Broadridge Announces CFO Transition

Rhea-AI Summary

Broadridge Financial Solutions (NYSE: BR) has announced the resignation of Edmund Reese, its Chief Financial Officer (CFO), effective June 30, 2024. Reese will join Aon, a major global professional services firm. Ashima Ghei, currently CFO of Broadridge's Investor Communication Solutions segment, will serve as Interim CFO. Broadridge is conducting a search for a permanent successor considering both internal and external candidates.

During Reese's tenure since 2020, Broadridge's market cap increased by 38% to $24 billion, and its recurring revenue and Adjusted EPS grew by 11% and 12%, respectively. Ghei, who joined Broadridge in 2022, has a strong background, including 18 years at American Express.

Positive

• Broadridge's market capitalization grew by 38% to $24 billion during Edmund Reese's tenure.
• Annualized recurring revenue and Adjusted EPS grew by 11% and 12%, respectively, from fiscal year 2020 to fiscal year 2023.
• Interim CFO Ashima Ghei has a proven track record, including her role as CFO of Broadridge's Investor Communication Solutions segment.
• Broadridge is conducting a thorough search process for a permanent CFO, considering both internal and external candidates.

Negative

• The departure of Edmund Reese might lead to short-term uncertainty among investors.
• The interim period with a temporary CFO could affect financial stability and decision-making.
• A change in leadership might disrupt current financial strategies and objectives.

NEW YORK, June 4, 2024 /PRNewswire/ -- Broadridge Financial Solutions, Inc. (NYSE:BR) announced today that Edmund Reese, Chief Financial Officer, will be stepping down from his role, effective June 30, 2024, to become Chief Financial Officer of Aon, a $61 billion market capitalization global professional services firm.

Ashima Ghei, who is currently the Chief Financial Officer of Broadridge's $4.5 billion revenue Investor Communication Solutions segment, will serve as Interim Chief Financial Officer. Broadridge has initiated a search process for a permanent successor that will include both internal and external candidates.

"I want to thank Edmund for his strong contributions and leadership over the past four years. He has been a valuable partner, and I wish him continued success in his next role," said Tim Gokey, CEO of Broadridge. "He leaves Broadridge poised to deliver another year of steady and consistent growth, on track to achieve our three-year financial objectives, and financially strong."

"As CFO of our largest business, Ashima Ghei has played a key role in driving the strong performance of our Investor Communication Solutions segment over the past two years. I look forward to working even more closely with Ashima in her role as Interim CFO," Mr. Gokey added.

"It has been a privilege to serve as Broadridge's Chief Financial Officer and contribute to its consistent growth," said Mr. Reese. "I depart confident that Broadridge is well-positioned to deliver on its three-year financial objectives with a long runway for continued growth."

Mr. Reese has served as Broadridge's CFO since 2020, playing a key role in driving Broadridge's strong financial performance. During his tenure, Broadridge's market capitalization grew 38% to $24 billion while annualized recurring revenue and Adjusted EPS grew 11% and 12%, respectively, from fiscal year 2020 to fiscal year 2023.

Ms. Ghei has served as the Chief Financial Officer of Broadridge's Investor Communication Solutions segment since January 2022 and is a member of the company's Executive Leadership Team.  Prior to joining Broadridge, Ms. Ghei spent 18 years at American Express, where she held a range of increasingly senior roles in Finance and Business strategy, most recently serving as Head of Merchant Pricing for the Americas. She holds an undergraduate degree in Economics from Delhi University and an MBA from Indian Institute of Management Calcutta.

Forward Looking Statements

This press release and other written or oral statements made from time to time by representatives of Broadridge may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not historical in nature, and which may be identified by the use of words such as "expects," "assumes," "projects," "anticipates," "estimates," "we believe," "could be," "on track," and other words of similar meaning, are forward-looking statements. In particular, statements about our current fiscal year and about our three-year objectives are forward-looking statements.

These statements are based on management's expectations and assumptions and are subject to risks and uncertainties that may cause actual results to differ materially from those expressed. These risks and uncertainties include those risk factors described and discussed in Part I, "Item 1A. Risk Factors" of our Annual Report on Form 10-K for the year ended June 30, 2023 (the "2023 Annual Report"), as they may be updated in any future reports filed with the Securities and Exchange Commission. All forward-looking statements speak only as of the date of this press release and are expressly qualified in their entirety by reference to the factors discussed in the 2023 Annual Report.

About Broadridge

Broadridge Financial Solutions (NYSE: BR), a global Fintech leader with over $6 billion in revenues, provides the critical infrastructure that powers investing, corporate governance, and communications to enable better financial lives. We deliver technology-driven solutions that drive business transformation for banks, broker-dealers, asset and wealth managers and public companies. Broadridge's infrastructure serves as a global communications hub enabling corporate governance by linking thousands of public companies and mutual funds to tens of millions of individual and institutional investors around the world. Our technology and operations platforms underpin the daily trading of more than $10 trillion of equities, fixed income and other securities globally. A certified Great Place to Work®, Broadridge is part of the S&P 500® Index, employing over 14,000 associates in 21 countries.

For more information about us, please visit https://www.broadridge.com

Contact information:

Investors
broadridgeir@broadridge.com   

Media
Gregg.rosenberg@broadridge.com

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SOURCE Broadridge Financial Solutions, Inc.

FAQ

What is the effective date of Edmund Reese's resignation as CFO of Broadridge?

Edmund Reese will step down as CFO of Broadridge on June 30, 2024.

Who will serve as the Interim CFO of Broadridge after Edmund Reese?

Ashima Ghei will serve as the Interim CFO of Broadridge.

What is the market capitalization of Broadridge following Reese's tenure?

Broadridge's market capitalization increased to $24 billion during Reese's tenure.

What are the growth rates of Broadridge’s recurring revenue and Adjusted EPS during Reese's tenure?

Broadridge's annualized recurring revenue and Adjusted EPS grew by 11% and 12%, respectively, from fiscal year 2020 to fiscal year 2023.

Who will Edmund Reese join after leaving Broadridge?

Edmund Reese will become the CFO of Aon, a global professional services firm with a $61 billion market capitalization.

What is Ashima Ghei's background before joining Broadridge?

Before joining Broadridge, Ashima Ghei spent 18 years at American Express, holding various senior roles in Finance and Business strategy.

What educational qualifications does Ashima Ghei hold?

Ashima Ghei holds an undergraduate degree in Economics from Delhi University and an MBA from the Indian Institute of Management Calcutta.