01—Abstract
Summary
Summary of the 10-K filed August 4, 2026. Cited figures are marked; the original filing is the authoritative source.
Broadridge Financial Solutions, Inc. (BR) reported fiscal 2026 (year ended June 30, 2026) revenues of $7,476.8 milliona, up 9% from $6,889.1 million, and net earnings of $1,124.3 million, up 34% from $839.5 million.
Diluted EPS was $9.60b versus $7.10. Operating income rose to $1,300.6 million from $1,188.6 million, and the company stated an operating margin of 17.4%. Results were helped by a $227.0 million non-cash gain on digital assets (Canton Coins) recorded in Other non-operating income, which lifted net earnings.
On a non-GAAP basis, Adjusted Net earnings were $1,124.2 millionc and Adjusted EPS was $9.60, with recurring revenue growth of 8%. The Investor Communication Solutions segment generated revenues of $5,560.8 million (up 9%) and earnings before income taxes of $1,103.5 million (up 5%), with pre-tax margin declining to 19.8% from 20.6%. Global Technology and Operations revenues were $1,916.0 million (up 8%), and its earnings before income taxes rose 48% to $297.8 million.
Free cash flow was $1,233.0 milliond, up from $1,056.4 million. The company returned capital through $443.5 million of dividends paid and $603.7 million of treasury stock purchases, and total debt stood at $3,254.6 million at June 30, 2026, with $1,225.3 million of unused revolver capacity.
Looking ahead, the company's board approved a quarterly dividend increase to $1.09 per share on August 3, 2026, raising the expected annual dividend to $4.36 from $3.90. The filing also discusses the SEC's July 16, 2026 proposal of Regulation E-Delivery, which management expects to modestly reduce recurring revenue growth over two to three years and reduce distribution revenues, partly offset by new solutions, with no expected impact on fiscal 2027 financial results.
02—Key points
Key Highlights
- Revenues rose 9% to $7,476.8 million, with recurring revenues up 8% to $4,878.0 million and distribution revenues up 9% to $2,250.6 million, driven partly by postage rate increases of approximately $123 million.
- Net earnings increased 34% to $1,124.3 million (diluted EPS $9.60 vs. $7.10), helped by $227.0 million of non-cash gains on digital assets, while operating income grew 9% to $1,300.6 million.
- Adjusted Net earnings (Non-GAAP) were $1,124.2 million versus $1,011.5 million the prior year, and Adjusted EPS was $9.60 versus $8.55.
- Free cash flow (Non-GAAP) rose to $1,233.0 million from $1,056.4 million, with net cash from operating activities of $1,345.6 million.
- Investor Communication Solutions pre-tax margin fell to 19.8% from 20.6%, while Global Technology and Operations pre-tax margin increased to 15.5% from 11.3%.
- The board raised the quarterly dividend to $1.09 per share (expected annual $4.36 from $3.90), and the company repurchased 1,664,455 shares in the fourth quarter at an average $150.22.
- Total debt was $3,254.6 million at June 30, 2026, after issuing $500.0 million of 5.750% Senior Notes due 2036 and repaying $500.0 million of Fiscal 2016 Senior Notes.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2026, Broadridge Financial Solutions kept $0.15.
- Revenue$7.48B100.0%
- Cost of revenue−$5.10B68.2%
- Gross profit$2.38B31.8%
- Operating costs−$1.08B14.4%
- Operating income$1.30B17.4%
- Interest, other & tax−$176.3M2.4%
- Net income$1.12B15.0%
Where FY2026 revenue went
$7.48B- Cost of revenue: $5.10B, 68% of revenue
- Net income: $1.12B, 15% of revenue
- SG&A: $1.08B, 14% of revenue
- Interest, other & tax: $176.3M, 2.4% of revenue
Kept 15% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2026filed August 4, 2026Financial Statements
FY2026 against FY2025
| Line item | FY2026FY2025 | Change |
|---|---|---|
| Revenue | $7.48B$6.89B | +8.5% |
| Cost of Revenue | $5.10B$4.75B | +7.3% |
| Gross Profit | $2.38B$2.14B | +11.2% |
| SG&A Expenses | $1.08B$948.20M | +13.4% |
| Operating Expenses | $6.18B$5.70B | +8.3% |
| Operating Income | $1.30B$1.19B | +9.4% |
| Interest Expense | $111.80M$135.80M | −17.7% |
| Net Income | $1.12B$839.50M | +33.9% |
| EPS (Basic) | $9.67$7.17 | +34.9% |
| EPS (Diluted) | $9.60$7.10 | +35.2% |
| Shares Outstanding (Basic) | 116.30M117.10M | −0.7% |
| Shares Outstanding (Diluted) | 117.10M118.30M | −1.0% |
05—Questions
Frequently Asked Questions
What drove the large increase in net earnings this year?
Net earnings rose to $1,124.3 million from $839.5 million. Operating income increased 9%, and other non-operating income was $245.2 million versus an expense of $7.1 million in the prior year, primarily due to non-cash Gains on Digital Assets of $227.0 million tied to Canton Coin holdings. Interest expense, net also declined to $99.9 million from $122.7 million.
How concentrated are Broadridge's revenues among clients?
The filing states that the largest client accounted for approximately 7% of consolidated revenues in fiscal 2026, and that a large percentage of revenues comes from a small number of financial services clients.
What is the potential impact of the proposed Regulation E-Delivery rule?
The SEC proposed Regulation E-Delivery on July 16, 2026, which would permit electronic delivery as the default. Management's preliminary analysis expects no impact on fiscal 2027 financial results, a modest decrease in recurring revenue growth over two to three years that it expects to largely offset with new solutions, and a decline in distribution revenues that should increase margins. The proposal is subject to a 60-day comment period.
What digital asset exposure does the company have?
Broadridge holds Canton Coins earned as a Validator and Super Validator on the Canton Network, with a fair value of $216.1 million at June 30, 2026 and a cost basis of $13.3 million. The company also contributed Canton Coins for warrants in Canton Strategic Holdings, Inc. The filing notes that digital asset values are highly speculative and can fluctuate dramatically.
06—Continue