Leases

12 Months Ended

Sep. 30, 2025

Leases [Abstract]

Leases

Leases

The Company and its subsidiaries are lessees in non-cancelable leasing agreements for office buildings and equipment. Substantially all of the Company’s office building leases are operating leases, and its equipment leases are both operating and finance leases. The Company groups lease and non-lease components for its equipment leases into a single lease component but separates lease and non-lease components for its office building leases.

The Company recognizes a right-of-use asset and lease liability for its operating leases at the commencement date equal to the present value of the contractual minimum lease payments over the lease term. The present value is calculated using the rate implicit in the lease, if known, or the Company’s incremental secured borrowing rate. The discount rate used for operating leases is primarily determined based on an analysis of the Company’s incremental secured borrowing rate, while the discount rate used for finance leases is primarily determined by the rate specified in the lease.

The related lease payments are expensed on a straight-line basis over the lease term, including, as applicable, any free-rent period during which the Company has the right to use the asset. For leases with renewal options where the renewal is reasonably assured, the lease term, including the renewal period, is used to determine the appropriate lease classification and to compute periodic rental expense. Leases with initial terms shorter than 12 months are not recognized on the balance sheet, and lease expense is recognized on a straight-line basis.

During the fourth quarter of fiscal 2023, the Company approved a restructuring plan primarily to optimize its office real estate portfolio with its freedom to grow strategy, which initiated a review of the carrying value of right-of-use assets and leasehold improvements. In connection with the review, the Company identified leased assets that were no longer recoverable. The Company recorded an impairment charge of $86.2 million to reduce its right-of-use assets and leasehold improvements to their fair values and recorded the expense in restructuring costs on the Consolidated Statement of Operations. Fair value was determined primarily using Level 3 inputs, such as discounted cash flows.

The components of lease expenses are as follows:

	Fiscal Year Ended
	September 30, 2025		September 30, 2024		September 30, 2023
	(in millions)
Operating lease cost	$	147.4	$	149.1	$	164.0
Finance lease cost:
Amortization of right-of-use assets	33.9		28.4		23.1
Interest on lease liabilities	3.7		2.9		2.6
Variable lease cost	32.0		34.6		34.1
Total lease cost	$	217.0	$	215.0	$	223.8

Additional balance sheet information related to leases is as follows:

(in millions except as noted)	Balance Sheet Classification	September 30, 2025		September 30, 2024
Assets:
Operating lease assets	Operating lease right-of-use assets	$	463.5	$	432.2
Finance lease assets	Property and equipment – net	74.4		62.1
Total lease assets		$	537.9	$	494.3
Liabilities:
Current:
Operating lease liabilities	Accrued expenses and other current liabilities	$	132.4	$	135.1
Finance lease liabilities	Current portion of long-term debt	31.9		25.5
Total current lease liabilities		164.3		160.6
Non-current:
Operating lease liabilities	Operating lease liabilities, noncurrent	516.0		510.6
Finance lease liabilities	Long-term debt	44.3		35.7
Total non-current lease liabilities		$	560.3	$	546.3

	As of
	September 30, 2025		September 30, 2024		September 30, 2023
Weighted average remaining lease term (in years):
Operating leases	6.1		6.2		6.4
Finance leases	2.7		2.6		2.9
Weighted average discount rates:
Operating leases	5.2	%	5.1	%	4.3	%
Finance leases	4.8	%	4.4	%	4.1	%

Additional cash flow information related to leases is as follows:

	Fiscal Year Ended
	September 30, 2025		September 30, 2024		September 30, 2023
	(in millions)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	172.6	$	184.9	$	188.3
Operating cash flows from finance leases	3.7		3.0		2.5
Financing cash flows from finance leases	32.4		28.9		23.7
Right-of-use assets obtained in exchange for new operating leases	130.9		90.1		96.6
Right-of-use assets obtained in exchange for new finance leases	47.2		26.6		37.5

Total remaining lease payments under both the Company’s operating and finance leases are as follows:

	Operating Leases		Finance Leases
Fiscal Year	(in millions)
2026	$	163.6	$	35.0
2027	135.7		26.1
2028	118.1		16.0
2029	97.9		4.6
2030	75.4		—
Thereafter	173.3		—
Total lease payments	$	764.0	$	81.7
Less: Amounts representing interest	$	(115.6)	$	(5.5)
Total lease liabilities	$	648.4	$	76.2

Leases

Leases

The Company and its subsidiaries are lessees in non-cancelable leasing agreements for office buildings and equipment. Substantially all of the Company’s office building leases are operating leases, and its equipment leases are both operating and finance leases. The Company groups lease and non-lease components for its equipment leases into a single lease component but separates lease and non-lease components for its office building leases.

The Company recognizes a right-of-use asset and lease liability for its operating leases at the commencement date equal to the present value of the contractual minimum lease payments over the lease term. The present value is calculated using the rate implicit in the lease, if known, or the Company’s incremental secured borrowing rate. The discount rate used for operating leases is primarily determined based on an analysis of the Company’s incremental secured borrowing rate, while the discount rate used for finance leases is primarily determined by the rate specified in the lease.

The related lease payments are expensed on a straight-line basis over the lease term, including, as applicable, any free-rent period during which the Company has the right to use the asset. For leases with renewal options where the renewal is reasonably assured, the lease term, including the renewal period, is used to determine the appropriate lease classification and to compute periodic rental expense. Leases with initial terms shorter than 12 months are not recognized on the balance sheet, and lease expense is recognized on a straight-line basis.

During the fourth quarter of fiscal 2023, the Company approved a restructuring plan primarily to optimize its office real estate portfolio with its freedom to grow strategy, which initiated a review of the carrying value of right-of-use assets and leasehold improvements. In connection with the review, the Company identified leased assets that were no longer recoverable. The Company recorded an impairment charge of $86.2 million to reduce its right-of-use assets and leasehold improvements to their fair values and recorded the expense in restructuring costs on the Consolidated Statement of Operations. Fair value was determined primarily using Level 3 inputs, such as discounted cash flows.

The components of lease expenses are as follows:

	Fiscal Year Ended
	September 30, 2025		September 30, 2024		September 30, 2023
	(in millions)
Operating lease cost	$	147.4	$	149.1	$	164.0
Finance lease cost:
Amortization of right-of-use assets	33.9		28.4		23.1
Interest on lease liabilities	3.7		2.9		2.6
Variable lease cost	32.0		34.6		34.1
Total lease cost	$	217.0	$	215.0	$	223.8

Additional balance sheet information related to leases is as follows:

(in millions except as noted)	Balance Sheet Classification	September 30, 2025		September 30, 2024
Assets:
Operating lease assets	Operating lease right-of-use assets	$	463.5	$	432.2
Finance lease assets	Property and equipment – net	74.4		62.1
Total lease assets		$	537.9	$	494.3
Liabilities:
Current:
Operating lease liabilities	Accrued expenses and other current liabilities	$	132.4	$	135.1
Finance lease liabilities	Current portion of long-term debt	31.9		25.5
Total current lease liabilities		164.3		160.6
Non-current:
Operating lease liabilities	Operating lease liabilities, noncurrent	516.0		510.6
Finance lease liabilities	Long-term debt	44.3		35.7
Total non-current lease liabilities		$	560.3	$	546.3

	As of
	September 30, 2025		September 30, 2024		September 30, 2023
Weighted average remaining lease term (in years):
Operating leases	6.1		6.2		6.4
Finance leases	2.7		2.6		2.9
Weighted average discount rates:
Operating leases	5.2	%	5.1	%	4.3	%
Finance leases	4.8	%	4.4	%	4.1	%

Additional cash flow information related to leases is as follows:

	Fiscal Year Ended
	September 30, 2025		September 30, 2024		September 30, 2023
	(in millions)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	172.6	$	184.9	$	188.3
Operating cash flows from finance leases	3.7		3.0		2.5
Financing cash flows from finance leases	32.4		28.9		23.7
Right-of-use assets obtained in exchange for new operating leases	130.9		90.1		96.6
Right-of-use assets obtained in exchange for new finance leases	47.2		26.6		37.5

Total remaining lease payments under both the Company’s operating and finance leases are as follows:

	Operating Leases		Finance Leases
Fiscal Year	(in millions)
2026	$	163.6	$	35.0
2027	135.7		26.1
2028	118.1		16.0
2029	97.9		4.6
2030	75.4		—
Thereafter	173.3		—
Total lease payments	$	764.0	$	81.7
Less: Amounts representing interest	$	(115.6)	$	(5.5)
Total lease liabilities	$	648.4	$	76.2