XML 20 R13.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Balance Sheet Accounts | 6 Months Ended
--- | ---
Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Balance Sheet Accounts | 4. Balance Sheet Accounts Cash and Cash Equivalents The Company considers highly liquid investments with maturities of three months or less at the date of purchase to be cash equivalents. The following table summarizes the Company's cash and cash equivalents (in thousands):
|  | December 31, 2023 |  |  | June 30, 2023 |
Cash |  | $ | 211,526 |  |  | $ | 227,675 |
Cash equivalents |  |  | 9,877 |  |  |  | 7,151 |
Total cash and cash equivalents |  | $ | 221,403 |  |  | $ | 234,826 |
Inventories Inventories are stated at the lower of cost, or net realizable value. Extreme uses a standard cost methodology to determine the cost basis for its inventories. Cost is computed using standard cost, which approximates actual cost, on a first-in, first-out basis. The Company adjusts the carrying value of its inventory when conditions exist that suggest that inventory may be in excess of anticipated demand or is obsolete based upon assumptions about future demand. At the point of loss recognition, a new, lower-cost basis for that inventory is established, and subsequent changes in facts and circumstances do not result in the restoration or increase in that newly established cost basis. Any previously written down or obsolete inventory subsequently sold has not had a material impact on gross margin for any of the periods presented. The following table summarizes the Company's inventory by category (in thousands):
|  | December 31, 2023 |  |  | June 30, 2023 |
Finished goods |  | $ | 124,668 |  |  | $ | 78,180 |
Raw materials |  |  | 27,853 |  |  |  | 10,844 |
Total inventories |  | $ | 152,521 |  |  | $ | 89,024 |
Property and Equipment, Net The following table summarizes the Company's property and equipment, net by category (in thousands):
|  | December 31, 2023 |  |  | June 30, 2023 |
Computers and equipment |  | $ | 83,633 |  |  | $ | 81,612 |
Purchased software |  |  | 54,378 |  |  |  | 51,444 |
Office equipment, furniture and fixtures |  |  | 9,002 |  |  |  | 8,899 |
Leasehold improvements |  |  | 51,563 |  |  |  | 48,943 |
Total property and equipment |  |  | 198,576 |  |  |  | 190,898 |
Less: accumulated depreciation and amortization |  |  | (150,978 | ) |  |  | (144,450 | )
Property and equipment, net |  | $ | 47,598 |  |  | $ | 46,448 |
Deferred Revenue Deferred revenue represents invoiced amounts for deferred maintenance, SaaS, and other deferred revenue including professional services and training when the revenue recognition criteria have not been met. Guarantees and Product Warranties The majority of the Company’s hardware products are shipped with either a one-year warranty or a limited lifetime warranty, and software products receive a 90-day warranty. Upon shipment of products to its customers, the Company estimates expenses for the cost to repair or replace products that may be returned under warranty and accrues a liability in cost of product revenues for this amount. The determination of the Company’s warranty requirements is based on actual historical experience with the product or product family, estimates of repair and replacement costs, and any product warranty problems that are identified after shipment. The Company estimates and adjusts these accruals at each balance sheet date in accordance with changes in these factors. The following table summarizes the activity related to the Company’s product warranty liability during the following periods (in thousands):
|  | Three Months Ended |  |  | Six Months Ended |
|  | December 31, 2023 |  |  | December 31, 2022 |  |  | December 31, 2023 |  |  | December 31, 2022 |
Balance beginning of period |  | $ | 12,164 |  |  | $ | 11,522 |  |  | $ | 12,322 |  |  | $ | 10,852 |
New warranties issued |  |  | 2,777 |  |  |  | 3,807 |  |  |  | 6,451 |  |  |  | 7,815 |
Warranty expenditures |  |  | (3,544 | ) |  |  | (3,509 | ) |  |  | (7,376 | ) |  |  | (6,847 | )
Balance end of period |  | $ | 11,397 |  |  | $ | 11,820 |  |  | $ | 11,397 |  |  | $ | 11,820 |
To facilitate sales of its products in the normal course of business, the Company indemnifies its resellers and end-user customers with respect to certain matters. The Company has agreed to hold the customer harmless against losses arising from intellectual property infringement and certain other losses. These agreements may limit the time within which an indemnification claim can be made and the amount of the claim. It is not possible to estimate the maximum potential amount under these indemnification agreements due to the limited history of prior indemnification claims and the unique facts and circumstances involved in each particular agreement. Historically, payments made by the Company under these agreements have not had a material impact on its operating results or financial position. Concentrations The Company may be subject to concentration of credit risk as a result of certain financial instruments consisting of accounts receivable. See Note 3, Revenues, for the Company’s accounts receivable concentration. The Company does not invest an amount exceeding 10% of its combined cash in the securities of any one obligor or maker, except for obligations of the United States government, obligations of United States government agencies, and money market accounts.

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

X
- Definition The entire disclosure for supplemental balance sheet disclosures, including descriptions and amounts for assets, liabilities, and equity. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 210 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//210/tableOfContent + Details
Name: | us-gaap_SupplementalBalanceSheetDisclosuresTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration