XML 57 R37.htm IDEA: XBRL DOCUMENT
v3.20.2

Income Taxes (Tables) | 12 Months Ended
--- | ---
Jun. 30, 2020
Income Tax Disclosure [Abstract] |
Schedule of Loss before Income Tax, Domestic and Foreign | Loss before income taxes is as follows (in thousands):
|  | Year Ended |
|  | June 30, |  |  | June 30, |  |  | June 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Domestic |  | $ | (143,651 | ) |  | $ | 22,330 |  |  | $ | (55,197 | )
Foreign |  |  | 23,159 |  |  |  | (48,204 | ) |  |  | 8,550 |
Loss before income taxes |  | $ | (120,492 | ) |  | $ | (25,874 | ) |  | $ | (46,647 | )
Schedule of Components of Income Tax Expense (Benefit) | The provision (benefit) for income taxes for the years ended 2020, 2019 and 2018 consisted of the following (in thousands):
|  | Year Ended |
|  | June 30, |  |  | June 30, |  |  | June 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | (22 | ) |  | $ | — |  |  | $ | (155 | )
State |  |  | 256 |  |  |  | 655 |  |  |  | 521 |
Foreign |  |  | 4,597 |  |  |  | 5,100 |  |  |  | 4,456 |
Total current |  |  | 4,831 |  |  |  | 5,755 |  |  |  | 4,822 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | 333 |  |  |  | (3,691 | ) |  |  | (6,358 | )
State |  |  | 44 |  |  |  | (488 | ) |  |  | 294 |
Foreign |  |  | 1,145 |  |  |  | (1,597 | ) |  |  | 1,387 |
Total deferred |  |  | 1,522 |  |  |  | (5,776 | ) |  |  | (4,677 | )
Provision (benefit) for income taxes |  | $ | 6,353 |  |  | $ | (21 | ) |  | $ | 145 |
Schedule of Effective Income Tax Rate Reconciliation | The difference between the provision (benefit) for income taxes and the amount computed by applying the federal statutory income tax rate (21 percent) to loss before taxes is explained below (in thousands):
|  | Year Ended |
|  | June 30, |  |  | June 30, |  |  | June 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Tax at federal statutory rate |  | $ | (25,303 | ) |  | $ | (5,433 | ) |  | $ | (13,061 | )
State income tax, net of federal benefit |  |  | 202 |  |  |  | 517 |  |  |  | 521 |
Release of foreign valuation allowance |  |  | — |  |  |  | (2,794 | ) |  |  | — |
Release of US valuation allowance – Tax reform |  |  | — |  |  |  | (4,680 | ) |  |  | — |
Establishment of Irish valuation allowance |  |  | — |  |  |  | 8,642 |  |  |  | — |
US valuation allowance change – deferred tax movement |  |  | 2,414 |  |  |  | (4,444 | ) |  |  | 25,302 |
Research and development credits |  |  | (4,947 | ) |  |  | (6,598 | ) |  |  | (7,311 | )
Tax impact of foreign earnings |  |  | 7,687 |  |  |  | 10,562 |  |  |  | (1,065 | )
Stock based compensation |  |  | 4,349 |  |  |  | 2,436 |  |  |  | (5,901 | )
Goodwill amortization |  |  | 331 |  |  |  | 834 |  |  |  | 2,004 |
Nondeductible officer compensation |  |  | 862 |  |  |  | 713 |  |  |  | 1,927 |
Nondeductible meals and entertainment |  |  | 364 |  |  |  | 517 |  |  |  | 510 |
AMT credit monetization |  |  | (22 | ) |  |  | — |  |  |  | (155 | )
Deferred tax liability release - Tax reform |  |  | — |  |  |  | — |  |  |  | (2,482 | )
Gain on transfer of intellectual property ("IP") |  |  | 19,819 |  |  |  | — |  |  |  | — |
Other |  |  | 597 |  |  |  | (293 | ) |  |  | (144 | )
Provision (benefit) for income taxes |  | $ | 6,353 |  |  | $ | (21 | ) |  | $ | 145 |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets are as follows (in thousands):
|  | June 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Deferred tax assets: |  |  |  |  |  |  |  |  |  |  |  |
Net operating loss carry-forwards |  | $ | 74,548 |  |  | $ | 36,514 |  |  | $ | 49,429 |
Tax credit carry-forwards |  |  | 67,364 |  |  |  | 54,745 |  |  |  | 48,093 |
Depreciation |  |  | 2,755 |  |  |  | 2,168 |  |  |  | 1,422 |
Intangible amortization |  |  | 32,642 |  |  |  | 36,882 |  |  |  | 35,107 |
Deferred revenue, net |  |  | 7,610 |  |  |  | 1,887 |  |  |  | 159 |
Inventory write-downs |  |  | 13,014 |  |  |  | 10,277 |  |  |  | 13,682 |
Other allowances and accruals |  |  | 32,318 |  |  |  | 30,210 |  |  |  | 25,700 |
Stock based compensation |  |  | 3,169 |  |  |  | 4,114 |  |  |  | 4,872 |
Deferred intercompany gain |  |  | 3,693 |  |  |  | 3,693 |  |  |  | — |
Irish goodwill amortization |  |  | 7,132 |  |  |  | — |  |  |  | — |
Other |  |  | 888 |  |  |  | 673 |  |  |  | 3,219 |
Total deferred tax assets |  |  | 245,133 |  |  |  | 181,163 |  |  |  | 181,683 |
Valuation allowance |  |  | (232,862 | ) |  |  | (169,343 | ) |  |  | (177,869 | )
Total net deferred tax assets |  |  | 12,271 |  |  |  | 11,820 |  |  |  | 3,814 |
Deferred tax liabilities: |  |  |  |  |  |  |  |  |  |  |  |
Goodwill amortization |  |  | (6,691 | ) |  |  | (4,904 | ) |  |  | (3,363 | )
Prepaid commissions |  |  | (1,958 | ) |  |  | (1,585 | ) |  |  | (1,034 | )
Deferred tax liability on foreign withholdings |  |  | (551 | ) |  |  | (505 | ) |  |  | (357 | )
Total deferred tax liabilities |  |  | (9,200 | ) |  |  | (6,994 | ) |  |  | (4,754 | )
Net deferred tax assets (liabilities) |  | $ | 3,071 |  |  | $ | 4,826 |  |  | $ | (940 | )
Recorded as: |  |  |  |  |  |  |  |  |  |  |  |
Net non-current deferred tax assets |  |  | 5,405 |  |  |  | 6,783 |  |  |  | 5,195 |
Net non-current deferred tax liabilities |  |  | (2,334 | ) |  |  | (1,957 | ) |  |  | (6,135 | )
Net deferred tax assets (liabilities) |  | $ | 3,071 |  |  | $ | 4,826 |  |  | $ | (940 | )
Schedule of Unrecognized Tax Benefits Roll Forward | A reconciliation of the beginning and ending amount of total unrecognized tax benefits is as follows (in thousands):
Balance at June 30, 2017 |  | $ | 18,913 |
Decrease related to prior year tax positions |  |  | (1,407 | )
Balance at June 30, 2018 |  |  | 17,506 |
Increase related to prior year tax positions |  |  | 26 |
Lapse of statute of limitations |  |  | (364 | )
Balance at June 30, 2019 |  |  | 17,168 |
Increase related to prior year tax positions |  |  | 8,906 |
Increase related to current year tax positions |  |  | 44 |
Decrease related to prior year tax positions |  |  | (1,800 | )
Lapse of statute of limitations |  |  | (421 | )
Balance at June 30, 2020 |  | $ | 23,897 |

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

X
- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32639-109319 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32537-109319 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=84230637&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of income before income tax between domestic and foreign jurisdictions. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)(1)(i)) -URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 + Details
Name: | us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the change in unrecognized tax benefits. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 55 -Paragraph 217 -URI http://asc.fasb.org/extlink&oid=121610041&loc=d3e36027-109320 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15A -URI http://asc.fasb.org/extlink&oid=84230637&loc=SL6600010-109319 + Details
Name: | us-gaap_ScheduleOfUnrecognizedTaxBenefitsRollForwardTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration