Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2021 | Jun. 02, 2021 | Oct. 31, 2020 | |
Entity Listings [Line Items] | |||
Entity Registrant Name | JOHN WILEY & SONS, INC. | ||
Entity Central Index Key | 0000107140 | ||
Current Fiscal Year End Date | --04-30 | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Annual Report | true | ||
Document Period End Date | Apr. 30, 2021 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Document Transition Report | false | ||
Entity File Number | 001-11507 | ||
Entity Incorporation, State or Country Code | NY | ||
Entity Tax Identification Number | 13-5593032 | ||
Entity Address, Address Line One | 111 River Street | ||
Entity Address, City or Town | Hoboken | ||
Entity Address, State or Province | NJ | ||
Entity Address, Postal Zip Code | 07030 | ||
City Area Code | 201 | ||
Local Phone Number | 748-6000 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,364 | ||
Common Stock Class A [Member] | |||
Entity Listings [Line Items] | |||
Title of 12(b) Security | Class A Common Stock, par value $1.00 per share | ||
Trading Symbol | JW.A | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 46,800,293 | ||
Common Stock Class B [Member] | |||
Entity Listings [Line Items] | |||
Title of 12(b) Security | Class B Common Stock, par value $1.00 per share | ||
Trading Symbol | JW.B | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 9,049,462 |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION - USD ($) $ in Thousands | Apr. 30, 2021 | Apr. 30, 2020 | |
Current assets | |||
Cash and cash equivalents | $ 93,795 | $ 202,464 | |
Accounts receivable, net | 311,571 | 309,384 | |
Inventories, net | 42,538 | 43,614 | |
Prepaid expenses and other current assets | 78,393 | 59,465 | |
Total current assets | 526,297 | 614,927 | |
Product development assets, net | 49,517 | 53,643 | |
Royalty advances, net | 39,582 | 36,710 | |
Technology, property and equipment, net | 282,270 | 298,005 | |
Intangible assets, net | 1,015,302 | 807,405 | |
Goodwill | 1,304,340 | 1,116,790 | |
Operating lease right-of-use assets | 121,430 | 142,716 | |
Other non-current assets | 107,701 | 98,598 | |
Total assets | 3,446,439 | 3,168,794 | |
Current liabilities | |||
Accounts payable | 95,791 | 93,691 | |
Accrued royalties | 78,582 | 87,408 | |
Short-term portion of long-term debt | [1] | 12,500 | 9,375 |
Contract liabilities | [2] | 545,425 | 520,214 |
Accrued employment costs | 144,744 | 108,448 | |
Accrued income taxes | 8,590 | 13,728 | |
Short-term portion of operating lease liabilities | 22,440 | 21,810 | |
Other accrued liabilities | 80,900 | 72,595 | |
Total current liabilities | 988,972 | 927,269 | |
Long-term debt | 809,088 | 765,650 | |
Accrued pension liability | 146,247 | 187,969 | |
Deferred income tax liabilities | 172,903 | 119,127 | |
Operating lease liabilities | 145,832 | 159,782 | |
Other long-term liabilities | 92,106 | 75,373 | |
Total liabilities | 2,355,148 | 2,235,170 | |
Shareholders' equity | |||
Preferred stock, $1 par value: Authorized - 2 million, Issued - 0 | 0 | 0 | |
Additional paid-in capital | 444,358 | 431,680 | |
Retained earnings | 1,850,058 | 1,780,129 | |
Accumulated other comprehensive loss: | |||
Foreign currency translation adjustment | (257,941) | (340,703) | |
Unamortized retirement costs, net of tax | (228,146) | (227,920) | |
Unrealized (loss) on interest rate swaps, net of tax | (4,703) | (6,874) | |
Total accumulated other comprehensive loss, net of tax | (490,790) | (575,497) | |
Less: treasury shares at cost (Class A - 23,419 and 23,405 as of April 30, 2021 and 2020, respectively, Class B - 3,922 and 3,920 of April 30, 2021 and 2020, respectively) | (795,517) | (785,870) | |
Total shareholders' equity | 1,091,291 | 933,624 | |
Total liabilities and shareholders' equity | 3,446,439 | 3,168,794 | |
Class A [Member] | |||
Shareholders' equity | |||
Common stock | 70,208 | 70,166 | |
Class B [Member] | |||
Shareholders' equity | |||
Common stock | $ 12,974 | $ 13,016 | |
[1] | Relates to our term loan A under the Amended and Restated RCA. | ||
[2] | The sales return reserve recorded in Contract liabilities is $38.0 million and $32.8 million as of April 30, 2021 and April 30, 2020, respectively. See Note 2, “Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards” for further details of the sales return reserve. |
CONSOLIDATED STATEMENTS OF FI_2
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (Parenthetical) - $ / shares shares in Thousands | Apr. 30, 2021 | Apr. 30, 2020 |
Shareholders' equity | ||
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 2,000 | 2,000 |
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 | 180,000 |
Common stock, shares issued (in shares) | 70,208 | 70,166 |
Treasury shares at cost (in shares) | 23,419 | 23,405 |
Class B [Member] | ||
Shareholders' equity | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 72,000 | 72,000 |
Common stock, shares issued (in shares) | 12,974 | 13,016 |
Treasury shares at cost (in shares) | 3,922 | 3,920 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |||||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | ||||
Revenue, net | $ 1,941,501 | $ 1,831,483 | $ 1,800,069 | |||
Costs and expenses | ||||||
Cost of sales | 625,335 | 591,024 | 554,722 | |||
Operating and administrative expenses | 1,022,660 | 997,355 | 963,582 | |||
Impairment of goodwill and intangible assets | 0 | 202,348 | 0 | |||
Restructuring and related charges | [1] | 33,310 | 32,607 | 3,118 | ||
Amortization of intangible assets | 74,685 | 62,436 | 54,658 | |||
Total costs and expenses | 1,755,990 | 1,885,770 | 1,576,080 | |||
Operating income (loss) | 185,511 | (54,287) | 223,989 | |||
Interest expense | (18,383) | (24,959) | (16,121) | |||
Foreign exchange transaction (losses) gains | (7,977) | 2,773 | (6,016) | |||
Other income | 16,761 | 13,381 | 11,100 | |||
Income (loss) before taxes | 175,912 | (63,092) | 212,952 | |||
Provision for income taxes | 27,656 | 11,195 | 44,689 | |||
Net income (loss) | $ 148,256 | $ (74,287) | $ 168,263 | |||
Earnings (loss) per share: | ||||||
Basic (in dollars per share) | $ 2.65 | [2] | $ (1.32) | [2],[3] | $ 2.94 | |
Diluted (in dollars per share) | $ 2.63 | [2] | $ (1.32) | [2],[3] | $ 2.91 | |
Weighted average number of common shares outstanding: | ||||||
Basic (in shares) | 55,930 | 56,209 | 57,192 | |||
Diluted (in shares) | 56,461 | 56,209 | 57,840 | |||
[1] | See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. | |||||
[2] | The sum of the quarterly earnings (loss) per share amounts may not agree to the respective annual amounts due to rounding. | |||||
[3] | In calculating diluted earnings (loss) per common share for the fourth quarter and year ended April 30, 2020, our diluted weighted average number of common shares outstanding excludes the effect of unvested restricted stock units and other stock awards as the effect was anti-dilutive. This occurs when a US GAAP net loss is reported and the effect of using dilutive shares is antidilutive. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) [Abstract] | |||
Net income (loss) | $ 148,256 | $ (74,287) | $ 168,263 |
Other comprehensive income (loss): | |||
Foreign currency translation adjustment | 82,762 | (28,596) | (60,534) |
Unamortized retirement costs, net of tax (expense) benefit of $(2,103), $10,137, and $1,337, respectively | (226) | (31,863) | (5,031) |
Unrealized gain (loss) on interest rate swaps, net of tax (expense) benefit of $(657), $2,114, and $1,161, respectively | 2,171 | (6,300) | (3,593) |
Total other comprehensive income (loss) | 84,707 | (66,759) | (69,158) |
Comprehensive income (loss) | $ 232,963 | $ (141,046) | $ 99,105 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Other comprehensive income (loss): | |||
Unamortized retirement costs, tax (expense) benefit | $ (2,103) | $ 10,137 | $ 1,337 |
Unrealized gain (loss) on interest rate swaps, tax (expense) benefit | $ (657) | $ 2,114 | $ 1,161 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | ||
Operating activities | ||||
Net income (loss) | $ 148,256 | $ (74,287) | $ 168,263 | |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Impairment of goodwill and intangible assets | 0 | 202,348 | 0 | |
Amortization of intangible assets | 74,685 | 62,436 | 54,658 | |
Amortization of product development assets | 34,365 | 35,975 | 37,079 | |
Depreciation and amortization of technology, property and equipment | 91,139 | 76,716 | 69,418 | |
Restructuring and related charges | [1] | 33,310 | 32,607 | 3,118 |
Stock-based compensation expense | 21,982 | 20,009 | 18,327 | |
Employee retirement plan expense | 12,975 | 10,832 | 5,236 | |
Foreign exchange transaction losses (gains) | 7,977 | (2,773) | 6,016 | |
Other noncash charges (credits) | 35,138 | 7,115 | (11,136) | |
Changes in operating assets and liabilities | ||||
Accounts receivable, net | (7,263) | (2,962) | (64,734) | |
Inventories, net | 7,842 | (2,714) | 3,820 | |
Accounts payable | (20,110) | 1,163 | 7,369 | |
Accrued royalties | (11,011) | 13,425 | 6,169 | |
Contract liabilities | 14,164 | (118) | 29,901 | |
Accrued income taxes | (13,446) | (5,962) | 9,613 | |
Restructuring payments | (19,667) | (12,563) | (15,219) | |
Other accrued liabilities | 41,588 | (7,817) | (32,713) | |
Employee retirement plan contributions | (40,676) | (33,729) | (40,470) | |
Operating lease liabilities | (32,344) | (28,243) | 0 | |
Royalty advances, net | 3,342 | (2,099) | (824) | |
Other | (22,323) | (924) | (3,060) | |
Net cash provided by operating activities | 359,923 | 288,435 | 250,831 | |
Investing activities | ||||
Product development spending | (25,954) | (26,608) | (24,426) | |
Additions to technology, property and equipment | (77,407) | (88,593) | (77,167) | |
Businesses acquired in purchase transactions, net of cash acquired | (299,942) | (229,629) | (190,415) | |
Acquisitions of publication rights and other | (29,851) | (1,840) | (9,494) | |
Net cash used in investing activities | (433,154) | (346,670) | (301,502) | |
Financing activities | ||||
Repayment of long-term debt | (562,752) | (630,551) | (476,246) | |
Borrowing of long-term debt | 593,405 | 934,323 | 596,320 | |
Payment of debt issuance costs | 0 | (4,006) | 0 | |
Purchase of treasury shares | (15,765) | (46,589) | (59,994) | |
Change in book overdrafts | 18,398 | (48) | (5,674) | |
Cash dividends | (76,938) | (76,658) | (75,752) | |
Net (payments) proceeds from stock-based compensation and other | (3,434) | (3,794) | 3,751 | |
Net cash (used in) provided by financing activities | (47,086) | 172,677 | (17,595) | |
Effects of exchange rate changes on cash, cash equivalents, and restricted cash | 11,629 | (4,943) | (8,443) | |
Cash reconciliation: | ||||
Cash and cash equivalents | 202,464 | 92,890 | 169,773 | |
Restricted cash included in Prepaid expenses and other current assets | 583 | 658 | 484 | |
Balance at beginning of year | 203,047 | 93,548 | 170,257 | |
(Decrease)/increase for year | (108,688) | 109,499 | (76,709) | |
Cash and cash equivalents | 93,795 | 202,464 | 92,890 | |
Restricted cash included in Prepaid expenses and other current assets | 564 | 583 | 658 | |
Balance at end of year | 94,359 | 203,047 | 93,548 | |
Cash paid during the year for: | ||||
Interest | 17,171 | 23,622 | 14,867 | |
Income taxes, net of refunds | 41,064 | 41,537 | 48,264 | |
Learning House [Member] | Warrants [Member] | ||||
Noncash items associated with the acquisition of Learning House: | ||||
Warrants to purchase 0.4 million shares of Wiley Class A Common Stock issued in connection with the Learning House acquisition | $ 0 | $ 0 | $ 565 | |
[1] | See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) shares in Millions | Apr. 30, 2021shares |
Noncash items associated with the acquisition of Learning House: | |
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 A [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member]Class B [Member] | Common Stock [Member]Class B [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Additional Paid-in Capital [Member]Class A [Member] | Additional Paid-in Capital [Member]Class B [Member] | Retained Earnings [Member] | Retained Earnings [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Retained Earnings [Member]Class A [Member] | Retained Earnings [Member]Class B [Member] | Treasury Stock [Member] | Treasury Stock [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Treasury Stock [Member]Class A [Member] | Treasury Stock [Member]Class B [Member] | Accumulated Other Comprehensive Loss [Member] | Accumulated Other Comprehensive Loss [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Accumulated Other Comprehensive Loss [Member]Class A [Member] | Accumulated Other Comprehensive Loss [Member]Class B [Member] | Total | Cumulative Effect, Period of Adoption, Adjustment [Member] | Class A [Member] | Class B [Member] |
Balance at Apr. 30, 2018 | $ 70,111 | $ 13,071 | $ 407,120 | $ 1,834,057 | $ (694,222) | $ (439,580) | $ 1,190,557 | |||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||||||||
Restricted shares issued under stock-based compensation plans | 0 | 0 | (8,544) | 3 | 8,826 | 0 | 285 | |||||||||||||||||
Net proceeds/(payments) from stock-based compensation 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 | 0 | 565 | 0 | 0 | 0 | 565 | |||||||||||||||||
Adjustment due to adoption of new revenue standard | New Revenue Standard [Member] | $ 0 | $ 0 | $ 0 | $ 4,503 | $ 0 | $ 0 | $ 4,503 | |||||||||||||||||
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 | |||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||||||||
Restricted shares issued under stock-based compensation plans | 0 | 0 | (10,992) | 0 | 11,347 | 0 | 355 | |||||||||||||||||
Net proceeds/(payments) from stock-based compensation and other | 0 | 0 | 358 | 0 | (4,152) | 0 | (3,794) | |||||||||||||||||
Stock-based compensation expense | 0 | 0 | 20,009 | 0 | 0 | 0 | 20,009 | |||||||||||||||||
Purchase of treasury shares | 0 | 0 | 0 | 0 | (46,589) | 0 | (46,589) | |||||||||||||||||
Common stock dividends | 0 | 0 | 0 | 0 | (64,264) | (12,394) | 0 | 0 | 0 | 0 | (64,264) | (12,394) | ||||||||||||
Common stock class conversions | 39 | (39) | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Comprehensive income (loss), net of tax | 0 | 0 | 0 | (74,287) | 0 | (66,759) | (141,046) | |||||||||||||||||
Balance at Apr. 30, 2020 | 70,166 | $ 0 | 13,016 | $ 0 | 431,680 | $ 0 | 1,780,129 | $ (1,390) | (785,870) | $ 0 | (575,497) | $ 0 | 933,624 | $ (1,390) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||||||||
Restricted shares issued under stock-based compensation plans | 0 | 0 | (10,206) | 1 | 10,454 | 0 | 249 | |||||||||||||||||
Net proceeds/(payments) from stock-based compensation and other | 0 | 0 | 902 | 0 | (4,336) | 0 | (3,434) | |||||||||||||||||
Stock-based compensation expense | 0 | 0 | 21,982 | 0 | 0 | 0 | 21,982 | |||||||||||||||||
Purchase of treasury shares | 0 | 0 | 0 | 0 | (15,765) | 0 | (15,765) | |||||||||||||||||
Common stock dividends | 0 | 0 | $ 0 | $ 0 | $ (67,614) | $ (9,324) | $ 0 | $ 0 | $ 0 | $ 0 | $ (67,614) | $ (9,324) | ||||||||||||
Common stock class conversions | 42 | (42) | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Comprehensive income (loss), net of tax | 0 | 0 | 148,256 | 0 | 84,707 | 232,963 | ||||||||||||||||||
Balance at Apr. 30, 2021 | $ 70,208 | $ 12,974 | $ 444,358 | $ 1,850,058 | $ (795,517) | $ (490,790) | $ 1,091,291 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Class A [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Common stock dividend (in dollars per share) | $ 1.37 | $ 1.36 | $ 1.32 |
Class B [Member] | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Common stock dividend (in dollars per share) | $ 1.37 | $ 1.36 | $ 1.32 |
Description of Business
Description of Business | 12 Months Ended |
Apr. 30, 2021 | |
Description of Business [Abstract] | |
Description of Business | Note 1 – 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. Wiley the Research Publishing & Platforms segment, we provide peer-reviewed scientific, technical, and medical (STM) publishing, content platforms, and related services to academic, corporate, and government customers, academic societies, and individual researchers. The Academic & Professional Learning segment provides Education Publishing and Professional Learning content and courseware, training and learning services, to students, professionals, and corporations. The Education Services segment provides online program management (OPM) services for academic institutions and talent placement services for professionals and businesses. We have operations primarily located in the United States (US), United Kingdom (UK), Sri Lanka, Germany, India, Russia, Jordan, and Canada. |
Summary of Significant Accounti
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards | 12 Months Ended |
Apr. 30, 2021 | |
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 | Note 2 – 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. In the fourth quarter of fiscal year 2021, a UK entity acquired in connection with the acquisition of mthree ( See Note 4, “Acquisitions” for further details of this acquisition) As a result of these events, the Company evaluated whether it was appropriate to consolidate the assets, liabilities, and operations of the entity as part of its consolidated financial statements as of April 30, 2021 and for the period from the entity being dissolved through April 30, 2021, and also whether there was a liability to the Crown and a related loss associated with the dissolution of the entity under US GAAP in the fiscal year 2021. The Company evaluated the criteria in Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 810 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 US 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, sales return reserves, allocation of acquisition purchase price to assets acquired and liabilities assumed, goodwill and indefinite-lived intangible assets, intangible assets with definite 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, 2021 and 2020, book overdrafts of $25.8 million and $7.4 million, respectively, were included in Accounts payable on the Consolidated Statements of Financial Position. Revenue Recognition: 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. See Note 3, “Revenue Recognition, Contracts with Customers,” for further 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 Credit Losses: See the section below, “Recently Adopted - 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 $22.2 million and $19.6 million as of April 30, 2021 and 2020, respectively. The reserves are reflected in the following accounts of the Consolidated Statements of Financial Position as of April 30: 2021 2020 Increase in Inventories, net $ 10,886 $ 8,686 Decrease in Accrued royalties $ (4,949 ) $ (4,441 ) Increase in Contract liabilities $ 38,034 $ 32,769 Print book sales return reserve net liability balance $ (22,199 ) $ (19,642 ) Inventories: Inventories are carried at the lower of cost or net realizable value. US book inventories aggregating $20.4 million and $24.3 million at April 30, 2021 and 2020, respectively, are valued using the last-in, first-out (LIFO) method. All other inventories are valued using the first-in, first-out (FIFO) method. Finished goods not recorded at LIFO have been recorded at the lower of cost or net realizable value. 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 amortized on a straight-line basis over their estimated useful lives. As of April 30, 2021, the weighted average estimated useful life of other product development costs was approximately 6 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 (Loss). We incurred $27.8 million, $28.8 million, and $32.7 million in shipping and handling costs in the years ended April 30, 2021, 2020, and 2019, respectively. Advertising and Marketing Costs: Advertising and marketing costs are expensed as incurred. These costs are reflected in the Consolidated Statements of Income (Loss) as follows: For the Years Ended April 30, 2021 2020 2019 Advertising and marketing costs $ 93.6 $ 103.1 $ 89.5 Cost of sales (1) 57.0 65.8 53.7 Operating and administrative expenses 36.6 37.3 35.8 (1) This includes certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. 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, 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. The excess of the purchase consideration over the fair value of assets acquired and liabilities assumed is recorded as goodwill. The determination of the acquisition date fair value of the assets acquired and liabilities assumed requires us to make significant estimates and assumptions, such as forecasted revenue growth rates and operating cash flows, royalty rates, customer attrition rates, obsolescence rates of developed technology, and discount rates. 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 and trademarks, 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 Definite Lives and Other Long-Lived Assets: Definite-lived intangible assets principally consist of content and publishing rights, customer relationships, developed technology, brands and trademarks, and noncompete 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 and developed technology acquired combined with the strength and pattern of projected cash flows. Intangible assets with definite lives as of April 30, 2021, are amortized on a straight line basis over the following weighted average estimated useful lives: content and publishing rights – 28 years, customer relationships – 17 years, developed technology – 7 years, brands and trademarks – 13 years, and noncompete agreements – 5 years. Assets with definite 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-US locations. Assets and liabilities are translated into US dollars using end-of-period exchange rates and revenues and expenses are translated into US dollars using weighted average rates. Our significant investments in non-US 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. Foreign currency transaction gains or losses are recognized on the Consolidated Statements of Income (Loss) 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. Stock-based compensation expense associated with performance-based stock awards is based on actual financial results for targets established up to three years in advance, or less. 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 Statements of Income (Loss) could be impacted. 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 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. Recently Adopted Accounting Standards 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 fiscal years ending after December 15, 2020 . We have adopted the new standard for the year ended April 30, 2021 retrospectively for all periods presented. See Note 17 , “Retirement Plans” for all periods presented with the new required disclosures. 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 2019-05 - “Financial Instruments—Credit Losses (Topic 326 ): Targeted Transition Relief”; 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,” in November 2018 , the FASB issued ASU 2018-19 , “Codification Improvements to Topic 326 , Financial Instruments—Credit Losses,” in November 2019 , the FASB issued ASU 2019-11 , “Codification Improvements to Topic 326 , Financial Instruments—Credit Losses,” and in February 2020 , the FASB issued ASU 2020-02 , “Financial Instruments—Credit Losses (Topic 326 ) and Leases (Topic 842 )—Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No . 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No . 2016-02 , Leases (Topic 842 ) (SEC Update)”. ASU 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 also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses. ASU , ASU , ASU , ASU , ASU and ASU were effective for us on , including interim periods within those fiscal periods, with early adoption permitted. We adopted the new standard on , with a cumulative effect adjustment to retained earnings as of the beginning of the year of adoption. Based on financial instruments currently held by us, the adoption of ASU primarily impacted our trade receivables, specifically our allowance for doubtful accounts. The adoption of the standard did not have an impact on our Consolidated Statements of Income (Loss), or our Consolidated Statements of Cash Flows. See the table below for further details on the immaterial impact to our Consolidated Statements of Financial Position and Consolidated Statements of Shareholders’ Equity. We are exposed to credit losses through our accounts receivable with customers. Accounts receivable, net is stated at amortized cost net of provision for credit losses. Our methodology to measure the provision for credit losses requires an estimation of loss rates based upon historical loss experience adjusted for factors that are relevant to determining the expected collectability of accounts receivable such as the impact of COVID , delinquency trends, aging behavior of receivables, credit and liquidity indicators for industry groups, customer classes or individual customers and reasonable and supportable forecasts of the economic conditions that may exist through the contractual life of the asset. Our provision for credit losses is reviewed and revised periodically. Our accounts receivable is evaluated on a pool basis that is based on customer groups with similar risk characteristics. This includes consideration of the following factors to develop these pools: size of the customer, industry, geographical location, historical risk, and types of services or products sold. Our customers’ ability to pay is assessed through our internal credit review processes. Based on the dollar value of credit extended, we assess our customers’ credit by reviewing the total expected receivable exposure, expected timing of payments and the customers’ established credit rating. In determining customer creditworthiness, we assess our customers’ credit utilizing different resources including -party validations and/or our own assessment through analysis of the customers’ financial statements and review of trade/bank references. We also consider contract terms and conditions, country and political risk, and the customers’ mix of products purchased in our evaluation. A credit limit is established for each customer based on the outcome of this review. Credit limits are periodically reviewed for existing customers and whenever an increase in the credit limit is being considered. When necessary, we utilize collection agencies and legal counsel to pursue recovery of defaulted receivables. We write off receivables only when deemed longer collectible. The following table presents the change in provision for credit losses, which is presented net in Accounts receivable on our Consolidated Statements of Financial Position for the period indicated: Provision for Credit Losses Balance as of April 30, 2020 $ 18,335 Adjustment due to adoption of new credit losses standard recorded as an adjustment to retained earnings 1,776 Current period provision 6,957 Amounts written off, less recoveries (4,463 ) Foreign exchange translation adjustments and other (1,131 ) Balance as of April 30, 2021 $ 21,474 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. We adopted ASU 2018-15 on May 1, 2020 on a prospective basis. There was no impact to our consolidated financial statements at the date of adoption 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, modifies, and adds disclosures. We adopted ASU 2018-13 on May 1, 2020 . There was no impact to our consolidated financial statements or disclosures as a result of adoption. Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)” and issued subsequent amendments to the initial guidance thereafter. 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 depends 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 elected 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 did not elect the practical expedient allowing the use-of-hindsight which would have required us to reassess the lease term of our leases based on all facts and circumstances through the effective date. In addition, we did not 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 which we elected at the date of adoption and included the following, (i) to not separate nonlease components from the associated lease component if certain conditions are met, and (ii) to not recognize ROU assets and lease liabilities for leases that qualify as short-term. A modified retrospective transition approach was required, applying the standard to all leases existing at the date of initial application. A company could 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 was not updated, and the disclosures required under the new standard will not be provided for dates and periods before May 1, 2019. At adoption, we recognized operating lease liabilities of $178 million based on the present value of the remaining minimum rental payments for existing operating leases and ROU assets of $142 million on our Consolidated Statement of Financial Position. The difference between the ROU assets and operating lease liabilities represents the existing deferred rent liabilities, prepaid rent balances, and applicable restructuring liabilities, which were reclassified upon adoption to reduce the measurement of the ROU assets. The adoption of the standard did not have an impact on our Consolidated Statement of Shareholders’ Equity, Consolidated Statement of Income (Loss) or Consolidated Statement of Cash Flow. See Note 12, “Operating Leases”, for further details on our operating leases. Recently Issued Accounting Standards Convertible Debt Instruments, Derivatives and EPS In , the FASB issued ASU , “Debt – Debt with Conversion and Other Options (Subtopic ) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic )”. This ASU reduces the number of accounting models for convertible debt instruments and convertible preferred stock. As well as amend the guidance for the derivatives scope exception for contracts in an entity’s own equity to reduce form-over-substance-based accounting conclusions. In addition, this ASU improves and amends the related EPS guidance. This standard is effective for us on , including interim periods within those fiscal years. Adoption is either a modified retrospective method or a fully retrospective method of transition. We are currently assessing the impact the new guidance will have on our consolidated financial statements. Reference Rate Reform In March 2020 , the FASB issued ASU 2020-04 , “Reference Rate Reform (Topic 848 ), Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” In January 2021 , the FASB clarified the scope of that guidance with the issuance of ASU 2021-01 , “Reference Rate Reform: Scope.” This ASU provides optional guidance for a limited period of time to ease the burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. This would apply to companies meeting certain criteria that have contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. This standard is effective for us immediately and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022 . We are currently assessing the impact the new guidance will have on our consolidated financial statements Simplifying the Accounting for Income Taxes In December 2019 , the FASB issued ASU 2019-12 , “Income Taxes (Topic 740 ): Simplifying the Accounting for Income Taxes.” This ASU is intended to simplify various aspects related to accounting for income taxes, eliminates certain exceptions within Topic 740 , “Income Taxes” and clarifies certain aspects of the current guidance to promote consistent application. The standard is effective for us on May 1, 2021 , and early adoption is permitted in any interim period for which financial statements have not yet been issued. We will adopt the new standard on May 1, 2021 . We do not expect the adoption of ASU 2019-12 to have a material impact on our consolidated financial statements at the time of adoption. The impact in the future would depend on any changes in tax laws and the applicable enactment dates. In accordance with ASU 2019-12 , the enactment date is when any effects are recognized in the consolidated financial statements. |
Revenue Recognition, Contracts
Revenue Recognition, Contracts with Customers | 12 Months Ended |
Apr. 30, 2021 | |
Revenue Recognition, Contracts with Customers [Abstract] | |
Revenue Recognition, Contracts with Customers | Note 3 Revenue Recognition, Contracts with Customers 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, 2021 2020 2019 Research Publishing & Platforms: Research Publishing $ 972,512 $ 908,952 $ 903,249 Research Platforms 42,837 39,887 35,968 Total Research Publishing & Platforms 1,015,349 948,839 939,217 Academic & Professional Learning: Education Publishing 363,870 352,188 372,018 Professional Learning 280,667 298,601 331,285 Total Academic & Professional Learning 644,537 650,789 703,303 Education Services: Education Services OPM (1) 227,700 210,882 155,819 mthree (1) 53,915 20,973 1,730 Total Education Services 281,615 231,855 157,549 Total Revenue $ 1,941,501 $ 1,831,483 $ 1,800,069 (1) In May 2020, we moved the IT bootcamp business acquired as part of The Learning House acquisition from Education Services Online Program Management (OPM) to mthree. The following information describes our disaggregation of revenue by segment and product type. Overall, the majority of our revenue is recognized over time. Research Publishing & Platforms Research Publishing & Platforms’ customers include academic, corporate, government, and public libraries, funders of research, researchers, scientists, clinicians, engineers and technologists, scholarly and professional societies, and students and professors. Research Publishing & Platforms products are sold and distributed globally through multiple channels, including research libraries and library consortia, independent subscription agents, direct sales to professional society members, and other customers. Publishing centers include Australia, China, Germany, India, the UK, and the US. The majority of revenue generated from Research Publishing and Platforms products is recognized over time. Total Research Publishing & Platforms revenue was $1,015.3 million in the year ended April 30, 2021. We disaggregated revenue by Research Publishing and Research Platforms to reflect the different type of products and services provided. Research Publishing products provide scientific, technical, medical, and scholarly journals, as well as related content and services, to academic, corporate, and government libraries, learned societies, and individual researchers and other professionals. Research Publishing revenue was $972.5 million in the year ended April 30, 2021 and the majority is recognized over time. Research Platforms 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 platform. Research Platforms revenue was $42.8 million in the year ended April 30, 2021 and the majority is recognized over time. Research Publishing Products Research Publishing products generate approximately 77% of its revenue from contracts with its customers from Journal Subscriptions (pay to read), Open Access (pay to publish) and Comprehensive Agreements (read and publish) and the remainder from Licensing, Reprints, Backfiles, and Other. Journal Subscriptions and Open Access Journal subscription contracts are negotiated by us directly with customers or their subscription agents. Subscription periods typically cover calendar years. In a In journal subscriptions, there are generally two performance obligations: a functional intellectual property license with a stand-ready promise to provide access to new content for one year, which includes online hosting of the content, and a functional intellectual property perpetual license for access to historical journal content, which also includes online hosting of the content. The transaction price consists of fixed consideration. Journal s ubscription revenue is generally collected in advance when the annual license is granted, and no significant financing component exists. The total transaction price is allocated to each performance obligation based on its relative standalone selling price. We allocate revenue to the stand-ready promise to provide access to new content for one year based on its observable standalone selling price which is generally the contractually stated price and the revenue for new content is recognized over one year 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 revenue standard. Revenue is recognized at the point in time when access to historical content is initially granted. Under the Open Access business model, we have a signed contract with the customer that contains enforceable rights. The Open Access business 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 an Article Publication Charge (APC) at a discount to eligible users who are 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 recorded as a contract liability and revenue is recognized over time. Comprehensive agreements (read and publish), sometimes referred to as transitional agreements, are the innovative new model that blends journal subscription and open access offerings. Essentially, for a single fee, a national or regional consortium of libraries pays for and receives full read access to our journal portfolio and the ability to publish under an open access arrangement. Like subscriptions, comprehensive deals involve recurring revenue under multiyear contracts. Unlike subscriptions , In January 2019, Wiley announced a contractual arrangement in support of Open Access, a countrywide partnership agreement with Projekt DEAL, a representative of nearly academic institutions in Germany. This 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 and a consolidated access fee. Licensing, Reprints, Backfiles and Other Within licensing, the revenue derived from these contracts is primarily comprised of advance payments, including minimum guarantees and sales- or usage-based royalty agreements. Our intellectual property is considered to be functional intellectual property. Due to the stand-ready promise to provide updates during the subscription period, which is generally an annual period, revenue for the minimum guarantee is recognized on a straight-line basis over the term of the agreement. 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 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. Research Platforms Services Research Platforms’ services typically include a single performance obligation for the implementation and hosting subscription services. The transaction price is fixed which may include price escalators that are fixed increases per year, and therefore, revenue is recognized upon the initiation of the subscription period and recognized on a straight-line basis over the time of the contractual period. The duration of these contracts is generally multiyear ranging from 2-5 years. Academic & Professional Learning Academic & Professional Learning provides Education Publishing and Professional Learning products and services including scientific, professional, and education print and digital books, digital courseware, and test preparation services, to libraries, corporations, students, professionals, and researchers, as well as learning, development, and assessment services for businesses and professionals. Communities served include business, finance, accounting, workplace learning, management, leadership, technology, behavioral health, engineering/ architecture, science and medicine, and education. Products are developed for worldwide distribution through multiple channels, including chain and online booksellers, libraries, colleges and universities, corporations, direct to consumer, web sites, distributor networks and other online applications. Publishing centers include Australia, Germany, India, the UK, and the US. Total Academic & Professional Learning revenue was $644.5 million in the year ended April 30, 2021. We disaggregated revenue by type of products provided. Academic & Professional Learning products are Education Publishing and Professional Learning. Education Publishing Products Education Publishing products revenue was $363.9 million in the year ended April 30, 2021. Education Publishing products generate approximately 63% of its revenue from contracts with its customers from Education (print and digital) Publishing, which is recognized at a point in time, and 24% from Digital Courseware which is recognized over time. The remainder of its revenues were from Test Preparation and Certification and Licensing and Other, which has a mix of revenue recognized at a point in time and over time. Education Publishing and Professional Publishing (included within Professional Learning below) Our performance obligations as it relates to Education and Professional 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 print or digital books purchased which are represented by an International Standard Book Number (ISBN’s), with each ISBN representing a performance obligation. Each ISBN has an observable stand-alone selling price since Wiley sells the books separately. 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 increase to inventory and reduction to accrued royalties as a result of the expected returns. As it relates to print and digital books within the Education and Professional 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. Digital Courseware Products Courseware customers purchase access codes to utilize the product. This could include a single or multiple performance obligations based on the number of course ISBNs purchased. Revenue is recognized over time in the period from when the access codes are activated over the applicable semester term to which such product relates. Test Preparation and Certification Products Test Preparation and Certification contracts are generally three-year agreements. This revenue stream includes multiple performance obligations as it relates to the online and printed course materials, including such items as textbooks, ebooks, 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 relative standalone selling price. This standalone selling price is generally based upon the observable selling prices where the product is sold separately to customers. 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 and Other 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. Professional Learning Products Professional Learning products revenue was $280.7 million in the year ended April 30, 2021. Professional Learning (print and digital) products generate approximately 48% of revenue from contracts with its customers from Professional Publishing, and Licensing and Other, both of which are described above, and both are mainly recognized at a point in time. Approximately 52% of Professional Learning products revenue is from contracts with its customers from Corporate Training and Corporate Learning, which is recognized mainly over time. Corporate Training Corporate Training through our authorized distributor network includes multiple performance obligations. This includes a performance obligation that includes an annual membership which includes the right to purchase products and services, access to the platform, support and training. This performance obligation is recognized over time since we have an obligation to stand-ready for the customer’s use of the services. In addition, there are performance obligations for the assessments and related products or services which are recognized at a point in time when the assessment, product or service is provided or delivered. The transaction price is allocated to each performance obligation based on its observable standalone selling price which is generally the contractually stated price for the performance obligation related to the annual membership, and for the other performance obligations based on its relative observable selling price when sold separately. In addition, as it relates to Corporate Training customers’ unexercised rights for situations where we have received a nonrefundable payment for a customer to receive an assessment 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 which is generally one year. Corporate Learning 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. Education Services Education Services revenue was $281.6 million in the year ended April 30, 2021 and the majority is recognized over time. We disaggregated revenue by type of services provided, which are Education Services OPM and mthree. Education Services OPM Education Services OPM engages in the comprehensive management of online degree programs for universities and has grown to include a broad array of tech enabled service offerings that address our partner specific pain points. Increasingly, this includes delivering full stack career credentialing education that advances specific careers with in-demand skills. Education Services OPM include market research, marketing, student recruitment, enrollment support, proactive retention support, academic services to design courses, faculty support, and access to the Engage Learning Management System, which facilitates the online education experience. Graduate degree programs include Business Administration, Finance, Accounting, Healthcare, Engineering, Communications, and others. As of April 30, 2021, the Education Services OPM business had 66 university partners under contract. We are also extending the core OPM business as well as delivering a broader array of essential university and career credentialing services that the market is demanding and which leverage our core Wiley skills and assets. This full stack education includes teacher professional development and IT skills training, through which we develop and deliver professional credits and job placement through our corporate partners. In addition, Education Services OPM derives revenue from unbundled service offerings. Education Services OPM revenue is primarily derived from prenegotiated contracts with institutions that provide for a share of tuition generated from students who enroll in a program. The duration of Education Services OPM contracts are generally multiyear agreements ranging from a period of 7-10 years, with some having optional renewal periods. These optional renewal periods are not a material right and are not considered a separate performance obligation. Education Services OPM 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 overtime, which is also when the variable consideration contingency is resolved. Education Services OPM revenue was $227.7 million in the year ended April 30, 2021. mthree mthree is a talent placement provider that finds, trains and places job-ready technology talent in roles with leading corporations worldwide. mthree’s contracts with customers includes a performance obligation for the services provided, which is recognized at the point in time the services are provided to its customers. mthree’s revenue was $53.9 million in the year ended April 30, 2021. Accounts Receivable, net and Contract Liability 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 accounts receivable, net and contract liabilities from contracts with customers April 30, 2021 April 30, 2020 Increase/ (Decrease) Balances from contracts with customers: Accounts receivable, net $ 311,571 $ 309,384 $ 2,187 Contract liabilities (1) 545,425 520,214 25,211 Contract liabilities (included in Other long-term liabilities) $ 19,560 $ 14,949 $ 4,611 (1) The sales return reserve recorded in Contract liabilities is $38.0 million and $32.8 million as of April 30, 2021 and April 30, 2020, respectively. See Note 2, “Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards” for further details of the sales return reserve. For the year ended April 30, 2021, we estimate that we recognized as revenue substantially all of the current contract liability balance at April 30, 2020 The increase in contract liabilities excluding the sales return reserve as of was primarily driven by renewals of journal subscription agreements, comprehensive agreements, open access, and test preparation and certification offerings and, to a lesser extent, the impact of foreign exchange, partially offset by revenue earned on journal subscription agreements, comprehensive agreements, open access and test preparation and certification offerings. Remaining Performance Obligations included in Contract Liability As of April 30, 2021, the aggregate amount of the transaction price allocated to the remaining performance obligations is approximately $565.0 million, which included the sales return reserve of $38.0 million. Excluding the sales return reserve, we expect that approximately $507.4 million will be recognized in the next twelve months with the remaining $19.6 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 costs are amortized on a systematic basis that is consistent with the transfer to the customer of the goods or services to which the asset relates. These types of costs are incurred in the following product types, (1) Research Platforms services, which includes customer specific implementation costs per the terms of the contract and (2) Education Services, which includes customer specific costs to develop courses per the terms of the contract. Our assets associated with incremental costs to fulfill a contract were $12.1 million and $11.5 million at April 30, 2021 and 2020, respectively, and are included within Other non-current assets on our Consolidated Statements of Financial Position. We recorded amortization expense of $5.1 million, $4.2 million, and $2.6 million in the years ended April 30, 2021, 2020 and 2019, respectively, related to these assets within Cost of sales on the Consolidated Statements of Income (Loss). Sales and value-added taxes are excluded from revenues. Shipping and handling costs, which are primarily incurred within the Academic & Professional Learning segment, occur before the transfer of control of the related goods. Therefore, in accordance with the 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 (Loss). We incurred $27.8 million, $28.8 million, and $32.7 million in shipping and handling costs in the years ended April 30, 2021, 2020, and 2019 respectively. |
Acquisitions
Acquisitions | 12 Months Ended |
Apr. 30, 2021 | |
Acquisitions [Abstract] | |
Acquisitions | Note 4 – Acquisitions Pro forma financial information related to these acquisitions has not been provided as it is not material to our consolidated results of operations. Fiscal Year 2021 Hindawi On December 31, 2020, we completed the acquisition of 100% of the outstanding stock of Hindawi Limited (Hindawi). Hindawi is a scientific research publisher and an innovator in open access publishing. Its results of operations are included in our Research Publishing & Platforms segment. The preliminary fair value of the consideration transferred at the acquisition date was $300.1 million which included $299.3 million of cash and $0.8 million related to the settlement of a preexisting relationship. We financed the payment of the cash consideration primarily through borrowings under our Amended and Restated RCA (as defined below in Note 14, “Debt and Available Credit Facilities”) and using cash on hand. The fair value of the cash consideration transferred, net of $1.0 million of cash acquired was approximately $298.3 million. The Hindawi acquisition was accounted for using the acquisition method of accounting. The preliminary excess purchase price over identifiable net tangible and intangible assets acquired, and liabilities assumed has been recorded to Goodwill in our Consolidated Statements of Financial Position . Goodwill represents synergies and economies of scale expected from the combination of services. We recorded the preliminary fair value of the assets acquired and liabilities assumed on the acquisition date. of the goodwill will be deductible for tax purposes. The acquisition related costs to acquire Hindawi were expensed when incurred and were approximately $ million for the year ended April 30, 2021. Such costs were allocated to the Research Publishing and Platforms segment and are reflected in Operating and administrative expenses on the Consolidated Statements of Income (Loss) for the , 2021. Hindawi’s revenue and operating loss included in our Research Publishing and Platforms segment results for the year ended April 30, 2021 was $12.0 million and $2.1 million, respectively. The following table summarizes the preliminary consideration transferred to acquire Hindawi and the preliminary allocation of the purchase price among the assets acquired and liabilities assumed. Preliminary Allocation as of January 31, 2021 Measurement Period Adjustments Preliminary Allocation as of April 30, 2021 Total consideration transferred $ 300,086 $ — $ 300,086 Assets: Current assets 2,902 (90 ) 2,812 Technology, property and equipment, net 844 — 844 Intangible assets, net 194,400 500 194,900 Goodwill 141,775 5,613 147,388 Operating lease right-of-use assets 3,716 46 3,762 Other non-current assets 177 (108 ) 69 Total assets $ 343,814 $ 5,961 $ 349,775 Liabilities: Current liabilities 3,657 (63 ) 3,594 Deferred income tax liabilities 36,936 95 37,031 Operating lease liabilities 3,135 15 3,150 Other long-term liabilities — 5,914 5,914 Total liabilities $ 43,728 $ 5,961 $ 49,689 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) Content and publishing rights $ 188,500 15 Developed technology 5,000 6 Trademarks 1,000 2 Customer relationships 400 10 Total $ 194,900 The allocation of the total consideration transferred to the assets acquired, including intangible assets and goodwill, 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, leases and related commitments, tax related matters and contingencies and certain assets and liabilities, including receivables and payables, but such amounts will be finalized within the measurement period, which will not exceed one year from the acquisition date. Fiscal Year 2020 mthree On January 1, 2020, we completed the acquisition of of the outstanding stock of mthree. mthree is a Its results of operations are included in our Education Services segment. The fair value of the consideration transferred was $129.9 million (£98.5 million) which included $122.2 million of cash at the acquisition date, $6.4 million that was paid in cash after the acquisition date as part of the assumed liabilities, and $1.3 million of cash to be paid after the acquisition date. We financed the payment of the cash consideration primarily through borrowings under our Amended and Restated RCA (as defined below in Note 14, “Debt and Available Credit Facilities”) and using cash on hand. The fair value of the cash consideration transferred including those amounts paid after the acquisition date in the year ended April 30, 2020, net of $2.2 million of cash acquired was approximately $126.4 million . The fair value of the cash consideration transferred after the acquisition date, that was paid during the year ended April 30, 2021 was $ million. At the time of the acquisition, Wiley entered into agreements with certain employees of mthree who will remain employees after the acquisition. Cash payments will be made based on reaching certain revenue and EBITDA targets in each year over a period. Such payments are subject to continuing employment and would therefore be considered compensation expense for services provided subsequent to the acquisition. Such expense would be recognized when it becomes probable that the targets will be achieved. The mthree acquisition was accounted for using the acquisition method of accounting. The excess purchase price over identifiable net tangible and intangible assets acquired, and liabilities assumed has been recorded to Goodwill in our Consolidated Statements of Financial Position. The fair value assessed for the majority of the tangible assets acquired and liabilities assumed equaled their carrying value. Goodwill represents synergies and economies of scale expected from the combination of services. We recorded the fair value of the assets acquired and liabilities assumed on the acquisition date. ne of the goodwill will be deductible for tax purposes. The acquisition related costs to acquire mthree were expensed when incurred and were approximately $ million for the twelve months ended April 30, 2020. Such costs were primarily allocated to the Education Services segment and were reflected in Operating and administrative expenses on the Consolidated Statements of Income (Loss) in the year ended April 30, 2020. mthree’s incremental revenue included in our Education Services segment results for the year ended was $ million. The following table summarizes the consideration transferred to acquire mthree and the final allocation of the purchase price among the assets acquired and liabilities assumed. Preliminary Allocation as of April 30, 2020 Measurement Period Adjustments Final Allocation Total cash consideration at the acquisition date and cash to be paid $ 122,242 $ 1,289 $ 123,531 Assets: Current assets 8,750 473 9,223 Technology, property and equipment, net 484 — 484 Intangible assets, net 56,836 — 56,836 Goodwill 82,561 — 82,561 Operating lease right-of-use assets 3,710 — 3,710 Total assets $ 152,341 $ 473 $ 152,814 Liabilities: Current liabilities 14,380 (816 ) 13,564 Deferred income tax liabilities 12,722 — 12,722 Operating lease liabilities 2,692 — 2,692 Other long-term liabilities 305 — 305 Total liabilities $ 30,099 $ (816 ) $ 29,283 The following table summarizes the identifiable intangible assets acquired and their weighted-average useful life at the date of acquisition. Fair Value Weighted-Average Useful Life (in Years) Customer relationships $ 48,792 12 Trademarks 6,725 10 Content 1,319 4 Total $ 56,836 The allocation of the consideration transferred to the assets acquired and the liabilities assumed was final during the three months ended January 31, 2021. Zyante Inc. On July 1, 2019, we completed the acquisition of Zyante Inc. (zyBooks), a leading provider of computer science and STEM education courseware. The results of operations of zyBooks are included in our Academic & Professional Learning segment results. The fair value of the consideration transferred at the acquisition date was $ million which included $ million of cash and $ million of additional consideration to be paid after the acquisition date, inclusive of purchase price adjustments which were finalized in the three months ended January 31, 2020. The fair value of the cash consideration transferred in the year ended April 30, 2020, including those amounts paid after the acquisition date, net of $ million of cash acquired was approximately $ million. The fair value of the cash consideration transferred after the acquisition date, that was paid during the year ended April 30, 2021 was $ million. The zyBooks acquisition was accounted for using the acquisition method of accounting. The excess purchase price over identifiable net tangible and intangible assets acquired, and liabilities assumed has been recorded to Goodwill in our C as of April 30, 2020. The fair value assessed for the majority of the tangible assets acquired and liabilities assumed equaled their carrying value. Goodwill represents synergies and economies of scale expected from the combination of services. Goodwill has been allocated to the Academic & Professional Learning segment. of the goodwill will be deductible for tax purposes. zyBooks incremental revenue included in our Academic & Professional Learning segment results for the year ended April 30, 2021 was $ million. The following table summarizes the consideration transferred to acquire zyBooks and the allocation of the purchase price among the assets acquired and liabilities assumed. Final Allocation Total cash consideration transferred $ 55,939 Assets: Current assets 2,280 Technology, property and equipment, net 28 Intangible assets, net 24,500 Goodwill 36,903 Total assets $ 63,711 Liabilities: Current liabilities 2,581 Deferred income tax liabilities 5,191 Total liabilities $ 7,772 The following table summarizes the identifiable intangible assets acquired and their weighted-average useful life at the date of acquisition. Fair Value Weighted-Average Useful Life (in Years) Developed technology $ 10,400 7 Customer relationships 6,800 10 Content 4,400 10 Trademarks 2,900 10 Total $ 24,500 The allocation of the consideration transferred to the assets acquired and the liabilities assumed was final as of April 30, 2020. Other Acquisitions in Fiscal Year 2020 The The fair value of the cash consideration transferred after the acquisition dates, that was paid during the year ended April 30, 2021 was $ million. . During the year ended April 30, 2021, a revision of $ million from goodwill to intangible assets was made to the allocation of the consideration transferred to the assets acquired and liabilities assumed for the Informatics and Madgex acquisitions, due to completion of the third-party valuation. The excess purchase price over identifiable net tangible and intangible assets acquired, and liabilities assumed of $ million has been recorded to Goodwill on our Consolidated Statements of Financial Position as of April 30, 2021, and $ million of intangible assets subject to amortization have been recorded, including customer relationships, developed technology, content and trademarks that are being amortized over estimated weighted average useful lives of , , , and years, respectively. The fair value assessed for the majority of the tangible assets acquired and liabilities assumed equaled their carrying value. Goodwill represents synergies and economies of scale expected from the combination of services. Goodwill of $ million has been allocated to the Academic & Professional Learning segment, and $ million has been allocated to the Research Publishing & Platforms segment. The incremental revenue for the year ended April 30, 2021 related to these other acquisitions was approximately $ million. On April 1, 2020, we completed the acquisition of Bio-Rad Laboratories Inc.’s Informatics products including the company’s spectroscopy software and spectral databases (Informatics). The results of Informatics are included in our Research Publishing & Platforms segment results. On March 2, 2020, we completed the acquisition of Madgex Holdings Limited (Madgex), a market-leading provider of advanced job board software and career center services. The results of Madgex are included in our Research Publishing & Platforms segment results. The allocation of the consideration transferred to the assets acquired and the liabilities assumed for Informatics and Madgex was final as of April 30, 2021. On May 31, 2019, we completed the acquisition of certain assets of Knewton, Inc. (Knewton). Knewton is a provider of affordable courseware and adaptive learning technology. The results of Knewton are included in our Academic & Professional Learning segment results. The allocation of the consideration transferred to the assets acquired and the liabilities assumed for Knewton was final as of April 30, 2020. We also completed in fiscal year 2020 the acquisition of two immaterial businesses, which are included in our Research Publishing & Platforms segment, one immaterial business included in our Academic & Professional Learning segment results and one immaterial business in our Education Services business. The allocation of the consideration transferred to the assets acquired and the liabilities assumed for these other acquisitions was final as of October 31, 2020. |
Reconciliation of Weighted Aver
Reconciliation of Weighted Average Shares Outstanding | 12 Months Ended |
Apr. 30, 2021 | |
Reconciliation of Weighted Average Shares Outstanding [Abstract] | |
Reconciliation of Weighted Average Shares Outstanding | Note 5 – Reconciliation of Weighted Average Shares Outstanding A reconciliation of the shares used in the computation of earnings (loss) per share follows (shares in thousands): For the Years Ended April 30, 2021 2020 2019 Weighted average shares outstanding 55,931 56,224 57,240 Less: Unvested restricted shares (1 ) (15 ) (48 ) Shares used for basic earnings (loss) per share 55,930 56,209 57,192 Dilutive effect of unvested restricted stock units and other stock awards 531 — 648 Shares used for diluted earnings (loss) per share 56,461 56,209 57,840 Antidilutive options to purchase Class A common shares, restricted shares, warrants to purchase Class A common shares and contingently issuable restricted stock which are excluded from the table above 982 1,677 958 In calculating diluted net loss per common share for the year ended April 30, 2020, our diluted weighted average number of common shares outstanding excludes the effect of unvested restricted stock units and other stock awards as the effect was anti-dilutive. This occurs when a US GAAP net loss is reported and the effect of using dilutive shares is antidilutive. The shares associated with performance-based stock awards are considered contingently issuable shares and will be included in the diluted weighted average number of common shares outstanding when they have met the performance conditions and when their effect is dilutive. Note 6 – Accumulated Other Comprehensive Loss Changes in Accumulated Other Comprehensive Loss by component, net of tax, for the years ended April 30, 2021, 2020, and 2019 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total 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 ) Other comprehensive loss before reclassifications (28,596 ) (36,965 ) (5,988 ) (71,549 ) Amounts reclassified from Accumulated other comprehensive loss — 5,102 (312 ) 4,790 Total other comprehensive loss (28,596 ) (31,863 ) (6,300 ) (66,759 ) Balance at April 30, 2020 $ (340,703 ) $ (227,920 ) $ (6,874 ) $ (575,497 ) Other comprehensive income (loss) before reclassifications 82,762 (6,273 ) (639 ) 75,850 Amounts reclassified from Accumulated other comprehensive loss — 6,047 2,810 8,857 Total other comprehensive income (loss) 82,762 (226 ) 2,171 84,707 Balance at April 30, 2021 $ (257,941 ) $ (228,146 ) $ (4,703 ) $ (490,790 ) For the years ended April 30, 2021, 2020 and 2019, pretax actuarial losses included in Unamortized Retirement Costs of approximately $7.8 million, $6.4 million, and $5.5 million respectively, were amortized from Accumulated Other Comprehensive Loss and recognized as pension and post-retirement benefit expense in Operating and administrative expenses and Other income on the Consolidated Statements of Income (Loss). Our policy for releasing the income tax effects from accumulated other comprehensive (loss) income is to release when the corresponding pretax accumulated other comprehensive (loss) income items are reclassified to earnings. Note 7 – Restructuring and Related Charges Business Optimization Program Beginning in fiscal year 2020, we initiated a multiyear Business Optimization Program (the Business Optimization Program) to drive efficiency improvement and operating savings. The following tables summarize the pretax restructuring charges related to this program: For the Years Ended April 30, 2021 2020 Total Charges Incurred to Date Charges by Segment: Research Publishing & Platforms $ 99 $ 3,546 $ 3,645 Academic & Professional Learning 3,229 10,475 13,704 Education Services 531 3,774 4,305 Corporate Expenses 29,590 15,018 44,608 Total Restructuring and Related Charges $ 33,449 $ 32,813 $ 66,262 Charges (Credits) by Activity: Severance and termination benefits $ 11,531 $ 26,864 $ 38,395 Impairment of operating lease ROU assets and property and equipment 14,918 161 15,079 Acceleration of expense related to operating lease ROU assets and property and equipment 3,378 — 3,378 Facility related charges 3,684 3,986 7,670 Other activities (62 ) 1,802 1,740 Total Restructuring and Related Charges $ 33,449 $ 32,813 $ 66,262 In November 2020 , in response to the COVID -19 pandemic and the Company’s successful transition to a virtual work environment, we increased use of virtual work arrangements for post-pandemic operations. As a result, we expanded the scope of the Business Optimization Program to include the exit of certain leased office space beginning in the three months ended January 31, 2021 , and the reduction of our occupancy at other facilities. We are reducing our real estate square footage occupancy by approximately . These actions resulted in a pretax restructuring charge of $ million in the three months ended January 31, 2021 . This restructuring charge primarily reflects the following noncash charges: • impairment charges of $ million recorded in our corporate category, which included the impairment of operating lease ROU assets of $ million related to certain leases that will be subleased, and the related property and equipment of $ million described further below, and • acceleration of expense of $ million, which included the acceleration of rent expense associated with operating lease ROU assets of $ million related to certain leases that will be abandoned or terminated and the related depreciation and amortization of property and equipment of $ million. Due to the actions taken above, we tested the operating lease ROU assets and the related property and equipment for those being subleased for recoverability by comparing the carrying value of the asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset groups were below the carrying values. Therefore, there was an indication of impairment. We then determined the fair value of the asset groups by utilizing the present value of the estimated future cash flows attributable to the assets. The fair value of these operating lease ROU assets and the property and equipment immediately subsequent to the impairment was $ million and is categorized as Level 3 within the FASB ASC Topic 820 , “Fair Value Measurements” fair value hierarchy. In addition, we also incurred ongoing facility-related costs associated with certain properties that resulted in additional restructuring charges of million in the year ended . Other Activities for the year ended April 30, 2020 primarily relate to reserves and costs associated with the cessation of certain offerings, and, to a lesser extent, a pension settlement, and the impairment of certain software licenses The following table summarizes the activity for the Business Optimization Program liability for the year ended April 30, 2021: April 30, 2020 Charges (Credits) Payments Foreign Translation & Other Adjustments April 30, 2021 Severance and termination benefits $ 17,632 $ 11,531 $ (18,310 ) $ 612 $ 11,465 Other activities 430 (264 ) (262 ) 96 — Total $ 18,062 $ 11,267 $ (18,572 ) $ 708 $ 11,465 The restructuring liability for accrued severance and termination benefits is reflected in Accrued employment costs in the Consolidated Statement of Financial Position as of April 30, 2021. 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 pretax restructuring (credits) charges related to this program: For the Years Ended April 30, 2021 2020 2019 Total Charges Incurred to Date (Credits) Charges by Segment: Research Publishing & Platforms $ (135 ) $ 340 $ 1,131 $ 26,749 Academic & Professional Learning 274 (5 ) 1,139 43,108 Education Services — (103 ) 389 3,764 Corporate Expenses (278 ) (438 ) 459 95,662 Total Restructuring and Related (Credits) Charges $ (139 ) $ (206 ) $ 3,118 $ 169,283 (Credits) Charges by Activity: Severance and termination benefits $ (139 ) $ (250 ) $ 1,456 $ 115,870 Consulting and contract termination costs — (171 ) 526 20,984 Other activities — 215 1,136 32,429 Total Restructuring and Related (Credits) Charges $ (139 ) $ (206 ) $ 3,118 $ 169,283 Other activities for the year ended April 30, 2020 include facility related costs. Other activities for the year ended April 30, 2019 reflect lease impairment related costs. The following table summarizes the activity for the Restructuring and Reinvestment Program liability for the year ended April 30, 2021: April 30, 2020 (Credits) Payments Foreign Translation & Other Adjustments April 30, 2021 Severance and termination benefits $ 1,360 $ (139 ) $ (888 ) $ 69 $ 402 Other activities 230 — (207 ) 239 262 Total $ 1,590 $ (139 ) $ (1,095 ) $ 308 $ 664 The restructuring liability as of April 30, 2021 for accrued severance and termination benefits is reflected in Accrued employment costs in the Consolidated Statement of Financial Position. The restructuring liability as of April 30, 2021 for other activities are reflected in Other accrued liabilities in the Consolidated Statement 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. Note 8 – Inventories Inventories, net consisted of the following at April 30: 2021 2020 Finished goods $ 31,704 $ 36,014 Work-in-process 2,060 1,398 Paper and other materials 331 331 Total inventories before estimated sales returns and LIFO reserve 34,095 37,743 Inventory value of estimated sales returns 10,886 8,686 LIFO reserve (2,443 ) (2,815 ) Inventories, net $ 42,538 $ 43,614 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 not recorded at LIFO have been recorded at the lower of cost or net realizable value, which resulted in a reduction of $14.0 million and $16.1 million as of April 30, 2021 and 2020, respectively. Note 9 – Product Development Assets Product development assets, net consisted of the following at April 30: 2021 2020 Book composition costs $ 20,474 $ 18,744 Software costs 23,262 28,995 Content development costs 5,781 5,904 Product development assets, net $ 49,517 $ 53,643 Product development assets include $6.3 million and $4.9 million of work-in-process as of April 30, 2021 and 2020, respectively. As of April 30, 2021 this is primarily for book composition costs and, to a lesser extent, software costs. As of April 30, 2020, this is primarily for book composition costs. Product development assets are net of accumulated amortization of $269.0 million and $244.1 million as of April 30, 2021 and 2020, respectively. Note 10 – Technology, Property and Equipment Technology, property and equipment, net consisted of the following at April 30: 2021 2020 Capitalized software $ 536,878 $ 471,844 Computer hardware 50,714 46,640 Buildings and leasehold improvements 99,636 99,230 Furniture, fixtures, and warehouse equipment 42,674 44,104 Land and land improvements 3,656 3,298 Technology, property and equipment, gross 733,558 665,116 Accumulated depreciation and amortization (451,288 ) (367,111 ) Technology, property and equipment, net $ 282,270 $ 298,005 The following table details our depreciation and amortization expense for technology, property and equipment, net: For the Years Ended April 30, 2021 2020 2019 Capitalized software amortization expense $ 69,184 $ 55,685 $ 50,095 Depreciation and amortization expense, excluding capitalized software 21,955 21,031 19,323 Total depreciation and amortization expense for technology, property and equipment $ 91,139 $ 76,716 $ 69,418 Technology, property and equipment includes $0.6 million and $0.9 million of work-in-process as of April 30, 2021 and 2020, respectively, for capitalized software. The net book value of capitalized software costs was $202.8 million and $207.5 million as of April 30, 2021 and 2020, respectively. Note 11 – Goodwill and Intangible Assets Goodwill The following table summarizes the activity in goodwill by segment as of April 30: 2020 (1) Acquisitions (2) Foreign Translation Adjustment 2021 Research Publishing & Platforms $ 448,130 $ 136,789 $ 34,284 $ 619,203 Academic & Professional Learning 501,091 — 11,421 512,512 Education Services 167,569 — 5,056 172,625 Total $ 1,116,790 $ 136,789 $ 50,761 $ 1,304,340 (1) The Education Services goodwill balance as of April 30, 2020 includes a cumulative pretax noncash goodwill impairment of $ million. (2) Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in the year ended April 30, 2021. Annual Goodwill Impairment Test as of February 1, 2021 During the fourth quarter of 2021, we completed step one of our annual goodwill impairment test for our reporting units. We concluded that the fair values of our 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 our best estimates of forecasted economic and market conditions over the period including growth rates, expected changes in operating cash flows and cash expenditures. 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 revenue or EBITDA, 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 as part of the annual goodwill impairment test completed in the fourth quarter exceeded the carrying value for all of our reporting units. Therefore, there was no impairment of goodwill. However, if the fair value of these reporting units decrease in future periods, we could potentially have an impairment. The future occurrence of a potential indicator of impairment, such as a decrease in expected net earnings, changes in assumptions including the impact of COVID-19, 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. Annual Goodwill Impairment Test as of February 1, 2020 As of February 1, 2020, we completed our annual goodwill impairment test for our reporting units. We concluded that the fair values of our Research Publishing & Platforms and Academic & Professional Learning reporting units were above their carrying values and, therefore, there was no indication of impairment. During our annual goodwill impairment test initiated on February 1, 2020 we identified indicators that the goodwill of the Education Services business was impaired due to underperformance as compared with our acquisition case projections for revenue growth and operating cash flow. Subsequently, during the fourth quarter of fiscal year 2020, we determined that our updated revenue and operating cash flow projections would be further impacted by anticipated near-term headwinds due to COVID-19, including adverse impacts on new student starts and student reenrollment. Therefore, we updated the impairment test as of March 31, 2020 to reflect this change in circumstances. As a result, we concluded that the carrying value was above the fair value which resulted in a pretax noncash goodwill impairment of $ million. This charge is reflected in Impairment of goodwill and intangible assets Prior to performing the goodwill impairment test for Education Services, we also evaluated the recoverability of long-lived assets of the reporting unit. The carrying value of the long-lived assets that were tested for impairment was $ million. When indicators of impairment are present, we test definite lived and long-lived assets for recoverability by comparing the carrying value of an asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. We considered the lower than expected revenue and forecasted over a sustained period of time, and downward revisions to our cash flow forecasts for this reporting unit to be indicators of impairment for their long-lived assets. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset group of the Education Services reporting unit exceeded the carrying value. Therefore, there was no impairment. Intangible Assets Intangible assets, net as of April 30 were as follows: 2021 2020 Cost Accumulated Amortization Net Cost Accumulated Amortization Accumulated Impairment Net Intangible assets with definite lives, net Content and publishing rights $ 1,062,072 $ (497,843 ) $ 564,229 $ 806,862 $ (444,756 ) $ — $ 362,106 Customer relationships 384,462 (117,985 ) 266,477 377,652 (87,234 ) — 290,418 Developed technology (1) 42,785 (7,824 ) 34,961 19,225 (3,273 ) (2,841 ) 13,111 Brands and trademarks 45,630 (26,094 ) 19,536 42,877 (22,689 ) — 20,188 Covenants not to compete 1,250 (1,192 ) 58 1,675 (1,429 ) — 246 Total (2) 1,536,199 (650,938 ) 885,261 1,248,291 (559,381 ) (2,841 ) 686,069 Intangible assets with indefinite lives Brands and trademarks (1) 37,000 — 37,000 130,107 — (93,107 ) 37,000 Publishing rights 93,041 — 93,041 84,336 — — 84,336 Total 130,041 — 130,041 214,443 — (93,107 ) 121,336 Total intangible assets, net $ 1,666,240 $ (650,938 ) $ 1,015,302 $ 1,462,734 $ (559,381 ) $ (95,948 ) $ 807,405 (1) The developed technology balance as of April 30, 2021 is presented net of accumulated impairments and write-offs of $2.8 million. The indefinite-lived brands and trademarks cost balance as of April 30, 2021 is net of accumulated impairments of $93.1 million. (2) Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in 2021 and 2020. 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 2022 $ 82,401 2023 76,125 2024 71,367 2025 65,764 2026 63,410 Thereafter 526,194 Total $ 885,261 Annual Indefinite-Lived Intangibles Impairment Test as of February 1, 2021 We also review our indefinite-lived intangible assets for impairment annually, which consists of brands and trademarks and certain acquired publishing rights. As of February 1, 2021, 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. Fiscal Year 2020 Impairment Annual Indefinite-Lived Intangibles Impairment Test as of February 1, 2020 During the fourth quarter of 2020, 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, except for the Blackwell indefinite-lived trademark. For the year ended April 30, 2020, we recorded a pretax noncash impairment charge of $ million for our Blackwell trademark, which was acquired in 2007 and carried as an indefinite-lived intangible asset primarily related to our Research Publishing & Platforms segment. and unify our research journal content under one Wiley brand, which will sharply limit the use of the Blackwell trade name. This impairment resulted in writing off substantially all of the carrying value of the intangible trademark asset. This charge is reflected in Impairment of goodwill and intangible assets The resulting noncash impairment charge was entirely unrelated to COVID-19 or the expected future financial performance of the Research Publishing & Platforms segment . Intangible Assets with Definite Lives As a result of our decision to discontinue the use of certain technology offerings within the Research Publishing & Platforms segment, we recorded a pretax noncash impairment charge of $ million related to a certain developed technology intangible. This charge was included in Impairment of goodwill and intangible assets on Note 12 Operating Leases We have contractual obligations as a lessee with respect to offices, warehouses and distribution centers, automobiles, and office equipment. We determine if an arrangement is a lease at inception of the contract in accordance with guidance detailed in the lease standard and we perform the lease classification test as of the lease commencement date. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The present value of the lease payments is calculated using an incremental borrowing rate, which was determined based on the rate of interest that we would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use an unsecured borrowing rate and risk-adjust that rate to approximate a collateralized rate. Under the new leasing standard, leases that are more than one year in duration are capitalized and recorded on the Consolidated Statements of Financial Position. Some of our leases offer an option to extend the term of such leases. We utilize the reasonably certain threshold criteria in determining which options we will exercise. Furthermore, some of our lease payments are based on index rates with minimum annual increases. These represent fixed payments and are captured in the future minimum lease payments calculation. For operating leases, the ROU assets and liabilities as of April 30 are presented in our Consolidated Statement of Financial Position as follows: 2021 2020 Operating lease ROU assets $ 121,430 $ 142,716 Short-term portion of operating lease liabilities 22,440 21,810 Operating lease liabilities, non-current $ 145,832 $ 159,782 During the year ended April 30, 2021, we added $6.1 million to the ROU assets and $5.7 million to the operating lease liabilities due to new leases, including due to acquisitions, as well as modifications and remeasurements to our existing operating leases. As a result of expanding the scope of the Business Optimization Program to include the exit of certain leased office space beginning in the third quarter of fiscal 2021, we incurred a pretax restructuring charge of $ million in the three months ended January 31, 2021. This charge included impairment charges and acceleration of expense associated with certain operating lease ROU assets. See Note 7, “Restructuring and Related Charges” for more information on this program and the charges incurred. Our total net lease costs were as follows: For the Years Ended April 30, 2021 2020 Operating lease cost $ 24,862 $ 26,027 Variable lease cost 2,135 3,856 Short-term lease cost 248 86 Sublease income (722 ) (691 ) Total net lease cost (1) $ 26,523 $ 29,278 (1) Total net lease cost does not include those costs included in Restructuring and related charges on our Consolidated Statements of Income (Loss). See Note Other supplemental information includes the following: For the Years Ended April 30, 2021 2020 Weighted-average remaining contractual lease term (years) 9 10 Weighted-average discount rate 5.89 % 5.89 % Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 32,344 $ 28,243 The table below reconciles the undiscounted cash flows for the first five years and total of the remaining years to the operating lease liabilities recorded in the Consolidated Statement of Financial Position as of April 30, 2021: Fiscal Year Operating Lease Liabilities 2022 $ 30,674 2023 26,905 2024 24,799 2025 23,235 2026 20,584 Thereafter 95,000 Total future undiscounted minimum lease payments 221,197 Less: Imputed interest 52,925 Present value of minimum lease payments 168,272 Less: Current portion 22,440 Noncurrent portion $ 145,832 Prior to the Adoption of ASC Topic 842 The following schedule shows the composition of net rent expense for operating leases for the year ended April 30: 2019 Minimum rental $ 29,066 Less: sublease rentals (719 ) Total $ 28,347 Rent expense associated with operating leases that include scheduled rent increases and tenant incentives, such as rent holidays or leasehold improvement allowances, were recorded on a straight-line basis over the term of the lease. Note 13 –Income Taxes The provisions for income taxes were as follows: For the Years Ended April 30, 2021 2020 2019 Current Provision US – Federal $ (6,631 ) $ 1,145 $ 2,384 International 43,269 37,494 52,518 State and local 1,359 172 2,536 Total current provision $ 37,997 $ 38,811 $ 57,438 Deferred (benefit) provision US – Federal $ (11,996 ) $ (8,476 ) $ 335 International 1,175 (15,022 ) (7,630 ) State and local 480 (4,118 ) (5,454 ) Total deferred (benefit) $ (10,341 ) $ (27,616 ) $ (12,749 ) Total provision $ 27,656 $ 11,195 $ 44,689 International and United States pretax income (loss) were as follows: For the Years Ended April 30, 2021 2020 2019 International $ 202,490 $ 104,185 $ 204,326 United States (26,578 ) (167,277 ) 8,626 Total $ 175,912 $ (63,092 ) $ 212,952 Our effective income tax rate as a percentage of pretax income differed from the US federal statutory rate as shown below: For the Years Ended April 30, 2021 2020 2019 US federal statutory rate 21.0 % 21.0 % 21.0 % Cost of higher taxes on non-US income 1.1 4.8 0.9 State income taxes, net of US federal tax benefit 0.8 3.3 (1.3 ) US NOL carryback under CARES Act (8.0 ) — — Deferred tax (benefit) from US Tax Act — — 0.1 Tax credits and related benefits (0.5 ) (1.1 ) (0.8 ) Impairment of goodwill and intangibles — (42.3 ) — Other 1.3 (3.4 ) 1.1 Effective income tax rate 15.7 % (17.7 )% 21.0 % The effective tax rate was 15.7% for the year ended April 30, 2021, compared to a tax expense rate of 17.7% on a pretax loss for the year ended April 30, 2020. Our rate for the year ended April 30, 2021 benefitted by $14.0 million (8.0%) from the CARES Act and certain regulations issued in late July 2020, which enabled us to carry back certain US net operating losses (NOLs), reducing our tax for the year ended April 30, 2020 compared to prior estimates. This benefit was partially offset by (a) $3.5 million (2.0%) from an increase in the official UK statutory rate during our three months ended July 31, 2020, resulting in our taxes in non-US income increasing our effective income tax rate and (b) a $3.2 million (1.8%) increase in our state tax expense included in our state income tax expense above, due to increasing our deferred tax liabilities in connection with our expanded presence in additional states resulting from COVID-19 and employees working in additional locations. The 17.7% tax expense rate on a pretax loss for the year ended April 30, 2020 was primarily due to the non-deductible impairment of goodwill. In connection with the CARES Act and certain regulations, we carried back our April 30, 2020 US NOL to our year ended April 30, 2015 and claimed a $20.7 million refund. The refund plus interest was received in February 2021. The NOL was carried back to fiscal year 2015 when the US corporate tax rate was 35.0%. The carryback to a year with a higher rate, plus certain additional net permanent deductions included in the carryback resulted in a $14.0 million tax benefit. The benefit was partially offset by an increase in the UK statutory rate and an increase in our state tax expense. During the three months ended July 31, 2020, the UK officially enacted legislation that increased its statutory rate from 17% to 19%. This resulted in a $3.5 million noncash deferred tax expense from the re-measurement of our applicable UK net deferred tax liabilities. During the year ended April 30, 2021, as a result of COVID-19, we adjusted our policies to permit employees to work from home, resulting in an increased presence in many states. This resulted in a $3.2 million noncash deferred tax expense from the re-measurement of our applicable US net deferred tax liabilities. Accounting for Uncertainty in Income Taxes: As of April 30, 2021 and April 30, 2020, the total amount of unrecognized tax benefits were $9.1 million and $6.2 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. We recorded net interest expense on reserves for unrecognized and recognized tax benefits of $0.2 million within each of the years ended April 30, 2021 and 2020. As of April 30, 2021, and April 30, 2020, the total amounts of unrecognized tax benefits that would reduce our income tax provision, if recognized, were approximately $7.4 million and $6.2 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: 2021 2020 Balance at May 1 $ 6,194 $ 7,659 Additions for current year tax positions 3,626 694 Additions for prior year tax positions 511 — Reductions for prior year tax positions (163 ) (655 ) Foreign translation adjustment 57 (15 ) Payments and settlements (215 ) (56 ) Reductions for lapse of statute of limitations (866 ) (1,433 ) Balance at April 30 $ 9,144 $ 6,194 Tax Audits: We file income tax returns in the US and various states and non-US tax jurisdictions. Our major taxing jurisdictions are the United States, 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. We received a tax audit notice from the Internal Revenue Service with respect to our loss for our year ended April 30, 2020 and the carryback to the year ended April 30, 2015. We also received tax audit notices for our German entities for the fiscal years 2014-2017. The audit process in Germany has been delayed due to COVID-19. We have also addressed inquiries in other jurisdictions where we maintain a smaller presence. 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: 2021 2020 Net operating losses $ 19,433 $ 17,966 Reserve for sales returns and doubtful accounts 3,838 2,638 Accrued employee compensation 32,835 20,114 Foreign and federal credits 5,129 31,487 Other accrued expenses 16,092 11,827 Retirement and post-employment benefits 30,039 37,927 To |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Apr. 30, 2021 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | Note 6 – Accumulated Other Comprehensive Loss Changes in Accumulated Other Comprehensive Loss by component, net of tax, for the years ended April 30, 2021, 2020, and 2019 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total 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 ) Other comprehensive loss before reclassifications (28,596 ) (36,965 ) (5,988 ) (71,549 ) Amounts reclassified from Accumulated other comprehensive loss — 5,102 (312 ) 4,790 Total other comprehensive loss (28,596 ) (31,863 ) (6,300 ) (66,759 ) Balance at April 30, 2020 $ (340,703 ) $ (227,920 ) $ (6,874 ) $ (575,497 ) Other comprehensive income (loss) before reclassifications 82,762 (6,273 ) (639 ) 75,850 Amounts reclassified from Accumulated other comprehensive loss — 6,047 2,810 8,857 Total other comprehensive income (loss) 82,762 (226 ) 2,171 84,707 Balance at April 30, 2021 $ (257,941 ) $ (228,146 ) $ (4,703 ) $ (490,790 ) For the years ended April 30, 2021, 2020 and 2019, pretax actuarial losses included in Unamortized Retirement Costs of approximately $7.8 million, $6.4 million, and $5.5 million respectively, were amortized from Accumulated Other Comprehensive Loss and recognized as pension and post-retirement benefit expense in Operating and administrative expenses and Other income on the Consolidated Statements of Income (Loss). Our policy for releasing the income tax effects from accumulated other comprehensive (loss) income is to release when the corresponding pretax accumulated other comprehensive (loss) income items are reclassified to earnings. |
Restructuring and Related Charg
Restructuring and Related Charges | 12 Months Ended |
Apr. 30, 2021 | |
Restructuring and Related Charges [Abstract] | |
Restructuring and Related Charges | Note 7 – Restructuring and Related Charges Business Optimization Program Beginning in fiscal year 2020, we initiated a multiyear Business Optimization Program (the Business Optimization Program) to drive efficiency improvement and operating savings. The following tables summarize the pretax restructuring charges related to this program: For the Years Ended April 30, 2021 2020 Total Charges Incurred to Date Charges by Segment: Research Publishing & Platforms $ 99 $ 3,546 $ 3,645 Academic & Professional Learning 3,229 10,475 13,704 Education Services 531 3,774 4,305 Corporate Expenses 29,590 15,018 44,608 Total Restructuring and Related Charges $ 33,449 $ 32,813 $ 66,262 Charges (Credits) by Activity: Severance and termination benefits $ 11,531 $ 26,864 $ 38,395 Impairment of operating lease ROU assets and property and equipment 14,918 161 15,079 Acceleration of expense related to operating lease ROU assets and property and equipment 3,378 — 3,378 Facility related charges 3,684 3,986 7,670 Other activities (62 ) 1,802 1,740 Total Restructuring and Related Charges $ 33,449 $ 32,813 $ 66,262 In November 2020 , in response to the COVID -19 pandemic and the Company’s successful transition to a virtual work environment, we increased use of virtual work arrangements for post-pandemic operations. As a result, we expanded the scope of the Business Optimization Program to include the exit of certain leased office space beginning in the three months ended January 31, 2021 , and the reduction of our occupancy at other facilities. We are reducing our real estate square footage occupancy by approximately . These actions resulted in a pretax restructuring charge of $ million in the three months ended January 31, 2021 . This restructuring charge primarily reflects the following noncash charges: • impairment charges of $ million recorded in our corporate category, which included the impairment of operating lease ROU assets of $ million related to certain leases that will be subleased, and the related property and equipment of $ million described further below, and • acceleration of expense of $ million, which included the acceleration of rent expense associated with operating lease ROU assets of $ million related to certain leases that will be abandoned or terminated and the related depreciation and amortization of property and equipment of $ million. Due to the actions taken above, we tested the operating lease ROU assets and the related property and equipment for those being subleased for recoverability by comparing the carrying value of the asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset groups were below the carrying values. Therefore, there was an indication of impairment. We then determined the fair value of the asset groups by utilizing the present value of the estimated future cash flows attributable to the assets. The fair value of these operating lease ROU assets and the property and equipment immediately subsequent to the impairment was $ million and is categorized as Level 3 within the FASB ASC Topic 820 , “Fair Value Measurements” fair value hierarchy. In addition, we also incurred ongoing facility-related costs associated with certain properties that resulted in additional restructuring charges of million in the year ended . Other Activities for the year ended April 30, 2020 primarily relate to reserves and costs associated with the cessation of certain offerings, and, to a lesser extent, a pension settlement, and the impairment of certain software licenses The following table summarizes the activity for the Business Optimization Program liability for the year ended April 30, 2021: April 30, 2020 Charges (Credits) Payments Foreign Translation & Other Adjustments April 30, 2021 Severance and termination benefits $ 17,632 $ 11,531 $ (18,310 ) $ 612 $ 11,465 Other activities 430 (264 ) (262 ) 96 — Total $ 18,062 $ 11,267 $ (18,572 ) $ 708 $ 11,465 The restructuring liability for accrued severance and termination benefits is reflected in Accrued employment costs in the Consolidated Statement of Financial Position as of April 30, 2021. 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 pretax restructuring (credits) charges related to this program: For the Years Ended April 30, 2021 2020 2019 Total Charges Incurred to Date (Credits) Charges by Segment: Research Publishing & Platforms $ (135 ) $ 340 $ 1,131 $ 26,749 Academic & Professional Learning 274 (5 ) 1,139 43,108 Education Services — (103 ) 389 3,764 Corporate Expenses (278 ) (438 ) 459 95,662 Total Restructuring and Related (Credits) Charges $ (139 ) $ (206 ) $ 3,118 $ 169,283 (Credits) Charges by Activity: Severance and termination benefits $ (139 ) $ (250 ) $ 1,456 $ 115,870 Consulting and contract termination costs — (171 ) 526 20,984 Other activities — 215 1,136 32,429 Total Restructuring and Related (Credits) Charges $ (139 ) $ (206 ) $ 3,118 $ 169,283 Other activities for the year ended April 30, 2020 include facility related costs. Other activities for the year ended April 30, 2019 reflect lease impairment related costs. The following table summarizes the activity for the Restructuring and Reinvestment Program liability for the year ended April 30, 2021: April 30, 2020 (Credits) Payments Foreign Translation & Other Adjustments April 30, 2021 Severance and termination benefits $ 1,360 $ (139 ) $ (888 ) $ 69 $ 402 Other activities 230 — (207 ) 239 262 Total $ 1,590 $ (139 ) $ (1,095 ) $ 308 $ 664 The restructuring liability as of April 30, 2021 for accrued severance and termination benefits is reflected in Accrued employment costs in the Consolidated Statement of Financial Position. The restructuring liability as of April 30, 2021 for other activities are reflected in Other accrued liabilities in the Consolidated Statement 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. |
Inventories
Inventories | 12 Months Ended |
Apr. 30, 2021 | |
Inventories [Abstract] | |
Inventories | Note 8 – Inventories Inventories, net consisted of the following at April 30: 2021 2020 Finished goods $ 31,704 $ 36,014 Work-in-process 2,060 1,398 Paper and other materials 331 331 Total inventories before estimated sales returns and LIFO reserve 34,095 37,743 Inventory value of estimated sales returns 10,886 8,686 LIFO reserve (2,443 ) (2,815 ) Inventories, net $ 42,538 $ 43,614 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 not recorded at LIFO have been recorded at the lower of cost or net realizable value, which resulted in a reduction of $14.0 million and $16.1 million as of April 30, 2021 and 2020, respectively. |
Product Development Assets
Product Development Assets | 12 Months Ended |
Apr. 30, 2021 | |
Product Development Assets [Abstract] | |
Product Development Assets | Note 9 – Product Development Assets Product development assets, net consisted of the following at April 30: 2021 2020 Book composition costs $ 20,474 $ 18,744 Software costs 23,262 28,995 Content development costs 5,781 5,904 Product development assets, net $ 49,517 $ 53,643 Product development assets include $6.3 million and $4.9 million of work-in-process as of April 30, 2021 and 2020, respectively. As of April 30, 2021 this is primarily for book composition costs and, to a lesser extent, software costs. As of April 30, 2020, this is primarily for book composition costs. Product development assets are net of accumulated amortization of $269.0 million and $244.1 million as of April 30, 2021 and 2020, respectively. |
Technology, Property and Equipm
Technology, Property and Equipment | 12 Months Ended |
Apr. 30, 2021 | |
Technology, Property and Equipment [Abstract] | |
Technology, Property and Equipment | Note 10 – Technology, Property and Equipment Technology, property and equipment, net consisted of the following at April 30: 2021 2020 Capitalized software $ 536,878 $ 471,844 Computer hardware 50,714 46,640 Buildings and leasehold improvements 99,636 99,230 Furniture, fixtures, and warehouse equipment 42,674 44,104 Land and land improvements 3,656 3,298 Technology, property and equipment, gross 733,558 665,116 Accumulated depreciation and amortization (451,288 ) (367,111 ) Technology, property and equipment, net $ 282,270 $ 298,005 The following table details our depreciation and amortization expense for technology, property and equipment, net: For the Years Ended April 30, 2021 2020 2019 Capitalized software amortization expense $ 69,184 $ 55,685 $ 50,095 Depreciation and amortization expense, excluding capitalized software 21,955 21,031 19,323 Total depreciation and amortization expense for technology, property and equipment $ 91,139 $ 76,716 $ 69,418 Technology, property and equipment includes $0.6 million and $0.9 million of work-in-process as of April 30, 2021 and 2020, respectively, for capitalized software. The net book value of capitalized software costs was $202.8 million and $207.5 million as of April 30, 2021 and 2020, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Apr. 30, 2021 | |
Goodwill and Intangible Assets [Abstract] | |
Goodwill and Intangible Assets | Note 11 – Goodwill and Intangible Assets Goodwill The following table summarizes the activity in goodwill by segment as of April 30: 2020 (1) Acquisitions (2) Foreign Translation Adjustment 2021 Research Publishing & Platforms $ 448,130 $ 136,789 $ 34,284 $ 619,203 Academic & Professional Learning 501,091 — 11,421 512,512 Education Services 167,569 — 5,056 172,625 Total $ 1,116,790 $ 136,789 $ 50,761 $ 1,304,340 (1) The Education Services goodwill balance as of April 30, 2020 includes a cumulative pretax noncash goodwill impairment of $ million. (2) Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in the year ended April 30, 2021. Annual Goodwill Impairment Test as of February 1, 2021 During the fourth quarter of 2021, we completed step one of our annual goodwill impairment test for our reporting units. We concluded that the fair values of our 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 our best estimates of forecasted economic and market conditions over the period including growth rates, expected changes in operating cash flows and cash expenditures. 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 revenue or EBITDA, 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 as part of the annual goodwill impairment test completed in the fourth quarter exceeded the carrying value for all of our reporting units. Therefore, there was no impairment of goodwill. However, if the fair value of these reporting units decrease in future periods, we could potentially have an impairment. The future occurrence of a potential indicator of impairment, such as a decrease in expected net earnings, changes in assumptions including the impact of COVID-19, 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. Annual Goodwill Impairment Test as of February 1, 2020 As of February 1, 2020, we completed our annual goodwill impairment test for our reporting units. We concluded that the fair values of our Research Publishing & Platforms and Academic & Professional Learning reporting units were above their carrying values and, therefore, there was no indication of impairment. During our annual goodwill impairment test initiated on February 1, 2020 we identified indicators that the goodwill of the Education Services business was impaired due to underperformance as compared with our acquisition case projections for revenue growth and operating cash flow. Subsequently, during the fourth quarter of fiscal year 2020, we determined that our updated revenue and operating cash flow projections would be further impacted by anticipated near-term headwinds due to COVID-19, including adverse impacts on new student starts and student reenrollment. Therefore, we updated the impairment test as of March 31, 2020 to reflect this change in circumstances. As a result, we concluded that the carrying value was above the fair value which resulted in a pretax noncash goodwill impairment of $ million. This charge is reflected in Impairment of goodwill and intangible assets Prior to performing the goodwill impairment test for Education Services, we also evaluated the recoverability of long-lived assets of the reporting unit. The carrying value of the long-lived assets that were tested for impairment was $ million. When indicators of impairment are present, we test definite lived and long-lived assets for recoverability by comparing the carrying value of an asset group to an estimate of the future undiscounted cash flows expected to result from the use and eventual disposition of the asset group. We considered the lower than expected revenue and forecasted over a sustained period of time, and downward revisions to our cash flow forecasts for this reporting unit to be indicators of impairment for their long-lived assets. Based on the results of the recoverability test, we determined that the undiscounted cash flows of the asset group of the Education Services reporting unit exceeded the carrying value. Therefore, there was no impairment. Intangible Assets Intangible assets, net as of April 30 were as follows: 2021 2020 Cost Accumulated Amortization Net Cost Accumulated Amortization Accumulated Impairment Net Intangible assets with definite lives, net Content and publishing rights $ 1,062,072 $ (497,843 ) $ 564,229 $ 806,862 $ (444,756 ) $ — $ 362,106 Customer relationships 384,462 (117,985 ) 266,477 377,652 (87,234 ) — 290,418 Developed technology (1) 42,785 (7,824 ) 34,961 19,225 (3,273 ) (2,841 ) 13,111 Brands and trademarks 45,630 (26,094 ) 19,536 42,877 (22,689 ) — 20,188 Covenants not to compete 1,250 (1,192 ) 58 1,675 (1,429 ) — 246 Total (2) 1,536,199 (650,938 ) 885,261 1,248,291 (559,381 ) (2,841 ) 686,069 Intangible assets with indefinite lives Brands and trademarks (1) 37,000 — 37,000 130,107 — (93,107 ) 37,000 Publishing rights 93,041 — 93,041 84,336 — — 84,336 Total 130,041 — 130,041 214,443 — (93,107 ) 121,336 Total intangible assets, net $ 1,666,240 $ (650,938 ) $ 1,015,302 $ 1,462,734 $ (559,381 ) $ (95,948 ) $ 807,405 (1) The developed technology balance as of April 30, 2021 is presented net of accumulated impairments and write-offs of $2.8 million. The indefinite-lived brands and trademarks cost balance as of April 30, 2021 is net of accumulated impairments of $93.1 million. (2) Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in 2021 and 2020. 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 2022 $ 82,401 2023 76,125 2024 71,367 2025 65,764 2026 63,410 Thereafter 526,194 Total $ 885,261 Annual Indefinite-Lived Intangibles Impairment Test as of February 1, 2021 We also review our indefinite-lived intangible assets for impairment annually, which consists of brands and trademarks and certain acquired publishing rights. As of February 1, 2021, 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. Fiscal Year 2020 Impairment Annual Indefinite-Lived Intangibles Impairment Test as of February 1, 2020 During the fourth quarter of 2020, 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, except for the Blackwell indefinite-lived trademark. For the year ended April 30, 2020, we recorded a pretax noncash impairment charge of $ million for our Blackwell trademark, which was acquired in 2007 and carried as an indefinite-lived intangible asset primarily related to our Research Publishing & Platforms segment. and unify our research journal content under one Wiley brand, which will sharply limit the use of the Blackwell trade name. This impairment resulted in writing off substantially all of the carrying value of the intangible trademark asset. This charge is reflected in Impairment of goodwill and intangible assets The resulting noncash impairment charge was entirely unrelated to COVID-19 or the expected future financial performance of the Research Publishing & Platforms segment . Intangible Assets with Definite Lives As a result of our decision to discontinue the use of certain technology offerings within the Research Publishing & Platforms segment, we recorded a pretax noncash impairment charge of $ million related to a certain developed technology intangible. This charge was included in Impairment of goodwill and intangible assets on |
Operating Leases
Operating Leases | 12 Months Ended |
Apr. 30, 2021 | |
Operating Leases [Abstract] | |
Operating Leases | Note 12 Operating Leases We have contractual obligations as a lessee with respect to offices, warehouses and distribution centers, automobiles, and office equipment. We determine if an arrangement is a lease at inception of the contract in accordance with guidance detailed in the lease standard and we perform the lease classification test as of the lease commencement date. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The present value of the lease payments is calculated using an incremental borrowing rate, which was determined based on the rate of interest that we would have to pay to borrow an amount equal to the lease payments on a collateralized basis over a similar term. We use an unsecured borrowing rate and risk-adjust that rate to approximate a collateralized rate. Under the new leasing standard, leases that are more than one year in duration are capitalized and recorded on the Consolidated Statements of Financial Position. Some of our leases offer an option to extend the term of such leases. We utilize the reasonably certain threshold criteria in determining which options we will exercise. Furthermore, some of our lease payments are based on index rates with minimum annual increases. These represent fixed payments and are captured in the future minimum lease payments calculation. For operating leases, the ROU assets and liabilities as of April 30 are presented in our Consolidated Statement of Financial Position as follows: 2021 2020 Operating lease ROU assets $ 121,430 $ 142,716 Short-term portion of operating lease liabilities 22,440 21,810 Operating lease liabilities, non-current $ 145,832 $ 159,782 During the year ended April 30, 2021, we added $6.1 million to the ROU assets and $5.7 million to the operating lease liabilities due to new leases, including due to acquisitions, as well as modifications and remeasurements to our existing operating leases. As a result of expanding the scope of the Business Optimization Program to include the exit of certain leased office space beginning in the third quarter of fiscal 2021, we incurred a pretax restructuring charge of $ million in the three months ended January 31, 2021. This charge included impairment charges and acceleration of expense associated with certain operating lease ROU assets. See Note 7, “Restructuring and Related Charges” for more information on this program and the charges incurred. Our total net lease costs were as follows: For the Years Ended April 30, 2021 2020 Operating lease cost $ 24,862 $ 26,027 Variable lease cost 2,135 3,856 Short-term lease cost 248 86 Sublease income (722 ) (691 ) Total net lease cost (1) $ 26,523 $ 29,278 (1) Total net lease cost does not include those costs included in Restructuring and related charges on our Consolidated Statements of Income (Loss). See Note Other supplemental information includes the following: For the Years Ended April 30, 2021 2020 Weighted-average remaining contractual lease term (years) 9 10 Weighted-average discount rate 5.89 % 5.89 % Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 32,344 $ 28,243 The table below reconciles the undiscounted cash flows for the first five years and total of the remaining years to the operating lease liabilities recorded in the Consolidated Statement of Financial Position as of April 30, 2021: Fiscal Year Operating Lease Liabilities 2022 $ 30,674 2023 26,905 2024 24,799 2025 23,235 2026 20,584 Thereafter 95,000 Total future undiscounted minimum lease payments 221,197 Less: Imputed interest 52,925 Present value of minimum lease payments 168,272 Less: Current portion 22,440 Noncurrent portion $ 145,832 Prior to the Adoption of ASC Topic 842 The following schedule shows the composition of net rent expense for operating leases for the year ended April 30: 2019 Minimum rental $ 29,066 Less: sublease rentals (719 ) Total $ 28,347 Rent expense associated with operating leases that include scheduled rent increases and tenant incentives, such as rent holidays or leasehold improvement allowances, were recorded on a straight-line basis over the term of the lease. |
Income Taxes
Income Taxes | 12 Months Ended |
Apr. 30, 2021 | |
Income Taxes [Abstract] | |
Income Taxes | Note 13 –Income Taxes The provisions for income taxes were as follows: For the Years Ended April 30, 2021 2020 2019 Current Provision US – Federal $ (6,631 ) $ 1,145 $ 2,384 International 43,269 37,494 52,518 State and local 1,359 172 2,536 Total current provision $ 37,997 $ 38,811 $ 57,438 Deferred (benefit) provision US – Federal $ (11,996 ) $ (8,476 ) $ 335 International 1,175 (15,022 ) (7,630 ) State and local 480 (4,118 ) (5,454 ) Total deferred (benefit) $ (10,341 ) $ (27,616 ) $ (12,749 ) Total provision $ 27,656 $ 11,195 $ 44,689 International and United States pretax income (loss) were as follows: For the Years Ended April 30, 2021 2020 2019 International $ 202,490 $ 104,185 $ 204,326 United States (26,578 ) (167,277 ) 8,626 Total $ 175,912 $ (63,092 ) $ 212,952 Our effective income tax rate as a percentage of pretax income differed from the US federal statutory rate as shown below: For the Years Ended April 30, 2021 2020 2019 US federal statutory rate 21.0 % 21.0 % 21.0 % Cost of higher taxes on non-US income 1.1 4.8 0.9 State income taxes, net of US federal tax benefit 0.8 3.3 (1.3 ) US NOL carryback under CARES Act (8.0 ) — — Deferred tax (benefit) from US Tax Act — — 0.1 Tax credits and related benefits (0.5 ) (1.1 ) (0.8 ) Impairment of goodwill and intangibles — (42.3 ) — Other 1.3 (3.4 ) 1.1 Effective income tax rate 15.7 % (17.7 )% 21.0 % The effective tax rate was 15.7% for the year ended April 30, 2021, compared to a tax expense rate of 17.7% on a pretax loss for the year ended April 30, 2020. Our rate for the year ended April 30, 2021 benefitted by $14.0 million (8.0%) from the CARES Act and certain regulations issued in late July 2020, which enabled us to carry back certain US net operating losses (NOLs), reducing our tax for the year ended April 30, 2020 compared to prior estimates. This benefit was partially offset by (a) $3.5 million (2.0%) from an increase in the official UK statutory rate during our three months ended July 31, 2020, resulting in our taxes in non-US income increasing our effective income tax rate and (b) a $3.2 million (1.8%) increase in our state tax expense included in our state income tax expense above, due to increasing our deferred tax liabilities in connection with our expanded presence in additional states resulting from COVID-19 and employees working in additional locations. The 17.7% tax expense rate on a pretax loss for the year ended April 30, 2020 was primarily due to the non-deductible impairment of goodwill. In connection with the CARES Act and certain regulations, we carried back our April 30, 2020 US NOL to our year ended April 30, 2015 and claimed a $20.7 million refund. The refund plus interest was received in February 2021. The NOL was carried back to fiscal year 2015 when the US corporate tax rate was 35.0%. The carryback to a year with a higher rate, plus certain additional net permanent deductions included in the carryback resulted in a $14.0 million tax benefit. The benefit was partially offset by an increase in the UK statutory rate and an increase in our state tax expense. During the three months ended July 31, 2020, the UK officially enacted legislation that increased its statutory rate from 17% to 19%. This resulted in a $3.5 million noncash deferred tax expense from the re-measurement of our applicable UK net deferred tax liabilities. During the year ended April 30, 2021, as a result of COVID-19, we adjusted our policies to permit employees to work from home, resulting in an increased presence in many states. This resulted in a $3.2 million noncash deferred tax expense from the re-measurement of our applicable US net deferred tax liabilities. Accounting for Uncertainty in Income Taxes: As of April 30, 2021 and April 30, 2020, the total amount of unrecognized tax benefits were $9.1 million and $6.2 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. We recorded net interest expense on reserves for unrecognized and recognized tax benefits of $0.2 million within each of the years ended April 30, 2021 and 2020. As of April 30, 2021, and April 30, 2020, the total amounts of unrecognized tax benefits that would reduce our income tax provision, if recognized, were approximately $7.4 million and $6.2 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: 2021 2020 Balance at May 1 $ 6,194 $ 7,659 Additions for current year tax positions 3,626 694 Additions for prior year tax positions 511 — Reductions for prior year tax positions (163 ) (655 ) Foreign translation adjustment 57 (15 ) Payments and settlements (215 ) (56 ) Reductions for lapse of statute of limitations (866 ) (1,433 ) Balance at April 30 $ 9,144 $ 6,194 Tax Audits: We file income tax returns in the US and various states and non-US tax jurisdictions. Our major taxing jurisdictions are the United States, 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. We received a tax audit notice from the Internal Revenue Service with respect to our loss for our year ended April 30, 2020 and the carryback to the year ended April 30, 2015. We also received tax audit notices for our German entities for the fiscal years 2014-2017. The audit process in Germany has been delayed due to COVID-19. We have also addressed inquiries in other jurisdictions where we maintain a smaller presence. 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: 2021 2020 Net operating losses $ 19,433 $ 17,966 Reserve for sales returns and doubtful accounts 3,838 2,638 Accrued employee compensation 32,835 20,114 Foreign and federal credits 5,129 31,487 Other accrued expenses 16,092 11,827 Retirement and post-employment benefits 30,039 37,927 Total gross deferred tax assets $ 107,366 $ 121,959 Less valuation allowance (4,855 ) (23,287 ) Total deferred tax assets $ 102,511 $ 98,672 Prepaid expenses and other current assets $ (459 ) $ (1,142 ) Unremitted foreign earnings (2,485 ) (1,985 ) Intangible and fixed assets (260,559 ) (205,882 ) Total deferred tax liabilities $ (263,503 ) $ (209,009 ) Net deferred tax liabilities $ (160,992 ) $ (110,337 ) Reported As Deferred tax assets $ 11,911 $ 8,790 Deferred tax liabilities (172,903 ) (119,127 ) Net Deferred Tax Liabilities $ (160,992 ) $ (110,337 ) The increase in net deferred tax liabilities is primarily due to additional deferred tax liabilities relating to non-goodwill intangibles acquired in recent acquisitions, partially offset by amortization of our deferred tax liabilities related to non-goodwill intangibles, primarily from prior acquisitions. Our increase in net deferred tax assets is primarily attributable to an increase in our accrued employee compensation and other expenses, partially offset by a decrease in our foreign and federal credits net of applicable valuation allowances, as well as a decrease in our retirement and post-employment benefits. During our year ended April 30, 2021, we expect to use substantially all of our foreign tax credits resulting in the release of related valuation allowances. 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, 2021. 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. We have provided a $4.9 million valuation allowance based primarily on the uncertainty of utilizing the tax benefits related to our deferred tax assets for state and federal net operating losses and credits. As of April 30, 2021, we have apportioned state net operating loss carryforwards totaling approximately $115.0 million, with a tax effected value of $6.5 million net of federal benefits. Our state and federal NOLs and credits expire in various amounts over 5 to 19 years. Since April 30, 2018, we no longer intend to permanently reinvest earnings outside the US. We have recorded a $2.5 million liability related to the estimated taxes that would be incurred upon repatriating certain non-US earnings. |
Debt and Available Credit Facil
Debt and Available Credit Facilities | 12 Months Ended |
Apr. 30, 2021 | |
Debt and Available Credit Facilities [Abstract] | |
Debt and Available Credit Facilities | Note 14 – Debt and Available Credit Facilities Our total debt outstanding as of April 30 consisted of the amounts set forth in the following table: 2021 2020 Short-term portion of long-term debt (1) $ 12,500 $ 9,375 Term loan A - Amended and Restated RCA (2) 222,928 235,263 Revolving credit facility - Amended and Restated RCA 586,160 530,387 Total long-term debt, less current portion 809,088 765,650 Total debt $ 821,588 $ 775,025 (1) Relates to our term loan A under the Amended and Restated RCA. (2) Amounts are shown net of unamortized issuance costs of $0.5 million as of April 30, 2021 and $0.7 million as of April 30, 2020. The following table summarizes the scheduled annual maturities for the next four years of our long-term debt, including the short-term portion of long-term debt. This schedule represents the principal portion amount of debt outstanding and therefore excludes unamortized issuance costs. Fiscal Year Amount 2022 $ 12,500 2023 18,750 2024 204,688 2025 586,160 Total $ 822,098 Amended and Restated RCA On May 30, 2019, we entered into a credit agreement that amended and restated our existing revolving credit agreement (Amended and Restated RCA). The Amended and Restated RCA 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. Under the terms of the Amended and Restated 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 net leverage ratio, as defined, or (ii) at the lender’s base rate plus an applicable margin ranging from zero to 0.50%, depending on our consolidated net leverage ratio. The lender’s base rate is defined as the highest of (i) the US 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 for the revolving credit facility ranging from 0.15% to 0.25% depending on our consolidated net leverage ratio. We also have the option to request an increase in the revolving credit facility by an amount not to exceed $500 million, in minimum increments of $50 million, subject to the approval of the lenders. The Amended and Restated RCA In the three months ended July 31, 2019, we incurred an immaterial loss on the write-off of unamortized deferred costs in connection with the refinancing of our revolving credit agreement at that time which is reflected in Other income on the Consolidated Statements of Income (Loss) for the three months ended July 31, 2019. In the three months ended July 31, 2019, we incurred $4.0 million of costs related to the Amended and Restated RCA which resulted in total costs capitalized of $5.2 million. The amount related to the term loan A facility was $0.9 million, consisting of $0.8 million of lender fees and recorded as a reduction to Long-Term Debt and $0.1 million of non-lender fees included in Other non-current assets on the Consolidated Statements of Financial Position. The amount related to the five-year revolving credit facility was $4.3 million, all of which is included in Other non-current assets on the Consolidated Statements of Financial Position. The amortization expense of the lender and non-lender fees is recognized over the five-year term of the Amended and Restated RCA. Total amortization expense for the years ended April 30, 2021 and 2020 was $1.1 million and $1.0 million, respectively and is included in Interest expense on our Consolidated Statement of Income (Loss). Lines of Credit We have other lines of credit aggregating $1.0 million at various interest rates. There were no outstanding borrowings under these credit lines at April 30, 2021, and 2020. Our total available lines of credit as of April 30, 2021 were approximately $1.5 billion, of which approximately $0.7 billion was unused. The weighted average interest rates on total debt outstanding during the years ended April 30, 2021 and 2020 were 2.03% and 3.12%, respectively. As of April 30, 2021, and 2020, the weighted average interest rates for total debt were 1.98% and 2.26%, 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. |
Derivative Instruments and Acti
Derivative Instruments and Activities | 12 Months Ended |
Apr. 30, 2021 | |
Derivative Instruments and Activities [Abstract] | |
Derivative Instruments and Activities | Note 15 – 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 As of April 30, 2021, we had total debt outstanding of $821.6 million, net of unamortized issuance costs of $0.5 million of which $822.1 million are variable rate loans outstanding under the Amended and Restated RCA, which approximated fair value. As of April 30, 2021 and 2020, the interest rate swap agreements we maintained were designated as fully effective cash flow hedges as defined under FASB ASC Topic 815, “Derivatives and Hedging” (ASC Topic 815). As a result, there was no impact on our Consolidated Statements of Income (Loss) 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 Topic 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 (Loss). 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. The following table summarizes our interest rate swaps designated as cash flow hedges: Notional Amount As of April 30, Hedged Item Date entered into Nature of Swap 2021 2020 Fixed Interest Rate Variable Interest Rate Amended and Restated RCA April 12, 2021 Pay fixed/receive variable $ 100 $ — 0.500 % 1-month LIBOR reset every month for a 3-year period ending April 15, 2024 Amended and Restated RCA February 26, 2020 Pay fixed/receive variable 100 100 1.150 % 1-month LIBOR reset every month for a 3-year period ending March 15, 2023 Amended and Restated RCA August 7, 2019 Pay fixed/receive variable 100 100 1.400 % 1-month LIBOR reset every month for a 3-year period ending August 15, 2022 Amended and Restated RCA June 24, 2019 Pay fixed/receive variable 100 100 1.650 % 1-month LIBOR reset every month for a 3-year period ending July 15, 2022 $ 400 $ 300 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, which expired on May 15, 2019, we paid a fixed rate of 0.920% and received a variable rate of interest based on one-month LIBOR from the counterparty which was reset every month for a three-year period ending May 15, 2019. Prior to expiration, 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, 2021 and 2020 was a deferred loss of $5.6 million and $8.3 million, respectively. Based on the maturity dates of the contracts, the entire deferred loss as of April 30, 2021 and 2020 was recorded within Other long-term liabilities. The pretax (losses) gains that were reclassified from Accumulated other comprehensive loss to Interest expense for the years ended April 30, , , and were $ million, $ million, and $ million, respectively. Based on the amount in Accumulated other comprehensive loss at , approximately $ million, net of tax, 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 on our Consolidated Statements of Income (Loss) and carried at fair value on our 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 on our Consolidated Statements of Income (Loss) During the year ended April 30, , to manage foreign currency exposures on an intercompany loan, we entered into one forward exchange contract to sell € million and buy $ million. This forward contract expired on April 15, 2021. We did not designate this forward exchange contract as a hedge under the applicable sections of ASC Topic 815 as the benefits of doing so were not material due to the short-term nature of the contract. The fair value changes in the forward exchange contract substantially mitigated the changes in the value of the applicable foreign currency denominated liability. The fair value of the open forward exchange contract was measured on a recurring basis using Level 2 inputs of quoted prices for similar assets or liabilities in active markets. For the year ended April 30, , the loss recognized on this forward contract was $ million and included in Foreign exchange transaction losses on our Consolidated Statement of Income (Loss) As of April 30, 2021 and 2020, we did not maintain any open forward exchange contracts. In addition, we did not maintain any open forward contracts during the years ended April 30, 2020 and 2019. |
Commitment and Contingencies
Commitment and Contingencies | 12 Months Ended |
Apr. 30, 2021 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | Note 16 – Commitment and Contingencies 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, 2021, will not have a material effect upon our consolidated financial condition or results of operations. |
Retirement Plans
Retirement Plans | 12 Months Ended |
Apr. 30, 2021 | |
Retirement Plans [Abstract] | |
Retirement Plans | Note 17 – 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 UK 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: For the Years Ended April 30, 2021 2020 2019 US Non-US US Non-US US Non-US Service cost $ — $ 1,396 $ — $ 1,851 $ — $ 912 Interest cost 9,504 8,901 11,247 12,652 11,704 12,943 Expected return on plan assets (11,969 ) (26,971 ) (14,038 ) (26,116 ) (13,472 ) (25,551 ) Amortization of prior service cost (154 ) 58 (154 ) 73 (154 ) 57 Amortization of net actuarial loss 3,501 4,516 2,403 3,993 2,035 3,746 Curtailment/settlement loss — — — 291 — — Net pension expense (income) $ 882 $ (12,100 ) $ (542 ) $ (7,256 ) $ 113 $ (7,893 ) Discount rate 3.1 % 1.6 % 4.1 % 2.4 % 4.3 % 2.6 % Rate of compensation increase N/A 3.0 % N/A 3.0 % N/A 3.0 % Expected return on plan assets 5.8 % 5.7 % 6.8 % 6.5 % 6.8 % 6.5 % In the year ended April 30, , there was a settlement charge of $ million related to the is reflected in Restructuring and related charges The service cost component of net pension expense (income) is reflected in Operating and administrative expenses on our Consolidated Statements of Income (Loss). The other components of net pension expense (income) are reported separately from the service cost component and below Operating income (loss). Such amounts are reflected in Other income on our Consolidated Statements of Income (Loss). 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 for plans with all or almost all inactive participants and frozen plans, and on the average remaining working lifetime of active plan participants for all other plans. 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 Consolidated Statements of Financial Position date. The following table sets forth the changes in and the status of our defined benefit plans’ assets and benefit obligations: 2021 2020 US Non-US US Non-US CHANGE IN PLAN ASSETS Fair value of plan assets, beginning of year $ 213,946 $ 445,480 $ 213,628 $ 408,249 Actual return on plan assets 34,560 27,971 11,645 48,602 Employer contributions 5,599 12,203 3,700 11,686 Employee contributions — — — — Settlements — — — (1,459 ) Benefits paid (16,976 ) (11,921 ) (15,027 ) (9,162 ) Foreign currency rate changes — 50,153 — (12,436 ) Fair value, end of year $ 237,129 $ 523,886 $ 213,946 $ 445,480 CHANGE IN PROJECTED BENEFIT OBLIGATION Benefit obligation, beginning of year $ (318,967 ) $ (534,303 ) $ (285,197 ) $ (509,015 ) Service cost — (1,396 ) — (1,851 ) Interest cost (9,504 ) (8,901 ) (11,247 ) (12,652 ) Actuarial gains (losses) 8,863 (17,739 ) (37,550 ) (36,287 ) Benefits paid 16,976 11,921 15,027 9,162 Foreign currency rate changes — (59,046 ) — 15,176 Settlements and other — (150 ) — 1,164 Benefit obligation, end of year $ (302,632 ) $ (609,614 ) $ (318,967 ) $ (534,303 ) Underfunded status, end of year $ (65,503 ) $ (85,728 ) $ (105,021 ) $ (88,823 ) AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION Noncurrent assets — 6 — — Current pension liability (3,576 ) (1,414 ) (4,990 ) (885 ) Noncurrent pension liability (61,927 ) (84,320 ) (100,031 ) (87,938 ) Net amount recognized in statement of financial position $ (65,503 ) $ (85,728 ) $ (105,021 ) $ (88,823 ) AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF Net actuarial (losses) $ (96,613 ) $ (213,958 ) $ (131,569 ) $ (181,403 ) Prior service cost gains (losses) 2,100 (1,299 ) 2,254 (1,051 ) Total accumulated other comprehensive loss $ (94,513 ) $ (215,257 ) $ (129,315 ) $ (182,454 ) Change in accumulated other comprehensive loss $ 34,802 $ (32,803 ) $ (37,695 ) $ (4,143 ) INFORMATION FOR PENSION PLANS WITH AN ACCUMULATED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS Accumulated benefit obligation $ 302,632 $ 566,998 $ 318,967 $ 497,489 Fair value of plan assets $ 237,129 $ 513,279 $ 213,946 $ 445,480 INFORMATION FOR PENSION PLANS WITH A PROJECTED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS Projected benefit obligation $ 302,632 $ 599,011 $ 318,967 $ 534,303 Fair value of plan assets $ 237,129 $ 513,279 $ 213,946 $ 445,480 WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES Discount rate 3.2 % 1.9 % 3.1 % 1.6 % Rate of compensation increase N/A 3.0 % N/A 3.0 % Accumulated benefit obligations $ (302,632 ) $ (577,600 ) $ (318,967 ) $ (497,489 ) Actuarial gains in the US resulting in a decrease to our projected benefit obligation for the year ended April 30, 2021 were primarily due to an increase in the discount rate and updated census data. Actuarial losses in non-US countries resulting in an increase to our projected benefit obligation for the year ended April 30, 2021 were primarily due to an increase in the UK inflation rate offset by an increase in the discount rate. Actuarial losses in the US and non-US countries resulting in an increase in our projected benefit obligation for the year ended April 30, 2020 were primarily due to a reduction in discount rates and changes to other assumptions. 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: ● Level 1: Unadjusted quoted prices in active markets for identical assets. ● Level 2: Observable inputs other than those included in Level 1. For example, quoted prices for similar assets in active markets or quoted prices for identical assets in inactive markets. ● Level 3: Unobservable inputs reflecting assumptions about the inputs used in pricing the asset. We did not maintain any level 3 assets during the years ended April 30, 2021 and 2020. In accordance with ASU 2015-07, “Fair Value Measurement (Topic 820), Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)”, 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. 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: 2021 2020 Level 1 Level 2 Total Level 1 Level 2 Total US Plan Assets Investments measured at NAV: Global equity securities: Limited partnership $ 121,569 $ 110,965 Fixed income securities: Commingled trust funds 115,560 102,981 Total assets at NAV $ 237,129 $ 213,946 Non-US Plan Assets Equity securities: US equities $ — $ 51,882 $ 51,882 $ — $ 36,842 $ 36,842 Non-US equities — 124,496 124,496 — 103,460 103,460 Balanced managed funds — 103,717 103,717 — 44,989 44,989 Fixed income securities: Commingled funds 1,444 236,583 238,027 3,431 254,134 257,565 Other: Real estate/other — 543 543 — 490 490 Cash and cash equivalents 5,221 — 5,221 2,134 — 2,134 Total Non-US plan assets $ 6,665 $ 517,221 $ 523,886 $ 5,565 $ 439,915 $ 445,480 Total plan assets $ 6,665 $ 517,221 $ 761,015 $ 5,565 $ 439,915 $ 659,426 Expected employer contributions to the defined benefit pension plans in the year ended April 30, 2022 will be approximately $16.8 million, including $13.1 million of minimum amounts required for our non-US plans. From time to time, we may elect to make voluntary contributions to our defined benefit plans to improve their funded status. Benefit payments to retirees from all defined benefit plans are expected to be the following in the fiscal year indicated: Fiscal Year US Non-US Total 2022 $ 15,305 $ 12,211 $ 27,516 2023 15,446 11,769 27,215 2024 15,593 12,606 28,199 2025 15,024 14,817 29,841 2026 15,064 14,004 29,068 2027 – 2031 75,870 83,009 158,879 Total $ 152,302 $ 148,416 $ 300,718 Retiree Health Benefits We provide contributory life insurance and health care benefits, subject to certain dollar limitations, for substantially all of our eligible retired US employees. The retiree health benefit is no longer available for any employee who retires after December 31, 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, 2021 and 2020, was $1.5 and $1.4 million, respectively. Annual credits for these plans for the years ended April 30, 2021, 2020, and 2019 were $(0.1) million, $(0.1) million and $(0.1) million, respectively. Defined Contribution Savings Plans 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 $24.3 million, $19.0 million, and $13.1 million in the years ended April 30, 2021, 2020, and 2019 respectively. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Apr. 30, 2021 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | Note 18 – 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, 2021, there were approximately 2,357,682 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 ten 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 since the year ended April 30, 2016. As of April 30, 2019, all outstanding options vested allowing the participant the right to exercise their awards, and there was no unrecognized share-based compensation expense remaining related to stock options. The fair value of the options granted in the year ended April 30, 2016 was $14.77 using the Black-Scholes option-pricing model. The significant weighted average assumptions used in the fair value determination was the expected life which represented 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 was based on the corresponding US Treasury yield curve in effect at the time of the grant. The expected volatility was based on the historical volatility of our Common Stock price over the estimated life of the option, while the dividend yield was based on the expected dividend payments to be made by us. A summary of the activity and status of our stock option plans follows: 2021 2020 2019 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 286 $ 50.14 372 $ 49.70 611 $ 48.88 Granted — $ — — $ — — $ — Exercised (60 ) $ 43.91 (34 ) $ 38.32 (229 ) $ 47.21 Expired or forfeited (85 ) $ 52.78 (52 ) $ 54.57 (10 ) $ 56.97 Outstanding at end of year 141 $ 51.17 2.6 $ 0.9 286 $ 50.14 372 $ 49.70 Exercisable at end of year 141 $ 51.17 2.6 $ 0.9 286 $ 50.14 372 $ 49.70 Vested and expected to vest in the future at April 30 141 $ 51.17 2.6 $ 0.9 286 $ 50.14 372 $ 49.70 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, 2021, 2020, and 2019 was $0.2 million, $0.3 million, and $4.4 million, respectively. The total grant date fair value of stock options vested during the year ended April 30, 2019 was $4.8 million. The following table summarizes information about stock options outstanding and exercisable at April 30, 2021: 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 $39.53 34 2.0 $ 39.53 34 $ 39.53 $48.06 to $49.55 32 1.1 $ 48.22 32 $ 48.22 $55.99 to $59.70 75 3.6 $ 57.76 75 $ 57.76 Total/average 141 2.6 $ 51.17 141 $ 51.17 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 or less financial performance-based targets. During each three-year period or less, 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 generally 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, was as follows (shares in thousands): 2021 2020 2019 Restricted Shares Weighted Average Grant Date Value Restricted Shares Restricted Shares Nonvested shares at beginning of year 943 $ 49.74 756 861 Granted 706 $ 41.49 759 415 Change in shares due to performance 118 $ 49.84 (70 ) (19 ) Vested and issued (362 ) $ 48.48 (329 ) (357 ) Forfeited (125 ) $ 47.88 (173 ) (144 ) Nonvested shares at end of year 1,280 $ 45.73 943 756 For the years ended April 30, 2021, 2020 and 2019, we recognized stock-based compensation expense, on a pretax basis, of $22.0 million, $20.0 million and $18.3 million, respectively. As of April 30, 2021, there was $36.3 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, 2021, 2020, and 2019 was $17.6 million, $17.5 million, and $19.6 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. 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). Director Stock Awards Under the terms of our 2018 Director Stock Plan (the Director Plan), each nonemployee 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 nonemployee 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 nonemployee director remains a director. There were 28,360, 20,048, and 18,991 restricted shares awarded under the Director Plan for the years ended April 30, 2021, 2020, and 2019, respectively. |
Capital Stock and Changes in Ca
Capital Stock and Changes in Capital Accounts | 12 Months Ended |
Apr. 30, 2021 | |
Capital Stock and Changes in Capital Accounts [Abstract] | |
Capital Stock and Changes in Capital Accounts | Note 19 – 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 Share Repurchases During the year ended April 30, 2020, our Board of Directors approved an additional share repurchase program of $200 million of Class A or B Common Stock. As of April 30, 2021, we had authorization from our Board of Directors to purchase up to $200 million that was remaining under this program. No share repurchases were made under this program during the years ended April 30, 2021 and 2020. The share repurchase program described above is in addition to the share repurchase program approved by our Board of Directors during the year ended April 30, 2017 of four million shares of Class A or B Common Stock. As of April 30, 2021, we had authorization from our Board of Directors to purchase up to 497,197 additional shares that were remaining under this program. The following table summarizes the shares repurchased of Class A and B Common Stock during the years ended April 30 (shares in thousands): 2021 2020 2019 Shares repurchased – Class A 308 1,080 1,191 Shares repurchased – Class B 2 2 — Average price – Class A and Class B $ 50.93 $ 43.05 $ 50.35 Dividends The following table summarizes the cash dividends paid during the year ended April 30, 2021: 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 25, 2020 $0.3425 per common share $19.2 million Class A and Class B July 22, 2020 July 7, 2020 September 23, 2020 $0.3425 per common share $19.2 million Class A and Class B October 21, 2020 October 6, 2020 December 16, 2020 $0.3425 per common share $19.2 million Class A and Class B January 13, 2021 December 30, 2020 March 24, 2021 $0.3425 per common share $19.1 million Class A and Class B April 21, 2021 April 6, 2021 Changes in Common Stock 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: 2021 2020 2019 Number of shares, beginning of year 70,166 70,127 70,111 Common stock class conversions 42 39 16 Number of shares issued, end of year 70,208 70,166 70,127 Changes in Common Stock A in treasury: Number of shares held, beginning of year 23,405 22,634 21,853 Purchase of treasury shares 308 1,080 1,192 Restricted shares issued under stock-based compensation plans - non-PSU Awards (268 ) (232 ) (205 ) Restricted shares issued under stock-based compensation plans - PSU Awards (88 ) (68 ) (110 ) Shares issued under the Director Plan to Directors (6 ) (97 ) (5 ) Restricted shares, forfeited — 1 9 Restricted shares issued from exercise of stock options (60 ) (34 ) (229 ) Shares withheld for taxes 129 122 130 Other (1 ) (1 ) (1 ) Number of shares held, end of year 23,419 23,405 22,634 Number of Common Stock A outstanding, end of year 46,789 46,761 47,493 Changes in Common Stock B: 2021 2020 2019 Number of shares, beginning of year 13,016 13,055 13,071 Common stock class conversions (42 ) (39 ) (16 ) Number of shares issued, end of year 12,974 13,016 13,055 Changes in Common Stock B in treasury: Number of shares held, beginning of year 3,920 3,918 3,918 Shares repurchased 2 2 — Number of shares held, end of year 3,922 3,920 3,918 Number of Common Stock B outstanding, end of year 9,052 9,096 9,137 |
Segment Information
Segment Information | 12 Months Ended |
Apr. 30, 2021 | |
Segment Information [Abstract] | |
Segment Information | Note 20 – Segment Information We report our segment information in accordance with the provisions of FASB ASC Topic 280, “Segment Reporting”. Our segment reporting structure consists of reportable segments, which are listed below, as well as a Corporate category, which includes certain costs that are not allocated to the reportable segments: • Research Publishing & Platforms • Academic & Professional Learning • Education Services Segment information is as follows: For the Years Ended April 30, 2021 2020 2019 Revenue: Research Publishing & Platforms $ 1,015,349 $ 948,839 $ 939,217 Academic & Professional Learning 644,537 650,789 703,303 Education Services 281,615 231,855 157,549 Total revenue $ 1,941,501 $ 1,831,483 $ 1,800,069 Adjusted Contribution to Profit: Research Publishing & Platforms $ 273,023 $ 265,353 $ 260,885 Academic & Professional Learning 91,676 84,646 147,404 Education Services 21,175 (3,844 ) (12,883 ) Total adjusted contribution to profit $ 385,874 $ 346,155 $ 395,406 Adjusted corporate contribution to profit (167,053 ) (165,487 ) (168,299 ) Total adjusted contribution to profit $ 218,821 $ 180,668 $ 227,107 Depreciation and Amortization: Research Publishing & Platforms $ 83,866 $ 69,495 $ 60,889 Academic & Professional Learning 71,997 69,807 68,126 Education Services 29,654 24,131 18,117 Total depreciation and amortization $ 185,517 $ 163,433 $ 147,132 Corporate depreciation and amortization 14,672 11,694 14,023 Total depreciation and amortization $ 200,189 $ 175,127 $ 161,155 The following table shows a reconciliation of our consolidated US GAAP Operating Income (Loss) to Non-GAAP Adjusted Contribution to Profit: For the Years Ended April 30, 2021 2020 2019 US GAAP Operating Income (Loss) $ 185,511 $ (54,287 ) $ 223,989 Adjustments: Restructuring and related charges (1) 33,310 32,607 3,118 Impairment of goodwill (1) — 110,000 — Impairment of Blackwell trade name (1) — 89,507 — Impairment of developed technology intangible (1) — 2,841 — Non-GAAP Adjusted Contribution to Profit $ 218,821 $ 180,668 $ 227,107 (1) See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. 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, 2021, 2020, and 2019. The following tables shows assets allocated by reportable segment and by the corporate category as of April 30 as follows: 2021 2020 2019 Research Publishing & Platforms $ 1,692,366 $ 1,225,313 $ 1,172,145 Academic & Professional Learning 946,760 924,924 959,601 Education Services 472,814 486,316 440,516 Corporate 334,499 532,241 376,504 Total $ 3,446,439 $ 3,168,794 $ 2,948,766 The following table shows product development spending and additions to technology, property and equipment : For the Years Ended April 30, 2021 2020 2019 Research Publishing & Platforms $ (24,284 ) $ (16,329 ) $ (12,928 ) Academic & Professional Learning (41,897 ) (38,229 ) (32,337 ) Education Services (3,449 ) (613 ) (3,160 ) Corporate (33,731 ) (60,030 ) (53,168 ) Total $ (103,361 ) $ (115,201 ) $ (101,593 ) 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 2021 2020 2019 2021 2020 2019 United States $ 990,499 $ 944,075 $ 932,927 $ 241,217 $ 261,296 $ 252,459 United Kingdom 145,806 174,567 150,242 19,436 18,076 18,331 China 92,305 58,870 55,024 567 492 688 Japan 91,957 75,104 77,145 234 112 87 Germany 78,035 113,664 97,505 8,459 8,059 8,423 Canada 67,635 56,370 50,882 1,067 1,734 2,659 Australia 57,569 73,718 77,453 890 1,051 1,440 France 45,681 45,033 51,441 4,329 1,358 403 Scandinavia 39,836 29,682 30,971 112 223 229 Other Countries 332,178 260,400 276,479 5,959 5,604 4,302 Total $ 1,941,501 $ 1,831,483 $ 1,800,069 $ 282,270 $ 298,005 $ 289,021 |
Supplementary Quarterly Financi
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) | 12 Months Ended |
Apr. 30, 2021 | |
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) [Abstract] | |
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) | Note 21 – Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) Amounts in millions, except per share data 2021 2020 Revenue, net First quarter $ 431.3 $ 423.5 Second quarter 491.0 466.2 Third quarter 482.9 467.1 Fourth quarter 536.3 474.7 Year ended April 30, $ 1,941.5 $ 1,831.5 Gross profit First quarter $ 286.5 $ 280.4 Second quarter 336.2 322.8 Third quarter 325.3 313.2 Fourth quarter 368.2 324.1 Year ended April 30, $ 1,316.2 $ 1,240.5 Operating income (loss) First quarter $ 30.0 $ 4.5 Second quarter 69.9 63.4 Third quarter 34.4 48.5 Fourth quarter 51.2 (170.7 ) Year ended April 30, $ 185.5 $ (54.3 ) Net income (loss) First quarter $ 16.3 $ 3.6 Second quarter 68.4 44.7 Third quarter 22.2 35.4 Fourth quarter 41.4 (158.0 ) Year ended April 30, $ 148.3 $ (74.3 ) 2021 2020 Basic Diluted Basic Diluted Earnings (loss) per share (1) First quarter $ 0.29 $ 0.29 $ 0.06 $ 0.06 Second quarter 1.22 1.22 0.79 0.79 Third quarter 0.40 0.39 0.63 0.63 Fourth quarter (2) 0.74 0.73 (2.83 ) (2.83 ) Year ended April 30, (2) $ 2.65 $ 2.63 $ (1.32 ) $ (1.32 ) (1) The sum of the quarterly earnings (loss) per share amounts may not agree to the respective annual amounts due to rounding. (2) In calculating diluted earnings (loss) per common share for the fourth quarter and year ended April 30, 2020, our diluted weighted average number of common shares outstanding excludes the effect of unvested restricted stock units and other stock awards as the effect was anti-dilutive. This occurs when a US GAAP net loss is reported and the effect of using dilutive shares is antidilutive. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Apr. 30, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 22 – Subsequent Events Dividend On June 22, 2021, our Board of Directors declared a quarterly dividend of $0.3450 per share, or approximately $19.3 million, on our Class A and Class B Common Stock. The dividend is payable on July 21, 2021 to shareholders of record on July 6, 2021. UK Corporate Tax Rate As previously disclosed in our Quarterly Report on Form 10-Q filed with the SEC on March 5, 2021, on March 3, 2021, in the UK Budget, the Chancellor of the Exchequer announced a proposed increase in the UK corporate tax rate from 19% to 25%, effective April 2023. effective . We estimate that this statutory tax rate increase will result in a nonrecurring, noncash US GAAP deferred tax expense of approximately $ million in our three months ended . |
Schedule II-VALUATION AND QUALI
Schedule II-VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Apr. 30, 2021 | |
Schedule II - VALUATION AND QUALIFYING ACCOUNTS [Abstract] | |
Schedule II - VALUATION AND QUALIFYING ACCOUNTS | Schedule II JOHN WILEY & SONS, INC. AND SUBSIDIARIES VALUATION AND QUALIFYING ACCOUNTS FOR THE YEARS ENDED APRIL 30, 2021, 2020, AND 2019 (Dollars in thousands) Description Balance at Beginning of Period Cumulative Effect of Change in Accounting Principle (1) Charged to Expenses Deductions From Reserves and Other (2) Balance at End of Period Year Ended April 30, 2021 Allowance for sales returns (3) $ 19,642 $ — $ 36,997 $ 34,440 $ 22,199 Allowance for doubtful accounts $ 18,335 $ 1,776 $ 6,957 $ 5,594 $ 21,474 Allowance for inventory obsolescence $ 16,067 $ — $ 9,236 $ 11,333 $ 13,970 Valuation allowance on deferred tax assets $ 23,287 $ — $ 3,213 $ 21,645 $ 4,855 Year Ended April 30, 2020 Allowance for sales returns (3) $ 18,542 $ — $ 48,829 $ 47,729 $ 19,642 Allowance for doubtful accounts $ 14,307 $ — $ 5,470 $ 1,442 $ 18,335 Allowance for inventory obsolescence $ 15,825 $ — $ 8,699 $ 8,457 $ 16,067 Valuation allowance on deferred tax assets $ 21,179 $ — $ 2,108 $ — $ 23,287 Year Ended April 30, 2019 Allowance for sales returns (3) $ 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 (1) See Note 2, “Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards” of the Notes to Consolidated Financial Statements of this Form 10-K regarding the adoption of ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments”. We adopted the new standard on May 1, 2020, with a cumulative effect adjustment to retained earnings as of the beginning of the year of adoption. (2) Deductions From Reserves and Other for the years ended April 30, , , and 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 for the year ended April 30, 2019 are (3) 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 an increase in Contract liabilities with a corresponding increase in Inventories, net and a reduction in Accrued royalties for the years ended April 30, 2021, 2020, and 2019. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards (Policies) | 12 Months Ended |
Apr. 30, 2021 | |
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. In the fourth quarter of fiscal year 2021, a UK entity acquired in connection with the acquisition of mthree ( See Note 4, “Acquisitions” for further details of this acquisition) As a result of these events, the Company evaluated whether it was appropriate to consolidate the assets, liabilities, and operations of the entity as part of its consolidated financial statements as of April 30, 2021 and for the period from the entity being dissolved through April 30, 2021, and also whether there was a liability to the Crown and a related loss associated with the dissolution of the entity under US GAAP in the fiscal year 2021. The Company evaluated the criteria in Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 810 |
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 US 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, sales return reserves, allocation of acquisition purchase price to assets acquired and liabilities assumed, goodwill and indefinite-lived intangible assets, intangible assets with definite 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, 2021 and 2020, book overdrafts of $25.8 million and $7.4 million, respectively, were included in Accounts payable on the Consolidated Statements of Financial Position. |
Revenue Recognition | Revenue Recognition: 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. See Note 3, “Revenue Recognition, Contracts with Customers,” for further details of our revenue recognition policy. |
Cash and 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 Credit Losses | Allowance for Credit Losses: See the section below, “Recently Adopted - |
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 $22.2 million and $19.6 million as of April 30, 2021 and 2020, respectively. The reserves are reflected in the following accounts of the Consolidated Statements of Financial Position as of April 30: 2021 2020 Increase in Inventories, net $ 10,886 $ 8,686 Decrease in Accrued royalties $ (4,949 ) $ (4,441 ) Increase in Contract liabilities $ 38,034 $ 32,769 Print book sales return reserve net liability balance $ (22,199 ) $ (19,642 ) |
Inventories | Inventories: Inventories are carried at the lower of cost or net realizable value. US book inventories aggregating $20.4 million and $24.3 million at April 30, 2021 and 2020, respectively, are valued using the last-in, first-out (LIFO) method. All other inventories are valued using the first-in, first-out (FIFO) method. Finished goods not recorded at LIFO have been recorded at the lower of cost or net realizable value. |
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 amortized on a straight-line basis over their estimated useful lives. As of April 30, 2021, the weighted average estimated useful life of other product development costs was approximately 6 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 (Loss). We incurred $27.8 million, $28.8 million, and $32.7 million in shipping and handling costs in the years ended April 30, 2021, 2020, and 2019, respectively. |
Advertising and Marketing Costs | Advertising and Marketing Costs: Advertising and marketing costs are expensed as incurred. These costs are reflected in the Consolidated Statements of Income (Loss) as follows: For the Years Ended April 30, 2021 2020 2019 Advertising and marketing costs $ 93.6 $ 103.1 $ 89.5 Cost of sales (1) 57.0 65.8 53.7 Operating and administrative expenses 36.6 37.3 35.8 (1) This includes certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. |
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, 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. The excess of the purchase consideration over the fair value of assets acquired and liabilities assumed is recorded as goodwill. The determination of the acquisition date fair value of the assets acquired and liabilities assumed requires us to make significant estimates and assumptions, such as forecasted revenue growth rates and operating cash flows, royalty rates, customer attrition rates, obsolescence rates of developed technology, and discount rates. 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 and trademarks, 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 Definite Lives and Other Long-Lived Assets | Intangible Assets with Definite Lives and Other Long-Lived Assets: Definite-lived intangible assets principally consist of content and publishing rights, customer relationships, developed technology, brands and trademarks, and noncompete 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 and developed technology acquired combined with the strength and pattern of projected cash flows. Intangible assets with definite lives as of April 30, 2021, are amortized on a straight line basis over the following weighted average estimated useful lives: content and publishing rights – 28 years, customer relationships – 17 years, developed technology – 7 years, brands and trademarks – 13 years, and noncompete agreements – 5 years. Assets with definite 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-US locations. Assets and liabilities are translated into US dollars using end-of-period exchange rates and revenues and expenses are translated into US dollars using weighted average rates. Our significant investments in non-US 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. Foreign currency transaction gains or losses are recognized on the Consolidated Statements of Income (Loss) as incurred. |
Stock-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. Stock-based compensation expense associated with performance-based stock awards is based on actual financial results for targets established up to three years in advance, or less. 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 Statements of Income (Loss) could be impacted. 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 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. |
Recently Adopted and Issued Accounting Standards | Recently Adopted Accounting Standards 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 fiscal years ending after December 15, 2020 . We have adopted the new standard for the year ended April 30, 2021 retrospectively for all periods presented. See Note 17 , “Retirement Plans” for all periods presented with the new required disclosures. 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 2019-05 - “Financial Instruments—Credit Losses (Topic 326 ): Targeted Transition Relief”; 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,” in November 2018 , the FASB issued ASU 2018-19 , “Codification Improvements to Topic 326 , Financial Instruments—Credit Losses,” in November 2019 , the FASB issued ASU 2019-11 , “Codification Improvements to Topic 326 , Financial Instruments—Credit Losses,” and in February 2020 , the FASB issued ASU 2020-02 , “Financial Instruments—Credit Losses (Topic 326 ) and Leases (Topic 842 )—Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No . 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No . 2016-02 , Leases (Topic 842 ) (SEC Update)”. ASU 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 also requires enhanced disclosures to help financial statement users better understand significant estimates and judgments used in estimating credit losses. ASU , ASU , ASU , ASU , ASU and ASU were effective for us on , including interim periods within those fiscal periods, with early adoption permitted. We adopted the new standard on , with a cumulative effect adjustment to retained earnings as of the beginning of the year of adoption. Based on financial instruments currently held by us, the adoption of ASU primarily impacted our trade receivables, specifically our allowance for doubtful accounts. The adoption of the standard did not have an impact on our Consolidated Statements of Income (Loss), or our Consolidated Statements of Cash Flows. See the table below for further details on the immaterial impact to our Consolidated Statements of Financial Position and Consolidated Statements of Shareholders’ Equity. We are exposed to credit losses through our accounts receivable with customers. Accounts receivable, net is stated at amortized cost net of provision for credit losses. Our methodology to measure the provision for credit losses requires an estimation of loss rates based upon historical loss experience adjusted for factors that are relevant to determining the expected collectability of accounts receivable such as the impact of COVID , delinquency trends, aging behavior of receivables, credit and liquidity indicators for industry groups, customer classes or individual customers and reasonable and supportable forecasts of the economic conditions that may exist through the contractual life of the asset. Our provision for credit losses is reviewed and revised periodically. Our accounts receivable is evaluated on a pool basis that is based on customer groups with similar risk characteristics. This includes consideration of the following factors to develop these pools: size of the customer, industry, geographical location, historical risk, and types of services or products sold. Our customers’ ability to pay is assessed through our internal credit review processes. Based on the dollar value of credit extended, we assess our customers’ credit by reviewing the total expected receivable exposure, expected timing of payments and the customers’ established credit rating. In determining customer creditworthiness, we assess our customers’ credit utilizing different resources including -party validations and/or our own assessment through analysis of the customers’ financial statements and review of trade/bank references. We also consider contract terms and conditions, country and political risk, and the customers’ mix of products purchased in our evaluation. A credit limit is established for each customer based on the outcome of this review. Credit limits are periodically reviewed for existing customers and whenever an increase in the credit limit is being considered. When necessary, we utilize collection agencies and legal counsel to pursue recovery of defaulted receivables. We write off receivables only when deemed longer collectible. The following table presents the change in provision for credit losses, which is presented net in Accounts receivable on our Consolidated Statements of Financial Position for the period indicated: Provision for Credit Losses Balance as of April 30, 2020 $ 18,335 Adjustment due to adoption of new credit losses standard recorded as an adjustment to retained earnings 1,776 Current period provision 6,957 Amounts written off, less recoveries (4,463 ) Foreign exchange translation adjustments and other (1,131 ) Balance as of April 30, 2021 $ 21,474 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. We adopted ASU 2018-15 on May 1, 2020 on a prospective basis. There was no impact to our consolidated financial statements at the date of adoption 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, modifies, and adds disclosures. We adopted ASU 2018-13 on May 1, 2020 . There was no impact to our consolidated financial statements or disclosures as a result of adoption. Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)” and issued subsequent amendments to the initial guidance thereafter. 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 depends 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 elected 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 did not elect the practical expedient allowing the use-of-hindsight which would have required us to reassess the lease term of our leases based on all facts and circumstances through the effective date. In addition, we did not 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 which we elected at the date of adoption and included the following, (i) to not separate nonlease components from the associated lease component if certain conditions are met, and (ii) to not recognize ROU assets and lease liabilities for leases that qualify as short-term. A modified retrospective transition approach was required, applying the standard to all leases existing at the date of initial application. A company could 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 was not updated, and the disclosures required under the new standard will not be provided for dates and periods before May 1, 2019. At adoption, we recognized operating lease liabilities of $178 million based on the present value of the remaining minimum rental payments for existing operating leases and ROU assets of $142 million on our Consolidated Statement of Financial Position. The difference between the ROU assets and operating lease liabilities represents the existing deferred rent liabilities, prepaid rent balances, and applicable restructuring liabilities, which were reclassified upon adoption to reduce the measurement of the ROU assets. The adoption of the standard did not have an impact on our Consolidated Statement of Shareholders’ Equity, Consolidated Statement of Income (Loss) or Consolidated Statement of Cash Flow. See Note 12, “Operating Leases”, for further details on our operating leases. Recently Issued Accounting Standards Convertible Debt Instruments, Derivatives and EPS In , the FASB issued ASU , “Debt – Debt with Conversion and Other Options (Subtopic ) and Derivatives and Hedging – Contracts in Entity’s Own Equity (Subtopic )”. This ASU reduces the number of accounting models for convertible debt instruments and convertible preferred stock. As well as amend the guidance for the derivatives scope exception for contracts in an entity’s own equity to reduce form-over-substance-based accounting conclusions. In addition, this ASU improves and amends the related EPS guidance. This standard is effective for us on , including interim periods within those fiscal years. Adoption is either a modified retrospective method or a fully retrospective method of transition. We are currently assessing the impact the new guidance will have on our consolidated financial statements. Reference Rate Reform In March 2020 , the FASB issued ASU 2020-04 , “Reference Rate Reform (Topic 848 ), Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” In January 2021 , the FASB clarified the scope of that guidance with the issuance of ASU 2021-01 , “Reference Rate Reform: Scope.” This ASU provides optional guidance for a limited period of time to ease the burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting. This would apply to companies meeting certain criteria that have contracts, hedging relationships and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. This standard is effective for us immediately and may be applied prospectively to contract modifications made and hedging relationships entered into or evaluated on or before December 31, 2022 . We are currently assessing the impact the new guidance will have on our consolidated financial statements Simplifying the Accounting for Income Taxes In December 2019 , the FASB issued ASU 2019-12 , “Income Taxes (Topic 740 ): Simplifying the Accounting for Income Taxes.” This ASU is intended to simplify various aspects related to accounting for income taxes, eliminates certain exceptions within Topic 740 , “Income Taxes” and clarifies certain aspects of the current guidance to promote consistent application. The standard is effective for us on May 1, 2021 , and early adoption is permitted in any interim period for which financial statements have not yet been issued. We will adopt the new standard on May 1, 2021 . We do not expect the adoption of ASU 2019-12 to have a material impact on our consolidated financial statements at the time of adoption. The impact in the future would depend on any changes in tax laws and the applicable enactment dates. In accordance with ASU 2019-12 , the enactment date is when any effects are recognized in the consolidated financial statements. |
Revenue Recognition, Contract_2
Revenue Recognition, Contracts with Customers (Policies) | 12 Months Ended |
Apr. 30, 2021 | |
Revenue Recognition, Contracts with Customers [Abstract] | |
Revenue from Contract with Customer | Research Publishing & Platforms Research Publishing & Platforms’ customers include academic, corporate, government, and public libraries, funders of research, researchers, scientists, clinicians, engineers and technologists, scholarly and professional societies, and students and professors. Research Publishing & Platforms products are sold and distributed globally through multiple channels, including research libraries and library consortia, independent subscription agents, direct sales to professional society members, and other customers. Publishing centers include Australia, China, Germany, India, the UK, and the US. The majority of revenue generated from Research Publishing and Platforms products is recognized over time. Total Research Publishing & Platforms revenue was $1,015.3 million in the year ended April 30, 2021. We disaggregated revenue by Research Publishing and Research Platforms to reflect the different type of products and services provided. Research Publishing products provide scientific, technical, medical, and scholarly journals, as well as related content and services, to academic, corporate, and government libraries, learned societies, and individual researchers and other professionals. Research Publishing revenue was $972.5 million in the year ended April 30, 2021 and the majority is recognized over time. Research Platforms 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 platform. Research Platforms revenue was $42.8 million in the year ended April 30, 2021 and the majority is recognized over time. Research Publishing Products Research Publishing products generate approximately 77% of its revenue from contracts with its customers from Journal Subscriptions (pay to read), Open Access (pay to publish) and Comprehensive Agreements (read and publish) and the remainder from Licensing, Reprints, Backfiles, and Other. Journal Subscriptions and Open Access Journal subscription contracts are negotiated by us directly with customers or their subscription agents. Subscription periods typically cover calendar years. In a In journal subscriptions, there are generally two performance obligations: a functional intellectual property license with a stand-ready promise to provide access to new content for one year, which includes online hosting of the content, and a functional intellectual property perpetual license for access to historical journal content, which also includes online hosting of the content. The transaction price consists of fixed consideration. Journal s ubscription revenue is generally collected in advance when the annual license is granted, and no significant financing component exists. The total transaction price is allocated to each performance obligation based on its relative standalone selling price. We allocate revenue to the stand-ready promise to provide access to new content for one year based on its observable standalone selling price which is generally the contractually stated price and the revenue for new content is recognized over one year 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 revenue standard. Revenue is recognized at the point in time when access to historical content is initially granted. Under the Open Access business model, we have a signed contract with the customer that contains enforceable rights. The Open Access business 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 an Article Publication Charge (APC) at a discount to eligible users who are 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 recorded as a contract liability and revenue is recognized over time. Comprehensive agreements (read and publish), sometimes referred to as transitional agreements, are the innovative new model that blends journal subscription and open access offerings. Essentially, for a single fee, a national or regional consortium of libraries pays for and receives full read access to our journal portfolio and the ability to publish under an open access arrangement. Like subscriptions, comprehensive deals involve recurring revenue under multiyear contracts. Unlike subscriptions , In January 2019, Wiley announced a contractual arrangement in support of Open Access, a countrywide partnership agreement with Projekt DEAL, a representative of nearly academic institutions in Germany. This 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 and a consolidated access fee. Licensing, Reprints, Backfiles and Other Within licensing, the revenue derived from these contracts is primarily comprised of advance payments, including minimum guarantees and sales- or usage-based royalty agreements. Our intellectual property is considered to be functional intellectual property. Due to the stand-ready promise to provide updates during the subscription period, which is generally an annual period, revenue for the minimum guarantee is recognized on a straight-line basis over the term of the agreement. 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 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. Research Platforms Services Research Platforms’ services typically include a single performance obligation for the implementation and hosting subscription services. The transaction price is fixed which may include price escalators that are fixed increases per year, and therefore, revenue is recognized upon the initiation of the subscription period and recognized on a straight-line basis over the time of the contractual period. The duration of these contracts is generally multiyear ranging from 2-5 years. Academic & Professional Learning Academic & Professional Learning provides Education Publishing and Professional Learning products and services including scientific, professional, and education print and digital books, digital courseware, and test preparation services, to libraries, corporations, students, professionals, and researchers, as well as learning, development, and assessment services for businesses and professionals. Communities served include business, finance, accounting, workplace learning, management, leadership, technology, behavioral health, engineering/ architecture, science and medicine, and education. Products are developed for worldwide distribution through multiple channels, including chain and online booksellers, libraries, colleges and universities, corporations, direct to consumer, web sites, distributor networks and other online applications. Publishing centers include Australia, Germany, India, the UK, and the US. Total Academic & Professional Learning revenue was $644.5 million in the year ended April 30, 2021. We disaggregated revenue by type of products provided. Academic & Professional Learning products are Education Publishing and Professional Learning. Education Publishing Products Education Publishing products revenue was $363.9 million in the year ended April 30, 2021. Education Publishing products generate approximately 63% of its revenue from contracts with its customers from Education (print and digital) Publishing, which is recognized at a point in time, and 24% from Digital Courseware which is recognized over time. The remainder of its revenues were from Test Preparation and Certification and Licensing and Other, which has a mix of revenue recognized at a point in time and over time. Education Publishing and Professional Publishing (included within Professional Learning below) Our performance obligations as it relates to Education and Professional 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 print or digital books purchased which are represented by an International Standard Book Number (ISBN’s), with each ISBN representing a performance obligation. Each ISBN has an observable stand-alone selling price since Wiley sells the books separately. 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 increase to inventory and reduction to accrued royalties as a result of the expected returns. As it relates to print and digital books within the Education and Professional 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. Digital Courseware Products Courseware customers purchase access codes to utilize the product. This could include a single or multiple performance obligations based on the number of course ISBNs purchased. Revenue is recognized over time in the period from when the access codes are activated over the applicable semester term to which such product relates. Test Preparation and Certification Products Test Preparation and Certification contracts are generally three-year agreements. This revenue stream includes multiple performance obligations as it relates to the online and printed course materials, including such items as textbooks, ebooks, 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 relative standalone selling price. This standalone selling price is generally based upon the observable selling prices where the product is sold separately to customers. 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 and Other 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. Professional Learning Products Professional Learning products revenue was $280.7 million in the year ended April 30, 2021. Professional Learning (print and digital) products generate approximately 48% of revenue from contracts with its customers from Professional Publishing, and Licensing and Other, both of which are described above, and both are mainly recognized at a point in time. Approximately 52% of Professional Learning products revenue is from contracts with its customers from Corporate Training and Corporate Learning, which is recognized mainly over time. Corporate Training Corporate Training through our authorized distributor network includes multiple performance obligations. This includes a performance obligation that includes an annual membership which includes the right to purchase products and services, access to the platform, support and training. This performance obligation is recognized over time since we have an obligation to stand-ready for the customer’s use of the services. In addition, there are performance obligations for the assessments and related products or services which are recognized at a point in time when the assessment, product or service is provided or delivered. The transaction price is allocated to each performance obligation based on its observable standalone selling price which is generally the contractually stated price for the performance obligation related to the annual membership, and for the other performance obligations based on its relative observable selling price when sold separately. In addition, as it relates to Corporate Training customers’ unexercised rights for situations where we have received a nonrefundable payment for a customer to receive an assessment 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 which is generally one year. Corporate Learning 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. Education Services Education Services revenue was $281.6 million in the year ended April 30, 2021 and the majority is recognized over time. We disaggregated revenue by type of services provided, which are Education Services OPM and mthree. Education Services OPM Education Services OPM engages in the comprehensive management of online degree programs for universities and has grown to include a broad array of tech enabled service offerings that address our partner specific pain points. Increasingly, this includes delivering full stack career credentialing education that advances specific careers with in-demand skills. Education Services OPM include market research, marketing, student recruitment, enrollment support, proactive retention support, academic services to design courses, faculty support, and access to the Engage Learning Management System, which facilitates the online education experience. Graduate degree programs include Business Administration, Finance, Accounting, Healthcare, Engineering, Communications, and others. As of April 30, 2021, the Education Services OPM business had 66 university partners under contract. We are also extending the core OPM business as well as delivering a broader array of essential university and career credentialing services that the market is demanding and which leverage our core Wiley skills and assets. This full stack education includes teacher professional development and IT skills training, through which we develop and deliver professional credits and job placement through our corporate partners. In addition, Education Services OPM derives revenue from unbundled service offerings. Education Services OPM revenue is primarily derived from prenegotiated contracts with institutions that provide for a share of tuition generated from students who enroll in a program. The duration of Education Services OPM contracts are generally multiyear agreements ranging from a period of 7-10 years, with some having optional renewal periods. These optional renewal periods are not a material right and are not considered a separate performance obligation. Education Services OPM 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 overtime, which is also when the variable consideration contingency is resolved. Education Services OPM revenue was $227.7 million in the year ended April 30, 2021. mthree mthree is a talent placement provider that finds, trains and places job-ready technology talent in roles with leading corporations worldwide. mthree’s contracts with customers includes a performance obligation for the services provided, which is recognized at the point in time the services are provided to its customers. mthree’s revenue was $53.9 million in the year ended April 30, 2021. Accounts Receivable, net and Contract Liability 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, 2021 | |
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 as of April 30: 2021 2020 Increase in Inventories, net $ 10,886 $ 8,686 Decrease in Accrued royalties $ (4,949 ) $ (4,441 ) Increase in Contract liabilities $ 38,034 $ 32,769 Print book sales return reserve net liability balance $ (22,199 ) $ (19,642 ) |
Advertising and Marketing Costs | Advertising and marketing costs are expensed as incurred. These costs are reflected in the Consolidated Statements of Income (Loss) as follows: For the Years Ended April 30, 2021 2020 2019 Advertising and marketing costs $ 93.6 $ 103.1 $ 89.5 Cost of sales (1) 57.0 65.8 53.7 Operating and administrative expenses 36.6 37.3 35.8 (1) This includes certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. |
Change in Provision for Credit Losses | The following table presents the change in provision for credit losses, which is presented net in Accounts receivable on our Consolidated Statements of Financial Position for the period indicated: Provision for Credit Losses Balance as of April 30, 2020 $ 18,335 Adjustment due to adoption of new credit losses standard recorded as an adjustment to retained earnings 1,776 Current period provision 6,957 Amounts written off, less recoveries (4,463 ) Foreign exchange translation adjustments and other (1,131 ) Balance as of April 30, 2021 $ 21,474 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. We adopted ASU 2018-15 on May 1, 2020 on a prospective basis. There was no impact to our consolidated financial statements at the date of adoption 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, modifies, and adds disclosures. We adopted ASU 2018-13 on May 1, 2020 . There was no impact to our consolidated financial statements or disclosures as a result of adoption. Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)” and issued subsequent amendments to the initial guidance thereafter. 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 depends 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 elected 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 did not elect the practical expedient allowing the use-of-hindsight which would have required us to reassess the lease term of our leases based on all facts and circumstances through the effective date. In addition, we did not 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 which we elected at the date of adoption and included the following, (i) to not separate nonlease components from the associated lease component if certain conditions are met, and (ii) to not recognize ROU assets and lease liabilities for leases that qualify as short-term. A modified retrospective transition approach was required, applying the standard to all leases existing at the date of initial application. A company could 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 was not updated, and the disclosures required under the new standard will not be provided for dates and periods before May 1, 2019. At adoption, we recognized operating lease liabilities of $178 million based on the present value of the remaining minimum rental payments for existing operating leases and ROU assets of $142 million on our Consolidated Statement of Financial Position. The difference between the ROU assets and operating lease liabilities represents the existing deferred rent liabilities, prepaid rent balances, and applicable restructuring liabilities, which were reclassified upon adoption to reduce the measurement of the ROU assets. The adoption of the standard did not have an impact on our Consolidated Statement of Shareholders’ Equity, Consolidated Statement of Income (Loss) or Consolidated Statement of Cash Flow. See Note 12, “Operating Leases”, for further details on our operating leases. |
Revenue Recognition, Contract_3
Revenue Recognition, Contracts with Customers (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
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, 2021 2020 2019 Research Publishing & Platforms: Research Publishing $ 972,512 $ 908,952 $ 903,249 Research Platforms 42,837 39,887 35,968 Total Research Publishing & Platforms 1,015,349 948,839 939,217 Academic & Professional Learning: Education Publishing 363,870 352,188 372,018 Professional Learning 280,667 298,601 331,285 Total Academic & Professional Learning 644,537 650,789 703,303 Education Services: Education Services OPM (1) 227,700 210,882 155,819 mthree (1) 53,915 20,973 1,730 Total Education Services 281,615 231,855 157,549 Total Revenue $ 1,941,501 $ 1,831,483 $ 1,800,069 (1) In May 2020, we moved the IT bootcamp business acquired as part of The Learning House acquisition from Education Services Online Program Management (OPM) to mthree. |
Accounts Receivable, Net and Contract Liabilities from Contracts with Customers | The following table provides information about accounts receivable, net and contract liabilities from contracts with customers April 30, 2021 April 30, 2020 Increase/ (Decrease) Balances from contracts with customers: Accounts receivable, net $ 311,571 $ 309,384 $ 2,187 Contract liabilities (1) 545,425 520,214 25,211 Contract liabilities (included in Other long-term liabilities) $ 19,560 $ 14,949 $ 4,611 (1) The sales return reserve recorded in Contract liabilities is $38.0 million and $32.8 million as of April 30, 2021 and April 30, 2020, respectively. See Note 2, “Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards” for further details of the sales return reserve. |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Hindawi [Member] | |
Business Acquisition [Line Items] | |
Consideration Transferred and Allocation of Purchase Price | The following table summarizes the preliminary consideration transferred to acquire Hindawi and the preliminary allocation of the purchase price among the assets acquired and liabilities assumed. Preliminary Allocation as of January 31, 2021 Measurement Period Adjustments Preliminary Allocation as of April 30, 2021 Total consideration transferred $ 300,086 $ — $ 300,086 Assets: Current assets 2,902 (90 ) 2,812 Technology, property and equipment, net 844 — 844 Intangible assets, net 194,400 500 194,900 Goodwill 141,775 5,613 147,388 Operating lease right-of-use assets 3,716 46 3,762 Other non-current assets 177 (108 ) 69 Total assets $ 343,814 $ 5,961 $ 349,775 Liabilities: Current liabilities 3,657 (63 ) 3,594 Deferred income tax liabilities 36,936 95 37,031 Operating lease liabilities 3,135 15 3,150 Other long-term liabilities — 5,914 5,914 Total liabilities $ 43,728 $ 5,961 $ 49,689 |
Identifiable 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) Content and publishing rights $ 188,500 15 Developed technology 5,000 6 Trademarks 1,000 2 Customer relationships 400 10 Total $ 194,900 |
mthree [Member] | |
Business Acquisition [Line Items] | |
Consideration Transferred and Allocation of Purchase Price | The following table summarizes the consideration transferred to acquire mthree and the final allocation of the purchase price among the assets acquired and liabilities assumed. Preliminary Allocation as of April 30, 2020 Measurement Period Adjustments Final Allocation Total cash consideration at the acquisition date and cash to be paid $ 122,242 $ 1,289 $ 123,531 Assets: Current assets 8,750 473 9,223 Technology, property and equipment, net 484 — 484 Intangible assets, net 56,836 — 56,836 Goodwill 82,561 — 82,561 Operating lease right-of-use assets 3,710 — 3,710 Total assets $ 152,341 $ 473 $ 152,814 Liabilities: Current liabilities 14,380 (816 ) 13,564 Deferred income tax liabilities 12,722 — 12,722 Operating lease liabilities 2,692 — 2,692 Other long-term liabilities 305 — 305 Total liabilities $ 30,099 $ (816 ) $ 29,283 |
Identifiable 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. Fair Value Weighted-Average Useful Life (in Years) Customer relationships $ 48,792 12 Trademarks 6,725 10 Content 1,319 4 Total $ 56,836 |
zyBooks [Member] | |
Business Acquisition [Line Items] | |
Consideration Transferred and Allocation of Purchase Price | The following table summarizes the consideration transferred to acquire zyBooks and the allocation of the purchase price among the assets acquired and liabilities assumed. Final Allocation Total cash consideration transferred $ 55,939 Assets: Current assets 2,280 Technology, property and equipment, net 28 Intangible assets, net 24,500 Goodwill 36,903 Total assets $ 63,711 Liabilities: Current liabilities 2,581 Deferred income tax liabilities 5,191 Total liabilities $ 7,772 |
Identifiable 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. Fair Value Weighted-Average Useful Life (in Years) Developed technology $ 10,400 7 Customer relationships 6,800 10 Content 4,400 10 Trademarks 2,900 10 Total $ 24,500 |
Reconciliation of Weighted Av_2
Reconciliation of Weighted Average Shares Outstanding (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Reconciliation of Weighted Average Shares Outstanding [Abstract] | |
Reconciliation of Shares used in Computation of Earnings (Loss) Per Share | A reconciliation of the shares used in the computation of earnings (loss) per share follows (shares in thousands): For the Years Ended April 30, 2021 2020 2019 Weighted average shares outstanding 55,931 56,224 57,240 Less: Unvested restricted shares (1 ) (15 ) (48 ) Shares used for basic earnings (loss) per share 55,930 56,209 57,192 Dilutive effect of unvested restricted stock units and other stock awards 531 — 648 Shares used for diluted earnings (loss) per share 56,461 56,209 57,840 Antidilutive options to purchase Class A common shares, restricted shares, warrants to purchase Class A common shares and contingently issuable restricted stock which are excluded from the table above 982 1,677 958 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
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, 2021, 2020, and 2019 were as follows: Foreign Currency Translation Unamortized Retirement Costs Interest Rate Swaps Total 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 ) Other comprehensive loss before reclassifications (28,596 ) (36,965 ) (5,988 ) (71,549 ) Amounts reclassified from Accumulated other comprehensive loss — 5,102 (312 ) 4,790 Total other comprehensive loss (28,596 ) (31,863 ) (6,300 ) (66,759 ) Balance at April 30, 2020 $ (340,703 ) $ (227,920 ) $ (6,874 ) $ (575,497 ) Other comprehensive income (loss) before reclassifications 82,762 (6,273 ) (639 ) 75,850 Amounts reclassified from Accumulated other comprehensive loss — 6,047 2,810 8,857 Total other comprehensive income (loss) 82,762 (226 ) 2,171 84,707 Balance at April 30, 2021 $ (257,941 ) $ (228,146 ) $ (4,703 ) $ (490,790 ) |
Restructuring and Related Cha_2
Restructuring and Related Charges (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Business Optimization Program [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Pretax Restructuring Charges (Credits) | The following tables summarize the pretax restructuring charges related to this program: For the Years Ended April 30, 2021 2020 Total Charges Incurred to Date Charges by Segment: Research Publishing & Platforms $ 99 $ 3,546 $ 3,645 Academic & Professional Learning 3,229 10,475 13,704 Education Services 531 3,774 4,305 Corporate Expenses 29,590 15,018 44,608 Total Restructuring and Related Charges $ 33,449 $ 32,813 $ 66,262 Charges (Credits) by Activity: Severance and termination benefits $ 11,531 $ 26,864 $ 38,395 Impairment of operating lease ROU assets and property and equipment 14,918 161 15,079 Acceleration of expense related to operating lease ROU assets and property and equipment 3,378 — 3,378 Facility related charges 3,684 3,986 7,670 Other activities (62 ) 1,802 1,740 Total Restructuring and Related Charges $ 33,449 $ 32,813 $ 66,262 |
Activity for Restructuring Liability | The following table summarizes the activity for the Business Optimization Program liability for the year ended April 30, 2021: April 30, 2020 Charges (Credits) Payments Foreign Translation & Other Adjustments April 30, 2021 Severance and termination benefits $ 17,632 $ 11,531 $ (18,310 ) $ 612 $ 11,465 Other activities 430 (264 ) (262 ) 96 — Total $ 18,062 $ 11,267 $ (18,572 ) $ 708 $ 11,465 |
Restructuring and Reinvestment Program [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Pretax Restructuring Charges (Credits) | The following tables summarize the pretax restructuring (credits) charges related to this program: For the Years Ended April 30, 2021 2020 2019 Total Charges Incurred to Date (Credits) Charges by Segment: Research Publishing & Platforms $ (135 ) $ 340 $ 1,131 $ 26,749 Academic & Professional Learning 274 (5 ) 1,139 43,108 Education Services — (103 ) 389 3,764 Corporate Expenses (278 ) (438 ) 459 95,662 Total Restructuring and Related (Credits) Charges $ (139 ) $ (206 ) $ 3,118 $ 169,283 (Credits) Charges by Activity: Severance and termination benefits $ (139 ) $ (250 ) $ 1,456 $ 115,870 Consulting and contract termination costs — (171 ) 526 20,984 Other activities — 215 1,136 32,429 Total Restructuring and Related (Credits) Charges $ (139 ) $ (206 ) $ 3,118 $ 169,283 |
Activity for Restructuring Liability | The following table summarizes the activity for the Restructuring and Reinvestment Program liability for the year ended April 30, 2021: April 30, 2020 (Credits) Payments Foreign Translation & Other Adjustments April 30, 2021 Severance and termination benefits $ 1,360 $ (139 ) $ (888 ) $ 69 $ 402 Other activities 230 — (207 ) 239 262 Total $ 1,590 $ (139 ) $ (1,095 ) $ 308 $ 664 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Inventories [Abstract] | |
Inventories | Inventories, net consisted of the following at April 30: 2021 2020 Finished goods $ 31,704 $ 36,014 Work-in-process 2,060 1,398 Paper and other materials 331 331 Total inventories before estimated sales returns and LIFO reserve 34,095 37,743 Inventory value of estimated sales returns 10,886 8,686 LIFO reserve (2,443 ) (2,815 ) Inventories, net $ 42,538 $ 43,614 |
Product Development Assets (Tab
Product Development Assets (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Product Development Assets [Abstract] | |
Product Development Assets | Product development assets, net consisted of the following at April 30: 2021 2020 Book composition costs $ 20,474 $ 18,744 Software costs 23,262 28,995 Content development costs 5,781 5,904 Product development assets, net $ 49,517 $ 53,643 |
Technology, Property and Equi_2
Technology, Property and Equipment (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Technology, Property and Equipment [Abstract] | |
Technology, Property and Equipment | Technology, property and equipment, net consisted of the following at April 30: 2021 2020 Capitalized software $ 536,878 $ 471,844 Computer hardware 50,714 46,640 Buildings and leasehold improvements 99,636 99,230 Furniture, fixtures, and warehouse equipment 42,674 44,104 Land and land improvements 3,656 3,298 Technology, property and equipment, gross 733,558 665,116 Accumulated depreciation and amortization (451,288 ) (367,111 ) Technology, property and equipment, net $ 282,270 $ 298,005 The following table details our depreciation and amortization expense for technology, property and equipment, net: For the Years Ended April 30, 2021 2020 2019 Capitalized software amortization expense $ 69,184 $ 55,685 $ 50,095 Depreciation and amortization expense, excluding capitalized software 21,955 21,031 19,323 Total depreciation and amortization expense for technology, property and equipment $ 91,139 $ 76,716 $ 69,418 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Goodwill and Intangible Assets [Abstract] | |
Activity in Goodwill by Segment | The following table summarizes the activity in goodwill by segment as of April 30: 2020 (1) Acquisitions (2) Foreign Translation Adjustment 2021 Research Publishing & Platforms $ 448,130 $ 136,789 $ 34,284 $ 619,203 Academic & Professional Learning 501,091 — 11,421 512,512 Education Services 167,569 — 5,056 172,625 Total $ 1,116,790 $ 136,789 $ 50,761 $ 1,304,340 (1) The Education Services goodwill balance as of April 30, 2020 includes a cumulative pretax noncash goodwill impairment of $ million. (2) Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in the year ended April 30, 2021. |
Intangible Assets, Net | Intangible assets, net as of April 30 were as follows: 2021 2020 Cost Accumulated Amortization Net Cost Accumulated Amortization Accumulated Impairment Net Intangible assets with definite lives, net Content and publishing rights $ 1,062,072 $ (497,843 ) $ 564,229 $ 806,862 $ (444,756 ) $ — $ 362,106 Customer relationships 384,462 (117,985 ) 266,477 377,652 (87,234 ) — 290,418 Developed technology (1) 42,785 (7,824 ) 34,961 19,225 (3,273 ) (2,841 ) 13,111 Brands and trademarks 45,630 (26,094 ) 19,536 42,877 (22,689 ) — 20,188 Covenants not to compete 1,250 (1,192 ) 58 1,675 (1,429 ) — 246 Total (2) 1,536,199 (650,938 ) 885,261 1,248,291 (559,381 ) (2,841 ) 686,069 Intangible assets with indefinite lives Brands and trademarks (1) 37,000 — 37,000 130,107 — (93,107 ) 37,000 Publishing rights 93,041 — 93,041 84,336 — — 84,336 Total 130,041 — 130,041 214,443 — (93,107 ) 121,336 Total intangible assets, net $ 1,666,240 $ (650,938 ) $ 1,015,302 $ 1,462,734 $ (559,381 ) $ (95,948 ) $ 807,405 (1) The developed technology balance as of April 30, 2021 is presented net of accumulated impairments and write-offs of $2.8 million. The indefinite-lived brands and trademarks cost balance as of April 30, 2021 is net of accumulated impairments of $93.1 million. (2) Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in 2021 and 2020. |
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 2022 $ 82,401 2023 76,125 2024 71,367 2025 65,764 2026 63,410 Thereafter 526,194 Total $ 885,261 |
Operating Leases (Tables)
Operating Leases (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Operating Leases [Abstract] | |
ROU Assets and Lease Liabilities | For operating leases, the ROU assets and liabilities as of April 30 are presented in our Consolidated Statement of Financial Position as follows: 2021 2020 Operating lease ROU assets $ 121,430 $ 142,716 Short-term portion of operating lease liabilities 22,440 21,810 Operating lease liabilities, non-current $ 145,832 $ 159,782 |
Total Net Lease Costs | Our total net lease costs were as follows: For the Years Ended April 30, 2021 2020 Operating lease cost $ 24,862 $ 26,027 Variable lease cost 2,135 3,856 Short-term lease cost 248 86 Sublease income (722 ) (691 ) Total net lease cost (1) $ 26,523 $ 29,278 (1) Total net lease cost does not include those costs included in Restructuring and related charges on our Consolidated Statements of Income (Loss). See Note |
Other Supplemental Information for Operating Leases | Other supplemental information includes the following: For the Years Ended April 30, 2021 2020 Weighted-average remaining contractual lease term (years) 9 10 Weighted-average discount rate 5.89 % 5.89 % Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 32,344 $ 28,243 |
Reconciliation of Undiscounted Cash Flows to Operating Lease Liabilities | The table below reconciles the undiscounted cash flows for the first five years and total of the remaining years to the operating lease liabilities recorded in the Consolidated Statement of Financial Position as of April 30, 2021: Fiscal Year Operating Lease Liabilities 2022 $ 30,674 2023 26,905 2024 24,799 2025 23,235 2026 20,584 Thereafter 95,000 Total future undiscounted minimum lease payments 221,197 Less: Imputed interest 52,925 Present value of minimum lease payments 168,272 Less: Current portion 22,440 Noncurrent portion $ 145,832 |
Net Rent Expense for Operating Leases | The following schedule shows the composition of net rent expense for operating leases for the year ended April 30: 2019 Minimum rental $ 29,066 Less: sublease rentals (719 ) Total $ 28,347 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Income Taxes [Abstract] | |
Provision for Income Taxes | The provisions for income taxes were as follows: For the Years Ended April 30, 2021 2020 2019 Current Provision US – Federal $ (6,631 ) $ 1,145 $ 2,384 International 43,269 37,494 52,518 State and local 1,359 172 2,536 Total current provision $ 37,997 $ 38,811 $ 57,438 Deferred (benefit) provision US – Federal $ (11,996 ) $ (8,476 ) $ 335 International 1,175 (15,022 ) (7,630 ) State and local 480 (4,118 ) (5,454 ) Total deferred (benefit) $ (10,341 ) $ (27,616 ) $ (12,749 ) Total provision $ 27,656 $ 11,195 $ 44,689 |
International and United States Pretax Income (Loss) | International and United States pretax income (loss) were as follows: For the Years Ended April 30, 2021 2020 2019 International $ 202,490 $ 104,185 $ 204,326 United States (26,578 ) (167,277 ) 8,626 Total $ 175,912 $ (63,092 ) $ 212,952 |
Reconciliation of Effective Income Tax Rate | Our effective income tax rate as a percentage of pretax income differed from the US federal statutory rate as shown below: For the Years Ended April 30, 2021 2020 2019 US federal statutory rate 21.0 % 21.0 % 21.0 % Cost of higher taxes on non-US income 1.1 4.8 0.9 State income taxes, net of US federal tax benefit 0.8 3.3 (1.3 ) US NOL carryback under CARES Act (8.0 ) — — Deferred tax (benefit) from US Tax Act — — 0.1 Tax credits and related benefits (0.5 ) (1.1 ) (0.8 ) Impairment of goodwill and intangibles — (42.3 ) — Other 1.3 (3.4 ) 1.1 Effective income tax rate 15.7 % (17.7 )% 21.0 % |
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: 2021 2020 Balance at May 1 $ 6,194 $ 7,659 Additions for current year tax positions 3,626 694 Additions for prior year tax positions 511 — Reductions for prior year tax positions (163 ) (655 ) Foreign translation adjustment 57 (15 ) Payments and settlements (215 ) (56 ) Reductions for lapse of statute of limitations (866 ) (1,433 ) Balance at April 30 $ 9,144 $ 6,194 |
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: 2021 2020 Net operating losses $ 19,433 $ 17,966 Reserve for sales returns and doubtful accounts 3,838 2,638 Accrued employee compensation 32,835 20,114 Foreign and federal credits 5,129 31,487 Other accrued expenses 16,092 11,827 Retirement and post-employment benefits 30,039 37,927 Total gross deferred tax assets $ 107,366 $ 121,959 Less valuation allowance (4,855 ) (23,287 ) Total deferred tax assets $ 102,511 $ 98,672 Prepaid expenses and other current assets $ (459 ) $ (1,142 ) Unremitted foreign earnings (2,485 ) (1,985 ) Intangible and fixed assets (260,559 ) (205,882 ) Total deferred tax liabilities $ (263,503 ) $ (209,009 ) Net deferred tax liabilities $ (160,992 ) $ (110,337 ) Reported As Deferred tax assets $ 11,911 $ 8,790 Deferred tax liabilities (172,903 ) (119,127 ) Net Deferred Tax Liabilities $ (160,992 ) $ (110,337 ) |
Debt and Available Credit Fac_2
Debt and Available Credit Facilities (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Debt and Available Credit Facilities [Abstract] | |
Total Debt Outstanding | Our total debt outstanding as of April 30 consisted of the amounts set forth in the following table: 2021 2020 Short-term portion of long-term debt (1) $ 12,500 $ 9,375 Term loan A - Amended and Restated RCA (2) 222,928 235,263 Revolving credit facility - Amended and Restated RCA 586,160 530,387 Total long-term debt, less current portion 809,088 765,650 Total debt $ 821,588 $ 775,025 (1) Relates to our term loan A under the Amended and Restated RCA. (2) Amounts are shown net of unamortized issuance costs of $0.5 million as of April 30, 2021 and $0.7 million as of April 30, 2020. |
Annual Maturities of Long-term Debt, Including Short-term Portion | The following table summarizes the scheduled annual maturities for the next four years of our long-term debt, including the short-term portion of long-term debt. This schedule represents the principal portion amount of debt outstanding and therefore excludes unamortized issuance costs. Fiscal Year Amount 2022 $ 12,500 2023 18,750 2024 204,688 2025 586,160 Total $ 822,098 |
Derivative Instruments and Ac_2
Derivative Instruments and Activities (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Derivative Instruments and Activities [Abstract] | |
Summary of Interest Rate Swaps Designated as Cash Flow Hedges | The following table summarizes our interest rate swaps designated as cash flow hedges: Notional Amount As of April 30, Hedged Item Date entered into Nature of Swap 2021 2020 Fixed Interest Rate Variable Interest Rate Amended and Restated RCA April 12, 2021 Pay fixed/receive variable $ 100 $ — 0.500 % 1-month LIBOR reset every month for a 3-year period ending April 15, 2024 Amended and Restated RCA February 26, 2020 Pay fixed/receive variable 100 100 1.150 % 1-month LIBOR reset every month for a 3-year period ending March 15, 2023 Amended and Restated RCA August 7, 2019 Pay fixed/receive variable 100 100 1.400 % 1-month LIBOR reset every month for a 3-year period ending August 15, 2022 Amended and Restated RCA June 24, 2019 Pay fixed/receive variable 100 100 1.650 % 1-month LIBOR reset every month for a 3-year period ending July 15, 2022 $ 400 $ 300 |
Retirement Plans (Tables)
Retirement Plans (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
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: For the Years Ended April 30, 2021 2020 2019 US Non-US US Non-US US Non-US Service cost $ — $ 1,396 $ — $ 1,851 $ — $ 912 Interest cost 9,504 8,901 11,247 12,652 11,704 12,943 Expected return on plan assets (11,969 ) (26,971 ) (14,038 ) (26,116 ) (13,472 ) (25,551 ) Amortization of prior service cost (154 ) 58 (154 ) 73 (154 ) 57 Amortization of net actuarial loss 3,501 4,516 2,403 3,993 2,035 3,746 Curtailment/settlement loss — — — 291 — — Net pension expense (income) $ 882 $ (12,100 ) $ (542 ) $ (7,256 ) $ 113 $ (7,893 ) Discount rate 3.1 % 1.6 % 4.1 % 2.4 % 4.3 % 2.6 % Rate of compensation increase N/A 3.0 % N/A 3.0 % N/A 3.0 % Expected return on plan assets 5.8 % 5.7 % 6.8 % 6.5 % 6.8 % 6.5 % |
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: 2021 2020 US Non-US US Non-US CHANGE IN PLAN ASSETS Fair value of plan assets, beginning of year $ 213,946 $ 445,480 $ 213,628 $ 408,249 Actual return on plan assets 34,560 27,971 11,645 48,602 Employer contributions 5,599 12,203 3,700 11,686 Employee contributions — — — — Settlements — — — (1,459 ) Benefits paid (16,976 ) (11,921 ) (15,027 ) (9,162 ) Foreign currency rate changes — 50,153 — (12,436 ) Fair value, end of year $ 237,129 $ 523,886 $ 213,946 $ 445,480 CHANGE IN PROJECTED BENEFIT OBLIGATION Benefit obligation, beginning of year $ (318,967 ) $ (534,303 ) $ (285,197 ) $ (509,015 ) Service cost — (1,396 ) — (1,851 ) Interest cost (9,504 ) (8,901 ) (11,247 ) (12,652 ) Actuarial gains (losses) 8,863 (17,739 ) (37,550 ) (36,287 ) Benefits paid 16,976 11,921 15,027 9,162 Foreign currency rate changes — (59,046 ) — 15,176 Settlements and other — (150 ) — 1,164 Benefit obligation, end of year $ (302,632 ) $ (609,614 ) $ (318,967 ) $ (534,303 ) Underfunded status, end of year $ (65,503 ) $ (85,728 ) $ (105,021 ) $ (88,823 ) AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION Noncurrent assets — 6 — — Current pension liability (3,576 ) (1,414 ) (4,990 ) (885 ) Noncurrent pension liability (61,927 ) (84,320 ) (100,031 ) (87,938 ) Net amount recognized in statement of financial position $ (65,503 ) $ (85,728 ) $ (105,021 ) $ (88,823 ) AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF Net actuarial (losses) $ (96,613 ) $ (213,958 ) $ (131,569 ) $ (181,403 ) Prior service cost gains (losses) 2,100 (1,299 ) 2,254 (1,051 ) Total accumulated other comprehensive loss $ (94,513 ) $ (215,257 ) $ (129,315 ) $ (182,454 ) Change in accumulated other comprehensive loss $ 34,802 $ (32,803 ) $ (37,695 ) $ (4,143 ) INFORMATION FOR PENSION PLANS WITH AN ACCUMULATED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS Accumulated benefit obligation $ 302,632 $ 566,998 $ 318,967 $ 497,489 Fair value of plan assets $ 237,129 $ 513,279 $ 213,946 $ 445,480 INFORMATION FOR PENSION PLANS WITH A PROJECTED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS Projected benefit obligation $ 302,632 $ 599,011 $ 318,967 $ 534,303 Fair value of plan assets $ 237,129 $ 513,279 $ 213,946 $ 445,480 WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES Discount rate 3.2 % 1.9 % 3.1 % 1.6 % Rate of compensation increase N/A 3.0 % N/A 3.0 % Accumulated benefit obligations $ (302,632 ) $ (577,600 ) $ (318,967 ) $ (497,489 ) |
Pension Plan Assets at Fair Value by Level Within Fair Value Hierarchy | The following tables set forth, by level within the fair value hierarchy, pension plan assets at their fair value as of April 30: 2021 2020 Level 1 Level 2 Total Level 1 Level 2 Total US Plan Assets Investments measured at NAV: Global equity securities: Limited partnership $ 121,569 $ 110,965 Fixed income securities: Commingled trust funds 115,560 102,981 Total assets at NAV $ 237,129 $ 213,946 Non-US Plan Assets Equity securities: US equities $ — $ 51,882 $ 51,882 $ — $ 36,842 $ 36,842 Non-US equities — 124,496 124,496 — 103,460 103,460 Balanced managed funds — 103,717 103,717 — 44,989 44,989 Fixed income securities: Commingled funds 1,444 236,583 238,027 3,431 254,134 257,565 Other: Real estate/other — 543 543 — 490 490 Cash and cash equivalents 5,221 — 5,221 2,134 — 2,134 Total Non-US plan assets $ 6,665 $ 517,221 $ 523,886 $ 5,565 $ 439,915 $ 445,480 Total plan assets $ 6,665 $ 517,221 $ 761,015 $ 5,565 $ 439,915 $ 659,426 |
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 US Non-US Total 2022 $ 15,305 $ 12,211 $ 27,516 2023 15,446 11,769 27,215 2024 15,593 12,606 28,199 2025 15,024 14,817 29,841 2026 15,064 14,004 29,068 2027 – 2031 75,870 83,009 158,879 Total $ 152,302 $ 148,416 $ 300,718 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Stock-Based Compensation [Abstract] | |
Stock Option Plans | A summary of the activity and status of our stock option plans follows: 2021 2020 2019 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 286 $ 50.14 372 $ 49.70 611 $ 48.88 Granted — $ — — $ — — $ — Exercised (60 ) $ 43.91 (34 ) $ 38.32 (229 ) $ 47.21 Expired or forfeited (85 ) $ 52.78 (52 ) $ 54.57 (10 ) $ 56.97 Outstanding at end of year 141 $ 51.17 2.6 $ 0.9 286 $ 50.14 372 $ 49.70 Exercisable at end of year 141 $ 51.17 2.6 $ 0.9 286 $ 50.14 372 $ 49.70 Vested and expected to vest in the future at April 30 141 $ 51.17 2.6 $ 0.9 286 $ 50.14 372 $ 49.70 |
Stock Options Outstanding and Exercisable | The following table summarizes information about stock options outstanding and exercisable at April 30, 2021: 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 $39.53 34 2.0 $ 39.53 34 $ 39.53 $48.06 to $49.55 32 1.1 $ 48.22 32 $ 48.22 $55.99 to $59.70 75 3.6 $ 57.76 75 $ 57.76 Total/average 141 2.6 $ 51.17 141 $ 51.17 |
Activity for Performance-Based and Other Restricted Stock Awards | Activity for performance-based and other restricted stock awards during the years ended April 30, was as follows (shares in thousands): 2021 2020 2019 Restricted Shares Weighted Average Grant Date Value Restricted Shares Restricted Shares Nonvested shares at beginning of year 943 $ 49.74 756 861 Granted 706 $ 41.49 759 415 Change in shares due to performance 118 $ 49.84 (70 ) (19 ) Vested and issued (362 ) $ 48.48 (329 ) (357 ) Forfeited (125 ) $ 47.88 (173 ) (144 ) Nonvested shares at end of year 1,280 $ 45.73 943 756 |
Capital Stock and Changes in _2
Capital Stock and Changes in Capital Accounts (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Capital Stock and Changes in Capital Accounts [Abstract] | |
Summary of Shares Repurchased | The following table summarizes the shares repurchased of Class A and B Common Stock during the years ended April 30 (shares in thousands): 2021 2020 2019 Shares repurchased – Class A 308 1,080 1,191 Shares repurchased – Class B 2 2 — Average price – Class A and Class B $ 50.93 $ 43.05 $ 50.35 |
Cash Dividends Paid | The following table summarizes the cash dividends paid during the year ended April 30, 2021: 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 25, 2020 $0.3425 per common share $19.2 million Class A and Class B July 22, 2020 July 7, 2020 September 23, 2020 $0.3425 per common share $19.2 million Class A and Class B October 21, 2020 October 6, 2020 December 16, 2020 $0.3425 per common share $19.2 million Class A and Class B January 13, 2021 December 30, 2020 March 24, 2021 $0.3425 per common share $19.1 million Class A and Class B April 21, 2021 April 6, 2021 |
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: 2021 2020 2019 Number of shares, beginning of year 70,166 70,127 70,111 Common stock class conversions 42 39 16 Number of shares issued, end of year 70,208 70,166 70,127 Changes in Common Stock A in treasury: Number of shares held, beginning of year 23,405 22,634 21,853 Purchase of treasury shares 308 1,080 1,192 Restricted shares issued under stock-based compensation plans - non-PSU Awards (268 ) (232 ) (205 ) Restricted shares issued under stock-based compensation plans - PSU Awards (88 ) (68 ) (110 ) Shares issued under the Director Plan to Directors (6 ) (97 ) (5 ) Restricted shares, forfeited — 1 9 Restricted shares issued from exercise of stock options (60 ) (34 ) (229 ) Shares withheld for taxes 129 122 130 Other (1 ) (1 ) (1 ) Number of shares held, end of year 23,419 23,405 22,634 Number of Common Stock A outstanding, end of year 46,789 46,761 47,493 Changes in Common Stock B: 2021 2020 2019 Number of shares, beginning of year 13,016 13,055 13,071 Common stock class conversions (42 ) (39 ) (16 ) Number of shares issued, end of year 12,974 13,016 13,055 Changes in Common Stock B in treasury: Number of shares held, beginning of year 3,920 3,918 3,918 Shares repurchased 2 2 — Number of shares held, end of year 3,922 3,920 3,918 Number of Common Stock B outstanding, end of year 9,052 9,096 9,137 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Segment Information [Abstract] | |
Segment Information | Segment information is as follows: For the Years Ended April 30, 2021 2020 2019 Revenue: Research Publishing & Platforms $ 1,015,349 $ 948,839 $ 939,217 Academic & Professional Learning 644,537 650,789 703,303 Education Services 281,615 231,855 157,549 Total revenue $ 1,941,501 $ 1,831,483 $ 1,800,069 Adjusted Contribution to Profit: Research Publishing & Platforms $ 273,023 $ 265,353 $ 260,885 Academic & Professional Learning 91,676 84,646 147,404 Education Services 21,175 (3,844 ) (12,883 ) Total adjusted contribution to profit $ 385,874 $ 346,155 $ 395,406 Adjusted corporate contribution to profit (167,053 ) (165,487 ) (168,299 ) Total adjusted contribution to profit $ 218,821 $ 180,668 $ 227,107 Depreciation and Amortization: Research Publishing & Platforms $ 83,866 $ 69,495 $ 60,889 Academic & Professional Learning 71,997 69,807 68,126 Education Services 29,654 24,131 18,117 Total depreciation and amortization $ 185,517 $ 163,433 $ 147,132 Corporate depreciation and amortization 14,672 11,694 14,023 Total depreciation and amortization $ 200,189 $ 175,127 $ 161,155 |
Reconciliation of Consolidated US GAAP Operating Income (Loss) to Non-GAAP Adjusted Contribution to Profit | The following table shows a reconciliation of our consolidated US GAAP Operating Income (Loss) to Non-GAAP Adjusted Contribution to Profit: For the Years Ended April 30, 2021 2020 2019 US GAAP Operating Income (Loss) $ 185,511 $ (54,287 ) $ 223,989 Adjustments: Restructuring and related charges (1) 33,310 32,607 3,118 Impairment of goodwill (1) — 110,000 — Impairment of Blackwell trade name (1) — 89,507 — Impairment of developed technology intangible (1) — 2,841 — Non-GAAP Adjusted Contribution to Profit $ 218,821 $ 180,668 $ 227,107 (1) See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. |
Total Assets and Expenditure for Long-Lived Assets by Segment | The following tables shows assets allocated by reportable segment and by the corporate category as of April 30 as follows: 2021 2020 2019 Research Publishing & Platforms $ 1,692,366 $ 1,225,313 $ 1,172,145 Academic & Professional Learning 946,760 924,924 959,601 Education Services 472,814 486,316 440,516 Corporate 334,499 532,241 376,504 Total $ 3,446,439 $ 3,168,794 $ 2,948,766 The following table shows product development spending and additions to technology, property and equipment : For the Years Ended April 30, 2021 2020 2019 Research Publishing & Platforms $ (24,284 ) $ (16,329 ) $ (12,928 ) Academic & Professional Learning (41,897 ) (38,229 ) (32,337 ) Education Services (3,449 ) (613 ) (3,160 ) Corporate (33,731 ) (60,030 ) (53,168 ) Total $ (103,361 ) $ (115,201 ) $ (101,593 ) |
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 2021 2020 2019 2021 2020 2019 United States $ 990,499 $ 944,075 $ 932,927 $ 241,217 $ 261,296 $ 252,459 United Kingdom 145,806 174,567 150,242 19,436 18,076 18,331 China 92,305 58,870 55,024 567 492 688 Japan 91,957 75,104 77,145 234 112 87 Germany 78,035 113,664 97,505 8,459 8,059 8,423 Canada 67,635 56,370 50,882 1,067 1,734 2,659 Australia 57,569 73,718 77,453 890 1,051 1,440 France 45,681 45,033 51,441 4,329 1,358 403 Scandinavia 39,836 29,682 30,971 112 223 229 Other Countries 332,178 260,400 276,479 5,959 5,604 4,302 Total $ 1,941,501 $ 1,831,483 $ 1,800,069 $ 282,270 $ 298,005 $ 289,021 |
Supplementary Quarterly Finan_2
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) (Tables) | 12 Months Ended |
Apr. 30, 2021 | |
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) [Abstract] | |
Quarterly Financial Information | Amounts in millions, except per share data 2021 2020 Revenue, net First quarter $ 431.3 $ 423.5 Second quarter 491.0 466.2 Third quarter 482.9 467.1 Fourth quarter 536.3 474.7 Year ended April 30, $ 1,941.5 $ 1,831.5 Gross profit First quarter $ 286.5 $ 280.4 Second quarter 336.2 322.8 Third quarter 325.3 313.2 Fourth quarter 368.2 324.1 Year ended April 30, $ 1,316.2 $ 1,240.5 Operating income (loss) First quarter $ 30.0 $ 4.5 Second quarter 69.9 63.4 Third quarter 34.4 48.5 Fourth quarter 51.2 (170.7 ) Year ended April 30, $ 185.5 $ (54.3 ) Net income (loss) First quarter $ 16.3 $ 3.6 Second quarter 68.4 44.7 Third quarter 22.2 35.4 Fourth quarter 41.4 (158.0 ) Year ended April 30, $ 148.3 $ (74.3 ) 2021 2020 Basic Diluted Basic Diluted Earnings (loss) per share (1) First quarter $ 0.29 $ 0.29 $ 0.06 $ 0.06 Second quarter 1.22 1.22 0.79 0.79 Third quarter 0.40 0.39 0.63 0.63 Fourth quarter (2) 0.74 0.73 (2.83 ) (2.83 ) Year ended April 30, (2) $ 2.65 $ 2.63 $ (1.32 ) $ (1.32 ) (1) The sum of the quarterly earnings (loss) per share amounts may not agree to the respective annual amounts due to rounding. (2) In calculating diluted earnings (loss) per common share for the fourth quarter and year ended April 30, 2020, our diluted weighted average number of common shares outstanding excludes the effect of unvested restricted stock units and other stock awards as the effect was anti-dilutive. This occurs when a US GAAP net loss is reported and the effect of using dilutive shares is antidilutive. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies, Recently Issued and Recently Adopted Accounting Standards, Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | ||
Basis of Presentation [Abstract] | ||||
Intercompany receivables | $ 188,800 | |||
Book Overdrafts [Abstract] | ||||
Book overdrafts | 25,800 | $ 7,400 | ||
Sales Return Reserves [Abstract] | ||||
Increase in Inventories, net | 10,886 | 8,686 | ||
Decrease in Accrued royalties | (4,949) | (4,441) | ||
Increase in Contract liabilities | 38,034 | 32,769 | ||
Print book sales return reserve net liability balance | (22,199) | (19,642) | ||
Inventories [Abstract] | ||||
LIFO inventories | 20,400 | 24,300 | ||
Shipping and Handling Costs [Abstract] | ||||
Operating and administrative expenses | 1,022,660 | 997,355 | $ 963,582 | |
Advertising and Marketing Costs [Abstract] | ||||
Advertising and Marketing Costs | 93,600 | 103,100 | 89,500 | |
Cost of Sales [Member] | ||||
Advertising and Marketing Costs [Abstract] | ||||
Advertising and Marketing Costs | [1] | 57,000 | 65,800 | 53,700 |
Operating and Administrative Expenses [Member] | ||||
Advertising and Marketing Costs [Abstract] | ||||
Advertising and Marketing Costs | $ 36,600 | 37,300 | 35,800 | |
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] | ||||
Product Development Assets [Abstract] | ||||
Estimated useful life | 1 year | |||
Book Composition Costs [Member] | Maximum [Member] | ||||
Product Development Assets [Abstract] | ||||
Estimated useful life | 3 years | |||
Other Product Development Costs [Member] | Weighted Average [Member] | ||||
Product Development Assets [Abstract] | ||||
Estimated useful life | 6 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 | |||
Shipping and Handling [Member] | ||||
Shipping and Handling Costs [Abstract] | ||||
Operating and administrative expenses | $ 27,800 | $ 28,800 | $ 32,700 | |
Content and Publishing Rights [Member] | Weighted Average [Member] | ||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||
Estimated useful life | 28 years | |||
Trademarks [Member] | Weighted Average [Member] | ||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||
Estimated useful life | 13 years | |||
Customer Relationships [Member] | Weighted Average [Member] | ||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||
Estimated useful life | 17 years | |||
Brands [Member] | Weighted Average [Member] | ||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||
Estimated useful life | 13 years | |||
Developed Technology [Member] | ||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||
Estimated useful life | 7 years | |||
Non-compete Agreements [Member] | Weighted Average [Member] | ||||
Finite Lived Intangible Asset Useful Life [Abstract] | ||||
Estimated useful life | 5 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 | |||
[1] | This includes certain advertising and marketing costs incurred by our Education Services business to fulfill performance obligations from contracts with educational institutions. |
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 | 12 Months Ended | |
Apr. 30, 2021 | Apr. 30, 2020 | |
ROU Assets and Lease Liabilities [Abstract] | ||
Operating lease, liability | $ 168,272 | |
Operating lease, right-of-use assets | 121,430 | $ 142,716 |
ASU 2016-02 [Member] | Minimum [Member] | ||
ROU Assets and Lease Liabilities [Abstract] | ||
Operating lease, liability | 178,000 | |
Operating lease, right-of-use assets | 142,000 | |
ASU 2016-13 [Member] | ||
Change in Provision for Credit Losses [Roll Forward] | ||
Balance, beginning of period | 18,335 | |
Current period provision | 6,957 | |
Amounts written off, less recoveries | (4,463) | |
Foreign exchange translation adjustments and other | (1,131) | |
Balance, end of period | 21,474 | |
ASU 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||
Change in Provision for Credit Losses [Roll Forward] | ||
Balance, beginning of period | $ 1,776 |
Revenue Recognition, Contract_4
Revenue Recognition, Contracts with Customers, Disaggregation of Revenue (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Apr. 30, 2021USD ($) | Jan. 31, 2021USD ($) | Oct. 31, 2020USD ($) | Jul. 31, 2020USD ($) | Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Jul. 31, 2019USD ($) | Apr. 30, 2021USD ($)Partner | Apr. 30, 2020USD ($) | Apr. 30, 2019USD ($) | ||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | $ 536,300 | $ 482,900 | $ 491,000 | $ 431,300 | $ 474,700 | $ 467,100 | $ 466,200 | $ 423,500 | $ 1,941,501 | $ 1,831,483 | $ 1,800,069 | |
Research Publishing & Platforms [Member] | Research Publishing [Member] | Journal Subscriptions, Open Access and Comprehensive Agreements [Member] | Product Concentration Risk [Member] | Revenue from Contract with Customers [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue percentage | 77.00% | |||||||||||
Academic & Professional Learning [Member] | Education Publishing [Member] | Print and Digital [Member] | Transferred at Point in Time [Member] | Product Concentration Risk [Member] | Revenue from Contract with Customers [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue percentage | 63.00% | |||||||||||
Academic & Professional Learning [Member] | Education Publishing [Member] | Digital Courseware [Member] | Transferred over Time [Member] | Product Concentration Risk [Member] | Revenue from Contract with Customers [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue percentage | 24.00% | |||||||||||
Academic & Professional Learning [Member] | Professional Learning [Member] | Professional Publishing, and Licensing and Other, [Member] | Transferred at Point in Time [Member] | Product Concentration Risk [Member] | Revenue from Contract with Customers [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue percentage | 48.00% | |||||||||||
Academic & Professional Learning [Member] | Professional Learning [Member] | Corporate Training and Corporate Learning [Member] | Transferred over Time [Member] | Product Concentration Risk [Member] | Revenue from Contract with Customers [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue percentage | 52.00% | |||||||||||
Education Services [Member] | Education Services OPM [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
University partners under contract | Partner | 66 | |||||||||||
Education Services [Member] | IT Bootcamp Business [Member] | The Learning House, Inc. [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | $ 1,600 | 3,500 | 1,700 | |||||||||
Operating Segments [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 1,941,501 | 1,831,483 | 1,800,069 | |||||||||
Operating Segments [Member] | Research Publishing & Platforms [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 1,015,349 | 948,839 | 939,217 | |||||||||
Operating Segments [Member] | Research Publishing & Platforms [Member] | Research Publishing [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 972,512 | 908,952 | 903,249 | |||||||||
Operating Segments [Member] | Research Publishing & Platforms [Member] | Research Platforms [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 42,837 | 39,887 | 35,968 | |||||||||
Operating Segments [Member] | Academic & Professional Learning [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 644,537 | 650,789 | 703,303 | |||||||||
Operating Segments [Member] | Academic & Professional Learning [Member] | Education Publishing [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 363,870 | 352,188 | 372,018 | |||||||||
Operating Segments [Member] | Academic & Professional Learning [Member] | Professional Learning [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 280,667 | 298,601 | 331,285 | |||||||||
Operating Segments [Member] | Education Services [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | 281,615 | 231,855 | 157,549 | |||||||||
Operating Segments [Member] | Education Services [Member] | Education Services OPM [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | [1] | 227,700 | 210,882 | 155,819 | ||||||||
Operating Segments [Member] | Education Services [Member] | mthree [Member] | ||||||||||||
Revenue from contracts with customers disaggregated by segment and product type [Abstract] | ||||||||||||
Revenue | [1] | $ 53,915 | $ 20,973 | $ 1,730 | ||||||||
[1] | In May 2020, we moved the IT bootcamp business acquired as part of The Learning House acquisition from Education Services Online Program Management (OPM) to mthree. As a result, the prior period revenue related to the IT bootcamp business has been included in mthree. The revenue for the IT bootcamp business was $1.6 million, $3.5 million and $1.7 million for the years ended April 30, 2021, 2020 and 2019, respectively. There were no changes to our total Education Services or our consolidated financial results. |
Revenue Recognition, Contract_5
Revenue Recognition, Contracts with Customers, Description of Revenue Generating Activities (Details) | 12 Months Ended |
Apr. 30, 2021PerformanceobligationInstitution | |
Research Publishing & Platforms [Member] | Research Publishing [Member] | Journals Subscriptions [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Number of performance obligations | Performanceobligation | 2 |
Duration of contract | 1 year |
Research Publishing & Platforms [Member] | Research Publishing [Member] | Open Access [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Number of academic institutions | Institution | 700 |
Duration of contract | 3 years |
Research Publishing & Platforms [Member] | Research Platforms [Member] | Minimum [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 2 years |
Research Publishing & Platforms [Member] | Research Platforms [Member] | Maximum [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 5 years |
Academic & Professional Learning [Member] | Education Publishing [Member] | Test Preparation and Certification [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 3 years |
Academic & Professional Learning [Member] | Professional Learning [Member] | Corporate Training [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 1 year |
Education Services [Member] | Education Services OPM [Member] | Minimum [Member] | |
Description of Revenue Generating Activities [Abstract] | |
Duration of contract | 7 years |
Education Services [Member] | Education Services OPM [Member] | Maximum [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 Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | ||
Balances from contracts with customers [Abstract] | |||
Accounts receivable, net | $ 311,571 | $ 309,384 | |
Contract liabilities | [1] | 545,425 | 520,214 |
Contract liabilities (included in Other long-term liabilities) | 19,560 | 14,949 | |
Increase/(decrease) [Abstract] | |||
Accounts receivable, net | 2,187 | ||
Contract liabilities | [1] | 25,211 | |
Contract liabilities (included in Other long-term liabilities) | 4,611 | ||
Sales return reserve recorded in contract liability | $ 38,000 | $ 32,800 | |
[1] | The sales return reserve recorded in Contract liabilities is $38.0 million and $32.8 million as of April 30, 2021 and April 30, 2020, respectively. See Note 2, “Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards” for further details of the sales return reserve. |
Revenue Recognition, Contract_7
Revenue Recognition, Contracts with Customers, Remaining Performance Obligations included in Contract Liability (Details) $ in Millions | Apr. 30, 2021USD ($) |
Remaining Performance Obligations [Abstract] | |
Remaining performance obligations | $ 565 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-05-01 | |
Remaining Performance Obligations [Abstract] | |
Remaining performance obligations excluding sales return reserve | $ 507.4 |
Expected timing of satisfaction, period | 12 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-05-01 | |
Remaining Performance Obligations [Abstract] | |
Remaining performance obligations excluding sales return reserve | $ 19.6 |
Expected timing of satisfaction, period |
Revenue Recognition, Contract_8
Revenue Recognition, Contracts with Customers, Assets Recognized for the Costs to Fulfill a Contract (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Assets Recognized for the Costs to Obtain or Fulfill a Contract [Abstract] | |||
Costs capitalized | $ 12,100 | $ 11,500 | |
Amortization | 5,100 | 4,200 | $ 2,600 |
Cost of revenue [Abstract] | |||
Operating and administrative expenses | 1,022,660 | 997,355 | 963,582 |
Shipping and Handling [Member] | |||
Cost of revenue [Abstract] | |||
Operating and administrative expenses | $ 27,800 | $ 28,800 | $ 32,700 |
Acquisitions (Details)
Acquisitions (Details) € in Millions | Apr. 30, 2021USD ($) | Jan. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Apr. 30, 2020USD ($) | Jan. 01, 2020USD ($) | Jan. 01, 2020EUR (€) | Jul. 01, 2019USD ($) | Apr. 30, 2021USD ($) | Jan. 31, 2021USD ($) | Oct. 31, 2020USD ($) | Jul. 31, 2020USD ($) | Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Jul. 31, 2019USD ($) | Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | Apr. 30, 2019USD ($) | |||
Acquisitions [Abstract] | |||||||||||||||||||||
Fair value of cash consideration transferred, including those amounts paid after acquisition, net of cash acquired | $ 299,942,000 | $ 229,629,000 | $ 190,415,000 | ||||||||||||||||||
Revenue | $ 536,300,000 | $ 482,900,000 | $ 491,000,000 | $ 431,300,000 | $ 474,700,000 | $ 467,100,000 | $ 466,200,000 | $ 423,500,000 | 1,941,501,000 | 1,831,483,000 | 1,800,069,000 | ||||||||||
Operating income (loss) | 51,200,000 | 34,400,000 | $ 69,900,000 | $ 30,000,000 | (170,700,000) | $ 48,500,000 | $ 63,400,000 | $ 4,500,000 | 185,511,000 | (54,287,000) | $ 223,989,000 | ||||||||||
Assets [Abstract] | |||||||||||||||||||||
Goodwill | $ 1,304,340,000 | $ 1,116,790,000 | 1,304,340,000 | 1,116,790,000 | 1,304,340,000 | 1,116,790,000 | |||||||||||||||
Operating lease right-of-use assets | 121,430,000 | 142,716,000 | 121,430,000 | 142,716,000 | 121,430,000 | 142,716,000 | |||||||||||||||
Liabilities [Abstract] | |||||||||||||||||||||
Operating lease liabilities | 168,272,000 | 168,272,000 | 168,272,000 | ||||||||||||||||||
Research Publishing & Platforms [Member] | |||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Goodwill | 619,203,000 | 448,130,000 | 619,203,000 | 448,130,000 | 619,203,000 | 448,130,000 | |||||||||||||||
Academic and Professional Learning [Member] | |||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Goodwill | 512,512,000 | 501,091,000 | 512,512,000 | 501,091,000 | 512,512,000 | 501,091,000 | |||||||||||||||
Education Services [Member] | |||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Goodwill | 172,625,000 | 167,569,000 | [1] | 172,625,000 | 167,569,000 | [1] | 172,625,000 | 167,569,000 | [1] | ||||||||||||
Hindawi [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Percentage of ownership interest acquired | 100.00% | ||||||||||||||||||||
Fair value of consideration transferred | 300,086,000 | $ 300,086,000 | |||||||||||||||||||
Total cash consideration transferred | $ 299,300,000 | ||||||||||||||||||||
Settlement of preexisting relationship | 800,000 | ||||||||||||||||||||
Cash acquired | 1,000,000 | ||||||||||||||||||||
Fair value of cash consideration transferred, including those amounts paid after acquisition, net of cash acquired | 298,300,000 | ||||||||||||||||||||
Acquisition costs | 2,400,000 | 2,400,000 | 2,400,000 | ||||||||||||||||||
Goodwill deductible for tax purposes | 0 | 0 | 0 | ||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Current assets | 2,812,000 | 2,902,000 | 2,812,000 | 2,902,000 | 2,812,000 | ||||||||||||||||
Technology, property and equipment, net | 844,000 | 844,000 | 844,000 | 844,000 | 844,000 | ||||||||||||||||
Intangible assets, net | 194,900,000 | 194,400,000 | 194,900,000 | 194,400,000 | 194,900,000 | ||||||||||||||||
Goodwill | 147,388,000 | 141,775,000 | 147,388,000 | 141,775,000 | 147,388,000 | ||||||||||||||||
Operating lease right-of-use assets | 3,762,000 | 3,716,000 | 3,762,000 | 3,716,000 | 3,762,000 | ||||||||||||||||
Other non-current assets | 69,000 | 177,000 | 69,000 | 177,000 | 69,000 | ||||||||||||||||
Total assets | 349,775,000 | 343,814,000 | 349,775,000 | 343,814,000 | 349,775,000 | ||||||||||||||||
Liabilities [Abstract] | |||||||||||||||||||||
Current liabilities | 3,594,000 | 3,657,000 | 3,594,000 | 3,657,000 | 3,594,000 | ||||||||||||||||
Deferred income tax liabilities | 37,031,000 | 36,936,000 | 37,031,000 | 36,936,000 | 37,031,000 | ||||||||||||||||
Operating lease liabilities | 3,150,000 | 3,135,000 | 3,150,000 | 3,135,000 | 3,150,000 | ||||||||||||||||
Other long-term liabilities | 5,914,000 | 0 | 5,914,000 | 0 | 5,914,000 | ||||||||||||||||
Total liabilities | 49,689,000 | 43,728,000 | 49,689,000 | 43,728,000 | 49,689,000 | ||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | 194,900,000 | ||||||||||||||||||||
Hindawi [Member] | Measurement Period Adjustments [Member] | |||||||||||||||||||||
Measurement Period Adjustments [Abstract] | |||||||||||||||||||||
Total preliminary consideration transferred | 0 | ||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Current assets | (90,000) | ||||||||||||||||||||
Technology, property and equipment, net | 0 | ||||||||||||||||||||
Intangible assets, net | 500,000 | ||||||||||||||||||||
Goodwill | 5,613,000 | ||||||||||||||||||||
Operating lease right-of-use assets | 46,000 | ||||||||||||||||||||
Other non-current assets | (108,000) | ||||||||||||||||||||
Total assets | 5,961,000 | ||||||||||||||||||||
Liabilities [Abstract] | |||||||||||||||||||||
Current liabilities | (63,000) | ||||||||||||||||||||
Deferred income tax liabilities | 95,000 | ||||||||||||||||||||
Operating lease liabilities | 15,000 | ||||||||||||||||||||
Other long-term liabilities | 5,914,000 | ||||||||||||||||||||
Total liabilities | 5,961,000 | ||||||||||||||||||||
Hindawi [Member] | Research Publishing & Platforms [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Revenue | 12,000,000 | ||||||||||||||||||||
Operating income (loss) | (2,100,000) | ||||||||||||||||||||
Hindawi [Member] | Content and Publishing Rights [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 188,500,000 | ||||||||||||||||||||
Weighted-average useful life | 15 years | ||||||||||||||||||||
Hindawi [Member] | Developed Technology [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 5,000,000 | ||||||||||||||||||||
Weighted-average useful life | 6 years | ||||||||||||||||||||
Hindawi [Member] | Customer Relationships [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 400,000 | ||||||||||||||||||||
Weighted-average useful life | 10 years | ||||||||||||||||||||
Hindawi [Member] | Trademarks [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 1,000,000 | ||||||||||||||||||||
Weighted-average useful life | 2 years | ||||||||||||||||||||
mthree [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Percentage of ownership interest acquired | 100.00% | ||||||||||||||||||||
Fair value of consideration transferred | 123,531,000 | 122,242,000 | $ 129,900,000 | € 98.5 | |||||||||||||||||
Total cash consideration transferred | 122,200,000 | ||||||||||||||||||||
Fair value of additional consideration to be paid after the acquisition date | 6,400,000 | 1,200,000 | |||||||||||||||||||
Cash acquired | 2,200,000 | ||||||||||||||||||||
Fair value of cash consideration transferred, including those amounts paid after acquisition, net of cash acquired | $ 1,300,000 | 126,400,000 | |||||||||||||||||||
Period over which cash payment will be made upon reaching certain revenue and Adjusted EBITDA targets | 4 years | 4 years | |||||||||||||||||||
Goodwill deductible for tax purposes | $ 0 | ||||||||||||||||||||
Acquisition related costs | 1,300,000 | ||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Current assets | 9,223,000 | 8,750,000 | 9,223,000 | 8,750,000 | 8,750,000 | ||||||||||||||||
Technology, property and equipment, net | 484,000 | 484,000 | 484,000 | 484,000 | 484,000 | ||||||||||||||||
Intangible assets, net | 56,836,000 | 56,836,000 | 56,836,000 | 56,836,000 | 56,836,000 | ||||||||||||||||
Goodwill | 82,561,000 | 82,561,000 | 82,561,000 | 82,561,000 | 82,561,000 | ||||||||||||||||
Operating lease right-of-use assets | 3,710,000 | 3,710,000 | 3,710,000 | 3,710,000 | 3,710,000 | ||||||||||||||||
Total assets | 152,814,000 | 152,341,000 | 152,814,000 | 152,341,000 | 152,341,000 | ||||||||||||||||
Liabilities [Abstract] | |||||||||||||||||||||
Current liabilities | 13,564,000 | 14,380,000 | 13,564,000 | 14,380,000 | 14,380,000 | ||||||||||||||||
Deferred income tax liabilities | 12,722,000 | 12,722,000 | 12,722,000 | 12,722,000 | 12,722,000 | ||||||||||||||||
Operating lease liabilities | 2,692,000 | 2,692,000 | 2,692,000 | 2,692,000 | 2,692,000 | ||||||||||||||||
Other long-term liabilities | 305,000 | 305,000 | 305,000 | 305,000 | 305,000 | ||||||||||||||||
Total liabilities | 29,283,000 | $ 30,099,000 | 29,283,000 | $ 30,099,000 | 30,099,000 | ||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | 56,836,000 | ||||||||||||||||||||
mthree [Member] | Measurement Period Adjustments [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Fair value of consideration transferred | 1,289,000 | ||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Current assets | 473,000 | 473,000 | |||||||||||||||||||
Technology, property and equipment, net | 0 | 0 | |||||||||||||||||||
Intangible assets, net | 0 | 0 | |||||||||||||||||||
Goodwill | 0 | 0 | |||||||||||||||||||
Operating lease right-of-use assets | 0 | 0 | |||||||||||||||||||
Total assets | 473,000 | 473,000 | |||||||||||||||||||
Liabilities [Abstract] | |||||||||||||||||||||
Current liabilities | (816,000) | (816,000) | |||||||||||||||||||
Deferred income tax liabilities | 0 | 0 | |||||||||||||||||||
Operating lease liabilities | 0 | 0 | |||||||||||||||||||
Other long-term liabilities | 0 | 0 | |||||||||||||||||||
Total liabilities | (816,000) | (816,000) | |||||||||||||||||||
mthree [Member] | Education Services [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Revenue | 32,600 | ||||||||||||||||||||
mthree [Member] | Customer Relationships [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 48,792,000 | ||||||||||||||||||||
Weighted-average useful life | 12 years | 12 years | |||||||||||||||||||
mthree [Member] | Content [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 1,319,000 | ||||||||||||||||||||
Weighted-average useful life | 4 years | 4 years | |||||||||||||||||||
mthree [Member] | Trademarks [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 6,725,000 | ||||||||||||||||||||
Weighted-average useful life | 10 years | 10 years | |||||||||||||||||||
zyBooks [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Total cash consideration transferred | $ 55,939,000 | ||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Current assets | 2,280,000 | ||||||||||||||||||||
Technology, property and equipment, net | 28,000 | ||||||||||||||||||||
Intangible assets, net | 24,500,000 | ||||||||||||||||||||
Goodwill | 36,903,000 | ||||||||||||||||||||
Total assets | 63,711,000 | ||||||||||||||||||||
Liabilities [Abstract] | |||||||||||||||||||||
Current liabilities | 2,581,000 | ||||||||||||||||||||
Deferred income tax liabilities | 5,191,000 | ||||||||||||||||||||
Total liabilities | 7,772,000 | ||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | 24,500,000 | ||||||||||||||||||||
zyBooks [Member] | Academic and Professional Learning [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Fair value of consideration transferred | 57,100,000 | ||||||||||||||||||||
Fair value of additional consideration to be paid after the acquisition date | 1,200,000 | ||||||||||||||||||||
Cash acquired | 1,800,000 | ||||||||||||||||||||
Fair value of cash consideration transferred, including those amounts paid after acquisition, net of cash acquired | 54,700,000 | 300,000 | |||||||||||||||||||
Revenue | 1,300,000 | ||||||||||||||||||||
Goodwill deductible for tax purposes | 0 | ||||||||||||||||||||
zyBooks [Member] | Developed Technology [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 10,400,000 | ||||||||||||||||||||
Weighted-average useful life | 7 years | ||||||||||||||||||||
zyBooks [Member] | Customer Relationships [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 6,800,000 | ||||||||||||||||||||
Weighted-average useful life | 10 years | ||||||||||||||||||||
zyBooks [Member] | Content [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 4,400,000 | ||||||||||||||||||||
Weighted-average useful life | 10 years | ||||||||||||||||||||
zyBooks [Member] | Trademarks [Member] | |||||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Identifiable intangible assets acquired | $ 2,900,000 | ||||||||||||||||||||
Weighted-average useful life | 10 years | ||||||||||||||||||||
Other Acquisitions [Member] | |||||||||||||||||||||
Acquisitions [Abstract] | |||||||||||||||||||||
Fair value of consideration transferred | $ 48,500,000 | ||||||||||||||||||||
Fair value of cash consideration transferred, including those amounts paid after acquisition, net of cash acquired | 100,000 | ||||||||||||||||||||
Revenue | 13,500,000 | ||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Intangible assets, net | 39,400,000 | $ 11,700,000 | 39,400,000 | $ 11,700,000 | 39,400,000 | ||||||||||||||||
Goodwill | 17,300,000 | 17,300,000 | $ 17,300,000 | ||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Weighted-average useful life | 10 years | ||||||||||||||||||||
Other Acquisitions [Member] | Research Publishing & Platforms [Member] | |||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Goodwill | 8,800,000 | 8,800,000 | $ 8,800,000 | ||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Weighted-average useful life | 8 years | ||||||||||||||||||||
Other Acquisitions [Member] | Academic and Professional Learning [Member] | |||||||||||||||||||||
Assets [Abstract] | |||||||||||||||||||||
Goodwill | $ 8,500,000 | $ 8,500,000 | $ 8,500,000 | ||||||||||||||||||
Identifiable intangible assets acquired and weighted-average useful life [Abstract] | |||||||||||||||||||||
Weighted-average useful life | 7 years | ||||||||||||||||||||
[1] | The Education Services goodwill balance as of April 30, 2020 includes a cumulative pretax noncash goodwill impairment of $110.0 million. |
Reconciliation of Weighted Av_3
Reconciliation of Weighted Average Shares Outstanding (Details) - shares shares in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Reconciliation of Weighted Average Shares Outstanding [Abstract] | |||
Weighted average shares outstanding (in shares) | 55,931 | 56,224 | 57,240 |
Less: Unvested restricted shares (in shares) | (1) | (15) | (48) |
Shares used for basic earnings (loss) per share (in shares) | 55,930 | 56,209 | 57,192 |
Dilutive effect of unvested restricted stock units and other stock awards (in shares) | 531 | 0 | 648 |
Shares used for diluted earnings (loss) per share (in shares) | 56,461 | 56,209 | 57,840 |
Options [Member] | |||
Reconciliation of Weighted Average Shares Outstanding and Share Repurchases [Abstract] | |||
Antidilutive options to purchase Class A common shares, restricted shares, warrants to purchase Class A common shares and contingently issuable restricted stock which are excluded from the table above (in shares) | 982 | 1,677 | 958 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | $ 933,624 | $ 1,181,347 | $ 1,190,557 |
Other comprehensive income (loss) before reclassifications | 75,850 | (71,549) | (68,835) |
Amounts reclassified from Accumulated other comprehensive loss | 8,857 | 4,790 | (323) |
Total other comprehensive income (loss) | 84,707 | (66,759) | (69,158) |
Balance | 1,091,291 | 933,624 | 1,181,347 |
Accumulated Other Comprehensive Loss [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (575,497) | (508,738) | (439,580) |
Balance | (490,790) | (575,497) | (508,738) |
Foreign Currency Translation [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (340,703) | (312,107) | (251,573) |
Other comprehensive income (loss) before reclassifications | 82,762 | (28,596) | (60,534) |
Amounts reclassified from Accumulated other comprehensive loss | 0 | 0 | 0 |
Total other comprehensive income (loss) | 82,762 | (28,596) | (60,534) |
Balance | (257,941) | (340,703) | (312,107) |
Unamortized Retirement Costs [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (227,920) | (196,057) | (191,026) |
Other comprehensive income (loss) before reclassifications | (6,273) | (36,965) | (9,422) |
Amounts reclassified from Accumulated other comprehensive loss | 6,047 | 5,102 | 4,391 |
Total other comprehensive income (loss) | (226) | (31,863) | (5,031) |
Balance | (228,146) | (227,920) | (196,057) |
Interest Rate Swaps [Member] | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance | (6,874) | (574) | 3,019 |
Other comprehensive income (loss) before reclassifications | (639) | (5,988) | 1,121 |
Amounts reclassified from Accumulated other comprehensive loss | 2,810 | (312) | (4,714) |
Total other comprehensive income (loss) | 2,171 | (6,300) | (3,593) |
Balance | $ (4,703) | $ (6,874) | $ (574) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss, Reclassification out of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Reclassification out of Accumulated Other Comprehensive Loss [Member] | |||
Amortization from Accumulated Other Comprehensive Loss [Abstract] | |||
Pension expense | $ 7.8 | $ 6.4 | $ 5.5 |
Restructuring and Related Cha_3
Restructuring and Related Charges, Pretax Restructuring Charges (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Nov. 30, 2020 | Jan. 31, 2021 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | ||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | [1] | $ 33,310 | $ 32,607 | $ 3,118 | ||
Charges | $ 18,300 | |||||
Business Optimization Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 33,449 | 32,813 | ||||
Restructuring and related charges incurred to date | 66,262 | |||||
Percentage reduction in real estate square footage occupancy | 12.00% | |||||
Charges | $ 18,300 | |||||
Fair value of operating lease ROU assets and property and equipment immediately subsequent to impairment | 7,500 | |||||
Business Optimization Program [Member] | Severance and Termination Benefits [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 11,531 | 26,864 | ||||
Restructuring and related charges incurred to date | 38,395 | |||||
Business Optimization Program [Member] | Impairment of Operating Lease ROU Assets and Property and Equipment [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 14,918 | 161 | ||||
Restructuring and related charges incurred to date | 15,079 | |||||
Business Optimization Program [Member] | Impairment of Operating Lease ROU Assets Related to Certain Leases [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 10,600 | |||||
Business Optimization Program [Member] | Impairment of Operating Lease ROU Assets Related to Property and Equipment [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 4,300 | |||||
Business Optimization Program [Member] | Acceleration of Expense Related to Operating Lease ROU Assets and Property and Equipment [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 3,378 | 0 | ||||
Restructuring and related charges incurred to date | 3,378 | |||||
Business Optimization Program [Member] | Acceleration of Expense of Operating Lease ROU Assets Related to Certain Leases [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 2,900 | |||||
Business Optimization Program [Member] | Acceleration of Expense of Operating Lease ROU Assets Related to Property and Equipment [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 500 | |||||
Business Optimization Program [Member] | Facility Related Charges [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 3,684 | 3,986 | ||||
Restructuring and related charges incurred to date | 7,670 | |||||
Business Optimization Program [Member] | Other Activities [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | (62) | 1,802 | ||||
Restructuring and related charges incurred to date | 1,740 | |||||
Restructuring and Reinvestment Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | (139) | (206) | 3,118 | |||
Restructuring and related charges incurred to date | 169,283 | |||||
Restructuring and Reinvestment Program [Member] | Severance and Termination Benefits [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | (139) | (250) | 1,456 | |||
Restructuring and related charges incurred to date | 115,870 | |||||
Restructuring and Reinvestment Program [Member] | Consulting and Contract Termination Costs [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 0 | (171) | 526 | |||
Restructuring and related charges incurred to date | 20,984 | |||||
Restructuring and Reinvestment Program [Member] | Other Activities [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 0 | 215 | 1,136 | |||
Restructuring and related charges incurred to date | 32,429 | |||||
Research Publishing & Platforms [Member] | Business Optimization Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 99 | 3,546 | ||||
Restructuring and related charges incurred to date | 3,645 | |||||
Research Publishing & Platforms [Member] | Restructuring and Reinvestment Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | (135) | 340 | 1,131 | |||
Restructuring and related charges incurred to date | 26,749 | |||||
Academic & Professional Learning [Member] | Business Optimization Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 3,229 | 10,475 | ||||
Restructuring and related charges incurred to date | 13,704 | |||||
Academic & Professional Learning [Member] | Restructuring and Reinvestment Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 274 | (5) | 1,139 | |||
Restructuring and related charges incurred to date | 43,108 | |||||
Education Services [Member] | Business Optimization Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 531 | 3,774 | ||||
Restructuring and related charges incurred to date | 4,305 | |||||
Education Services [Member] | Restructuring and Reinvestment Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 0 | (103) | 389 | |||
Restructuring and related charges incurred to date | 3,764 | |||||
Corporate Expenses [Member] | Restructuring and Reinvestment Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | (278) | (438) | $ 459 | |||
Restructuring and related charges incurred to date | 95,662 | |||||
Corporate Expenses [Member] | Business Optimization Program [Member] | ||||||
Summary of pretax restructuring (credits) charges [Abstract] | ||||||
Restructuring and related charges (credit) | 29,590 | $ 15,018 | ||||
Restructuring and related charges incurred to date | $ 44,608 | |||||
[1] | See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. |
Restructuring and Related Cha_4
Restructuring and Related Charges, Activity for Restructuring Liability (Details) $ in Thousands | 12 Months Ended |
Apr. 30, 2021USD ($) | |
Business Optimization Program [Member] | |
Activity for Restructuring Liability [Roll Forward] | |
Restructuring liability, beginning of period | $ 18,062 |
Charges (credits) | 11,267 |
Payments | (18,572) |
Foreign translation & other adjustments | 708 |
Restructuring liability, end of period | 11,465 |
Business Optimization Program [Member] | Severance and Termination Benefits [Member] | |
Activity for Restructuring Liability [Roll Forward] | |
Restructuring liability, beginning of period | 17,632 |
Charges (credits) | 11,531 |
Payments | (18,310) |
Foreign translation & other adjustments | 612 |
Restructuring liability, end of period | 11,465 |
Business Optimization Program [Member] | Other Activities [Member] | |
Activity for Restructuring Liability [Roll Forward] | |
Restructuring liability, beginning of period | 430 |
Charges (credits) | (264) |
Payments | (262) |
Foreign translation & other adjustments | 96 |
Restructuring liability, end of period | 0 |
Restructuring and Reinvestment Program [Member] | |
Activity for Restructuring Liability [Roll Forward] | |
Restructuring liability, beginning of period | 1,590 |
Charges (credits) | (139) |
Payments | (1,095) |
Foreign translation & other adjustments | 308 |
Restructuring liability, end of period | 664 |
Restructuring and Reinvestment Program [Member] | Severance and Termination Benefits [Member] | |
Activity for Restructuring Liability [Roll Forward] | |
Restructuring liability, beginning of period | 1,360 |
Charges (credits) | (139) |
Payments | (888) |
Foreign translation & other adjustments | 69 |
Restructuring liability, end of period | 402 |
Restructuring and Reinvestment Program [Member] | Other Activities [Member] | |
Activity for Restructuring Liability [Roll Forward] | |
Restructuring liability, beginning of period | 230 |
Charges (credits) | 0 |
Payments | (207) |
Foreign translation & other adjustments | 239 |
Restructuring liability, end of period | $ 262 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Apr. 30, 2021 | Apr. 30, 2020 | |
Inventory, Net [Abstract] | ||
Finished goods | $ 31,704 | $ 36,014 |
Work-in-process | 2,060 | 1,398 |
Paper and other materials | 331 | 331 |
Total inventories before estimated sales returns and LIFO reserve | 34,095 | 37,743 |
Inventory value of estimated sales returns | 10,886 | 8,686 |
LIFO reserve | (2,443) | (2,815) |
Inventories, net | 42,538 | 43,614 |
Adjustment for lower of cost or net realizable value | $ 14,000 | $ 16,100 |
Product Development Assets (Det
Product Development Assets (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Apr. 30, 2020 |
Product Development Assets [Abstract] | ||
Product development assets, net | $ 49,517 | $ 53,643 |
Accumulated amortization | 269,000 | 244,100 |
Book Composition Costs [Member] | ||
Product Development Assets [Abstract] | ||
Product development assets, net | 20,474 | 18,744 |
Work in process | 6,300 | 4,900 |
Software Costs [Member] | ||
Product Development Assets [Abstract] | ||
Product development assets, net | 23,262 | 28,995 |
Content Development Costs [Member] | ||
Product Development Assets [Abstract] | ||
Product development assets, net | $ 5,781 | $ 5,904 |
Technology, Property and Equi_3
Technology, Property and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | $ 733,558 | $ 665,116 | |
Accumulated depreciation and amortization | (451,288) | (367,111) | |
Technology, property and equipment, net | 282,270 | 298,005 | $ 289,021 |
Capitalized software amortization expense | 69,184 | 55,685 | 50,095 |
Depreciation and amortization expense, excluding capitalized software | 21,955 | 21,031 | 19,323 |
Total depreciation and amortization expense for technology, property and equipment | 91,139 | 76,716 | $ 69,418 |
Net book value of capitalized software costs | 202,800 | 207,500 | |
Capitalized Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 536,878 | 471,844 | |
Work in process | 600 | 900 | |
Computer Hardware [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 50,714 | 46,640 | |
Buildings and Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 99,636 | 99,230 | |
Furniture, Fixtures and Warehouse Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | 42,674 | 44,104 | |
Land and Land Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Technology, property and equipment, gross | $ 3,656 | $ 3,298 |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |||
Activity in Goodwill by Segment [Roll Forward] | |||||
Balance, beginning of period | $ 1,116,790 | ||||
Acquisitions | [1] | 136,789 | |||
Foreign translation adjustment | 50,761 | ||||
Balance, end of period | 1,304,340 | $ 1,116,790 | |||
Goodwill impairment | [2] | 0 | 110,000 | $ 0 | |
Research Publishing & Platforms [Member] | |||||
Activity in Goodwill by Segment [Roll Forward] | |||||
Balance, beginning of period | 448,130 | ||||
Acquisitions | [1] | 136,789 | |||
Foreign translation adjustment | 34,284 | ||||
Balance, end of period | 619,203 | 448,130 | |||
Academic & Professional Learning [Member] | |||||
Activity in Goodwill by Segment [Roll Forward] | |||||
Balance, beginning of period | 501,091 | ||||
Acquisitions | [1] | 0 | |||
Foreign translation adjustment | 11,421 | ||||
Balance, end of period | 512,512 | 501,091 | |||
Education Services [Member] | |||||
Activity in Goodwill by Segment [Roll Forward] | |||||
Balance, beginning of period | [3] | 167,569 | |||
Acquisitions | [1] | 0 | |||
Foreign translation adjustment | 5,056 | ||||
Balance, end of period | $ 172,625 | 167,569 | [3] | ||
Goodwill impairment | 110,000 | ||||
Long-lived assets | $ 434,000 | ||||
[1] | Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in the year ended April 30, 2021. | ||||
[2] | See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. | ||||
[3] | The Education Services goodwill balance as of April 30, 2020 includes a cumulative pretax noncash goodwill impairment of $110.0 million. |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2020 | Apr. 30, 2021 | ||
Intangible assets with definite lives, net [Abstract] | |||
Cost | [1] | $ 1,248,291 | $ 1,536,199 |
Accumulated amortization | [1] | (559,381) | (650,938) |
Accumulated impairment | [1] | (2,841) | |
Total | [1] | 686,069 | 885,261 |
Intangible assets with indefinite lives [Abstract] | |||
Cost | 214,443 | 130,041 | |
Accumulated impairment | (93,107) | ||
Total | 121,336 | 130,041 | |
Intangible assets (excluding goodwill) [Abstract] | |||
Cost | 1,462,734 | 1,666,240 | |
Accumulated impairment | (95,948) | ||
Total Intangible Assets, Net | 807,405 | 1,015,302 | |
Brands and Trademarks [Member] | |||
Intangible assets with indefinite lives [Abstract] | |||
Cost | [2] | 130,107 | 37,000 |
Accumulated impairment | [2] | (93,107) | |
Total | [2] | 37,000 | 37,000 |
Content and Publishing Rights [Member] | |||
Intangible assets with indefinite lives [Abstract] | |||
Cost | 84,336 | 93,041 | |
Accumulated impairment | 0 | ||
Total | 84,336 | 93,041 | |
Brands [Member] | |||
Intangible assets (excluding goodwill) [Abstract] | |||
Impairment charges (BW in FY20) | 89,500 | ||
Content and Publishing Rights [Member] | |||
Intangible assets with definite lives, net [Abstract] | |||
Cost | 806,862 | 1,062,072 | |
Accumulated amortization | (444,756) | (497,843) | |
Accumulated impairment | 0 | ||
Total | 362,106 | 564,229 | |
Customer Relationships [Member] | |||
Intangible assets with definite lives, net [Abstract] | |||
Cost | 377,652 | 384,462 | |
Accumulated amortization | (87,234) | (117,985) | |
Accumulated impairment | 0 | ||
Total | 290,418 | 266,477 | |
Developed Technology [Member] | |||
Intangible assets with definite lives, net [Abstract] | |||
Cost | [2] | 19,225 | 42,785 |
Accumulated amortization | [2] | (3,273) | (7,824) |
Accumulated impairment | [2] | (2,841) | |
Total | [2] | 13,111 | 34,961 |
Brands and Trademarks [Member] | |||
Intangible assets with definite lives, net [Abstract] | |||
Cost | 42,877 | 45,630 | |
Accumulated amortization | (22,689) | (26,094) | |
Accumulated impairment | 0 | ||
Total | 20,188 | 19,536 | |
Covenants Not to Compete [Member] | |||
Intangible assets with definite lives, net [Abstract] | |||
Cost | 1,675 | 1,250 | |
Accumulated amortization | (1,429) | (1,192) | |
Accumulated impairment | 0 | ||
Total | $ 246 | $ 58 | |
[1] | Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in 2021 and 2020. | ||
[2] | The developed technology balance as of April 30, 2021 is presented net of accumulated impairments and write-offs of $2.8 million. The indefinite-lived brands and trademarks cost balance as of April 30, 2021 is net of accumulated impairments of $93.1 million. |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, Future Amortization Expense (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Apr. 30, 2020 | |
Estimated future amortization expense related to intangible assets [Abstract] | |||
2022 | $ 82,401 | ||
2023 | 76,125 | ||
2024 | 71,367 | ||
2025 | 65,764 | ||
2026 | 63,410 | ||
Thereafter | 526,194 | ||
Total | [1] | $ 885,261 | $ 686,069 |
[1] | Refer to Note 4, “Acquisitions,” for more information related to the acquisitions that occurred in 2021 and 2020. |
Operating Leases (Details)
Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Jan. 31, 2021 | Apr. 30, 2021 | Apr. 30, 2020 | |
ROU Assets and Lease Liabilities [Abstract] | |||
Operating lease ROU assets | $ 121,430 | $ 142,716 | |
Short-term portion of operating lease liabilities | 22,440 | 21,810 | |
Operating lease liabilities, non-current | 145,832 | $ 159,782 | |
Increase (decrease) in ROU assets due to new leases as well as modifications and remeasurements to existing operating leases | 6,100 | ||
Increase (decrease) in operating lease liabilities due to new leases as well as modifications and remeasurements to existing operating leases | $ 5,700 | ||
Restructuring charges | $ 18,300 |
Operating Leases, Total Net Lea
Operating Leases, Total Net Lease Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | ||
Net Lease Costs [Abstract] | |||
Operating lease cost | $ 24,862 | $ 26,027 | |
Variable lease cost | 2,135 | 3,856 | |
Short-term lease cost | 248 | 86 | |
Sublease income | (722) | (691) | |
Total net lease cost | [1] | $ 26,523 | $ 29,278 |
[1] | Total net lease cost does not include those costs included in Restructuring and related charges on our Consolidated Statements of Income (Loss). See Note 7, “Restructuring and Related Charges” for more information on these programs. |
Operating Leases, Other Supplem
Operating Leases, Other Supplemental Information for Operating Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Apr. 30, 2021 | Apr. 30, 2020 | |
Other Supplemental Information for Operating Leases [Abstract] | ||
Weighted-average remaining contractual lease term (years) | 9 years | 10 years |
Weighted-average discount rate | 5.89% | 5.89% |
Cash paid for amounts included in the measurement of lease liabilities [Abstract] | ||
Operating cash flows from operating leases | $ 32,344 | $ 28,243 |
Operating Leases, Reconciliatio
Operating Leases, Reconciliation of Undiscounted Cash Flows to Operating Lease Liabilities (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Apr. 30, 2020 |
Reconciliation of Undiscounted Cash Flows to Operating Lease Liabilities [Abstract] | ||
2022 | $ 30,674 | |
2023 | 26,905 | |
2024 | 24,799 | |
2025 | 23,235 | |
2026 | 20,584 | |
Thereafter | 95,000 | |
Total future undiscounted minimum lease payments | 221,197 | |
Less: Imputed interest | 52,925 | |
Present value of minimum lease payments | 168,272 | |
Less: Current portion | 22,440 | $ 21,810 |
Noncurrent portion | $ 145,832 | $ 159,782 |
Operating Leases, Net Rent Expe
Operating Leases, Net Rent Expense for Operating Leases (Details) $ in Thousands | 12 Months Ended |
Apr. 30, 2019USD ($) | |
Composition of rent expense [Abstract] | |
Minimum rental | $ 29,066 |
Less: sublease rentals | (719) |
Total | $ 28,347 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Jul. 31, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | Apr. 30, 2015 | |
Current Provision [Abstract] | |||||
US - Federal | $ (6,631) | $ 1,145 | $ 2,384 | ||
International | 43,269 | 37,494 | 52,518 | ||
State and local | 1,359 | 172 | 2,536 | ||
Total current provision | 37,997 | 38,811 | 57,438 | ||
Deferred (benefit) provision [Abstract] | |||||
US - Federal | (11,996) | (8,476) | 335 | ||
International | 1,175 | (15,022) | (7,630) | ||
State and local | 480 | (4,118) | (5,454) | ||
Total deferred (benefit) | (10,341) | (27,616) | (12,749) | ||
Total provision | 27,656 | 11,195 | 44,689 | ||
Foreign and domestic pretax income (loss) [Abstract] | |||||
International | 202,490 | 104,185 | 204,326 | ||
United States | (26,578) | (167,277) | 8,626 | ||
Income (loss) before taxes | $ 175,912 | $ (63,092) | $ 212,952 | ||
Effective income tax rate reconciliation [Abstract] | |||||
US federal statutory rate | 21.00% | 21.00% | 21.00% | 35.00% | |
Cost of higher taxes on non-US income | 1.10% | 4.80% | 0.90% | ||
State income taxes, net of US federal tax benefit | 0.80% | 3.30% | (1.30%) | ||
US NOL carryback under CARES Act | (8.00%) | 0.00% | 0.00% | ||
Deferred tax (benefit) from US Tax Act | 0.00% | 0.00% | 0.10% | ||
Tax credits and related benefits | (0.50%) | (1.10%) | (0.80%) | ||
Impairment of goodwill and intangibles | 0.00% | (42.30%) | 0.00% | ||
Other | 1.30% | (3.40%) | 1.10% | ||
Effective income tax rate | 15.70% | (17.70%) | 21.00% | ||
Refund in connection with NOL carryback | $ 20,700 | ||||
Tax benefit resulting from NOL carryback | 14,000 | ||||
Increase in official UK statutory rate | $ 3,500 | ||||
Increase in official UK statutory rate | 2.00% | ||||
Increase in state income tax expense due to increase in deferred tax liabilities | $ 3,200 | ||||
Increase in state income tax expense due to increase in deferred tax liabilities | 1.80% | ||||
Accounting for uncertainty in income taxes [Abstract] | |||||
Accruals for interest and penalties | $ 700 | $ 600 | |||
Interest expense on reserves for unrecognized and recognized tax benefits | 200 | 200 | |||
Total amount of unrecognized tax benefits that, if recognized, would reduce the Company's income tax provision | 7,400 | 6,200 | |||
Reconciliation of unrecognized tax benefits [Roll Forward] | |||||
Balance, beginning of period | $ 6,194 | 6,194 | 7,659 | ||
Additions for current year tax positions | 3,626 | 694 | |||
Additions for prior year tax positions | 511 | 0 | |||
Reductions for prior year tax positions | (163) | (655) | |||
Foreign translation adjustment | (15) | ||||
Foreign translation adjustment | 57 | ||||
Payments and settlements | (215) | (56) | |||
Reductions for lapse of statute of limitations | (866) | (1,433) | |||
Balance, end of period | 9,144 | 6,194 | $ 7,659 | ||
Significant components of deferred tax assets and liabilities [Abstract] | |||||
Net operating losses | 19,433 | 17,966 | |||
Reserve for sales returns and doubtful accounts | 3,838 | 2,638 | |||
Accrued employee compensation | 32,835 | 20,114 | |||
Foreign and federal credits | 5,129 | 31,487 | |||
Other accrued expenses | 16,092 | 11,827 | |||
Retirement and post-employment benefits | 30,039 | 37,927 | |||
Total gross deferred tax assets | 107,366 | 121,959 | |||
Less valuation allowance | (4,855) | (23,287) | |||
Total deferred tax assets | 102,511 | 98,672 | |||
Prepaid expenses and other current assets | (459) | (1,142) | |||
Unremitted foreign earnings | (2,485) | (1,985) | |||
Intangible and fixed assets | (260,559) | (205,882) | |||
Total deferred tax liabilities | (263,503) | (209,009) | |||
Net deferred tax liabilities | (160,992) | (110,337) | |||
Reported As [Abstract] | |||||
Deferred tax assets | 11,911 | 8,790 | |||
Deferred tax liabilities | (172,903) | (119,127) | |||
Net deferred tax liabilities | (160,992) | $ (110,337) | |||
UK [Member] | |||||
Income Taxes [Abstract] | |||||
Non-cash deferred tax expense from re-measurement of net deferred tax liabilities | $ 3,500 | ||||
UK [Member] | Minimum [Member] | |||||
Income Taxes [Abstract] | |||||
Foreign statutory tax rate | 17.00% | ||||
UK [Member] | Maximum [Member] | |||||
Income Taxes [Abstract] | |||||
Foreign statutory tax rate | 19.00% | ||||
US [Member] | |||||
Income Taxes [Abstract] | |||||
Non-cash deferred tax expense from re-measurement of net deferred tax liabilities | 3,200 | ||||
Foreign Tax Authority [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Estimated taxes upon repatriation | 2,500 | ||||
State and Local Jurisdiction [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Apportioned state net operating loss carryforwards | 115,000 | ||||
Apportioned state net operating loss carryforwards, tax effected value | $ 6,500 | ||||
State and Local Jurisdiction [Member] | Minimum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carryforwards, expiration period | 5 years | ||||
State and Local Jurisdiction [Member] | Maximum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carryforwards, expiration period | 19 years |
Debt and Available Credit Fac_3
Debt and Available Credit Facilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Apr. 30, 2021 | Apr. 30, 2020 | Jul. 31, 2019 | May 30, 2019 | ||
Components of Total Debt Outstanding [Abstract] | |||||
Short-term portion of long-term debt | [1] | $ 12,500 | $ 9,375 | ||
Total long-term debt, less current portion | 809,088 | 765,650 | |||
Total debt | 821,588 | 775,025 | |||
Unamortized issuance costs | 500 | 700 | |||
Annual Maturities of Long-term Debt, Including Short-term Portion [Abstract] | |||||
2022 | 12,500 | ||||
2023 | 18,750 | ||||
2024 | 204,688 | ||||
2025 | 586,160 | ||||
Total | $ 822,098 | ||||
Amended and Restated RCA [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 5 years | ||||
Costs incurred | $ 4,000 | ||||
Credit agreement issuance cost capitalized | 5,200 | ||||
Amortization expense of the lender and non-lender fees in interest expense | $ 1,100 | 1,000 | |||
Revolving Credit Facility [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 5 years | ||||
Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | |||||
Components of Total Debt Outstanding [Abstract] | |||||
Total long-term debt, less current portion | $ 586,160 | $ 530,387 | |||
Debt and Available Credit Facilities [Abstract] | |||||
Amount of financing available under credit facilities | $ 1,250,000 | ||||
Credit agreement issuance cost capitalized | 4,300 | ||||
Line of Credit [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Amount of financing available under credit facilities | 1,500,000 | ||||
Unused lines of credit | $ 700,000 | ||||
Weighted average interest rate on total debt outstanding during the period | 2.03% | 3.12% | |||
Weighted average interest rate on total debt at period end | 1.98% | 2.26% | |||
Term Loan A Facility [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Term of credit facility | 5 years | ||||
Term Loan A Facility [Member] | Amended and Restated RCA [Member] | |||||
Components of Total Debt Outstanding [Abstract] | |||||
Total long-term debt, less current portion | [2] | $ 222,928 | $ 235,263 | ||
Debt and Available Credit Facilities [Abstract] | |||||
Credit agreement face amount | $ 250,000 | ||||
Credit agreement issuance cost capitalized | 900 | ||||
Term Loan amount related to lender fees as a reduction to debt | 800 | ||||
Term Loan amount related to non-lender fees in Other NC Assets | $ 100 | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Optional credit limit increase available on request | 500,000 | ||||
Minimum increments in which optional credit limit increase may be requested | $ 50,000 | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | Minimum [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Line of credit facility fee percentage | 0.15% | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | Maximum [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Line of credit facility fee percentage | 0.25% | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | LIBOR [Member] | Minimum [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 0.98% | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | LIBOR [Member] | Maximum [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 1.50% | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | Base Rate [Member] | Minimum [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 0.00% | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | Base Rate [Member] | Maximum [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Applicable margin | 0.50% | ||||
Syndicate Bank Group led by Bank of America [Member] | Revolving Credit Facility [Member] | Amended and Restated RCA [Member] | Federal Funds Effective Rate [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
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] | Amended and Restated RCA [Member] | Eurocurrency Rate [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Margin rate over reference rate used in determining base rate | 1.00% | ||||
Other Credit Facilities [Member] | Line of Credit [Member] | |||||
Debt and Available Credit Facilities [Abstract] | |||||
Outstanding borrowings under revolving credit facilities | $ 0 | $ 0 | |||
Amount of financing available under credit facilities | $ 1,000 | ||||
[1] | Relates to our term loan A under the Amended and Restated RCA. | ||||
[2] | Amounts are shown net of unamortized issuance costs of $0.5 million as of April 30, 2021 and $0.7 million as of April 30, 2020. |
Derivative Instruments and Ac_3
Derivative Instruments and Activities (Details) $ in Thousands, € in Millions | 12 Months Ended | |||
Apr. 30, 2021USD ($) | Apr. 30, 2020USD ($) | Apr. 30, 2019USD ($) | Apr. 30, 2021EUR (€) | |
Derivative Instruments and Activities [Abstract] | ||||
Total debt outstanding | $ 821,588 | $ 775,025 | ||
Unamortized debt issuance costs | 500 | 700 | ||
Variable rate loans outstanding | 822,100 | |||
Foreign exchange transaction losses | (7,977) | 2,773 | $ (6,016) | |
Interest Rate Swaps [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Notional Amount | 400 | 300 | ||
Unrecognized gains to be reclassified into net income in the next twelve months | 3,200 | |||
Interest Rate Swaps [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Interest Expense [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Net gains (losses) reclassified from Accumulated Other Comprehensive Loss | (3,700) | 400 | $ 4,700 | |
Interest Rate Swaps [Member] | Recurring [Member] | Level 2 [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Assets fair value of derivative instrument | $ 5,600 | 8,300 | ||
Interest Rate Swaps [Member] | April 2021 Interest Rate Swap Variable Rate Loans [Member] | LIBOR [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Hedged Item | Amended and Restated RCA | |||
Inception date | Apr. 12, 2021 | |||
Nature of Swap | Pay fixed/receive variable | |||
Notional Amount | $ 100 | 0 | ||
Fixed Interest Rate | 0.50% | 0.50% | ||
Term of variable rate | 1 month | |||
Term of derivative instrument | 3 years | |||
Expiration date | Apr. 15, 2024 | |||
Interest Rate Swaps [Member] | February 2020 Interest Rate Swap Variable Rate Loans [Member] | LIBOR [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Hedged Item | Amended and Restated RCA | |||
Inception date | Feb. 26, 2020 | |||
Nature of Swap | Pay fixed/receive variable | |||
Notional Amount | $ 100 | 100 | ||
Fixed Interest Rate | 1.15% | 1.15% | ||
Term of variable rate | 1 month | |||
Term of derivative instrument | 3 years | |||
Expiration date | Mar. 15, 2023 | |||
Interest Rate Swaps [Member] | August 2019 Interest Rate Swap (Variable Rate Loans) [Member] | LIBOR [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Hedged Item | Amended and Restated RCA | |||
Inception date | Aug. 7, 2019 | |||
Nature of Swap | Pay fixed/receive variable | |||
Notional Amount | $ 100 | 100 | ||
Fixed Interest Rate | 1.40% | 1.40% | ||
Term of variable rate | 1 month | |||
Term of derivative instrument | 3 years | |||
Expiration date | Aug. 15, 2022 | |||
Interest Rate Swaps [Member] | June 2019 Interest Rate Swap (Variable Rate Loans) [Member] | LIBOR [Member] | Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Hedged Item | Amended and Restated RCA | |||
Inception date | Jun. 24, 2019 | |||
Nature of Swap | Pay fixed/receive variable | |||
Notional Amount | $ 100 | $ 100 | ||
Fixed Interest Rate | 1.65% | 1.65% | ||
Term of variable rate | 1 month | |||
Term of derivative instrument | 3 years | |||
Expiration date | Jul. 15, 2022 | |||
Interest Rate Swaps [Member] | April 2016 Interest Rate Swap (Variable Rate Loans) [Member] | LIBOR [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Inception date | Apr. 4, 2016 | |||
Notional Amount | $ 350,000 | |||
Fixed Interest Rate | 0.92% | 0.92% | ||
Term of variable rate | 1 month | |||
Term of derivative instrument | 3 years | |||
Expiration date | May 15, 2019 | |||
Forward Exchange Contracts [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments and Activities [Abstract] | ||||
Open derivative contract | $ 38,800 | € 32 | ||
Foreign exchange transaction losses | $ (800) |
Retirement Plans, Recent Plan C
Retirement Plans, Recent Plan Curtailments (Details) | 12 Months Ended |
Apr. 30, 2021 | |
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) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
US [Member] | |||
Components of net pension income for defined benefit plans [Abstract] | |||
Service cost | $ 0 | $ 0 | $ 0 |
Interest cost | 9,504 | 11,247 | 11,704 |
Expected return on plan assets | (11,969) | (14,038) | (13,472) |
Amortization of prior service cost | (154) | (154) | (154) |
Amortization of net actuarial loss | 3,501 | 2,403 | 2,035 |
Curtailment/Settlement Loss | 0 | 0 | 0 |
Net pension expense (income) | $ 882 | $ (542) | $ 113 |
Weighted-average assumptions [Abstract] | |||
Discount rate | 3.10% | 4.10% | 4.30% |
Expected return on plan assets | 5.80% | 6.80% | 6.80% |
Non-US [Member] | |||
Components of net pension income for defined benefit plans [Abstract] | |||
Service cost | $ 1,396 | $ 1,851 | $ 912 |
Interest cost | 8,901 | 12,652 | 12,943 |
Expected return on plan assets | (26,971) | (26,116) | (25,551) |
Amortization of prior service cost | 58 | 73 | 57 |
Amortization of net actuarial loss | 4,516 | 3,993 | 3,746 |
Curtailment/Settlement Loss | 0 | 291 | 0 |
Net pension expense (income) | $ (12,100) | $ (7,256) | $ (7,893) |
Weighted-average assumptions [Abstract] | |||
Discount rate | 1.60% | 2.40% | 2.60% |
Rate of compensation increase | 3.00% | 3.00% | 3.00% |
Expected return on plan assets | 5.70% | 6.50% | 6.50% |
Canada [Member] | |||
Weighted-average assumptions [Abstract] | |||
Retirement plans settlement charges for employees | $ 300 |
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, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
CHANGE IN PLAN ASSETS [Roll Forward] | |||
Fair value of plan assets, beginning of year | $ 659,426 | ||
Fair value, end of year | 761,015 | $ 659,426 | |
US [Member] | |||
CHANGE IN PLAN ASSETS [Roll Forward] | |||
Fair value of plan assets, beginning of year | 213,946 | 213,628 | |
Actual return on plan assets | 34,560 | 11,645 | |
Employer contributions | 5,599 | 3,700 | |
Employee contributions | 0 | 0 | |
Settlements | 0 | 0 | |
Benefits paid | (16,976) | (15,027) | |
Foreign currency rate changes | 0 | 0 | |
Fair value, end of year | 237,129 | 213,946 | $ 213,628 |
CHANGE IN PROJECTED BENEFIT OBLIGATION [Roll Forward] | |||
Benefit obligation, beginning of year | (318,967) | (285,197) | |
Service cost | 0 | 0 | 0 |
Interest cost | (9,504) | (11,247) | (11,704) |
Actuarial gains (losses) | 8,863 | (37,550) | |
Benefits paid | 16,976 | 15,027 | |
Foreign currency rate changes | 0 | 0 | |
Settlements and other | 0 | 0 | |
Benefit obligation, end of year | (302,632) | (318,967) | (285,197) |
Underfunded status, end of year | (65,503) | (105,021) | |
AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION [Abstract] | |||
Noncurrent assets | 0 | 0 | |
Current pension liability | (3,576) | (4,990) | |
Noncurrent pension liability | (61,927) | (100,031) | |
Net amount recognized in statement of financial position | (65,503) | (105,021) | |
AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF [Abstract] | |||
Net actuarial (losses) | (96,613) | (131,569) | |
Prior service cost gains (losses) | 2,100 | 2,254 | |
Total accumulated other comprehensive loss | (94,513) | (129,315) | |
Change in accumulated other comprehensive loss | 34,802 | (37,695) | |
INFORMATION FOR PENSION PLANS WITH AN ACCUMULATED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS [Abstract] | |||
Accumulated benefit obligation | 302,632 | 318,967 | |
Fair value of plan assets | 237,129 | 213,946 | |
INFORMATION FOR PENSION PLANS WITH A PROJECTED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS [Abstract] | |||
Projected benefit obligation | 302,632 | 318,967 | |
Fair value of plan assets | $ 237,129 | $ 213,946 | |
WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES [Abstract] | |||
Discount rate | 3.20% | 3.10% | |
Rate of compensation increase | |||
Accumulated benefit obligations | $ (302,632) | $ (318,967) | |
Non-US [Member] | |||
CHANGE IN PLAN ASSETS [Roll Forward] | |||
Fair value of plan assets, beginning of year | 445,480 | 408,249 | |
Actual return on plan assets | 27,971 | 48,602 | |
Employer contributions | 12,203 | 11,686 | |
Employee contributions | 0 | 0 | |
Settlements | 0 | (1,459) | |
Benefits paid | (11,921) | (9,162) | |
Foreign currency rate changes | 50,153 | (12,436) | |
Fair value, end of year | 523,886 | 445,480 | 408,249 |
CHANGE IN PROJECTED BENEFIT OBLIGATION [Roll Forward] | |||
Benefit obligation, beginning of year | (534,303) | (509,015) | |
Service cost | (1,396) | (1,851) | (912) |
Interest cost | (8,901) | (12,652) | (12,943) |
Actuarial gains (losses) | (17,739) | (36,287) | |
Benefits paid | 11,921 | 9,162 | |
Foreign currency rate changes | (59,046) | 15,176 | |
Settlements and other | (150) | 1,164 | |
Benefit obligation, end of year | (609,614) | (534,303) | $ (509,015) |
Underfunded status, end of year | (85,728) | (88,823) | |
AMOUNTS RECOGNIZED ON THE STATEMENT OF FINANCIAL POSITION [Abstract] | |||
Noncurrent assets | 6 | 0 | |
Current pension liability | (1,414) | (885) | |
Noncurrent pension liability | (84,320) | (87,938) | |
Net amount recognized in statement of financial position | (85,728) | (88,823) | |
AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (BEFORE TAX) CONSIST OF [Abstract] | |||
Net actuarial (losses) | (213,958) | (181,403) | |
Prior service cost gains (losses) | (1,299) | (1,051) | |
Total accumulated other comprehensive loss | (215,257) | (182,454) | |
Change in accumulated other comprehensive loss | (32,803) | (4,143) | |
INFORMATION FOR PENSION PLANS WITH AN ACCUMULATED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS [Abstract] | |||
Accumulated benefit obligation | 566,998 | 497,489 | |
Fair value of plan assets | 513,279 | 445,480 | |
INFORMATION FOR PENSION PLANS WITH A PROJECTED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS [Abstract] | |||
Projected benefit obligation | 599,011 | 534,303 | |
Fair value of plan assets | $ 513,279 | $ 445,480 | |
WEIGHTED AVERAGE ASSUMPTIONS USED IN DETERMINING ASSETS AND LIABILITIES [Abstract] | |||
Discount rate | 1.90% | 1.60% | |
Rate of compensation increase | 3.00% | 3.00% | |
Accumulated benefit obligations | $ (577,600) | $ (497,489) |
Retirement Plans, Pension Plan
Retirement Plans, Pension Plan Assets/Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
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 | $ 761,015 | $ 659,426 | |
Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 6,665 | 5,565 | |
Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | $ 517,221 | 439,915 | |
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% | ||
US [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | $ 237,129 | 213,946 | $ 213,628 |
US [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 237,129 | 213,946 | |
US [Member] | Global Equity Securities: Limited Partnership [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 121,569 | 110,965 | |
US [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | Investments Measured at NAV [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 115,560 | 102,981 | |
Non-US [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 523,886 | 445,480 | $ 408,249 |
Non-US [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 6,665 | 5,565 | |
Non-US [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 517,221 | 439,915 | |
Non-US [Member] | U.S. Equities [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 51,882 | 36,842 | |
Non-US [Member] | U.S. Equities [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 0 | 0 | |
Non-US [Member] | U.S. Equities [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 51,882 | 36,842 | |
Non-US [Member] | Non-U.S. Equities [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 124,496 | 103,460 | |
Non-US [Member] | Non-U.S. Equities [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 0 | 0 | |
Non-US [Member] | Non-U.S. Equities [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 124,496 | 103,460 | |
Non-US [Member] | Balanced Managed Funds [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 103,717 | 44,989 | |
Non-US [Member] | Balanced Managed Funds [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 0 | 0 | |
Non-US [Member] | Balanced Managed Funds [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 103,717 | 44,989 | |
Non-US [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 238,027 | 257,565 | |
Non-US [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 1,444 | 3,431 | |
Non-US [Member] | Fixed Income Securities: Commingled Trust Funds [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 236,583 | 254,134 | |
Non-US [Member] | Real Estate/Other [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 543 | 490 | |
Non-US [Member] | Real Estate/Other [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 0 | 0 | |
Non-US [Member] | Real Estate/Other [Member] | Level 2 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 543 | 490 | |
Non-US [Member] | Cash and Cash Equivalents [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 5,221 | 2,134 | |
Non-US [Member] | Cash and Cash Equivalents [Member] | Level 1 [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Fair value of plan assets | 5,221 | 2,134 | |
Non-US [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, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Expected employer contributions to the defined benefit pension plans | $ 16,800 | ||
Expected future benefit payments [Abstract] | |||
2022 | 27,516 | ||
2023 | 27,215 | ||
2024 | 28,199 | ||
2025 | 29,841 | ||
2026 | 29,068 | ||
2027-2031 | 158,879 | ||
Total | 300,718 | ||
Defined Contribution Savings Plans [Abstract] | |||
Expense recorded | 24,300 | $ 19,000 | $ 13,100 |
US [Member] | |||
Expected future benefit payments [Abstract] | |||
2022 | 15,305 | ||
2023 | 15,446 | ||
2024 | 15,593 | ||
2025 | 15,024 | ||
2026 | 15,064 | ||
2027-2031 | 75,870 | ||
Total | 152,302 | ||
Other postretirement benefits [Abstract] | |||
Annual (credits) expenses for benefit plans | 882 | (542) | 113 |
Non-US [Member] | |||
Expected future benefit payments [Abstract] | |||
2022 | 12,211 | ||
2023 | 11,769 | ||
2024 | 12,606 | ||
2025 | 14,817 | ||
2026 | 14,004 | ||
2027-2031 | 83,009 | ||
Total | 148,416 | ||
Other postretirement benefits [Abstract] | |||
Annual (credits) expenses for benefit plans | (12,100) | (7,256) | (7,893) |
Non-US [Member] | Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Expected employer contributions to the defined benefit pension plans | 13,100 | ||
Postretirement Life Insurance and Health Care Benefits [Member] | |||
Other postretirement benefits [Abstract] | |||
Accumulated post-retirement benefit obligation | 1,500 | 1,400 | |
Annual (credits) expenses for benefit plans | $ (100) | $ (100) | $ (100) |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - 2014 Key Employee Stock Plan [Member] - Class A Common Stock [Member] | Apr. 30, 2021shares |
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) | 2,357,682 |
Stock-Based Compensation, Stock
Stock-Based Compensation, Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | 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) | 141,000 | |||||
Options Outstanding, Weighted Average Remaining Term | 2 years 7 months 6 days | |||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 51.17 | |||||
Options Exercisable, Number of Options (in shares) | 141,000 | |||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 51.17 | |||||
Range of Exercise Prices - $39.53 [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 | |||||
Options Outstanding, Number of Options (in shares) | 34,000 | |||||
Options Outstanding, Weighted Average Remaining Term | 2 years | |||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 39.53 | |||||
Options Exercisable, Number of Options (in shares) | 34,000 | |||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 39.53 | |||||
Range of Exercise Prices - $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) | 32,000 | |||||
Options Outstanding, Weighted Average Remaining Term | 1 year 1 month 6 days | |||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 48.22 | |||||
Options Exercisable, Number of Options (in shares) | 32,000 | |||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 48.22 | |||||
Range of Exercise Prices - $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) | 75,000 | |||||
Options Outstanding, Weighted Average Remaining Term | 3 years 7 months 6 days | |||||
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 57.76 | |||||
Options Exercisable, Number of Options (in shares) | 75,000 | |||||
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 57.76 | |||||
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 | |||||
Options [Roll Forward] | ||||||
Outstanding at beginning of year (in shares) | 286,000 | 372,000 | 611,000 | |||
Granted (in shares) | 0 | 0 | 0 | 0 | ||
Exercised (in shares) | (60,000) | (34,000) | (229,000) | |||
Expired or forfeited (in shares) | (85,000) | (52,000) | (10,000) | |||
Outstanding at end of year (in shares) | 141,000 | 286,000 | 372,000 | |||
Exercisable at end of year (in shares) | 141,000 | 286,000 | 372,000 | |||
Vested and expected to vest in the future at end of year (in shares) | 141,000 | 286,000 | 372,000 | |||
Weighted Average Exercise Price [Abstract] | ||||||
Outstanding at beginning of year (in dollars per share) | $ 50.14 | $ 49.70 | $ 48.88 | |||
Granted (in dollars per share) | 0 | 0 | 0 | |||
Exercised (in dollars per share) | 43.91 | 38.32 | 47.21 | |||
Expired or forfeited (in dollars per share) | 52.78 | 54.57 | 56.97 | |||
Outstanding at end of year (in dollars per share) | 51.17 | 50.14 | 49.70 | |||
Exercisable at end of year (in dollars per share) | 51.17 | 50.14 | 49.70 | |||
Vested and expected to vest in the future at end of year (in dollars per share) | $ 51.17 | $ 50.14 | $ 49.70 | |||
Weighted Average Remaining Term [Abstract] | ||||||
Outstanding at end of year | 2 years 7 months 6 days | |||||
Exercisable at end of year | 2 years 7 months 6 days | |||||
Vested and expected to vest in the future at end of year | 2 years 7 months 6 days | |||||
Average Intrinsic Value [Abstract] | ||||||
Outstanding at end of year | $ 0.9 | |||||
Exercisable at end of year | 0.9 | |||||
Vested and expected to vest in the future at end of year | 0.9 | |||||
Options, Additional Disclosure [Abstract] | ||||||
Unrecognized share-based compensation expense | $ 0 | |||||
Total intrinsic value of options exercised | $ 0.2 | $ 0.3 | 4.4 | |||
Total grant date fair value of stock options vested | $ 4.8 | |||||
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 Thousands | 12 Months Ended | ||||||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 | Apr. 30, 2016 | Apr. 30, 2015 | |
Restricted Stock, Additional Disclosures [Abstract] | |||||||
Stock-based compensation expense | $ 21,982 | $ 20,009 | $ 18,327 | ||||
Restricted Stock Awards [Member] | |||||||
Restricted Shares [Roll Forward] | |||||||
Nonvested shares at beginning of year (in shares) | 943 | 756 | 861 | ||||
Granted (in shares) | 706 | 759 | 415 | ||||
Change in shares due to performance (in shares) | (70) | (19) | |||||
Change in shares due to performance (in shares) | 118 | ||||||
Vested and issued (in shares) | (362) | (329) | (357) | ||||
Forfeited (in shares) | (125) | (173) | (144) | ||||
Nonvested shares at end of year (in shares) | 1,280 | 943 | 756 | 861 | |||
Weighted Average Grant Date Value [Abstract] | |||||||
Nonvested shares at beginning of year (in dollars per share) | $ 49.74 | ||||||
Granted (in dollars per share) | 41.49 | ||||||
Change in shares due to performance (in dollars per share) | 49.84 | ||||||
Vested and issued (in dollars per share) | 48.48 | ||||||
Forfeited (in dollars per share) | 47.88 | ||||||
Nonvested shares at end of year (in dollars per share) | $ 45.73 | $ 49.74 | |||||
Restricted Stock, Additional Disclosures [Abstract] | |||||||
Unrecognized share-based compensation expense | $ 36,300 | ||||||
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 | $ 17,600 | $ 17,500 | $ 19,600 | ||||
Restricted Stock Awards [Member] | Key Employees [Member] | Vesting on Fourth Anniversary Date Following Date of Grant [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 50.00% | ||||||
Restricted Stock Awards [Member] | Key Employees [Member] | Vesting on Fifth Anniversary Date Following Date of Grant [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 50.00% | ||||||
Restricted Stock Awards [Member] | Key Employees [Member] | Annual Vesting on Anniversary of Grant [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 25.00% | ||||||
Restricted Stock Awards [Member] | Key Employees [Member] | Vesting on June 30th of Year Following Performance Cycle [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 100.00% | 100.00% | 100.00% | ||||
Performance-based Restricted Stock Awards [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
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] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 50.00% | ||||||
Performance-based Restricted Stock Awards [Member] | Vesting on Second Anniversary Date after Award Is Earned [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 50.00% | ||||||
Performance-based Restricted Stock Awards [Member] | Vesting at End of Performance Cycle [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 50.00% | 50.00% | |||||
Performance-based Restricted Stock Awards [Member] | Vesting on April 30th of Year Following Performance Cycle [Member] | |||||||
Stock-Based Compensation [Abstract] | |||||||
Award vesting percentage | 50.00% | 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, 2021USD ($)Installment$ / 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] | PSU Awards [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, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
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) | 28,360 | 20,048 | 18,991 |
Capital Stock and Changes in _3
Capital Stock and Changes in Capital Accounts (Details) | 12 Months Ended |
Apr. 30, 2021Voteshares | |
Class A [Member] | |
Common Stock [Abstract] | |
Class A Common shares into which each share of Class B Common Stock is convertible (in shares) | 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 | 0.1 |
Class B [Member] | |
Common Stock [Abstract] | |
Number of votes to which each share of common stock is entitled | 1 |
Capital Stock and Changes in _4
Capital Stock and Changes in Capital Accounts, Share Repurchases (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | Apr. 30, 2017 | |
Class A [Member] | ||||
Share Repurchases [Abstract] | ||||
Shares repurchased (in shares) | 308,000 | 1,080,000 | 1,191,000 | |
Average Price (in dollars per share) | $ 50.93 | $ 43.05 | $ 50.35 | |
Class B [Member] | ||||
Share Repurchases [Abstract] | ||||
Shares repurchased (in shares) | 2,000 | 2,000 | 0 | |
Average Price (in dollars per share) | $ 50.93 | $ 43.05 | $ 50.35 | |
2017 Share Repurchase Program [Member] | ||||
Capital Stock [Abstract] | ||||
Additional shares/dollars of common stock approved for repurchase under the share repurchase program (in shares in 2019 and dollars in 2020) | 4,000,000 | |||
Remaining number of shares/dollars authorized to be repurchased under the share repurchase program in 2017 program (shares) and 2020 program (dollars) | 497,197 | |||
2020 Share Repurchase Program [Member] | ||||
Capital Stock [Abstract] | ||||
Amount of additional stock authorized to be repurchased | $ 200 | |||
Remaining amount authorized to be repurchased under the share repurchase program | $ 200 | |||
Share Repurchases [Abstract] | ||||
Shares repurchased (in shares) | 0 | 0 |
Capital Stock and Changes in _5
Capital Stock and Changes in Capital Accounts, Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 21, 2021 | Jan. 13, 2021 | Oct. 21, 2020 | Jul. 22, 2020 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 |
Cash dividend [Abstract] | |||||||
Total Dividend | $ 76,938 | $ 76,658 | $ 75,752 | ||||
Class A [Member] | |||||||
Cash dividend [Abstract] | |||||||
Common stock dividend (in dollars per share) | $ 1.37 | $ 1.36 | $ 1.32 | ||||
Class A [Member] | Dividend Declared in Q1 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Jun. 25, 2020 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,200 | ||||||
Dividend paid date | Jul. 22, 2020 | ||||||
Dividend record date | Jul. 7, 2020 | ||||||
Class A [Member] | Dividend Declared in Q2 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Sep. 23, 2020 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,200 | ||||||
Dividend paid date | Oct. 21, 2020 | ||||||
Dividend record date | Oct. 6, 2020 | ||||||
Class A [Member] | Dividend Declared in Q3 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Dec. 16, 2020 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,200 | ||||||
Dividend paid date | Jan. 13, 2021 | ||||||
Dividend record date | Dec. 30, 2020 | ||||||
Class A [Member] | Dividend Declared in Q4 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Mar. 24, 2021 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,100 | ||||||
Dividend paid date | Apr. 21, 2021 | ||||||
Dividend record date | Apr. 6, 2021 | ||||||
Class B [Member] | |||||||
Cash dividend [Abstract] | |||||||
Common stock dividend (in dollars per share) | $ 1.37 | $ 1.36 | $ 1.32 | ||||
Class B [Member] | Dividend Declared in Q1 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Jun. 25, 2020 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,200 | ||||||
Dividend paid date | Jul. 22, 2020 | ||||||
Dividend record date | Jul. 7, 2020 | ||||||
Class B [Member] | Dividend Declared in Q2 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Sep. 23, 2020 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,200 | ||||||
Dividend paid date | Oct. 21, 2020 | ||||||
Dividend record date | Oct. 6, 2020 | ||||||
Class B [Member] | Dividend Declared in Q3 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Dec. 16, 2020 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,200 | ||||||
Dividend paid date | Jan. 13, 2021 | ||||||
Dividend record date | Dec. 30, 2020 | ||||||
Class B [Member] | Dividend Declared in Q4 2021 [Member] | |||||||
Cash dividend [Abstract] | |||||||
Date of Declaration by Board of Directors | Mar. 24, 2021 | ||||||
Common stock dividend (in dollars per share) | $ 0.3425 | ||||||
Total Dividend | $ 19,100 | ||||||
Dividend paid date | Apr. 21, 2021 | ||||||
Dividend record date | Apr. 6, 2021 |
Capital Stock and Changes in _6
Capital Stock and Changes in Capital Accounts, Changes in Common Stock (Details) - shares shares in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Class A [Member] | |||
Changes in Common Stock [Abstract] | |||
Number of shares, beginning of year (in shares) | 70,166 | 70,127 | 70,111 |
Common stock class conversions (in shares) | 42 | 39 | 16 |
Number of shares issued, end of year (in shares) | 70,208 | 70,166 | 70,127 |
Changes in Common Stock in Treasury [Abstract] | |||
Number of shares held, beginning of year (in shares) | 23,405 | 22,634 | 21,853 |
Purchase of treasury shares (in shares) | 308 | 1,080 | 1,192 |
Shares issued under the Director Plan to Directors (in shares) | (6) | (97) | (5) |
Restricted shares, forfeited (in shares) | 0 | 1 | 9 |
Restricted shares issued from exercise of stock options (in shares) | (60) | (34) | (229) |
Shares withheld for taxes (in shares) | 129 | 122 | 130 |
Other (in shares) | (1) | (1) | (1) |
Number of shares held, end of year (in shares) | 23,419 | 23,405 | 22,634 |
Number of Common Stock outstanding, end of year (in shares) | 46,789 | 46,761 | 47,493 |
Class A [Member] | Non-PSU Awards [Member] | |||
Changes in Common Stock in Treasury [Abstract] | |||
Restricted shares issued under stock-based compensation plans (in shares) | (268) | (232) | (205) |
Class A [Member] | PSU Awards [Member] | |||
Changes in Common Stock in Treasury [Abstract] | |||
Restricted shares issued under stock-based compensation plans (in shares) | (88) | (68) | (110) |
Class B [Member] | |||
Changes in Common Stock [Abstract] | |||
Number of shares, beginning of year (in shares) | 13,016 | 13,055 | 13,071 |
Common stock class conversions (in shares) | (42) | (39) | (16) |
Number of shares issued, end of year (in shares) | 12,974 | 13,016 | 13,055 |
Changes in Common Stock in Treasury [Abstract] | |||
Number of shares held, beginning of year (in shares) | 3,920 | 3,918 | 3,918 |
Purchase of treasury shares (in shares) | 2 | 2 | 0 |
Number of shares held, end of year (in shares) | 3,922 | 3,920 | 3,918 |
Number of Common Stock outstanding, end of year (in shares) | 9,052 | 9,096 | 9,137 |
Capital Stock and Changes in _7
Capital Stock and Changes in Capital Accounts, Warrants (Details) - USD ($) $ / shares in Units, $ in Millions | Nov. 01, 2018 | Apr. 30, 2021 | Oct. 31, 2018 |
Acquisitions [Abstract] | |||
Number of shares of common stock warrant holders are allowed to purchase (in shares) | 400,000 | ||
The Learning House, Inc. [Member] | Warrants [Member] | |||
Acquisitions [Abstract] | |||
Issuance of warrants | $ 0.6 | ||
Term of warrants | 3 years | ||
The Learning House, Inc. [Member] | Class A Common Stock [Member] | Warrants [Member] | |||
Acquisitions [Abstract] | |||
Number of shares of common stock warrant holders are allowed to purchase (in shares) | 400,000 | ||
Exercise price per share (in dollars per share) | $ 90 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Apr. 30, 2021USD ($) | Jan. 31, 2021USD ($) | Oct. 31, 2020USD ($) | Jul. 31, 2020USD ($) | Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | Oct. 31, 2019USD ($) | Jul. 31, 2019USD ($) | Apr. 30, 2021USD ($)Segment | Apr. 30, 2020USD ($) | Apr. 30, 2019USD ($) | |
Segment Information [Abstract] | |||||||||||
Number of reportable segments | Segment | 3 | ||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | $ 536,300 | $ 482,900 | $ 491,000 | $ 431,300 | $ 474,700 | $ 467,100 | $ 466,200 | $ 423,500 | $ 1,941,501 | $ 1,831,483 | $ 1,800,069 |
Adjusted Contribution to Profit | 218,821 | 180,668 | 227,107 | ||||||||
Depreciation and Amortization | 200,189 | 175,127 | 161,155 | ||||||||
Operating Segments [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 1,941,501 | 1,831,483 | 1,800,069 | ||||||||
Adjusted Contribution to Profit | 385,874 | 346,155 | 395,406 | ||||||||
Depreciation and Amortization | 185,517 | 163,433 | 147,132 | ||||||||
Operating Segments [Member] | Research Publishing & Platforms [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 1,015,349 | 948,839 | 939,217 | ||||||||
Adjusted Contribution to Profit | 273,023 | 265,353 | 260,885 | ||||||||
Depreciation and Amortization | 83,866 | 69,495 | 60,889 | ||||||||
Operating Segments [Member] | Academic & Professional Learning [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 644,537 | 650,789 | 703,303 | ||||||||
Adjusted Contribution to Profit | 91,676 | 84,646 | 147,404 | ||||||||
Depreciation and Amortization | 71,997 | 69,807 | 68,126 | ||||||||
Operating Segments [Member] | Education Services [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue | 281,615 | 231,855 | 157,549 | ||||||||
Adjusted Contribution to Profit | 21,175 | (3,844) | (12,883) | ||||||||
Depreciation and Amortization | 29,654 | 24,131 | 18,117 | ||||||||
Corporate [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Adjusted Contribution to Profit | (167,053) | (165,487) | (168,299) | ||||||||
Depreciation and Amortization | $ 14,672 | $ 11,694 | $ 14,023 |
Segment Information, Reconcilia
Segment Information, Reconciliation of Consolidated U.S. GAAP Operating Income (Loss) to Non-GAAP Adjusted Contribution to Profit (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Apr. 30, 2021 | Jan. 31, 2021 | Oct. 31, 2020 | Jul. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Oct. 31, 2019 | Jul. 31, 2019 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | ||
Reconciliation of Consolidated US GAAP Operating Income (Loss) to Non-GAAP Adjusted Contribution to Profit [Abstract] | ||||||||||||
US GAAP Operating Income (Loss) | $ 51,200 | $ 34,400 | $ 69,900 | $ 30,000 | $ (170,700) | $ 48,500 | $ 63,400 | $ 4,500 | $ 185,511 | $ (54,287) | $ 223,989 | |
Adjustments [Abstract] | ||||||||||||
Restructuring and related charges (credit) | [1] | 33,310 | 32,607 | 3,118 | ||||||||
Impairment of goodwill | [1] | 0 | 110,000 | 0 | ||||||||
Non-GAAP Adjusted Contribution to Profit | 218,821 | 180,668 | 227,107 | |||||||||
Developed Technology [Member] | ||||||||||||
Adjustments [Abstract] | ||||||||||||
Impairment of intangible assets | [1] | 0 | 2,841 | 0 | ||||||||
Blackwell Trade Name [Member] | ||||||||||||
Adjustments [Abstract] | ||||||||||||
Impairment of intangible assets | [1] | $ 0 | $ 89,507 | $ 0 | ||||||||
[1] | See Note 7, “Restructuring and Related Charges” and Note 11, “Goodwill and Intangible Assets” for these charges by segment. |
Segment Information, Total Asse
Segment Information, Total Assets by Segment (Details) - USD ($) $ in Thousands | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 |
Segment Information [Abstract] | |||
Assets | $ 3,446,439 | $ 3,168,794 | $ 2,948,766 |
Operating Segments [Member] | Research Publishing & Platforms [Member] | |||
Segment Information [Abstract] | |||
Assets | 1,692,366 | 1,225,313 | 1,172,145 |
Operating Segments [Member] | Academic & Professional Learning [Member] | |||
Segment Information [Abstract] | |||
Assets | 946,760 | 924,924 | 959,601 |
Operating Segments [Member] | Education Services [Member] | |||
Segment Information [Abstract] | |||
Assets | 472,814 | 486,316 | 440,516 |
Corporate [Member] | |||
Segment Information [Abstract] | |||
Assets | $ 334,499 | $ 532,241 | $ 376,504 |
Segment Information, Other Sign
Segment Information, Other Significant Reconciling Items by Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Segment Information [Abstract] | |||
Expenditures for long lived assets | $ (103,361) | $ (115,201) | $ (101,593) |
Operating Segments [Member] | Research Publishing & Platforms [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (24,284) | (16,329) | (12,928) |
Operating Segments [Member] | Academic & Professional Learning [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (41,897) | (38,229) | (32,337) |
Operating Segments [Member] | Education Services [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | (3,449) | (613) | (3,160) |
Corporate [Member] | |||
Segment Information [Abstract] | |||
Expenditures for long lived assets | $ (33,731) | $ (60,030) | $ (53,168) |
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, 2021 | Jan. 31, 2021 | Oct. 31, 2020 | Jul. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Oct. 31, 2019 | Jul. 31, 2019 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |
Segment Information [Abstract] | |||||||||||
Revenue, net | $ 536,300 | $ 482,900 | $ 491,000 | $ 431,300 | $ 474,700 | $ 467,100 | $ 466,200 | $ 423,500 | $ 1,941,501 | $ 1,831,483 | $ 1,800,069 |
Technology, property and equipment, net | 282,270 | 298,005 | 282,270 | 298,005 | 289,021 | ||||||
Reportable Geographical Components [Member] | United States [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 990,499 | 944,075 | 932,927 | ||||||||
Technology, property and equipment, net | 241,217 | 261,296 | 241,217 | 261,296 | 252,459 | ||||||
Reportable Geographical Components [Member] | United Kingdom [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 145,806 | 174,567 | 150,242 | ||||||||
Technology, property and equipment, net | 19,436 | 18,076 | 19,436 | 18,076 | 18,331 | ||||||
Reportable Geographical Components [Member] | China [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 92,305 | 58,870 | 55,024 | ||||||||
Technology, property and equipment, net | 567 | 492 | 567 | 492 | 688 | ||||||
Reportable Geographical Components [Member] | Japan [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 91,957 | 75,104 | 77,145 | ||||||||
Technology, property and equipment, net | 234 | 112 | 234 | 112 | 87 | ||||||
Reportable Geographical Components [Member] | Germany [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 78,035 | 113,664 | 97,505 | ||||||||
Technology, property and equipment, net | 8,459 | 8,059 | 8,459 | 8,059 | 8,423 | ||||||
Reportable Geographical Components [Member] | Canada [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 67,635 | 56,370 | 50,882 | ||||||||
Technology, property and equipment, net | 1,067 | 1,734 | 1,067 | 1,734 | 2,659 | ||||||
Reportable Geographical Components [Member] | Australia [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 57,569 | 73,718 | 77,453 | ||||||||
Technology, property and equipment, net | 890 | 1,051 | 890 | 1,051 | 1,440 | ||||||
Reportable Geographical Components [Member] | France [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 45,681 | 45,033 | 51,441 | ||||||||
Technology, property and equipment, net | 4,329 | 1,358 | 4,329 | 1,358 | 403 | ||||||
Reportable Geographical Components [Member] | Scandinavia [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 39,836 | 29,682 | 30,971 | ||||||||
Technology, property and equipment, net | 112 | 223 | 112 | 223 | 229 | ||||||
Reportable Geographical Components [Member] | Other Countries [Member] | |||||||||||
Segment Information [Abstract] | |||||||||||
Revenue, net | 332,178 | 260,400 | 276,479 | ||||||||
Technology, property and equipment, net | $ 5,959 | $ 5,604 | $ 5,959 | $ 5,604 | $ 4,302 |
Supplementary Quarterly Finan_3
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
Apr. 30, 2021 | Jan. 31, 2021 | Oct. 31, 2020 | Jul. 31, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Oct. 31, 2019 | Jul. 31, 2019 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | |||||||||||
Supplementary Quarterly Financial Information - Results By Quarter (Unaudited) [Abstract] | |||||||||||||||||||||
Revenue, net | $ 536,300 | $ 482,900 | $ 491,000 | $ 431,300 | $ 474,700 | $ 467,100 | $ 466,200 | $ 423,500 | $ 1,941,501 | $ 1,831,483 | $ 1,800,069 | ||||||||||
Gross profit | 368,200 | 325,300 | 336,200 | 286,500 | 324,100 | 313,200 | 322,800 | 280,400 | 1,316,200 | 1,240,500 | |||||||||||
Operating income (loss) | 51,200 | 34,400 | 69,900 | 30,000 | (170,700) | 48,500 | 63,400 | 4,500 | 185,511 | (54,287) | 223,989 | ||||||||||
Net income (loss) | $ 41,400 | $ 22,200 | $ 68,400 | $ 16,300 | $ (158,000) | $ 35,400 | $ 44,700 | $ 3,600 | $ 148,256 | $ (74,287) | $ 168,263 | ||||||||||
Earnings (loss) per share [Abstract] | |||||||||||||||||||||
Basic (in dollars per share) | $ 0.74 | [1] | $ 0.40 | [1] | $ 1.22 | [1] | $ 0.29 | [1] | $ (2.83) | [1],[2] | $ 0.63 | [1] | $ 0.79 | [1] | $ 0.06 | [1] | $ 2.65 | [1] | $ (1.32) | [1],[2] | $ 2.94 |
Diluted (in dollars per share) | $ 0.73 | [1] | $ 0.39 | [1] | $ 1.22 | [1] | $ 0.29 | [1] | $ (2.83) | [1],[2] | $ 0.63 | [1] | $ 0.79 | [1] | $ 0.06 | [1] | $ 2.63 | [1] | $ (1.32) | [1],[2] | $ 2.91 |
[1] | The sum of the quarterly earnings (loss) per share amounts may not agree to the respective annual amounts due to rounding. | ||||||||||||||||||||
[2] | In calculating diluted earnings (loss) per common share for the fourth quarter and year ended April 30, 2020, our diluted weighted average number of common shares outstanding excludes the effect of unvested restricted stock units and other stock awards as the effect was anti-dilutive. This occurs when a US GAAP net loss is reported and the effect of using dilutive shares is antidilutive. |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 25, 2021 | Jun. 10, 2021 | Jul. 31, 2021 | Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 |
Cash Dividends [Abstract] | ||||||
Total Dividend | $ 76,938 | $ 76,658 | $ 75,752 | |||
UK [Member] | Forecast [Member] | ||||||
UK Corporate Tax Rate [Abstract] | ||||||
Noncash US GAAP deferred tax expense | $ 20,000 | |||||
Class A Common Stock [Member] | ||||||
Cash Dividends [Abstract] | ||||||
Common stock dividend (in dollars per share) | $ 1.37 | $ 1.36 | $ 1.32 | |||
Class B Common [Member] | ||||||
Cash Dividends [Abstract] | ||||||
Common stock dividend (in dollars per share) | $ 1.37 | $ 1.36 | $ 1.32 | |||
Subsequent Event [Member] | UK [Member] | ||||||
UK Corporate Tax Rate [Abstract] | ||||||
Foreign statutory tax rate | 19.00% | |||||
Foreign statutory tax rate effective April 2023 | 25.00% | |||||
Subsequent Event [Member] | Dividend Declared in Q1 2022 [Member] | ||||||
Cash Dividends [Abstract] | ||||||
Total Dividend | $ 19,300 | |||||
Subsequent Event [Member] | Class A Common Stock [Member] | Dividend Declared in Q1 2022 [Member] | ||||||
Cash Dividends [Abstract] | ||||||
Dividend declared date | Jun. 22, 2021 | |||||
Common stock dividend (in dollars per share) | $ 0.3450 | |||||
Dividend payable date | Jul. 21, 2021 | |||||
Dividend record date | Jul. 6, 2021 | |||||
Subsequent Event [Member] | Class B Common [Member] | Dividend Declared in Q1 2022 [Member] | ||||||
Cash Dividends [Abstract] | ||||||
Dividend declared date | Jun. 22, 2021 | |||||
Common stock dividend (in dollars per share) | $ 0.3450 | |||||
Dividend payable date | Jul. 21, 2021 | |||||
Dividend record date | Jul. 6, 2021 |
Schedule II-VALUATION AND QUA_2
Schedule II-VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Apr. 30, 2021 | Apr. 30, 2020 | Apr. 30, 2019 | ||
Allowance for Sales Returns [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | [1] | $ 19,642 | $ 18,542 | $ 18,628 |
Charged to expenses | [1] | 36,997 | 48,829 | 37,483 |
Deductions from reserves and other | [1],[2] | 34,440 | 47,729 | 37,569 |
Balance at end of period | [1] | 22,199 | 19,642 | 18,542 |
Allowance for Sales Returns [Member] | ASU 2016-13 [Member] | Cumulative Effect of Change in Accounting Principle [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | [1],[3] | 0 | 0 | 0 |
Balance at end of period | [1],[3] | 0 | 0 | |
Allowance for Doubtful Accounts [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | 18,335 | 14,307 | 10,107 | |
Charged to expenses | 6,957 | 5,470 | 5,279 | |
Deductions from reserves and other | [2] | 5,594 | 1,442 | 1,079 |
Balance at end of period | 21,474 | 18,335 | 14,307 | |
Allowance for Doubtful Accounts [Member] | ASU 2016-13 [Member] | Cumulative Effect of Change in Accounting Principle [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | [3] | 1,776 | 0 | 0 |
Balance at end of period | [3] | 1,776 | 0 | |
Allowance for Inventory Obsolescence [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | 16,067 | 15,825 | 18,193 | |
Charged to expenses | 9,236 | 8,699 | 7,328 | |
Deductions from reserves and other | [2] | 11,333 | 8,457 | 9,696 |
Balance at end of period | 13,970 | 16,067 | 15,825 | |
Allowance for Inventory Obsolescence [Member] | ASU 2016-13 [Member] | Cumulative Effect of Change in Accounting Principle [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | [3] | 0 | 0 | 0 |
Balance at end of period | [3] | 0 | 0 | |
Valuation Allowance on Deferred Tax Assets [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | 23,287 | 21,179 | 8,811 | |
Charged to expenses | 3,213 | 2,108 | 51 | |
Deductions from reserves and other | [2] | 21,645 | 0 | (12,317) |
Balance at end of period | 4,855 | 23,287 | 21,179 | |
Valuation Allowance on Deferred Tax Assets [Member] | ASU 2016-13 [Member] | Cumulative Effect of Change in Accounting Principle [Member] | ||||
Valuation allowances and reserves [Roll Forward] | ||||
Balance at beginning of period | [3] | $ 0 | 0 | 0 |
Balance at end of period | [3] | $ 0 | $ 0 | |
[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 an increase in Contract liabilities with a corresponding increase in Inventories, net and a reduction in Accrued royalties for the years ended April 30, 2021, 2020, and 2019. | |||
[2] | Deductions From Reserves and Other for the years ended April 30, 2021, 2020, and 2019 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 for the year ended April 30, 2019 are foreign tax credits generated and valuation allowances needed in connection with the Tax Act. Substantially all of those foreign tax credits are expected to be used during the year ended April 30, 2021 eliminating the need for that portion of our valuation allowance. | |||
[3] | See Note 2, “Summary of Significant Accounting Policies, Recently Issued, and Recently Adopted Accounting Standards” of the Notes to Consolidated Financial Statements of this Form 10-K regarding the adoption of ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments”. We adopted the new standard on May 1, 2020, with a cumulative effect adjustment to retained earnings as of the beginning of the year of adoption. |