Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2021 | Jul. 28, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2021 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | SS&C TECHNOLOGIES HOLDINGS, INC. | |
Entity Central Index Key | 0001402436 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 255,256,954 | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity File Number | 001-34675 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 71-0987913 | |
Entity Address, Address Line One | 80 Lamberton Road | |
Entity Address, City or Town | Windsor | |
Entity Address, State or Province | CT | |
Entity Address, Postal Zip Code | 06095 | |
City Area Code | 860 | |
Local Phone Number | 298-4500 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Security12b Title | Common stock, par value $0.01 per share | |
Trading Symbol | SSNC | |
Security Exchange Name | NASDAQ |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 247.1 | $ 209.3 |
Funds receivable and funds held on behalf of clients | 2,921.3 | 1,227.4 |
Accounts receivable, net of allowance for doubtful accounts of $18.1 and $16.8, respectively | 711.8 | 648 |
Contract asset | 26.9 | 20.4 |
Prepaid expenses and other current assets | 216.8 | 187.5 |
Restricted cash and cash equivalents | 3.9 | 5.9 |
Total current assets | 4,127.8 | 2,298.5 |
Property, plant and equipment, net (Note 2) | 394.2 | 412.8 |
Operating lease right-of-use assets | 323.5 | 350.8 |
Investments (Note 3) | 172.8 | 183.5 |
Unconsolidated affiliates (Note 4) | 219.8 | 225.6 |
Contract asset | 76 | 82 |
Goodwill (Note 6) | 8,080.8 | 8,078.7 |
Intangible and other assets, net of accumulated amortization of $2,669.2 and $2,655.6, respectively | 4,040.2 | 4,291.7 |
Total assets | 17,435.1 | 15,923.6 |
Current liabilities: | ||
Current portion of long-term debt (Note 7) | 55.2 | 53.9 |
Client funds obligations | 2,921.3 | 1,227.4 |
Accounts payable | 29.8 | 28.1 |
Income taxes payable | 33.2 | 9.3 |
Accrued employee compensation and benefits | 205.5 | 311.5 |
Interest payable | 27.5 | 27.5 |
Other accrued expenses | 336.6 | 293.1 |
Deferred revenues | 335.7 | 332.5 |
Total current liabilities | 3,944.8 | 2,283.3 |
Long-term debt, net of current portion (Note 7) | 6,214.9 | 6,388.5 |
Operating lease liabilities | 297.4 | 323.6 |
Other long-term liabilities | 277.1 | 287.9 |
Deferred income taxes | 877.2 | 923.8 |
Total liabilities | 11,611.4 | 10,207.1 |
Commitments and contingencies (Note 13) | ||
Stockholders’ equity (Note 8): | ||
Preferred stock, $0.01 par value per share, 5.0 million shares authorized; no shares issued | ||
Common stock | 2.7 | 2.6 |
Additional paid-in capital | 4,682.8 | 4,544 |
Accumulated other comprehensive loss | (190.3) | (201) |
Retained earnings | 1,949.6 | 1,667 |
Stockholders' equity before treasury stock | 6,444.8 | 6,012.6 |
Less: cost of common stock in treasury, 10.9 and 6.3 million shares, respectively | (621.1) | (296.1) |
Total stockholders’ equity | 5,823.7 | 5,716.5 |
Total liabilities and stockholders’ equity | 17,435.1 | 15,923.6 |
Class A Non-Voting Common Stock [Member] | ||
Stockholders’ equity (Note 8): | ||
Common stock |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Allowance for doubtful accounts receivable | $ 18.1 | $ 16.8 |
Accumulated amortization of finite-lived intangible assets | $ 2,669.2 | $ 2,655.6 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 266,200,000 | 263,900,000 |
Common stock, shares outstanding | 255,200,000 | 257,600,000 |
Treasury stock, shares | 10,900,000 | 6,300,000 |
Class A Non-Voting Common Stock [Member] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 5,000,000 | 5,000,000 |
Common stock, shares issued | 0 | 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenues: | ||||
Total revenues | $ 1,259 | $ 1,138.1 | $ 2,492.4 | $ 2,311.7 |
Cost of revenues: | ||||
Total cost of revenues | 664 | 626.8 | 1,338.3 | 1,292.4 |
Gross profit | 595 | 511.3 | 1,154.1 | 1,019.3 |
Operating expenses: | ||||
Selling and marketing | 97.7 | 84.3 | 189.7 | 175.7 |
Research and development | 100.8 | 96.8 | 208.7 | 201.7 |
General and administrative | 83.6 | 88.9 | 173.7 | 181.8 |
Total operating expenses | 282.1 | 270 | 572.1 | 559.2 |
Operating income | 312.9 | 241.3 | 582 | 460.1 |
Interest expense, net | (51) | (60.5) | (102.4) | (137.9) |
Other income, net | 6.5 | 19 | 24.5 | 3.7 |
Equity in earnings of unconsolidated affiliates, net | (0.4) | (1) | (0.1) | (0.3) |
(Loss) gain on extinguishment of debt | (1.5) | 0.2 | (1.8) | (2.6) |
Income before income taxes | 266.5 | 199 | 502.2 | 323 |
Provision for income taxes | 76.7 | 29.5 | 137.5 | 54.3 |
Net income | $ 189.8 | $ 169.5 | $ 364.7 | $ 268.7 |
Basic earnings per share | $ 0.74 | $ 0.66 | $ 1.42 | $ 1.05 |
Diluted earnings per share | $ 0.71 | $ 0.64 | $ 1.36 | $ 1.01 |
Basic weighted-average number of common shares outstanding | 255.7 | 257 | 256.4 | 256.1 |
Diluted weighted-average number of common and common equivalent shares outstanding | 267.6 | 265.8 | 267.8 | 265.7 |
Net income | $ 189.8 | $ 169.5 | $ 364.7 | $ 268.7 |
Other comprehensive income (loss), net of tax: | ||||
Change in unrealized (loss) gain on interest rate swaps | (0.2) | (0.3) | 0.3 | (2.7) |
Foreign currency exchange translation adjustment | 1.9 | 34.1 | 10.3 | (116.6) |
Change in defined benefit pension obligation | 0.1 | 0.1 | ||
Total other comprehensive income (loss), net of tax | 1.8 | 33.8 | 10.7 | (119.3) |
Comprehensive income | 191.6 | 203.3 | 375.4 | 149.4 |
Software-enabled Services [Member] | ||||
Revenues: | ||||
Total revenues | 1,057.1 | 945 | 2,100.5 | 1,934.5 |
Cost of revenues: | ||||
Total cost of revenues | 582.8 | 549.9 | 1,178.3 | 1,133.4 |
License, Maintenance and Related [Member] | ||||
Revenues: | ||||
Total revenues | 201.9 | 193.1 | 391.9 | 377.2 |
Cost of revenues: | ||||
Total cost of revenues | $ 81.2 | $ 76.9 | $ 160 | $ 159 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flow from operating activities: | ||
Net income | $ 364.7 | $ 268.7 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 335.3 | 364.1 |
Equity in earnings of unconsolidated affiliates, net | 0.1 | 0.3 |
Cash distributions received from unconsolidated affiliates | 10 | 8 |
Gain on bargain purchase | (3.2) | |
Stock-based compensation expense | 55.5 | 44.6 |
Net gains on investments | (17.2) | (5.5) |
Amortization and write-offs of loan origination costs and original issue discounts | 6.7 | 6.9 |
Loss on extinguishment of debt, net | 1.8 | 0.9 |
Loss on sale or disposition of property and equipment | 0.1 | 4 |
Deferred income taxes | (47.2) | (84.1) |
Provision for doubtful accounts | 4.5 | 4.8 |
Changes in operating assets and liabilities, excluding effects from acquisitions: | ||
Accounts receivable | (63.7) | (11.9) |
Prepaid expenses and other assets | (17.5) | (16.5) |
Contract assets | (0.8) | (3.7) |
Accounts payable | (0.1) | 4 |
Accrued expenses and other liabilities | (82.1) | (91.8) |
Income taxes prepaid and payable | 32.2 | 101.6 |
Deferred revenue | (16.8) | (38.7) |
Net cash provided by operating activities | 562.3 | 555.7 |
Cash flow from investing activities: | ||
Cash paid for business acquisitions, net of cash acquired | 7.3 | (114.1) |
Additions to property and equipment | (17.6) | (16) |
Additions to capitalized software | (42.1) | (35.9) |
Investments in securities | (10) | (40.8) |
Proceeds from sales / maturities of investments | 38.9 | 33.7 |
Collection of other non-current receivables | 5.6 | 5 |
Net cash used in investing activities | (17.9) | (168.1) |
Cash flow from financing activities: | ||
Cash received from debt borrowings | 210 | 246 |
Repayments of debt | (393.1) | (503.3) |
Net increase (decrease) in client funds obligations | 1,682.7 | (947.4) |
Proceeds from exercise of stock options | 88.9 | 82.8 |
Withholding taxes paid related to equity award net share settlement | (5.6) | (7.3) |
Purchases of common stock for treasury | (325) | (27.9) |
Dividends paid on common stock | (82.1) | (64) |
Net cash provided by (used in) financing activities | 1,175.8 | (1,221.1) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (1.6) | (5.4) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 1,718.6 | (838.9) |
Cash, cash equivalents and restricted cash, beginning of period | 1,337.9 | 1,789.4 |
Cash, cash equivalents and restricted cash and cash equivalents, end of period | 3,056.5 | 950.5 |
Reconciliation of cash, cash equivalents and restricted cash and cash equivalents: | ||
Cash and cash equivalents | 247.1 | 261.9 |
Restricted cash and cash equivalents | 3.9 | 8.4 |
Restricted cash and cash equivalents included in funds receivable and funds held on behalf of clients | 2,805.5 | 680.2 |
Cash and cash equivalents and restricted cash | $ 3,056.5 | $ 950.5 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive (Loss) Income [Member] | Treasury Stock [Member] |
Beginning balance at Dec. 31, 2019 | $ 5,116.1 | $ 2.6 | $ 4,266.9 | $ 1,177.9 | $ (253) | $ (78.3) |
Beginning balance, shares at Dec. 31, 2019 | 257.6 | |||||
Net income | 268.7 | 268.7 | ||||
Foreign exchange translation adjustment | (116.6) | (116.6) | ||||
Net change in interest rate swaps | (2.7) | (2.7) | ||||
Stock-based compensation expense | 44.6 | 44.6 | ||||
Exercise of options, net of withholding taxes | 75.5 | 75.5 | ||||
Exercise of options, net of withholding taxes, shares | 3.1 | |||||
Non-cash purchase price consideration | 20.1 | 10.2 | 9.9 | |||
Purchases of common stock | (27.9) | (27.9) | ||||
Cash dividends declared | (64) | 0.2 | (64.2) | |||
Ending balance at Jun. 30, 2020 | 5,313.8 | $ 2.6 | 4,397.4 | 1,382.4 | (372.3) | (96.3) |
Ending balance, shares at Jun. 30, 2020 | 260.7 | |||||
Beginning balance at Mar. 31, 2020 | 5,087.6 | $ 2.6 | 4,324.3 | 1,245.1 | (406.1) | (78.3) |
Beginning balance, shares at Mar. 31, 2020 | 259 | |||||
Net income | 169.5 | 169.5 | ||||
Foreign exchange translation adjustment | 34.1 | 34.1 | ||||
Net change in interest rate swaps | (0.3) | (0.3) | ||||
Stock-based compensation expense | 22.1 | 22.1 | ||||
Exercise of options, net of withholding taxes | 40.7 | 40.7 | ||||
Exercise of options, net of withholding taxes, shares | 1.7 | |||||
Non-cash purchase price consideration | 20.1 | 10.2 | 9.9 | |||
Purchases of common stock | (27.9) | (27.9) | ||||
Cash dividends declared | (32.1) | 0.1 | (32.2) | |||
Ending balance at Jun. 30, 2020 | 5,313.8 | $ 2.6 | 4,397.4 | 1,382.4 | (372.3) | (96.3) |
Ending balance, shares at Jun. 30, 2020 | 260.7 | |||||
Beginning balance at Dec. 31, 2020 | $ 5,716.5 | $ 2.6 | 4,544 | 1,667 | (201) | (296.1) |
Beginning balance, shares at Dec. 31, 2020 | 263.9 | 263.9 | ||||
Net income | $ 364.7 | 364.7 | ||||
Foreign exchange translation adjustment | 10.3 | 10.3 | ||||
Net change in interest rate swaps | 0.3 | 0.3 | ||||
Change in defined benefit plan obligation | 0.1 | 0.1 | ||||
Stock-based compensation expense | 55.5 | 55.5 | ||||
Exercise of options, net of withholding taxes | 83.3 | $ 0.1 | 83.2 | |||
Exercise of options, net of withholding taxes, shares | 2.3 | |||||
Purchases of common stock | (325) | (325) | ||||
Cash dividends declared | (82) | 0.1 | (82.1) | |||
Ending balance at Jun. 30, 2021 | $ 5,823.7 | $ 2.7 | 4,682.8 | 1,949.6 | (190.3) | (621.1) |
Ending balance, shares at Jun. 30, 2021 | 266.2 | 266.2 | ||||
Beginning balance at Mar. 31, 2021 | $ 5,734.2 | $ 2.6 | 4,600.5 | 1,800.7 | (192.1) | (477.5) |
Beginning balance, shares at Mar. 31, 2021 | 264.7 | |||||
Net income | 189.8 | 189.8 | ||||
Foreign exchange translation adjustment | 1.9 | 1.9 | ||||
Net change in interest rate swaps | (0.2) | (0.2) | ||||
Change in defined benefit plan obligation | 0.1 | 0.1 | ||||
Stock-based compensation expense | 27.7 | 27.7 | ||||
Exercise of options, net of withholding taxes | 54.6 | $ 0.1 | 54.5 | |||
Exercise of options, net of withholding taxes, shares | 1.5 | |||||
Purchases of common stock | (143.6) | (143.6) | ||||
Cash dividends declared | (40.8) | 0.1 | (40.9) | |||
Ending balance at Jun. 30, 2021 | $ 5,823.7 | $ 2.7 | $ 4,682.8 | $ 1,949.6 | $ (190.3) | $ (621.1) |
Ending balance, shares at Jun. 30, 2021 | 266.2 | 266.2 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement Of Stockholders Equity [Abstract] | ||||
Cash dividends declared per share | $ 0.16 | $ 0.125 | $ 0.32 | $ 0.25 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | Note 1—Basis of Presentation The accompanying financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These accounting principles were applied on a basis consistent with those of the audited Consolidated Financial Statements contained in our Annual Report on Form 10-K for the year ended December 31, 2020, filed with the Securities and Exchange Commission (the “SEC”) on February 25, 2021 (the “2020 Form 10-K”). The inputs into our judgments and estimates consider the economic implications of COVID-19 on our critical and significant accounting estimates. In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements contain all adjustments (consisting of only normal recurring adjustments, except as noted elsewhere in the notes to the Condensed Consolidated Financial Statements) necessary for a fair statement of our financial position as of June 30, 2021, the results of our operations for the three and six months ended June 30, 2021 and 2020, and our cash flows for the six months ended June 30, 2021 and 2020. These statements do not include all of the information and footnotes required by GAAP for annual financial statements. The Condensed Consolidated Financial Statements contained herein should be read in conjunction with the audited Consolidated Financial Statements and footnotes as of and for the year ended December 31, 2020, which were included in the 2020 Form 10-K. The December 31, 2020 Consolidated Balance Sheet data were derived from audited financial statements but do not include all disclosures required by GAAP for annual financial statements. The results of operations for the three and six months ended June 30, 2021 are not necessarily indicative of the expected results for any subsequent quarters or the full year. Recently Adopted Accounting Pronouncement In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (Topic 740) Recent Accounting Pronouncement Not Yet Effective 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 Reference Rate Reform (Topic 848): Scope |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 6 Months Ended |
Jun. 30, 2021 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment, Net | Note 2—Property, Plant and Equipment, net Property, plant and equipment and the related accumulated depreciation are as follows (in millions): June 30, December 31, 2021 2020 Land $ 54.3 $ 48.0 Building and improvements 311.3 307.4 Equipment, furniture, and fixtures 458.7 463.1 824.3 818.5 Less: accumulated depreciation and amortization (430.1 ) (405.7 ) Total property, plant and equipment, net $ 394.2 $ 412.8 Depreciation expense for the three and six months ended June 30, 2021 was $19.5 million and $44.4 million, respectively. Depreciation expense for the three and six months ended June 30, 2020 was $27.1 million and $54.1 million, respectively. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2021 | |
Investments Debt And Equity Securities [Abstract] | |
Investments | Note 3—Investments Investments are as follows (in millions): June 30, December 31, 2021 2020 Non-marketable equity securities $ 84.5 $ 84.5 Marketable equity securities 40.9 38.0 Seed capital investments 25.1 21.2 Partnership interests in private equity funds 22.3 39.8 Total investments $ 172.8 $ 183.5 Realized and unrealized gains and losses for our equity securities are as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Unrealized gains (losses) on equity securities held as of the end of the period $ 3.1 $ 10.4 $ 8.9 $ (0.8 ) Realized gains for equity securities sold during the period 0.6 6.1 7.7 7.8 Total gains recognized in other income, net $ 3.7 $ 16.5 $ 16.6 $ 7.0 Fair Value Measurement Authoritative accounting guidance on fair value measurements establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs for which little or no market data exists, therefore requiring an entity to develop its own assumptions. As of June 30, 2021 and December 31, 2020, we held certain investment assets and certain liabilities that are required to be measured at fair value on a recurring basis. These investments include money market funds and marketable equity securities where fair value is determined using quoted prices in active markets. Accordingly, the fair value measurements of these investments have been classified as Level 1 in the tables below. Investments for which we elected net asset value as a practical expedient for fair value and investments measured using the fair value measurement alternative are excluded from the tables below. Fair value for deferred compensation liabilities that are credited with deemed gains or losses of the underlying hypothetical investments, primarily equity securities, have been classified as Level 1 in the tables below. The following tables present assets and liabilities measured at fair value on a recurring basis (in millions): Fair Value Measurements at Reporting Date Using June 30, 2021 Quoted prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market funds (1) $ 1,862.4 $ 1,862.4 $ — $ — Marketable equity securities (2) 40.9 40.9 — — Seed capital investments (2) 25.1 25.1 — — Deferred compensation liabilities (3) (21.2 ) (21.2 ) — — Total $ 1,907.2 $ 1,907.2 $ — $ — Fair Value Measurements at Reporting Date Using December 31, 2020 Quoted prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market funds (1) $ 698.9 $ 698.9 $ — $ — Marketable equity securities (2) 38.0 38.0 — — Seed capital investments (2) 21.2 21.2 — — Deferred compensation liabilities (3) (20.3 ) (20.3 ) — — Total $ 737.8 $ 737.8 $ — $ — _____________________________________________________ (1) Included in Cash and cash equivalents and Funds receivable and funds held on behalf of clients on the Condensed Consolidated Balance Sheet. (2) Included in Investments on the Condensed Consolidated Balance Sheet. (3) Included in Other long-term liabilities on the Condensed Consolidated Balance Sheet. We have partnership interests in various private equity funds that are not included in the tables above. Our investments in private equity funds were $22.3 million and $39.8 million at June 30, 2021 and December 31, 2020, respectively, of which $17.6 million and $35.7 million, respectively, were measured using net asset value as a practical expedient for fair value and $4.7 million and $4.1 million, respectively, were accounted for under the equity method of accounting. The investments in private equity funds represent underlying investments in domestic and international markets across various industry sectors. Generally, our investments in private equity funds are non-transferable or are subject to long holding periods, and withdrawals from the private equity firm partnerships are typically not permitted. The maximum risk of loss related to our private equity fund investments is limited to the carrying value of its investments in the entities. |
Unconsolidated Affiliates
Unconsolidated Affiliates | 6 Months Ended |
Jun. 30, 2021 | |
Investments Debt And Equity Securities [Abstract] | |
Unconsolidated Affiliates | Note 4—Unconsolidated Affiliates Investments in unconsolidated affiliates are as follows (in millions): June 30, 2021 December 31, 2020 Ownership Percentage Carrying Value Excess carrying value of investment over proportionate share of net assets Carrying Value Excess carrying value of investment over proportionate share of net assets International Financial Data Services L.P. 50% $ 89.6 $ 39.9 $ 97.5 $ 41.5 Pershing Road Development Company, LLC 50% 75.8 71.5 74.1 72.7 Broadway Square Partners, LLP 50% 53.4 29.5 52.6 29.6 Other unconsolidated affiliates 1.0 — 1.4 — Total $ 219.8 $ 140.9 $ 225.6 $ 143.8 Investments in unconsolidated affiliates are accounted for under the equity method of accounting. We record our proportionate share of the results of the unconsolidated affiliates and amortization expense related to basis differences in Equity in earnings of unconsolidated affiliates, net on the Condensed Consolidated Statement of Comprehensive Income. One of the unconsolidated affiliates is a party to an interest rate swap agreement. We record our proportionate share of the change in value of the interest rate swap agreement in Accumulated other comprehensive loss. Amounts reclassified from Accumulated other comprehensive loss to Net income are recorded in Equity in earnings of unconsolidated affiliates, net on the Condensed Consolidated Statement of Comprehensive Income. Equity in earnings of unconsolidated affiliates, net are as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 International Financial Data Services L.P. $ 0.5 $ 1.0 $ 2.1 $ 1.7 Pershing Road Development Company, LLC 0.3 0.4 1.2 1.2 Broadway Square Partners, LLP 0.4 0.4 0.8 0.6 Other unconsolidated affiliates (1.6 ) (2.8 ) (4.2 ) (3.8 ) Total $ (0.4 ) $ (1.0 ) $ (0.1 ) $ (0.3 ) |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2021 | |
Business Combinations [Abstract] | |
Acquisitions | Note 5—Acquisitions Capita On March 1, 2021, we purchased all of the outstanding stock of Capita Life & Pensions Services (Ireland) Limited (“Capita”) and certain related businesses. The acquisition of Capita resulted in a net receipt of approximately $7.1 million in cash, as the amount of cash acquired exceeded the cash paid consideration. Capita provides business process management, technology and consultancy services to the international life and pensions sector. Services offered include financial and back-office administration, claims management, actuarial and financial reporting, investment administration, product and IT development and business transformation services. The net assets and results of operations of Capita have been included in our Condensed Consolidated Financial Statements from March 1, 2021. The excess of fair values of the net assets over the purchase price was recorded as a gain on bargain purchase within other income, net on the Condensed Consolidated Statement of Comprehensive Income. There are $11.2 million and $14.9 million in revenues from Capita’s operations included in the Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2021, respectively. The following summarizes the preliminary allocation of the purchase price for the 2021 acquisition of Capita. The assets and liabilities pending finalization include the valuation of acquired tangible assets and the evaluation of taxes (in millions): Capita Accounts receivable $ 3.8 Fixed assets 0.5 Other assets 5.5 Accounts payable (3.5 ) Deferred revenue (3.1 ) Other liabilities assumed (7.1 ) Gain on bargain purchase (3.2 ) Consideration paid, net of cash acquired $ (7.1 ) We recorded severance expense related to personnel reductions in connection with the continued integration efforts associated with the acquisitions of DST and Algorithmics during the six months ended June 30, 2021 and DST, Eze and Intralinks during the six months ended June 30, 2020. The amount of severance expense recognized in our Condensed Consolidated Statements of Comprehensive Income for the six months ended June 30, 2021 and 2020 was as follows (in millions): Six Months Ended June 30, Consolidated Statements of Comprehensive Income Classification 2021 2020 Cost of software-enabled services $ 14.1 $ 21.5 Cost of license, maintenance and other related 1.2 1.2 Total cost of revenues 15.3 22.7 Selling and marketing 1.2 1.4 Research and development 5.8 5.1 General and administrative 0.6 2.5 Total operating expenses 7.6 9.0 Total severance expense $ 22.9 $ 31.7 The following unaudited pro forma information is provided for illustrative purposes only and assumes that the acquisition of Capita occurred on January 1, 2020 and the acquisitions of Captricity and Innovest occurred on January 1, 2019, after giving effect to certain adjustments, including amortization of intangibles, interest, transaction costs and tax effects. This unaudited pro forma information (in millions, except per share data) should not be relied upon as being indicative of the historical results that would have been obtained if the acquisitions had actually occurred on those dates, nor of the results that may be obtained in the future. Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Revenues $ 1,260.9 $ 1,154.9 $ 2,503.6 $ 2,355.1 Net income $ 191.0 $ 172.1 $ 368.3 $ 274.0 |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | Note 6—Goodwill The change in carrying value of goodwill as of and for the six months ended June 30, 2021 is as follows (in millions): Balance at December 31, 2020 $ 8,078.7 Adjustments to prior acquisitions (0.3 ) Effect of foreign currency translation 2.4 Balance at June 30, 2021 $ 8,080.8 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Note 7—Debt At June 30, 2021 and December 31, 2020, debt consisted of the following (in millions): June 30, December 31, 2021 2020 Senior secured credit facilities, weighted-average interest rate of 1.85% and 1.90%, respectively $ 4,304.5 $ 4,485.9 5.5% senior notes due 2027 2,000.0 2,000.0 Other indebtedness 11.4 10.1 Unamortized original issue discount and debt issuance costs (45.8 ) (53.6 ) 6,270.1 6,442.4 Less: current portion of long-term debt 55.2 53.9 Long-term debt $ 6,214.9 $ 6,388.5 Fair Value of Debt The carrying amounts and fair values of financial instruments are as follows (in millions): June 30, 2021 December 31, 2020 Carrying Fair Carrying Fair Amount Value Amount Value Financial liabilities: Senior secured credit facilities $ 4,304.5 $ 4,251.5 $ 4,485.9 $ 4,426.0 5.5% senior notes due 2027 2,000.0 2,119.4 2,000.0 2,136.0 Other indebtedness 11.4 11.5 10.1 10.2 The above fair values, which are Level 2 liabilities, were computed based on comparable quoted market prices. The fair values of cash, accounts receivable, net, short-term borrowings, and accounts payable approximate the carrying amounts due to the short-term maturities of these instruments. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Stockholders' Equity | Note 8 —Stockholders’ E quity Stock repurchase program In August 2019, our Board of Directors authorized the repurchase of up to $500 million of our common stock on the open market or in privately negotiated transactions. In July 2020, our Board of Directors authorized the renewal and increase of our stock repurchase program, which enables us to repurchase up to $750 million in the aggregate of our outstanding common stock. During the three and six months ended June 30, 2021, we repurchased 2.0 million and 4.7 million shares, respectively, of common stock for approximately $143.6 million and $325.0 million, respectively. During the three months ended June 30, 2020, we repurchased 0.5 million shares of common stock for approximately $27.9 million. We use the cost method to account for treasury stock purchases. Under the cost method, the price paid for the stock is charged to the treasury stock account. In July 2021, our Board of Directors authorized a stock repurchase program, which will enable us to repurchase up to $1 billion in the aggregate of our outstanding common stock. Our authority to repurchase shares under the program will continue until the one-year anniversary of the Board’s authorization, unless earlier terminated by the Board. Dividends We paid a quarterly cash dividend of $0.16 per share of common stock in March and June of 2021 totaling $82.1 million. We paid a quarterly cash dividend of $0.125 per share of common stock in March and June of 2020 totaling $64.0 million. Accumulated Accumulated other comprehensive loss balances, net of tax, consists of the following (in millions): Interest Rate Swap Foreign Currency Translation Defined Benefit Obligation Accumulated Other Comprehensive Loss Balance, December 31, 2020 $ (5.5 ) $ (192.3 ) $ (3.2 ) $ (201.0 ) Net current period other comprehensive income 0.3 10.3 0.1 10.7 Balance, June 30, 2021 $ (5.2 ) $ (182.0 ) $ (3.1 ) $ (190.3 ) Adjustments to accumulated other comprehensive loss are as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Pretax Tax Effect Pretax Tax Effect Pretax Tax Effect Pretax Tax Effect Interest Rate Swap Unrealized (losses) gains on interest rate swaps $ (1.0 ) $ — $ (1.1 ) $ 0.1 $ 1.2 $ (0.2 ) $ (2.7 ) $ 1.0 Reclassification of losses (gains) into net earnings on interest rate swaps 0.8 — 0.7 — (0.7 ) — (1.0 ) — Net change in cash flow hedges (0.2 ) — (0.4 ) 0.1 0.5 (0.2 ) (3.7 ) 1.0 Defined Benefit Pension Unrealized net gain on defined benefit pension plan 0.1 — — — 0.1 — — — Net change in defined benefit pension 0.1 — — — 0.1 — — — Foreign Currency Translation Current period translation adjustments 3.6 (1.7 ) 34.6 (0.5 ) 9.9 0.4 (116.9 ) 0.3 Net cumulative translation adjustments 3.6 (1.7 ) 34.6 (0.5 ) 9.9 0.4 (116.9 ) 0.3 Total other comprehensive income (loss) $ 3.5 $ (1.7 ) $ 34.2 $ (0.4 ) $ 10.5 $ 0.2 $ (120.6 ) $ 1.3 |
Revenues
Revenues | 6 Months Ended |
Jun. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenues | Note 9—Revenues We generate revenues primarily through our software-enabled services. Our software-enabled services are generally provided under contracts with initial terms of one to five years that require monthly or quarterly payments and are subject to automatic annual renewal at the end of the initial term unless terminated by either party. We also generate revenues by licensing our software to clients through either perpetual or term licenses and by selling maintenance services. We classify license revenues related to sales-based royalty arrangements as term license revenue. Maintenance services are generally provided under annually renewable contracts. Our pricing typically scales as a function of our clients’ assets under management, the complexity of asset classes managed, the volume of transactions and the level of service the client requires. Revenues from professional services consist mostly of services provided on a time and materials basis. Deferred revenues primarily represent unrecognized fees billed or collected for maintenance and professional services. Deferred revenues are recognized as (or when) we perform under the contract. Deferred revenues are recorded on a net basis with contract assets at the contract level. Accordingly, as of June 30, 2021 and December 31, 2020, approximately $56.7 million and $53.9 million, respectively, of deferred revenue is presented net within contract assets arising from the same contracts. The amount of revenues recognized in the period that was included in the opening deferred revenues balance was $78.7 million and $181.8 million for the three and six months ended June 30, 2021, respectively. The amount of revenues recognized in the period that was included in the opening deferred revenue balance was $79.9 million and $187.9 million for the three and six months ended June 30, 2020, respectively. As of June 30, 2021, revenue of approximately $558.4 million is expected to be recognized from remaining performance obligations for license, maintenance and related revenues, of which $298.0 million is expected to be recognized over the next twelve months. We record revenue net of any taxes assessed by governmental authorities. Revenue Disaggregation The following table disaggregates our revenues by geography (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 United States $ 894.6 $ 837.4 $ 1,773.0 $ 1,699.5 United Kingdom 155.2 141.7 305.5 297.9 Europe (excluding United Kingdom), Middle East and Africa 85.9 59.8 155.7 122.8 Asia-Pacific and Japan 56.4 47.1 125.4 92.5 Canada 45.3 34.4 93.3 62.9 Americas, excluding United States and Canada 21.6 17.7 39.5 36.1 Total $ 1,259.0 $ 1,138.1 $ 2,492.4 $ 2,311.7 The following table disaggregates our revenues by source (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Software-enabled services $ 1,057.1 $ 945.0 $ 2,100.5 $ 1,934.5 Maintenance and term licenses 166.5 163.5 329.7 323.3 Professional services 25.7 23.7 49.2 43.7 Perpetual licenses 9.7 5.9 13.0 10.2 Total $ 1,259.0 $ 1,138.1 $ 2,492.4 $ 2,311.7 |
Stock Based Compensation
Stock Based Compensation | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Stock Based Compensation | Note 10—Stock Based Compensation S tock options, SARs and RSUs The amount of stock-based compensation expense recognized in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2021 and 2020 was as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, Condensed Consolidated Statements of Comprehensive Income Classification 2021 2020 2021 2020 Cost of software-enabled services $ 9.7 $ 8.7 $ 20.7 $ 17.8 Cost of license, maintenance and other related 1.4 1.3 3.1 2.6 Total cost of revenues 11.1 10.0 23.8 20.4 Selling and marketing 5.1 3.4 9.7 6.9 Research and development 3.6 2.7 7.2 5.6 General and administrative 7.9 6.0 14.8 11.7 Total operating expenses 16.6 12.1 31.7 24.2 Total stock-based compensation expense $ 27.7 $ 22.1 $ 55.5 $ 44.6 The following table summarizes stock option and stock appreciation rights (“SARs”) activity as well as restricted stock unit (“RSUs”) activity for the six months ended June 30, 2021 (shares in millions): Stock Options and SARs RSUs Outstanding at December 31, 2020 42.7 0.2 Granted 0.7 — Cancelled/forfeited (0.8 ) — Vested — (0.2 ) Exercised (2.2 ) — Outstanding at June 30, 2021 40.4 — Performance-Based Stock Option Awards In March 2021, our named executive officers were granted performance-based stock options that vest at the end of a 3-year performance period based on average annual growth in earnings per share over the period and have a maximum term of 10 years. The performance-based stock options have an exercise price of $68.52 per share and a grant date fair value of $17.90 per share. These awards include annual performance growth targets and will measure performance against the target throughout the 3-year performance period. Performance is measured relative to a 3-year average annual growth rate that is established at the beginning of the cycle and held constant. Our executive officers will only be entitled to receive any portion of the performance stock option awards that are earned if they remain employed through the final determination of the satisfaction of these performance goals after the conclusion of our 2023 fiscal year. The total number of options to be issued if we achieve the targeted growth rate during the measurement period is 530,000. The actual number of options that will be issued ranges from zero, if the threshold level of performance is not achieved, to 200% of the targeted number of options, if the annual growth rate meets or exceeds a specified level |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 11—Income Taxes The effective tax rate was 28.8% and 14.8% for the three months ended June 30, 2021 and 2020, respectively, and 27.4% and 16.8% for the six months ended June 30, 2021 and 2020, respectively. The change in the effective tax rate for the three and six months ended June 30, 2021 compared to the respective prior year periods was primarily due to recognition of tax expense related to a law change in the United Kingdom, a decrease in recognition of windfall tax benefits from stock awards in the current year, and a proportionate change in the composition of income before income taxes from foreign and domestic tax jurisdictions. In addition, the effective tax rate for the three and six months ended June 30, 2020 included recognition of a state tax benefit related to a law change. |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Note 12—Earnings per Share The following table sets forth the computation of basic and diluted EPS (in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Net income $ 189.8 $ 169.5 $ 364.7 $ 268.7 Shares: Weighted-average common shares outstanding – used in calculation of basic EPS 255.7 257.0 256.4 256.1 Weighted-average common stock equivalents – stock options and restricted shares 11.9 8.8 11.4 9.6 Weighted-average common and common equivalent shares outstanding – used in calculation of diluted EPS 267.6 265.8 267.8 265.7 Earnings per share – Basic $ 0.74 $ 0.66 $ 1.42 $ 1.05 Earnings per share – Diluted $ 0.71 $ 0.64 $ 1.36 $ 1.01 Stock options and SARs representing 8.7 million and 15.8 million shares were outstanding for the three and six months ended June 30, 2021, respectively, but were not included in the computation of diluted EPS because the effect of including them would be anti-dilutive. Stock options and SARs representing 12.4 million and 12.3 million shares were outstanding for the three and six months ended June 30, 2020, respectively, but were not included in the computation of diluted EPS because the effect of including them would be anti-dilutive. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 13—Commitments and Contingencies From time to time, we are subject to legal proceedings and claims. In our opinion, we are not involved in any litigation or proceedings that would have a material adverse effect on us or our business. Legal Proceedings A putative representative action suit was filed against DST, the Compensation Committee of DST’s Board of Directors, the Advisory Committee of DST Systems, Inc. 401(k) Profit Sharing Plan (the “Plan”) and certain of DST’s present and/or former officers and directors, alleging breach of fiduciary duties and other violations of the Employee Retirement Income Security Act (“ERISA”). On September 1, 2017, a complaint was filed purportedly on behalf of the Plan in the United States District Court for the Southern District of New York, captioned Ferguson, et al v. Ruane Cunniff & Goldfarb Inc., et al., (“Ferguson”), naming as defendants DST, the Compensation Committee of DST’s Board of Directors, the Advisory Committee of the Plan and certain of DST’s present and/or former officers and directors (collectively the “DST Defendants”). On September 18, 2019, the United States District Court for the Southern District of New York granted a partial dismissal related to certain claims against the DST Defendants concerning the 401k portion of the Plan. On October 31, 2019, the DST Defendants filed an answer to the amended complaint and asserted crossclaims for contribution and/or indemnification against Ruane, Cunniff & Goldfarb Inc. (“Ruane”). On January 9, 2020, Ruane filed an amended answer to the amended complaint asserting crossclaims for contribution and/or indemnification against DST. Both DST and Ruane have filed answers denying the crossclaims asserted against them. On April 10, 2020, Plaintiffs filed a motion for leave to file a third amended complaint as well as a motion to certify a class. The DST Defendants did not oppose those motions. The Court ordered supplemental briefing on Plaintiffs’ motion for class certification, which was completed on July 29, 2020. On March 8, 2021, the Court entered an order denying without prejudice Plaintiffs’ motions for leave to file a third amended complaint and for class certification, setting a new briefing schedule, and ordering that the parties address the effect, if any, on Plaintiffs’ motions of the March 4, 2021 decision by the United States Court of Appeals for the Second Circuit Court in Cooper v. Ruane Cunniff & Goldfarb Inc. Plaintiffs renewed their motions for leave to file a third amended complaint and for class certification on April 5, 2021. Those motions were fully briefed on May 10, 2021. Plaintiffs’ motions for leave to file a third amended complaint and for class certification remain pending. On July 10, 2020, Plaintiffs and the DST Defendants reached an agreement in principle to settle the putative class claims for $27 million, subject to the occurrence of certain conditions, including: Court certification of a “non-opt-out” class in the case that includes as class members all participants of the Plan, Court approval of the settlement in accordance with applicable law (i.e., including finding there was adequacy of class representation, fairness, adequacy of relief and equal treatment of class members) and the satisfactory resolution of claims made by certain other litigants. On September 18, 2020, the Parties submitted a letter to the Court disclosing that Plaintiffs and Ruane also had reached a settlement in principle, subject to Court approval. Plaintiffs and the DST Defendants entered into a settlement agreement dated January 8, 2021 memorializing the terms of their proposed settlement, which was filed by Plaintiffs with the Court on the same date. On January 12, 2021, Plaintiffs moved for preliminary approval of the settlement with the DST Defendants, as well as preliminary approval of a separate settlement reached between Plaintiffs and Ruane. The Arbitration Claimants, as defined below, and the U.S. Department of Labor (“DOL”) objected to various aspects of those settlements in filings dated January 15, 2021, January 27, 2021, and February 5, 2021. The objectors argue, among other things, that the proposed settlement should not be approved because they believe the settlement payment is inadequate in view of potential damages and the likelihood of success on the merits, that the certification of a “non-opt-out” class is impermissible, and that the Court cannot bar other litigants, including DOL, from pursuing related claims against DST. On February 11, 2021, Plaintiffs and the DST Defendants filed responses in support of preliminary approval of the settlement. Plaintiffs’ motions for preliminary approval remain pending. Whether the settlement will be approved by the Court on the proposed terms or at all is uncertain, and there can be no assurance as to how the Court will rule. If a settlement by the DST Defendants concludes or becomes probable we would recognize a charge for the expected loss in the amount of the settlement. If a settlement, including as described above, does not receive Court approval, we will continue to vigorously defend these matters. Due to the inherent uncertainties associated with the resolution of this litigation, including, in view of the objections, whether the proposed settlement receives Court approval on a preliminary or final basis, the ultimate resolution of and any potential exposure related to this matter is uncertain at this time. On September 28, 2018, a complaint was filed in the United States District Court for the Southern District of New York captioned Robert Canfield, et al. v. SS&C Technologies Holdings, Inc., et al., on behalf of five individual plaintiffs. On November 5, 2018, a similar complaint was filed in the United States District Court for the Southern District of New York captioned Mark Mendon, et al. v. SS&C Technologies Holdings, Inc., et al., on behalf of two individual plaintiffs. These complaints name as defendants SS&C, DST, the Advisory Committee of the Plan, the Compensation Committee of DST’s Board of Directors, and Ruane. The underlying claim in each complaint is the same as in the above-described Ferguson matter, with the exception that these actions purport to be brought as individual actions and not putative class actions. On February 18, 2020, the DST Defendants moved to disqualify plaintiffs’ counsel in these actions and in nearly all of the arbitrations described below. Those motions were fully briefed on March 24, 2020. On July 6, 2020, plaintiffs filed a notice of voluntary dismissal, in which they sought to dismiss claims against Ruane with prejudice. On July 10, 2020, the Court entered an order granting the DST Defendants’ motion to disqualify plaintiffs’ counsel from the U.S. federal court cases (the “Cases”). On July 24, 2020, the parties filed memoranda of law addressing the Court’s authority to disqualify plaintiffs’ counsel from the arbitrations described below, in addition to the Cases. On July 24, 2020, plaintiffs moved for reconsideration of the Court’s July 10, 2020 order disqualifying plaintiffs’ counsel in the Cases. On March 17, 2021, the Court issued an opinion and order denying the DST Defendants’ motion to disqualify plaintiffs’ counsel from the arbitrations described below. On March 17, 2021, the Court also issued an opinion and order denying plaintiffs’ motion for reconsideration of the July 10, 2020 order disqualifying plaintiffs’ counsel in the Cases. On April 8, 2021, the Court held a conference and directed the DST Defendants to file any motion to dismiss these actions by April 22, 2021. On April 12, 2021, plaintiffs filed a new notice of voluntary dismissal dismissing their claims against Ruane with prejudice, which was entered by the Court on April 13, 2021. DST, the Advisory Committee of the Plan, and the Compensation Committee of DST’s Board of Directors have been named in 576 substantially similar individual demands for arbitration through July 15, 2021, by former and current DST employees demanding arbitration under the DST Employee Arbitration Program and Agreement (the “Arbitration Claimants”). The underlying claim in each is the same as in the above-described Ferguson matter, with the exception that the arbitrations purport to be brought as individual actions and not putative class actions. As of July 15, 2021, 554 demands for arbitration have been submitted to the American Arbitration Association (the “AAA”). The individual arbitrations are at various stages depending on the particular proceeding. Certain of the arbitrations have resulted in awards against DST and others have resulted in decisions finding no liability as against DST. Many of these decisions are subject to further appeal within the AAA. Certain of the arbitration proceedings have been resolved in whole or in part by settlement. On October 8, 2019, a substantially similar action to the above-described Ferguson, Canfield, Mendon and arbitration matters captioned Scalia v. Ruane, Cunniff & Goldfarb Inc. was filed by the DOL in the United States District Court for the Southern District of New York naming as defendants DST, the Advisory Committee of the Plan, the Compensation Committee of DST’s Board of Directors and certain of DST’s former officers and directors (“DST DOL Defendants”), and alleging that the DST DOL Defendants breached fiduciary duties in violation of ERISA in connection with the Plan. The complaint also names as defendants Ruane and its former Chairman and Chief Executive Officer Robert D. Goldfarb. In the complaint, the DOL seeks disgorgement, damages and any other appropriate injunctive or equitable relief. The DST DOL Defendants moved to dismiss the complaint on December 4, 2020 on the ground that the DOL’s complaint is time-barred. Other defendants also filed motions to dismiss on the same and other grounds. Briefing on the motions to dismiss was completed on February 5, 2021. All defendants’ motions to dismiss remain pending. On June 25, 2020, a complaint was filed against DST in the Circuit Court of Jackson County, Missouri, captioned Ostrander et al. v. DST Systems, Inc., on behalf of five individual plaintiffs. The underlying claim is the same as in the above-described Canfield and Mendon matters. DST removed the action to the United States District Court for the Western District of Missouri on December 10, 2020. On December 28, 2020, DST moved to dismiss the case or, in the alternative, transfer it to the United States District Court for the Southern District of New York. Plaintiffs opposed that motion on January 21, 2021. DST’s motion was fully briefed on February 4, 2021, and remains pending. On November 11, 2020, DST, the Compensation Committee of DST’s Board of Directors, and the Advisory Committee of the Plan filed a complaint in the United States District Court for the Southern District of New York against Ruane, certain of its related entities, and certain of its current and former employees. The complaint asserts claims for contribution, indemnification, and breach of contract arising out of Ruane’s management of the Plan’s investments. The complaint also asserts claims for actual and constructive fraudulent conveyances. The defendants have not yet answered or otherwise responded to the complaint. We continue to vigorously defend these matters. We have not yet determined the extent to which these matters will impact our financial position or results of operations. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Event | Note 14—Subsequent Event On July 15, 2021 (the “Effective Date”), we entered into a joint venture with Anthem, Inc. (“Anthem”) and Humana Inc. (“Humana”), named DomaniRx, LLC (the “Joint Venture”), to develop a contemporary, cloud-native platform to support the operation of a full service benefits manager. As of the Effective Date, we held an 80.2% interest in the Joint Venture and Humana and Anthem each hold a minority interest in the Joint Venture. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncement In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes (Topic 740) |
Recent Accounting Pronouncements Not Yet Effective | Recent Accounting Pronouncement Not Yet Effective 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 Reference Rate Reform (Topic 848): Scope |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant and Equipment and Related Accumulated Depreciation | Property, plant and equipment and the related accumulated depreciation are as follows (in millions): June 30, December 31, 2021 2020 Land $ 54.3 $ 48.0 Building and improvements 311.3 307.4 Equipment, furniture, and fixtures 458.7 463.1 824.3 818.5 Less: accumulated depreciation and amortization (430.1 ) (405.7 ) Total property, plant and equipment, net $ 394.2 $ 412.8 |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Investments | Investments are as follows (in millions): June 30, December 31, 2021 2020 Non-marketable equity securities $ 84.5 $ 84.5 Marketable equity securities 40.9 38.0 Seed capital investments 25.1 21.2 Partnership interests in private equity funds 22.3 39.8 Total investments $ 172.8 $ 183.5 |
Schedule of Realized and Unrealized Gains and Losses on Investments | Realized and unrealized gains and losses for our equity securities are as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Unrealized gains (losses) on equity securities held as of the end of the period $ 3.1 $ 10.4 $ 8.9 $ (0.8 ) Realized gains for equity securities sold during the period 0.6 6.1 7.7 7.8 Total gains recognized in other income, net $ 3.7 $ 16.5 $ 16.6 $ 7.0 |
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following tables present assets and liabilities measured at fair value on a recurring basis (in millions): Fair Value Measurements at Reporting Date Using June 30, 2021 Quoted prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market funds (1) $ 1,862.4 $ 1,862.4 $ — $ — Marketable equity securities (2) 40.9 40.9 — — Seed capital investments (2) 25.1 25.1 — — Deferred compensation liabilities (3) (21.2 ) (21.2 ) — — Total $ 1,907.2 $ 1,907.2 $ — $ — Fair Value Measurements at Reporting Date Using December 31, 2020 Quoted prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Money market funds (1) $ 698.9 $ 698.9 $ — $ — Marketable equity securities (2) 38.0 38.0 — — Seed capital investments (2) 21.2 21.2 — — Deferred compensation liabilities (3) (20.3 ) (20.3 ) — — Total $ 737.8 $ 737.8 $ — $ — _____________________________________________________ (1) Included in Cash and cash equivalents and Funds receivable and funds held on behalf of clients on the Condensed Consolidated Balance Sheet. (2) Included in Investments on the Condensed Consolidated Balance Sheet. (3) Included in Other long-term liabilities on the Condensed Consolidated Balance Sheet. |
Unconsolidated Affiliates (Tabl
Unconsolidated Affiliates (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Investments Debt And Equity Securities [Abstract] | |
Schedule of Investments in Unconsolidated Affiliates | Investments in unconsolidated affiliates are as follows (in millions): June 30, 2021 December 31, 2020 Ownership Percentage Carrying Value Excess carrying value of investment over proportionate share of net assets Carrying Value Excess carrying value of investment over proportionate share of net assets International Financial Data Services L.P. 50% $ 89.6 $ 39.9 $ 97.5 $ 41.5 Pershing Road Development Company, LLC 50% 75.8 71.5 74.1 72.7 Broadway Square Partners, LLP 50% 53.4 29.5 52.6 29.6 Other unconsolidated affiliates 1.0 — 1.4 — Total $ 219.8 $ 140.9 $ 225.6 $ 143.8 |
Schedule of Equity in Earnings of Unconsolidated Affiliates | Equity in earnings of unconsolidated affiliates, net are as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 International Financial Data Services L.P. $ 0.5 $ 1.0 $ 2.1 $ 1.7 Pershing Road Development Company, LLC 0.3 0.4 1.2 1.2 Broadway Square Partners, LLP 0.4 0.4 0.8 0.6 Other unconsolidated affiliates (1.6 ) (2.8 ) (4.2 ) (3.8 ) Total $ (0.4 ) $ (1.0 ) $ (0.1 ) $ (0.3 ) |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Business Combinations [Abstract] | |
Summary of Allocation of Purchase Price for Acquisitions of Acquiree | The following summarizes the preliminary allocation of the purchase price for the 2021 acquisition of Capita. The assets and liabilities pending finalization include the valuation of acquired tangible assets and the evaluation of taxes (in millions): Capita Accounts receivable $ 3.8 Fixed assets 0.5 Other assets 5.5 Accounts payable (3.5 ) Deferred revenue (3.1 ) Other liabilities assumed (7.1 ) Gain on bargain purchase (3.2 ) Consideration paid, net of cash acquired $ (7.1 ) |
Schedule of Severance Expense Recognized | The amount of severance expense recognized in our Condensed Consolidated Statements of Comprehensive Income for the six months ended June 30, 2021 and 2020 was as follows (in millions): Six Months Ended June 30, Consolidated Statements of Comprehensive Income Classification 2021 2020 Cost of software-enabled services $ 14.1 $ 21.5 Cost of license, maintenance and other related 1.2 1.2 Total cost of revenues 15.3 22.7 Selling and marketing 1.2 1.4 Research and development 5.8 5.1 General and administrative 0.6 2.5 Total operating expenses 7.6 9.0 Total severance expense $ 22.9 $ 31.7 |
Summary of Unaudited Pro Forma Information | The following unaudited pro forma information is provided for illustrative purposes only and assumes that the acquisition of Capita occurred on January 1, 2020 and the acquisitions of Captricity and Innovest occurred on January 1, 2019, after giving effect to certain adjustments, including amortization of intangibles, interest, transaction costs and tax effects. This unaudited pro forma information (in millions, except per share data) should not be relied upon as being indicative of the historical results that would have been obtained if the acquisitions had actually occurred on those dates, nor of the results that may be obtained in the future. Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Revenues $ 1,260.9 $ 1,154.9 $ 2,503.6 $ 2,355.1 Net income $ 191.0 $ 172.1 $ 368.3 $ 274.0 |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Change in Carrying Value of Goodwill | The change in carrying value of goodwill as of and for the six months ended June 30, 2021 is as follows (in millions): Balance at December 31, 2020 $ 8,078.7 Adjustments to prior acquisitions (0.3 ) Effect of foreign currency translation 2.4 Balance at June 30, 2021 $ 8,080.8 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Component of Debt | At June 30, 2021 and December 31, 2020, debt consisted of the following (in millions): June 30, December 31, 2021 2020 Senior secured credit facilities, weighted-average interest rate of 1.85% and 1.90%, respectively $ 4,304.5 $ 4,485.9 5.5% senior notes due 2027 2,000.0 2,000.0 Other indebtedness 11.4 10.1 Unamortized original issue discount and debt issuance costs (45.8 ) (53.6 ) 6,270.1 6,442.4 Less: current portion of long-term debt 55.2 53.9 Long-term debt $ 6,214.9 $ 6,388.5 |
Schedule of Carrying Amounts and Fair Values of Financial Instruments | The carrying amounts and fair values of financial instruments are as follows (in millions): June 30, 2021 December 31, 2020 Carrying Fair Carrying Fair Amount Value Amount Value Financial liabilities: Senior secured credit facilities $ 4,304.5 $ 4,251.5 $ 4,485.9 $ 4,426.0 5.5% senior notes due 2027 2,000.0 2,119.4 2,000.0 2,136.0 Other indebtedness 11.4 11.5 10.1 10.2 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss Balances, Net of Tax | Accumulated Accumulated other comprehensive loss balances, net of tax, consists of the following (in millions): Interest Rate Swap Foreign Currency Translation Defined Benefit Obligation Accumulated Other Comprehensive Loss Balance, December 31, 2020 $ (5.5 ) $ (192.3 ) $ (3.2 ) $ (201.0 ) Net current period other comprehensive income 0.3 10.3 0.1 10.7 Balance, June 30, 2021 $ (5.2 ) $ (182.0 ) $ (3.1 ) $ (190.3 ) |
Schedule of Adjustments to Accumulated Other Comprehensive Loss | Adjustments to accumulated other comprehensive loss are as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Pretax Tax Effect Pretax Tax Effect Pretax Tax Effect Pretax Tax Effect Interest Rate Swap Unrealized (losses) gains on interest rate swaps $ (1.0 ) $ — $ (1.1 ) $ 0.1 $ 1.2 $ (0.2 ) $ (2.7 ) $ 1.0 Reclassification of losses (gains) into net earnings on interest rate swaps 0.8 — 0.7 — (0.7 ) — (1.0 ) — Net change in cash flow hedges (0.2 ) — (0.4 ) 0.1 0.5 (0.2 ) (3.7 ) 1.0 Defined Benefit Pension Unrealized net gain on defined benefit pension plan 0.1 — — — 0.1 — — — Net change in defined benefit pension 0.1 — — — 0.1 — — — Foreign Currency Translation Current period translation adjustments 3.6 (1.7 ) 34.6 (0.5 ) 9.9 0.4 (116.9 ) 0.3 Net cumulative translation adjustments 3.6 (1.7 ) 34.6 (0.5 ) 9.9 0.4 (116.9 ) 0.3 Total other comprehensive income (loss) $ 3.5 $ (1.7 ) $ 34.2 $ (0.4 ) $ 10.5 $ 0.2 $ (120.6 ) $ 1.3 |
Revenues (Tables)
Revenues (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Disaggregation of Revenues by Geography and Source | The following table disaggregates our revenues by geography (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 United States $ 894.6 $ 837.4 $ 1,773.0 $ 1,699.5 United Kingdom 155.2 141.7 305.5 297.9 Europe (excluding United Kingdom), Middle East and Africa 85.9 59.8 155.7 122.8 Asia-Pacific and Japan 56.4 47.1 125.4 92.5 Canada 45.3 34.4 93.3 62.9 Americas, excluding United States and Canada 21.6 17.7 39.5 36.1 Total $ 1,259.0 $ 1,138.1 $ 2,492.4 $ 2,311.7 The following table disaggregates our revenues by source (in millions): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Software-enabled services $ 1,057.1 $ 945.0 $ 2,100.5 $ 1,934.5 Maintenance and term licenses 166.5 163.5 329.7 323.3 Professional services 25.7 23.7 49.2 43.7 Perpetual licenses 9.7 5.9 13.0 10.2 Total $ 1,259.0 $ 1,138.1 $ 2,492.4 $ 2,311.7 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Schedule of Stock-Based Compensation Expense Recognized | S tock options, SARs and RSUs The amount of stock-based compensation expense recognized in our Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2021 and 2020 was as follows (in millions): Three Months Ended June 30, Six Months Ended June 30, Condensed Consolidated Statements of Comprehensive Income Classification 2021 2020 2021 2020 Cost of software-enabled services $ 9.7 $ 8.7 $ 20.7 $ 17.8 Cost of license, maintenance and other related 1.4 1.3 3.1 2.6 Total cost of revenues 11.1 10.0 23.8 20.4 Selling and marketing 5.1 3.4 9.7 6.9 Research and development 3.6 2.7 7.2 5.6 General and administrative 7.9 6.0 14.8 11.7 Total operating expenses 16.6 12.1 31.7 24.2 Total stock-based compensation expense $ 27.7 $ 22.1 $ 55.5 $ 44.6 |
Summary of Stock Option and Stock Appreciation Rights ("SARs") Activity as well as Restricted Stock Unit ("RSUs") Activity | The following table summarizes stock option and stock appreciation rights (“SARs”) activity as well as restricted stock unit (“RSUs”) activity for the six months ended June 30, 2021 (shares in millions): Stock Options and SARs RSUs Outstanding at December 31, 2020 42.7 0.2 Granted 0.7 — Cancelled/forfeited (0.8 ) — Vested — (0.2 ) Exercised (2.2 ) — Outstanding at June 30, 2021 40.4 — |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted EPS | The following table sets forth the computation of basic and diluted EPS (in millions, except per share amounts): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Net income $ 189.8 $ 169.5 $ 364.7 $ 268.7 Shares: Weighted-average common shares outstanding – used in calculation of basic EPS 255.7 257.0 256.4 256.1 Weighted-average common stock equivalents – stock options and restricted shares 11.9 8.8 11.4 9.6 Weighted-average common and common equivalent shares outstanding – used in calculation of diluted EPS 267.6 265.8 267.8 265.7 Earnings per share – Basic $ 0.74 $ 0.66 $ 1.42 $ 1.05 Earnings per share – Diluted $ 0.71 $ 0.64 $ 1.36 $ 1.01 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Schedule of Property, Plant and Equipment and Related Accumulated Depreciation (Details) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 824.3 | $ 818.5 |
Less: accumulated depreciation and amortization | (430.1) | (405.7) |
Total property, plant and equipment, net | 394.2 | 412.8 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 54.3 | 48 |
Building and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 311.3 | 307.4 |
Equipment, Furniture, and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 458.7 | $ 463.1 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Property Plant And Equipment [Abstract] | ||||
Depreciation expense | $ 19.5 | $ 27.1 | $ 44.4 | $ 54.1 |
Investments - Summary of Invest
Investments - Summary of Investments (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Investments [Line Items] | ||
Total investments | $ 172.8 | $ 183.5 |
Non Marketable Equity Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Total investments | 84.5 | 84.5 |
Marketable Equity Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Total investments | 40.9 | 38 |
Seed Capital Investments [Member] | ||
Schedule of Investments [Line Items] | ||
Total investments | 25.1 | 21.2 |
Partnership Interests in Private Equity Funds [Member] | ||
Schedule of Investments [Line Items] | ||
Total investments | $ 22.3 | $ 39.8 |
Investments - Schedule of Reali
Investments - Schedule of Realized and Unrealized Gains and Losses on Investments (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Investments Debt And Equity Securities [Abstract] | ||||
Unrealized gains (losses) on equity securities held as of the end of the period | $ 3.1 | $ 10.4 | $ 8.9 | $ (0.8) |
Realized gains for equity securities sold during the period | 0.6 | 6.1 | 7.7 | 7.8 |
Total gains recognized in other income, net | $ 3.7 | $ 16.5 | $ 16.6 | $ 7 |
Investments - Summary of Assets
Investments - Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Investments [Line Items] | ||
Investments measured at fair value | $ 21.2 | |
Deferred compensation liabilities | $ (21.2) | (20.3) |
Total | 1,907.2 | 737.8 |
Money Market Funds [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | 1,862.4 | 698.9 |
Marketable Equity Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | 40.9 | 38 |
Seed Capital Investments [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | 25.1 | |
Quoted prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | 21.2 | |
Deferred compensation liabilities | (21.2) | (20.3) |
Total | 1,907.2 | 737.8 |
Quoted prices in Active Markets for Identical Assets (Level 1) [Member] | Money Market Funds [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | 1,862.4 | 698.9 |
Quoted prices in Active Markets for Identical Assets (Level 1) [Member] | Marketable Equity Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | 40.9 | $ 38 |
Quoted prices in Active Markets for Identical Assets (Level 1) [Member] | Seed Capital Investments [Member] | ||
Schedule of Investments [Line Items] | ||
Investments measured at fair value | $ 25.1 |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Investments [Line Items] | ||
Total investments | $ 172.8 | $ 183.5 |
Partnership Interests in Private Equity Funds [Member] | ||
Schedule of Investments [Line Items] | ||
Total investments | 22.3 | 39.8 |
Investments, fair value | 17.6 | 35.7 |
Equity method investments, fair value | $ 4.7 | $ 4.1 |
Unconsolidated Affiliates - Sch
Unconsolidated Affiliates - Schedule of Investments in Unconsolidated Affiliates (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Schedule of Investments [Line Items] | ||
Carrying Value | $ 219.8 | $ 225.6 |
Excess carrying value of investment over proportionate share of net assets | $ 140.9 | 143.8 |
International Financial Data Services L.P. [Member] | ||
Schedule of Investments [Line Items] | ||
Ownership Percentage | 50.00% | |
Carrying Value | $ 89.6 | 97.5 |
Excess carrying value of investment over proportionate share of net assets | $ 39.9 | 41.5 |
Pershing Road Development Company, LLC [Member] | ||
Schedule of Investments [Line Items] | ||
Ownership Percentage | 50.00% | |
Carrying Value | $ 75.8 | 74.1 |
Excess carrying value of investment over proportionate share of net assets | $ 71.5 | 72.7 |
Broadway Square Partners, LLP [Member] | ||
Schedule of Investments [Line Items] | ||
Ownership Percentage | 50.00% | |
Carrying Value | $ 53.4 | 52.6 |
Excess carrying value of investment over proportionate share of net assets | 29.5 | 29.6 |
Other Unconsolidated Affiliates [Member] | ||
Schedule of Investments [Line Items] | ||
Carrying Value | $ 1 | $ 1.4 |
Unconsolidated Affiliates - S_2
Unconsolidated Affiliates - Schedule of Equity in Earnings of Unconsolidated Affiliates (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Schedule of Investments [Line Items] | ||||
Equity in earnings of unconsolidated affiliates | $ (0.4) | $ (1) | $ (0.1) | $ (0.3) |
International Financial Data Services L.P. [Member] | ||||
Schedule of Investments [Line Items] | ||||
Equity in earnings of unconsolidated affiliates | 0.5 | 1 | 2.1 | 1.7 |
Pershing Road Development Company, LLC [Member] | ||||
Schedule of Investments [Line Items] | ||||
Equity in earnings of unconsolidated affiliates | 0.3 | 0.4 | 1.2 | 1.2 |
Broadway Square Partners, LLP [Member] | ||||
Schedule of Investments [Line Items] | ||||
Equity in earnings of unconsolidated affiliates | 0.4 | 0.4 | 0.8 | 0.6 |
Other Unconsolidated Affiliates [Member] | ||||
Schedule of Investments [Line Items] | ||||
Equity in earnings of unconsolidated affiliates | $ (1.6) | $ (2.8) | $ (4.2) | $ (3.8) |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Millions | Mar. 31, 2021 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 |
Business Acquisition [Line Items] | |||||
Revenues | $ 1,259 | $ 1,138.1 | $ 2,492.4 | $ 2,311.7 | |
Capita Life Pensions Services Limited [Member] | |||||
Business Acquisition [Line Items] | |||||
Business acquisition, effective date of acquisition | Mar. 1, 2021 | ||||
Consideration paid, net of cash plus the costs of transaction | $ 7.1 | ||||
Revenues | $ 11.2 | $ 14.9 |
Acquisitions - Summary of Alloc
Acquisitions - Summary of Allocation of Purchase Price for Acquisitions of Acquiree (Detail) - Capita Life Pensions Services Limited [Member] $ in Millions | Jun. 30, 2021USD ($) |
Business Acquisition [Line Items] | |
Accounts receivable | $ 3.8 |
Fixed assets | 0.5 |
Other assets | 5.5 |
Accounts payable | (3.5) |
Deferred revenue | (3.1) |
Other liabilities assumed | (7.1) |
Gain on bargain purchase | (3.2) |
Consideration paid, net of cash acquired | $ (7.1) |
Acquisitions - Schedule of Seve
Acquisitions - Schedule of Severance Expense Recognized (Detail) - DST, Eze, Intralinks and Captricity [Member] - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | $ 22.9 | $ 31.7 |
Total Cost of Revenues [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | 15.3 | 22.7 |
Total Cost of Revenues [Member] | Software-enabled Services [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | 14.1 | 21.5 |
Total Cost of Revenues [Member] | License, Maintenance and Related [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | 1.2 | 1.2 |
Selling and Marketing [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | 1.2 | 1.4 |
Research and Development [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | 5.8 | 5.1 |
General and Administrative [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | 0.6 | 2.5 |
Total Operating Expenses [Member] | ||
Business Combination Separately Recognized Transactions [Line Items] | ||
Total severance expense | $ 7.6 | $ 9 |
Acquisitions - Summary of Unaud
Acquisitions - Summary of Unaudited Pro Forma Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Business Combinations [Abstract] | ||||
Revenues | $ 1,260.9 | $ 1,154.9 | $ 2,503.6 | $ 2,355.1 |
Net income | $ 191 | $ 172.1 | $ 368.3 | $ 274 |
Goodwill - Summary of Change in
Goodwill - Summary of Change in Carrying Value of Goodwill (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Beginning balance | $ 8,078.7 |
Adjustments to prior acquisitions | (0.3) |
Effect of foreign currency translation | 2.4 |
Ending balance | $ 8,080.8 |
Debt - Component of Debt (Detai
Debt - Component of Debt (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Other indebtedness | $ 11.4 | $ 10.1 |
Unamortized original issue discount and debt issuance costs | (45.8) | (53.6) |
Debt | 6,270.1 | 6,442.4 |
Less: current portion of long-term debt | 55.2 | 53.9 |
Long-term debt | 6,214.9 | 6,388.5 |
Secured Debt [Member] | Senior Secured Credit Facilities [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt gross | 4,304.5 | 4,485.9 |
Senior Notes [Member] | 5.5% Senior Notes due 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt gross | $ 2,000 | $ 2,000 |
Debt - Component of Debt (Paren
Debt - Component of Debt (Parenthetical) (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Secured Debt [Member] | Senior Secured Credit Facilities [Member] | ||
Debt Instrument [Line Items] | ||
Debt, weighted-average interest rate of credit facility | 1.85% | 1.90% |
Senior Notes [Member] | 5.5% Senior Notes due 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Debt, interest rate | 5.50% | 5.50% |
Debt, due date | 2027 | 2027 |
Debt - Schedule of Carrying Amo
Debt - Schedule of Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Carrying Amount [Member] | Senior Secured Credit Facilities [Member] | ||
Financial liabilities: | ||
Credit facility | $ 4,304.5 | $ 4,485.9 |
Carrying Amount [Member] | 5.5% Senior Notes due 2027 [Member] | ||
Financial liabilities: | ||
Senior notes | 2,000 | 2,000 |
Carrying Amount [Member] | Other Indebtedness [Member] | ||
Financial liabilities: | ||
Credit facility | 11.4 | 10.1 |
Fair Value [Member] | Senior Secured Credit Facilities [Member] | ||
Financial liabilities: | ||
Credit facility | 4,251.5 | 4,426 |
Fair Value [Member] | 5.5% Senior Notes due 2027 [Member] | ||
Financial liabilities: | ||
Credit facility | 2,119.4 | 2,136 |
Fair Value [Member] | Other Indebtedness [Member] | ||
Financial liabilities: | ||
Credit facility | $ 11.5 | $ 10.2 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, shares in Millions | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jul. 31, 2021 | Jul. 30, 2020 | Aug. 31, 2019 | |
Class of Stock [Line Items] | |||||||||
Payments for repurchase of common stock | $ 143,600,000 | $ 27,900,000 | $ 325,000,000 | $ 27,900,000 | |||||
Quarterly cash dividend paid | $ 0.16 | $ 0.125 | $ 0.16 | $ 0.125 | |||||
Dividends paid on common stock | $ 82,100,000 | $ 64,000,000 | |||||||
Stock Repurchase Program [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Repurchase of common stock , shares | 2 | 0.5 | 4.7 | ||||||
Payments for repurchase of common stock | $ 143,600,000 | $ 27,900,000 | $ 325,000,000 | ||||||
Maximum [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 750,000,000 | $ 500,000,000 | |||||||
Maximum [Member] | Subsequent Event [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 1,000,000,000 |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Accumulated Other Comprehensive Loss Balances, Net of Tax (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning balance | $ 5,734.2 | $ 5,087.6 | $ 5,716.5 | $ 5,116.1 |
Net current period other comprehensive income | 1.8 | 33.8 | 10.7 | (119.3) |
Ending balance | 5,823.7 | 5,313.8 | 5,823.7 | 5,313.8 |
Interest Rate Swap [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning balance | (5.5) | |||
Net current period other comprehensive income | 0.3 | |||
Ending balance | (5.2) | (5.2) | ||
Foreign Currency Translation [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning balance | (192.3) | |||
Net current period other comprehensive income | 10.3 | |||
Ending balance | (182) | (182) | ||
Accumulated Other Comprehensive (Loss) Income [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning balance | (192.1) | (406.1) | (201) | (253) |
Net current period other comprehensive income | 10.7 | |||
Ending balance | (190.3) | $ (372.3) | (190.3) | $ (372.3) |
Defined Benefit Obligation [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Beginning balance | (3.2) | |||
Net current period other comprehensive income | 0.1 | |||
Ending balance | $ (3.1) | $ (3.1) |
Stockholders' Equity - Schedu_2
Stockholders' Equity - Schedule of Adjustments to Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Other comprehensive income (loss), Pretax | $ 3.5 | $ 34.2 | $ 10.5 | $ (120.6) |
Other comprehensive income (loss), Tax Effect | (1.7) | (0.4) | 0.2 | 1.3 |
Interest Rate Swap [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Unrealized (losses) gains on interest rate swaps | (1) | (1.1) | 1.2 | (2.7) |
Reclassification of losses (gains) into net earnings on interest rate swaps | 0.8 | 0.7 | (0.7) | (1) |
Other comprehensive income (loss), Pretax | (0.2) | (0.4) | 0.5 | (3.7) |
Unrealized (losses) gains on interest rate swaps | 0.1 | (0.2) | 1 | |
Other comprehensive income (loss), Tax Effect | 0.1 | (0.2) | 1 | |
Defined Benefit Obligation [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Other comprehensive income (loss), Pretax | 0.1 | 0.1 | ||
Other Comprehensive Income (Loss), before defined benefit pension, Pretax | 0.1 | 0.1 | ||
Foreign Currency Translation [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Unrealized (losses) gains on interest rate swaps | 3.6 | 34.6 | 9.9 | (116.9) |
Other comprehensive income (loss), Pretax | 3.6 | 34.6 | 9.9 | (116.9) |
Unrealized (losses) gains on interest rate swaps | (1.7) | (0.5) | 0.4 | 0.3 |
Other comprehensive income (loss), Tax Effect | $ (1.7) | $ (0.5) | $ 0.4 | $ 0.3 |
Revenues - Additional Informati
Revenues - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Deferred Revenue Arrangement [Line Items] | |||||
Deferred revenue presented net within contract assets arising from contract | $ 56.7 | $ 53.9 | |||
Deferred revenue recognized | $ 78.7 | $ 79.9 | 181.8 | $ 187.9 | |
Revenue expected to be recognized from remaining performance obligations | 558.4 | 558.4 | |||
Revenue expected to be recognized from remaining performance obligations in next twelve months | $ 298 | $ 298 | |||
Minimum [Member] | Software-enabled Services [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenue recognition period | 1 year | ||||
Maximum [Member] | Software-enabled Services [Member] | |||||
Deferred Revenue Arrangement [Line Items] | |||||
Revenue recognition period | 5 years |
Revenues - Disaggregation of Re
Revenues - Disaggregation of Revenues by Geography (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | $ 1,259 | $ 1,138.1 | $ 2,492.4 | $ 2,311.7 |
United States [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 894.6 | 837.4 | 1,773 | 1,699.5 |
United Kingdom [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 155.2 | 141.7 | 305.5 | 297.9 |
Europe (excluding United Kingdom), Middle East and Africa [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 85.9 | 59.8 | 155.7 | 122.8 |
Asia-Pacific and Japan [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 56.4 | 47.1 | 125.4 | 92.5 |
Canada [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 45.3 | 34.4 | 93.3 | 62.9 |
Americas, excluding United States and Canada [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | $ 21.6 | $ 17.7 | $ 39.5 | $ 36.1 |
Revenues - Disaggregation of _2
Revenues - Disaggregation of Revenues by Source (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | $ 1,259 | $ 1,138.1 | $ 2,492.4 | $ 2,311.7 |
Software-enabled Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 1,057.1 | 945 | 2,100.5 | 1,934.5 |
Maintenance and Term Licenses [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 166.5 | 163.5 | 329.7 | 323.3 |
Professional Services [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | 25.7 | 23.7 | 49.2 | 43.7 |
Perpetual Licenses [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Disaggregation of revenue | $ 9.7 | $ 5.9 | $ 13 | $ 10.2 |
Stock Based Compensation - Sche
Stock Based Compensation - Schedule of Stock-Based Compensation Expense Recognized (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 27.7 | $ 22.1 | $ 55.5 | $ 44.6 |
Total Cost of Revenues [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 11.1 | 10 | 23.8 | 20.4 |
Total Cost of Revenues [Member] | Software-enabled Services [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 9.7 | 8.7 | 20.7 | 17.8 |
Total Cost of Revenues [Member] | License, Maintenance and Other Related [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 1.4 | 1.3 | 3.1 | 2.6 |
Selling and Marketing [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 5.1 | 3.4 | 9.7 | 6.9 |
Research and Development [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 3.6 | 2.7 | 7.2 | 5.6 |
General and Administrative [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | 7.9 | 6 | 14.8 | 11.7 |
Total Operating Expenses [Member] | ||||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Total stock-based compensation expense | $ 16.6 | $ 12.1 | $ 31.7 | $ 24.2 |
Stock Based Compensation - Summ
Stock Based Compensation - Summary of Stock Option and Stock Appreciation Rights ("SARs") Activity as well as Restricted Stock Unit ("RSUs") Activity (Detail) | 6 Months Ended |
Jun. 30, 2021shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding Opening | 42,700,000 |
Granted | 700,000 |
Cancelled/forfeited | (800,000) |
Exercised | (2,200,000) |
Number of Shares, Outstanding Closing | 40,400,000 |
Restricted Stock Units (RSUs) [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding Opening | 200,000 |
Vested | (200,000) |
Stock Based Compensation - Addi
Stock Based Compensation - Additional Information (Detail) - Performance-Based Stock Option Awards [Member] | 1 Months Ended |
Mar. 31, 2021$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Weighted average exercise price | $ 68.52 |
Grant date fair value of options | $ 17.90 |
Number of options to be issued in future | shares | 530,000 |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expiration period | 10 years |
Award vesting percentage | 200.00% |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting percentage | 0.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rate | 28.80% | 14.80% | 27.40% | 16.80% |
Earnings per Share - Computatio
Earnings per Share - Computation of Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 189.8 | $ 169.5 | $ 364.7 | $ 268.7 |
Shares: | ||||
Weighted-average common shares outstanding – used in calculation of basic EPS | 255.7 | 257 | 256.4 | 256.1 |
Weighted-average common stock equivalents – stock options and restricted shares | 11.9 | 8.8 | 11.4 | 9.6 |
Weighted-average common and common equivalent shares outstanding – used in calculation of diluted EPS | 267.6 | 265.8 | 267.8 | 265.7 |
Earnings per share – Basic | $ 0.74 | $ 0.66 | $ 1.42 | $ 1.05 |
Earnings per share – Diluted | $ 0.71 | $ 0.64 | $ 1.36 | $ 1.01 |
Earnings per Share - Additional
Earnings per Share - Additional Information (Detail) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Stock options and SARs [Member] | ||||
Earnings Per Share [Line Items] | ||||
Anti-dilutive shares not included in computation of diluted EPS | 8.7 | 12.4 | 15.8 | 12.3 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Millions | Jul. 10, 2020USD ($) |
Settled Litigation [Member] | DST Systems Inc [Member] | Putative Claims [Member] | |
Loss Contingencies [Line Items] | |
Litigation settlement, expense | $ 27 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) | Jul. 15, 2021 |
Subsequent Event [Member] | |
Subsequent Event [Line Items] | |
Ownership Percentage | 80.20% |