XML 33 R11.htm IDEA: XBRL DOCUMENT

GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Jun. 30, 2024

4.GOODWILL AND INTANGIBLE ASSETS

The changes in the carrying amount of goodwill by segment for fiscal 2023 and 2024 are as follows (in thousands):


			Optoelectronics
			and
	Security		Manufacturing		Healthcare
	Division		Division		Division		Consolidated
Balance as of June 30, 2022	$	225,555	$	67,615	$	43,187	$	336,357
Goodwill acquired or adjusted during the period		5,021		2,574		5,161		12,756
Foreign currency translation adjustment		86		199		107		392
Balance as of June 30, 2023	$	230,662	$	70,388	$	48,455	$	349,505
Goodwill acquired or adjusted during the period		1,628		827		—		2,455
Foreign currency translation adjustment		(75)		(408)		3		(480)
Balance as of June 30, 2024	$	232,215	$	70,807	$	48,458	$	351,480

Intangible assets consisted of the following (dollar amounts in thousands):


		June 30, 2023						June 30, 2024
	Weighted	Gross						Gross
	Average	Carrying		Accumulated		Intangibles		Carrying		Accumulated		Intangibles
	Lives	Value		Amortization		Net		Value		Amortization		Net
Amortizable assets:
Software development costs	7 years	$	77,844	$	(20,285)	$	57,559	$	79,228	$	(10,646)	$	68,582
Patents	19 years		8,636		(3,404)		5,232		9,116		(3,861)		5,255
Developed technology	10 years		68,274		(38,353)		29,921		70,186		(45,740)		24,446
Customer relationships	7-8 years		55,780		(39,101)		16,679		51,113		(41,421)		9,692
Total amortizable assets			210,534		(101,143)		109,391		209,643		(101,668)		107,975
Non-amortizable assets:
In-process R&D			533		—		533		—		—		—
Trademarks			30,933		—		30,933		31,554		—		31,554
Total intangible assets		$	242,000	$	(101,143)	$	140,857	$	241,197	$	(101,668)	$	139,529

Amortization expense related to intangible assets was $17.7 million, $19.0 million and $22.8 million for fiscal 2022, 2023 and 2024, respectively.

At June 30, 2024, the estimated future amortization expense was as follows (in thousands):


2025	$	15,531
2026		12,144
2027		8,544
2028		5,602
2029		3,686
Thereafter		62,468
Total	$	107,975

Software development costs for software products incurred before establishing technological feasibility are charged to operations. Software development costs incurred after establishing technological feasibility are capitalized on a product-by-product basis until the product is available for general release to customers at which time amortization begins. Annual amortization, charged to cost of goods sold, is the amount computed using the ratio that current revenues for a product bear to the total current and anticipated future revenues for that product. In the event that future revenues are not estimable, such costs are amortized on a straight-line basis over the remaining estimated economic life of the product. Amortizable assets that have not yet begun to be amortized are included in “Thereafter” in the table above. During fiscal 2022, 2023 and 2024, we capitalized software development costs in the amounts of $15.2 million, $16.2 million and $16.6 million, respectively.