QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | ||||||||||||||||
(Address of Principal Executive Offices) | (Zip Code) |
Securities registered pursuant to Section 12(b) of the Act: | ||||||||||||||
Title of each class | Trading Symbol(s) | Name of exchange on which registered | ||||||||||||
(Nasdaq Global Select Market) |
☒ | Accelerated filer | ☐ | ||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ||||||||||||
Emerging growth company |
Page No. | ||||||||
(in thousands, except share and per share data) | June 30, 2021 | December 31, 2020 | |||||||||
ASSETS | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | $ | |||||||||
Short-term investments | |||||||||||
Accounts receivable, less allowance for doubtful accounts of $ | |||||||||||
Other receivables and current assets | |||||||||||
Total current assets | |||||||||||
Long-term assets: | |||||||||||
Property and equipment, net | |||||||||||
Operating lease right-of-use assets | |||||||||||
Goodwill | |||||||||||
Other intangible assets, net | |||||||||||
Other long-term assets | |||||||||||
Deferred income taxes | |||||||||||
Total long-term assets | |||||||||||
Total assets | $ | $ | |||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||||||
Current liabilities: | |||||||||||
Accounts payable | $ | $ | |||||||||
Accrued bonuses and commissions | |||||||||||
Accrued income taxes | |||||||||||
Other accrued expenses and liabilities | |||||||||||
Deferred revenue | |||||||||||
Total current liabilities | |||||||||||
Long-term liabilities: | |||||||||||
Deferred income taxes | |||||||||||
Long-term operating lease liabilities | |||||||||||
Long-term debt | |||||||||||
Other long-term liabilities | |||||||||||
Total long-term liabilities | |||||||||||
Commitments and contingencies | |||||||||||
Stockholders' equity: | |||||||||||
Preferred stock, $ | |||||||||||
Common stock, $ | |||||||||||
Additional paid-in capital | |||||||||||
Retained earnings | |||||||||||
Treasury stock, at cost: | ( | ( | |||||||||
Accumulated other comprehensive loss | ( | ( | |||||||||
Total stockholders' equity | |||||||||||
Total liabilities and stockholders' equity | $ | $ |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands, except per share data) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Revenue: | |||||||||||||||||||||||
Software licenses | $ | $ | $ | $ | |||||||||||||||||||
Maintenance and service | |||||||||||||||||||||||
Total revenue | |||||||||||||||||||||||
Cost of sales: | |||||||||||||||||||||||
Software licenses | |||||||||||||||||||||||
Amortization | |||||||||||||||||||||||
Maintenance and service | |||||||||||||||||||||||
Total cost of sales | |||||||||||||||||||||||
Gross profit | |||||||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Selling, general and administrative | |||||||||||||||||||||||
Research and development | |||||||||||||||||||||||
Amortization | |||||||||||||||||||||||
Total operating expenses | |||||||||||||||||||||||
Operating income | |||||||||||||||||||||||
Interest income | |||||||||||||||||||||||
Interest expense | ( | ( | ( | ( | |||||||||||||||||||
Other income, net | |||||||||||||||||||||||
Income before income tax provision | |||||||||||||||||||||||
Income tax provision | |||||||||||||||||||||||
Net income | $ | $ | $ | $ | |||||||||||||||||||
Earnings per share – basic: | |||||||||||||||||||||||
Earnings per share | $ | $ | $ | $ | |||||||||||||||||||
Weighted average shares | |||||||||||||||||||||||
Earnings per share – diluted: | |||||||||||||||||||||||
Earnings per share | $ | $ | $ | $ | |||||||||||||||||||
Weighted average shares |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Net income | $ | $ | $ | $ | |||||||||||||||||||
Other comprehensive income (loss): | |||||||||||||||||||||||
Foreign currency translation adjustments | ( | ( | |||||||||||||||||||||
Comprehensive income | $ | $ | $ | $ |
Six Months Ended | |||||||||||
(in thousands) | June 30, 2021 | June 30, 2020 | |||||||||
Cash flows from operating activities: | |||||||||||
Net income | $ | $ | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and intangible assets amortization | |||||||||||
Operating lease right-of-use assets expense | |||||||||||
Deferred income tax benefit | ( | ( | |||||||||
Provision for bad debts | |||||||||||
Stock-based compensation expense | |||||||||||
Gain on equity investment | ( | ||||||||||
Other | |||||||||||
Changes in operating assets and liabilities: | |||||||||||
Accounts receivable | |||||||||||
Other receivables and current assets | |||||||||||
Other long-term assets | ( | ( | |||||||||
Accounts payable, accrued expenses and current liabilities | ( | ( | |||||||||
Accrued income taxes | ( | ||||||||||
Deferred revenue | ( | ( | |||||||||
Other long-term liabilities | ( | ||||||||||
Net cash provided by operating activities | |||||||||||
Cash flows from investing activities: | |||||||||||
Acquisitions, net of cash acquired | ( | ( | |||||||||
Capital expenditures | ( | ( | |||||||||
Other investing activities | ( | ( | |||||||||
Net cash used in investing activities | ( | ( | |||||||||
Cash flows from financing activities: | |||||||||||
Principal payments on long-term debt | ( | ( | |||||||||
Purchase of treasury stock | ( | ||||||||||
Restricted stock withholding taxes paid in lieu of issued shares | ( | ( | |||||||||
Proceeds from shares issued for stock-based compensation | |||||||||||
Other financing activities | ( | ||||||||||
Net cash used in financing activities | ( | ( | |||||||||
Effect of exchange rate fluctuations on cash and cash equivalents | ( | ( | |||||||||
Net increase (decrease) in cash and cash equivalents | ( | ||||||||||
Cash and cash equivalents, beginning of period | |||||||||||
Cash and cash equivalents, end of period | $ | $ | |||||||||
Supplemental disclosure of cash flow information: | |||||||||||
Income taxes paid | $ | $ | |||||||||
Interest paid | $ | $ |
Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive (Loss)/Income | Total Stockholders' Equity | ||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||||||||||||||
Balance, January 1, 2021 | $ | $ | $ | $ | ( | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
Stock-based compensation activity | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||
Net income | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2021 | $ | $ | $ | $ | ( | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
Acquisition of Analytical Graphics, Inc. | |||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation activity | ( | ||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, June 30, 2021 | $ | $ | $ | $ | ( | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive (Loss)/Income | Total Stockholders' Equity | ||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||||||||||||||
Balance, January 1, 2020 | $ | $ | $ | $ | ( | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
Treasury shares acquired | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation activity | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||
Net income | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2020 | $ | $ | $ | $ | ( | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
Acquisition of Livermore Software Technology, LLC | ( | ||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation activity | ( | ||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | |||||||||||||||||||||||||||||||||||||||||||||||
Balance, June 30, 2020 | $ | $ | $ | $ | ( | $ | ( | $ | |||||||||||||||||||||||||||||||||||||||
June 30, 2021 | December 31, 2020 | ||||||||||||||||||||||
(in thousands, except percentages) | Amount | % of Total | Amount | % of Total | |||||||||||||||||||
Cash accounts | $ | $ | |||||||||||||||||||||
Money market funds | |||||||||||||||||||||||
Total | $ | $ |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands, except percentages) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Revenue: | |||||||||||||||||||||||
Lease licenses | $ | $ | $ | $ | |||||||||||||||||||
Perpetual licenses | |||||||||||||||||||||||
Software licenses | |||||||||||||||||||||||
Maintenance | |||||||||||||||||||||||
Service | |||||||||||||||||||||||
Maintenance and service | |||||||||||||||||||||||
Total revenue | $ | $ | $ | $ | |||||||||||||||||||
Direct revenue, as a percentage of total revenue | % | % | % | % | |||||||||||||||||||
Indirect revenue, as a percentage of total revenue | % | % | % | % |
(in thousands) | 2021 | 2020 | |||||||||
Beginning balance – January 1 | $ | $ | |||||||||
Acquired deferred revenue | |||||||||||
Deferral of revenue | |||||||||||
Recognition of revenue | ( | ( | |||||||||
Currency translation | ( | ( | |||||||||
Ending balance – June 30 | $ | $ |
(in thousands) | |||||
Next 12 months | $ | ||||
Months 13-24 | |||||
Months 25-36 | |||||
Thereafter | |||||
Total revenue allocated to remaining performance obligations | $ |
(in thousands) | |||||
Cash | $ |
(in thousands) | |||||
Cash | $ | ||||
Accounts receivable and other tangible assets | |||||
Developed software and core technologies ( | |||||
Customer lists ( | |||||
Trade names ( | |||||
Accounts payable and other liabilities | ( | ||||
Deferred revenue | ( | ||||
Net deferred tax liabilities | ( | ||||
Total identifiable net assets | $ | ||||
Goodwill | $ |
(in thousands) | June 30, 2021 | December 31, 2020 | |||||||||
Receivables related to unrecognized revenue | $ | $ | |||||||||
Income taxes receivable, including overpayments and refunds | |||||||||||
Prepaid expenses and other current assets | |||||||||||
Total other receivables and current assets | $ | $ | |||||||||
Accrued vacation | |||||||||||
Consumption, VAT and sales tax liabilities | |||||||||||
Accrued expenses and other current liabilities | |||||||||||
Total other accrued expenses and liabilities | $ | $ | |||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands, except per share data) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Net income | $ | $ | $ | $ | |||||||||||||||||||
Weighted average shares outstanding – basic | |||||||||||||||||||||||
Dilutive effect of stock plans | |||||||||||||||||||||||
Weighted average shares outstanding – diluted | |||||||||||||||||||||||
Basic earnings per share | $ | $ | $ | $ | |||||||||||||||||||
Diluted earnings per share | $ | $ | $ | $ | |||||||||||||||||||
Anti-dilutive shares |
June 30, 2021 | December 31, 2020 | ||||||||||||||||||||||
(in thousands) | Gross Carrying Amount | Accumulated Amortization | Gross Carrying Amount | Accumulated Amortization | |||||||||||||||||||
Finite-lived intangible assets: | |||||||||||||||||||||||
Developed software and core technologies | $ | $ | ( | $ | $ | ( | |||||||||||||||||
Customer lists and contract backlog | ( | ( | |||||||||||||||||||||
Trade names | ( | ( | |||||||||||||||||||||
Total | $ | $ | ( | $ | $ | ( | |||||||||||||||||
Indefinite-lived intangible asset: | |||||||||||||||||||||||
Trade name | $ | $ |
(in thousands) | |||||
Remainder of 2021 | $ | ||||
2022 | |||||
2023 | |||||
2024 | |||||
2025 | |||||
2026 | |||||
Thereafter | |||||
Total intangible assets subject to amortization | |||||
Indefinite-lived trade name | |||||
Other intangible assets, net | $ |
(in thousands) | 2021 | 2020 | |||||||||
Beginning balance – January 1 | $ | $ | |||||||||
Acquisitions and adjustments(1) | |||||||||||
Currency translation | ( | ( | |||||||||
Ending balance – June 30 | $ | $ |
Fair Value Measurements at Reporting Date Using: | |||||||||||||||||||||||
(in thousands) | June 30, 2021 | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||||||||||
Assets | |||||||||||||||||||||||
Cash equivalents | $ | $ | $ | $ | |||||||||||||||||||
Short-term investments | $ | $ | $ | $ | |||||||||||||||||||
Deferred compensation plan investments | $ | $ | $ | $ | |||||||||||||||||||
Equity securities | $ | $ | $ | $ |
Fair Value Measurements at Reporting Date Using: | |||||||||||||||||||||||
(in thousands) | December 31, 2020 | Quoted Prices in Active Markets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | |||||||||||||||||||
Assets | |||||||||||||||||||||||
Cash equivalents | $ | $ | $ | $ | |||||||||||||||||||
Short-term investments | $ | $ | $ | $ | |||||||||||||||||||
Deferred compensation plan investments | $ | $ | $ | $ |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Lease liability cost | $ | $ | $ | $ | |||||||||||||||||||
Variable lease cost not included in the lease liability(1) | |||||||||||||||||||||||
Total lease cost | $ | $ | $ | $ |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Cash paid for amounts included in the measurement of the lease liability: | |||||||||||||||||||||||
Operating cash flows from operating leases | $ | ( | $ | ( | $ | ( | $ | ( | |||||||||||||||
Right-of-use assets obtained in exchange for new operating lease liabilities |
As of June 30, | |||||||||||
2021 | 2020 | ||||||||||
Weighted-average remaining lease term of operating leases | |||||||||||
Weighted-average discount rate of operating leases | % | % |
(in thousands) | |||||
Remainder of 2021 | $ | ||||
2022 | |||||
2023 | |||||
2024 | |||||
2025 | |||||
Thereafter | |||||
Total future lease payments | |||||
Less: Present value adjustment | ( | ||||
Present value of future lease payments(1) | $ |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands, except percentages) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Income before income tax provision | $ | $ | $ | $ | |||||||||||||||||||
Income tax provision | |||||||||||||||||||||||
Effective tax rate | % | % | % | % |
Six Months Ended | |||||||||||
(in thousands, except per share data) | June 30, 2021 | June 30, 2020 | |||||||||
Number of shares repurchased | |||||||||||
Average price paid per share | $ | $ | |||||||||
Total cost | $ | $ |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands, except per share data) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
Cost of sales: | |||||||||||||||||||||||
Maintenance and service | $ | $ | $ | $ | |||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Selling, general and administrative | |||||||||||||||||||||||
Research and development | |||||||||||||||||||||||
Stock-based compensation expense before taxes | |||||||||||||||||||||||
Related income tax benefits | ( | ( | ( | ( | |||||||||||||||||||
Stock-based compensation expense, net of taxes | $ | $ | $ | $ | |||||||||||||||||||
Net impact on earnings per share: | |||||||||||||||||||||||
Basic earnings per share | $ | ( | $ | ( | $ | ( | $ | ( | |||||||||||||||
Diluted earnings per share | $ | ( | $ | ( | $ | ( | $ | ( |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||
(in thousands) | June 30, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | |||||||||||||||||||
United States | $ | $ | $ | $ | |||||||||||||||||||
Japan | |||||||||||||||||||||||
Germany | |||||||||||||||||||||||
South Korea | |||||||||||||||||||||||
Other Europe, Middle East and Africa (EMEA) | |||||||||||||||||||||||
Other international | |||||||||||||||||||||||
Total revenue | $ | $ | $ | $ |
(in thousands) | June 30, 2021 | December 31, 2020 | |||||||||
United States | $ | $ | |||||||||
India | |||||||||||
Germany | |||||||||||
France | |||||||||||
Other EMEA | |||||||||||
Other international | |||||||||||
Total property and equipment, net | $ | $ |
Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | ||||||||||||||||||||||
GAAP | Non-GAAP | GAAP | Non-GAAP | ||||||||||||||||||||
Revenue | 15.8 | % | 16.1 | % | 17.3 | % | 18.1 | % | |||||||||||||||
Operating income | 3.5 | % | 12.9 | % | 13.6 | % | 21.5 | % | |||||||||||||||
Diluted earnings per share | (4.5) | % | 19.4 | % | 15.2 | % | 25.3 | % |
Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | ||||||||||||||||||||||
(in thousands) | GAAP | Non-GAAP | GAAP | Non-GAAP | |||||||||||||||||||
Revenue | $ | 9,199 | $ | 9,248 | $ | 19,111 | $ | 19,196 | |||||||||||||||
Operating income | $ | 1,412 | $ | 1,877 | $ | 3,458 | $ | 4,350 |
Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | ||||||||||||||||||||||
GAAP | Non-GAAP | GAAP | Non-GAAP | ||||||||||||||||||||
Revenue | 13.4 | % | 13.8 | % | 14.5 | % | 15.3 | % | |||||||||||||||
Operating income | 2.3 | % | 11.8 | % | 11.2 | % | 19.9 | % |
Three Months Ended June 30, | Change | ||||||||||||||||||||||||||||
(in thousands, except percentages) | 2021 | 2020 | Amount | % | Constant Currency % | ||||||||||||||||||||||||
ACV | $ | 430,539 | $ | 344,406 | $ | 86,133 | 25.0 | 22.7 | |||||||||||||||||||||
Recurring ACV as a percentage of ACV | 82.1 | % | 83.2 | % |
Six Months Ended June 30, | Change | ||||||||||||||||||||||||||||
(in thousands, except percentages) | 2021 | 2020 | Amount | % | Constant Currency % | ||||||||||||||||||||||||
ACV | $ | 749,921 | $ | 645,456 | $ | 104,465 | 16.2 | 13.5 | |||||||||||||||||||||
Recurring ACV as a percentage of ACV | 80.2 | % | 82.7 | % |
Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | ||||||||||
Americas | 12.8 | % | 16.2 | % | |||||||
EMEA | 11.6 | % | 9.6 | % | |||||||
Asia-Pacific | 16.1 | % | 16.2 | % | |||||||
Total | 13.4 | % | 14.5 | % |
Three Months Ended June 30, | Change | ||||||||||||||||||||||||||||
(in thousands, except percentages) | 2021 | 2020 | Amount | % | Constant Currency % | ||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||
Lease licenses | $ | 129,794 | $ | 113,209 | $ | 16,585 | 14.6 | 13.9 | |||||||||||||||||||||
Perpetual licenses | 85,028 | 56,132 | 28,896 | 51.5 | 48.1 | ||||||||||||||||||||||||
Software licenses | 214,822 | 169,341 | 45,481 | 26.9 | 25.2 | ||||||||||||||||||||||||
Maintenance | 218,297 | 203,179 | 15,118 | 7.4 | 4.5 | ||||||||||||||||||||||||
Service | 13,535 | 13,141 | 394 | 3.0 | (0.1) | ||||||||||||||||||||||||
Maintenance and service | 231,832 | 216,320 | 15,512 | 7.2 | 4.2 | ||||||||||||||||||||||||
Total revenue | $ | 446,654 | $ | 385,661 | $ | 60,993 | 15.8 | 13.4 |
(in thousands) | Three Months Ended June 30, 2021 | ||||
Euro | $ | 6,095 | |||
South Korean Won | 1,695 | ||||
British Pound | 1,224 | ||||
Other | 185 | ||||
Total | $ | 9,199 |
Three Months Ended June 30, | |||||||||||
2021 | 2020 | ||||||||||
International | 53.3 | % | 52.3 | % | |||||||
Domestic | 46.7 | % | 47.7 | % | |||||||
Direct | 75.4 | % | 78.1 | % | |||||||
Indirect | 24.6 | % | 21.9 | % |
Balance at June 30, 2021 | |||||||||||||||||
(in thousands) | Total | Current | Long-Term | ||||||||||||||
Deferred revenue | $ | 351,598 | $ | 338,396 | $ | 13,202 | |||||||||||
Backlog | 575,501 | 258,777 | 316,724 | ||||||||||||||
Total | $ | 927,099 | $ | 597,173 | $ | 329,926 |
Balance at December 31, 2020 | |||||||||||||||||
(in thousands) | Total | Current | Long-Term | ||||||||||||||
Deferred revenue | $ | 388,810 | $ | 372,061 | $ | 16,749 | |||||||||||
Backlog | 578,317 | 234,719 | 343,598 | ||||||||||||||
Total | $ | 967,127 | $ | 606,780 | $ | 360,347 |
Three Months Ended June 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | Change | |||||||||||||||||||||||||||||||||
(in thousands, except percentages) | Amount | % of Revenue | Amount | % of Revenue | Amount | % | |||||||||||||||||||||||||||||
Cost of sales: | |||||||||||||||||||||||||||||||||||
Software licenses | $ | 8,065 | 1.8 | $ | 8,511 | 2.2 | $ | (446) | (5.2) | ||||||||||||||||||||||||||
Amortization | 15,025 | 3.4 | 9,764 | 2.5 | 5,261 | 53.9 | |||||||||||||||||||||||||||||
Maintenance and service | 41,068 | 9.2 | 35,585 | 9.2 | 5,483 | 15.4 | |||||||||||||||||||||||||||||
Total cost of sales | 64,158 | 14.4 | 53,860 | 14.0 | 10,298 | 19.1 | |||||||||||||||||||||||||||||
Gross profit | $ | 382,496 | 85.6 | $ | 331,801 | 86.0 | $ | 50,695 | 15.3 |
Three Months Ended June 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | Change | |||||||||||||||||||||||||||||||||
(in thousands, except percentages) | Amount | % of Revenue | Amount | % of Revenue | Amount | % | |||||||||||||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||||||||||||||
Selling, general and administrative | $ | 160,410 | 35.9 | $ | 128,698 | 33.4 | $ | 31,712 | 24.6 | ||||||||||||||||||||||||||
Research and development | 100,879 | 22.6 | 86,133 | 22.3 | 14,746 | 17.1 | |||||||||||||||||||||||||||||
Amortization | 4,434 | 1.0 | 4,163 | 1.1 | 271 | 6.5 | |||||||||||||||||||||||||||||
Total operating expenses | $ | 265,723 | 59.5 | $ | 218,994 | 56.8 | $ | 46,729 | 21.3 |
Three Months Ended June 30, | |||||||||||
(in thousands, except percentages) | 2021 | 2020 | |||||||||
Income before income tax provision | $ | 128,860 | $ | 112,585 | |||||||
Income tax provision | $ | 35,144 | $ | 16,021 | |||||||
Effective tax rate | 27.3 | % | 14.2 | % |
Three Months Ended June 30, | |||||||||||
(in thousands, except per share data) | 2021 | 2020 | |||||||||
Net income | $ | 93,716 | $ | 96,564 | |||||||
Diluted earnings per share | $ | 1.06 | $ | 1.11 | |||||||
Weighted average shares outstanding - diluted | 88,053 | 86,934 |
Six Months Ended June 30, | Change | ||||||||||||||||||||||||||||
(in thousands, except percentages) | 2021 | 2020 | Amount | % | Constant Currency % | ||||||||||||||||||||||||
Revenue: | |||||||||||||||||||||||||||||
Lease licenses | $ | 194,871 | $ | 158,083 | $ | 36,788 | 23.3 | 22.0 | |||||||||||||||||||||
Perpetual licenses | 152,555 | 99,088 | 53,467 | 54.0 | 50.1 | ||||||||||||||||||||||||
Software licenses | 347,426 | 257,171 | 90,255 | 35.1 | 32.9 | ||||||||||||||||||||||||
Maintenance | 431,971 | 403,667 | 28,304 | 7.0 | 3.9 | ||||||||||||||||||||||||
Service | 30,483 | 29,808 | 675 | 2.3 | (0.6) | ||||||||||||||||||||||||
Maintenance and service | 462,454 | 433,475 | 28,979 | 6.7 | 3.6 | ||||||||||||||||||||||||
Total revenue | $ | 809,880 | $ | 690,646 | $ | 119,234 | 17.3 | 14.5 |
(in thousands) | Six Months Ended June 30, 2021 | ||||
Euro | $ | 12,215 | |||
South Korean Won | 3,064 | ||||
British Pound | 2,044 | ||||
Other | 1,788 | ||||
Total | $ | 19,111 |
Six Months Ended June 30, | |||||||||||
2021 | 2020 | ||||||||||
International | 55.4 | % | 55.2 | % | |||||||
Domestic | 44.6 | % | 44.8 | % | |||||||
Direct | 73.8 | % | 76.2 | % | |||||||
Indirect | 26.2 | % | 23.8 | % |
Six Months Ended June 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | Change | |||||||||||||||||||||||||||||||||
(in thousands, except percentages) | Amount | % of Revenue | Amount | % of Revenue | Amount | % | |||||||||||||||||||||||||||||
Cost of sales: | |||||||||||||||||||||||||||||||||||
Software licenses | $ | 15,671 | 1.9 | $ | 13,437 | 1.9 | $ | 2,234 | 16.6 | ||||||||||||||||||||||||||
Amortization | 29,974 | 3.7 | 19,316 | 2.8 | 10,658 | 55.2 | |||||||||||||||||||||||||||||
Maintenance and service | 80,616 | 10.0 | 71,223 | 10.3 | 9,393 | 13.2 | |||||||||||||||||||||||||||||
Total cost of sales | 126,261 | 15.6 | 103,976 | 15.1 | 22,285 | 21.4 | |||||||||||||||||||||||||||||
Gross profit | $ | 683,619 | 84.4 | $ | 586,670 | 84.9 | $ | 96,949 | 16.5 |
Six Months Ended June 30, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | Change | |||||||||||||||||||||||||||||||||
(in thousands, except percentages) | Amount | % of Revenue | Amount | % of Revenue | Amount | % | |||||||||||||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||||||||||||||
Selling, general and administrative | $ | 306,625 | 37.9 | $ | 259,220 | 37.5 | $ | 47,405 | 18.3 | ||||||||||||||||||||||||||
Research and development | 201,358 | 24.9 | 172,245 | 24.9 | 29,113 | 16.9 | |||||||||||||||||||||||||||||
Amortization | 8,841 | 1.1 | 8,325 | 1.2 | 516 | 6.2 | |||||||||||||||||||||||||||||
Total operating expenses | $ | 516,824 | 63.8 | $ | 439,790 | 63.7 | $ | 77,034 | 17.5 |
Six Months Ended June 30, | |||||||||||
(in thousands, except percentages) | 2021 | 2020 | |||||||||
Income before income tax provision | $ | 176,483 | $ | 145,909 | |||||||
Income tax provision | $ | 10,369 | $ | 3,281 | |||||||
Effective tax rate | 5.9 | % | 2.2 | % |
Six Months Ended June 30, | |||||||||||
(in thousands, except per share data) | 2021 | 2020 | |||||||||
Net income | $ | 166,114 | $ | 142,628 | |||||||
Diluted earnings per share | $ | 1.89 | $ | 1.64 | |||||||
Weighted average shares outstanding - diluted | 88,019 | 87,152 |
ANSYS, INC. AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||||||||||
Reconciliations of GAAP to Non-GAAP Measures | |||||||||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||||||||||
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||
(in thousands, except percentages and per share data) | Revenue | Gross Profit | % | Operating Income | % | Net Income | EPS - Diluted1 | ||||||||||||||||||||||||||||||||||
Total GAAP | $ | 446,654 | $ | 382,496 | 85.6 | % | $ | 116,773 | 26.1 | % | $ | 93,716 | $ | 1.06 | |||||||||||||||||||||||||||
Acquisition accounting for deferred revenue | 5,896 | 5,896 | 0.2 | % | 5,896 | 0.9 | % | 5,896 | 0.07 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | 3,519 | 0.8 | % | 42,885 | 9.5 | % | 42,885 | 0.48 | ||||||||||||||||||||||||||||||||
Excess payroll taxes related to stock-based awards | — | 182 | 0.1 | % | 2,319 | 0.6 | % | 2,319 | 0.03 | ||||||||||||||||||||||||||||||||
Amortization of intangible assets from acquisitions | — | 15,025 | 3.3 | % | 19,459 | 4.3 | % | 19,459 | 0.22 | ||||||||||||||||||||||||||||||||
Transaction expenses related to business combinations | — | — | — | % | 1,321 | 0.3 | % | 1,321 | 0.02 | ||||||||||||||||||||||||||||||||
Adjustment for income tax effect | — | — | — | % | — | — | % | (2,997) | (0.03) | ||||||||||||||||||||||||||||||||
Total non-GAAP | $ | 452,550 | $ | 407,118 | 90.0 | % | $ | 188,653 | 41.7 | % | $ | 162,599 | $ | 1.85 |
Three Months Ended | |||||||||||||||||||||||||||||||||||||||||
June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||
(in thousands, except percentages and per share data) | Revenue | Gross Profit | % | Operating Income | % | Net Income | EPS - Diluted1 | ||||||||||||||||||||||||||||||||||
Total GAAP | $ | 385,661 | $ | 331,801 | 86.0 | % | $ | 112,807 | 29.3 | % | $ | 96,564 | $ | 1.11 | |||||||||||||||||||||||||||
Acquisition accounting for deferred revenue | 4,040 | 4,040 | 0.2 | % | 4,040 | 0.7 | % | 4,040 | 0.05 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | 3,464 | 0.8 | % | 34,130 | 8.9 | % | 34,130 | 0.40 | ||||||||||||||||||||||||||||||||
Excess payroll taxes related to stock-based awards | — | 166 | 0.1 | % | 1,876 | 0.4 | % | 1,876 | 0.02 | ||||||||||||||||||||||||||||||||
Amortization of intangible assets from acquisitions | — | 9,764 | 2.5 | % | 13,927 | 3.6 | % | 13,927 | 0.16 | ||||||||||||||||||||||||||||||||
Transaction expenses related to business combinations | — | — | — | % | 309 | — | % | 309 | — | ||||||||||||||||||||||||||||||||
Rabbi trust (income) / expense | — | — | — | % | — | — | % | (1) | — | ||||||||||||||||||||||||||||||||
Adjustment for income tax effect | — | — | — | % | — | — | % | (16,518) | (0.19) | ||||||||||||||||||||||||||||||||
Total non-GAAP | $ | 389,701 | $ | 349,235 | 89.6 | % | $ | 167,089 | 42.9 | % | $ | 134,327 | $ | 1.55 |
ANSYS, INC. AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||||||||||
Reconciliations of GAAP to Non-GAAP Measures | |||||||||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||||||||
Six Months Ended | |||||||||||||||||||||||||||||||||||||||||
June 30, 2021 | |||||||||||||||||||||||||||||||||||||||||
(in thousands, except percentages and per share data) | Revenue | Gross Profit | % | Operating Income | % | Net Income | EPS - Diluted1 | ||||||||||||||||||||||||||||||||||
Total GAAP | $ | 809,880 | $ | 683,619 | 84.4 | % | $ | 166,795 | 20.6 | % | $ | 166,114 | $ | 1.89 | |||||||||||||||||||||||||||
Acquisition accounting for deferred revenue | 14,819 | 14,819 | 0.3 | % | 14,819 | 1.4 | % | 14,819 | 0.17 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | 7,081 | 0.9 | % | 78,004 | 9.5 | % | 78,004 | 0.88 | ||||||||||||||||||||||||||||||||
Excess payroll taxes related to stock-based awards | — | 1,047 | 0.1 | % | 11,454 | 1.4 | % | 11,454 | 0.13 | ||||||||||||||||||||||||||||||||
Amortization of intangible assets from acquisitions | — | 29,974 | 3.6 | % | 38,815 | 4.7 | % | 38,815 | 0.44 | ||||||||||||||||||||||||||||||||
Transaction expenses related to business combinations | — | — | — | % | 3,291 | 0.4 | % | 3,291 | 0.04 | ||||||||||||||||||||||||||||||||
Adjustment for income tax effect | — | — | — | % | — | — | % | (50,976) | (0.58) | ||||||||||||||||||||||||||||||||
Total non-GAAP | $ | 824,699 | $ | 736,540 | 89.3 | % | $ | 313,178 | 38.0 | % | $ | 261,521 | $ | 2.97 |
Six Months Ended | |||||||||||||||||||||||||||||||||||||||||
June 30, 2020 | |||||||||||||||||||||||||||||||||||||||||
(in thousands, except percentages and per share data) | Revenue | Gross Profit | % | Operating Income | % | Net Income | EPS - Diluted1 | ||||||||||||||||||||||||||||||||||
Total GAAP | $ | 690,646 | $ | 586,670 | 84.9 | % | $ | 146,880 | 21.3 | % | $ | 142,628 | $ | 1.64 | |||||||||||||||||||||||||||
Acquisition accounting for deferred revenue | 7,952 | 7,952 | 0.2 | % | 7,952 | 0.9 | % | 7,952 | 0.09 | ||||||||||||||||||||||||||||||||
Stock-based compensation expense | — | 6,330 | 1.0 | % | 65,071 | 9.4 | % | 65,071 | 0.75 | ||||||||||||||||||||||||||||||||
Excess payroll taxes related to stock-based awards | — | 689 | 0.1 | % | 8,859 | 1.2 | % | 8,859 | 0.10 | ||||||||||||||||||||||||||||||||
Amortization of intangible assets from acquisitions | — | 19,316 | 2.7 | % | 27,641 | 4.0 | % | 27,641 | 0.32 | ||||||||||||||||||||||||||||||||
Transaction expenses related to business combinations | — | — | — | % | 1,259 | 0.1 | % | 1,259 | 0.01 | ||||||||||||||||||||||||||||||||
Rabbi trust (income) / expense | — | — | — | % | — | — | % | (5) | — | ||||||||||||||||||||||||||||||||
Adjustment for income tax effect | — | — | — | % | — | — | % | (46,773) | (0.54) | ||||||||||||||||||||||||||||||||
Total non-GAAP | $ | 698,598 | $ | 620,957 | 88.9 | % | $ | 257,662 | 36.9 | % | $ | 206,632 | $ | 2.37 |
GAAP Reporting Measure | Non-GAAP Reporting Measure | ||||
Revenue | Non-GAAP Revenue | ||||
Gross Profit | Non-GAAP Gross Profit | ||||
Gross Profit Margin | Non-GAAP Gross Profit Margin | ||||
Operating Income | Non-GAAP Operating Income | ||||
Operating Profit Margin | Non-GAAP Operating Profit Margin | ||||
Net Income | Non-GAAP Net Income | ||||
Diluted Earnings Per Share | Non-GAAP Diluted Earnings Per Share |
(in thousands) | June 30, 2021 | December 31, 2020 | Change | ||||||||||||||
Cash, cash equivalents and short-term investments | $ | 958,208 | $ | 913,151 | $ | 45,057 | |||||||||||
Working capital | $ | 1,026,979 | $ | 990,412 | $ | 36,567 |
(in thousands, except percentages) | June 30, 2021 | % of Total | December 31, 2020 | % of Total | |||||||||||||||||||
Domestic | $ | 629,055 | 65.6 | $ | 582,882 | 63.8 | |||||||||||||||||
Foreign | 329,153 | 34.4 | 330,269 | 36.2 | |||||||||||||||||||
Total | $ | 958,208 | $ | 913,151 |
Six Months Ended June 30, | |||||||||||||||||
(in thousands) | 2021 | 2020 | Change | ||||||||||||||
Net cash provided by operating activities | $ | 289,984 | $ | 279,004 | $ | 10,980 |
Six Months Ended June 30, | |||||||||||||||||
(in thousands) | 2021 | 2020 | Change | ||||||||||||||
Net cash used in investing activities | $ | (116,324) | $ | (119,566) | $ | 3,242 |
Six Months Ended June 30, | |||||||||||||||||
(in thousands) | 2021 | 2020 | Change | ||||||||||||||
Net cash used in financing activities | $ | (122,103) | $ | (285,551) | $ | 163,448 |
Six Months Ended | |||||||||||
(in thousands, except per share data) | June 30, 2021 | June 30, 2020 | |||||||||
Number of shares repurchased | — | 690 | |||||||||
Average price paid per share | $ | — | $ | 233.48 | |||||||
Total cost | $ | — | $ | 161,029 |
(in thousands) | Three Months Ended June 30, 2021 | Six Months Ended June 30, 2021 | |||||||||
Euro | $ | 6,095 | $ | 12,215 | |||||||
South Korean Won | 1,695 | 3,064 | |||||||||
British Pound | 1,224 | 2,044 | |||||||||
Other | 185 | 1,788 | |||||||||
Total | $ | 9,199 | $ | 19,111 |
Period-End Exchange Rates | |||||||||||
As of | EUR/USD | USD/JPY | |||||||||
June 30, 2021 | 1.19 | 111.12 | |||||||||
December 31, 2020 | 1.22 | 103.27 | |||||||||
June 30, 2020 | 1.12 | 107.94 |
Average Exchange Rates | |||||||||||
Three Months Ended | EUR/USD | USD/JPY | |||||||||
June 30, 2021 | 1.21 | 109.45 | |||||||||
June 30, 2020 | 1.10 | 107.55 |
Average Exchange Rates | |||||||||||
Six Months Ended | EUR/USD | USD/JPY | |||||||||
June 30, 2021 | 1.21 | 107.65 | |||||||||
June 30, 2020 | 1.10 | 108.27 |
Exhibit No. | Exhibit | |||||||
10.27 | ||||||||
10.28 | ||||||||
10.29 | ||||||||
10.30 | ||||||||
10.31 | ||||||||
15 | ||||||||
31.1 | ||||||||
31.2 | ||||||||
32.1 | ||||||||
32.2 | ||||||||
101.INS | Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document) | |||||||
101.SCH | Inline XBRL Taxonomy Extension Schema | |||||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase | |||||||
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase | |||||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase | |||||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase | |||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) | |||||||
* | Indicates management contract or compensatory plan, contract or arrangement. |
ANSYS, Inc. | |||||||||||
Date: | August 4, 2021 | By: | /s/ Ajei S. Gopal | ||||||||
Ajei S. Gopal | |||||||||||
President and Chief Executive Officer | |||||||||||
(Principal Executive Officer) | |||||||||||
Date: | August 4, 2021 | By: | /s/ Nicole Anasenes | ||||||||
Nicole Anasenes | |||||||||||
Chief Financial Officer and Senior Vice President, Finance | |||||||||||
(Principal Financial Officer and Principal Accounting Officer) |
Participant: | __________________ | |||||||
Type of Grant: | Performance-based Restricted Stock Units | |||||||
Date of Grant: | ____________, 20__ | |||||||
Total Target Number of PRSUs: | _____________ PRSUs | |||||||
Performance Period: | January 1, 20__ through December 31, 20__ | |||||||
Potential Payout %: | From 0% to 200% | |||||||
Vesting Terms: | Subject to the terms and conditions set forth in the Agreement and in the Statement of Performance Goals, the PRSUs shall become earned (“Earned PRSUs”) to the extent that the performance goals for the PRSUs are achieved, as set forth or contemplated in the Statement of Performance Goals, provided (except as otherwise provided in the Agreement) that the Participant has remained in continuous employment with the Company or a Subsidiary through the last day of the Performance Period. |
Participant: | __________________ | ||||
Type of Grant: | Performance-based Restricted Stock Units | ||||
Date of Grant: | ____________, 20__ | ||||
Total Target Number of PRSUs: | _____________ PRSUs | ||||
Total Target Number of PRSUs Consists of the Following (each, a “Tranche” or a “Performance Period”): _____________ target PRSUs subject to a Performance Period beginning on January 1, 20__ and ending on December 31, 20__ (the “Year 1 PRSUs”); _____________ target PRSUs subject to a Performance Period beginning on January 1, 20__ and ending on December 31, 20__ (the “Year 2 PRSUs”);and _____________ target PRSUs subject to a Performance Period beginning on January 1, 20__ and ending on December 31, 20__ (the “Final Performance Period,” and such PRSUs, the “Year 3 PRSUs”). | |||||
Potential Payout % for Each Tranche: | From 0% to 200% of target | ||||
Vesting Terms: | Subject to the terms and conditions set forth in the Agreement and in the Statement of Performance Goals, the PRSUs shall become earned (“Earned PRSUs”) to the extent that the performance goals for each Tranche of the PRSUs are achieved, as set forth or contemplated in the Statement of Performance Goals, provided (except as otherwise provided in the Agreement) that the Participant has remained in continuous employment with the Company or a Subsidiary through the last day of the Final Performance Period. |
Participant: | ____________________ | ||||
Type of Grant: | Restricted Stock Units | ||||
Date of Grant: | _________________, 20__ | ||||
Number of RSUs: | _______________ | ||||
Vesting Schedule: | Subject to the conditions set forth in the Agreement and the Plan, including but not limited to the Participant’s continued service as a member of the Board, the RSUs shall become vested on the date that is the earlier of (a) the one-year anniversary of the Date of Grant or (b) the date of the Company’s next regular annual meeting of Stockholders which occurs after the Date of Grant. |
Participant: | ____________________ | ||||
Type of Grant: | Restricted Stock Units | ||||
Date of Grant: | _________________, 20__ | ||||
Number of RSUs: | _______________ | ||||
Vesting Schedule: | Subject to the conditions set forth in the Agreement, including but not limited to the Participant’s continuous employment with the Company or a Subsidiary until the applicable vesting date, the RSUs shall become vested as follows: ________ RSUs on _______, 20__; ________ RSUs on _______, 20__; and ________ RSUs on _______, 20__. |
Date: | August 4, 2021 | /s/ Ajei S. Gopal | ||||||
Ajei S. Gopal | ||||||||
President and Chief Executive Officer | ||||||||
(Principal Executive Officer) |
Date: | August 4, 2021 | /s/ Nicole Anasenes | ||||||
Nicole Anasenes | ||||||||
Chief Financial Officer and Senior Vice President, Finance | ||||||||
(Principal Financial Officer and Principal Accounting Officer) |
/s/ Ajei S. Gopal | ||
Ajei S. Gopal | ||
President and Chief Executive Officer | ||
(Principal Executive Officer) | ||
August 4, 2021 |
/s/ Nicole Anasenes | ||
Nicole Anasenes | ||
Chief Financial Officer and Senior Vice President, Finance | ||
(Principal Financial Officer and Principal Accounting Officer) | ||
August 4, 2021 |
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands |
Jun. 30, 2021 |
Dec. 31, 2020 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 14,600 | $ 14,000 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 95,267,307 | 95,266,320 |
Treasury stock, shares | 8,066,350 | 8,693,809 |
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Revenue: | ||||
Total revenue | $ 446,654 | $ 385,661 | $ 809,880 | $ 690,646 |
Cost of sales: | ||||
Amortization | 15,025 | 9,764 | 29,974 | 19,316 |
Total cost of sales | 64,158 | 53,860 | 126,261 | 103,976 |
Gross profit | 382,496 | 331,801 | 683,619 | 586,670 |
Operating expenses: | ||||
Selling, general and administrative | 160,410 | 128,698 | 306,625 | 259,220 |
Research and development | 100,879 | 86,133 | 201,358 | 172,245 |
Amortization | 4,434 | 4,163 | 8,841 | 8,325 |
Total operating expenses | 265,723 | 218,994 | 516,824 | 439,790 |
Operating income | 116,773 | 112,807 | 166,795 | 146,880 |
Interest income | 486 | 934 | 1,003 | 3,709 |
Interest expense | (3,336) | (3,040) | (6,651) | (6,691) |
Other income, net | 14,937 | 1,884 | 15,336 | 2,011 |
Income before income tax provision | 128,860 | 112,585 | 176,483 | 145,909 |
Income tax provision | 35,144 | 16,021 | 10,369 | 3,281 |
Net income | $ 93,716 | $ 96,564 | $ 166,114 | $ 142,628 |
Earnings per share – basic: | ||||
Earnings per share | $ 1.08 | $ 1.13 | $ 1.91 | $ 1.66 |
Weighted average shares | 87,168 | 85,651 | 86,988 | 85,724 |
Earnings per share – diluted: | ||||
Earnings per share | $ 1.06 | $ 1.11 | $ 1.89 | $ 1.64 |
Weighted average shares | 88,053 | 86,934 | 88,019 | 87,152 |
Software licenses | ||||
Revenue: | ||||
Total revenue | $ 214,822 | $ 169,341 | $ 347,426 | $ 257,171 |
Cost of sales: | ||||
Total cost of sales | 8,065 | 8,511 | 15,671 | 13,437 |
Maintenance and service | ||||
Revenue: | ||||
Total revenue | 231,832 | 216,320 | 462,454 | 433,475 |
Cost of sales: | ||||
Total cost of sales | $ 41,068 | $ 35,585 | $ 80,616 | $ 71,223 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Net income | $ 93,716 | $ 96,564 | $ 166,114 | $ 142,628 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 4,217 | 10,288 | (15,047) | (14,004) |
Comprehensive income | $ 97,933 | $ 106,852 | $ 151,067 | $ 128,624 |
Organization |
6 Months Ended |
---|---|
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization ANSYS, Inc. (Ansys, we, us, our) develops and globally markets engineering simulation software and services widely used by engineers, designers, researchers and students across a broad spectrum of industries and academia, including aerospace and defense, automotive, electronics, semiconductors, energy, turbomachinery, consumer products, and healthcare. As defined by the accounting guidance for segment reporting, we operate as one segment. Given the integrated approach to the multi-discipline problem-solving needs of our customers, a single sale of software may contain components from multiple product areas and include combined technologies. We also have a multi-year product and integration strategy that will result in new, combined products or changes to the historical product offerings. As a result, it is impracticable for us to provide accurate historical or current reporting among our various product lines. The COVID-19 pandemic has had, and may continue to have, an impact on our business and employees, particularly as new variants emerge.
|
Accounting Policies |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies | Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information for commercial and industrial companies, the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements (and notes thereto) included in our Annual Report on Form 10-K for the year ended December 31, 2020 (2020 Form 10-K). The condensed consolidated December 31, 2020 balance sheet presented is derived from the audited December 31, 2020 balance sheet included in the 2020 Form 10-K. In our opinion, all adjustments considered necessary for a fair presentation of the financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the three and six months ended June 30, 2021 are not necessarily indicative of the results that may be expected for any future period. Recently Adopted Accounting Guidance Income taxes: In December 2019, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (ASU 2019-12), as part of its initiative to reduce complexity in the accounting standards. The amendments in ASU 2019-12 eliminated certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. ASU 2019-12 also clarified and simplified other aspects of the accounting for income taxes. We adopted ASU 2019-12 on January 1, 2021 with no material impact to our condensed consolidated financial statements. Cash and Cash Equivalents Cash and cash equivalents consist primarily of highly liquid investments such as deposits held at major banks and money market funds. Cash equivalents are carried at cost, which approximates fair value. Our cash and cash equivalents balances comprise the following:
Our money market fund balances are held in various funds of two issuers.
|
Revenue from Contracts with Customers |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contracts with Customers | Revenue from Contracts with Customers Disaggregation of Revenue The following table summarizes revenue:
Our software licenses revenue is recognized up front, while maintenance and service revenue is generally recognized over the term of the contract. Deferred Revenue Deferred revenue consists of billings made or payments received in advance of revenue recognition from customer agreements. The timing of revenue recognition may differ from the timing of billings to customers. Payment terms vary by the type and location of customer and the products or services offered. The time between invoicing and when payment is due is not significant. The changes in deferred revenue, inclusive of both current and long-term deferred revenue, during the six months ended June 30, 2021 and 2020 were as follows:
Total revenue allocated to remaining performance obligations as of June 30, 2021 will be recognized as revenue as follows:
Revenue allocated to remaining performance obligations represents contracted revenue that has not yet been recognized, which includes both deferred revenue and backlog. Our backlog represents installment billings for periods beyond the current quarterly billing cycle. Revenue recognized during the six months ended June 30, 2021 and 2020 included amounts in deferred revenue and backlog at the beginning of the period of $373.7 million and $343.9 million, respectively.
|
Acquisitions |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Business Combinations [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisitions | Acquisitions During the six months ended June 30, 2021 we completed several acquisitions to expand our solution offerings and enhance our customers' experience. The effects of the acquisitions were not material to our condensed consolidated results of operations individually or in the aggregate. The combined purchase price of the acquisitions during the six months ended June 30, 2021 was approximately $110.8 million, which was paid in cash. The assets and liabilities of the acquisitions have been recorded based upon management's estimates of their fair market values as of each respective date of acquisition. The following tables summarize the fair value of consideration transferred and the fair values of identified assets acquired and liabilities assumed for the combined acquisitions at each respective date of acquisition: Fair Value of Consideration Transferred:
Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed:
The goodwill, which is not tax-deductible, is attributed to intangible assets that do not qualify for separate recognition, including the assembled workforces of the acquired businesses and the synergies expected to arise as a result of the acquisitions. The fair values of the assets acquired and liabilities assumed are based on preliminary calculations. The estimates and assumptions for these items are subject to change as additional information about what was known and knowable at each respective acquisition date is obtained during the measurement period (up to one year from the acquisition date). On December 1, 2020, we acquired 100% of the shares of Analytical Graphics, Inc. (AGI), a premier provider of mission-simulation, modeling, testing and analysis software for aerospace, defense and intelligence applications. The acquisition expands the scope of our offerings, empowering users to solve challenges by simulating from the chip level all the way to a customer's entire mission. The purchase price was approximately $720.6 million, inclusive of net working capital adjustments. On April 1, 2020, we acquired 100% of the shares of Lumerical Inc. (Lumerical), a leading developer of photonic design and simulation tools, for a purchase price of approximately $107.5 million, which was paid in cash. The acquisition adds best-in-class photonic products to our multiphysics portfolio, providing customers with a full set of solutions to solve their next-generation product challenges. The operating results of each acquisition have been included in our condensed consolidated financial statements since each respective date of acquisition.
|
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities | Other Receivables and Current Assets and Other Accrued Expenses and Liabilities Our other receivables and current assets and other accrued expenses and liabilities comprise the following balances:
Receivables related to unrecognized revenue represent the current portion of billings made for customer contracts that have not yet been recognized as revenue.
|
Earnings Per Share |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings Per Share Basic earnings per share (EPS) amounts are computed by dividing earnings by the weighted average number of common shares outstanding during the period. Diluted EPS amounts assume the issuance of common stock for all potentially dilutive equivalents outstanding. To the extent stock awards are anti-dilutive, they are excluded from the calculation of diluted EPS. The details of basic and diluted EPS are as follows:
|
Goodwill and Intangible Assets |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets | Goodwill and Intangible Assets Intangible assets are classified as follows:
Finite-lived intangible assets are amortized over their estimated useful lives of two years to seventeen years. Amortization expense for the intangible assets reflected above was $19.5 million and $13.9 million for the three months ended June 30, 2021 and 2020, respectively. Amortization expense for the intangible assets reflected above was $38.8 million and $27.6 million for the six months ended June 30, 2021 and 2020, respectively As of June 30, 2021, estimated future amortization expense for the intangible assets reflected above was as follows:
The changes in goodwill during the six months ended June 30, 2021 and 2020 were as follows:
(1) In accordance with the accounting for business combinations, we recorded adjustments to goodwill for the effect of changes in the provisional fair values of the assets acquired and liabilities assumed during the measurement period (up to one year from the acquisition date) as we obtained new information about facts and circumstances that existed as of the acquisition date that, if known, would have affected the measurement of the amounts recognized as of that date. During the first quarter of 2021, we completed the annual impairment test for goodwill and the indefinite-lived intangible asset and determined that these assets had not been impaired as of the test date, January 1, 2021. No other events or circumstances changed during the six months ended June 30, 2021 that would indicate that the fair values of our reporting unit and indefinite-lived intangible asset are below their carrying amounts.
|
Fair Value Measurement |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurement | Fair Value Measurement The valuation hierarchy for disclosure of assets and liabilities reported at fair value prioritizes the inputs for such valuations into three broad levels: •Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities; •Level 2: quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument; or •Level 3: unobservable inputs based on our own assumptions used to measure assets and liabilities at fair value. A financial asset's or liability's classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. Our long-term debt is classified within Level 2 of the fair value hierarchy because these borrowings are not actively traded and have a variable interest rate structure based upon market rates. The carrying amount of our long-term debt approximates the estimated fair value. See Note 10, "Debt", for additional information on our borrowings. The following tables provide the assets carried at fair value and measured on a recurring basis:
The cash equivalents in the preceding tables represent money market funds, valued at net asset value, with carrying values which approximate their fair values because of their short-term nature. The short-term investments in the preceding tables represent deposits held by certain foreign subsidiaries. The deposits have fixed interest rates with original maturities ranging from three months to one year. The deferred compensation plan investments in the preceding tables represent trading securities held in a rabbi trust for the benefit of non-employee directors. These securities consist of mutual funds traded in an active market with quoted prices. As a result, the plan assets are classified as Level 1 in the fair value hierarchy. The plan assets are recorded within other long-term assets on our condensed consolidated balance sheets. The equity securities represent our investment in a publicly traded company. These securities are traded in an active market with quoted prices. As a result, the securities are classified as Level 1 in the fair value hierarchy. The securities are recorded within other long-term assets on our condensed consolidated balance sheets.
|
Leases |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases | Leases Our right-of-use (ROU) assets and lease liabilities primarily include operating leases for office space. Our executive offices and those related to certain domestic product development, marketing, production and administration are located in a 186,000 square foot office facility in Canonsburg, Pennsylvania. The term of the lease is 183 months, which began on October 1, 2014 and expires on December 31, 2029. The lease agreement includes options to renew the contract through August 2044, an option to lease additional space in January 2025 and an option to terminate the lease in December 2025. No options are included in the lease liability as renewal is not reasonably certain. In addition, we are reasonably certain we will not terminate the lease agreement. Absent the exercise of options in the lease, our remaining base rent (inclusive of property taxes and certain operating costs) is $4.5 million per annum through 2024 and $4.7 million per annum for 2025 - 2029. The components of our global lease cost reflected in the condensed consolidated statements of income are as follows:
(1) Variable lease cost includes common area maintenance, property taxes, utilities and fluctuations in rent due to a change in an index or rate. Other information related to operating leases is as follows:
The maturity schedule of the operating lease liabilities as of June 30, 2021 is as follows:
(1) Includes the current portion of operating lease liabilities of $24.0 million, which is reflected in other accrued expenses and liabilities in the condensed consolidated balance sheets. There were no material leases that have been signed but not yet commenced as of June 30, 2021.
|
Debt |
6 Months Ended |
---|---|
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt In February 2019, we entered into a credit agreement for a $500.0 million unsecured revolving credit facility, which includes a $50.0 million sublimit for the issuance of letters of credit (Revolving Credit Facility), with Bank of America, N.A. as the Administrative Agent. The Revolving Credit Facility becomes payable in full on February 22, 2024 and is available for general corporate purposes, including, among others, to finance acquisitions and capital expenditures. The Revolving Credit Facility had not been utilized as of June 30, 2021. We amended our credit agreement (Amended Credit Agreement) on October 16, 2019. The amendment provided for a new $500.0 million unsecured term loan facility to finance our acquisition of Livermore Software Technology (LST) in the fourth quarter of 2019. The term loan was funded on November 1, 2019 and matures on November 1, 2024. Principal on the term loan will be payable on the last business day of each fiscal quarter commencing with the ninth full fiscal quarter after the funding date at a rate of 1.25% per quarter, increasing to 2.50% per quarter after the next four fiscal quarters. We repaid $75.0 million of the unsecured term loan balance in January 2020 prior to the scheduled maturity dates in 2022 ($25.0 million) and 2023 ($50.0 million). In June 2021, we repaid $26.0 million of the unsecured term loan balance prior to the scheduled maturity date in 2024. In connection with the acquisition of AGI, we entered into a credit agreement (AGI Credit Agreement) on November 9, 2020, with Bank of America, N.A. as the Administrative Agent. The AGI Credit Agreement provided for a new $375.0 million unsecured term loan facility to finance a portion of the cash consideration for the acquisition. The term loan was funded on December 1, 2020 and matures on November 1, 2024. Principal on the term loan will be payable on the last business day of each fiscal quarter commencing with the fifth full fiscal quarter after the funding date at a rate of 1.25% per quarter, increasing to 2.50% per quarter after the next four fiscal quarters. We repaid $19.0 million of the unsecured term loan balance in June 2021 prior to the scheduled maturity dates in 2022 ($18.8 million) and 2023 ($0.2 million). Borrowings under the Amended Credit Agreement and the AGI Credit Agreement (collectively, the Credit Agreements) accrue interest at the Eurodollar rate plus an applicable margin or at the base rate, at our election. For the quarter ended June 30, 2021, we elected to apply the Eurodollar rate. The base rate is the applicable margin plus the highest of (i) the federal funds rate plus 0.500%, (ii) the Bank of America prime rate and (iii) the Eurodollar rate plus 1.000%. The applicable margin for these borrowings is a percentage per annum based on the lower of (1) a pricing level determined by our then-current consolidated leverage ratio and (2) a pricing level determined by our debt ratings (if such debt ratings exist). This results in a margin ranging from 1.125% to 1.750% and 0.125% to 0.750% for the Eurodollar rate and base rate, respectively. The weighted average interest rate in effect during each of the three and six months ended June 30, 2021 was 1.45%. As of June 30, 2021, the rate in effect for the Credit Agreements was 1.40%. The Credit Agreements contain language in the event the Eurodollar rate is not available due to LIBOR changes. If this occurs, the base rate will be used for borrowings. However, we may work with the Administrative Agent to amend the Credit Agreements to replace the Eurodollar rate with (i) one or more rates based on the Secured Overnight Financing Rate (SOFR); or (ii) another alternative benchmark rate, subject to the lenders' approval. The Credit Agreements contain customary representations and warranties, affirmative and negative covenants and events of default. The Credit Agreements also each contain a financial covenant requiring us to maintain a consolidated leverage ratio of indebtedness to earnings before interest, taxes, depreciation and amortization not exceeding 3.50 to 1.00 as of the end of any fiscal quarter (for the four-quarter period ending on such date) with an opportunity for a temporary increase in such consolidated leverage ratio to 4.00 to 1.00 upon the consummation of certain qualified acquisitions for which the aggregate consideration is at least $250.0 million. As of June 30, 2021 and December 31, 2020, the carrying values of the term loans were $753.3 million, which is net of $1.7 million of unamortized debt issuance costs, and $798.1 million, which is net of $1.9 million of unamortized debt issuance costs, respectively. We were in compliance with all covenants as of June 30, 2021 and December 31, 2020.
|
Income Taxes |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income Taxes Our income before income tax provision, income tax provision and effective tax rates were as follows:
Tax expense for the first half of 2021 and 2020 benefited due to increased stock compensation benefits, many of which were recognized discretely in the first quarter of each year. These benefits were partially offset by an increase in non-deductible compensation in 2021.
|
Stock Repurchase Program |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Class of Stock Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Repurchase Program | Stock Repurchase Program Under our stock repurchase program, we repurchased shares as follows:
|
Stock-Based Compensation |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation | Stock-Based CompensationOn May 14, 2021, our stockholders approved the ANSYS, Inc. 2021 Equity and Incentive Compensation Plan (the 2021 Plan). The 2021 Plan is a long-term incentive plan pursuant to which awards may be granted to directors, officers, other employees and certain consultants of Ansys and its subsidiaries. These awards include stock option rights, stock appreciation rights, restricted stock, restricted stock units, cash incentives, performance shares, performance units and other awards. The 2021 Plan authorizes 4.4 million shares of common stock for issuance, plus 1.6 million shares that remained available for issuance under the Fifth Amended and Restated ANSYS, Inc. 1996 Stock Option and Grant Plan (the Predecessor Plan) as of the effective date of the 2021 Plan plus any shares relating to the outstanding awards under the Predecessor Plan or the 2021 Plan that are subsequently forfeited. As of the effective date of the 2021 Plan, grants are no longer made under the Predecessor Plan. Total stock-based compensation expense and its net impact on basic and diluted earnings per share are as follows:
|
Geographic Information |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segments, Geographical Areas [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geographic Information | Geographic Information Revenue to external customers is attributed to individual countries based upon the location of the customer. Revenue by geographic area is as follows:
Property and equipment by geographic area is as follows:
|
Contingencies and Commitments |
6 Months Ended |
---|---|
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Commitments | Contingencies and Commitments We are subject to various investigations, claims and legal proceedings that arise in the ordinary course of business, including commercial disputes, labor and employment matters, tax audits, alleged infringement of third party's intellectual property rights and other matters. In our opinion, the resolution of pending matters is not expected to have a material adverse effect on our consolidated results of operations, cash flows or financial position. However, each of these matters is subject to various uncertainties and it is possible that an unfavorable resolution of one or more of these proceedings could materially affect our results of operations, cash flows or financial position. Our Indian subsidiary has several service tax audits pending that have resulted in formal inquiries being received on transactions through mid-2012. We could incur tax charges and related liabilities of approximately $7.3 million. As such charges are not probable at this time, a reserve has not been recorded on the condensed consolidated balance sheet as of June 30, 2021. The service tax issues raised in our notices and inquiries are very similar to the case, M/s Microsoft Corporation (I) (P) Ltd. Vs. Commissioner of Service Tax, New Delhi, wherein the Delhi Customs, Excise and Service Tax Appellate Tribunal (CESTAT) issued a favorable ruling to Microsoft. The Microsoft ruling was subsequently challenged in the Supreme Court by the Indian tax authority and a decision is still pending. We can provide no assurances on the impact that the present Microsoft case's decision will have on our cases, however, an unfavorable ruling in the Microsoft case may impact our assessment of probability and result in the recording of a $7.3 million reserve. We are uncertain as to when these service tax matters will be concluded. We sell software licenses and services to our customers under contractual agreements. Such agreements generally include certain provisions indemnifying the customer against claims of intellectual property infringement or non-compliance to contractual terms and conditions by third parties arising from such customer’s usage of our products or services. To date, payments related to these indemnification provisions have been immaterial. For several reasons, including the lack of prior material indemnification claims, we cannot determine the maximum amount of potential future payments, if any, related to such indemnification provisions.
|
Accounting Policies (Policies) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information for commercial and industrial companies, the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements (and notes thereto) included in our Annual Report on Form 10-K for the year ended December 31, 2020 (2020 Form 10-K). The condensed consolidated December 31, 2020 balance sheet presented is derived from the audited December 31, 2020 balance sheet included in the 2020 Form 10-K. In our opinion, all adjustments considered necessary for a fair presentation of the financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the three and six months ended June 30, 2021 are not necessarily indicative of the results that may be expected for any future period.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Accounting Policies | Recently Adopted Accounting Guidance Income taxes: In December 2019, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (ASU 2019-12), as part of its initiative to reduce complexity in the accounting standards. The amendments in ASU 2019-12 eliminated certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. ASU 2019-12 also clarified and simplified other aspects of the accounting for income taxes. We adopted ASU 2019-12 on January 1, 2021 with no material impact to our condensed consolidated financial statements.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist primarily of highly liquid investments such as deposits held at major banks and money market funds. Cash equivalents are carried at cost, which approximates fair value. Our cash and cash equivalents balances comprise the following:
Our money market fund balances are held in various funds of two issuers.
|
Accounting Policies (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents | Our cash and cash equivalents balances comprise the following:
|
Revenue from Contracts with Customers (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue | The following table summarizes revenue:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Deferred Revenue | The changes in deferred revenue, inclusive of both current and long-term deferred revenue, during the six months ended June 30, 2021 and 2020 were as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Remaining Performance Obligations, Expected Timing of Satisfaction | Total revenue allocated to remaining performance obligations as of June 30, 2021 will be recognized as revenue as follows:
|
Acquisitions (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Business Combinations [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value of Consideration Transferred | Fair Value of Consideration Transferred:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Recognized Amounts of Identified Assets Acquired and Liabilities Assumed | Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed:
|
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Other Receivables and Current Assets and Other Accrued Expenses and Liabilities | Our other receivables and current assets and other accrued expenses and liabilities comprise the following balances:
|
Earnings Per Share (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Details of Basic and Diluted EPS | The details of basic and diluted EPS are as follows:
|
Goodwill and Intangible Assets (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible Assets (Indefinite-Lived) | Intangible assets are classified as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Intangible Assets (Finite-Lived) | Intangible assets are classified as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Estimated Future Amortization Expense for Intangible Assets | As of June 30, 2021, estimated future amortization expense for the intangible assets reflected above was as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Goodwill | The changes in goodwill during the six months ended June 30, 2021 and 2020 were as follows:
(1) In accordance with the accounting for business combinations, we recorded adjustments to goodwill for the effect of changes in the provisional fair values of the assets acquired and liabilities assumed during the measurement period (up to one year from the acquisition date) as we obtained new information about facts and circumstances that existed as of the acquisition date that, if known, would have affected the measurement of the amounts recognized as of that date.
|
Fair Value Measurement (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value of Assets and Liabilities Measured on Recurring Basis | The following tables provide the assets carried at fair value and measured on a recurring basis:
|
Leases (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Lease Cost | The components of our global lease cost reflected in the condensed consolidated statements of income are as follows:
(1) Variable lease cost includes common area maintenance, property taxes, utilities and fluctuations in rent due to a change in an index or rate.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lessee, Operating Lease Other Information | Other information related to operating leases is as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Maturity of Operating Lease Liabilities | The maturity schedule of the operating lease liabilities as of June 30, 2021 is as follows:
(1) Includes the current portion of operating lease liabilities of $24.0 million, which is reflected in other accrued expenses and liabilities in the condensed consolidated balance sheets.
|
Income Taxes (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Income Tax Provision | Our income before income tax provision, income tax provision and effective tax rates were as follows:
|
Stock Repurchase Program (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Class of Stock Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock Repurchase Program | Under our stock repurchase program, we repurchased shares as follows:
|
Stock-Based Compensation (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based Payment Arrangement [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation Expense and Its Net Impact on Basic and Diluted Earnings Per Share | Total stock-based compensation expense and its net impact on basic and diluted earnings per share are as follows:
|
Geographic Information (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segments, Geographical Areas [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue by Geographic Area | Revenue by geographic area is as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and Equipment by Geographic Area | Property and equipment by geographic area is as follows:
|
Organization (Detail) |
6 Months Ended |
---|---|
Jun. 30, 2021
segment
| |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments | 1 |
Accounting Policies - Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands |
Jun. 30, 2021 |
Dec. 31, 2020 |
---|---|---|
Cash accounts, Amount | $ 556,074 | $ 571,587 |
Money market funds, Amount | 401,630 | 341,085 |
Total | $ 957,704 | $ 912,672 |
Cash | ||
Percent Of Cash And Cash Equivalents | 58.10% | 62.60% |
Money Market Funds | ||
Percent Of Cash And Cash Equivalents | 41.90% | 37.40% |
Accounting Policies - Cash and Cash Equivalents - Additional Information (Detail) |
6 Months Ended |
---|---|
Jun. 30, 2021 | |
Money Market Funds | Money Market Fund Benchmark | Money Market Fund Concentration Risk | |
Cash and Cash Equivalents [Line Items] | |
Concentration risk, % of money market funds with two issuers | 100.00% |
Revenue from Contracts with Customers - Additional Information (Detail) - USD ($) $ in Millions |
6 Months Ended | |
---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Revenue from Contract with Customer [Abstract] | ||
Amount of revenue recognized from beginning deferred revenue and backlog | $ 373.7 | $ 343.9 |
Revenue from Contracts with Customers - Changes in Deferred Revenue (Detail) - USD ($) $ in Thousands |
6 Months Ended | |
---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Movement in Deferred Revenue [Roll Forward] | ||
Beginning balance | $ 388,810 | $ 365,274 |
Acquired deferred revenue | 746 | 1,405 |
Deferral of revenue | 777,714 | 661,790 |
Recognition of revenue | (809,880) | (690,646) |
Currency translation | (5,792) | (1,635) |
Ending balance | $ 351,598 | $ 336,188 |
Acquisitions - Additional Information (Detail) - USD ($) $ in Thousands |
6 Months Ended | ||
---|---|---|---|
Dec. 01, 2020 |
Apr. 01, 2020 |
Jun. 30, 2021 |
|
Series of Individually Immaterial Business Acquisitions | |||
Payments to acquire businesses, gross | $ 110,790 | ||
Analytical Graphics, Inc. | |||
Payments to acquire businesses, gross | $ 720,600 | ||
Percentage of shares acquired | 100.00% | ||
Lumerical | |||
Payments to acquire businesses, gross | $ 107,500 | ||
Percentage of shares acquired | 100.00% |
Fair Value of Consideration Transferred (Details) $ in Thousands |
6 Months Ended |
---|---|
Jun. 30, 2021
USD ($)
| |
Series of Individually Immaterial Business Acquisitions | |
Cash | $ 110,790 |
Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed (Details) - Series of Individually Immaterial Business Acquisitions $ in Thousands |
6 Months Ended |
---|---|
Jun. 30, 2021
USD ($)
| |
Cash | $ 4,320 |
Accounts receivable and other tangible assets | 2,854 |
Accounts payable and other liabilities | (2,834) |
Deferred revenue | (746) |
Net deferred tax liabilities | (7,311) |
Total identifiable net assets | 31,783 |
Goodwill | 79,007 |
Developed Software and Core Technologies | |
Finite-lived intangible assets | $ 32,200 |
Finite-lived intangible asset, useful life | 12 years |
Customer Lists | |
Finite-lived intangible assets | $ 2,300 |
Finite-lived intangible asset, useful life | 9 years |
Trade Names | |
Finite-lived intangible assets | $ 1,000 |
Finite-lived intangible asset, useful life | 10 years |
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities (Details) - USD ($) $ in Thousands |
Jun. 30, 2021 |
Dec. 31, 2020 |
---|---|---|
Other Receivables and Current Assets and Other Accrued Expenses and Liabilities [Abstract] | ||
Receivables related to unrecognized revenue | $ 113,354 | $ 192,154 |
Income taxes receivable, including overpayments and refunds | 45,879 | 31,628 |
Prepaid expenses and other current assets | 55,259 | 44,740 |
Total other receivables and current assets | 214,492 | 268,522 |
Accrued vacation | 41,656 | 34,132 |
Consumption, VAT and sales tax liabilities | 25,321 | 45,156 |
Accrued expenses and other current liabilities | 119,568 | 120,178 |
Total other accrued expenses and liabilities | $ 186,545 | $ 199,466 |
Earnings Per Share - Details of Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||||
---|---|---|---|---|---|---|
Jun. 30, 2021 |
Mar. 31, 2021 |
Jun. 30, 2020 |
Mar. 31, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Earnings Per Share [Abstract] | ||||||
Net income | $ 93,716 | $ 72,398 | $ 96,564 | $ 46,064 | $ 166,114 | $ 142,628 |
Weighted average shares outstanding – basic | 87,168 | 85,651 | 86,988 | 85,724 | ||
Dilutive effect of stock plans | 885 | 1,283 | 1,031 | 1,428 | ||
Weighted average shares outstanding – diluted | 88,053 | 86,934 | 88,019 | 87,152 | ||
Basic earnings per share | $ 1.08 | $ 1.13 | $ 1.91 | $ 1.66 | ||
Diluted earnings per share | $ 1.06 | $ 1.11 | $ 1.89 | $ 1.64 | ||
Anti-dilutive shares | 31 | 26 | 29 | 27 |
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Amortization of intangible assets | $ 19.5 | $ 13.9 | $ 38.8 | $ 27.6 |
Minimum | ||||
Finite-lived Intangible asset, useful life | 2 years | |||
Maximum | ||||
Finite-lived Intangible asset, useful life | 17 years |
Goodwill and Intangible Assets - Estimated Future Amortization Expense for Intangible Assets (Detail) - USD ($) $ in Thousands |
Jun. 30, 2021 |
Dec. 31, 2020 |
---|---|---|
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2021 | $ 36,684 | |
2022 | 78,527 | |
2023 | 80,665 | |
2024 | 80,069 | |
2025 | 77,767 | |
2026 | 75,567 | |
Thereafter | 259,762 | |
Total intangible assets subject to amortization | 689,041 | |
Indefinite-lived trade name | 357 | |
Other intangible assets, net | $ 689,398 | $ 694,865 |
Goodwill and Intangible Assets - Changes in Goodwill (Detail) - USD ($) $ in Thousands |
6 Months Ended | |
---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Goodwill [Roll Forward] | ||
Beginning balance | $ 3,038,306 | $ 2,413,280 |
Acquisitions and adjustments | 78,610 | 69,330 |
Currency translation | (6,180) | (8,311) |
Ending balance | $ 3,110,736 | $ 2,474,299 |
Fair Value Measurement - Additional Information (Detail) |
6 Months Ended |
---|---|
Jun. 30, 2021 | |
Minimum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Short-term investments maturity | 3 months |
Maximum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Short-term investments maturity | 1 year |
Leases - Additional Information (Detail) $ in Millions |
Jun. 30, 2021
USD ($)
ft²
|
---|---|
Lessee, Lease, Description [Line Items] | |
Current portion of operating lease liabilities | $ 24.0 |
Canonsburg Office, New Company Headquarters | |
Lessee, Lease, Description [Line Items] | |
Area of real estate property | ft² | 186,000 |
Period of leased property | 183 months |
Base rent through 2024 | $ 4.5 |
Base rent 2025-2029 | $ 4.7 |
Leases - Schedule of Lease Cost (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Leases [Abstract] | ||||
Lease liability cost | $ 7,138 | $ 6,280 | $ 14,139 | $ 12,498 |
Variable lease cost not included in the lease liability | 904 | 1,224 | 2,186 | 2,321 |
Total lease cost | $ 8,042 | $ 7,504 | $ 16,325 | $ 14,819 |
Leases - Lessee, Operating Lease Other Information (Detail) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Leases [Abstract] | ||||
Operating cash flows from operating leases | $ (7,139) | $ (5,668) | $ (13,966) | $ (11,401) |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 5,007 | $ 642 | $ 5,594 | $ 20,243 |
Weighted-average remaining lease term of operating leases | 6 years 10 months 24 days | 7 years 8 months 12 days | 6 years 10 months 24 days | 7 years 8 months 12 days |
Weighted-average discount rate of operating leases | 3.00% | 3.30% | 3.00% | 3.30% |
Leases - Schedule of Maturity of Operating Lease Liabilities (Detail) $ in Thousands |
Jun. 30, 2021
USD ($)
|
---|---|
Leases [Abstract] | |
Remainder of 2021 | $ 14,238 |
2022 | 25,593 |
2023 | 20,018 |
2024 | 18,734 |
2025 | 17,708 |
Thereafter | 50,813 |
Total future lease payments | 147,104 |
Less: Present value adjustment | (14,934) |
Present value of future lease payments | $ 132,170 |
Income Taxes - Schedule of Income Tax Benefit (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2021 |
Jun. 30, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Income Tax Disclosure [Abstract] | ||||
Income before income tax provision | $ 128,860 | $ 112,585 | $ 176,483 | $ 145,909 |
Income tax provision | $ 35,144 | $ 16,021 | $ 10,369 | $ 3,281 |
Effective tax rate | 27.30% | 14.20% | 5.90% | 2.20% |
Stock Repurchase Program (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | |
---|---|---|---|
Mar. 31, 2020 |
Jun. 30, 2021 |
Jun. 30, 2020 |
|
Class of Stock Disclosures [Abstract] | |||
Number of shares repurchased | 0 | 690 | |
Average price paid per share | $ 0 | $ 233.48 | |
Total cost | $ 161,029 | $ 0 | $ 161,029 |
Stock Repurchase Program - Additional Information (Detail) shares in Millions |
Jun. 30, 2021
shares
|
---|---|
Class of Stock Disclosures [Abstract] | |
Stock repurchase program, remaining number of shares authorized to be repurchased | 2.8 |
Stock-Based Compensation - Additional Information (Detail) shares in Millions |
6 Months Ended |
---|---|
Jun. 30, 2021
shares
| |
Share-based Payment Arrangement [Abstract] | |
2021 Plan number of shares authorized | 4.4 |
Predecessor Plan shares that remained available for issuance | 1.6 |
Contingencies and Commitments (Detail) $ in Millions |
Jun. 30, 2021
USD ($)
|
---|---|
India Service Tax Audit | |
Loss Contingencies [Line Items] | |
Loss contingency, estimate of possible loss | $ 7.3 |
.<#%:#4ZJS*X7-*$X'E-UX4)")FH_&=2)^.7I7JP%5)4,PKN2
MI4":_Q!NIK;T %-K9;E@23*9HH-($;]*=17PK) ZY 5J<("MZ7[U7Y9E7IL=
ME'O";,$(21):)="&$4*#* =YIHS8&;;_,]-V0U(
MXW9.7+69!\1\-S#5",D=Z'\P<:<2\*D=\(^"6 J /0T Y5A4"BV-H)NS3L15TM4AQK/D,HJY1>#P&VE2=[
MXKQC4N3X;BM**RQSC0,U0QQCDBZ!$E!G;]I\51Y]DQU%VA>MG4R$&4$^I*Q*
MCJ3 @,6KN8F"40DQ":F;PU5;)WOB-3S6ULR?1C0+RJ* M6G0UIC59-(&[U9<
M:VQ&N01:3("_&0=RJ #*QQ5;6
MPH[U3C;H66M3"X=/LYG8G9&B]$9U-4GC>#:IA6I&9R?^WZ4Y.]&MJU0C+PW9
MMJZ%N;N0E;XY'26C_L>5VFP=_YB W
M=C?(4-6D7%CQN[M2-0>78F,TT)<)@(??9_N9^.2!L%Y+YDN\JQKA HZ>6.T"
M(P-0:@)J-P11RAMR34D4485F D6=QZ E$EH0V,Q\$K8HX%7BY[W5LJ*_'#C"
M(:&2F"@!K&!.PLHTFQW\(-98UTHQ/['1!EJ/S,^R@_S.@H%:JZXC)_6>Y<"$
M\FHM=2E>O3D8 V3)+D-[X4TC#' ^E7:MEG- 9L^*D-\P3>._?A4>ZJ%!OO?K= Y!CP=K*/,K-9]S5,[1\F:RT6V'3
M^2:)!UFKC:QW8,J@YJ+;V79W#P> @&(-X!8I=W%\AE>KMB@#DJLKTL.NR0,H]"72D<&TW26]NOF<*B8@2]@N.2J
MJ 30C V[5[,1@%75'8-!I,R1GXX I?, _7I41[;\R-W70'C=]R"?&D4,6VT&7P,0&/R>[LKKO1
MXM >?VV$UF+?7NY87C)I#.#WK1#Z^<:\8#A!/?L_4$L#!!0 ( *:$!%,<
MG:4U90D '(V 8 >&PO=V]R:W-H965T/*\.!]D[!!IR@-KD/B[I<>D-2N"&^];G8.]
M21;LCSOMSV+LB&4E/3VV^HTJ0GD^.!F(@M:RT>':;G^A-IXCUI=;[>.OV*:]
M,UC,&Q]LU0IC7BF3_N5=FX>>P$GV!8%I*S"-?B=#TAC0@!V
M$L/@X'O78!UG"FO:Y_5.N&1\BFNOQ/>$X]<=[LL[N#_=XGXE#KBJ7!> )QR*
M2^10/!/(=;9XF8L/R$EE$8Q2+!O7V52C5[U7%#"Q3'XMAWZ]'?BU3'Y]S=)Q
M-I_ED"Z2=A2!TM>LF-L4D4 XI*TT+R5;L^SD^;%XC0XW:!?TNEO'C?1)!$6$
MU*FBMLZXBA <3&=BJZ1'6])QI,HC2=Q0*<1_K0[%?);AN!:7?:]C-<#(P_
^^*=,D^>&<<#D)DZ*$ ,L2_I]$NWS]G)C1\WGDW\KN%!A,9X^3]*CY].-^,7P\/V\;OK)^'
M6YZT;*&:3I>+";GQ6V9\"'8;OQ_6-N!Z%9<=/O^DXPUXWUH;#@]LX/A!>?T?
M4$L#!!0 ( *:$!%/ C4]L& 8 (\0 9 >&PO=V]R:W-H965T0 20X
MEGE@V)/O]0+>-YG"!'XOEGHNG5M!E9"5K>$TK+1W'9.+A;.WJF*^Z 74Q%6Q
M%;IK5.PO*!$.9)A=K98RNK8G$:Q^OZ6'GS48WX$UXF7*0R;WX?&N_MH_?97SSW6V/+^
MPF[H>@P*UW0T&2RH!]GX&HT3;\KP EP93^_),,SI,H>6-] ZWU";"2MH_R5P
M\C]02P,$% @ IH0$4PP6PB2B @ @@4 !D !X;"]W;W)KG%91F#Z5Z!7G&[#Y%UK1W,\B#MZ.-%X ]K?:.V.
MBD\P/L7+?P%02P,$% @ IH0$4_;AX[@& P H@8 !D !X;"]W;W)K
MIB
M$ VV$X]B43F:&%V>+]F"/W'WQ_+!X-NH0RE$S9456H'AY<7@*CJ[SFB]7_!=
M\)7=&0-%,M?Z)[W<%A>#D!SBDN>.$!C^O? ;+B4!H1O_;# 'W99DN#O>HO_F
M8\=8YLSR&RU_B,)5%X/I I>LD:Z1[WZG6_B&1->KJ7U3UBU:\?Q /+&.EUO
MC-JCVGZTW>=@QF(:?&,0;@]C[W6[DO?R%.79Y;O0*#*U&-!KX4+TU.B<4
M%>7)&?PJT,Y=WG$,R<+Q,YM+;D_.1PY!Z=,HWP!