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Income Taxes (Tables) | 12 Months Ended
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Jun. 30, 2022
Income Tax Disclosure [Abstract] |
Schedule of Income Loss Before Income Tax Expense | The domestic and foreign components of income before provision for income taxes are as follows (in thousands):
|  | Year Ended June 30, |
|  | 2022 |  |  | 2021 |  |  | 2020 |
Domestic |  | $ | 421,942 |  |  | $ | 471,711 |  |  | $ | 379,414 |
Foreign |  |  | 32,630 |  |  |  | 27,904 |  |  |  | 22,223 |
Income before income taxes |  | $ | 454,572 |  |  | $ | 499,615 |  |  | $ | 401,637 |
Schedule of Components of Income Tax Expense | The components of income tax expense are as follows (in thousands):
|  | Year Ended June 30, |
|  | 2022 |  |  | 2021 |  |  | 2020 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 66,956 |  |  | $ | (94,143 | ) |  | $ | 42,268 |
State and local |  |  | 1,372 |  |  |  | 19,958 |  |  |  | 14,744 |
Foreign |  |  | 9,880 |  |  |  | 7,384 |  |  |  | 5,271 |
Total current |  |  | 78,208 |  |  |  | (66,801 | ) |  |  | 62,283 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | (12,884 | ) |  |  | 109,157 |  |  |  | 12,940 |
State and local |  |  | 22,140 |  |  |  | 185 |  |  |  | 5,465 |
Foreign |  |  | 314 |  |  |  | (369 | ) |  |  | (531 | )
Total deferred |  |  | 9,570 |  |  |  | 108,973 |  |  |  | 17,874 |
Total income tax expense |  | $ | 87,778 |  |  | $ | 42,172 |  |  | $ | 80,157 |
Schedule of Effective Income Tax Rate Reconciliation | Income tax expense differs from the amounts computed by applying the U.S. federal statutory income tax rate of 21.0% as a result of the following (in thousands):
|  | Year Ended June 30, |
|  | 2022 |  |  | 2021 |  |  | 2020 |
Expected tax expense computed at federal statutory rate |  | $ | 95,460 |  |  | $ | 104,919 |  |  | $ | 84,344 |
State and local taxes, net of federal benefit |  |  | 21,295 |  |  |  | 21,252 |  |  |  | 15,965 |
Remeasurement of current year NOL |  |  | (1,124 | ) |  |  | (56,192 | ) |  |  | — |
R&D tax credit, net |  |  | (15,708 | ) |  |  | (18,173 | ) |  |  | (10,700 | )
Stock-based compensation |  |  | (3,981 | ) |  |  | (5,525 | ) |  |  | (10,900 | )
Nonincludible and nondeductible items, net |  |  | 1,588 |  |  |  | (2,269 | ) |  |  | 3,133 |
Remeasurement of deferred taxes |  |  | (5,629 | ) |  |  | — |  |  |  | — |
Other |  |  | (4,123 | ) |  |  | (1,840 | ) |  |  | (1,685 | )
Total income tax expense |  | $ | 87,778 |  |  | $ | 42,172 |  |  | $ | 80,157 |
Effective income tax rate |  |  | 19.3 | % |  |  | 8.4 | % |  |  | 20.0 | %
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that give rise to deferred taxes are presented below (in thousands):
|  | June 30, |
|  | 2022 |  |  | 2021 |
Deferred tax assets: |  |  |  |  |  |  |  |
Operating lease liabilities |  | $ | 99,997 |  |  | $ | 110,282 |
Reserves and accruals |  |  | 46,513 |  |  |  | 58,900 |
Credits and net operating loss carryovers |  |  | 6,647 |  |  |  | 39,123 |
Deferred compensation and post-retirement obligations |  |  | 31,537 |  |  |  | 36,183 |
Stock-based compensation |  |  | 11,907 |  |  |  | 11,767 |
Interest rate swaps |  |  | — |  |  |  | 6,800 |
Other |  |  | — |  |  |  | 2,757 |
Total deferred tax assets |  |  | 196,601 |  |  |  | 265,812 |
Deferred tax liabilities: |  |  |  |  |  |  |  |
Goodwill and other intangible assets |  |  | (318,150 | ) |  |  | (291,282 | )
Property, plant and equipment |  |  | (102,940 | ) |  |  | (167,527 | )
Operating lease right-of-use assets |  |  | (80,551 | ) |  |  | (90,186 | )
Deferred revenue |  |  | (34,850 | ) |  |  | (35,115 | )
Prepaid expenses |  |  | (11,162 | ) |  |  | (8,932 | )
Interest rate swaps |  |  | (4,954 | ) |  |  | — |
Other |  |  | (835 | ) |  |  | — |
Total deferred tax liabilities |  |  | (553,442 | ) |  |  | (593,042 | )
Net deferred tax liability |  | $ | (356,841 | ) |  | $ | (327,230 | )
The deferred tax assets and liabilities were revalued in fiscal 2022 due to a reduction in the blended state effective tax rate.
Schedule of Unrecognized Tax Benefits | Changes in the Company’s liability for unrecognized tax benefits is shown in the table below (in thousands):
|  | Year Ended June 30, |
|  | 2022 |  |  | 2021 |  |  | 2020 |
Beginning of year |  | $ | 31,505 |  |  | $ | 8,826 |  |  | $ | 1,530 |
Additions based on prior year tax positions |  |  | 8,221 |  |  |  | 20,025 |  |  |  | 5,003 |
Additions based on current year tax positions |  |  | 8,313 |  |  |  | 5,702 |  |  |  | 2,293 |
Settlement with taxing authorities |  |  | (5,229 | ) |  |  | (3,048 | ) |  |  | — |
End of year |  | $ | 42,810 |  |  | $ | 31,505 |  |  | $ | 8,826 |

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