BROADRIDGE FINANCIAL SOLUTIONS, INC.BR

BROADRIDGE FINANCIAL SOLUTIONS, INC. Goodwill & Intangibles Disclosure

10-KFiled Aug 5, 20253 min read
GOODWILL AND INTANGIBLE ASSETS, NET
Changes in Goodwill for the fiscal years ended June 30, 2025 and 2024 are as follows:
Investor
Communication
Solutions		Global
Technology and
Operations		Total
 (in millions)
Goodwill, gross, at June 30, 2023$1,042.8 $2,418.8 $3,461.6 
Additions41.8 — 41.8 
Foreign currency translation and other(0.3)(33.7)(34.0)
Fair value adjustments (a)— — — 
Accumulated impairment losses— — — 
Goodwill, net, at June 30, 2024$1,084.3 $2,385.1 $3,469.4 
Goodwill, gross, at June 30, 2024$1,084.3 $2,385.1 $3,469.4 
Additions6.2 38.3 44.5 
Foreign currency translation and other3.4 95.5 98.9 
Fair value adjustments (a)(3.2)— (3.2)
Accumulated impairment losses— — — 
Goodwill, net, at June 30, 2025$1,090.7 $2,518.9 $3,609.6 
_________
(a) Fair value adjustments includes adjustments to goodwill as part of finalization of the purchase price allocations.
Additions for the fiscal year ended June 30, 2025 include $38.3 million for the acquisition of SIS.
Additions for the fiscal year ended June 30, 2024 include $38.6 million for the acquisition of AdvisorTarget.
During fiscal years 2025, 2024 and 2023, the Company performed the required impairment tests of Goodwill and determined that there was no impairment. The Company also performs a sensitivity analysis under Step 1 of the goodwill impairment test assuming hypothetical reductions in the fair values of the reporting units. A 10% change in our estimates of projected future operating cash flows, discount rates, or terminal value growth rates, which are the most significant estimates used in our calculations of the fair values of the reporting units, would not result in an impairment of our goodwill.
Intangible assets at cost and accumulated amortization at June 30, 2025 and 2024 are as follows:
 June 30,
 20252024
 Original
Cost		Accumulated
Amortization		Intangible
Assets, net		Original
Cost		Accumulated
Amortization		Intangible
Assets, net
 (in millions)
Software licenses$250.7 $(178.3)$72.4 $233.9 $(168.5)$65.3 
Acquired software technology376.5 (209.4)167.1 295.0 (215.3)79.7 
Customer contracts and lists1,129.8 (802.5)327.4 1,140.4 (698.0)442.4 
Acquired intellectual property136.6 (136.6)— 136.6 (136.6)— 
Internal use software853.1 (142.5)710.6 823.1 (103.3)719.8 
Other intangibles20.2 (20.2)— 20.2 (20.2)0.1 
$2,766.9 $(1,489.5)$1,277.4 $2,649.2 $(1,342.0)$1,307.2 
All of the intangible assets have finite lives and as such, are subject to amortization.
The weighted-average remaining useful life of the intangible assets is as follows:
Weighted-Average Remaining Useful Life (Years)
Acquired software technology7.3
Software licenses3.7
Customer contracts and lists2.9
Internal use software16.3
Other intangibles0.0
     Total weighted-average remaining useful life11.0
Expenditures for major software purchases and software developed or obtained for internal use are capitalized and amortized on a straight-line basis generally over a three- to five-year period or another period deemed appropriate based on the specific characteristics of the software, considering the potential impact of obsolescence, speed of technology changes, competition, and other economic factors.
Amortization of intangibles for the years ended June 30, 2025, 2024 and 2023 was as follows:
 Years ended June 30,
 202520242023
 (in millions)
Amortization expense for intangible assets$283.8 $279.5 $257.6 
Estimated remaining amortization expenses of the Company’s existing intangible assets for the next five fiscal years and thereafter are as follows:
Years Ending June 30,(in millions)
2026$272.8 
2027192.2 
2028170.0 
202979.8 
203064.5 
Thereafter498.2 
     Total $1,277.4 

Historical Timeline

Fiscal YearFiled
2025Aug 5, 2025Showing above
2024Aug 6, 2024
2023Aug 8, 2023
2022Aug 12, 2022
2021Aug 12, 2021
2020Aug 11, 2020
2019Aug 6, 2019
2018Aug 7, 2018
2017Aug 10, 2017
2016Aug 9, 2016

About Goodwill & Intangibles Disclosures

Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.

Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.

Other Available Disclosures

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