DOX
$67.42
Amdocs Ltd Ord
$.40
.60%
Earnings Details
4th Quarter September 2019
Tuesday, November 12, 2019 4:01:00 PM
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Summary

Amdocs Ltd Ord Reports In-line

Amdocs Ltd Ord (DOX) reported 4th Quarter September 2019 earnings of $1.10 per share on revenue of $1.0 billion. The consensus earnings estimate was $1.08 per share on revenue of $1.0 billion. The Earnings Whisper number was $1.10 per share. Revenue grew 2.8% on a year-over-year basis.

The company said it expects first quarter non-GAAP earnings of $1.02 to $1.08 per share on revenue of $1.015 billion to $1.055 billion and fiscal 2020 earnings of $4.44 to $4.61 per share on revenue of $4.15 billion to $4.31 billion. The current consensus earnings estimate is $1.11 per share on revenue of $1.04 billion for the quarter ending December 31, 2019 and $4.57 per share on revenue of $4.21 billion for the year ending September 30, 2020.

Amdocs Ltd is a provider of software products and services to the communications, media and entertainment industry. It provides software and services solutions in North America and Europe.

Results
Reported Earnings
$1.10
Earnings Whisper
$1.10
Consensus Estimate
$1.08
Reported Revenue
$1.03 Bil
Revenue Estimate
$1.03 Bil
Growth
Earnings Growth
Revenue Growth
Guidance
Power Rating
Grade
Earnings Release

Amdocs Limited Reports Fourth Quarter Fiscal 2019 Results

Record Quarterly Revenue of $1.03 Billion
Expects Fiscal 2020 Revenue Growth of 2.0%-6.0% YoY in Constant Currency
Signs Strategic Multi-Year Managed Services Agreement with AT&T
Quarterly Cash Dividend to be Raised From $0.285 to $0.3275 Per Share

Fourth Quarter Fiscal 2019 Highlights

  • Revenue of $1,030 million, at the midpoint of the $1,015-$1,055 million guidance range, adjusting for a negative impact from foreign currency movements of approximately $5 million compared to our guidance assumptions
  • GAAP diluted EPS of $0.90, above the $0.81-$0.89 guidance range
  • Non-GAAP diluted EPS of $1.08, above the midpoint of the $1.04-$1.10 guidance range
  • GAAP operating income of $144 million; GAAP operating margin of 14.0%
  • Non-GAAP operating income of $178 million; non-GAAP operating margin of 17.3%
  • Quarterly free cash flow of $179 million, comprised of cash flow from operations of $214 million, less $34 million in net capital expenditures and other; normalized free cash flow of $190 million (1)
  • Twelve-month backlog of $3.49 billion, up $90 million sequentially and up 3.9% as compared to last year’s fourth fiscal quarter
  • The board of directors approved a quarterly cash dividend of $0.285 per share to be paid on January 24, 2020
  • The board of directors also approved a 15% increase in the Company’s quarterly cash dividend payment from $0.285 per share to $0.3275 per share, anticipated to be first paid in April 2020, subject to shareholder approval at the January 2020 annual meeting
  • The board of directors has approved a share repurchase plan authorizing the repurchase of up to $800 million of ordinary shares at the company’s discretion; this plan has no expiration date and is in addition to the current authorization, which, as of September 30, 2019, provided for up to $239 million of remaining repurchase authority

    (1) Please refer to the Selected Financial Metrics tables below (figures may not sum because of rounding).

ST. LOUIS, Nov. 12, 2019 (GLOBE NEWSWIRE) -- Amdocs Limited (NASDAQ: DOX) today reported operating results for the three months ended September 30, 2019.

“We are pleased to report a strong finish to our fiscal year 2019. Q4 revenue was in line with the midpoint of our guidance on a constant currency basis and was driven by stable trends in North America, solid year-over-year growth in Rest of World and our best quarter in more than a decade in Europe. Profitability was stable and cash collections were healthy as we met key milestones relating to our customer project activity. As such, we exceeded our fiscal 2019 target for normalized free cash flow of $600 million and delivered full year non-GAAP earnings per share growth of 6.9%, which is consistent with the high end of the original guidance range of 3% to 7% that we provided last November,” said Shuky Sheffer, president and chief executive officer of Amdocs Management Limited.

Sheffer continued, “Today, we are excited to announce a multi-year agreement that extends our collaboration with AT&T to modernize and upgrade AT&T’s digital business support systems, as 5G and the cloud will lead to new business and consumer applications. In addition to customer experience and digital enablement programs, our alliance with AT&T will be expanded to include activities in strategic areas such as data analytics and security. We are very proud of our deep relationship spanning many decades with AT&T and we look forward to strengthening this relationship as the communications and media industry continues to innovate at an unprecedented pace.”

Sheffer concluded, “We begin fiscal 2020 with record 12-month backlog, which is up roughly 4% from a year ago, and we have further improved our strong visibility in the first quarter with the signing of a large IT transformation project at Vodafone Germany. Overall, we expect to deliver full year non-GAAP diluted earnings per share growth of 3.0% to 7.0% in fiscal 2020. Moreover, we plan to further enhance the total return we provide to shareholders by raising our quarterly dividend for the seventh consecutive year, subject to shareholders approval at the annual meeting in January 2020”.

Revenue

Revenue for the fourth fiscal quarter ended September 30, 2019 was $1,030 million, up $5 million sequentially from the third fiscal quarter of 2019 and up 2.8% as reported and 3.6% in constant currency as compared to last year’s fourth fiscal quarter. Revenue for the fourth fiscal quarter of 2019 includes a negative impact from foreign currency movements of approximately $3 million relative to the third quarter of fiscal 2019. Revenue was at the midpoint of Amdocs’ guidance, adjusting for the negative impact of approximately $5 million of foreign currency movements relative to guidance.

Revenue for the fiscal year ended September 30, 2019, was $4.1 billion, up 2.8% from the last fiscal year and within Amdocs’ guidance range for growth of 2.4% to 3.4% year-over-year as reported. Adjusting for the negative impact of foreign currency movements, revenue was up 4.1% from the last fiscal year and within Amdocs’ guidance range for growth of 3.6% to 4.6% year-over-year.

Net Income and Earnings Per Share

The Company's GAAP net income for the fourth quarter of fiscal 2019 was $122.0 million, or $0.90 per diluted share, compared to GAAP net income of $44.3 million, or $0.31 per diluted share, in the prior fiscal year’s fourth quarter. Net income on a non-GAAP basis was $147.1 million, or $1.08 per diluted share, compared to non-GAAP net income of $140.2 million, or $0.99 per diluted share, in the fourth quarter of fiscal 2018. Non-GAAP net income excludes amortization of purchased intangible assets and other acquisition-related costs, changes in certain acquisitions related liabilities measured at fair value, equity-based compensation expenses, and other, net of related tax effects, in the fourth quarter of fiscal 2019, and amortization of purchased intangible assets and other acquisition-related costs, changes in certain acquisitions related liabilities measured at fair value, equity-based compensation expenses, and non-recurring charges, net of related tax effects, in the fourth quarter of fiscal 2018.

The Company's GAAP net income in fiscal 2019 was $479.4 million, or $3.47 per diluted share, compared to GAAP net income of $354.4 million, or $2.47 per diluted share, in fiscal 2018. Fiscal 2019 net income on a non-GAAP basis was $595.1 million, or $4.31 per diluted share, compared to non-GAAP net income of $579.6 million, or $4.03 per diluted share, in fiscal 2018.

For further details of reconciliation of selected financial metrics from GAAP to Non-GAAP, please refer to the tables below.

Returning Cash to Shareholders

  • Quarterly Cash Dividend Program: On November 12, 2019, the Board approved the Company’s next quarterly cash dividend payment of $0.285 per share and set December 31, 2019 as the record date for determining the shareholders entitled to receive the dividend, which will be payable on January 24, 2020. The Board also approved a 15% increase in the Company’s quarterly cash dividend payment to $0.3275 per share, which is anticipated to be first paid in April 2020, provided that the increase is approved by shareholders at the January 2020 annual general meeting of shareholders.
  • Share Repurchase Activity: Repurchased $90 million of ordinary shares during the fourth quarter of fiscal 2019. The board of directors has approved a share repurchase plan authorizing the repurchase of up to $800 million of ordinary shares at the company’s discretion; this plan has no expiration date and is in addition to the current authorization, which, as of September 30, 2019, provided for up to $239 million of remaining repurchase authority.

Twelve-month Backlog
Twelve-month backlog, which includes anticipated revenue related to contracts, estimated revenue from managed services contracts, letters of intent, maintenance and estimated on-going support activities, was $3.49 billion at the end of the fourth quarter of fiscal 2019, up $90 million from the end of the prior quarter.

First Quarter Fiscal 2020 Outlook

  • Revenue of approximately $1,015-$1,055 million, assuming approximately $1 million sequential negative impact from foreign currency fluctuations as compared to the fourth quarter of fiscal 2019, including a full quarter revenue contribution from the acquisition of TTS Wireless which closed in early August
  • GAAP diluted EPS of approximately $0.79-$0.87. The impact of the acquisition of TTS Wireless on GAAP diluted EPS will not be known until after Amdocs completes the purchase price allocation
  • Non-GAAP diluted EPS of approximately $1.02-$1.08, excluding amortization of purchased intangible assets and other acquisition-related costs, changes in certain acquisitions related liabilities measured at fair value, and approximately $0.06-$0.08 per share of equity-based compensation expense, net of related tax effects. The impact of the acquisition of TTS Wireless on Amdocs’ non-GAAP diluted earnings per share is expected to be neutral in the first quarter of fiscal 2020

Full Year Fiscal 2020 Outlook

  • Revenue growth of 1.5%-5.5% year-over-year as reported
  • Revenue growth of 2.0%-6.0% year-over-year on a constant currency basis
  • Full year fiscal 2020 revenue guidance incorporates just over 1% of growth from the acquisition of TTS Wireless, and an expected negative impact from foreign currency fluctuations of about 0.5% year-over-year
  • GAAP diluted earnings per share growth of roughly 5.0%-12.0% year-over-year. The impact of the acquisition of TTS Wireless on GAAP diluted EPS will not be known until after Amdocs completes the purchase price allocation
  • Non-GAAP diluted earnings per share growth of roughly 3.0%-7.0% year-over-year, excluding amortization of purchased intangible assets and other acquisition-related costs, changes in certain acquisitions related liabilities measured at fair value, and approximately $0.24-$0.32 per share of equity-based compensation expense, net of related tax effects. The impact of the acquisition of TTS Wireless on Amdocs’ non-GAAP diluted earnings per share is expected to be neutral in fiscal year 2020
  • Free cash flow of approximately $350 million, comprised of cash flow from operations, less net capital expenditures and other, and normalized free cash flow of approximately $480 million

Our first fiscal quarter 2020 and full year fiscal 2020 outlook takes into consideration the Company’s expectations regarding macro and industry specific risks and various uncertainties and certain assumptions that we will discuss on our earnings conference call. However, Amdocs notes market dynamics continue to shift rapidly and that it cannot predict all possible outcomes, including those resulting from T-Mobile’s proposed merger with Sprint, or from other current and potential customer consolidation activity.

Conference Call Details
Amdocs will host a conference call on November 12, 2019 at 5:00 p.m. Eastern Time to discuss the Company's fourth quarter of fiscal 2019 results. To participate, please dial +1 (844) 513-7152, or +1 (508) 637-5600 outside the United States, approximately 15 minutes before the call and enter passcode 7084814. The call will also be carried live on the Internet via the Amdocs website, www.amdocs.com.

Non-GAAP Financial Measures
This release includes non-GAAP diluted earnings per share and other non-GAAP financial measures, including free cash flow and normalized free cash flow, non-GAAP cost of revenue, non-GAAP research and development, non-GAAP selling, general and administrative, non-GAAP operating income, non-GAAP operating margin, non-GAAP interest and other expenses, net, non-GAAP income taxes, non-GAAP effective tax rate, non-GAAP net income and non-GAAP diluted earnings per share growth. These non-GAAP measures exclude the following items:

  • amortization of purchased intangible assets and other acquisition-related costs;
  • changes in certain acquisition-related liabilities measured at fair value;
  • non-recurring and unusual charges;
  • equity-based compensation expense;
  • other; and
  • tax effects related to the above.

Free cash flow equals cash generated by operating activities less net capital expenditures and other, and normalized free cash flow is adjusted to exclude net capital expenditures related to the new campus development, payments for previously expensed restructuring charges, payments for legal dispute settlement, and payments of acquisition related liabilities. These non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles and may be different from non-GAAP financial measures used by other companies. In addition, these non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles. Amdocs believes that non-GAAP financial measures have limitations in that they do not reflect all of the amounts associated with Amdocs’ results of operations as determined in accordance with GAAP and that these measures should only be used to evaluate Amdocs’ results of operations in conjunction with the corresponding GAAP measures.

Amdocs believes that the presentation of non-GAAP diluted earnings per share and other financial measures, including free cash flow and normalized free cash flow, non-GAAP cost of revenue, non-GAAP research and development, non-GAAP selling, general and administrative, non-GAAP operating income, non-GAAP operating margin, non-GAAP interest and other expenses, net,  non-GAAP income taxes, non-GAAP effective tax rate, non-GAAP net income and non-GAAP diluted earnings per share growth when shown in conjunction with the corresponding GAAP measures, provides useful information to investors and management regarding financial and business trends relating to its financial condition and results of operations, as well as the net amount of cash generated by its business operations after taking into account capital spending required to maintain or expand the business.

For its internal budgeting process and in monitoring the results of the business, Amdocs’ management uses financial statements that do not include amortization of purchased intangible assets and other acquisition-related costs, changes in certain acquisition-related liabilities measured at fair value, non-recurring and unusual charges, equity-based compensation expense, other and related tax effects. Amdocs’ management also uses the foregoing non-GAAP financial measures, in addition to the corresponding GAAP measures, in reviewing the financial results of Amdocs. In addition, Amdocs believes that significant groups of investors exclude these items in reviewing its results and those of its competitors, because the amounts of the items between companies can vary greatly depending on the assumptions used by an individual company in determining the amounts of the items.

Amdocs further believes that, where the adjustments used in calculating non-GAAP diluted earnings per share are based on specific, identified amounts that impact different line items in the Consolidated Statements of Income (including cost of revenue, research and development, selling, general and administrative, operating income, interest and other expenses, net, income taxes and net income), it is useful to investors to understand how these specific line items in the Consolidated Statements of Income are affected by these adjustments. Please refer to the Reconciliation of Selected Financial Metrics from GAAP to Non-GAAP tables below.

Supporting Resources

About Amdocs
Amdocs is a leading software and services provider to communications and media companies of all sizes, accelerating the industry’s dynamic and continuous digital transformation. With a rich set of innovative solutions, long-term business relationships with 350 communications and media providers, and technology and distribution ties to 600 content creators, Amdocs delivers business improvements to drive growth. Amdocs and its 25,000 employees serve customers in over 85 countries. Listed on the NASDAQ Global Select Market, Amdocs had revenue of $4.1 billion in fiscal 2019.

For more information, visit Amdocs at www.amdocs.com.

This press release includes information that constitutes forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995, including statements about Amdocs’ growth and business results in future quarters. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be obtained or that any deviations will not be material. Such statements involve risks and uncertainties that may cause future results to differ from those anticipated. These risks include, but are not limited to, the effects of general economic conditions, Amdocs’ ability to grow in the business markets that it serves, Amdocs’ ability to successfully integrate acquired businesses, adverse effects of market competition, rapid technological shifts that may render the Company's products and services obsolete, potential loss of a major customer, our ability to develop long-term relationships with our customers, and risks associated with operating businesses in the international market. Amdocs may elect to update these forward-looking statements at some point in the future; however, Amdocs specifically disclaims any obligation to do so. These and other risks are discussed at greater length in Amdocs’ filings with the Securities and Exchange Commission, including in our Annual Report on Form 20-F for the fiscal year ended September 30, 2018 filed on December 10, 2018 and our Form 6-K furnished for the first quarter of fiscal 2019 on February 19, 2019 and for the second quarter of fiscal 2019 on May 28, 2019 and for the third quarter of fiscal 2019 on August 19, 2019.

Contact:
Matthew Smith
Head of Investor Relations
Amdocs
314-212-8328
E-mail: dox_info@amdocs.com

AMDOCS LIMITED
                                               

Consolidated Statements of Income
(in thousands, except per share data)

  Three months ended  Fiscal year ended
  September 30,   September 30,
   2019   2018   2019   2018 
         
Revenue $  1,030,253  $  1,002,588  $    4,086,669  $  3,974,837 
         
Operating expenses:        
Cost of revenue    667,129     654,923     2,653,172     2,595,276 
Research and development    70,109     70,783     273,936     276,615 
Selling, general and administrative    125,046     125,830     492,457     481,093 
Amortization of purchased intangible assets and other    23,815     27,233     97,358     108,489 
Non-recurring charges  -   55,000   -   85,057 
     886,099     933,769     3,516,923     3,546,530 
Operating income    144,154     68,819     569,746     428,307 
         
Interest and other income (expense), net    2,444     (3,436)    (1,859)    (6,766)
Income before income taxes    146,598     65,383     567,887     421,541 
         
Income taxes    24,571     21,117     88,441     67,145 
Net income $  122,027  $  44,266  $  479,446  $  354,396 
Basic earnings per share $  0.90  $  0.31  $  3.49  $  2.49 
Diluted earnings per share $  0.90  $  0.31  $  3.47  $  2.47 
Basic weighted average number of shares outstanding  135,317     140,760     137,418     142,422 
Diluted weighted average number of shares outstanding    136,151     141,872     138,108     143,703 
Cash dividends declared per share $  0.285  $  0.250  $  1.105  $  0.970 
                 

           
AMDOCS LIMITED
Selected Financial Metrics
(In thousands, except per share data)

  Three months ended  Fiscal year ended
  September 30, September 30,
   2019  2018  2019  2018
         
Revenue $    1,030,253 $  1,002,588 $  4,086,669 $  3,974,837
         
Non-GAAP operating income  177,989  172,606  707,889  687,020
         
Non-GAAP net income    147,137    140,230  595,089  579,593
         
Non-GAAP diluted earnings per share $    1.08 $   0.99 $    4.31 $    4.03
         
Diluted weighted average number of shares outstanding  136,151  141,872  138,108  143,703
             

Free Cash Flows and Normalized Free Cash Flow
(In thousands)

  Three months ended  Fiscal year ended
  September 30, September 30,
   2019   2018   2019   2018 
         
Net Cash Provided by Operating Activities $  213,625  $  115,349  $  656,377  $  557,249 
         
Purchases of property and equipment, net (*)  (34,325)  (33,893)  (128,086)  (231,146)
         
Other  -   (135)  -   (458)
         
Free Cash Flow  179,300   81,321   528,291   325,645 
         
         
Payments for legal dispute settlement  -   -   55,000     - 
Payments for previously expensed restructuring charges  1,233   6,500   15,627     6,500 
Net capital expenditures related to the new campus development (*)  9,101   1,218   6,895   96,229 
Payments of acquisition related liabilities  -   -   7,667     - 
         
Normalized Free Cash Flow $  189,634  $  89,039  $  613,480  $  428,374 

(*) The amounts under "Purchase of property and equipment, net”, and the amounts under “Net capital expenditures related to the new campus development” include proceeds of $9,676 relating to the refund of betterment levy for fiscal year ended 30 September 2019 and proceeds from sale of property and equipment of $77 and $151, $346 and $459, for the three months and fiscal year ended 30 September 2019 and 2018, respectively. 


AMDOCS LIMITED

Reconciliation of Selected Financial Metrics from GAAP to Non-GAAP
 (In thousands)

  Three months ended
September 30, 2019
  Reconciliation items
   
 GAAPAmortization of
purchased
intangible assets
and other
Equity-based
compensation
expense
Changes in certain
acquisition related
liabilities measured
at fair value
OtherTax
effect

 
Non-
GAAP
Operating expenses:       
Cost of revenue$  667,129$   - $    (4,618)$    (2,036)$ - $   - $ 660,475 
Research and
  development
 70,109 -  (757) -  -  -  69,352 
Selling, general and 
  administrative
 125,046 -  (2,609) -  -  -  122,437 
Amortization of
  purchased intangible assets and other
 23,815 (23,815) -  -  -  -  - 
Total operating
 expenses
 886,099 (23,815) (7,984) (2,036) -     -    852,264 
        
Operating income 144,154 23,815  7,984  2,036     -  -  177,989 
        
Interest and other income (expense), net 2,444 -  -  -  (4,964)   -  (2,520)
        
Income taxes 24,571 -  -  -     -     3,761  28,332 
        
Net income$  122,027$  23,815 $    7,984 $    2,036 $    (4,964)$  (3,761)$  147,137 
       
       
  Three months ended
September 30, 2018
  Reconciliation items
   
 GAAPAmortization of
purchased
intangible assets
and other
Equity-based
compensation
expense
Changes in certain
acquisitions related
liabilities measured
at fair value
Non-recurring
charges
Tax
effect

 
Non-
GAAP
Operating expenses:       
Cost of revenue$  654,923$  - $  (3,752)$     (8,658)$   - $   - $  642,513 
Research and
  development
 70,783 -  (813) -  -  -  69,970 
Selling, general and 
  administrative
 125,830   -  (8,331) -  -  -  117,499 
Amortization of
  purchased intangible assets and other
 27,233 (27,233) -  -  -  -  - 
Non-recurring charges 55,000 -  -  -    (55,000) -  - 
Total operating expenses 933,769 (27,233) (12,896) (8,658)   (55,000) -    829,982 
        
Operating income 68,819 27,233    12,896  8,658    55,000  -  172,606 
        
Income taxes 21,117   -  -  -  -  7,822  28,940 
        
Net income$  44,266$  27,233 $     12,896  $     8,658 $    55,000 $  (7,822)$  140,230 
                     

 

AMDOCS LIMITED

Reconciliation of Selected Financial Metrics from GAAP to Non-GAAP
 (In thousands)

 Fiscal year ended
September 30, 2019
  Reconciliation items 
 GAAPAmortization of
purchased
intangible assets
and other
Equity-based
compensation
expense
Changes in certain
acquisitions related
liabilities measured
at fair value
Other

 
Tax
effect

 
Non-
GAAP
Operating expenses:       
Cost of revenue$2,653,172 $     - $    (19,879)$    (2,235)$      -  $   - $2,631,058 
Research and
  development
 273,936  -  (2,714) -  -  -  271,222 
Selling, general and 
  administrative
 492,457  -  (15,957) -  -  -  476,500 
Amortization of
  purchased intangible assets and other
 97,358  (97,358) -  -  -  -  - 
Total operating
 expenses
 3,516,923  (97,358) (38,550) (2,235) -  -  3,378,780 
        
Operating income 569,746  97,358  38,550  2,235  -  -  707,889 
        
Interest and other income (expense), net (1,859) -  -  -    (2,939) -  (4,798)
        
Income taxes 88,441  -  -  -  -  19,561  108,002 
        
Net income$   479,446 $    97,358 $    38,550 $     2,235  $   (2,939)$ (19,561)$ 595,089 
        
        
 Fiscal year ended
September 30, 2018
  Reconciliation items 
 GAAPAmortization of
purchased
intangible assets
and other
Equity-based
compensation
expense
Changes in certain
acquisitions related
liabilities measured
at fair value
Non-
recurring
charges
Tax
effect

 
Non-
GAAP
Operating expenses:       
Cost of revenue$2,595,276 $      - $   (18,253)$    (17,692)$  - $    - $2,559,331 
Research and
  development
 276,615  -  (3,477) -  -  -  273,138 
Selling, general and 
  administrative
 481,093  -  (25,746) -  -  -  455,347 
Amortization of
  purchased intangible assets and other
 108,489  (108,489) -  -  -  -  - 
  Non-recurring charges 85,057  -  -  -  (85,057) -  - 
Total operating expenses 3,546,530  (108,489) (47,476) (17,692)  (85,057) -    3,287,816 
        
Operating income 428,307  108,489  47,476  17,692    85,057  -  687,020 
        
Income taxes 67,145  -  -  -    -  33,517  100,662 
        
Net income$    354,396 $    108,489 $    47,476 $    17,692 $  85,057 $(33,517)$579,593 
                      

AMDOCS LIMITED
Condensed Consolidated Balance Sheets
 (In thousands)

 As of
  September 30,
2019
 September 30,
2018
     
ASSETS    
     
Current assets    
Cash, cash equivalents and short-term interest-bearing investments $   471,632 $   519,216
Accounts receivable, net, including unbilled of $227,061 and $263,997, respectively  987,858  971,502
Prepaid expenses and other current assets  216,084  229,999
  Total current assets  1,675,574  1,720,717
     
Property and equipment, net  525,314  496,585
Goodwill and other intangible assets, net  2,667,997  2,710,144
Other noncurrent assets  423,941  420,369
Total assets $  5,292,826 $  5,347,815
     
LIABILITIES AND SHAREHOLDERS’ EQUITY    
     
Current liabilities    
Accounts payable, accruals and other $  1,089,748 $  1,162,543
Deferred revenue  118,182  132,414
  Total current liabilities  1,207,930  1,294,957
Other noncurrent liabilities  542,430  560,816
Total Amdocs Limited Shareholders’ equity  3,499,957  3,448,879
Noncontrolling interests  42,509  43,163
Total equity  3,542,466  3,492,042
Total liabilities and equity $  5,292,826 $  5,347,815
       



AMDOCS LIMITED
Consolidated Statements of Cash Flows
(In thousands)

  Fiscal year ended
 September 30,
   2019   2018 
     
Cash Flow from Operating Activities:    
Net income $  479,446  $  354,396 
Reconciliation of net income to net cash provided by operating activities:    
  Depreciation and amortization  205,772   211,224 
  Equity-based compensation expense  38,550   47,476 
  Deferred income taxes  (13,950)  25,098 
  Loss from short-term interest-bearing investments  737   1,324 
Net changes in operating assets and liabilities, net of amounts acquired:    
  Accounts receivable, net  6,589   (66,451)
  Prepaid expenses and other current assets  25,907   (18,736)
  Other noncurrent assets  (1,635)  9,674 
  Accounts payable, accrued expenses and accrued personnel  (60,042)  25,348 
  Deferred revenue  (37,855)  7,650 
  Income taxes payable, net  6,025   (31,036)
  Other noncurrent liabilities  6,833   (8,718)
Net cash provided by operating activities  656,377   557,249 
     
Cash Flow from Investing Activities:    
Purchases of property and equipment, net (*)  (128,086)  (231,146)
Proceeds from sale of short-term interest-bearing investments  101,287   303,090 
Purchase of short-term interest-bearing investments  -   (76,037)
Net cash paid for acquisitions  (60,572)  (355,142)
Other  615   (3,157)
Net cash used in investing activities  (86,756)  (362,392)
     
Cash Flow from Financing Activities:    
Borrowings under financing arrangements  -   120,000 
Payments under financing arrangements  -   (120,000)
Repurchase of shares  (398,057)  (419,228)
Proceeds from employee stock options exercised  41,483   81,280 
Payments of dividends  (147,616)  (134,292)
Investment by noncontrolling interests, net  (4,776)  47,013 
Payment of contingent consideration from a business acquisition  (7,470)  - 
Other  (336)  (458)
Net cash used in financing activities  (516,772)  (425,685)
     
Net increase (decrease) in cash and cash equivalents  52,849   (230,828)
Cash and cash equivalents at beginning of period  418,783   649,611 
Cash and cash equivalents at end of period $  471,632  $  418,873 
         

(*) The amounts under "Purchase of property and equipment, net”, include proceeds of $9,676 relating to the refund of betterment levy for the fiscal year ended September 30, 2019 and proceeds from sale of property and equipment of $151 and $459, for the fiscal year ended September 30, 2019 and 2018, respectively.


AMDOCS LIMITED

Supplementary Information
 (In millions)

  Three months ended
  September 30,
2019
 June 30,
2019
 March 31,
2019
 December 31,
2018
 September 30,
2018
 North America $   644.2 $   643.9 $   634.2 $   660.5 $   638.2
 Europe  156.1  145.5  151.0  146.1  150.6
 Rest of the World  230.0  235.3  234.5  205.5  213.8
 Total Revenue $   1,030.3 $   1,024.7 $   1,019.7 $   1,012.1 $   1,002.6
                


  Three months ended
  September 30,
2019
 June 30,
2019
 March 31,
2019
 December 31,
2018
 September 30,
2018
Managed Services Revenue $   583.3 $   578.1 $   559.5 $   525.5 $   508.9
                


  As of
  September 30,
2019
 June 30,
2019
 March 31,
2019
 December 31,
2018
 September 30,
2018
12-Month Backlog $   3,490 $   3,400 $   3,390 $   3,370 $   3,360
                

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Source: Amdocs Management LTD