XML 30 R21.htm IDEA: XBRL DOCUMENT
v3.22.2

Segment and Related Information | 6 Months Ended
--- | ---
Jun. 30, 2022
Segment Reporting [Abstract] |
Segment and Related Information | Segment and Related Information We provide integrated information management solutions and services for the public sector. We provide our software systems and services and appraisal services through seven business units, which focus on the following products: •financial management, education and planning, regulatory, and maintenance software solutions; •financial management, municipal courts, planning, regulatory, and maintenance software solutions; •courts and justice and public safety software solutions; •data and insights solutions; •appraisal and tax software solutions, land and vital records management software solutions, and property appraisal services; •development platform solutions including case management and business process management; and •NIC digital government and payments solutions. In accordance with ASC 280-10, Segment Reporting, we report our results in two reportable segments. The Enterprise Software ("ES") reportable segment provides public sector entities with software systems and services to meet their information technology and automation needs for mission-critical “back-office” functions. The business units presented in the ES reportable segment are the following: financial management, education and planning, regulatory, and maintenance software solutions; financial management, municipal courts, planning, regulatory, and maintenance software solutions; courts and justice and public safety software solutions; data and insights solutions; and appraisal and tax software solutions, land and vital records management software solutions, and property appraisal services. The Platform Technologies ("PT") reportable segment provides public sector entities with software solutions to perform transaction processing, streamline data processing, and improve operations and workflows. The business units presented in the PT reportable segment are the following: NIC digital government and payments solutions and development platform solutions. We evaluate performance based on several factors, of which the primary financial measure is business segment operating income. We define segment operating income for our business units as income before non-cash amortization of intangible assets associated with their acquisitions, interest expense, and income taxes. Segment operating income includes intercompany transactions. The majority of intercompany transactions relate to contracts involving more than one unit and are valued based on the contractual arrangement. Corporate segment operating loss primarily consists of compensation costs for the executive management team, certain shared services staff, and share-based compensation expense for the entire company. Corporate segment operating income also includes revenues and expenses related to a company-wide user conference. As of January 1, 2022, the appraisal and tax software solutions, land and vital records management software solutions, and property appraisal service business unit, which was previously reported in the Appraisal & Tax ("A&T") reportable segment, was moved to the ES reportable segment and the NIC digital government and payments solutions and development platform solutions moved to the PT reportable segment to reflect changes in the way in which management makes operating decisions, allocates resources, and manages the growth and profitability of the Company. As the result of the changes in our reportable segments, the former A&T and NIC reportable segments are no longer considered separate segments. Prior year amounts for the ES and PT reportable segments have been adjusted to reflect the segment change.
For the three months ended June 30, 2022 |  | Enterprise Software |  | Platform Technologies |  | Corporate |  | Totals
Revenues |  |  |  |  |  |  |  |
Software licenses and royalties |  | $ | 14,623 |  |  | $ | 386 |  |  | $ | — |  |  | $ | 15,009 |
Subscriptions |  | 128,694 |  |  | 127,122 |  |  | — |  |  | 255,816 |
Software services |  | 41,841 |  |  | 21,284 |  |  | — |  |  | 63,125 |
Maintenance |  | 110,760 |  |  | 6,055 |  |  | — |  |  | 116,815 |
Appraisal services |  | 8,812 |  |  | — |  |  | — |  |  | 8,812 |
Hardware and other |  | 5,498 |  |  | — |  |  | 3,610 |  |  | 9,108 |
Intercompany |  | 5,342 |  |  | — |  |  | (5,342) |  |  | — |
Total revenues |  | $ | 315,570 |  |  | $ | 154,847 |  |  | $ | (1,732) |  |  | $ | 468,685 |
Segment operating income (loss) |  | $ | 102,090 |  |  | $ | 36,301 |  |  | $ | (53,991) |  |  | $ | 84,400 |
For the three months ended June 30, 2021 |  | Enterprise Software |  | Platform Technologies |  | Corporate |  | Totals
Revenues |  |  |  |  |  |  |  |
Software licenses and royalties |  | $ | 16,239 |  |  | $ | 1,365 |  |  | $ | — |  |  | $ | 17,604 |
Subscriptions |  | 102,617 |  |  | 96,941 |  |  | — |  |  | 199,558 |
Software services |  | 42,478 |  |  | 10,859 |  |  | — |  |  | 53,337 |
Maintenance |  | 109,815 |  |  | 9,806 |  |  | — |  |  | 119,621 |
Appraisal services |  | 6,265 |  |  | — |  |  | — |  |  | 6,265 |
Hardware and other |  | 4,748 |  |  | 3 |  |  | 2,939 |  |  | 7,690 |
Intercompany |  | 5,621 |  |  | — |  |  | (5,621) |  |  | — |
Total revenues |  | $ | 287,783 |  |  | $ | 118,974 |  |  | $ | (2,682) |  |  | $ | 404,075 |
Segment operating income (loss) |  | $ | 100,067 |  |  | $ | 26,021 |  |  | $ | (64,554) |  |  | $ | 61,534 |
For the six months ended June 30, 2022 |  | Enterprise Software |  | Platform Technologies |  | Corporate |  | Totals
Revenues |  |  |  |  |  |  |  |
Software licenses and royalties |  | $ | 30,728 |  |  | $ | 787 |  |  | $ | — |  |  | $ | 31,515 |
Subscriptions |  | 249,010 |  |  | 252,249 |  |  | — |  |  | 501,259 |
Software services |  | 84,490 |  |  | 40,132 |  |  | — |  |  | 124,622 |
Maintenance |  | 221,455 |  |  | 12,389 |  |  | — |  |  | 233,844 |
Appraisal services |  | 17,330 |  |  | — |  |  | — |  |  | 17,330 |
Hardware and other |  | 12,612 |  |  | — |  |  | 3,610 |  |  | 16,222 |
Intercompany |  | 10,931 |  |  | — |  |  | (10,931) |  |  | — |
Total revenues |  | $ | 626,556 |  |  | $ | 305,557 |  |  | $ | (7,321) |  |  | $ | 924,792 |
Segment operating income (loss) |  | $ | 208,619 |  |  | $ | 67,034 |  |  | $ | (107,450) |  |  | $ | 168,203 |
For the six months ended June 30, 2021 |  | Enterprise Software |  | Platform Technologies |  | Corporate |  | Totals
Revenues |  |  |  |  |  |  |  |
Software licenses and royalties |  | $ | 30,611 |  |  | $ | 1,926 |  |  | $ | — |  |  | $ | 32,537 |
Subscriptions |  | 201,946 |  |  | 100,091 |  |  | — |  |  | 302,037 |
Software services |  | 84,895 |  |  | 16,082 |  |  | — |  |  | 100,977 |
Maintenance |  | 219,284 |  |  | 19,449 |  |  | — |  |  | 238,733 |
Appraisal services |  | 12,730 |  |  | — |  |  | — |  |  | 12,730 |
Hardware and other |  | 8,906 |  |  | 18 |  |  | 2,939 |  |  | 11,863 |
Intercompany |  | 10,897 |  |  | — |  |  | (10,897) |  |  | — |
Total revenues |  | $ | 569,269 |  |  | $ | 137,566 |  |  | $ | (7,958) |  |  | $ | 698,877 |
Segment operating income (loss) |  | $ | 198,920 |  |  | $ | 29,244 |  |  | $ | (115,046) |  |  | $ | 113,118 |
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
Reconciliation of reportable segment operating income to the Company's consolidated totals: |  | 2022 |  | 2021 |  | 2022 |  | 2021
Total segment operating income |  | $ | 84,400 |  |  | $ | 61,534 |  |  | $ | 168,203 |  |  | $ | 113,118 |
Amortization of acquired software |  | (14,039) |  |  | (11,823) |  |  | (27,260) |  |  | (19,787) |
Amortization of customer and trade name intangibles |  | (13,604) |  |  | (11,420) |  |  | (28,318) |  |  | (16,832) |
Interest expense |  | (6,214) |  |  | (12,437) |  |  | (11,018) |  |  | (12,915) |
Other income, net |  | 216 |  |  | 238 |  |  | 581 |  |  | 804 |
Income before income taxes |  | $ | 50,759 |  |  | $ | 26,092 |  |  | $ | 102,188 |  |  | $ | 64,388 |

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration