Good morning. My name is Jenisha and I will be your conference facilitator. At this time I would like to welcome everyone to the Broadridge Financial Solutions Fourth Quarter and FY '15 Earnings Conference Call. I would like to inform you that this call is being recorded. [Operator Instructions]. I will now turn the conference over to Brian Shipman, Vice President, Head of Investor Relations. Please go ahead, sir.

Thank you. Good morning, everyone and welcome to the Broadridge quarterly earnings call and webcast for the fourth quarter and FY '15 results. This morning I'm here with Rich Daly, our President and Chief Executive Officer; and Jim Young, our Chief Financial Officer. I trust by now that everyone has had the opportunity to review the earnings release we issued this morning. The news release and slide presentations that accompanied today's earnings call and webcast can be found on the investor relations page at Broadridge.com. During today's call we will discuss some forward-looking statements regarding Broadridge that involve risk. These risks are summarized on slide 2. We also encourage participants to refer to our SEC filings, including our annual report on form 10K, for a complete discussion of forward-looking statements and the risk factors faced by our business. Our adjusted FY '15 earnings results exclude the impact of acquisition amortization and other costs. These costs are significant and we believe the non-GAAP information provides investors with a more complete understanding of Broadridge's underlying operating results. A description of these non-GAAP adjustments and reconciliations to the comparable GAAP measures can be found in the earnings release and webcast presentation. Now, let's review today's agenda. Rich Daly will start today's call with his opening remarks and will provide you with a summary of the financial highlights for the fourth quarter and FY '15, followed by a discussion of a few key topics. Jim Young will then review the financial results in further detail. Rich will then provide some closing thoughts before the Q&A portion of the call. So let me now turn the call over to Rich. Rich?

Thanks, Brian. Good morning, everyone. Let's begin on slide 4 with the key points we hope that you will take away from this call. To start, I am pleased with our performance for the fourth quarter and FY '15. Driven by recurring fee revenue momentum, mainly from net new business, the strong fourth quarter performance enabled Broadridge to achieve another record year highlighted by 10% growth and adjusted diluted EPS. Our FY '15 results and FY '16 guidance are consistent with the three-year objectives we presented at our latest Investor Day this past December. These three-year objectives include 7% to 10% recurring fee growth and 9% to 11% adjusted net earnings growth on a compounded annual growth rate basis. I am very pleased with our recurring revenue closed sales results which achieved another record year. The very strong recurring revenue closed sales results, coupled with our exceptional client revenue retention levels, highlight the value of that Broadridge is creating for our clients. The demand for our products and solutions remains strategically aligned with the growing importance of the key industry trends of mutualization, digitization and data and analytics. Growing the business organically remains core to our strategy and this strong performance is key to our future revenue growth. As part of our goal to achieve top-quartile total shareholder return over any multi-year period, we have stated that our priorities include a sound capital stewardship strategy, including a commitment to paying a meaningful dividend, the continuous reinvestment in the business through selective tuck-in acquisitions and internal product development, as well as the repurchase of our stock. During the fourth quarter we continued to execute on our capital allocation strategy by deploying $77 million to acquire the fiduciary services and competitive intelligence unit of Thomson Reuters Lipper and we also repurchased $106…

Thank you, Rich. Good morning, everyone. Before discussing slide 8 and the details of our results, I will begin with some call-outs. First, our Q4 and full-year performance, as a reminder, Q4 is seasonally our largest quarter of the fiscal year, accounting for approximately 55% of our full-year earnings, with proxy season falling in this period. In Q4 we delivered 7% recurring fee revenue growth and 5% total revenue growth, with healthy net new business additions and stock record position growth. Adjusted diluted EPS grew 21% to $1.40, as we comped an investment-heavy fourth quarter a year ago. Full-year adjusted diluted EPS grew 10% to $2.47 which was the midpoint of our original guidance range and consistent with the outlook we provided last quarter. Second, acquisitions, in the quarter we closed two transactions, the acquisition of the trade processing business of M&T Banks Wilmington Trust closed in April, as we discussed in our last earnings call. We also closed the acquisition of the fiduciary services and competitive intelligence unit from Thomson Reuters in June for $77 million. This data solutions and market intelligence business is about a $20 million per year revenue business. Both acquisitions contributed very modestly to Q4 results. Overall, the four acquisitions completed in the fiscal year added less than 1 point of revenue growth and were slightly dilutive, less than $0.01, to adjusted diluted EPS for FY '15. I will add a bit more on their planned contribution to FY '16 when I cover our guidance. Third, other uses of cash, in addition to the $138 million in acquisitions in the quarter, we deployed $106 million, net of proceeds from options exercised, to repurchase approximately 2 million shares at an average price per share of $53.57. This brings our share repurchase, net of proceeds from options…

Thanks, Jim. Please turn to slide 12 for my concluding remarks before we finally open it up to your questions. I am pleased with our performance for the fourth quarter and FY '15. Our strong financial performance was driven by recurring revenue momentum, mainly from net new business. As a result, Broadridge achieved another record year, highlighted by a 10% growth in adjusted diluted EPS. Our FY '16 guidance calls for the acceleration of recurring revenues which builds on FY '15's strong sales performance and exceptional client revenue retention rates. And our FY '15 results and FY '16 guidance keep us on the path towards achieving our three-year objectives that we presented at our latest Investor Day. These three-year objectives include 7% to 10% recurring fee growth and 9% to 11% adjusted net earnings growth on a compounded annual growth rate basis over the three-year period ending FY17. Recurring revenue closed sales results achieved another record year. The very strong recurring revenue closed sales, coupled with our exceptional client revenue retention rate of 97%, highlight the value that Broadridge is creating for our clients. The demand for our products and solutions remains strategically aligned with the growing importance of the key industry trends of mutualization, digitization and data and analytics. Growing the business organically remains core to our strategy and the strong recurring revenue closed sales and client revenue retention performance is key to our future revenue growth. As part of our goal to achieve top-quartile total shareholder return over any multi-year period, we have stated that our priorities include, a sound capital stewardship strategy, including a commitment to paying a meaningful dividend; the continuous investment in the business through selective tuck-in acquisitions and internal product development; and the repurchase of our stock. During FY '15, we deployed over $400…

[Operator Instructions]. Your first question comes from the line of David Togut of Evercore ISI.

This is Mike Landau in for David. Could you comment on the amount of R&D investment spending executed in this quarter versus your internal plan? And how should we think about investment spending in FY '16 as far as quantifying the R&D spend and specific product focus?

Obviously we spent a lot of time talking about our discrete investment spending in FY '14. I think as we talked about in FY '15, we've got a big expense base of over $2 billion and are continuously investing in our business, so to make a specific call out on R&D just wouldn't be meaningful. And it's not how is it about managing every day the business because we've got various investments that range from resiliency in cyber security to new product development and data and analytics and the like. So there's no specific call out that I can give you other than to tell you that investment is a priority and we make plenty of room in our operating plans every year to continue to invest in the business.

When Jim joined us, Jim looked at all the things that we do in Broadridge and helped me really get to the conclusion that doing call-outs of specific numbers, whether it be $20 million or $40 million, when we're spending over $400 million on technology a year. For example, this year we had investments that we made on things like cyber which differentiate us in the market, resiliency which again makes us the industry standard. We have the right level of investment in the business and one of the messages that we hope everyone takes away from this call is that we're having very strong growth. These investments we've made in the future are paying off, but we want to maintain the opportunity to grow. So I talked about a long-term philosophy of choosing top-line growth versus driving shorter-term views on margin growth and that ties into that investment philosophy as well. And so ideally I'd love to maintain the revenue growth, continue to invest in the business, but not have it be, except for dialogue or calling out exceptions, but just make it growing momentum across Broadridge, of investing in the business to create a more differentiated environment and an environment that we can continue to grow at the rate we're planning for 2016.

Michael, just one more thought on that as well. As you think about R&D, the way we approach new product development also includes tuck-in acquisitions. So if you look beyond the P&L and the overall cash flow statement, we deployed over $200 million on tuck-in acquisitions. Obviously there's further investment on top of that as we achieve those synergies and build out the business case for that. So it's important to look at it all-in. When we think about the overall level of investment, it's pretty significant, whether it's specific with tuck-in acquisitions or just normal everyday investment-type spend.

And then as a quick follow up, can you update us on the progress and pipeline of potential new customer wins abroad?

Okay. We all are pleased with the pipeline worldwide. I'm not going to provide this with digital accuracy right now. But my sense is certainly what I stated in the call about our confidence in the growing pipeline, including very detailed updates that I am participating in, we feel very, very good about. My sense is that I can't tell you specifically with digital accuracy that it's this percentage of growth internationally versus this percentage of growth here, that overall the pipeline is growing across the globe. And the recognition of our brand, we believe and are pleased, is growing equally across the globe.

Your next question comes from the line of Chris Donat if Sandler O'Neill.

I had one question on uses of cash and acquisitions here. I know you can't really guide to it, but would it be reasonable to expect a similar level of acquisitions in FY '16? And can you comment a little bit about what you see as opportunities to acquire? Is it the similar environment we've seen? Or has anything changed with expectations for potentially acquired companies and valuations?

Sure. As we've always talked about, acquisitions does have the same predictability that you would have when you're putting together an operating plan to run the business. We laid out on Investor Day and overall target, one, recognizing that we had opportunities to use cash and that by taking our debt to EBITDA ratio up over the three years; we had about $1.2 billion that we could look at deploying out there. The fact that we did round numbers, one-third of that between tuck-in acquisitions this year, is purely a remarkable coincidence. So we would like to be deploying at about the same level we did this year, but the acquisition piece just doesn't have that predictability in terms of when deals fall, what the size of the deal or whether they will happen and/or not. As I've always said, we're not going to deviate from the criteria for the sake of doing a deal. We're pleased with what we executed this year. If we had a similar year next year, I would be very pleased by that. But it's not the same as talking about a sales target or talking about an earnings target. So I really can't tell you that with any degree of confidence, that you should expect the same acquisition number next year. I will tell you we have a desire to look for the type of transactions we've done. If we did more next year, I would be happier. Okay? I will tell you that I think the market for us has remained relatively consistent because we're not looking at the mega-deals; we're looking at things that are worth more under our umbrella. So our ability to close it at a price that is acceptable to the seller as well as a price that's attractive to us, because we believe under our umbrella it's going to be worth more, because it gets better brand recognition, we leverage or sales distribution channel and the deals that we've done all are great examples of that. We think that's given us a more stable pricing. We will not look to things that don't meet our strategic criteria. If we were, I would say probably the market is getting a little pricier out there. But those are not the deals we look at. Similar to what a private equity firm would look at or others who don't look to leverage a set of expertise. So I would like it to be more the same. We have the intent to execute across the three-year goals. Based on the success we had this year, we're confident that we're on a good path to execute across those three-year goals. But the acquisition part of those three-year goals could be slightly higher than what we overall desire, slightly less, because it's just not something that one has a digital accuracy on.

And then on the debt to EBITDAR, it looks like is ticking up of a tenth of a turn, a quarter number. Is that a fair way to think about it increasing or creeping up over the next few quarters to get to that 2.1 adjusted debt to EBITDAR ratio? Not jumping up, but working its way up slowly? Is that a fair way to think about it?

Yes, Chris, it's been moving up in that direction. Remember, the things that are going to drive that are going to be some of the acquisition activity and if we engage in more share repurchase that's going to drive that up. Obviously, from a free cash flow standpoint, the business generates a lot of free cash flow. So it's going to take some of these more significant deployments of cash to drive that up. We will monitor that and as you know, that's a trailing measure. So also the EBITDAR metric itself is going to continue to increase as well which will be a bit of an offset. I would expect, as I think about your question, Chris, that it could be a little bit lumpier as we deploy cash against various opportunities.

Your next question comes from the line of Peter Heckmann of Avondale.

Okay. Jim, trying to confirm, from the four deals we're looking for somewhere around $100 million, maybe a little bit more than $100 million in annual revenue, with about $25 million being passed through. Is that approximately right?

Yes, that's a pretty good estimate, Pete.

Okay. And then, I'm sorry if you said it, I may have missed it, guidance for weighted average shares for FY '16, did you mention that? Do you expect shares to fall? Or are you expecting, for your guidance purposes, are you expecting a flat share count?

We did. Pete, I mentioned about down to about 122 million weighted average diluted shares was what we've assumed.

And then, Rich, could you comment on some of the scrutiny on mutual fund fees, distribution fees, that the SEC is looking at? Does that have the potential to impact any of your businesses in fund distribution? Or are there opportunities from the standpoint of increased disclosure or other reasons?

Pete, I am not aware, related to what we do and what our clients engage us to be their agent for, of any dialogues around fees. Because that was all part of the PFAC activities that concluded with registrants, including mutual funds, saying we like what Broadridge does, we want them to keep doing it, we want them to keep deploying technology to make the process more efficient. Our comments on the SEC on what is, in essence, a disclosure proposal about increasing disclosure of fund activities, there's only about 30 pages out of, I think it's 400 or 500 pages that are related to notice and access activity. That is not talking about the distribution fees in any way, shape or form. So I really don't believe that's a topic on the table. As I said, as it relates to the recent proposal regarding increasing disclosure, there is a piece in there about notice and access. There's a lot of good data that we think we can share with the SEC. If the intent is to try to make the process more cost effective for registrants and investors alike, with technology and even summary documents, we think that there is a better way to save substantially more money, as well as not lose eyeballs but increase eyeballs viewing of documents which we believe that is very aligned with what the SEC's and the Commissioner and Chair's overall goals.

Okay. Yes, I was looking specifically at the scrutiny on 12b-1 fees to compensate broker-dealers for record keeping. I had thought that there was a business unit required Matrix or another that would generate a portion of the revenue stream from 12b-1 fees.

What Matrix gets it is paid on basis points. All right? And it's a relatively low number. It really does versus other retirement or K options, really enable the underlying beneficial owner to have a much more lower cost of investing. I do believe that the dialogues that are going on actually will drive more people to a Matrix efficiency model versus some of the higher fee-cost models out there. So I regularly talk with clients about the need to look at Matrix versus some higher fee-cost products that are out there.

Your next question comes from the line of Stephanie Davis of JPMorgan.

I noticed that you guys saw a year-over-year decline in recurring revenue closed sales for the quarter. How much of that was delays versus a need to replenish the pipeline, given stronger large sales in the past two quarters? If you'd give us some color on how pipeline looks for 2016.

Sure. So Stephanie, I will tell you that I and my cardiologist are extraordinarily pleased the way sales flowed this year. We've had some remarkable June -- fourth quarters from your point of view and from my point of view Junes and even last days in June in the past. So when we talked a couple of years ago about investing in the sales process, about bringing in very, very strong industry leadership, like Chris Perry, this is where we were hoping to get to. Now, that doesn't mean that sales are not going to be lumpy going forward and you really -- it's just not the nature of what we do, like a retailer where we can tell you based on last year what this year should be. I am very pleased at the $146 million recurring revenue total. I am very pleased at the way it flowed more naturally over the year. I can't guarantee that will continue. But if it did, I for one would be very, very happy. We're certainly looking to do everything we can to not have the fourth quarter rush that we've historically had every year since we have been a public company, with the exception of last year, obviously. You mentioned pipeline.

Yes.

Okay. As I said in the call, our confidence feels very, very good, including a growing pipeline. And not only that, but our process management around that pipeline is also, under the new leadership, is stronger than it's ever been.

Consulting revenue model, it's working?

Consultative sales, yes.

Yes. All right, and then one other question.

And Stephanie, we continue to invest in that.

Good, good to hear. On the mutual fund side, I saw a little bit of a downtick versus my model levels, in recurring and event-driven. Is there any read-through from that and what's happening in the mutual fund space? Or is that coincidence?

Mutual fund growth for us has been one of the strongest activities we've had. Although we always monitor these, the market itself, as you know, given your firm and the industry you follow, the market can have heating up and cooling off periods. It's far less noticeable in fund activity which throughout the financial crisis, positions continued to grow for us. As we go further into a world of from defined benefit to defined contribution and where more and more people need to plan for their future and not rely on others, funds still seems to be the vehicle of choice. So and that's why we make the investments that we're making in the mutual fund area overall, including our acquisition of the Wilmington piece for Matrix. So we feel overall very good about fund activity and about fund growth. We're right now are not reading anything into this as being systemic or for that matter, even that cyclical worth noting.

Okay, good to hear. And moving on to that part about M&A, could you walk us through quickly how recent M&A has ramped and what's coming in ahead of or below plan?

The acquisitions completed, Stephanie?

Yes.

Obviously we're very pleased with the way the portfolio is performing. You remember the last four came in basically January 1 on, so I would say everything is on plan, two of which closed in the fourth quarter. So it's too early to declare victory, although we're pleased with the pace of integration. Broadridge has developed a pretty good muscle in terms of how to bring these things on board and that's no small feat. It's hard to do. But I would say entering next year, we feel good with how we set up the operating plan relative to the business cases that we set out for these companies. But it's still early days for each of those new four acquisitions.

[Operator Instructions]. I'm showing that we have no further questions at this time. I will now turn the call over to Mr. Rich Daly for closing remarks.

Thank you. First of all, I want to thank everybody for their participation today. We know that this was a rather lengthy script that we shared with you. We didn't do it cavalierly. There was an awful lot of information going on about the strong activity that we had last year, the acquisitions, the strong revenue growth, lots of industry activities. And we want to be in a position by sharing that with you on the call, whether it be in the upcoming investor launch or as Jim, Brian and I go on the road to meet with Key investors, we're fully in the position in the full spirit of FD to be able to discuss our strategy, discuss these opportunities and truly share our enthusiasm about where we're and where we think Broadridge can go as we go forward. So with that, I hope to see many of you at the investor lunch on Tuesday, August 11 in New York City. Choose to have a great day. Looking out the window it's probably not going to be that tough to do. Thank you so much.