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Broadridge Delivers Impressive Results for Fourth Quarter and Fiscal Year 2026

Broadridge Financial Solutions, Inc. (NYSE:BR) has recently released its financial results for the fourth quarter and full fiscal year 2026, showcasing a resilient performance despite challenging market dynamics. The reported numbers reveal an increase in key financial metrics, underscoring the firm’s solid positioning in the financial services sector.

Financial Highlights

In the fourth quarter of fiscal year 2026, Broadridge reported total revenues of $2,220 million, marking a 7% increase from the prior year quarter's $2,065 million. For the entire fiscal year, total revenues reached $7,477 million, demonstrating a 9% rise from $6,889 million in fiscal year 2025.

Recurring revenues, a critical measure of financial health for Broadridge, grew by 8% in both reported and constant currency terms to reach $1,542 million in the fourth quarter, while annual recurring revenues stood at $4,878 million. This growth was attributed to organic expansion within Investor Communication Solutions (ICS) and Global Technology and Operations (GTO), as well as strategic acquisitions that bolstered performance.

In terms of earnings, diluted earnings per share (EPS) surged by 35% to $9.60 from $7.10, reflecting a 12% increase in adjusted EPS year-on-year. Closed sales in the fourth quarter amounted to $158 million, a 39% increase compared to $114 million in the same period last year, contributing to a total of $305 million for the fiscal year—up 6% from the previous fiscal year.

Operational Efficiency and Growth Strategies

Broadridge's CEO, Tim Gokey, expressed confidence in the company’s forward trajectory. He noted, "We are building the infrastructure for the markets of tomorrow," emphasizing their focus on Governance solutions for tokenized assets and the transformation of collateral management. This strategy not only enhances shareholder engagement but positions Broadridge as a leader amidst technological advancements in the industry.

The company recorded a free cash flow conversion rate of 110%, enabling significant shareholder returns through stock repurchases and a 12% increase in the annual dividend to $4.36 per share. This marks the 20th consecutive year of dividend growth, an achievement that reflects Broadridge's commitment to delivering value to its shareholders.

Looking Ahead to Fiscal Year 2027

For the upcoming fiscal year, Broadridge provided guidance of 6-8% recurring revenue growth in constant currency and 8-12% growth in adjusted EPS. The projections signal strong operational momentum as the company continues to leverage technological advancements and enhance its service offerings.

Gokey's optimistic outlook is backed by a comprehensive strategy that includes focusing on Agentic AI to drive productivity and growth within the firm. He reiterated Broadridge’s intent to maintain its robust capital allocation strategies and continue meeting its financial performance objectives.

In conclusion, Broadridge’s results for the fourth quarter and fiscal year 2026 reflect a strong and growing company poised to innovate and lead in the rapidly evolving financial services landscape. With consistent revenue and earnings growth, high cash flow conversion rates, and an unwavering commitment to shareholder returns, Broadridge is well-positioned for continued success amidst a competitive market environment.

For more information about Broadridge Financial Solutions and to read the full financial report, please visit Broadridge’s Investor Relations page.