DONNELLEY FINANCIAL SOLUTIONS, INC., 10-Q filed on 31 Oct 24
v3.24.3
Document and Entity Information - shares
9 Months Ended
Sep. 30, 2024
Oct. 25, 2024
Cover [Abstract]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Sep. 30, 2024  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q3  
Trading Symbol DFIN  
Entity Registrant Name Donnelley Financial Solutions, Inc.  
Entity Central Index Key 0001669811  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Common Stock, Shares Outstanding   28,858,237
Entity Shell Company false  
Title of 12(b) Security Common Stock (Par Value $0.01)  
Security Exchange Name NYSE  
Entity File Number 1-37728  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 36-4829638  
Entity Address, Address Line One 391 Steel Way  
Entity Address, City or Town Lancaster  
Entity Address, State or Province PA  
Entity Address, Postal Zip Code 17601  
City Area Code 800  
Local Phone Number 823-5304  
Document Quarterly Report true  
Document Transition Report false  
v3.24.3
Condensed Consolidated Statements of Operations (UNAUDITED) - USD ($)
shares in Millions, $ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Total net sales $ 179.5 $ 180.0 $ 625.6 $ 620.7
Total cost of sales [1] 68.7 70.9 235.3 259.4
Selling, general and administrative expenses [1] 74.0 65.4 222.9 212.1
Depreciation and amortization 17.2 14.4 45.4 41.2
Restructuring, impairment and other charges, net 1.4 (0.3) 4.5 8.4
Other operating income, net 0.0 (0.2) (9.8) (0.6)
Income from operations 18.2 29.8 127.3 100.2
Interest expense, net 3.1 4.1 10.4 12.2
Investment and other income, net (0.3) (0.1) (1.1) (7.3)
Earnings before income taxes 15.4 25.8 118.0 95.3
Income tax expense 6.7 7.7 31.9 23.7
Net earnings $ 8.7 $ 18.1 $ 86.1 $ 71.6
Net earnings per share:        
Basic $ 0.3 $ 0.62 $ 2.94 $ 2.44
Diluted $ 0.29 $ 0.6 $ 2.86 $ 2.36
Weighted average number of common shares outstanding:        
Basic 29.1 29.4 29.3 29.4
Diluted 29.9 30.3 30.1 30.4
Tech-enabled Services        
Total net sales $ 75.2 $ 80.4 $ 260.3 $ 263.3
Total cost of sales 29.2 29.3 93.7 99.6
Software Solutions        
Total net sales 82.2 73.2 248.1 219.0
Total cost of sales 27.6 25.9 80.3 81.2
Print and Distribution        
Total net sales 22.1 26.4 117.2 138.4
Total cost of sales $ 11.9 $ 15.7 $ 61.3 $ 78.6
[1] Exclusive of depreciation and amortization
v3.24.3
Condensed Consolidated Statements of Comprehensive Income (UNAUDITED) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Statement of Comprehensive Income [Abstract]        
Net Income (Loss) $ 8.7 $ 18.1 $ 86.1 $ 71.6
Other comprehensive income (loss), net of tax:        
Translation adjustments 0.8 (1.0) 0.2 0.0
Adjustment for net periodic pension and other postretirement benefits plans 0.4 0.1 0.8 0.5
Other comprehensive income (loss), net of tax 1.2 (0.9) 1.0 0.5
Comprehensive income $ 9.9 $ 17.2 $ 87.1 $ 72.1
v3.24.3
Condensed Consolidated Balance Sheets (UNAUDITED) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
ASSETS    
Cash and cash equivalents $ 33.6 $ 23.1
Receivables, less allowances for expected losses of $24.4 in 2024 (2023 - $18.9) 178.0 151.8
Prepaid expenses and other current assets 25.7 31.0
Assets held for sale 0.0 2.6
Total current assets 237.3 208.5
Property, plant and equipment, net 11.5 13.5
Operating lease right-of-use assets 11.8 16.4
Software, net 95.0 87.6
Goodwill 405.9 405.8
Deferred income taxes, net 51.2 45.8
Other noncurrent assets 30.9 29.3
Total assets 843.6 [1] 806.9
LIABILITIES    
Accounts payable 33.8 33.9
Operating lease liabilities 11.2 14.0
Accrued liabilities 162.1 153.7
Total current liabilities 207.1 201.6
Long-term debt 124.6 124.5
Deferred compensation liabilities 13.9 13.1
Pension and other postretirement benefits plans liabilities 31.2 34.4
Noncurrent operating lease liabilities 6.3 12.1
Other noncurrent liabilities 16.0 19.0
Total liabilities 399.1 404.7
Commitments and Contingencies (Note 7)
EQUITY    
Preferred stock, $0.01 par value Authorized:1.0 shares; Issued: None 0.0 0.0
Common stock, $0.01 par value Authorized: 65.0 shares; Issued and outstanding: 38.8 shares and 28.9 shares in 2024 (2023 - 38.0 shares and 29.1 shares) 0.4 0.4
Treasury stock, at cost: 9.9 shares in 2024 (2023 - 8.9 shares) (326.6) (262.1)
Additional paid-in capital 325.4 305.7
Retained earnings 522.2 436.1
Accumulated other comprehensive loss (76.9) (77.9)
Total equity 444.5 402.2
Total liabilities and equity $ 843.6 $ 806.9
[1] Certain assets are recorded within a segment based on predominant usage, however, as they benefit more than one segment, the related operating expenses are allocated between segments.
v3.24.3
Condensed Consolidated Balance Sheets (UNAUDITED) (Parenthetical) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Receivables, allowances for expected losses $ 24.4 $ 18.9
Preferred stock, par value $ 0.01 $ 0.01
Preferred stock, authorized 1,000,000 1,000,000
Preferred stock, Issued 0 0
Common stock, par value $ 0.01 $ 0.01
Common stock, Authorized 65,000,000 65,000,000
Common stock, Issued 38,800,000 38,000,000
Common stock, Outstanding 28,900,000 29,100,000
Treasury stock, Shares 9,900,000 8,900,000
v3.24.3
Condensed Consolidated Statements of Cash Flows (UNAUDITED) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
OPERATING ACTIVITIES    
Net Income (Loss) $ 86.1 $ 71.6
Adjustments to reconcile net earnings to net cash provided by operating activities:    
Depreciation and amortization 45.4 41.2
Provision for expected losses on accounts receivable 14.3 10.8
Share-based compensation expense 19.2 17.1
Deferred income taxes (5.7) (10.2)
Net pension plan income (0.8) (0.5)
Gain on sale of long-lived assets (9.8) (0.6)
Gain on sale of investments in equity securities (0.2) (6.9)
Amortization of operating lease right-of-use assets 6.9 9.5
Other 1.6 0.7
Changes in operating assets and liabilities:    
Receivables, net (40.2) (37.0)
Prepaid expenses and other current assets 0.4 1.8
Accounts payable 0.0 (13.8)
Income taxes payable and receivable 4.0 1.3
Accrued liabilities and other 5.5 (22.1)
Operating lease liabilities (10.6) (12.3)
Pension and other postretirement benefits plans contributions (1.4) (1.4)
Net cash provided by operating activities 114.7 49.2
INVESTING ACTIVITIES    
Capital expenditures (50.8) (43.0)
Proceeds from sale of long-lived assets 12.4 0.0
Proceeds from sales of investments in equity securities 0.2 9.9
Net cash used in investing activities (38.2) (33.1)
FINANCING ACTIVITIES    
Revolving facility borrowings 159.5 218.0
Payments on revolving facility borrowings (159.5) (221.5)
Treasury share repurchases (64.4) (35.4)
Cash received for common stock issuances 0.6 1.9
Finance lease payments (2.1) (1.7)
Net cash used in financing activities (65.9) (38.7)
Effect of exchange rate on cash and cash equivalents (0.1) 0.1
Net increase (decrease) in cash and cash equivalents 10.5 (22.5)
Cash and cash equivalents at beginning of year 23.1 34.2
Cash and cash equivalents at end of period 33.6 11.7
Supplemental cash flow information:    
Income taxes paid (net of refunds) 33.5 32.4
Interest paid 10.7 12.8
Non-cash investing activities:    
Capitalized software included in accounts payable 0.1 1.7
Non-cash consideration from sale of investment in an equity security (Note 1) $ 0.0 $ 2.9
v3.24.3
Condensed Consolidated Statements of Changes in Stockholders' Equity (UNAUDITED) - USD ($)
shares in Millions, $ in Millions
Total
Common Stock
Treasury Stock
Additional Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Balance at Dec. 31, 2022 $ 329.5 $ 0.4 $ (221.8) $ 280.2 $ 353.9 $ (83.2)
Balance (in shares) at Dec. 31, 2022   36.9 8.0      
Net Income (Loss) 71.6 $ 0.0 $ 0.0 0.0 71.6 0.0
Other comprehensive income (loss) 0.5 0.0 0.0 0.0 0.0 0.5
Share-based compensation expense 17.1 0.0 0.0 17.1 0.0 0.0
Common stock repurchases (18.0) $ 0.0 $ (18.0) 0.0 0.0 0.0
Common stock repurchases, shares   0.0 0.4      
Issuance of share-based awards, net of withholdings and other (15.4) $ 0.0 $ (17.4) 2.0 0.0 0.0
Issuance of share-based awards, net of withholdings and other (in shares)   1.0 0.4      
Balance at Sep. 30, 2023 385.3 $ 0.4 $ (257.2) 299.3 425.5 (82.7)
Balance (in shares) at Sep. 30, 2023   37.9 8.8      
Balance at Jun. 30, 2023 376.0 $ 0.4 $ (242.3) 292.3 407.4 (81.8)
Balance (in shares) at Jun. 30, 2023   37.9 8.5      
Net Income (Loss) 18.1 $ 0.0 $ 0.0 0.0 18.1 0.0
Other comprehensive income (loss) (0.9) 0.0 0.0 0.0 0.0 (0.9)
Share-based compensation expense 6.1 0.0 0.0 6.1 0.0 0.0
Common stock repurchases (14.8) $ 0.0 $ (14.8) 0.0 0.0 0.0
Common stock repurchases, shares   0.0 0.3      
Issuance of share-based awards, net of withholdings and other 0.8 $ 0.0 $ (0.1) 0.9 0.0 0.0
Issuance of share-based awards, net of withholdings and other (in shares)   0.0 0.0      
Balance at Sep. 30, 2023 385.3 $ 0.4 $ (257.2) 299.3 425.5 (82.7)
Balance (in shares) at Sep. 30, 2023   37.9 8.8      
Balance at Dec. 31, 2023 $ 402.2 $ 0.4 $ (262.1) 305.7 436.1 (77.9)
Balance (in shares) at Dec. 31, 2023 38.0 38.0 8.9      
Net Income (Loss) $ 86.1 $ 0.0 $ 0.0 0.0 86.1 0.0
Other comprehensive income (loss) 1.0 0.0 0.0 0.0 0.0 1.0
Share-based compensation expense 19.2 0.0 0.0 19.2 0.0 0.0
Common stock repurchases (41.4) $ 0.0 $ (41.4) 0.0 0.0 0.0
Common stock repurchases, shares   0.0 0.6      
Issuance of share-based awards, net of withholdings and other (22.6) $ 0.0 $ (23.1) 0.5 0.0 0.0
Issuance of share-based awards, net of withholdings and other (in shares)   0.8 0.4      
Balance at Sep. 30, 2024 $ 444.5 $ 0.4 $ (326.6) 325.4 522.2 (76.9)
Balance (in shares) at Sep. 30, 2024 38.8 38.8 9.9      
Balance at Jun. 30, 2024 $ 441.5 $ 0.4 $ (313.0) 318.7 513.5 (78.1)
Balance (in shares) at Jun. 30, 2024   38.8 9.7      
Net Income (Loss) 8.7 $ 0.0 $ 0.0 0.0 8.7 0.0
Other comprehensive income (loss) 1.2 0.0 0.0 0.0 0.0 1.2
Share-based compensation expense 6.7 0.0 0.0 6.7 0.0 0.0
Common stock repurchases (13.4) $ 0.0 $ (13.4) 0.0 0.0 0.0
Common stock repurchases, shares   0.0 0.2      
Issuance of share-based awards, net of withholdings and other (0.2) $ 0.0 $ (0.2) 0.0 0.0 0.0
Issuance of share-based awards, net of withholdings and other (in shares)   0.0 0.0      
Balance at Sep. 30, 2024 $ 444.5 $ 0.4 $ (326.6) $ 325.4 $ 522.2 $ (76.9)
Balance (in shares) at Sep. 30, 2024 38.8 38.8 9.9      
v3.24.3
Pay vs Performance Disclosure - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ 8.7 $ 18.1 $ 86.1 $ 71.6
v3.24.3
Insider Trading Arrangements
3 Months Ended
Sep. 30, 2024
shares
Trading Arrangements, by Individual  
Material Terms of Trading Arrangement

Item 5. Other Information

Director or Officer Adoption or Termination of Trading Agreements

On September 19, 2024, Daniel Leib, the Company’s President and Chief Executive Officer, adopted a trading plan with respect to the exercise of 50,000 vested stock options granted to Mr. Leib as equity incentive compensation and subsequent sale of the underlying common stock (the “Leib Plan”). The Leib Plan is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act. Pursuant to the Leib Plan, if the market price of the Company’s common stock is within a specified price range during a trading window between February 24, 2025 and March 31, 2025, up to 50,000 stock options will be exercised and the underlying shares of common stock will be sold at market prices.

Daniel Leib  
Trading Arrangements, by Individual  
Name Daniel Leib
Title President and Chief Executive Officer
Rule 10b5-1 Arrangement Adopted true
Adoption Date September 19, 2024
Expiration Date March 31, 2025
Arrangement Duration 193 days
Aggregate Available 50,000
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies
9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Overview, Basis of Presentation and Significant Accounting Policies

Note 1. Overview, Basis of Presentation and Significant Accounting Policies

Description of Business

DFIN is a leading global provider of innovative software and technology-enabled financial regulatory and compliance solutions. The Company provides regulatory filing and deal solutions via its software, technology-enabled services and print and distribution solutions to public and private companies, mutual funds and other regulated investment firms, to serve its clients’ regulatory and compliance needs. DFIN helps its clients comply with applicable regulations where and how they want to work in a digital world, providing numerous solutions tailored to each client’s precise needs. The prevailing trend is toward clients choosing to utilize the Company’s software solutions, in conjunction with its tech-enabled services, to meet their document and filing needs, while at the same time shifting away from physical print and distribution of documents, except for when it is still regulatorily required or requested by investors.

The Company serves its clients’ regulatory and compliance needs throughout their respective life cycles. For its capital markets clients, the Company offers solutions that allow companies to comply with U.S. Securities and Exchange Commission (“SEC”) regulations and support their corporate financial transactions and regulatory/financial reporting through the use of digital document creation and online content management tools; filing agent services, where applicable; solutions to facilitate clients’ communications with their investors; and virtual data rooms and other deal management solutions. For investment companies, including mutual fund, insurance-investment and alternative investment companies, the Company provides solutions for creating, compiling and filing regulatory communications as well as solutions for investors designed to improve the access to and accuracy of their investment information.

Services and Products

The Company separately reports its net sales and related cost of sales for its software solutions, tech-enabled services and print and distribution offerings. The Company’s software solutions consist of ActiveDisclosure® (“ActiveDisclosure”), the Arc Suite® software platform (“Arc Suite”) and Venue® Virtual Data Room (“Venue”). The Company’s tech-enabled services offerings consist of document composition, compliance-related SEC Electronic Data Gathering, Analysis, and Retrieval (“EDGAR”) filing services and transactional solutions. The Company’s print and distribution offerings primarily consist of conventional and digital printed products and related shipping.

Basis of Presentation

The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of DFIN and all majority-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and in accordance with the rules and regulations of the SEC. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The financial data presented herein should be read in conjunction with the audited Consolidated Financial Statements and accompanying notes included in the Company’s latest Annual Report. In the opinion of management, the financial data presented includes all adjustments necessary to present fairly the results of operations, financial position and cash flows for the interim periods presented. Results of interim periods should not be considered indicative of the results for the full year.

Significant Accounting Policies

Use of Estimates—The preparation of financial statements in conformity with GAAP requires the extensive use of management’s estimates and assumptions that affect the reported amounts of assets and liabilities as well as disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from these estimates. The Company’s significant accounting policies and critical accounting estimates are disclosed in the Annual Report.

Allowances for Expected LossesTransactions affecting the current expected credit loss (“CECL”) reserve during the nine months ended September 30, 2024 and 2023 were as follows:

 

 

September 30,

 

 

 

2024

 

 

2023

 

Balance, beginning of year

 

$

18.9

 

 

$

17.1

 

Provisions charged to expense

 

 

14.3

 

 

 

10.8

 

Write-offs, reclassifications and other

 

 

(8.8

)

 

 

(8.6

)

Balance, end of period

 

$

24.4

 

 

$

19.3

 

 

The components of the CECL reserve balance at September 30, 2024 and December 31, 2023 were as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Provision for accounts receivable

 

$

23.9

 

 

$

18.5

 

Provision for unbilled receivables and contract assets

 

 

0.5

 

 

 

0.4

 

Total

 

$

24.4

 

 

$

18.9

 

Assets Held for Sale—As of December 31, 2023, the Company had land held for sale with a carrying value of $2.6 million. On March 29, 2024, the Company sold the land for net proceeds of $13.2 million, of which $12.4 million was received in the first quarter of 2024 and $0.8 million of non-refundable fees were received in 2023. The Company recognized a net pre-tax gain of $10.6 million related to the sale, of which $9.8 million was recorded during the nine months ended September 30, 2024 and $0.8 million was recognized during the year ended December 31, 2023. The net pre-tax gain was recorded in other operating income, net on the Unaudited Condensed Consolidated Statements of Operations within the Capital Markets - Compliance and Communications Management operating segment.

Property, Plant and Equipment, net—The components of the Company’s property, plant and equipment, net at September 30, 2024 and December 31, 2023 were as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Land

 

$

0.3

 

 

$

0.3

 

Buildings

 

 

17.0

 

 

 

17.8

 

Machinery and equipment

 

 

69.0

 

 

 

68.0

 

 

 

 

86.3

 

 

 

86.1

 

Less: Accumulated depreciation

 

 

(74.8

)

 

 

(72.6

)

Total

 

$

11.5

 

 

$

13.5

 

Depreciation expense was $1.6 million and $2.0 million for the three months ended September 30, 2024 and 2023, respectively, and $4.9 million and $5.8 million for the nine months ended September 30, 2024 and 2023, respectively.

Software, net—Capitalized software development costs are amortized over their estimated useful life using the straight-line method, up to a maximum of three years. Amortization expense related to internally-developed software, excluding amortization expense related to other intangible assets, was $15.6 million and $11.4 million for the three months ended September 30, 2024 and 2023, respectively, and $40.5 million and $33.2 million for the nine months ended September 30, 2024 and 2023, respectively.

InvestmentsThe carrying value of the Company’s investments in equity securities was $5.8 million and $5.5 million at September 30, 2024 and December 31, 2023, respectively. The Company measures its equity securities that do not have a readily determinable fair value at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. The Company performs an assessment on a quarterly basis to determine whether triggering events for impairment exist and to identify any observable price changes.

In March 2023, the Company sold an investment in an equity security. As a result of the sale, for the nine months ended September 30, 2023, the Company received proceeds of $11.9 million, including $9.0 million of cash and common stock of the acquiror. In May 2023, the Company sold another investment in an equity security and received proceeds of $0.9 million in cash, which approximated its carrying value. The sales resulted in a net realized gain of $6.9 million for the nine months ended September 30, 2023, which is included in investment and other income, net, on the Unaudited Condensed Consolidated Statements of Operations within Corporate.

Recently Issued Accounting Pronouncements

In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which requires that an entity disclose consistent categories and greater disaggregation of significant expenses by reportable segment, information regarding the chief operating decision maker (“CODM”) and how the CODM uses the reported measures in assessing segment performance and deciding how to allocate resources, among other amendments that expand segment reporting disclosures. ASU 2023-07 also requires that an entity disclose all information about a reportable segment’s profit or loss and assets currently required annually by FASB Accounting Standards Codification (“ASC”) Topic 280, Segment Reporting, in interim periods. The standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of the adoption of this standard on its disclosures to the Unaudited Condensed Consolidated Financial Statements.

In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires that an entity disclose consistent categories and greater disaggregation of information in the income tax rate reconciliation, income taxes paid disaggregated by jurisdiction, among other amendments that expand income tax disclosures. The standard is effective for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of the adoption of this standard on its disclosures to the Unaudited Condensed Consolidated Financial Statements.

v3.24.3
Revenue
9 Months Ended
Sep. 30, 2024
Revenue Recognition [Abstract]  
Revenue

Note 2. Revenue

Revenue Recognition

The Company manages highly-customized data and materials to enable filings with the SEC on behalf of its customers as well as performs tagging of documents using Inline eXtensible Business Reporting Language (“iXBRL”) and other services. Clients are provided with EDGAR filing services, iXBRL compliance services and translation, editing, interpreting, proof-reading and multilingual typesetting services, among other services. The Company provides software solutions to public and private companies, mutual funds and other regulated investment firms to serve their regulatory and compliance needs, including ActiveDisclosure, Arc Suite and Venue, and provides digital document creation, online content management and print and distribution solutions.

Revenue is recognized upon transfer of control of promised services or products to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those services or products. The Company’s services include software solutions and tech-enabled services whereas the Company’s products are comprised of print and distribution offerings. The Company’s arrangements with customers often include promises to transfer multiple services or products to a customer. Determining whether services and products are considered distinct performance obligations that should be accounted for separately requires significant judgment. Certain customer arrangements have multiple performance obligations as certain promises are both capable of being distinct and are distinct within the context of the contract. Other customer arrangements have a single performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts, and therefore is not distinct. Revenue for the Company’s tech-enabled services, software solutions and print and distribution offerings is recognized either over time or at a point in time, as further disclosed in the Annual Report.

Disaggregation of Revenue

The following tables disaggregate revenue between tech-enabled services, software solutions and print and distribution by reportable segment:

 

Three Months Ended September 30,

 

 

2024

 

 

2023

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

Capital Markets - Software Solutions

$

 

 

$

53.3

 

 

$

 

 

$

53.3

 

 

$

 

 

$

46.5

 

 

$

 

 

$

46.5

 

Capital Markets - Compliance and Communications Management

 

55.6

 

 

 

 

 

 

7.9

 

 

 

63.5

 

 

 

60.7

 

 

 

 

 

 

9.4

 

 

 

70.1

 

Investment Companies - Software Solutions

 

 

 

 

28.9

 

 

 

 

 

 

28.9

 

 

 

 

 

 

26.7

 

 

 

 

 

 

26.7

 

Investment Companies - Compliance and Communications Management

 

19.6

 

 

 

 

 

 

14.2

 

 

 

33.8

 

 

 

19.7

 

 

 

 

 

 

17.0

 

 

 

36.7

 

Total net sales

$

75.2

 

 

$

82.2

 

 

$

22.1

 

 

$

179.5

 

 

$

80.4

 

 

$

73.2

 

 

$

26.4

 

 

$

180.0

 

 

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

Capital Markets - Software Solutions

 

$

 

 

$

163.6

 

 

$

 

 

$

163.6

 

 

$

 

 

$

137.9

 

 

$

 

 

$

137.9

 

Capital Markets - Compliance and Communications Management

 

 

202.9

 

 

 

 

 

 

65.5

 

 

 

268.4

 

 

 

205.4

 

 

 

 

 

 

81.7

 

 

 

287.1

 

Investment Companies - Software Solutions

 

 

 

 

 

84.5

 

 

 

 

 

 

84.5

 

 

 

 

 

 

81.1

 

 

 

 

 

 

81.1

 

Investment Companies - Compliance and Communications Management

 

 

57.4

 

 

 

 

 

 

51.7

 

 

 

109.1

 

 

 

57.9

 

 

 

 

 

 

56.7

 

 

 

114.6

 

Total net sales

 

$

260.3

 

 

$

248.1

 

 

$

117.2

 

 

$

625.6

 

 

$

263.3

 

 

$

219.0

 

 

$

138.4

 

 

$

620.7

 

Unbilled Receivables and Contract Balances

The timing of revenue recognition may differ from the timing of invoicing to customers and these timing differences result in contract assets, unbilled receivables or contract liabilities. Contract assets represent revenue recognized for performance obligations completed before an unconditional right to payment exists and therefore invoicing has not yet occurred. The Company generally estimates contract assets based on the historical selling price adjusted for its current experience and expected resolution of the variable consideration of the completed performance obligation. When the Company’s contracts contain variable consideration, the variable consideration is recognized only to the extent that it is probable that a significant revenue reversal will not occur in a future period. As a result, the estimated revenue and contract assets may be constrained until the uncertainty associated with the variable consideration is resolved, which generally occurs in less than one year. Determining whether there will be a significant revenue reversal in the future and the determination of the amount of the constraint requires significant judgment.

Contract assets were $16.6 million and $16.3 million at September 30, 2024 and December 31, 2023, respectively. Generally, the contract assets balance is impacted by the recognition of additional revenue, amounts invoiced to customers and changes in the level of constraint applied to variable consideration. Amounts recognized as revenue exceeded the estimates for performance obligations satisfied in previous periods by approximately $7.6 million and $6.5 million for the three months ended September 30, 2024 and 2023, respectively, and $18.4 million and $20.2 million for the nine months ended September 30, 2024 and 2023, respectively, primarily due to changes in the Company’s estimate of variable consideration and the application of the constraint.

Unbilled receivables are recorded when there is an unconditional right to payment and invoicing has not yet occurred. The Company estimates the value of unbilled receivables based on a combination of historical customer selling price and management’s assessment of realizable selling price. Unbilled receivables were $33.4 million and $21.6 million at September 30, 2024 and December 31, 2023, respectively. Unbilled receivables and contract assets are included in receivables, less allowances for expected losses on the Unaudited Condensed Consolidated Balance Sheets.

Contract liabilities consist of deferred revenue and progress billings, which are included in accrued liabilities on the Unaudited Condensed Consolidated Balance Sheets. The Company recognized $7.6 million and $6.3 million of revenue during the three months ended September 30, 2024 and 2023, respectively, that was included in the deferred revenue balances at the beginning of the respective periods. The Company recognized $35.9 million and $38.0 million of revenue during the nine months ended September 30, 2024 and 2023, respectively, that was included in the deferred revenue balances at the beginning of the respective periods. Changes in contract liabilities were as follows:

 

 

September 30,

 

 

 

2024

 

 

2023

 

Balance, beginning of year

 

$

46.8

 

 

$

46.1

 

Deferral of revenue

 

 

154.5

 

 

 

121.3

 

Revenue recognized

 

 

(144.6

)

 

 

(113.2

)

Balance, end of period

 

$

56.7

 

 

$

54.2

 

Most of the Company's contracts with significant remaining performance obligations have an initial expected duration of one year or less. As of September 30, 2024, the future estimated revenue related to unsatisfied or partially satisfied performance obligations under contracts with an original contractual term in excess of one year was approximately $111 million, of which approximately 59% is expected to be recognized as revenue over the succeeding twelve months, and the remainder recognized thereafter.

v3.24.3
Goodwill
9 Months Ended
Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill

Note 3. Goodwill

The goodwill balances by reportable segment were as follows:

 

 

Gross book
value at
December 31,
2023

 

 

Accumulated
impairment
charges at
December 31,
2023

 

 

Net book
value at
December 31,
2023

 

 

Foreign
exchange and
other
adjustments

 

 

Net book
 value at
September 30,
2024

 

Capital Markets - Software Solutions

 

$

100.0

 

 

$

 

 

$

100.0

 

 

$

 

 

$

100.0

 

Capital Markets - Compliance and Communications Management

 

 

252.8

 

 

 

 

 

 

252.8

 

 

 

 

 

 

252.8

 

Investment Companies - Software Solutions

 

 

53.0

 

 

 

 

 

 

53.0

 

 

 

0.1

 

 

 

53.1

 

Investment Companies - Compliance and Communications Management

 

 

40.6

 

 

 

(40.6

)

 

 

 

 

 

 

 

 

 

Total

 

$

446.4

 

 

$

(40.6

)

 

$

405.8

 

 

$

0.1

 

 

$

405.9

 

v3.24.3
Leases
9 Months Ended
Sep. 30, 2024
Leases [Abstract]  
Leases

Note 4. Leases

The Company has operating leases for certain service centers, office space and equipment as well as finance leases, substantially all related to information technology equipment. The Company’s payments related to its operating and finance lease liabilities for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Cash paid related to operating leases

 

$

3.6

 

 

$

4.4

 

 

$

11.3

 

 

$

13.3

 

Cash paid related to finance leases

 

$

0.7

 

 

$

0.5

 

 

$

2.1

 

 

$

1.7

 

The components of lease expense for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Operating lease expense:

 

 

 

 

 

 

 

 

 

 

 

 

Operating lease expense

 

$

2.4

 

 

$

3.0

 

 

$

7.3

 

 

$

10.2

 

Sublease income

 

 

(1.2

)

 

 

(1.1

)

 

 

(3.4

)

 

 

(3.2

)

Net operating lease expense

 

$

1.2

 

 

$

1.9

 

 

$

3.9

 

 

$

7.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Finance lease expense:

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

0.8

 

 

$

0.5

 

 

$

2.1

 

 

$

1.7

 

Interest on lease liabilities

 

 

0.1

 

 

 

0.1

 

 

 

0.2

 

 

 

0.2

 

Total finance lease expense

 

$

0.9

 

 

$

0.6

 

 

$

2.3

 

 

$

1.9

 

The Company’s finance leases as of September 30, 2024 and December 31, 2023 are presented on the Company’s Unaudited Condensed Consolidated Balance Sheets as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Property, plant and equipment, net

 

$

5.6

 

 

$

7.0

 

 

 

 

 

 

 

 

Accrued liabilities

 

$

3.0

 

 

$

2.5

 

Other noncurrent liabilities

 

 

2.8

 

 

 

4.7

 

Total

 

$

5.8

 

 

$

7.2

 

Other information related to finance leases for the nine months ended September 30, 2024 and 2023 was as follows:

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

Non-cash disclosure:

 

 

 

 

 

 

Increase in finance lease liabilities due to new right-of-use assets

 

$

0.8

 

 

$

2.5

 

v3.24.3
Restructuring, Impairment and Other Charges, net
9 Months Ended
Sep. 30, 2024
Restructuring and Related Activities [Abstract]  
Restructuring, Impairment and Other Charges, net

Note 5. Restructuring, Impairment and Other Charges, net

Restructuring, Impairment and Other Charges, net recognized in Results of Operations

The Company records restructuring charges associated with management-approved restructuring plans, which could include the elimination of job functions, closure or relocation of facilities, reorganization of operations, changes in management structure, workforce reductions or other actions. Restructuring charges may include ongoing and enhanced termination benefits related to employee separations, contract termination costs and other related costs associated with exit or disposal activities. Restructuring charges for employee terminations include management’s estimate as to the timing and amount of severance and actual results could differ from estimates.

For the three months ended September 30, 2024 and 2023, the Company recorded the following restructuring, impairment and other charges, net by reportable segment:

 

 

Employee Terminations

 

 

Impairment Charges

 

 

Other Charges

 

 

Total

 

Three Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Compliance and Communications Management

 

$

0.3

 

 

$

0.6

 

 

$

0.1

 

 

$

1.0

 

Investment Companies - Software Solutions

 

 

0.3

 

 

 

 

 

 

 

 

 

0.3

 

Corporate

 

 

0.1

 

 

 

 

 

 

 

 

 

0.1

 

Total

 

$

0.7

 

 

$

0.6

 

 

$

0.1

 

 

$

1.4

 

 

 

 

Employee
Terminations

 

 

Other
Restructuring
Charges

 

 

Impairment
Charges

 

 

Other Charges

 

 

Total

 

Three Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

(0.5

)

 

$

 

 

$

 

 

$

 

 

$

(0.5

)

Capital Markets - Compliance and Communications Management

 

 

(0.2

)

 

 

0.1

 

 

 

0.1

 

 

 

0.1

 

 

 

0.1

 

Investment Companies - Software Solutions

 

 

(0.1

)

 

 

 

 

 

 

 

 

 

 

 

(0.1

)

Investment Companies - Compliance and Communications Management

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

 

0.1

 

Corporate

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

 

0.1

 

Total

 

$

(0.6

)

 

$

0.1

 

 

$

0.1

 

 

$

0.1

 

 

$

(0.3

)

For the nine months ended September 30, 2024 and 2023, the Company recorded the following restructuring, impairment and other charges, net by reportable segment:

 

 

Employee Terminations

 

 

Impairment Charges

 

 

Other Charges

 

 

Total

 

Nine Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

0.3

 

 

$

 

 

$

 

 

$

0.3

 

Capital Markets - Compliance and Communications Management

 

 

1.6

 

 

 

0.6

 

 

 

0.2

 

 

 

2.4

 

Investment Companies - Software Solutions

 

 

0.4

 

 

 

 

 

 

 

 

 

0.4

 

Investment Companies - Compliance and Communications Management

 

 

0.1

 

 

 

 

 

 

 

 

 

0.1

 

Corporate

 

 

1.2

 

 

 

 

 

 

0.1

 

 

 

1.3

 

Total

 

$

3.6

 

 

$

0.6

 

 

$

0.3

 

 

$

4.5

 

 

 

 

Employee
Terminations

 

 

Other
Restructuring
Charges

 

 

Impairment
Charges

 

 

Other Charges

 

 

Total

 

Nine Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

2.5

 

 

$

 

 

$

 

 

$

 

 

$

2.5

 

Capital Markets - Compliance and Communications Management

 

 

4.0

 

 

 

0.1

 

 

 

0.1

 

 

 

0.2

 

 

 

4.4

 

Investment Companies - Software Solutions

 

 

0.5

 

 

 

 

 

 

 

 

 

 

 

 

0.5

 

Investment Companies - Compliance and Communications Management

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

 

0.1

 

Corporate

 

 

0.8

 

 

 

 

 

 

 

 

 

0.1

 

 

 

0.9

 

Total

 

$

7.9

 

 

$

0.1

 

 

$

0.1

 

 

$

0.3

 

 

$

8.4

 

 

For the three months ended September 30, 2024, the Company recorded net restructuring charges of $0.7 million related to employee termination costs for approximately 10 employees, substantially all of whom will be terminated by December 31, 2024. For the nine months ended September 30, 2024, the Company recorded net restructuring charges of $3.6 million related to employee termination costs for approximately 40 employees, substantially all of whom will be terminated by December 31, 2024. The restructuring actions were primarily related to the reorganization of certain capital markets operations and certain changes in management structure. The three and nine months ended September 30, 2024 also included $0.6 million of impairment charges.

For the nine months ended September 30, 2023, the Company recorded restructuring charges of $7.9 million related to employee termination costs for approximately 150 employees, substantially all of whom were terminated as of December 31, 2023. The restructuring actions were primarily related to the reorganization of certain capital markets operations.

Restructuring Reserve – Employee Terminations

The Company’s employee terminations liability is included in accrued liabilities on the Company’s Unaudited Condensed Consolidated Balance Sheets. Changes in the accrual for employee terminations during the nine months ended September 30, 2024 were as follows:

 

 

Employee Terminations

 

Balance at December 31, 2023

 

$

2.1

 

Restructuring charges, net

 

 

3.6

 

Cash paid

 

 

(4.5

)

Balance at September 30, 2024

 

$

1.2

 

v3.24.3
Retirement Plans
9 Months Ended
Sep. 30, 2024
Retirement Benefits [Abstract]  
Retirement Plans

Note 6. Retirement Plans

The components of estimated net pension plan income for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Interest cost

 

$

2.8

 

 

$

2.9

 

 

$

8.3

 

 

$

8.7

 

Expected return on assets

 

 

(3.4

)

 

 

(3.3

)

 

 

(10.1

)

 

 

(9.9

)

Amortization, net

 

 

0.4

 

 

 

0.2

 

 

 

1.0

 

 

 

0.7

 

Net pension plan income

 

$

(0.2

)

 

$

(0.2

)

 

$

(0.8

)

 

$

(0.5

)

Pension Plan Termination

In August 2024, the Company executed an amendment to allow for the termination of the Company’s frozen primary defined benefit plan (the “Plan”). The Plan’s benefit obligation is expected to be settled by offering lump sum distributions to participants, followed by the purchase of annuity contracts to transfer the Plan’s remaining obligation to a third party. As settlement of the obligation will be funded with Plan assets, the Company expects to make a cash contribution to fully fund the Plan in 2025. The cash contribution amount will depend upon the nature and timing of participant lump sum settlements and prevailing market conditions. Pension settlement charges related to the Plan termination, which include the recognition of Plan losses recorded within accumulated other comprehensive loss on the Company’s Unaudited Condensed Consolidated Balance Sheets, are currently expected to occur in the second half of 2025. The Plan termination is subject to certain conditions, including regulatory review, and the Company has the ability to change the effective date of the termination or revoke the decision to terminate the Plan.

v3.24.3
Commitments and Contingencies
9 Months Ended
Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 7. Commitments and Contingencies

Litigation

From time to time, the Company’s customers and other counterparties file voluntary petitions for reorganization under United States bankruptcy laws. In such cases, certain pre-petition payments received by the Company from these parties could be considered preference items and subject to return. In addition, the Company may be party to certain litigation arising in the ordinary course of business. Management believes that the final resolution of these preference items and litigation will not have a material effect on the Company’s consolidated results of operations, financial position or cash flows.

v3.24.3
Debt
9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
Debt

Note 8. Debt

The Company’s debt as of September 30, 2024 and December 31, 2023 consisted of the following:

 

 

September 30, 2024

 

 

December 31, 2023

 

Term Loan A Facility

 

$

125.0

 

 

$

125.0

 

Unamortized debt issuance costs

 

 

(0.4

)

 

 

(0.5

)

Total long-term debt

 

$

124.6

 

 

$

124.5

 

Credit AgreementOn May 27, 2021, the Company amended and restated its credit agreement dated as of September 30, 2016 (as in effect prior to such amendment and restatement, the “Credit Agreement,” and the Credit Agreement, as so amended and restated, the “Amended and Restated Credit Agreement”), by and among the Company, the lenders party thereto from time to time and JPMorgan Chase Bank, N.A., as administrative agent and collateral agent, to, among other things, provide for a $200.0 million delayed-draw term loan A facility (the “Term Loan A Facility”) (bearing interest at a rate equal to the sum of the London Interbank Offered Rate (“LIBOR”) plus a margin ranging from 2.00% to 2.50% based upon the Company's Consolidated Net Leverage Ratio), extend the maturity of the $300.0 million revolving credit facility (the “Revolving Facility”) to May 27, 2026 and modify the financial maintenance and negative covenants in the Credit Agreement.

On May 11, 2023, the Company entered into the first amendment to the Amended and Restated Credit Agreement to change the reference rate from LIBOR, which ceased being published on June 30, 2023, to the Secured Overnight Financing Rate (“SOFR”) for both the Term Loan A Facility and the Revolving Facility. The SOFR interest rate was effective for the Revolving Facility and the Term Loan A on May 30, 2023 and June 12, 2023, respectively. No other significant terms of the Amended and Restated Credit Agreement were amended. The Amended and Restated Credit Agreement contains a number of covenants, including a minimum Interest Coverage Ratio and the Consolidated Net Leverage Ratio, as defined in and calculated pursuant to the Credit Agreement, that, in part, restrict the Company’s ability to incur additional indebtedness, create liens, engage in mergers and consolidations, make restricted payments and dispose of certain assets. The Credit Agreement generally allows annual dividend payments of up to $20.0 million in the aggregate.

Term Loan A Facility—The unpaid principal amount of the Term Loan A Facility is due and payable in full on May 27, 2026. Voluntary prepayments of the Term Loan A Facility are permitted at any time without premium or penalty. The weighted-average interest rate on borrowings under the Term Loan A Facility was 7.4% and 6.8% for the nine months ended September 30, 2024 and 2023, respectively. The fair value of the Term Loan A Facility was $124.2 million and $124.1 million as of September 30, 2024 and December 31, 2023, respectively, and was determined to be Level 2 under the fair value hierarchy.

Revolving Facility—As of September 30, 2024 and December 31, 2023, there were no borrowings outstanding under the Revolving Facility. The weighted average interest rate on borrowings under the Revolving Facility was 7.7% and 7.2% for the nine months ended September 30, 2024 and 2023, respectively.

The following table summarizes interest expense, net included on the Unaudited Condensed Consolidated Statements of Operations:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Interest incurred

 

$

3.5

 

 

$

4.7

 

 

$

12.1

 

 

$

13.7

 

Interest income

 

 

(0.4

)

 

 

(0.6

)

 

 

(1.7

)

 

 

(1.5

)

Interest expense, net

 

$

3.1

 

 

$

4.1

 

 

$

10.4

 

 

$

12.2

 

v3.24.3
Earnings per Share
9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Earnings per Share

Note 9. Earnings per Share

Net earnings per basic share is calculated by dividing net earnings by the weighted average number of common shares outstanding for the period. Net earnings per diluted share is computed using the weighted average number of common and potentially dilutive shares outstanding during the period, including stock options, restricted stock units (“RSUs”), performance share units (“PSUs”) and restricted stock, using the treasury stock method.

The reconciliation of the numerator and denominator of the net earnings per basic and diluted share calculations for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net earnings per share:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.30

 

 

$

0.62

 

 

$

2.94

 

 

$

2.44

 

Diluted

 

$

0.29

 

 

$

0.60

 

 

$

2.86

 

 

$

2.36

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

8.7

 

 

$

18.1

 

 

$

86.1

 

 

$

71.6

 

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares outstanding

 

 

29.1

 

 

 

29.4

 

 

 

29.3

 

 

 

29.4

 

Dilutive awards

 

 

0.8

 

 

 

0.9

 

 

 

0.8

 

 

 

1.0

 

Diluted weighted average number of common shares outstanding

 

 

29.9

 

 

 

30.3

 

 

 

30.1

 

 

 

30.4

 

v3.24.3
Capital Stock
9 Months Ended
Sep. 30, 2024
Equity [Abstract]  
Capital Stock

Note 10. Capital Stock

The Company has authorized for issuance 65 million shares of $0.01 par value common stock and one million shares of $0.01 par value preferred stock. The Board may divide the preferred stock into one or more series and fix the redemption, dividend, voting, conversion, sinking fund, liquidation and other rights. The Company has no present plans to issue any preferred stock.

Common Stock Repurchases

On August 17, 2022, the Board authorized an increase to the stock repurchase program previously approved in February 2022 to bring the total remaining available repurchase authorization for shares on or after August 17, 2022 to $150 million, which expired on December 31, 2023. On November 14, 2023, the Board authorized the repurchase of up to $150 million of the Company’s outstanding common stock commencing on January 1, 2024, with an expiration date of December 31, 2025. As of September 30, 2024, the remaining authorized amount was $108.7 million.

The stock repurchase program may be suspended or discontinued at any time. The timing and amount of any shares repurchased are determined by the Company based on its evaluation of market conditions and other factors and may be completed from time to time in one or more transactions on the open market or in privately negotiated purchases in accordance with all applicable securities laws and regulations and all repurchases in the open market will be made in compliance with Rule 10b-18 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Repurchases may also be made under a Rule 10b5-1 plan, which would permit shares to be repurchased when the Company might otherwise be precluded from doing so.

The Company’s stock repurchases for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Common stock repurchases

 

$

13.3

 

 

$

14.8

 

 

$

41.3

 

 

$

18.0

 

Number of shares repurchased

 

 

208,254

 

 

 

310,365

 

 

 

665,535

 

 

 

386,920

 

Average price paid per share

 

$

63.96

 

 

$

47.77

 

 

$

62.10

 

 

$

46.53

 

v3.24.3
Comprehensive Income
9 Months Ended
Sep. 30, 2024
Equity [Abstract]  
Comprehensive Income

Note 11. Comprehensive Income

The components of other comprehensive income (loss) and income tax expense allocated to each component for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30, 2024

 

 

Nine Months Ended September 30, 2024

 

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

Translation adjustments

 

$

0.8

 

 

$

 

 

$

0.8

 

 

$

0.2

 

 

$

 

 

$

0.2

 

Adjustment for net periodic pension and other postretirement benefits plans

 

 

0.4

 

 

 

 

 

 

0.4

 

 

 

1.0

 

 

 

0.2

 

 

 

0.8

 

Other comprehensive income

 

$

1.2

 

 

$

 

 

$

1.2

 

 

$

1.2

 

 

$

0.2

 

 

$

1.0

 

 

 

Three Months Ended September 30, 2023

 

 

Nine Months Ended September 30, 2023

 

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

Translation adjustments

 

$

(1.0

)

 

$

 

 

$

(1.0

)

 

$

 

 

$

 

 

$

 

Adjustment for net periodic pension and other postretirement benefits plans

 

 

0.2

 

 

 

0.1

 

 

 

0.1

 

 

 

0.7

 

 

 

0.2

 

 

 

0.5

 

Other comprehensive (loss) income

 

$

(0.8

)

 

$

0.1

 

 

$

(0.9

)

 

$

0.7

 

 

$

0.2

 

 

$

0.5

 

The following table summarizes changes in accumulated other comprehensive loss by component for the nine months ended September 30, 2024:

 

 

Pension and Other Postretirement Benefits Plans Cost

 

 

Translation Adjustments

 

 

Total

 

Balance at December 31, 2023

 

$

(63.7

)

 

$

(14.2

)

 

$

(77.9

)

Other comprehensive loss before reclassifications

 

 

 

 

 

(0.2

)

 

 

(0.2

)

Amounts reclassified from accumulated other comprehensive loss

 

 

0.8

 

 

 

0.4

 

 

 

1.2

 

Net change in accumulated other comprehensive loss

 

 

0.8

 

 

 

0.2

 

 

 

1.0

 

Balance at September 30, 2024

 

$

(62.9

)

 

$

(14.0

)

 

$

(76.9

)

The following table summarizes changes in accumulated other comprehensive loss by component for the nine months ended September 30, 2023:

 

 

Pension and Other Postretirement Benefits Plans Cost

 

 

Translation Adjustments

 

 

Total

 

Balance at December 31, 2022

 

$

(67.9

)

 

$

(15.3

)

 

$

(83.2

)

Other comprehensive income before reclassifications

 

 

 

 

 

 

 

 

 

Amounts reclassified from accumulated other comprehensive loss

 

 

0.5

 

 

 

 

 

 

0.5

 

Net change in accumulated other comprehensive loss

 

 

0.5

 

 

 

 

 

 

0.5

 

Balance at September 30, 2023

 

$

(67.4

)

 

$

(15.3

)

 

$

(82.7

)

 

Reclassifications from accumulated other comprehensive loss for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Amortization of pension and other postretirement benefits plans cost:

 

 

 

 

 

 

 

 

 

 

 

 

Net actuarial loss (a)

 

$

0.4

 

 

$

0.2

 

 

$

1.0

 

 

$

0.7

 

Reclassification of translation adjustment (b)

 

 

 

 

 

 

 

 

0.5

 

 

 

 

Reclassifications before tax

 

 

0.4

 

 

 

0.2

 

 

 

1.5

 

 

 

0.7

 

Income tax expense

 

 

 

 

 

0.1

 

 

 

0.3

 

 

 

0.2

 

Reclassifications, net of tax

 

$

0.4

 

 

$

0.1

 

 

$

1.2

 

 

$

0.5

 

 

(a)
These accumulated other comprehensive loss components are included in the calculation of net periodic pension and other postretirement benefits plans income recognized in investment and other income, net on the Unaudited Condensed Consolidated Statements of Operations (see Note 6, Retirement Plans).
(b)
Translation adjustment reclassification resulting from the liquidation of a foreign subsidiary is included in investment and other income, net on the Unaudited Condensed Consolidated Statements of Operations.
v3.24.3
Segment Information
9 Months Ended
Sep. 30, 2024
Segment Reporting [Abstract]  
Segment Information

Note 12. Segment Information

The Company operates its business through four operating and reportable segments: Capital Markets – Software Solutions, Capital Markets – Compliance and Communications Management, Investment Companies – Software Solutions and Investment Companies – Compliance and Communications Management. Corporate is not an operating segment and consists primarily of unallocated selling, general and administrative (“SG&A”) activities and associated expenses including, in part, executive, legal, finance and certain facility costs. In addition, certain costs and earnings of employee benefits plans, such as pension and other postretirement benefits plans expense (income) as well as share-based compensation expense, are included in Corporate and not allocated to the operating segments.

Capital Markets

The Company provides software solutions, tech-enabled services and print and distribution solutions to public and private companies for deal solutions and compliance to companies that are, or are preparing to become, subject to the filing and reporting requirements of the Securities Act of 1933, as amended (the “Securities Act”), and the Exchange Act. Capital markets clients leverage the Company’s software offerings, proprietary technology, deep industry expertise and experience to successfully navigate the SEC’s specified file formats when submitting compliance documents through the SEC’s EDGAR system for their transactional and ongoing compliance needs. The Company assists its capital markets clients throughout the course of initial public offerings, secondary offerings, mergers and acquisitions, public and private debt offerings, leveraged buyouts, spinouts, special purpose acquisition company (“SPAC”) and de-SPAC transactions and other similar transactions. In addition, the Company provides clients with compliance solutions to prepare their ongoing required Exchange Act filings that are compatible with the SEC’s EDGAR system, most notably Form 10-K, Form 10-Q, Form 8-K and proxy filings. The Company’s operating segments associated with its capital markets services and product offerings are as follows:

Capital Markets – Software Solutions—The Company provides Venue and ActiveDisclosure to public and private companies to help manage public and private transactional and compliance processes; collaborate; and tag, validate and file SEC documents.

Capital Markets – Compliance & Communications Management—The Company provides tech-enabled services and print and distribution solutions to public and private companies for deal solutions and SEC compliance requirements.

Investment Companies

The Company provides software solutions, tech-enabled services and print, distribution and fulfillment solutions to its investment companies clients, which are primarily mutual fund companies, alternative investment companies, insurance companies and third-party fund administrators, that are subject to the filing and reporting requirements of the Investment Company Act of 1940, as amended (the “Investment Company Act”) as well as European and Canadian regulations. The Company’s suite of solutions enables its investment companies clients to comply with applicable ongoing SEC regulations, as well as to create, manage and deliver accurate and timely financial communications to investors and regulators. Investment companies clients leverage the Company’s proprietary technology, deep industry expertise and experience to successfully navigate the SEC’s specified file formats when submitting compliance documents through the SEC's EDGAR system. The Company’s operating segments associated with its investment companies services and products offerings are as follows:

Investment Companies – Software Solutions—The Company provides clients with the Arc Suite platform that contains a comprehensive suite of cloud-based solutions, including ArcDigital, ArcReporting, ArcPro and ArcRegulatory, as well as services that enable storage and management of compliance and regulatory information in a self-service, central repository so that documents can be easily accessed, assembled, edited, tagged, translated, rendered and submitted to regulators and investors.

Investment Companies – Compliance & Communications Management—The Company provides its investment companies clients tech-enabled services to prepare, file, tag and distribute registration forms, as well as iXBRL-formatted filings pursuant to the Investment Company Act, through the SEC’s EDGAR system. In addition, the Company provides print and distribution solutions for its clients to communicate with their investors.

Information by Segment

The Company has disclosed income (loss) from operations as the primary measure of segment earnings (loss). This is the measure of profitability used by the Company’s CODM and is most consistent with the presentation of profitability reported within the Unaudited Condensed Consolidated Financial Statements.

 

 

Net Sales

 

 

Income (Loss) from Operations

 

 

Depreciation and Amortization

 

 

Capital Expenditures

 

Three Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

53.3

 

 

$

6.2

 

 

$

7.1

 

 

$

9.9

 

Capital Markets - Compliance and Communications Management

 

 

63.5

 

 

 

14.8

 

 

 

4.3

 

 

 

2.1

 

Investment Companies - Software Solutions

 

 

28.9

 

 

 

4.2

 

 

 

4.5

 

 

 

6.0

 

Investment Companies - Compliance and Communications Management

 

 

33.8

 

 

 

9.1

 

 

 

1.2

 

 

 

0.5

 

Total operating segments

 

 

179.5

 

 

 

34.3

 

 

 

17.1

 

 

 

18.5

 

Corporate

 

 

 

 

 

(16.1

)

 

 

0.1

 

 

 

0.6

 

Total

 

$

179.5

 

 

$

18.2

 

 

$

17.2

 

 

$

19.1

 

 

Three Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

46.5

 

 

$

4.9

 

 

$

7.7

 

 

$

11.6

 

Capital Markets - Compliance and Communications Management

 

 

70.1

 

 

 

24.9

 

 

 

1.9

 

 

 

1.8

 

Investment Companies - Software Solutions

 

 

26.7

 

 

 

6.6

 

 

 

3.5

 

 

 

5.0

 

Investment Companies - Compliance and Communications Management

 

 

36.7

 

 

 

11.2

 

 

 

1.2

 

 

 

0.4

 

Total operating segments

 

 

180.0

 

 

 

47.6

 

 

 

14.3

 

 

 

18.8

 

Corporate

 

 

 

 

 

(17.8

)

 

 

0.1

 

 

 

0.4

 

Total

 

$

180.0

 

 

$

29.8

 

 

$

14.4

 

 

$

19.2

 

 

 

 

 

Net Sales

 

 

Income (Loss) from Operations

 

 

Assets(a)

 

 

Depreciation and Amortization

 

 

Capital Expenditures

 

Nine Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

163.6

 

 

$

30.1

 

 

$

201.6

 

 

$

20.3

 

 

$

24.3

 

Capital Markets - Compliance and Communications Management

 

 

268.4

 

 

 

96.4

 

 

 

352.3

 

 

 

8.4

 

 

 

5.9

 

Investment Companies - Software Solutions

 

 

84.5

 

 

 

14.8

 

 

 

111.8

 

 

 

13.1

 

 

 

17.0

 

Investment Companies - Compliance and Communications Management

 

 

109.1

 

 

 

33.2

 

 

 

46.7

 

 

 

3.5

 

 

 

2.3

 

Total operating segments

 

 

625.6

 

 

 

174.5

 

 

 

712.4

 

 

 

45.3

 

 

 

49.5

 

Corporate

 

 

 

 

 

(47.2

)

 

 

131.2

 

 

 

0.1

 

 

 

1.3

 

Total

 

$

625.6

 

 

$

127.3

 

 

$

843.6

 

 

$

45.4

 

 

$

50.8

 

 

Nine Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

137.9

 

 

$

8.7

 

 

$

198.4

 

 

$

21.8

 

 

$

23.4

 

Capital Markets - Compliance and Communications Management

 

 

287.1

 

 

 

88.5

 

 

 

387.0

 

 

 

5.6

 

 

 

4.8

 

Investment Companies - Software Solutions

 

 

81.1

 

 

 

18.3

 

 

 

105.3

 

 

 

10.2

 

 

 

12.3

 

Investment Companies - Compliance and Communications Management

 

 

114.6

 

 

 

35.4

 

 

 

43.9

 

 

 

3.5

 

 

 

1.4

 

Total operating segments

 

 

620.7

 

 

 

150.9

 

 

 

734.6

 

 

 

41.1

 

 

 

41.9

 

Corporate

 

 

 

 

 

(50.7

)

 

 

104.7

 

 

 

0.1

 

 

 

1.1

 

Total

 

$

620.7

 

 

$

100.2

 

 

$

839.3

 

 

$

41.2

 

 

$

43.0

 

 

(a)
Certain assets are recorded within a segment based on predominant usage, however, as they benefit more than one segment, the related operating expenses are allocated between segments.
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies (Policies)
9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Basis of Presentation

Basis of Presentation

The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of DFIN and all majority-owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and in accordance with the rules and regulations of the SEC. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The financial data presented herein should be read in conjunction with the audited Consolidated Financial Statements and accompanying notes included in the Company’s latest Annual Report. In the opinion of management, the financial data presented includes all adjustments necessary to present fairly the results of operations, financial position and cash flows for the interim periods presented. Results of interim periods should not be considered indicative of the results for the full year.

Use of Estimates

Use of Estimates—The preparation of financial statements in conformity with GAAP requires the extensive use of management’s estimates and assumptions that affect the reported amounts of assets and liabilities as well as disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Actual results could differ from these estimates. The Company’s significant accounting policies and critical accounting estimates are disclosed in the Annual Report.

Allowance for Expected Loss

Allowances for Expected LossesTransactions affecting the current expected credit loss (“CECL”) reserve during the nine months ended September 30, 2024 and 2023 were as follows:

 

 

September 30,

 

 

 

2024

 

 

2023

 

Balance, beginning of year

 

$

18.9

 

 

$

17.1

 

Provisions charged to expense

 

 

14.3

 

 

 

10.8

 

Write-offs, reclassifications and other

 

 

(8.8

)

 

 

(8.6

)

Balance, end of period

 

$

24.4

 

 

$

19.3

 

 

The components of the CECL reserve balance at September 30, 2024 and December 31, 2023 were as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Provision for accounts receivable

 

$

23.9

 

 

$

18.5

 

Provision for unbilled receivables and contract assets

 

 

0.5

 

 

 

0.4

 

Total

 

$

24.4

 

 

$

18.9

 

Assets Held for Sale

Assets Held for Sale—As of December 31, 2023, the Company had land held for sale with a carrying value of $2.6 million. On March 29, 2024, the Company sold the land for net proceeds of $13.2 million, of which $12.4 million was received in the first quarter of 2024 and $0.8 million of non-refundable fees were received in 2023. The Company recognized a net pre-tax gain of $10.6 million related to the sale, of which $9.8 million was recorded during the nine months ended September 30, 2024 and $0.8 million was recognized during the year ended December 31, 2023. The net pre-tax gain was recorded in other operating income, net on the Unaudited Condensed Consolidated Statements of Operations within the Capital Markets - Compliance and Communications Management operating segment.

Property, Plant and Equipment, net

Property, Plant and Equipment, net—The components of the Company’s property, plant and equipment, net at September 30, 2024 and December 31, 2023 were as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Land

 

$

0.3

 

 

$

0.3

 

Buildings

 

 

17.0

 

 

 

17.8

 

Machinery and equipment

 

 

69.0

 

 

 

68.0

 

 

 

 

86.3

 

 

 

86.1

 

Less: Accumulated depreciation

 

 

(74.8

)

 

 

(72.6

)

Total

 

$

11.5

 

 

$

13.5

 

Depreciation expense was $1.6 million and $2.0 million for the three months ended September 30, 2024 and 2023, respectively, and $4.9 million and $5.8 million for the nine months ended September 30, 2024 and 2023, respectively.

Software, net

Software, net—Capitalized software development costs are amortized over their estimated useful life using the straight-line method, up to a maximum of three years. Amortization expense related to internally-developed software, excluding amortization expense related to other intangible assets, was $15.6 million and $11.4 million for the three months ended September 30, 2024 and 2023, respectively, and $40.5 million and $33.2 million for the nine months ended September 30, 2024 and 2023, respectively.

Investments

InvestmentsThe carrying value of the Company’s investments in equity securities was $5.8 million and $5.5 million at September 30, 2024 and December 31, 2023, respectively. The Company measures its equity securities that do not have a readily determinable fair value at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. The Company performs an assessment on a quarterly basis to determine whether triggering events for impairment exist and to identify any observable price changes.

In March 2023, the Company sold an investment in an equity security. As a result of the sale, for the nine months ended September 30, 2023, the Company received proceeds of $11.9 million, including $9.0 million of cash and common stock of the acquiror. In May 2023, the Company sold another investment in an equity security and received proceeds of $0.9 million in cash, which approximated its carrying value. The sales resulted in a net realized gain of $6.9 million for the nine months ended September 30, 2023, which is included in investment and other income, net, on the Unaudited Condensed Consolidated Statements of Operations within Corporate.

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements

In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which requires that an entity disclose consistent categories and greater disaggregation of significant expenses by reportable segment, information regarding the chief operating decision maker (“CODM”) and how the CODM uses the reported measures in assessing segment performance and deciding how to allocate resources, among other amendments that expand segment reporting disclosures. ASU 2023-07 also requires that an entity disclose all information about a reportable segment’s profit or loss and assets currently required annually by FASB Accounting Standards Codification (“ASC”) Topic 280, Segment Reporting, in interim periods. The standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of the adoption of this standard on its disclosures to the Unaudited Condensed Consolidated Financial Statements.

In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires that an entity disclose consistent categories and greater disaggregation of information in the income tax rate reconciliation, income taxes paid disaggregated by jurisdiction, among other amendments that expand income tax disclosures. The standard is effective for fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact of the adoption of this standard on its disclosures to the Unaudited Condensed Consolidated Financial Statements.

Revenue Recognition

Revenue Recognition

The Company manages highly-customized data and materials to enable filings with the SEC on behalf of its customers as well as performs tagging of documents using Inline eXtensible Business Reporting Language (“iXBRL”) and other services. Clients are provided with EDGAR filing services, iXBRL compliance services and translation, editing, interpreting, proof-reading and multilingual typesetting services, among other services. The Company provides software solutions to public and private companies, mutual funds and other regulated investment firms to serve their regulatory and compliance needs, including ActiveDisclosure, Arc Suite and Venue, and provides digital document creation, online content management and print and distribution solutions.

Revenue is recognized upon transfer of control of promised services or products to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those services or products. The Company’s services include software solutions and tech-enabled services whereas the Company’s products are comprised of print and distribution offerings. The Company’s arrangements with customers often include promises to transfer multiple services or products to a customer. Determining whether services and products are considered distinct performance obligations that should be accounted for separately requires significant judgment. Certain customer arrangements have multiple performance obligations as certain promises are both capable of being distinct and are distinct within the context of the contract. Other customer arrangements have a single performance obligation as the promise to transfer the individual goods or services is not separately identifiable from other promises in the contracts, and therefore is not distinct. Revenue for the Company’s tech-enabled services, software solutions and print and distribution offerings is recognized either over time or at a point in time, as further disclosed in the Annual Report.

The timing of revenue recognition may differ from the timing of invoicing to customers and these timing differences result in contract assets, unbilled receivables or contract liabilities. Contract assets represent revenue recognized for performance obligations completed before an unconditional right to payment exists and therefore invoicing has not yet occurred. The Company generally estimates contract assets based on the historical selling price adjusted for its current experience and expected resolution of the variable consideration of the completed performance obligation. When the Company’s contracts contain variable consideration, the variable consideration is recognized only to the extent that it is probable that a significant revenue reversal will not occur in a future period. As a result, the estimated revenue and contract assets may be constrained until the uncertainty associated with the variable consideration is resolved, which generally occurs in less than one year. Determining whether there will be a significant revenue reversal in the future and the determination of the amount of the constraint requires significant judgment.

Unbilled receivables are recorded when there is an unconditional right to payment and invoicing has not yet occurred. The Company estimates the value of unbilled receivables based on a combination of historical customer selling price and management’s assessment of realizable selling price.
Lessee Leases Policy The Company has operating leases for certain service centers, office space and equipment as well as finance leases, substantially all related to information technology equipment.
Restructuring

The Company records restructuring charges associated with management-approved restructuring plans, which could include the elimination of job functions, closure or relocation of facilities, reorganization of operations, changes in management structure, workforce reductions or other actions. Restructuring charges may include ongoing and enhanced termination benefits related to employee separations, contract termination costs and other related costs associated with exit or disposal activities. Restructuring charges for employee terminations include management’s estimate as to the timing and amount of severance and actual results could differ from estimates.

Earnings per Share Net earnings per basic share is calculated by dividing net earnings by the weighted average number of common shares outstanding for the period. Net earnings per diluted share is computed using the weighted average number of common and potentially dilutive shares outstanding during the period, including stock options, restricted stock units (“RSUs”), performance share units (“PSUs”) and restricted stock, using the treasury stock method
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies (Tables)
9 Months Ended
Sep. 30, 2024
Accounting Policies [Abstract]  
Summary of Current Expected Credit Loss Reserve Transactions affecting the current expected credit loss (“CECL”) reserve during the nine months ended September 30, 2024 and 2023 were as follows:

 

 

September 30,

 

 

 

2024

 

 

2023

 

Balance, beginning of year

 

$

18.9

 

 

$

17.1

 

Provisions charged to expense

 

 

14.3

 

 

 

10.8

 

Write-offs, reclassifications and other

 

 

(8.8

)

 

 

(8.6

)

Balance, end of period

 

$

24.4

 

 

$

19.3

 

 

The components of the CECL reserve balance at September 30, 2024 and December 31, 2023 were as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Provision for accounts receivable

 

$

23.9

 

 

$

18.5

 

Provision for unbilled receivables and contract assets

 

 

0.5

 

 

 

0.4

 

Total

 

$

24.4

 

 

$

18.9

 

Components of Company's Property, Plant and Equipment The components of the Company’s property, plant and equipment, net at September 30, 2024 and December 31, 2023 were as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Land

 

$

0.3

 

 

$

0.3

 

Buildings

 

 

17.0

 

 

 

17.8

 

Machinery and equipment

 

 

69.0

 

 

 

68.0

 

 

 

 

86.3

 

 

 

86.1

 

Less: Accumulated depreciation

 

 

(74.8

)

 

 

(72.6

)

Total

 

$

11.5

 

 

$

13.5

 

v3.24.3
Revenue (Tables)
9 Months Ended
Sep. 30, 2024
Revenue Recognition [Abstract]  
Schedule of Disaggregation of Revenue between Tech-Enabled Services, Software Solutions and Print and Distribution by Reportable Segment

The following tables disaggregate revenue between tech-enabled services, software solutions and print and distribution by reportable segment:

 

Three Months Ended September 30,

 

 

2024

 

 

2023

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

Capital Markets - Software Solutions

$

 

 

$

53.3

 

 

$

 

 

$

53.3

 

 

$

 

 

$

46.5

 

 

$

 

 

$

46.5

 

Capital Markets - Compliance and Communications Management

 

55.6

 

 

 

 

 

 

7.9

 

 

 

63.5

 

 

 

60.7

 

 

 

 

 

 

9.4

 

 

 

70.1

 

Investment Companies - Software Solutions

 

 

 

 

28.9

 

 

 

 

 

 

28.9

 

 

 

 

 

 

26.7

 

 

 

 

 

 

26.7

 

Investment Companies - Compliance and Communications Management

 

19.6

 

 

 

 

 

 

14.2

 

 

 

33.8

 

 

 

19.7

 

 

 

 

 

 

17.0

 

 

 

36.7

 

Total net sales

$

75.2

 

 

$

82.2

 

 

$

22.1

 

 

$

179.5

 

 

$

80.4

 

 

$

73.2

 

 

$

26.4

 

 

$

180.0

 

 

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

 

Tech-enabled Services

 

 

Software Solutions

 

 

Print and Distribution

 

 

Total

 

Capital Markets - Software Solutions

 

$

 

 

$

163.6

 

 

$

 

 

$

163.6

 

 

$

 

 

$

137.9

 

 

$

 

 

$

137.9

 

Capital Markets - Compliance and Communications Management

 

 

202.9

 

 

 

 

 

 

65.5

 

 

 

268.4

 

 

 

205.4

 

 

 

 

 

 

81.7

 

 

 

287.1

 

Investment Companies - Software Solutions

 

 

 

 

 

84.5

 

 

 

 

 

 

84.5

 

 

 

 

 

 

81.1

 

 

 

 

 

 

81.1

 

Investment Companies - Compliance and Communications Management

 

 

57.4

 

 

 

 

 

 

51.7

 

 

 

109.1

 

 

 

57.9

 

 

 

 

 

 

56.7

 

 

 

114.6

 

Total net sales

 

$

260.3

 

 

$

248.1

 

 

$

117.2

 

 

$

625.6

 

 

$

263.3

 

 

$

219.0

 

 

$

138.4

 

 

$

620.7

 

Changes in Contract Liabilities

Contract liabilities consist of deferred revenue and progress billings, which are included in accrued liabilities on the Unaudited Condensed Consolidated Balance Sheets. The Company recognized $7.6 million and $6.3 million of revenue during the three months ended September 30, 2024 and 2023, respectively, that was included in the deferred revenue balances at the beginning of the respective periods. The Company recognized $35.9 million and $38.0 million of revenue during the nine months ended September 30, 2024 and 2023, respectively, that was included in the deferred revenue balances at the beginning of the respective periods. Changes in contract liabilities were as follows:

 

 

September 30,

 

 

 

2024

 

 

2023

 

Balance, beginning of year

 

$

46.8

 

 

$

46.1

 

Deferral of revenue

 

 

154.5

 

 

 

121.3

 

Revenue recognized

 

 

(144.6

)

 

 

(113.2

)

Balance, end of period

 

$

56.7

 

 

$

54.2

 

v3.24.3
Goodwill (Tables)
9 Months Ended
Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Balances of Goodwill by Reporting Segment

The goodwill balances by reportable segment were as follows:

 

 

Gross book
value at
December 31,
2023

 

 

Accumulated
impairment
charges at
December 31,
2023

 

 

Net book
value at
December 31,
2023

 

 

Foreign
exchange and
other
adjustments

 

 

Net book
 value at
September 30,
2024

 

Capital Markets - Software Solutions

 

$

100.0

 

 

$

 

 

$

100.0

 

 

$

 

 

$

100.0

 

Capital Markets - Compliance and Communications Management

 

 

252.8

 

 

 

 

 

 

252.8

 

 

 

 

 

 

252.8

 

Investment Companies - Software Solutions

 

 

53.0

 

 

 

 

 

 

53.0

 

 

 

0.1

 

 

 

53.1

 

Investment Companies - Compliance and Communications Management

 

 

40.6

 

 

 

(40.6

)

 

 

 

 

 

 

 

 

 

Total

 

$

446.4

 

 

$

(40.6

)

 

$

405.8

 

 

$

0.1

 

 

$

405.9

 

v3.24.3
Leases (Tables)
9 Months Ended
Sep. 30, 2024
Leases [Abstract]  
Summary of Payments Related to Operating and Finance Lease Liabilities, and Components of Lease Expense The Company’s payments related to its operating and finance lease liabilities for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Cash paid related to operating leases

 

$

3.6

 

 

$

4.4

 

 

$

11.3

 

 

$

13.3

 

Cash paid related to finance leases

 

$

0.7

 

 

$

0.5

 

 

$

2.1

 

 

$

1.7

 

The components of lease expense for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Operating lease expense:

 

 

 

 

 

 

 

 

 

 

 

 

Operating lease expense

 

$

2.4

 

 

$

3.0

 

 

$

7.3

 

 

$

10.2

 

Sublease income

 

 

(1.2

)

 

 

(1.1

)

 

 

(3.4

)

 

 

(3.2

)

Net operating lease expense

 

$

1.2

 

 

$

1.9

 

 

$

3.9

 

 

$

7.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Finance lease expense:

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

0.8

 

 

$

0.5

 

 

$

2.1

 

 

$

1.7

 

Interest on lease liabilities

 

 

0.1

 

 

 

0.1

 

 

 

0.2

 

 

 

0.2

 

Total finance lease expense

 

$

0.9

 

 

$

0.6

 

 

$

2.3

 

 

$

1.9

 

Summary of Company's Finance Leases Presented On Unaudited Condensed Consolidated Balance Sheets

The Company’s finance leases as of September 30, 2024 and December 31, 2023 are presented on the Company’s Unaudited Condensed Consolidated Balance Sheets as follows:

 

 

September 30, 2024

 

 

December 31, 2023

 

Property, plant and equipment, net

 

$

5.6

 

 

$

7.0

 

 

 

 

 

 

 

 

Accrued liabilities

 

$

3.0

 

 

$

2.5

 

Other noncurrent liabilities

 

 

2.8

 

 

 

4.7

 

Total

 

$

5.8

 

 

$

7.2

 

Summary of Information Related to Finance Leases

Other information related to finance leases for the nine months ended September 30, 2024 and 2023 was as follows:

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

Non-cash disclosure:

 

 

 

 

 

 

Increase in finance lease liabilities due to new right-of-use assets

 

$

0.8

 

 

$

2.5

 

v3.24.3
Restructuring, Impairment and Other Charges, net (Tables)
9 Months Ended
Sep. 30, 2024
Schedule of Restructuring, Impairment and Other Charges by Segment Recognized in Results of Operations

For the three months ended September 30, 2024 and 2023, the Company recorded the following restructuring, impairment and other charges, net by reportable segment:

 

 

Employee Terminations

 

 

Impairment Charges

 

 

Other Charges

 

 

Total

 

Three Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Compliance and Communications Management

 

$

0.3

 

 

$

0.6

 

 

$

0.1

 

 

$

1.0

 

Investment Companies - Software Solutions

 

 

0.3

 

 

 

 

 

 

 

 

 

0.3

 

Corporate

 

 

0.1

 

 

 

 

 

 

 

 

 

0.1

 

Total

 

$

0.7

 

 

$

0.6

 

 

$

0.1

 

 

$

1.4

 

 

 

 

Employee
Terminations

 

 

Other
Restructuring
Charges

 

 

Impairment
Charges

 

 

Other Charges

 

 

Total

 

Three Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

(0.5

)

 

$

 

 

$

 

 

$

 

 

$

(0.5

)

Capital Markets - Compliance and Communications Management

 

 

(0.2

)

 

 

0.1

 

 

 

0.1

 

 

 

0.1

 

 

 

0.1

 

Investment Companies - Software Solutions

 

 

(0.1

)

 

 

 

 

 

 

 

 

 

 

 

(0.1

)

Investment Companies - Compliance and Communications Management

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

 

0.1

 

Corporate

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

 

0.1

 

Total

 

$

(0.6

)

 

$

0.1

 

 

$

0.1

 

 

$

0.1

 

 

$

(0.3

)

For the nine months ended September 30, 2024 and 2023, the Company recorded the following restructuring, impairment and other charges, net by reportable segment:

 

 

Employee Terminations

 

 

Impairment Charges

 

 

Other Charges

 

 

Total

 

Nine Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

0.3

 

 

$

 

 

$

 

 

$

0.3

 

Capital Markets - Compliance and Communications Management

 

 

1.6

 

 

 

0.6

 

 

 

0.2

 

 

 

2.4

 

Investment Companies - Software Solutions

 

 

0.4

 

 

 

 

 

 

 

 

 

0.4

 

Investment Companies - Compliance and Communications Management

 

 

0.1

 

 

 

 

 

 

 

 

 

0.1

 

Corporate

 

 

1.2

 

 

 

 

 

 

0.1

 

 

 

1.3

 

Total

 

$

3.6

 

 

$

0.6

 

 

$

0.3

 

 

$

4.5

 

 

 

 

Employee
Terminations

 

 

Other
Restructuring
Charges

 

 

Impairment
Charges

 

 

Other Charges

 

 

Total

 

Nine Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

2.5

 

 

$

 

 

$

 

 

$

 

 

$

2.5

 

Capital Markets - Compliance and Communications Management

 

 

4.0

 

 

 

0.1

 

 

 

0.1

 

 

 

0.2

 

 

 

4.4

 

Investment Companies - Software Solutions

 

 

0.5

 

 

 

 

 

 

 

 

 

 

 

 

0.5

 

Investment Companies - Compliance and Communications Management

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

 

0.1

 

Corporate

 

 

0.8

 

 

 

 

 

 

 

 

 

0.1

 

 

 

0.9

 

Total

 

$

7.9

 

 

$

0.1

 

 

$

0.1

 

 

$

0.3

 

 

$

8.4

 

 

Employee Severance  
Schedule of Changes in the Employee Terminations Liability

The Company’s employee terminations liability is included in accrued liabilities on the Company’s Unaudited Condensed Consolidated Balance Sheets. Changes in the accrual for employee terminations during the nine months ended September 30, 2024 were as follows:

 

 

Employee Terminations

 

Balance at December 31, 2023

 

$

2.1

 

Restructuring charges, net

 

 

3.6

 

Cash paid

 

 

(4.5

)

Balance at September 30, 2024

 

$

1.2

 

v3.24.3
Retirement Plans (Tables)
9 Months Ended
Sep. 30, 2024
Retirement Benefits [Abstract]  
Components of Estimated Net Periodic Benefit Income

The components of estimated net pension plan income for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Interest cost

 

$

2.8

 

 

$

2.9

 

 

$

8.3

 

 

$

8.7

 

Expected return on assets

 

 

(3.4

)

 

 

(3.3

)

 

 

(10.1

)

 

 

(9.9

)

Amortization, net

 

 

0.4

 

 

 

0.2

 

 

 

1.0

 

 

 

0.7

 

Net pension plan income

 

$

(0.2

)

 

$

(0.2

)

 

$

(0.8

)

 

$

(0.5

)

v3.24.3
Debt (Tables)
9 Months Ended
Sep. 30, 2024
Debt Disclosure [Abstract]  
Schedule of Company's Debt

The Company’s debt as of September 30, 2024 and December 31, 2023 consisted of the following:

 

 

September 30, 2024

 

 

December 31, 2023

 

Term Loan A Facility

 

$

125.0

 

 

$

125.0

 

Unamortized debt issuance costs

 

 

(0.4

)

 

 

(0.5

)

Total long-term debt

 

$

124.6

 

 

$

124.5

 

Summary of Interest Expense

The following table summarizes interest expense, net included on the Unaudited Condensed Consolidated Statements of Operations:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Interest incurred

 

$

3.5

 

 

$

4.7

 

 

$

12.1

 

 

$

13.7

 

Interest income

 

 

(0.4

)

 

 

(0.6

)

 

 

(1.7

)

 

 

(1.5

)

Interest expense, net

 

$

3.1

 

 

$

4.1

 

 

$

10.4

 

 

$

12.2

 

v3.24.3
Earnings per Share (Tables)
9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Reconciliation of Numerator and Denominator of Net Earnings per Basic and Diluted Share Calculations

The reconciliation of the numerator and denominator of the net earnings per basic and diluted share calculations for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net earnings per share:

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.30

 

 

$

0.62

 

 

$

2.94

 

 

$

2.44

 

Diluted

 

$

0.29

 

 

$

0.60

 

 

$

2.86

 

 

$

2.36

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

8.7

 

 

$

18.1

 

 

$

86.1

 

 

$

71.6

 

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares outstanding

 

 

29.1

 

 

 

29.4

 

 

 

29.3

 

 

 

29.4

 

Dilutive awards

 

 

0.8

 

 

 

0.9

 

 

 

0.8

 

 

 

1.0

 

Diluted weighted average number of common shares outstanding

 

 

29.9

 

 

 

30.3

 

 

 

30.1

 

 

 

30.4

 

v3.24.3
Capital Stock (Tables)
9 Months Ended
Sep. 30, 2024
Equity [Abstract]  
Summary of Stock Repurchases

The Company’s stock repurchases for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Common stock repurchases

 

$

13.3

 

 

$

14.8

 

 

$

41.3

 

 

$

18.0

 

Number of shares repurchased

 

 

208,254

 

 

 

310,365

 

 

 

665,535

 

 

 

386,920

 

Average price paid per share

 

$

63.96

 

 

$

47.77

 

 

$

62.10

 

 

$

46.53

 

v3.24.3
Comprehensive Income (Tables)
9 Months Ended
Sep. 30, 2024
Equity [Abstract]  
Schedule of Components of Other Comprehensive Income (Loss) and Income Tax Expense Allocated to Each Component

The components of other comprehensive income (loss) and income tax expense allocated to each component for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30, 2024

 

 

Nine Months Ended September 30, 2024

 

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

Translation adjustments

 

$

0.8

 

 

$

 

 

$

0.8

 

 

$

0.2

 

 

$

 

 

$

0.2

 

Adjustment for net periodic pension and other postretirement benefits plans

 

 

0.4

 

 

 

 

 

 

0.4

 

 

 

1.0

 

 

 

0.2

 

 

 

0.8

 

Other comprehensive income

 

$

1.2

 

 

$

 

 

$

1.2

 

 

$

1.2

 

 

$

0.2

 

 

$

1.0

 

 

 

Three Months Ended September 30, 2023

 

 

Nine Months Ended September 30, 2023

 

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

 

Before Tax

 

 

Income Tax

 

 

Net of Tax

 

Translation adjustments

 

$

(1.0

)

 

$

 

 

$

(1.0

)

 

$

 

 

$

 

 

$

 

Adjustment for net periodic pension and other postretirement benefits plans

 

 

0.2

 

 

 

0.1

 

 

 

0.1

 

 

 

0.7

 

 

 

0.2

 

 

 

0.5

 

Other comprehensive (loss) income

 

$

(0.8

)

 

$

0.1

 

 

$

(0.9

)

 

$

0.7

 

 

$

0.2

 

 

$

0.5

 

Schedule of Changes in Accumulated Other Comprehensive Loss

The following table summarizes changes in accumulated other comprehensive loss by component for the nine months ended September 30, 2024:

 

 

Pension and Other Postretirement Benefits Plans Cost

 

 

Translation Adjustments

 

 

Total

 

Balance at December 31, 2023

 

$

(63.7

)

 

$

(14.2

)

 

$

(77.9

)

Other comprehensive loss before reclassifications

 

 

 

 

 

(0.2

)

 

 

(0.2

)

Amounts reclassified from accumulated other comprehensive loss

 

 

0.8

 

 

 

0.4

 

 

 

1.2

 

Net change in accumulated other comprehensive loss

 

 

0.8

 

 

 

0.2

 

 

 

1.0

 

Balance at September 30, 2024

 

$

(62.9

)

 

$

(14.0

)

 

$

(76.9

)

The following table summarizes changes in accumulated other comprehensive loss by component for the nine months ended September 30, 2023:

 

 

Pension and Other Postretirement Benefits Plans Cost

 

 

Translation Adjustments

 

 

Total

 

Balance at December 31, 2022

 

$

(67.9

)

 

$

(15.3

)

 

$

(83.2

)

Other comprehensive income before reclassifications

 

 

 

 

 

 

 

 

 

Amounts reclassified from accumulated other comprehensive loss

 

 

0.5

 

 

 

 

 

 

0.5

 

Net change in accumulated other comprehensive loss

 

 

0.5

 

 

 

 

 

 

0.5

 

Balance at September 30, 2023

 

$

(67.4

)

 

$

(15.3

)

 

$

(82.7

)

 

Reclassifications from Accumulated Other Comprehensive Loss, Amortization of Pension Plan Cost

Reclassifications from accumulated other comprehensive loss for the three and nine months ended September 30, 2024 and 2023 were as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Amortization of pension and other postretirement benefits plans cost:

 

 

 

 

 

 

 

 

 

 

 

 

Net actuarial loss (a)

 

$

0.4

 

 

$

0.2

 

 

$

1.0

 

 

$

0.7

 

Reclassification of translation adjustment (b)

 

 

 

 

 

 

 

 

0.5

 

 

 

 

Reclassifications before tax

 

 

0.4

 

 

 

0.2

 

 

 

1.5

 

 

 

0.7

 

Income tax expense

 

 

 

 

 

0.1

 

 

 

0.3

 

 

 

0.2

 

Reclassifications, net of tax

 

$

0.4

 

 

$

0.1

 

 

$

1.2

 

 

$

0.5

 

 

(a)
These accumulated other comprehensive loss components are included in the calculation of net periodic pension and other postretirement benefits plans income recognized in investment and other income, net on the Unaudited Condensed Consolidated Statements of Operations (see Note 6, Retirement Plans).
(b)
Translation adjustment reclassification resulting from the liquidation of a foreign subsidiary is included in investment and other income, net on the Unaudited Condensed Consolidated Statements of Operations.
v3.24.3
Segment Information (Tables)
9 Months Ended
Sep. 30, 2024
Segment Reporting [Abstract]  
Schedule of Segment Reporting Information

The Company has disclosed income (loss) from operations as the primary measure of segment earnings (loss). This is the measure of profitability used by the Company’s CODM and is most consistent with the presentation of profitability reported within the Unaudited Condensed Consolidated Financial Statements.

 

 

Net Sales

 

 

Income (Loss) from Operations

 

 

Depreciation and Amortization

 

 

Capital Expenditures

 

Three Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

53.3

 

 

$

6.2

 

 

$

7.1

 

 

$

9.9

 

Capital Markets - Compliance and Communications Management

 

 

63.5

 

 

 

14.8

 

 

 

4.3

 

 

 

2.1

 

Investment Companies - Software Solutions

 

 

28.9

 

 

 

4.2

 

 

 

4.5

 

 

 

6.0

 

Investment Companies - Compliance and Communications Management

 

 

33.8

 

 

 

9.1

 

 

 

1.2

 

 

 

0.5

 

Total operating segments

 

 

179.5

 

 

 

34.3

 

 

 

17.1

 

 

 

18.5

 

Corporate

 

 

 

 

 

(16.1

)

 

 

0.1

 

 

 

0.6

 

Total

 

$

179.5

 

 

$

18.2

 

 

$

17.2

 

 

$

19.1

 

 

Three Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

46.5

 

 

$

4.9

 

 

$

7.7

 

 

$

11.6

 

Capital Markets - Compliance and Communications Management

 

 

70.1

 

 

 

24.9

 

 

 

1.9

 

 

 

1.8

 

Investment Companies - Software Solutions

 

 

26.7

 

 

 

6.6

 

 

 

3.5

 

 

 

5.0

 

Investment Companies - Compliance and Communications Management

 

 

36.7

 

 

 

11.2

 

 

 

1.2

 

 

 

0.4

 

Total operating segments

 

 

180.0

 

 

 

47.6

 

 

 

14.3

 

 

 

18.8

 

Corporate

 

 

 

 

 

(17.8

)

 

 

0.1

 

 

 

0.4

 

Total

 

$

180.0

 

 

$

29.8

 

 

$

14.4

 

 

$

19.2

 

 

 

 

 

Net Sales

 

 

Income (Loss) from Operations

 

 

Assets(a)

 

 

Depreciation and Amortization

 

 

Capital Expenditures

 

Nine Months Ended September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

163.6

 

 

$

30.1

 

 

$

201.6

 

 

$

20.3

 

 

$

24.3

 

Capital Markets - Compliance and Communications Management

 

 

268.4

 

 

 

96.4

 

 

 

352.3

 

 

 

8.4

 

 

 

5.9

 

Investment Companies - Software Solutions

 

 

84.5

 

 

 

14.8

 

 

 

111.8

 

 

 

13.1

 

 

 

17.0

 

Investment Companies - Compliance and Communications Management

 

 

109.1

 

 

 

33.2

 

 

 

46.7

 

 

 

3.5

 

 

 

2.3

 

Total operating segments

 

 

625.6

 

 

 

174.5

 

 

 

712.4

 

 

 

45.3

 

 

 

49.5

 

Corporate

 

 

 

 

 

(47.2

)

 

 

131.2

 

 

 

0.1

 

 

 

1.3

 

Total

 

$

625.6

 

 

$

127.3

 

 

$

843.6

 

 

$

45.4

 

 

$

50.8

 

 

Nine Months Ended September 30, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital Markets - Software Solutions

 

$

137.9

 

 

$

8.7

 

 

$

198.4

 

 

$

21.8

 

 

$

23.4

 

Capital Markets - Compliance and Communications Management

 

 

287.1

 

 

 

88.5

 

 

 

387.0

 

 

 

5.6

 

 

 

4.8

 

Investment Companies - Software Solutions

 

 

81.1

 

 

 

18.3

 

 

 

105.3

 

 

 

10.2

 

 

 

12.3

 

Investment Companies - Compliance and Communications Management

 

 

114.6

 

 

 

35.4

 

 

 

43.9

 

 

 

3.5

 

 

 

1.4

 

Total operating segments

 

 

620.7

 

 

 

150.9

 

 

 

734.6

 

 

 

41.1

 

 

 

41.9

 

Corporate

 

 

 

 

 

(50.7

)

 

 

104.7

 

 

 

0.1

 

 

 

1.1

 

Total

 

$

620.7

 

 

$

100.2

 

 

$

839.3

 

 

$

41.2

 

 

$

43.0

 

 

(a)
Certain assets are recorded within a segment based on predominant usage, however, as they benefit more than one segment, the related operating expenses are allocated between segments.
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies - Summary of Current Expected Credit Loss Reserve (Details) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Receivables [Abstract]    
Balance, beginning of year $ 18.9 $ 17.1
Provisions charged to expense 14.3 10.8
Write-offs, reclassifications and other (8.8) (8.6)
Balance, end of period $ 24.4 $ 19.3
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies - Summary of Current Expected Credit Loss Reserve (Details 1) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
Sep. 30, 2023
Dec. 31, 2022
Receivables [Abstract]        
Provision for accounts receivable $ 23.9 $ 18.5    
Provision of unbilled receivables and contract assets 0.5 0.4    
Total $ 24.4 $ 18.9 $ 19.3 $ 17.1
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies - Components of Company's Property, Plant and Equipment (Details) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
Property Plant And Equipment [Line Items]    
Property, plant and equipment, gross $ 86.3 $ 86.1
Less: Accumulated depreciation (74.8) (72.6)
Total 11.5 13.5
Land    
Property Plant And Equipment [Line Items]    
Property, plant and equipment, gross 0.3 0.3
Buildings    
Property Plant And Equipment [Line Items]    
Property, plant and equipment, gross 17.0 17.8
Machinery and Equipment    
Property Plant And Equipment [Line Items]    
Property, plant and equipment, gross $ 69.0 $ 68.0
v3.24.3
Overview, Basis of Presentation and Significant Accounting Policies - Additional Information (Details) - USD ($)
$ in Millions
1 Months Ended 3 Months Ended 9 Months Ended 12 Months Ended
Mar. 29, 2024
May 31, 2023
Sep. 30, 2024
Mar. 31, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Organization Consolidation And Presentation Of Financial Statements [Line Items]                
Real Estate Held for sale     $ 0.0     $ 0.0   $ 2.6
Proceeds from the sale of land $ 13.2              
Proceeds from Sale of Property, Plant, and Equipment       $ 12.4   12.4 $ 0.0  
Non refundable payments on sale of land               0.8
Net pre-tax gain on sale $ 10.6         9.8   0.8
Depreciation expense     1.6   $ 2.0 4.9 5.8  
Proceeds from sale of investments             11.9  
Cash received from sale of investment           0.2 9.9  
Net realized gain on sale of investments           0.2 6.9  
Equity Securities                
Organization Consolidation And Presentation Of Financial Statements [Line Items]                
Equity investments carrying value     $ 5.8     $ 5.8   $ 5.5
Investment #1 [Member]                
Organization Consolidation And Presentation Of Financial Statements [Line Items]                
Cash received from sale of investment             9.0  
Investment #2 [Member]                
Organization Consolidation And Presentation Of Financial Statements [Line Items]                
Cash received from sale of investment   $ 0.9            
Computer Software, Intangible Asset                
Organization Consolidation And Presentation Of Financial Statements [Line Items]                
Estimated useful life of amortized intangible assets     3 years     3 years    
Amortization expense related to internally-developed software     $ 15.6   $ 11.4 $ 40.5 $ 33.2  
v3.24.3
Revenue - Schedule of Disaggregation of Revenue between Tech-Enabled Services, Software Solutions and Print and Distribution by Reportable Segment (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Total net sales $ 179.5 $ 180.0 $ 625.6 $ 620.7
Tech-enabled Services        
Total net sales 75.2 80.4 260.3 263.3
Software Solutions        
Total net sales 82.2 73.2 248.1 219.0
Print and Distribution        
Total net sales 22.1 26.4 117.2 138.4
Capital Markets - Software Solutions        
Total net sales 53.3 46.5 163.6 137.9
Capital Markets - Software Solutions | Tech-enabled Services        
Total net sales 0.0 0.0 0.0 0.0
Capital Markets - Software Solutions | Software Solutions        
Total net sales 53.3 46.5 163.6 137.9
Capital Markets - Software Solutions | Print and Distribution        
Total net sales 0.0 0.0 0.0 0.0
Capital Markets - Compliance and Communications Management        
Total net sales 63.5 70.1 268.4 287.1
Capital Markets - Compliance and Communications Management | Tech-enabled Services        
Total net sales 55.6 60.7 202.9 205.4
Capital Markets - Compliance and Communications Management | Software Solutions        
Total net sales 0.0 0.0 0.0 0.0
Capital Markets - Compliance and Communications Management | Print and Distribution        
Total net sales 7.9 9.4 65.5 81.7
Investment Companies - Software Solutions        
Total net sales 28.9 26.7 84.5 81.1
Investment Companies - Software Solutions | Tech-enabled Services        
Total net sales 0.0 0.0 0.0 0.0
Investment Companies - Software Solutions | Software Solutions        
Total net sales 28.9 26.7 84.5 81.1
Investment Companies - Software Solutions | Print and Distribution        
Total net sales 0.0 0.0 0.0 0.0
Investment Companies - Compliance and Communications Management        
Total net sales 33.8 36.7 109.1 114.6
Investment Companies - Compliance and Communications Management | Tech-enabled Services        
Total net sales 19.6 19.7 57.4 57.9
Investment Companies - Compliance and Communications Management | Software Solutions        
Total net sales 0.0 0.0 0.0 0.0
Investment Companies - Compliance and Communications Management | Print and Distribution        
Total net sales $ 14.2 $ 17.0 $ 51.7 $ 56.7
v3.24.3
Revenue - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Revenue Recognition [Abstract]          
Contract assets $ 16.6   $ 16.6   $ 16.3
Invoiced to customers amount that exceeded estimates of standalone selling price 7.6 $ 6.5 18.4 $ 20.2  
Unbilled receivables 33.4   33.4   $ 21.6
Revenue recognized included in deferred revenue $ 7.6 $ 6.3 $ 35.9 $ 38.0  
v3.24.3
Revenue (Additional Information 1) (Details) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-09-30
$ in Millions
Sep. 30, 2024
USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]  
Revenue remaining performance obligation $ 111
Revenue remaining performance obligation percentage 59.00%
Revenue remaining performance obligation expected timing of satisfaction period1 12 months
v3.24.3
Revenue - Changes in Contract Liabilities (Details) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Statement of Financial Position [Abstract]    
Balance beginning $ 46.8 $ 46.1
Deferral of revenue 154.5 121.3
Revenue recognized (144.6) (113.2)
Balance ending $ 56.7 $ 54.2
v3.24.3
Goodwill - Balances of Goodwill by Reporting Segment (Details) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2024
Dec. 31, 2023
Goodwill [Line Items]    
Gross book value   $ 446.4
Accumulated impairment charges   (40.6)
Goodwill, beginning balance $ 405.8  
Foreign exchange and other adjustments 0.1  
Goodwill, ending balance 405.9  
Capital Markets - Software Solutions    
Goodwill [Line Items]    
Gross book value   100.0
Accumulated impairment charges   0.0
Goodwill, beginning balance 100.0  
Foreign exchange and other adjustments 0.0  
Goodwill, ending balance 100.0  
Capital Markets - Compliance and Communications Management    
Goodwill [Line Items]    
Gross book value   252.8
Accumulated impairment charges   0.0
Goodwill, beginning balance 252.8  
Foreign exchange and other adjustments 0.0  
Goodwill, ending balance 252.8  
Investment Companies - Software Solutions    
Goodwill [Line Items]    
Gross book value   53.0
Accumulated impairment charges   0.0
Goodwill, beginning balance 53.0  
Foreign exchange and other adjustments 0.1  
Goodwill, ending balance 53.1  
Investment Companies - Compliance and Communications Management    
Goodwill [Line Items]    
Gross book value   40.6
Accumulated impairment charges   $ (40.6)
Goodwill, beginning balance 0.0  
Foreign exchange and other adjustments 0.0  
Goodwill, ending balance $ 0.0  
v3.24.3
Leases - Summary of Payments Related to Operating and Finance Lease Liabilities (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Leases [Abstract]        
Cash paid related to operating leases $ 3.6 $ 4.4 $ 11.3 $ 13.3
Cash paid related to finance leases $ 0.7 $ 0.5 $ 2.1 $ 1.7
v3.24.3
Leases - Summary of Components of Lease Expense (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Leases [Abstract]        
Operating lease expense $ 2.4 $ 3.0 $ 7.3 $ 10.2
Sublease income (1.2) (1.1) (3.4) (3.2)
Net operating lease expense 1.2 1.9 3.9 7.0
Amortization of right-of-use assets 0.8 0.5 2.1 1.7
Interest on lease liabilities 0.1 0.1 0.2 0.2
Total finance lease expense $ 0.9 $ 0.6 $ 2.3 $ 1.9
v3.24.3
Leases - Summary of Company's Finance Leases Presented within Unaudited Condensed Consolidated Balance Sheets (Details) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
Leases [Abstract]    
Property, plant and equipment, net $ 5.6 $ 7.0
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] Property, Plant and Equipment, Net Property, Plant and Equipment, Net
Accrued liabilities $ 3.0 $ 2.5
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] Accrued Liabilities, Current Accrued Liabilities, Current
Other noncurrent liabilities $ 2.8 $ 4.7
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other Liabilities, Noncurrent Other Liabilities, Noncurrent
Finance Lease, Liability, Total $ 5.8 $ 7.2
v3.24.3
Leases - Summary of Other Information Related to Finance Leases (Details) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Leases [Abstract]    
Increase in finance lease liabilities due to new right-of-use assets $ 0.8 $ 2.5
v3.24.3
Restructuring, Impairment and Other Charges, net - Schedule of Restructuring, Impairment and Other Charges by Segment Recognized in Results of Operations (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Restructuring Cost And Reserve [Line Items]        
Employee Terminations $ 0.7 $ (0.6) $ 3.6 $ 7.9
Impairment Charges 0.6 0.1 0.6 0.1
Other Restructuring Charges   0.1   0.1
Other Charges 0.1 0.1 0.3 0.3
Total 1.4 (0.3) 4.5 8.4
Operating Segments | Capital Markets - Software Solutions        
Restructuring Cost And Reserve [Line Items]        
Employee Terminations   (0.5) 0.3 2.5
Impairment Charges   0.0 0.0 0.0
Other Restructuring Charges   0.0   0.0
Other Charges   0.0 0.0 0.0
Total   (0.5) 0.3 2.5
Operating Segments | Capital Markets - Compliance and Communications Management        
Restructuring Cost And Reserve [Line Items]        
Employee Terminations 0.3 (0.2) 1.6 4.0
Impairment Charges 0.6 0.1 0.6 0.1
Other Restructuring Charges   0.1   0.1
Other Charges 0.1 0.1 0.2 0.2
Total 1.0 0.1 2.4 4.4
Operating Segments | Investment Companies - Software Solutions        
Restructuring Cost And Reserve [Line Items]        
Employee Terminations 0.3 (0.1) 0.4 0.5
Impairment Charges 0.0 0.0 0.0 0.0
Other Restructuring Charges   0.0   0.0
Other Charges 0.0 0.0 0.0 0.0
Total 0.3 (0.1) 0.4 0.5
Operating Segments | Investment Companies - Compliance and Communications Management        
Restructuring Cost And Reserve [Line Items]        
Employee Terminations   0.1 0.1 0.1
Impairment Charges   0.0 0.0 0.0
Other Restructuring Charges   0.0   0.0
Other Charges   0.0 0.0 0.0
Total   0.1 0.1 0.1
Corporate        
Restructuring Cost And Reserve [Line Items]        
Employee Terminations 0.1 0.1 1.2 0.8
Impairment Charges 0.0 0.0 0.0 0.0
Other Restructuring Charges   0.0   0.0
Other Charges 0.0 0.0 0.1 0.1
Total $ 0.1 $ 0.1 $ 1.3 $ 0.9
v3.24.3
Restructuring, Impairment and Other Charges, net - Additional Information (Details)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
USD ($)
Employee
Sep. 30, 2023
USD ($)
Sep. 30, 2024
USD ($)
Employee
Sep. 30, 2023
USD ($)
Employee
Restructuring and Related Activities [Abstract]        
Employee Terminations $ 0.7 $ (0.6) $ 3.6 $ 7.9
Number of employees used to determine employee termination costs | Employee 10   40 150
Asset Impairment Charges $ 0.6   $ 0.6  
v3.24.3
Restructuring, Impairment and Other Charges, net - Schedule of Changes in the Employee Terminations Liability (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Restructuring Cost And Reserve [Line Items]        
Restructuring charges, net $ 0.7 $ (0.6) $ 3.6 $ 7.9
Employee Severance        
Restructuring Cost And Reserve [Line Items]        
Balance at the beginning     2.1  
Restructuring charges, net     3.6  
Cash paid     (4.5)  
Balance at the end $ 1.2   $ 1.2  
v3.24.3
Retirement Plans - Components of Estimated Net Periodic Benefit Income (Detail) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Defined Benefit Plan Disclosure [Line Items]        
Interest cost $ 2.8 $ 2.9 $ 8.3 $ 8.7
Expected return on assets (3.4) (3.3) (10.1) (9.9)
Amortization, net 0.4 0.2 1.0 0.7
Net pension plan income $ (0.2) $ (0.2) $ (0.8) $ (0.5)
v3.24.3
Debt - Schedule of the Company's Debt (Details) - USD ($)
$ in Millions
Sep. 30, 2024
Dec. 31, 2023
Debt Instrument [Line Items]    
Unamortized debt issuance costs $ (0.4) $ (0.5)
Total long-term debt 124.6 124.5
Term Loan A Facility    
Debt Instrument [Line Items]    
Term loan facility $ 125.0 $ 125.0
v3.24.3
Debt - Additional Information (Details) - USD ($)
$ in Millions
May 27, 2021
Sep. 30, 2024
Dec. 31, 2023
Sep. 30, 2023
Revolving Credit Facility        
Debt Instrument [Line Items]        
Weighted average interest rate on borrowing   7.70%   7.20%
Maximum        
Debt Instrument [Line Items]        
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] London Interbank Offered Rate [Member]      
Maximum | Term Loan A Facility        
Debt Instrument [Line Items]        
Debt instrument basis spread on variable rate 2.50%      
Minimum        
Debt Instrument [Line Items]        
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration] London Interbank Offered Rate [Member]      
Minimum | Term Loan A Facility        
Debt Instrument [Line Items]        
Debt instrument basis spread on variable rate 2.00%      
Amended and Restated Credit Agreement        
Debt Instrument [Line Items]        
Credit facility $ 300.0      
Allowable annual dividend payment under credit agreement 20.0      
Amended and Restated Credit Agreement | Term Loan A Facility        
Debt Instrument [Line Items]        
Long Term Debt $ 200.0      
Fair value of senior notes   $ 124.2 $ 124.1  
Weighted average interest rate on borrowing   7.40%   6.80%
v3.24.3
Debt - Summary of Interest Expense, Net (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Debt Instruments [Abstract]        
Interest incurred $ 3.5 $ 4.7 $ 12.1 $ 13.7
Interest income (0.4) (0.6) (1.7) (1.5)
Interest expense, net $ 3.1 $ 4.1 $ 10.4 $ 12.2
v3.24.3
Earnings per Share - Reconciliation of Numerator and Denominator of Net Earnings per Basic and Diluted Share Calculations (Detail) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Earnings Per Share Basic And Diluted [Line Items]        
Basic $ 0.3 $ 0.62 $ 2.94 $ 2.44
Diluted $ 0.29 $ 0.6 $ 2.86 $ 2.36
Net Income (Loss) $ 8.7 $ 18.1 $ 86.1 $ 71.6
Weighted average number of common shares outstanding 29.1 29.4 29.3 29.4
Dilutive awards 0.8 0.9 0.8 1.0
Diluted weighted average number of common shares outstanding 29.9 30.3 30.1 30.4
v3.24.3
Capital Stock - Additional Information (Details) - USD ($)
Nov. 14, 2023
Aug. 17, 2022
Sep. 30, 2024
Dec. 31, 2023
Class Of Stock [Line Items]        
Common stock, Authorized     65,000,000 65,000,000
Common stock, par value     $ 0.01 $ 0.01
Preferred stock, authorized     1,000,000 1,000,000
Preferred stock, par value     $ 0.01 $ 0.01
Common Stock        
Class Of Stock [Line Items]        
Outstanding common stock value authorized to repurchase under stock repurchase program $ 150,000,000 $ 150,000,000 $ 108,700,000  
Stock Repurchase Program Expiration Date Dec. 31, 2025 Dec. 31, 2023    
v3.24.3
Capital Stock - Summary of Stock Repurchases (Details) - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Equity [Abstract]        
Common stock repurchases $ 13.3 $ 14.8 $ 41.3 $ 18.0
Number of shares repurchased 208,254 310,365 665,535 386,920
Average price paid per share $ 63.96 $ 47.77 $ 62.1 $ 46.53
v3.24.3
Comprehensive Income - Schedule of Components of Other Comprehensive Income (Loss) and Income Tax Expense Allocated to Each Component (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Accumulated Other Comprehensive Income Loss [Line Items]        
Other comprehensive income (loss), Before Tax Amount $ 1.2 $ (0.8) $ 1.2 $ 0.7
Other comprehensive income (loss), Income Tax Expense 0.0 0.1 0.2 0.2
Other comprehensive income (loss), net of tax 1.2 (0.9) 1.0 0.5
Translation Adjustments        
Accumulated Other Comprehensive Income Loss [Line Items]        
Other comprehensive income (loss), Before Tax Amount 0.8 (1.0) 0.2 0.0
Other comprehensive income (loss), Income Tax Expense 0.0 0.0 0.0 0.0
Other comprehensive income (loss), net of tax 0.8 (1.0) 0.2 0.0
Adjustment for Net Periodic Pension and Other Postretirement Benefits Plans        
Accumulated Other Comprehensive Income Loss [Line Items]        
Other comprehensive income (loss), Before Tax Amount 0.4 0.2 1.0 0.7
Other comprehensive income (loss), Income Tax Expense 0.0 0.1 0.2 0.2
Other comprehensive income (loss), net of tax $ 0.4 $ 0.1 $ 0.8 $ 0.5
v3.24.3
Comprehensive Income - Schedule of Changes in Accumulated Other Comprehensive Loss (Details) - USD ($)
$ in Millions
9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Accumulated Other Comprehensive Income Loss [Line Items]    
Balance $ 402.2 $ 329.5
Balance 444.5 385.3
Pension and Other Postretirement Benefits Plans Cost    
Accumulated Other Comprehensive Income Loss [Line Items]    
Balance (63.7) (67.9)
Other comprehensive income (loss) before reclassifications 0.0 0.0
Amounts reclassified from accumulated other comprehensive loss 0.8 0.5
Net change in accumulated other comprehensive loss 0.8 0.5
Balance (62.9) (67.4)
Translation Adjustments    
Accumulated Other Comprehensive Income Loss [Line Items]    
Balance (14.2) (15.3)
Other comprehensive income (loss) before reclassifications (0.2) 0.0
Amounts reclassified from accumulated other comprehensive loss 0.4 0.0
Net change in accumulated other comprehensive loss 0.2 0.0
Balance (14.0) (15.3)
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income Loss [Line Items]    
Balance (77.9) (83.2)
Other comprehensive income (loss) before reclassifications (0.2) 0.0
Amounts reclassified from accumulated other comprehensive loss 1.2 0.5
Net change in accumulated other comprehensive loss 1.0 0.5
Balance $ (76.9) $ (82.7)
v3.24.3
Comprehensive Income - Reclassifications from Accumulated Other Comprehensive Loss, Amortization of Pension Plan Cost (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]        
Reclassifications before tax $ 0.4 $ 0.2 $ 1.5 $ 0.7
Income tax expense 0.0 0.1 0.3 0.2
Reclassifications, net of tax 0.4 0.1 1.2 0.5
Accumulated Defined Benefit Plans Adjustment, Net Actuarial loss        
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]        
Reclassifications before tax [1] 0.4 0.2 1.0 0.7
Translation Adjustments        
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]        
Reclassifications before tax [2] $ 0.0 $ 0.0 $ 0.5 $ 0.0
[1] These accumulated other comprehensive loss components are included in the calculation of net periodic pension and other postretirement benefits plans income recognized in investment and other income, net on the Unaudited Condensed Consolidated Statements of Operations (see Note 6, Retirement Plans).
[2] Translation adjustment reclassification resulting from the liquidation of a foreign subsidiary is included in investment and other income, net on the Unaudited Condensed Consolidated Statements of Operations.
v3.24.3
Segment Information - Additional Information (Details)
9 Months Ended
Sep. 30, 2024
Segment
Segment Reporting [Abstract]  
Number of operating segments 4
Number of reportable segments 4
v3.24.3
Segment Information - Schedule of Segment Reporting Information (Details) - USD ($)
$ in Millions
3 Months Ended 9 Months Ended
Sep. 30, 2024
Sep. 30, 2023
Sep. 30, 2024
Sep. 30, 2023
Dec. 31, 2023
Segment Reporting Information [Line Items]          
Net Sales $ 179.5 $ 180.0 $ 625.6 $ 620.7  
Income (Loss) from Operations 18.2 29.8 127.3 100.2  
Assets 843.6 [1] 839.3 [1] 843.6 [1] 839.3 [1] $ 806.9
Depreciation and Amortization 17.2 14.4 45.4 41.2  
Capital Expenditures 19.1 19.2 50.8 43.0  
Capital Markets - Software Solutions          
Segment Reporting Information [Line Items]          
Net Sales 53.3 46.5 163.6 137.9  
Capital Markets - Compliance and Communications Management          
Segment Reporting Information [Line Items]          
Net Sales 63.5 70.1 268.4 287.1  
Investment Companies - Software Solutions          
Segment Reporting Information [Line Items]          
Net Sales 28.9 26.7 84.5 81.1  
Investment Companies - Compliance and Communications Management          
Segment Reporting Information [Line Items]          
Net Sales 33.8 36.7 109.1 114.6  
Operating Segments          
Segment Reporting Information [Line Items]          
Net Sales 179.5 180.0 625.6 620.7  
Income (Loss) from Operations 34.3 47.6 174.5 150.9  
Assets [1] 712.4 734.6 712.4 734.6  
Depreciation and Amortization 17.1 14.3 45.3 41.1  
Capital Expenditures 18.5 18.8 49.5 41.9  
Operating Segments | Capital Markets - Software Solutions          
Segment Reporting Information [Line Items]          
Net Sales 53.3 46.5 163.6 137.9  
Income (Loss) from Operations 6.2 4.9 30.1 8.7  
Assets [1] 201.6 198.4 201.6 198.4  
Depreciation and Amortization 7.1 7.7 20.3 21.8  
Capital Expenditures 9.9 11.6 24.3 23.4  
Operating Segments | Capital Markets - Compliance and Communications Management          
Segment Reporting Information [Line Items]          
Net Sales 63.5 70.1 268.4 287.1  
Income (Loss) from Operations 14.8 24.9 96.4 88.5  
Assets [1] 352.3 387.0 352.3 387.0  
Depreciation and Amortization 4.3 1.9 8.4 5.6  
Capital Expenditures 2.1 1.8 5.9 4.8  
Operating Segments | Investment Companies - Software Solutions          
Segment Reporting Information [Line Items]          
Net Sales 28.9 26.7 84.5 81.1  
Income (Loss) from Operations 4.2 6.6 14.8 18.3  
Assets [1] 111.8 105.3 111.8 105.3  
Depreciation and Amortization 4.5 3.5 13.1 10.2  
Capital Expenditures 6.0 5.0 17.0 12.3  
Operating Segments | Investment Companies - Compliance and Communications Management          
Segment Reporting Information [Line Items]          
Net Sales 33.8 36.7 109.1 114.6  
Income (Loss) from Operations 9.1 11.2 33.2 35.4  
Assets [1] 46.7 43.9 46.7 43.9  
Depreciation and Amortization 1.2 1.2 3.5 3.5  
Capital Expenditures 0.5 0.4 2.3 1.4  
Corporate          
Segment Reporting Information [Line Items]          
Net Sales 0.0 0.0 0.0 0.0  
Income (Loss) from Operations (16.1) (17.8) (47.2) (50.7)  
Assets [1] 131.2 104.7 131.2 104.7  
Depreciation and Amortization 0.1 0.1 0.1 0.1  
Capital Expenditures $ 0.6 $ 0.4 $ 1.3 $ 1.1  
[1] Certain assets are recorded within a segment based on predominant usage, however, as they benefit more than one segment, the related operating expenses are allocated between segments.