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Recently Issued Accounting Pronouncements | 12 Months Ended
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Jun. 30, 2018
Accounting Policies [Abstract] |
Recently Issued Accounting Pronouncements | In May 2017, the FASB issued guidance that clarifies the types of changes to the terms or conditions of share-based payment awards to which an entity would be required to apply modification accounting under the relevant authoritative guidance and is to be applied prospectively. The guidance is effective for the Company in the first quarter of fiscal 2019 and early adoption is permitted. The Company does not anticipate the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In November 2016, the FASB issued guidance on the classification and presentation of restricted cash and cash equivalent amounts and related supplementary information, on the statement of cash flows. Under the new guidance, amounts generally described as restricted cash and cash equivalents are included with cash and cash equivalents, when reconciling the beginning-of-period and end-of-period of total amounts shown. The guidance is effective for the Company in the first quarter of fiscal 2019 and early adoption is permitted. Other than changes in the presentation within the statements of cash flows and additional required disclosures, the Company does not anticipate the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In October 2016, the FASB issued guidance that requires entities to recognize at the transaction date the income tax consequences of intra-entity transfer of an asset other than inventory. The guidance is effective for the Company in the first quarter of fiscal 2019. The Company does not anticipate the adoption of this guidance to have a material impact on our Consolidated Financial Statements. In June 2016, the FASB issued guidance that changes the accounting for recognizing impairments of financial assets. Under the new guidance, credit losses for certain types of financial instruments will be estimated based on expected losses. The new guidance also modifies the impairment models for available-for-sale debt securities and for purchased financial assets with credit deterioration since their origination. The guidance is effective for the Company in the first quarter of fiscal 2021 and earlier adoption is permitted. The Company is evaluating the impact of adopting this new accounting guidance on its Consolidated Financial Statements. In February 2016, the FASB issued guidance on lease accounting which will require lessees to recognize assets and liabilities on their balance sheet for the rights and obligations created by operating leases and will also require disclosures designed to give financial statement users information on the amount, timing and uncertainty of cash flows arising from leases. The guidance requires a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The guidance is effective for the Company in the first quarter of fiscal 2020 and early adoption is permitted. While the Company is not yet in a position to assess the full impact of the application of the new guidance, the Company expects adoption of this guidance will materially increase the assets and liabilities recorded on its Consolidated Balance Sheets. In May 2014, the FASB issued new authoritative guidance related to revenue recognition from contracts with customers. This new guidance will replace current U.S. GAAP guidance on this topic and eliminate industry-specific guidance. The new guidance provides a unified model to determine when and how revenue is recognized. The core principle of the new guidance is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration for which the entity expects to be entitled in exchange for those goods or services. This new guidance allows for either full retrospective adoption or modified retrospective adoption. In accordance with the new standard’s effective date, the Company adopted the new standard on July 1, 2018 using the full retrospective method and will restate each prior reporting period presented. In preparation for adoption of the new guidance, the Company formed a cross functional implementation team and updated policies, processes, systems and internal control over financial reporting where impacted by the new guidance. The most significant impact of the new standard relates to accounting for software revenue. Specifically, for software solutions bundled with post-contract support (PCS) and/or services where VSOE has not been established for the PCS and/or the services, revenue will be recognized predominantly at the time of billing and transfer of control rather than ratably over the life of the support term. Due to the complexity of certain contracts, the actual revenue recognition treatment required under the standard will depend on contract-specific terms and in some instances may vary from recognition at the time of billing. Revenue recognition related to the remainder of the Company’s product and service contracts will remain substantially unchanged. Adoption of the standard is expected to result in a reduction of revenue recognized of $5.4 million and $7.6 million for fiscal years 2018 and 2017, respectively, primarily due to the net change in timing of software related revenue. The new standard has no impact to cash provided by or used in operating, financing, or investing activities in our consolidated statements of cash flows. The impact of the change on income from operations, the provision for income taxes, net income and earnings per share for the fiscal years 2018 and 2017 is still being evaluated. See below for expected impact on Total Net Revenues and Gross Profit resulting from the adoption of the standard (in millions):
| Years Ended
| June 30, 2018 |  | July 1, 2017
| As Reported |  | Period Adjustment |  | As Adjusted |  | As Reported |  | Period Adjustment |  | As Adjusted
Total Net Revenues | $880.4 |  | $(5.4) |  | $875.0 |  | $811.4 |  | $(7.6) |  | $803.8
Gross Profit | $492.2 |  | $(4.6) |  | $487.6 |  | $486.0 |  | $(8.1) |  | $477.9

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- Definition The entire disclosure for all significant accounting policies of the reporting entity. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -URI http://asc.fasb.org/topic&trid=2122369 + Details
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