Forward] | |||
Fair Value of Plan Assets, Beginning of Year | $ 624,431 | ||
Fair Value, End of Year | 621,877 | $ 624,431 | |
WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES [Abstract] | |||
Accumulated Benefit Obligations | (794,200) | (820,400) | |
U.S. [Member] | |||
CHANGE IN PLAN ASSETS [Roll Forward] | |||
Fair Value of Plan Assets, Beginning of Year | 204,983 | 200,001 | |
Actual Return on Plan Assets | 9,705 | 15,352 | |
Employer Contributions | 14,753 | 5,020 | |
Employee Contributions | 0 | 0 | |
Settlements | 0 | 0 | |
Benefits Paid | (15,813) | (15,390) | |
Foreign Currency Rate Changes | 0 | 0 | |
Fair Value, End of Year | 213,628 | 204,983 | $ 200,001 |
CHANGE IN PROJECTED BENEFIT OBLIGATION [Roll Forward] | |||
Benefit Obligation, Beginning of Year | (279,644) | (290,785) | |
Service Cost | 0 | 0 | 0 |
Interest Cost | (11,704) | (11,666) | (12,398) |
Actuarial Gains (Losses) | (9,662) | 7,417 | |
Benefits Paid | 15,813 | 15,390 | |
Foreign Currency Rate Changes | 0 | 0 | |
Settlements and Other | 0 | 0 | |
Benefit Obligation, End of Year | (285,197) | (279,644) | (290,785) |
Underfunded Status, End of Year | (71,569) | (74,661) | |
AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION [Abstract] | |||
Current Pension Liability | (5,188) | (4,818) | |
Noncurrent Pension Liability | (66,381) | (69,843) | |
Net Amount Recognized in Statement of Financial Position | (71,569) | (74,661) | |
AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF [Abstract] | |||
Net Actuarial (Losses) | (94,028) | (82,636) | |
Prior Service Cost Gains (Losses) | 2,408 | 2,562 | |
Total Accumulated Other Comprehensive Loss | (91,620) | (80,074) | |
Change in Accumulated Other Comprehensive Loss | $ (11,546) | $ 11,749 | |
WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES [Abstract] | |||
Discount Rate | 4.10% | 4.30% | |
Rate of Compensation Increase | |||
Accumulated Benefit Obligations | $ (285,197) | $ (279,644) | |
Non-U.S. [Member] | |||
CHANGE IN PLAN ASSETS [Roll Forward] | |||
Fair Value of Plan Assets, Beginning of Year | 419,448 | 390,133 | |
Actual Return on Plan Assets | 24,891 | 2,780 | |
Employer Contributions | 11,872 | 8,385 | |
Employee Contributions | 0 | 0 | |
Settlements | 0 | (239) | |
Benefits Paid | (16,282) | (15,909) | |
Foreign Currency Rate Changes | (31,680) | 34,298 | |
Fair Value, End of Year | 408,249 | 419,448 | 390,133 |
CHANGE IN PROJECTED BENEFIT OBLIGATION [Roll Forward] | |||
Benefit Obligation, Beginning of Year | (540,686) | (519,588) | |
Service Cost | (912) | (960) | (967) |
Interest Cost | (12,943) | (13,876) | (14,449) |
Actuarial Gains (Losses) | (11,013) | 23,528 | |
Benefits Paid | 16,282 | 15,909 | |
Foreign Currency Rate Changes | 41,143 | (45,938) | |
Settlements and Other | (886) | 239 | |
Benefit Obligation, End of Year | (509,015) | (540,686) | $ (519,588) |
Underfunded Status, End of Year | (100,766) | (121,238) | |
AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION [Abstract] | |||
Current Pension Liability | (816) | (780) | |
Noncurrent Pension Liability | (99,950) | (120,458) | |
Net Amount Recognized in Statement of Financial Position | (100,766) | (121,238) | |
AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF [Abstract] | |||
Net Actuarial (Losses) | (177,157) | (183,316) | |
Prior Service Cost Gains (Losses) | (1,154) | (441) | |
Total Accumulated Other Comprehensive Loss | (178,311) | (183,757) | |
Change in Accumulated Other Comprehensive Loss | $ 5,446 | $ (11,708) | |
WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES [Abstract] | |||
Discount Rate | 2.40% | 2.60% | |
Rate of Compensation Increase | 3.00% | 3.00% | |
Accumulated Benefit Obligations | $ (477,561) | $ (507,932) |
Retirement Plans, Pension Plan
Retirement Plans, Pension Plan Assets/Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Pension plan assets/investments [Abstract] | |||
Acceptable ranges within which asset allocations will fluctuate | 5.00% | ||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | $ 621,877 | $ 624,431 | |
Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 2,251 | 1,762 | |
Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | $ 405,998 | 417,686 | |
Equity Securities [Member] | |||
Pension plan assets/investments [Abstract] | |||
Target allocation percentage | 50.00% | ||
Fixed Income Securities and Cash [Member] | |||
Pension plan assets/investments [Abstract] | |||
Target allocation percentage | 50.00% | ||
U.S. [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | $ 213,628 | 204,983 | $ 200,001 |
U.S. [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 213,628 | 204,983 | |
U.S. [Member] | Global Equity Securites: Limited Partnership [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 109,490 | 95,933 | |
U.S. [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 104,138 | 100,295 | |
U.S. [Member] | Other: Real Estate Commingled Trust Fund [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 0 | 8,755 | |
Non-U.S. [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 408,249 | 419,448 | $ 390,133 |
Non-U.S. [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 2,251 | 1,762 | |
Non-U.S. [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 405,998 | 417,686 | |
Non-U.S. [Member] | U.S. Equities [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 39,652 | 31,203 | |
Non-U.S. [Member] | U.S. Equities [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 0 | 0 | |
Non-U.S. [Member] | U.S. Equities [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 39,652 | 31,203 | |
Non-U.S. [Member] | Non-U.S. Equities [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 117,575 | 96,387 | |
Non-U.S. [Member] | Non-U.S. Equities [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 0 | 0 | |
Non-U.S. [Member] | Non-U.S. Equities [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 117,575 | 96,387 | |
Non-U.S. [Member] | Balanced Managed Funds [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 48,550 | 91,743 | |
Non-U.S. [Member] | Balanced Managed Funds [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 0 | 0 | |
Non-U.S. [Member] | Balanced Managed Funds [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 48,550 | 91,743 | |
Non-U.S. [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 200,575 | 197,804 | |
Non-U.S. [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 855 | 0 | |
Non-U.S. [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 199,720 | 197,804 | |
Non-U.S. [Member] | Real Estate/Other [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 501 | 549 | |
Non-U.S. [Member] | Real Estate/Other [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 0 | 0 | |
Non-U.S. [Member] | Real Estate/Other [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 501 | 549 | |
Non-U.S. [Member] | Cash and Cash Equivalents [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 1,396 | 1,762 | |
Non-U.S. [Member] | Cash and Cash Equivalents [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | 1,396 | 1,762 | |
Non-U.S. [Member] | Cash and Cash Equivalents [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair Value of Plan Assets | $ 0 | $ 0 |
Retirement Plans, Expected Empl
Retirement Plans, Expected Employer Contributions and Benefit Payments and Other Retirement Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Expected employer contributions to the defined benefit pension plans | $ 17,000 | ||
Discretionary contribution | 10,000 | ||
Expected future benefit payments [Abstract] | |||
2020 | 25,155 | ||
2021 | 24,351 | ||
2022 | 25,913 | ||
2023 | 26,692 | ||
2024 | 27,533 | ||
2025-2029 | 147,785 | ||
Total | 277,429 | ||
U.S. [Member] | |||
Expected future benefit payments [Abstract] | |||
2020 | 16,287 | ||
2021 | 14,741 | ||
2022 | 14,894 | ||
2023 | 15,259 | ||
2024 | 15,436 | ||
2025-2029 | 76,053 | ||
Total | 152,670 | ||
Other postretirement benefits [Abstract] | |||
Annual (credits) expenses for benefit plans | 113 | $ 647 | $ 9,655 |
Non-U.S. [Member] | |||
Expected future benefit payments [Abstract] | |||
2020 | 8,868 | ||
2021 | 9,610 | ||
2022 | 11,019 | ||
2023 | 11,433 | ||
2024 | 12,097 | ||
2025-2029 | 71,732 | ||
Total | 124,759 | ||
Other postretirement benefits [Abstract] | |||
Annual (credits) expenses for benefit plans | (7,893) | (7,641) | (3,150) |
Non-U.S. [Member] | Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected employer contributions to the defined benefit pension plans | 11,700 | ||
Postretirement Life Insurance and Health Care Benefits [Member] | |||
Other postretirement benefits [Abstract] | |||
Curtailment gain (loss) | 2,500 | ||
Accumulated post-retirement benefit obligation | 1,600 | 1,800 | |
Annual (credits) expenses for benefit plans | (100) | (100) | (200) |
Defined Contribution Savings Plan [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Expense recorded | $ 13,100 | $ 14,400 | $ 15,500 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - 2014 Key Employee Stock Plan [Member] - Class A Common Stock [Member] | Apr. 30, 2019shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares authorized for issuance under the plan (in shares) | 6,500,000 |
Remaining shares available for future issuance under the plan (in shares) | 4,355,399 |
Stock-Based Compensation, Stock
Stock-Based Compensation, Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | Apr. 30, 2016 | Apr. 30, 2015 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||||
Options Outstanding, Number of Options (in shares) | 372 | ||||
Options Outstanding, Weighted Average Remaining Term | 2 years 9 months 18 days | ||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 49.70 | ||||
Options Exercisable, Number of Options (in shares) | 372 | ||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 49.70 | ||||
$35.04 [Member] | |||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||||
Options Outstanding, Number of Options (in shares) | 11 | ||||
Options Outstanding, Weighted Average Remaining Term | 2 months 12 days | ||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 35.04 | ||||
Options Exercisable, Number of Options (in shares) | 11 | ||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 35.04 | ||||
$39.53 to $40.02 [Member] | |||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||||
Range of Exercise Prices, Lower Range Limit (in dollars per share) | 39.53 | ||||
Range of Exercise Prices, Upper Range Limit (in dollars per share) | $ 40.02 | ||||
Options Outstanding, Number of Options (in shares) | 101 | ||||
Options Outstanding, Weighted Average Remaining Term | 2 years 3 months 18 days | ||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 39.71 | ||||
Options Exercisable, Number of Options (in shares) | 101 | ||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 39.71 | ||||
$48.06 to $49.55 [Member] | |||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||||
Range of Exercise Prices, Lower Range Limit (in dollars per share) | 48.06 | ||||
Range of Exercise Prices, Upper Range Limit (in dollars per share) | $ 49.55 | ||||
Options Outstanding, Number of Options (in shares) | 106 | ||||
Options Outstanding, Weighted Average Remaining Term | 2 years 3 months 18 days | ||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 48.69 | ||||
Options Exercisable, Number of Options (in shares) | 106 | ||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 48.69 | ||||
$55.99 to $59.70 [Member] | |||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |||||
Range of Exercise Prices, Lower Range Limit (in dollars per share) | 55.99 | ||||
Range of Exercise Prices, Upper Range Limit (in dollars per share) | $ 59.70 | ||||
Options Outstanding, Number of Options (in shares) | 154 | ||||
Options Outstanding, Weighted Average Remaining Term | 3 years 7 months 6 days | ||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 57.87 | ||||
Options Exercisable, Number of Options (in shares) | 154 | ||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 57.87 | ||||
Stock Options [Member] | |||||
Estimated weighted average fair value for options granted and significant weighted average assumptions used [Abstract] | |||||
Fair Value of Options on Grant Date (in dollars per share) | $ 14.77 | ||||
Weighted Average assumptions [Abstract] | |||||
Expected Life of Options | 7 years 2 months 12 days | ||||
Risk-Free Interest Rate | 2.10% | ||||
Expected Volatility | 29.70% | ||||
Expected Dividend Yield | 2.10% | ||||
Fair Value of Common Stock on Grant Date (in dollars per share) | $ 55.99 | ||||
Options [Roll Forward] | |||||
Outstanding at Beginning of Year (in shares) | 611 | 1,429 | 1,966 | ||
Granted (in shares) | 0 | 0 | 0 | ||
Exercised (in shares) | (229) | (788) | (469) | ||
Expired or Forfeited (in shares) | (10) | (30) | (68) | ||
Outstanding at End of Year (in shares) | 372 | 611 | 1,429 | 1,966 | |
Exercisable at End of Year (in shares) | 372 | 530 | 1,064 | ||
Vested and Expected to Vest in the Future at End of Year (in shares) | 372 | 599 | 1,249 | ||
Weighted Average Exercise Price [Abstract] | |||||
Outstanding at Beginning of Year (in dollars per share) | $ 48.88 | $ 47.39 | $ 46.62 | ||
Granted (in dollars per share) | 0 | 0 | 0 | ||
Exercised (in dollars per share) | 47.21 | 45.97 | 43.74 | ||
Expired or Forfeited (in dollars per share) | 56.97 | 54.24 | 49.91 | ||
Outstanding at End of Year (in dollars per share) | 49.70 | 48.88 | 47.39 | $ 46.62 | |
Exercisable at End of Year (in dollars per share) | 49.70 | 47.43 | 46.04 | ||
Vested and Expected to Vest in the Future at End of Year (in dollars per share) | $ 49.70 | $ 48.90 | $ 45.88 | ||
Weighted Average Remaining Term [Abstract] | |||||
Outstanding at End of Year | 2 years 9 months 18 days | ||||
Exercisable at End of Year | 2 years 9 months 18 days | ||||
Vested and Expected to Vest in the Future at End of Year | 2 years 9 months 18 days | ||||
Average Intrinsic Value [Abstract] | |||||
Outstanding at End of Year | $ 0.8 | ||||
Exercisable at End of Year | 0.8 | ||||
Vested and Expected to Vest in the Future at End of Year | 0.8 | ||||
Options, Additional Disclosure [Abstract] | |||||
Total intrinsic value of options exercised | 4.4 | $ 10.4 | $ 20.5 | ||
Total grant date fair value of stock options vested | 4.8 | $ 13.4 | |||
Unrecognized share-based compensation expense | $ 0 | ||||
Stock Options [Member] | Minimum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercise price of stock options granted as percentage of fair market value of stock at date of grant as required by the plan | 100.00% | ||||
Stock Options [Member] | Maximum [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercisable period | 10 years | ||||
Stock Options [Member] | Vesting on Fourth Anniversary Date Following Date of Grant [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Stock Options [Member] | Vesting on Fifth Anniversary Date Following Date of Grant [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Stock Options [Member] | Annual Vesting on April 30th [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 25.00% |
Stock-Based Compensation, Perfo
Stock-Based Compensation, Performance-Based and Other Restricted Stock Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | Apr. 30, 2016 | Apr. 30, 2015 | |
Restricted Stock Awards [Member] | |||||
Restricted Shares [Roll Forward] | |||||
Nonvested Shares at Beginning of Year (in shares) | 861 | 913 | 915 | ||
Granted (in shares) | 415 | 525 | 509 | ||
Change in Shares Due to Performance (in shares) | (19) | (107) | (67) | ||
Vested and Issued (in shares) | (357) | (318) | (267) | ||
Forfeited (in shares) | (144) | (152) | (177) | ||
Nonvested Shares at End of Year (in shares) | 756 | 861 | 913 | 915 | |
Weighted Average Grant Date Value [Abstract] | |||||
Nonvested Shares at Beginning of Year (in dollars per share) | $ 53.22 | ||||
Granted (in dollars per share) | 62.63 | ||||
Change in Shares Due to Performance (in dollars per share) | 44.17 | ||||
Vested and Issued (in dollars per share) | 54.95 | ||||
Forfeited (in dollars per share) | 55.37 | ||||
Nonvested Shares at End of Year (in dollars per share) | $ 57.38 | $ 53.22 | |||
Restricted Stock, Additional Disclosures [Abstract] | |||||
Unrecognized share-based compensation expense | $ 28.1 | ||||
Award vesting period | 4 years | ||||
Weighted average recognition period for unrecognized share-based compensation | 2 years 2 months 12 days | ||||
Total grant date fair value of restricted shares vested | $ 19.6 | $ 15.7 | $ 12.1 | ||
Restricted Stock Awards [Member] | Key Employees [Member] | Vesting on Fourth Anniversary Date Following Date of Grant [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Restricted Stock Awards [Member] | Key Employees [Member] | Vesting on Fifth Anniversary Date Following Date of Grant [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Restricted Stock Awards [Member] | Key Employees [Member] | Annual Vesting on Anniversary of Grant [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 25.00% | ||||
Performance-based Restricted Stock Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Period for achievement of performance-based targets | 3 years | ||||
Performance-based Restricted Stock Awards [Member] | Vesting on First Anniversary Date after Award Is Earned [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Performance-based Restricted Stock Awards [Member] | Vesting on Second Anniversary Date after Award Is Earned [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Performance-based Restricted Stock Awards [Member] | Vesting at End of Performance Cycle [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% | ||||
Performance-based Restricted Stock Awards [Member] | Vesting on April 30th of Year Following Performance Cycle [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting percentage | 50.00% |
Stock-Based Compensation, Presi
Stock-Based Compensation, President and CEO New Hire Equity Awards (Details) $ / shares in Units, $ in Millions | 12 Months Ended |
Apr. 30, 2019USD ($)Installment$ / sharesshares | |
ELTIP [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Targeted long-term incentive as percentage of base salary | 300.00% |
Targeted long-term incentive value | $ | $ 2.7 |
ELTIP [Member] | Performance Share Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Percentage of targeted long-term incentive value | 60.00% |
Grant date fair value (in dollars per share) | $ / shares | $ 59.15 |
Awards granted (in shares) | shares | 30,916 |
ELTIP [Member] | Restricted Share Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Percentage of targeted long-term incentive value | 40.00% |
Grant date fair value (in dollars per share) | $ / shares | $ 59.15 |
Awards granted (in shares) | shares | 20,611 |
ELTIP [Member] | Restricted Share Units [Member] | Vesting on April 30, 2018 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Awards vesting percentage | 25.00% |
ELTIP [Member] | Restricted Share Units [Member] | Vesting on April 30, 2019 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Awards vesting percentage | 25.00% |
ELTIP [Member] | Restricted Share Units [Member] | Vesting on April 30, 2020 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Awards vesting percentage | 25.00% |
ELTIP [Member] | Restricted Share Units [Member] | Vesting on April 30, 2021 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Awards vesting percentage | 25.00% |
Sign-On Grant [Member] | Restricted Share Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date fair value (in dollars per share) | $ / shares | $ 59.15 |
Awards granted (in shares) | shares | 67,625 |
Grant value | $ | $ 4 |
Number of equal installments | Installment | 2 |
Stock-Based Compensation, Direc
Stock-Based Compensation, Director Stock Awards (Details) - Director Stock Plan [Member] - Class A Common Stock [Member] - Non-Employee Directors [Member] - shares | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | |||
Value of annual award as percentage of annual director retainer fee based on stock price on date of grant | 100.00% | ||
Shares awarded under the plan (in shares) | 18,991 | 19,900 | 20,243 |
Capital Stock and Changes in _3
Capital Stock and Changes in Capital Accounts (Details) | 12 Months Ended | ||
Apr. 30, 2019Vote$ / sharesshares | Apr. 30, 2018$ / sharesshares | Apr. 30, 2017$ / sharesshares | |
2017 Share Repurchase Program [Member] | |||
Capital Stock [Abstract] | |||
Additional shares of common stock approved for repurchase under the share repurchase program (in shares) | 4,000,000 | ||
Average price of shares repurchased during the period (in dollars per share) | $ / shares | $ 55.65 | $ 52.80 | |
Remaining number of shares authorized to be repurchased under the share repurchase program (in shares) | 1,888,975 | ||
Changes in Common Stock in Treasury [Abstract] | |||
Purchase of treasury shares (in shares) | 713,177 | 953,188 | |
Class A [Member] | |||
Common Stock [Abstract] | |||
Class A Common shares into which each share of Class B Common Stock is convertible (in shares) | 1 | ||
Percentage of the Board of Directors elected by Class A common stockholders | 30.00% | ||
Number of votes to which each share of common stock is entitled | Vote | 0.1 | ||
Changes in Common Stock [Abstract] | |||
Number of shares, beginning of year | 70,110,603 | 70,086,000 | 69,798,000 |
Common stock class conversions and other | 16,000 | 25,000 | 288,000 |
Number of shares issued, end of year (in shares) | 70,126,963 | 70,110,603 | 70,086,000 |
Changes in Common Stock in Treasury [Abstract] | |||
Number of shares held, beginning of year (in shares) | 21,853,257 | 22,097,000 | 21,709,000 |
Purchase of treasury shares (in shares) | 1,192,000 | 713,000 | 953,000 |
Stock grants of fully vested Class A shares - common stock (in shares) | 0 | (20,000) | (24,000) |
Restricted shares, forfeited (in shares) | 9,000 | 15,000 | 8,000 |
Restricted shares issued from exercise of stock options (in shares) | (229,000) | (788,000) | (469,000) |
Shares withheld for taxes (in shares) | 130,000 | 116,000 | 97,000 |
Other (in shares) | (1,000) | (1,000) | 83,000 |
Number of shares held, end of year (in shares) | 22,633,869 | 21,853,257 | 22,097,000 |
Number of Common Stock outstanding, end of year (in shares) | 47,493,000 | 48,258,000 | 47,989,000 |
Class A [Member] | Non-Performance Shares [Member] | |||
Changes in Common Stock in Treasury [Abstract] | |||
Restricted shares issued under stock-based compensation plans (in shares) | (210,000) | (153,000) | (74,000) |
Class A [Member] | Performance Share Units [Member] | |||
Changes in Common Stock in Treasury [Abstract] | |||
Restricted shares issued under stock-based compensation plans (in shares) | (110,000) | (126,000) | (186,000) |
Class A [Member] | 2017 Share Repurchase Program [Member] | |||
Capital Stock [Abstract] | |||
Average price of shares repurchased during the period (in dollars per share) | $ / shares | $ 50.35 | ||
Changes in Common Stock in Treasury [Abstract] | |||
Purchase of treasury shares (in shares) | 1,191,496 | 952,667 | |
Class B [Member] | |||
Common Stock [Abstract] | |||
Number of votes to which each share of common stock is entitled | Vote | 1 | ||
Changes in Common Stock [Abstract] | |||
Number of shares, beginning of year | 13,071,067 | 13,096,000 | 13,392,000 |
Common stock class conversions and other | (16,000) | (25,000) | (296,000) |
Number of shares issued, end of year (in shares) | 13,054,707 | 13,071,067 | 13,096,000 |
Changes in Common Stock in Treasury [Abstract] | |||
Number of shares held, beginning of year (in shares) | 3,917,574 | 3,918,000 | 3,917,000 |
Purchase of treasury shares (in shares) | 0 | 0 | 1,000 |
Number of shares held, end of year (in shares) | 3,917,574 | 3,917,574 | 3,918,000 |
Number of Common Stock outstanding, end of year (in shares) | 9,137,000 | 9,153,000 | 9,178,000 |
Class B [Member] | 2017 Share Repurchase Program [Member] | |||
Changes in Common Stock in Treasury [Abstract] | |||
Purchase of treasury shares (in shares) | 521 |
Capital Stock and Changes in _4
Capital Stock and Changes in Capital Accounts, Cash Dividends Paid (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 17, 2019 | Mar. 20, 2019 | Jan. 16, 2019 | Dec. 19, 2018 | Oct. 24, 2018 | Sep. 26, 2018 | Jul. 18, 2018 | Jun. 21, 2018 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 |
Cash dividend [Abstract] | |||||||||||
Cash dividends | $ 18,600 | $ 18,900 | $ 18,900 | $ 19,000 | $ 75,752 | $ 73,542 | $ 71,545 | ||||
Class A Common Stock [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Common stock dividend (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 | ||||||||
Class A Common Stock [Member] | Dividend Declared in Q1 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Jun. 21, 2018 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Jul. 18, 2018 | ||||||||||
Dividend record date | Jul. 3, 2018 | ||||||||||
Class A Common Stock [Member] | Dividend Declared in Q2 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Sep. 26, 2018 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Oct. 24, 2018 | ||||||||||
Dividend record date | Oct. 9, 2018 | ||||||||||
Class A Common Stock [Member] | Dividend Declared in Q3 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Dec. 19, 2018 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Jan. 16, 2019 | ||||||||||
Dividend record date | Jan. 2, 2019 | ||||||||||
Class A Common Stock [Member] | Dividend Declared in Q4 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Mar. 20, 2019 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Apr. 17, 2019 | ||||||||||
Dividend record date | Apr. 2, 2019 | ||||||||||
Class B Common [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Common stock dividend (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 | ||||||||
Class B Common [Member] | Dividend Declared in Q1 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Jun. 21, 2018 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Jul. 18, 2018 | ||||||||||
Dividend record date | Jul. 3, 2018 | ||||||||||
Class B Common [Member] | Dividend Declared in Q2 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Sep. 26, 2018 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Oct. 24, 2018 | ||||||||||
Dividend record date | Oct. 9, 2018 | ||||||||||
Class B Common [Member] | Dividend Declared in Q3 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Dec. 19, 2018 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Jan. 16, 2019 | ||||||||||
Dividend record date | Jan. 2, 2019 | ||||||||||
Class B Common [Member] | Dividend Declared in Q4 2019 [Member] | |||||||||||
Cash dividend [Abstract] | |||||||||||
Dividend declared date | Mar. 20, 2019 | ||||||||||
Common stock dividend (in dollars per share) | $ 0.33 | ||||||||||
Dividend paid date | Apr. 17, 2019 | ||||||||||
Dividend record date | Apr. 2, 2019 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Apr. 30, 2019USD ($) | Jan. 31, 2019USD ($) | Oct. 31, 2018USD ($) | Jul. 31, 2018USD ($) | Apr. 30, 2018USD ($) | Jan. 31, 2018USD ($) | Oct. 31, 2017USD ($) | Jul. 31, 2017USD ($) | Apr. 30, 2019USD ($)Segment | Apr. 30, 2018USD ($) | Apr. 30, 2017USD ($) | |||
Segment Information [Abstract] | |||||||||||||
Number of reportable segments | Segment | 3 | ||||||||||||
Segment Information [Abstract] | |||||||||||||
Revenue | $ 491,200 | $ 449,400 | $ 448,600 | $ 410,900 | $ 477,300 | $ 455,700 | $ 451,700 | $ 411,400 | $ 1,800,069 | $ 1,796,103 | $ 1,718,530 | ||
Corporate Expenses | (168,754) | (183,603) | [1] | (178,531) | [1] | ||||||||
Operating Income | $ 80,100 | $ 50,300 | $ 57,500 | $ 36,100 | $ 72,700 | $ 65,400 | $ 80,800 | $ 12,600 | 223,989 | 231,461 | [1] | 211,470 | [1] |
ASU 2017-07 Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Net benefits | 8,800 | 8,100 | (5,300) | ||||||||||
Operating and Administrative Expenses [Member] | ASU 2017-07 Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Net benefits | 8,100 | ||||||||||||
Interest and Other Income [Member] | ASU 2017-07 Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Net benefits | (5,300) | ||||||||||||
Research [Member] | Interest and Other Income [Member] | ASU 2017-07 Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Net benefits | (4,200) | (1,600) | |||||||||||
Publishing [Member] | Interest and Other Income [Member] | ASU 2017-07 Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Net benefits | (2,300) | (1,200) | |||||||||||
Operating Segments [Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Revenue | 1,800,069 | 1,796,103 | [1] | 1,718,530 | [1] | ||||||||
Contribution to Profit | 392,743 | 415,064 | [1] | 390,001 | [1] | ||||||||
Operating Segments [Member] | Research [Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Revenue | 937,313 | 934,395 | [1] | 853,489 | [1] | ||||||||
Contribution to Profit | 258,875 | 271,326 | [1] | 250,648 | [1] | ||||||||
Operating Segments [Member] | Publishing [Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Revenue | 574,192 | 617,648 | [1] | 633,449 | [1] | ||||||||
Contribution to Profit | 118,901 | 121,639 | [1] | 124,531 | [1] | ||||||||
Operating Segments [Member] | Solutions [Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Revenue | 288,564 | 244,060 | [1] | 231,592 | [1] | ||||||||
Contribution to Profit | $ 14,967 | 22,099 | [1] | 14,822 | [1] | ||||||||
Corporate [Member] | Interest and Other Income [Member] | ASU 2017-07 Member] | |||||||||||||
Segment Information [Abstract] | |||||||||||||
Net benefits | $ (1,600) | $ 8,100 | |||||||||||
[1] | Due to the retrospective adoption of ASU 2017-07, total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest Income and Other for the years ended April 30, 2018 and 2017, respectively. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2018 was $4.2 million in Research, $2.3 million in Publishing, and $1.6 million in Corporate expenses. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2017 was $1.6 million in Research, $1.2 million in Publishing, and $(8.1) million in Corporate expenses. |
Segment Information, Total Asse
Segment Information, Total Assets by Segment (Details) - USD ($) $ in Thousands | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 |
Segment Information [Abstract] | |||
Total assets | $ 2,937,002 | $ 2,839,451 | $ 2,606,217 |
Operating Segments [Member] | Research [Member] | |||
Segment Information [Abstract] | |||
Total assets | 1,152,973 | 1,238,178 | 1,133,846 |
Operating Segments [Member] | Publishing [Member] | |||
Segment Information [Abstract] | |||
Total assets | 643,549 | 575,033 | 582,339 |
Operating Segments [Member] | Solutions [Member] | |||
Segment Information [Abstract] | |||
Total assets | 751,854 | 563,489 | 575,068 |
Corporate [Member] | |||
Segment Information [Abstract] | |||
Total assets | $ 388,626 | $ 462,751 | $ 314,964 |
Segment Information, Other Sign
Segment Information, Other Significant Reconciling Items by Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Segment Information [Abstract] | |||
Expenditures for long lived assets | $ (101,593) | $ (150,728) | $ (303,427) |
Depreciation and amortization | 161,155 | 153,989 | 156,561 |
Operating Segments [Member] | Research [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (6,457) | (7,538) | (154,189) |
Depreciation and amortization | 37,088 | 33,655 | 29,330 |
Operating Segments [Member] | Publishing [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (19,712) | (23,666) | (29,420) |
Depreciation and amortization | 33,892 | 39,495 | 43,831 |
Operating Segments [Member] | Solutions [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (9,001) | (16,786) | (21,210) |
Depreciation and amortization | 34,300 | 27,703 | 26,792 |
Corporate [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (66,423) | (102,738) | (98,608) |
Depreciation and amortization | $ 55,875 | $ 53,136 | $ 56,608 |
Segment Information, Revenues f
Segment Information, Revenues from External Customers and Technology, Property and Equipment, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 30, 2019 | Jan. 31, 2019 | Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |
Segment Information [Abstract] | |||||||||||
Revenue | $ 491,200 | $ 449,400 | $ 448,600 | $ 410,900 | $ 477,300 | $ 455,700 | $ 451,700 | $ 411,400 | $ 1,800,069 | $ 1,796,103 | $ 1,718,530 |
Technology, Property and Equipment, net | 289,021 | 289,934 | 289,021 | 289,934 | 243,058 | ||||||
Reportable Geographical Components [Member] | United States [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 932,927 | 913,852 | 786,574 | ||||||||
Technology, Property and Equipment, net | 252,459 | 249,542 | 252,459 | 249,542 | 208,572 | ||||||
Reportable Geographical Components [Member] | United Kingdom [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 150,242 | 147,406 | 189,479 | ||||||||
Technology, Property and Equipment, net | 18,331 | 20,955 | 18,331 | 20,955 | 21,368 | ||||||
Reportable Geographical Components [Member] | Germany [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 97,505 | 98,404 | 75,090 | ||||||||
Technology, Property and Equipment, net | 8,423 | 9,259 | 8,423 | 9,259 | 8,770 | ||||||
Reportable Geographical Components [Member] | Japan [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 77,145 | 81,572 | 62,674 | ||||||||
Technology, Property and Equipment, net | 87 | 72 | 87 | 72 | 75 | ||||||
Reportable Geographical Components [Member] | Australia [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 77,453 | 78,270 | 66,309 | ||||||||
Technology, Property and Equipment, net | 1,440 | 1,454 | 1,440 | 1,454 | 591 | ||||||
Reportable Geographical Components [Member] | China [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 55,024 | 53,076 | 39,653 | ||||||||
Technology, Property and Equipment, net | 688 | 229 | 688 | 229 | 270 | ||||||
Reportable Geographical Components [Member] | Canada [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 50,882 | 55,568 | 50,740 | ||||||||
Technology, Property and Equipment, net | 2,659 | 3,635 | 2,659 | 3,635 | 1,232 | ||||||
Reportable Geographical Components [Member] | France [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 51,441 | 51,826 | 44,760 | ||||||||
Technology, Property and Equipment, net | 403 | 635 | 403 | 635 | 335 | ||||||
Reportable Geographical Components [Member] | India [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 36,472 | 41,637 | 34,306 | ||||||||
Technology, Property and Equipment, net | 1,299 | 1,437 | 1,299 | 1,437 | 245 | ||||||
Reportable Geographical Components [Member] | Other Countries [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 270,978 | 274,492 | 368,945 | ||||||||
Technology, Property and Equipment, net | $ 3,232 | $ 2,716 | $ 3,232 | $ 2,716 | $ 1,600 |
Supplementary Quarterly Finan_3
Supplementary Quarterly Financial Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
Apr. 30, 2019 | Jan. 31, 2019 | Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |||||||||||
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) [Abstract] | |||||||||||||||||||||
Revenue, net | $ 491,200 | $ 449,400 | $ 448,600 | $ 410,900 | $ 477,300 | $ 455,700 | $ 451,700 | $ 411,400 | $ 1,800,069 | $ 1,796,103 | $ 1,718,530 | ||||||||||
Gross profit | 340,700 | 305,500 | 316,000 | 283,100 | 340,700 | 319,300 | 319,600 | 285,500 | 1,245,300 | 1,265,100 | |||||||||||
Operating income | 80,100 | 50,300 | 57,500 | 36,100 | 72,700 | 65,400 | 80,800 | 12,600 | 223,989 | 231,461 | [1] | 211,470 | [1] | ||||||||
Net income | $ 63,300 | $ 34,900 | $ 43,800 | $ 26,300 | $ 54,200 | $ 68,800 | $ 60,000 | $ 9,200 | $ 168,263 | $ 192,186 | $ 113,643 | ||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||
Basic (in dollars per share) | $ 1.11 | [2] | $ 0.61 | [2] | $ 0.76 | [2] | $ 0.46 | [2] | $ 0.95 | [2] | $ 1.21 | [2] | $ 1.06 | [2] | $ 0.16 | [2] | $ 2.94 | $ 3.37 | $ 1.98 | ||
Diluted (in dollars per share) | $ 1.10 | [2] | $ 0.61 | [2] | $ 0.76 | [2] | $ 0.45 | [2] | $ 0.93 | [2] | $ 1.19 | [2] | $ 1.04 | [2] | $ 0.16 | [2] | $ 2.91 | $ 3.32 | $ 1.95 | ||
[1] | Due to the retrospective adoption of ASU 2017-07, total net benefits (costs) of $8.1 million and $(5.3) million related to the non-service components of defined benefit and other post-employment benefit plans were reclassified from Operating and Administrative Expenses to Interest Income and Other for the years ended April 30, 2018 and 2017, respectively. Refer to Note 2, "Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards," for more information. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2018 was $4.2 million in Research, $2.3 million in Publishing, and $1.6 million in Corporate expenses. The impact of the reclassification on Contribution to Profit by segment for the year ended April 30, 2017 was $1.6 million in Research, $1.2 million in Publishing, and $(8.1) million in Corporate expenses. | ||||||||||||||||||||
[2] | The sum of the quarterly earnings per share amounts may not agree to the respective annual amounts due to rounding. |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 28, 2019 | May 30, 2019 | Apr. 17, 2019 | Jan. 16, 2019 | Oct. 24, 2018 | Jul. 18, 2018 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | Jul. 01, 2019 |
Dividend [Abstract] | ||||||||||
Cash dividends | $ 18,600 | $ 18,900 | $ 18,900 | $ 19,000 | $ 75,752 | $ 73,542 | $ 71,545 | |||
Class A Common Stock [Member] | ||||||||||
Dividend [Abstract] | ||||||||||
Common stock dividend (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 | |||||||
Class B Common [Member] | ||||||||||
Dividend [Abstract] | ||||||||||
Common stock dividend (in dollars per share) | $ 1.32 | $ 1.28 | $ 1.24 | |||||||
Revolving Credit Facility [Member] | ||||||||||
Amended and Restated Credit Agreement [Abstract] | ||||||||||
Aggregate principal amount | $ 1,100,000 | |||||||||
Subsequent Event [Member] | Dividend Declared in Q1 2020 [Member] | ||||||||||
Dividend [Abstract] | ||||||||||
Cash dividends | $ 19,200 | |||||||||
Subsequent Event [Member] | Class A Common Stock [Member] | Dividend Declared in Q1 2020 [Member] | ||||||||||
Dividend [Abstract] | ||||||||||
Dividend declared date | Jun. 28, 2019 | |||||||||
Common stock dividend (in dollars per share) | $ 0.34 | |||||||||
Dividend payable date | Jul. 24, 2019 | |||||||||
Dividend record date | Jul. 10, 2019 | |||||||||
Subsequent Event [Member] | Class B Common [Member] | Dividend Declared in Q1 2020 [Member] | ||||||||||
Dividend [Abstract] | ||||||||||
Dividend declared date | Jun. 28, 2019 | |||||||||
Common stock dividend (in dollars per share) | $ 0.34 | |||||||||
Dividend payable date | Jul. 24, 2019 | |||||||||
Dividend record date | Jul. 10, 2019 | |||||||||
Subsequent Event [Member] | zybooks [Member] | ||||||||||
Acquisition [Abstract] | ||||||||||
Cash to be paid to equity shareholders of acquiree company | $ 56,000 | |||||||||
Subsequent Event [Member] | Revolving Credit Facility [Member] | ||||||||||
Amended and Restated Credit Agreement [Abstract] | ||||||||||
Term of credit facility | 5 years | |||||||||
Aggregate principal amount | $ 1,250,000 | |||||||||
Subsequent Event [Member] | Term Loan A Facility [Member] | ||||||||||
Amended and Restated Credit Agreement [Abstract] | ||||||||||
Term of credit facility | 5 years | |||||||||
Credit agreement face amount | $ 250,000 | |||||||||
Credit agreement issuance cost | $ 4,000 |
Schedule II-VALUATION AND QUA_2
Schedule II-VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | |||||
Allowance for Sales Returns [Member] | |||||||
Valuation allowances and reserves [Roll Forward] | |||||||
Balance at beginning of period | $ 18,628 | [1] | $ 24,300 | $ 19,861 | |||
Charged to expenses | 37,483 | [1] | 38,711 | 53,482 | |||
Deductions from reserves and other | [2] | 37,569 | [1] | 44,383 | 49,043 | ||
Balance at end of period | 18,542 | [1] | 18,628 | [1] | 24,300 | ||
Allowance for Doubtful Accounts [Member] | |||||||
Valuation allowances and reserves [Roll Forward] | |||||||
Balance at beginning of period | 10,107 | 7,186 | 7,254 | ||||
Charged to expenses | 5,279 | 5,439 | 2,913 | ||||
Deductions from reserves and other | [2] | 1,079 | 2,518 | 2,981 | |||
Balance at end of period | 14,307 | 10,107 | 7,186 | ||||
Allowance for Inventory Obsolescence [Member] | |||||||
Valuation allowances and reserves [Roll Forward] | |||||||
Balance at beginning of period | 18,193 | 21,096 | 21,968 | ||||
Charged to expenses | 7,328 | 9,182 | 9,538 | ||||
Deductions from reserves and other | [2] | 9,696 | 12,085 | 10,410 | |||
Balance at end of period | 15,825 | 18,193 | 21,096 | ||||
Valuation Allowance on Deferred Tax Assets [Member] | |||||||
Valuation allowances and reserves [Roll Forward] | |||||||
Balance at beginning of period | [1] | 8,811 | 1,300 | 0 | |||
Charged to expenses | 51 | 7,511 | [1] | 1,300 | [1] | ||
Deductions from reserves and other | [2] | (12,317) | 0 | [1] | 0 | [1] | |
Balance at end of period | $ 21,179 | $ 8,811 | [1] | $ 1,300 | [1] | ||
[1] | Allowance for Sales Returns represents anticipated returns net of a recovery of inventory and royalty costs. The provision is reported as a reduction of gross sales to arrive at revenue and the reserve balance is reported as a reduction of Accounts Receivable, net (in the years ended April 30, 2018 and 2017) with a corresponding increase in Inventories, net and a reduction in Accrued Royalties for the years ended April 30, 2019, 2018 and 2017. Due to the adoption of the new revenue standard, the sales return reserve as of April 30, 2019 is recorded in Contract Liability (Deferred Revenue). In prior periods, it was recorded as a reduction to Accounts Receivable, net. See Note 3, "Revenue Recognition, Contracts with Customers," of the Notes to Consolidated Financial Statements for more information. | ||||||
[2] | Deductions From Reserves and Other for the years ended April 30, 2019, 2018 and 2017 include foreign exchange translation adjustments. Included in Allowance for Doubtful Accounts are accounts written off, less recoveries. Included in Allowance for Inventory Obsolescence are items removed from inventory. Included in Valuation Allowance on Deferred Tax Assets are foreign tax credits generated and valuation allowances needed in connection with the Tax Act. |