Revenue Recognition (Tables)

6 Months Ended

Dec. 31, 2018

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The Company has presented below its revenue disaggregated by product line and by revenue type within each of its Investor Communication Solutions and Global Technology and Operations reportable segments.

Fee revenues in the Investor Communication Solutions segment are derived from both recurring and event-driven activity. In addition, the level of recurring and event-driven activity the Company processes directly impacts distribution revenues. While event-driven activity is highly repeatable, it may not recur on an annual basis. Event-driven fee revenues are based on the number of special events and corporate transactions the Company processes. Event-driven activity is impacted by financial market conditions and changes in regulatory compliance requirements, resulting in fluctuations in the timing and levels of event-driven fee revenues. Distribution revenues primarily include revenues related to the physical mailing and distribution of proxy materials, interim communications, transaction reporting, customer communications and fulfillment services, as well as Matrix administrative services.

	Three Months Ended   December 31,			Six Months Ended   December 31,
	2018			2018
	(in millions)
Investor Communication Solutions
Equity proxy	$	41.7		$	72.7
Mutual fund and exchange traded funds (“ETF”) interims	60.7			118.5
Customer communications and fulfillment	182.6			357.5
Other ICS	82.1			165.9
Total ICS Recurring fee revenues	367.2			714.6
Equity and other	19.5			43.6
Mutual funds	28.6			81.4
Total ICS Event-driven fee revenues	48.1			125.1
Distribution revenues	322.9			664.2
Total ICS Revenues	$	738.1		$	1,503.9
Global Technology and Operations
Equities and other	$	196.5		$	384.2
Fixed income	40.1			80.1
Total GTO Recurring fee revenues	236.6			464.3
Foreign currency exchange	(21.4		)	(42.0		)
Total Revenues	$	953.4		$	1,926.2
Revenues by Type
Recurring fee revenues	$	603.8		$	1,179.0
Event-driven fee revenues	48.1			125.1
Distribution revenues	322.9			664.2
Foreign currency exchange	(21.4		)	(42.0		)
Total Revenues	$	953.4		$	1,926.2

Contract Assets and Liabilities

The following table provides information about contract assets and liabilities:

	December 31, 2018		July 1, 2018
	(in millions)
Contract assets	$	35.9	$	35.5
Contract liabilities	$	258.0	$	162.8

Summary of the Impact of ASU No. 2014-09 on Financial Statements

The following tables summarize the impact of ASU No. 2014-09 adoption on the Company’s Condensed Consolidated Statement of Earnings for the three and six months ended December 31, 2018, respectively.

	Three Months Ended   December 31, 2018						Six Months Ended   December 31, 2018
	As reported		Effects of ASU 2014-09		Without Effects of ASU No. 2014-09		As reported		Effects of ASU 2014-09			Without Effects of ASU No. 2014-09
	(in millions)						(in millions)
Consolidated Statement of Earnings
Revenues	$	953.4	$	82.2	$	1,035.6	$	1,926.2	$	118.9		$	2,045.1
Cost of revenues	734.0		14.1		748.1		1,473.0		13.3			1,486.3
Selling, general and administrative expenses	141.2		0.4		141.6		274.9		(2.5		)	272.3
Operating income	78.2		67.7		145.9		178.3		108.1			286.4
Earnings before income taxes	64.3		67.7		132.0		153.6		108.1			261.7
Provision for income taxes	14.4		16.6		31.0		27.0		26.5			53.5
Net earnings	$	49.9	$	51.1	$	101.0	$	126.6	$	81.6		$	208.2
Basic earnings per share	$	0.43	$	0.44	$	0.87	$	1.09	$	0.70		$	1.79
Diluted earnings per share	$	0.42	$	0.43	$	0.85	$	1.06	$	0.68		$	1.74

The following table summarizes the impact of ASU No. 2014-09 adoption on the Company’s Condensed Consolidated Balance Sheet as of December 31, 2018.

	As reported		Effects of ASU 2014-09			Without Effects of ASU No. 2014-09
	(in millions)
Consolidated Balance Sheet
Assets:
Current assets	$	966.4	$	(2.3	)	$	964.1
Total assets	$	3,357.6	$	(126.9	)	$	3,230.7
Liabilities:
Current liabilities	$	597.9	$	(8.1	)	$	589.8
Total liabilities	$	2,234.9	$	(108.2	)	$	2,126.7
Stockholders’ equity:
Total stockholders’ equity	$	1,122.6	$	(18.7	)	$	1,104.0