8-KRegulation FDExhibits & Filings

Fidelity National Information Services, Inc. 8-K Report, Regulation FD Disclosure (Mar 6, 2018)

Filed March 6, 2018For Securities:FIS

Summary

Fidelity National Information Services, Inc. (FIS) filed a Form 8-K on March 6, 2018, to announce the retrospective adoption of a new revenue recognition standard, ASU No. 2014-09 (Topic 606), effective January 1, 2018. This standard, "Revenue from Contracts with Customers," introduces a five-step model focused on the transfer of control for revenue recognition, aligning with International Financial Reporting Standards. FIS has restated prior period financial statements to reflect this change and will begin reporting comparative results under the new standard in its first quarter 2018 10-Q. The company is also providing certain non-GAAP financial measures based on these recast results to offer investors a clearer understanding of the underlying business fundamentals, though these should be considered alongside, and not as a substitute for, GAAP reporting.

Key Highlights

  • 1FIS is adopting the new revenue recognition standard (ASC 606) effective January 1, 2018.
  • 2The adoption is being applied retrospectively, requiring restatement of prior period financial statements.
  • 3The new standard, ASC 606, focuses on the transfer of control in contracts for revenue recognition.
  • 4FIS will report comparative results under ASC 606 in its Q1 2018 10-Q filing.
  • 5The company is providing supplemental financial data (Exhibit 99.1) with recast results.
  • 6FIS is also presenting non-GAAP financial measures derived from the recast results, intended to enhance understanding of business performance.
  • 7All information furnished under Item 7.01 is not considered 'filed' for regulatory purposes under Section 18 of the Exchange Act.

Frequently Asked Questions

The primary purpose of this 8-K filing is to inform investors about Fidelity National Information Services, Inc.'s (FIS) retrospective adoption of the new revenue recognition accounting standard, ASU No. 2014-09 (Topic 606), and to provide restated financial information.

The new revenue recognition standard, ASU No. 2014-09 (Topic 606), is effective for FIS as of January 1, 2018.

ASC 606 introduces a five-step process for recognizing revenue based on the transfer of control of goods or services to a customer, replacing previous industry-specific guidance and aligning with International Financial Reporting Standards.

This 8-K provides initial notification and supplemental recast financial data. Investors will see the comparative reporting under the new accounting standard beginning with FIS's Quarterly Report on Form 10-Q for the quarter ended March 31, 2018.

FIS is providing non-GAAP financial measures based on the recast results to help investors better understand the underlying fundamentals and performance of the business. However, these measures should be considered in conjunction with, and not as a substitute for, FIS's GAAP financial statements.