$BR · BROADRIDGE FINANCIAL SOLUTIONS, INC.
Broadridge reported Q1 FY2027 results: total revenues of $1.669B (+5% YoY), recurring revenues of $1.083B (+11% CC), GAAP diluted EPS of $0.83 (-41% YoY), and adjusted EPS of $1.56 (+3% YoY). The GAAP EPS decline was driven by a $40M non-cash digital asset loss versus a $46M gain last year. FY2027 guidance was reaffirmed across all metrics.
- Recurring revenues grew 11% constant currency to $1,083M, with 9pts from organic growth.
- GAAP diluted EPS fell 41% YoY to $0.83, driven by a $40M non-cash loss on digital assets vs. a $46M gain last year.
- Adjusted EPS rose 3% to $1.56, matching the prior-year $1.51.
- Closed sales grew 10% to $36M; FY2027 closed sales guidance maintained at $290-$330M.
- Company repurchased $200M in shares during the quarter and paid $111M in dividends.
Extended-hours trading at $183.00, down 0.66% from the regular close of $184.22, suggesting mild negative reaction to the GAAP EPS miss and margin compression despite reaffirmed guidance. The $20.80B market cap limits outsized moves on a single quarter.
The 41% GAAP EPS drop masks underlying recurring revenue strength (+11% CC) and reaffirmed full-year guidance, creating a divergence between headline and core performance that investors must parse.
Broadridge's 11% recurring revenue growth and reaffirmed guidance contrast with fintech peers facing macro headwinds. The digital asset volatility and restructuring costs highlight the growing pains of its tokenization and AI pivot.
Non-cash digital asset losses swung $86M YoY (from +$46M gain to -$40M loss), introducing earnings volatility. Event-driven revenues dropped 41% on lower mutual fund proxy activity, a structural headwind. Restructuring costs rose to $15.2M from $4.4M.