Leases

12 Months Ended

Jun. 30, 2024

We have operating leases with initial noncancelable lease terms in excess of one year covering the rental of various facilities and equipment. Certain of these leases contain renewal options and some provide options to purchase during the lease term. Our operating leases include leases for real estate for some of our office and manufacturing facilities as well as manufacturing and non-manufacturing equipment used in our business. The remaining lease terms for these operating leases range from 1 year to 10 years.

We have finance leases with initial noncancelable lease terms in excess of one year covering the rental of various facilities and equipment. Certain of these leases contain renewal options and some provide options to purchase during the lease term. These leases are generally for manufacturing and non-manufacturing equipment used in our business and warehouse facilities. The remaining lease terms for these finance leases range from 1 year to 10 years.

As of June 30, 2024 and 2023, the weighted-average discount rate of our operating leases was 4.9% and 3.6%, respectively. As of June 30, 2024 and 2023, the weighted-average discount rate of our finance leases was 2.5% and 1.7%, respectively.

The components of lease expense in each of the years ended June 30 have been provided as follows:


	2024		2023		2022
Operating lease cost in Cost of Sales and Selling, General and Administrative Expenses	$	10,004	$	9,702	$	9,246
Finance lease cost:
Amortization of assets in Cost of Sales and Selling, General and Administrative Expenses	$	2,056	$	2,228	$	2,413
Interest on lease liabilities in Other, Net	66		97		153
Total finance lease cost	$	2,122	$	2,325	$	2,566
Short-term lease cost in Cost of Sales and Selling, General and Administrative Expenses	5,653		4,362		4,639
Total net lease cost	$	17,779	$	16,389	$	16,451

Supplemental balance sheet information related to leases at June 30 is as follows:


	2024		2023
Operating Leases
Operating Lease Right-Of-Use Assets	$	55,128	$	24,743

Current operating lease liabilities in Accrued Liabilities	$	10,335	$	8,821
Noncurrent Operating Lease Liabilities	44,557		16,967
Total operating lease liabilities	$	54,892	$	25,788

Finance Leases


Finance lease right-of-use assets in Property, Plant and Equipment-Net	$	2,861	$	4,682

Current finance lease liabilities in Accrued Liabilities	$	1,993	$	1,944
Noncurrent finance lease liabilities in Other Noncurrent Liabilities	782		2,255
Total finance lease liabilities	$	2,775	$	4,199

Supplemental cash flow information related to leases in each of the years ended June 30 is as follows:


	2024		2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	10,199	$	9,848	$	9,603
Operating cash flows from finance leases	$	66	$	97	$	153
Financing cash flows from finance leases	$	1,958	$	2,334	$	2,655

Supplemental noncash information on operating lease liabilities arising from obtaining right-of-use assets	$	38,318	$	5,698	$	16,617

Supplemental noncash information on finance lease liabilities arising from obtaining right-of-use assets	$	534	$	—	$	334

As of June 30, 2024, the maturities of lease liabilities were as follows:


	Operating Leases		Finance Leases
2025	$	12,775	$	2,042
2026	11,390		375
2027	8,397		69
2028	5,752		69
2029	5,489		69
Thereafter	22,697		312
Total minimum payments	$	66,500	$	2,936
Less amount representing interest	(11,608)		(161)
Present value of lease obligations	$	54,892	$	2,775

As of June 30, 2024 and 2023, the weighted-average remaining term of our operating leases was 7.1 years and 3.4 years, respectively. As of June 30, 2024 and 2023, the weighted-average remaining term of our finance leases was 2.7 years and 2.1 years, respectively.