In the latest financial reporting, Broadridge Financial Solutions has demonstrated a solid financial performance for the fourth quarter and the full fiscal year 2025. The total revenues for the quarter concluded in June 2025 reached $2,065 million, reflecting a 6% increase compared to $1,944 million in the same quarter of the previous year.
A significant portion of this growth was attributed to recurring revenues, which saw a 7% rise, from $1,326 million to $1,424 million. This growth in recurring revenue was fueled by both Net New Business and Internal Growth efforts, as indicated by the company’s metrics. Event-driven revenues also showed a modest increase of 4%, rising to $79 million, attributed primarily to an uptick in mutual fund proxy communications, while distribution revenues grew by $21 million, or 4%, totaling $563 million. This increase in distribution revenue was notably impacted by postal rate hikes, which accounted for approximately $29 million of the rise, although it was somewhat tempered by a decline in mail volumes.
Operating income stood at $499 million, which marks a 13% increase, up from the previous year’s $442 million, thus improving the operating income margin from 22.7% to 24.1%. A crucial factor for this margin improvement was a reduction of $54 million in Restructuring and Other Related Costs in the current fiscal year.
However, the adjusted operating income experienced a slight decrease of 2 million, maintaining a flat performance overall with an adjusted operating income of $558 million. The adjusted operating income margin dropped to 27.0% from the prior year’s 28.8%, primarily due to the combined effects of increased operating expenses and fluctuations in distribution revenue alongside float income, which slightly dented margins by 10 basis points.
On the financing side, net interest expense reduced to $27 million, down by $6 million, primarily due to lowered average borrowings, indicating improved financial management or reduced debt obligations.
Bottom-line results showed a robust increase, with net earnings surging 16% to reach $374 million. Adjusted net earnings also saw a marginal increase of 1%, totaling $420 million. Correspondingly, diluted earnings per share increased by 16% to $3.16, while adjusted earnings per share crept up by 1% to $3.55.
In a reflection of continued confidence in its financial health and growth trajectory, Broadridge’s Board of Directors declared a quarterly dividend of $0.975 per share, set for payment on October 2, 2025, to stockholders noted on September 11, 2025. This announcement marks an 11% increase in the annual dividend from $3.52 to $3.90 per share. This was a notable milestone as it signifies the 19th consecutive year of annual dividend increases since the company’s IPO in 2007.
Overall, the financial results paint a picture of a company experiencing steady growth across key revenue segments, maintaining profitability, and managing costs effectively while rewarding shareholders with increased dividends.