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Information about Segments and Geographic Areas
 3 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Information about Segments and Geographic Areas
11.
Information about Segments and Geographic Areas

The Company has one reportable segment, the development, marketing, and sale of network infrastructure equipment and related software. The Company conducts business globally and is managed geographically. Revenues are attributed to a geographical area. The Company operates in three geographical areas: Americas, EMEA, and APAC. See Note 3, Revenues, for additional information on the Company's revenues by geographic region.

Measure of segment profit or loss:

The Company’s chief operating decision maker (“CODM”), who is its Chief Executive Officer, reviews financial information presented on a consolidated basis and uses consolidated non-GAAP net income to measure segment profit or loss and to monitor period-over-period results to decide where to allocate and invest additional resources within the business.

Consolidated non-GAAP net income is exclusive of certain items that are non-recurring or not consistent with the Company's operations. The CODM reviews and utilizes functional expenses (costs of revenue, research and development, sales and marketing, and general and administrative) at the consolidated level to manage and assess the Company's operations. Other segment items included in consolidated non-GAAP net income are interest income, interest expense, other expense, net, and the provision for income taxes, which are reflected in the condensed consolidated statements of operations.

A reconciliation of consolidated GAAP net income (loss) to consolidated non-GAAP net income is shown in the table below:

 

 

Three Months Ended

 

 

 

September 30,
2025

 

 

September 30,
2024

 

GAAP net income (loss)

 

$

5,611

 

 

$

(10,504

)

Adjustments:

 

 

 

 

 

 

Share-based compensation expense

 

 

21,780

 

 

 

19,767

 

Restructuring and related charges

 

 

371

 

 

 

1,277

 

Litigation charges(1)

 

 

1,937

 

 

 

10,715

 

System transition costs(2)

 

 

4,925

 

 

 

5,345

 

Amortization of intangibles

 

 

1,093

 

 

 

1,118

 

Debt refinancing charges, Other expense

 

 

—

 

 

 

79

 

Tax effect of non-GAAP adjustments

 

 

(5,573

)

 

 

(5,398

)

Total adjustments to GAAP net income (loss)

 

$

24,533

 

 

$

32,903

 

Non-GAAP net income

 

$

30,144

 

 

$

22,399

 

(1)Litigation charges consist of estimated settlement and related legal expenses for non-recurring litigation offset by any proceeds received or expected to be received from insurance.

(2)System transition costs consist of costs related to direct and incremental costs incurred in connection with our multi-phase transition of our customer relationship management solution, our configure, price, quote solution and our enterprise resource planning tools that were not capitalizable.

Measure of segment assets:

The measure of segment assets that is reviewed by the CODM is reported within the condensed consolidated balance sheets as “Total assets.” Depreciation expense recorded for the three months ended September 30, 2025 and 2024 was $3.7 million, and $3.9 million, respectively. Total expenditures for additions to property, plant and equipment recorded for each of the three months ended September 30, 2025 and 2024 was $6.9 million.

The Company’s long-lived assets are attributed to the geographic regions as follows (in thousands):

 

 

 

 

 

 

September 30,
2025

 

 

June 30,
2025

 

Segment long-lived assets:

 

 

 

 

 

 

Americas

 

$

178,693

 

 

$

167,499

 

EMEA

 

 

38,900

 

 

 

40,299

 

APAC

 

 

9,865

 

 

 

10,550

 

Total segment long-lived assets

 

$

227,458

 

 

$

218,348