Segment and Geographic Information

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

Segment and Geographic Information

Segment and Geographic Information

Our operating business units offer sophisticated information processing and software services and products. As discussed in Note 1, “Description of Business,” we established a new reportable segment structure during first quarter 2017. We now present our businesses as three operating segments, Domestic Financial Services, International Financial Services and Healthcare Services. Prior periods have been adjusted to be consistent with the current presentation.

Domestic Financial Services

Our Domestic Financial Services segment provides investor, investment, advisor/intermediary and asset distribution products and services to clients within the U.S. to support direct and intermediary sales of mutual funds, alternative investments, securities brokerage accounts and retirement plans on a remote processing or business process outsourcing basis utilizing our proprietary software applications. This includes transaction processing, account opening and maintenance, reconciliation of trades, positions and cash, corporate actions, regulatory reporting and compliance functions and tax reporting.

International Financial Services

Our International Financial Services segment provides investor and policyholder administration and technology products and services to mutual fund managers, insurers, and platform providers within the U.K., Canada, Ireland and Luxembourg on a remote processing or business process outsourcing basis. In Australia and the U.K., we also provide solutions related to participant accounting and recordkeeping for clients in the wealth management and retirement savings industries/markets.

Healthcare Services

Our Healthcare Services segment uses our proprietary software applications to provide healthcare organizations with pharmacy, healthcare administration, and health outcomes optimization solutions to satisfy their information processing, quality of care, cost management and payment integrity needs. Our healthcare solutions include claims adjudication, benefit management, care management, business intelligence and other ancillary services.

We evaluate the performance of our segments based on income before interest expense, income taxes, and non-controlling interest. Intersegment revenues are reflected at rates prescribed by us and may not be reflective of market rates.

Summarized financial information concerning our segments is shown in the following tables (in millions):

	Year Ended December 31, 2017
	Domestic Financial Services		International Financial Services			Healthcare Services		Elimination Adjustments			Consolidated Total
Operating revenues	$	1,130.3	$	537.9		$	418.5	$	—		$	2,086.7
Intersegment operating revenues	56.9		0.5			—		(57.4		)	—
Out-of-pocket reimbursements	111.8		12.2			7.5		—			131.5
Total revenues	1,299.0		550.6			426.0		(57.4		)	2,218.2
Costs and expenses	1,072.2		449.3			340.9		(57.4		)	1,805.0
Depreciation and amortization	86.8		30.7			10.5		—			128.0
Operating income	140.0		70.6			74.6		—			285.2
Other income (loss), net	234.2		(15.5		)	0.3		—			219.0
Equity in earnings of unconsolidated affiliates	34.7		19.3			0.5		—			54.5
Earnings from continuing operations before interest, income taxes and non-controlling interest	$	408.9	$	74.4		$	75.4	$	—		$	558.7

	Year Ended December 31, 2016
	Domestic Financial Services		International Financial Services		Healthcare Services		Elimination Adjustments			Consolidated Total
Operating revenues	$	937.7	$	110.5	$	426.2	$	—		$	1,474.4
Intersegment operating revenues	58.1		0.4		—		(58.5		)	—
Out-of-pocket reimbursements	73.0		1.2		8.5		(0.4		)	82.3
Total revenues	1,068.8		112.1		434.7		(58.9		)	1,556.7
Costs and expenses	829.0		98.2		345.1		(58.9		)	1,213.4
Depreciation and amortization	77.3		3.1		15.6		—			96.0
Operating income	162.5		10.8		74.0		—			247.3
Other income, net	13.9		8.7		0.1		—			22.7
Gain on sale of business	—		5.5		—		—			5.5
Equity in earnings of unconsolidated affiliates	14.3		12.4		0.5		—			27.2
Earnings from continuing operations before interest, income taxes and non-controlling interest	$	190.7	$	37.4	$	74.6	$	—		$	302.7

	Year Ended December 31, 2015
	Domestic Financial Services		International Financial Services			Healthcare Services			Elimination Adjustments			Consolidated Total
Operating revenues	$	936.8	$	91.8		$	376.4		$	—		$	1,405.0
Intersegment operating revenues	46.3		1.6			—			(47.9		)	—
Out-of-pocket reimbursements	60.7		1.7			8.2			(1.6		)	69.0
Total revenues	1,043.8		95.1			384.6			(49.5		)	1,474.0
Costs and expenses	792.3		86.1			321.3			(49.5		)	1,150.2
Depreciation and amortization	67.7		4.8			18.6			—			91.1
Operating income	183.8		4.2			44.7			—			232.7
Other income (loss), net	207.2		(2.6		)	(0.1		)	—			204.5
Equity in earnings of unconsolidated affiliates	23.8		21.3			0.3			—			45.4
Earnings from continuing operations before interest, income taxes and non-controlling interest	$	414.8	$	22.9		$	44.9		$	—		$	482.6

Earnings from continuing operations before interest, income taxes and non-controlling interest in the segment reporting information above less interest expense of $26.8 million, $23.5 million and $23.8 million for the years ended December 31, 2017, 2016 and 2015, respectively, are equal to income from continuing operations before income taxes and non-controlling interest on a consolidated basis for the corresponding year.

Information concerning the revenues of principal geographic areas is as follows (in millions):

	Year Ended December 31,
	2017		2016		2015
Revenues:(1)
U.S.	$	1,641.1	$	1,417.2	$	1,350.6
International
U.K.	504.6		78.1		65.6
Canada	19.4		19.3		21.7
Australia	28.4		25.4		20.5
Others	24.7		16.7		15.6
Total international	577.1		139.5		123.4
Total revenues	$	2,218.2	$	1,556.7	$	1,474.0

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(1) Revenues are attributed to countries based on location of the client.

Information concerning total assets by reporting segment is as follows (in millions):

	December 31,
	2017			2016			2015
Domestic Financial Services	$	2,212.2		$	2,234.9		$	2,438.6
International Financial Services	756.1			430.0			217.6
Healthcare Services	524.5			552.2			405.3
Assets held for sale	—			72.6			295.2
Elimination Adjustments	(554.6		)	(517.9		)	(543.5		)
Total assets	$	2,938.2		$	2,771.8		$	2,813.2

Information concerning the long-lived assets (properties and other non-current assets) of principal geographic areas is as follows (in millions):

	December 31,
	2017		2016		2015
Long-lived assets:
U.S.	$	318.1	$	249.9	$	274.7
International
U.K.	192.8		25.9		29.1
Australia	8.6		8.0		2.6
Others	5.1		2.2		7.3
Total international	206.5		36.1		39.0
Total long-lived assets	$	524.6	$	286.0	$	313.7