| Comprehensive Income |
3. Comprehensive Income
Comprehensive income is comprised of net income and all changes to stockholders’ equity, except those changes resulting from investments by stockholders (changes in paid-in capital) and distributions to stockholders (dividends) and is reported in the accompanying consolidated statements of comprehensive income. Accumulated other comprehensive income (loss), net of taxes, is recorded as a component of stockholders’ equity.
The components of accumulated other comprehensive income (loss) were as follows:
|
|
|
April 30, |
|
|
|
|
2020 |
|
|
2019 |
|
|
|
|
(in thousands) |
|
|
Foreign currency translation adjustments |
|
$ |
(83,652 |
) |
|
$ |
(60,270 |
) |
|
Deferred compensation and pension plan adjustments, net of taxes |
|
|
(23,554 |
) |
|
|
(16,838 |
) |
|
Marketable securities unrealized gain, net of tax |
|
|
34 |
|
|
|
— |
|
|
Interest rate swap unrealized gain, net of taxes |
|
|
— |
|
|
|
456 |
|
|
Accumulated other comprehensive loss, net |
|
$ |
(107,172 |
) |
|
$ |
(76,652 |
) |
The following table summarizes the changes in each component of accumulated other comprehensive income (loss):
|
|
|
Foreign
Currency
Translation |
|
|
Deferred
Compensation
and Pension
Plan (1) |
|
|
Unrealized Gain on Marketable Securities |
|
|
Unrealized
(Losses)
Gains on
Interest Rate
Swap (2) |
|
|
Accumulated
Other
Comprehensive
Income (Loss) |
|
|
|
|
|
|
|
|
(in thousands) |
|
|
|
|
|
|
Balance as of May 1, 2017 |
|
$ |
(55,359 |
) |
|
$ |
(15,127 |
) |
|
$ |
— |
|
|
$ |
(578 |
) |
|
$ |
(71,064 |
) |
|
Unrealized gains arising during the period |
|
|
22,960 |
|
|
|
4,813 |
|
|
|
— |
|
|
|
1,465 |
|
|
|
29,238 |
|
|
Reclassification of realized net losses to net income |
|
|
— |
|
|
|
1,241 |
|
|
|
— |
|
|
|
450 |
|
|
|
1,691 |
|
|
Balance as of April 30, 2018 |
|
|
(32,399 |
) |
|
|
(9,073 |
) |
|
|
— |
|
|
|
1,337 |
|
|
|
(40,135 |
) |
|
Unrealized losses arising during the period |
|
|
(27,871 |
) |
|
|
(6,461 |
) |
|
|
— |
|
|
|
(800 |
) |
|
|
(35,132 |
) |
|
Reclassification of realized net losses (gains) to net income |
|
|
— |
|
|
|
1,092 |
|
|
|
— |
|
|
|
(280 |
) |
|
|
812 |
|
|
Effect of adoption of accounting standard |
|
|
— |
|
|
|
(2,396 |
) |
|
|
— |
|
|
|
199 |
|
|
|
(2,197 |
) |
|
Balance as of April 30, 2019 |
|
|
(60,270 |
) |
|
|
(16,838 |
) |
|
|
— |
|
|
|
456 |
|
|
|
(76,652 |
) |
|
Unrealized (losses) gains arising during the period |
|
|
(23,382 |
) |
|
|
(8,883 |
) |
|
|
37 |
|
|
|
(678 |
) |
|
|
(32,906 |
) |
|
Reclassification of realized net losses (gains) to net income |
|
|
— |
|
|
|
2,167 |
|
|
|
(3 |
) |
|
|
222 |
|
|
|
2,386 |
|
|
Balance as of April 30, 2020 |
|
$ |
(83,652 |
) |
|
$ |
(23,554 |
) |
|
$ |
34 |
|
|
$ |
— |
|
|
$ |
(107,172 |
) |
|
(1) |
The tax effects on unrealized (losses) gains were $(3.1) million, $(2.3) million and $2.5 million as of April 30, 2020, 2019 and 2018, respectively. The tax effects on reclassifications of realized net losses were $0.8 million, $0.4 million and $0.8 million as of April 30, 2020, 2019 and 2018, respectively. |
|
(2) |
The tax effects on unrealized (losses) gains were $(0.2) million, $(0.3) million and $0.8 million as of April 30, 2020, 2019 and 2018, respectively. The tax effect on the reclassification of realized net (losses) gains to net income was $(0.1) million, $0.1 million and $(0.3) million as of April 30, 2020 2019 and 2018, respectively. |
|