UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
OF THE SECURITIES EXCHANGE ACT OF 1934
For the month of August, 2017
Commission File Number 1-14840
AMDOCS LIMITED
Hirzel House, Smith Street,
St. Peter Port, Island of Guernsey, GY1 2NG
Amdocs, Inc.
1390 Timberlake Manor Parkway, Chesterfield, Missouri 63017
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
FORM 20-F ☒ FORM 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:
YES ☐ NO ☒
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-
On August 2, 2017, Amdocs Limited (“Amdocs”) issued a press release announcing financial results for the quarter ended June 30, 2017. A copy of the press release is furnished as Exhibit 99.1 to this Report of Foreign Private Issuer on Form 6-K.
The information in this Form 6-K (including Exhibit 99.1) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| AMDOCS LIMITED | ||
| By: | /s/ Matthew E. Smith | |
| Matthew E. Smith | ||
| Secretary and Authorized Signatory | ||
Date: August 2, 2017
EXHIBIT INDEX
| EXHIBIT NO. |
DESCRIPTION | |
| 99.1 | Amdocs Limited Press Release dated August 2, 2017. | |
Exhibit 99.1
|
|
Amdocs Limited Reports Third Quarter Fiscal 2017 Results
Record Quarterly Revenue of $967M
Expects Fiscal 2017 Revenue Growth of 3.5-4.5% YoY in Constant Currency
Expects Fiscal 2017 Non-GAAP Diluted EPS Growth Outlook of 5.5-7.5% YoY
Third Quarter Fiscal 2017 Highlights
| • | Revenue of $967 million, slightly above the midpoint of the $945-$985 million guidance range |
| • | Diluted GAAP EPS of $0.81, above the $0.69-$0.77 guidance range, including the benefit of a lower GAAP effective tax rate |
| • | Diluted non-GAAP EPS of $1.02, above the $0.93-$0.99 guidance range, including the benefit of a lower non-GAAP effective tax rate |
| • | GAAP operating income of $130 million; GAAP operating margin of 13.4% |
| • | Non-GAAP operating income of $167 million; non-GAAP operating margin of 17.3% |
| • | Free cash flow of $134 million, comprised of cash flow from operations of $162 million, less $28 million in net capital expenditures and other |
| • | Twelve-month backlog of $3.22 billion, up $10 million sequentially |
| • | Quarterly cash dividend of $0.22 per share to be paid on October 20, 2017 |
ST. LOUIS – August 2, 2017 – Amdocs Limited (NASDAQ: DOX) today reported operating results for the three months ended June 30, 2017.
“We delivered a solid performance in Q3 which included another quarter of record revenue and our highest level of profitability in recent years. North America was strong as we supported the strategic initiatives of our customers in areas such as digital transformation,
Pay TV, network virtualization, and the enterprise segment. In Europe and Rest of World, we remained focused on our execution as we continued to progress several high-end projects towards production on behalf of some of the world’s largest service providers,” said Eli Gelman, president and chief executive officer of Amdocs Management Limited.
Gelman continued, “Our sales momentum was also strong in Q3 as we sustained a high win rate that included some important contract renewals, as well as several key awards in highly strategic areas. Among the highlights, I am pleased to report that we secured a significant enterprise B2B award with a new customer in the North American Pay TV market, and a definitive agreement with Australia’s Telstra to deploy an order orchestration and fulfillment solution that will help to transform the experience of their consumer and business customers.”
Gelman concluded, “We are encouraged by our strong sales momentum in the last several quarters which we believe indicates our ability to predict and invest in the future requirements of service providers, often many quarters in advance of their needs. Of course, we are closely monitoring the many moving parts affecting our near term outlook but with our year-to-date financial performance and the visibility of our record 12-month backlog we enter Q4 on track to deliver expected total returns to our shareholders in the mid-to-high single digits in fiscal 2017.”
Revenue
Revenue for the third fiscal quarter ended June 30, 2017 was $966.7 million, up 0.1% or $0.7 million sequentially from the second fiscal quarter of 2017 and up 3.9% as compared to last year’s third fiscal quarter. Revenue for the third fiscal quarter of 2017 includes a small positive impact from foreign currency movements of approximately $3 million relative to the second quarter of fiscal 2017. Revenue was at the midpoint of Amdocs’ guidance, excluding foreign currency movements.
Net Income and Earnings Per Share
The Company’s GAAP net income for the third quarter of fiscal 2017 was $119.3 million, or $0.81 per diluted share, compared to GAAP net income of $105.1 million, or $0.70 per diluted share, in the prior fiscal year’s third quarter. Net income on a non-GAAP basis was $150.4 million, or $1.02 per diluted share, compared to non-GAAP net income of $135.6 million, or $0.90 per diluted share, in the third quarter of fiscal 2016.
Returning Cash to Shareholders
| • | Quarterly Cash Dividend Program: On August 2, 2017, the Board approved the Company’s next quarterly cash dividend payment of $0.22 per share and set September 29, 2017 as the record date for determining the shareholders entitled to receive the dividend, which will be payable on October 20, 2017. |
| • | Share Repurchase Activity: Repurchased $90 million of ordinary shares during the third quarter of fiscal 2017. |
Twelve-month Backlog
Twelve-month backlog, which includes anticipated revenue related to contracts, estimated revenue from managed services contracts, letters of intent, maintenance and estimated on-going support activities, was $3.22 billion at the end of the third quarter of fiscal 2017, up $10 million from the end of the prior quarter.
Fourth Quarter fiscal 2017 Outlook
| • | Revenue of approximately $955-$995 million, including an immaterial sequential impact from foreign currency fluctuations as compared to the third quarter of fiscal 2017 |
| • | Diluted GAAP EPS of approximately $0.68-$0.76 |
| • | Diluted non-GAAP EPS of approximately $0.91-$0.97, excluding amortization of purchased intangible assets and other acquisition-related costs and approximately $0.06-$0.07 per share of equity-based compensation expense, net of related tax effects. This range reflects a non-GAAP effective tax rate in the fourth fiscal quarter above our annual target range of 13% to 17% |
Full Year Fiscal 2017 Outlook
| • | Expects revenue growth of 3.5-4.5% year-over-year on a constant currency basis compared with previous guidance of 3.5-5.5% year-over-year |
| • | Expects revenue growth of 3.5-4.5% year-over-year as reported compared with previous guidance of 3.0-5.0% year-over-year |
| • | GAAP diluted earnings per share growth of roughly 7.0-10.0% year-over-year |
| • | Non-GAAP diluted earnings per share growth of roughly 5.5-7.5% year-over-year compared with previous guidance of 4.5-8.5% year-over-year |
Our fourth fiscal quarter 2017 and full year fiscal 2017 outlook takes into consideration the company’s expectations regarding macro and industry specific risks and various uncertainties and certain assumptions that we will discuss on our earnings conference call. However, Amdocs notes market dynamics continue to shift rapidly and that it cannot predict all possible outcomes, including those resulting from AT&T’s proposed merger with Time Warner, the reported strategic discussions between Comcast, Charter and Sprint, or from other current and potential customer consolidation activity in North America.
Conference Call Details
Amdocs will host a conference call on August 2, 2017 at 5:00 p.m. Eastern Time to discuss the Company’s third quarter of fiscal 2017 results. To participate, please dial +1 (844) 513-7152, or +1 (508) 637-5600 outside the United States, approximately 15 minutes before the call and enter passcode 43007164. The call will also be carried live on the Internet via the Amdocs website, www.amdocs.com.
Non-GAAP Financial Measures
This release includes non-GAAP diluted earnings per share and other non-GAAP financial measures, including free cash flow, non-GAAP cost of revenue, non-GAAP research and development, non-GAAP selling, general and administrative, non-GAAP operating income, non-GAAP operating margin, non-GAAP income taxes, non-GAAP effective tax rate, non-GAAP net income and non-GAAP diluted earnings per share growth. These non-GAAP measures exclude the following items:
| • | amortization of purchased intangible assets and other acquisition-related costs; |
| • | changes in fair value of certain acquisition-related liabilities; |
| • | equity-based compensation expense; and |
| • | tax effects related to the above. |
These non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles and may be different from non-GAAP financial measures used by other companies. In addition, these non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. Amdocs believes that non-GAAP financial measures have limitations in that they do not reflect all of the amounts associated with Amdocs’ results of operations as determined in accordance with GAAP and that these measures should only be used to evaluate Amdocs’ results of operations in conjunction with the corresponding GAAP measures.
Amdocs believes that the presentation of non-GAAP diluted earnings per share and other financial measures, including free cash flow, non-GAAP cost of revenue, non-GAAP research and development, non-GAAP selling, general and administrative, non-GAAP operating income, non-GAAP operating margin, non-GAAP income taxes, non-GAAP effective tax rate, non-GAAP net income and non-GAAP diluted earnings per share growth when shown in conjunction with the corresponding GAAP measures, provides useful information to investors and management regarding financial and business trends relating to its financial condition and results of operations, as well as the net amount of cash generated by its business operations after taking into account capital spending required to maintain or expand the business.
For its internal budgeting process and in monitoring the results of the business, Amdocs’ management uses financial statements that do not include amortization of purchased intangible assets and other acquisition-related costs, changes in fair value of certain acquisition-related liabilities, equity-based compensation expense and related tax effects. Amdocs’ management also uses the foregoing non-GAAP financial measures, in addition to the corresponding GAAP measures, in reviewing the financial results of Amdocs. In
addition, Amdocs believes that significant groups of investors exclude these items in reviewing its results and those of its competitors, because the amounts of the items between companies can vary greatly depending on the assumptions used by an individual company in determining the amounts of the items.
Amdocs further believes that, where the adjustments used in calculating non-GAAP diluted earnings per share are based on specific, identified amounts that impact different line items in the Consolidated Statements of Income (including cost of revenue, research and development, selling, general and administrative, operating income, income taxes and net income), it is useful to investors to understand how these specific line items in the Consolidated Statements of Income are affected by these adjustments. Please refer to the Reconciliation of Selected Financial Metrics from GAAP to Non-GAAP tables below.
Supporting Resources
| • | Keep up with Amdocs news by visiting the company’s website |
| • | Subscribe to Amdocs’ RSS Feed and follow us on Twitter, Facebook, LinkedIn and YouTube |
About Amdocs
Amdocs is a leading software and services provider to the world’s most successful communications and media companies. As our customers reinvent themselves, we enable their digital and network transformation through innovative solutions, delivery expertise and intelligent operations. Amdocs and its 25,000 employees serve customers in over 85 countries. Listed on the NASDAQ Global Select Market, Amdocs had revenue of $3.7 billion in fiscal 2016.
For more information, visit Amdocs at www.amdocs.com.
This press release includes information that constitutes forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995, including statements about Amdocs’ growth and business results in future quarters.
Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be obtained or that any deviations will not be material. Such statements involve risks and uncertainties that may cause future results to differ from those anticipated. These risks include, but are not limited to, the effects of general economic conditions, Amdocs’ ability to grow in the business markets that it serves, Amdocs’ ability to successfully integrate acquired businesses, adverse effects of market competition, rapid technological shifts that may render the company’s products and services obsolete, potential loss of a major customer, our ability to develop long-term relationships with our customers, and risks associated with operating businesses in the international market. Amdocs may elect to update these forward-looking statements at some point in the future; however, Amdocs specifically disclaims any obligation to do so. These and other risks are discussed at greater length in Amdocs’ filings with the Securities and Exchange Commission, including in our Annual Report on Form 20-F for the fiscal year ended September 30, 2016 filed on December 12, 2016 and our Form 6-K furnished for the first quarter of fiscal 2017 on February 13, 2017 and for the second quarter of fiscal 2017 on May 22, 2017.
Contact:
Matthew Smith
Head of Investor Relations
Amdocs
314-212-8328
E-mail: dox_info@amdocs.com
AMDOCS LIMITED
Consolidated Statements of Income
(In thousands, except per share data)
| Three months ended | Nine months ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Revenue |
$ | 966,695 | $ | 930,133 | $ | 2,887,431 | $ | 2,777,573 | ||||||||
| Operating expenses: |
||||||||||||||||
| Cost of revenue |
628,640 | 601,249 | 1,871,211 | 1,796,933 | ||||||||||||
| Research and development |
67,118 | 65,051 | 194,411 | 191,249 | ||||||||||||
| Selling, general and administrative |
113,997 | 113,831 | 352,541 | 347,853 | ||||||||||||
| Amortization of purchased intangible assets and other |
27,028 | 25,040 | 83,982 | 76,894 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| 836,783 | 805,171 | 2,502,145 | 2,412,929 | |||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income |
129,912 | 124,962 | 385,286 | 364,644 | ||||||||||||
| Interest and other income (expense), net |
1,152 | 1,113 | (2,079 | ) | 908 | |||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Income before income taxes |
131,064 | 126,075 | 383,207 | 365,552 | ||||||||||||
| Income taxes |
11,800 | 21,015 | 53,590 | 51,930 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Net income |
$ | 119,264 | $ | 105,060 | $ | 329,617 | $ | 313,622 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Basic earnings per share |
$ | 0.82 | $ | 0.71 | $ | 2.25 | $ | 2.09 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Diluted earnings per share |
$ | 0.81 | $ | 0.70 | $ | 2.23 | $ | 2.06 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Basic weighted average number of shares outstanding |
145,904 | 148,844 | 146,439 | 149,802 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Diluted weighted average number of shares outstanding |
147,259 | 150,726 | 147,865 | 151,912 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Cash dividends declared per share |
$ | 0.220 | $ | 0.195 | $ | 0.635 | $ | 0.560 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
AMDOCS LIMITED
Selected Financial Metrics
(in thousands, except per share data)
| Three months ended | Nine months ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| 2017 | 2016 | 2017 | 2016 | |||||||||||||
| Revenue |
$ | 966,695 | $ | 930,133 | $ | 2,887,431 | $ | 2,777,573 | ||||||||
| Non-GAAP operating income |
167,193 | 159,814 | 497,275 | 474,636 | ||||||||||||
| Non-GAAP net income |
150,440 | 135,571 | 423,171 | 407,756 | ||||||||||||
| Non-GAAP diluted earnings per share |
$ | 1.02 | $ | 0.90 | $ | 2.86 | $ | 2.68 | ||||||||
| Diluted weighted average number of shares outstanding |
147,259 | 150,726 | 147,865 | 151,912 | ||||||||||||
AMDOCS LIMITED
Reconciliation of Selected Financial Metrics from GAAP to Non-GAAP
(in thousands)
| Three months ended June 30, 2017 |
||||||||||||||||||||
| Reconciliation items | ||||||||||||||||||||
| GAAP | Amortization of purchased intangible assets and other |
Equity based compensation expense |
Tax effect | Non-GAAP | ||||||||||||||||
| Operating expenses: |
||||||||||||||||||||
| Cost of revenue |
$ | 628,640 | $ | — | $ | (4,763 | ) | $ | — | $ | 623,877 | |||||||||
| Research and development |
67,118 | — | (914 | ) | — | 66,204 | ||||||||||||||
| Selling, general and administrative |
113,997 | — | (4,576 | ) | — | 109,421 | ||||||||||||||
| Amortization of purchased intangible assets and other |
27,028 | (27,028 | ) | — | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total operating expenses |
836,783 | (27,028 | ) | (10,253 | ) | — | 799,502 | |||||||||||||
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|
|
|
|
|
|
|
|
|
|
|||||||||||
| Operating income |
129,912 | 27,028 | 10,253 | — | 167,193 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Income taxes |
11,800 | — | — | 6,105 | 17,905 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net income |
$ | 119,264 | $ | 27,028 | $ | 10,253 | $ | (6,105 | ) | $ | 150,440 | |||||||||
|
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|
|
|
|
|
|
|
|
|
|||||||||||
| Three months ended June 30, 2016 |
||||||||||||||||||||
| Reconciliation items | ||||||||||||||||||||
| GAAP | Amortization of purchased intangible assets and other |
Equity based compensation expense |
Tax effect | Non-GAAP | ||||||||||||||||
| Operating expenses: |
||||||||||||||||||||
| Cost of revenue |
$ | 601,249 | $ | — | $ | (4,406 | ) | $ | — | $ | 596,843 | |||||||||
| Research and development |
65,051 | — | (953 | ) | — | 64,098 | ||||||||||||||
| Selling, general and administrative |
113,831 | — | (4,453 | ) | — | 109,378 | ||||||||||||||
| Amortization of purchased intangible assets and other |
25,040 | (25,040 | ) | — | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total operating expenses |
805,171 | (25,040 | ) | (9,812 | ) | — | 770,319 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Operating income |
124,962 | 25,040 | 9,812 | — | 159,814 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Income taxes |
21,015 | — | — | 4,341 | 25,356 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net income |
$ | 105,060 | $ | 25,040 | $ | 9,812 | $ | (4,341 | ) | $ | 135,571 | |||||||||
|
|
|
|
|
|
|
|
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|
|
|||||||||||
AMDOCS LIMITED
Reconciliation of Selected Financial Metrics from GAAP to Non-GAAP
(in thousands)
| Nine months ended June 30, 2017 |
||||||||||||||||||||||||
| Reconciliation items | ||||||||||||||||||||||||
| GAAP | Amortization of purchased intangible assets and other |
Equity based compensation expense |
Changes in fair value of certain acquisition- related liabilities |
Tax effect | Non-GAAP | |||||||||||||||||||
| Operating expenses: |
||||||||||||||||||||||||
| Cost of revenue |
$ | 1,871,211 | $ | — | $ | (14,734 | ) | $ | 6,691 | $ | — | $ | 1,863,168 | |||||||||||
| Research and development |
194,411 | — | (2,714 | ) | — | — | 191,697 | |||||||||||||||||
| Selling, general and administrative |
352,541 | — | (17,250 | ) | — | — | 335,291 | |||||||||||||||||
| Amortization of purchased intangible assets and other |
83,982 | (83,982 | ) | — | — | — | — | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total operating expenses |
2,502,145 | (83,982 | ) | (34,698 | ) | 6,691 | — | 2,390,156 | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Operating income |
385,286 | 83,982 | 34,698 | (6,691 | ) | — | 497,275 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Income taxes |
53,590 | — | — | — | 18,435 | 72,025 | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Net income |
$ | 329,617 | $ | 83,982 | $ | 34,698 | $ | (6,691 | ) | $ | (18,435 | ) | $ | 423,171 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Nine months ended June 30, 2016 |
||||||||||||||||||||
| Reconciliation items | ||||||||||||||||||||
| GAAP | Amortization of purchased intangible assets and other |
Equity based compensation expense |
Tax effect | Non-GAAP | ||||||||||||||||
| Operating expenses: |
||||||||||||||||||||
| Cost of revenue |
$ | 1,796,933 | $ | — | $ | (13,447 | ) | $ | — | $ | 1,783,486 | |||||||||
| Research and development |
191,249 | — | (2,813 | ) | — | 188,436 | ||||||||||||||
| Selling, general and administrative |
347,853 | — | (16,838 | ) | — | 331,015 | ||||||||||||||
| Amortization of purchased intangible assets and other |
76,894 | (76,894 | ) | — | — | — | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Total operating expenses |
2,412,929 | (76,894 | ) | (33,098 | ) | — | 2,302,937 | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Operating income |
364,644 | 76,894 | 33,098 | — | 474,636 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Income taxes |
51,930 | — | — | 15,858 | 67,788 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Net income |
$ | 313,622 | $ | 76,894 | $ | 33,098 | $ | (15,858 | ) | $ | 407,756 | |||||||||
|
|
|
|
|
|
|
|
|
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|
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AMDOCS LIMITED
Condensed Consolidated Balance Sheets
(in thousands)
| As of | ||||||||
| June 30, 2017 |
September 30, 2016 |
|||||||
| ASSETS |
||||||||
| Current assets |
||||||||
| Cash, cash equivalents and short-term interest-bearing investments |
$ | 963,039 | $ | 1,095,723 | ||||
| Accounts receivable, net, including unbilled of $174,898 and $134,122, respectively |
893,386 | 818,531 | ||||||
| Prepaid expenses and other current assets |
228,611 | 186,137 | ||||||
|
|
|
|
|
|||||
| Total current assets |
2,085,036 | 2,100,391 | ||||||
| Equipment and leasehold improvements, net |
336,791 | 331,728 | ||||||
| Goodwill and other intangible assets, net |
2,395,253 | 2,493,166 | ||||||
| Other noncurrent assets |
476,537 | 406,070 | ||||||
|
|
|
|
|
|||||
| Total assets |
$ | 5,293,617 | $ | 5,331,355 | ||||
|
|
|
|
|
|||||
| LIABILITIES AND SHAREHOLDERS’ EQUITY |
||||||||
| Current liabilities |
||||||||
| Accounts payable, accruals and other |
$ | 1,053,303 | $ | 992,679 | ||||
| Short-term financing arrangements |
— | 200,000 | ||||||
| Deferred revenue |
123,866 | 173,331 | ||||||
|
|
|
|
|
|||||
| Total current liabilities |
1,177,169 | 1,366,010 | ||||||
| Other noncurrent liabilities |
534,759 | 511,784 | ||||||
| Shareholders’ equity |
3,581,689 | 3,453,561 | ||||||
|
|
|
|
|
|||||
| Total liabilities and shareholders’ equity |
$ | 5,293,617 | $ | 5,331,355 | ||||
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|
|
|
|
|||||
AMDOCS LIMITED
Consolidated Statements of Cash Flows
(in thousands)
| Nine months ended June 30, | ||||||||
| 2017 | 2016 | |||||||
| Cash Flow from Operating Activities: |
||||||||
| Net income |
$ | 329,617 | $ | 313,622 | ||||
| Reconciliation of net income to net cash provided by operating activities: |
||||||||
| Depreciation and amortization |
163,533 | 159,792 | ||||||
| Equity-based compensation expense |
34,698 | 33,098 | ||||||
| Deferred income taxes |
7,201 | (14,254 | ) | |||||
| Excess tax benefit from equity-based compensation |
(3,716 | ) | (5,682 | ) | ||||
| (Gain) loss from short-term interest-bearing investments |
(144 | ) | 294 | |||||
| Net changes in operating assets and liabilities, net of amounts acquired: |
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| Accounts receivable |
(73,033 | ) | (4,163 | ) | ||||
| Prepaid expenses and other current assets |
(1,258 | ) | (21,423 | ) | ||||
| Other noncurrent assets |
(60,949 | ) | 11,070 | |||||
| Accounts payable, accrued expenses and accrued personnel |
75,178 | 37,261 | ||||||
| Deferred revenue |
(38,817 | ) | (68,749 | ) | ||||
| Income taxes payable |
(7,726 | ) | 12,263 | |||||
| Other noncurrent liabilities |
12,520 | 14,397 | ||||||
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|
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| Net cash provided by operating activities |
437,104 | 467,526 | ||||||
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|
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| Cash Flow from Investing Activities: |
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| Payments for purchase of equipment and leasehold improvements, net |
(98,565 | ) | (101,372 | ) | ||||
| Proceeds from sale of short-term interest-bearing investments |
218,395 | 264,357 | ||||||
| Purchase of short-term interest-bearing investments |
(218,772 | ) | (269,143 | ) | ||||
| Net cash paid for acquisitions |
— | (24,993 | ) | |||||
| Other |
(10,022 | ) | (20,109 | ) | ||||
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|
|
|
|
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| Net cash used in investing activities |
(108,964 | ) | (151,260 | ) | ||||
|
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|
|
|
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| Cash Flow from Financing Activities: |
||||||||
| Borrowings under financing arrangements |
200,000 | — | ||||||
| Payments under financing arrangements |
(400,000 | ) | (220,000 | ) | ||||
| Repurchase of shares |
(250,231 | ) | (323,751 | ) | ||||
| Proceeds from employee stock options exercised |
75,763 | 67,890 | ||||||
| Payments of dividends |
(89,522 | ) | (80,468 | ) | ||||
| Excess tax benefit from equity-based compensation and other |
3,716 | 5,677 | ||||||
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|
|
|
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| Net cash used in financing activities |
(460,274 | ) | (550,652 | ) | ||||
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|
|
|
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| Net decrease in cash and cash equivalents |
(132,134 | ) | (234,386 | ) | ||||
| Cash and cash equivalents at beginning of period |
768,660 | 1,035,573 | ||||||
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|
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| Cash and cash equivalents at end of period |
$ | 636,526 | $ | 801,187 | ||||
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AMDOCS LIMITED
Supplementary Information
(in millions)
| Three months ended | ||||||||||||||||||||
| June 30, 2017 |
March 31, 2017 |
December 31, 2016 |
September 30, 2016 |
June 30, 2016 |
||||||||||||||||
| North America |
$ | 637.9 | $ | 636.3 | $ | 628.0 | $ | 626.2 | $ | 591.8 | ||||||||||
| Europe |
125.2 | 115.4 | 118.5 | 118.9 | 126.3 | |||||||||||||||
| Rest of the World |
203.6 | 214.3 | 208.2 | 195.6 | 212.0 | |||||||||||||||
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|
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| Total Revenue |
$ | 966.7 | $ | 966.0 | $ | 954.7 | $ | 940.7 | $ | 930.1 | ||||||||||
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| Three months ended | ||||||||||||||||||||
| June 30, 2017 |
March 31, 2017 |
December 31, 2016 |
September 30, 2016 |
June 30, 2016 |
||||||||||||||||
| Managed Services Revenue |
$ | 496.3 | $ | 511.1 | $ | 494.2 | $ | 478.5 | $ | 479.2 | ||||||||||
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| Three months ended | ||||||||||||||||||||
| June 30, 2017 |
March 31, 2017 |
December 31, 2016 |
September 30, 2016 |
June 30, 2016 |
||||||||||||||||
| Customer Experience Systems |
$ | 954.8 | $ | 948.6 | $ | 937.9 | $ | 924.9 | $ | 908.1 | ||||||||||
| Directory |
11.9 | 17.4 | 16.8 | 15.8 | 22.0 | |||||||||||||||
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|||||||||||
| Total Revenue |
$ | 966.7 | $ | 966.0 | $ | 954.7 | $ | 940.7 | $ | 930.1 | ||||||||||
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| As of | ||||||||||||||||||||
| June 30, 2017 |
March 31, 2017 |
December 31, 2016 |
September 30, 2016 |
June 30, 2016 |
||||||||||||||||
| 12-Month Backlog |
$ | 3,220 | $ | 3,210 | $ | 3,180 | $ | 3,170 | $ | 3,110 | ||||||||||
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# # #