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SEGMENTS (Tables) | 3 Months Ended
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Sep. 30, 2016
Segment Reporting [Abstract] |
Reconciliation of Net Revenue and EBITDA | The following tables present selected net revenue and Segment Adjusted EBITDA (in thousands):
| Three months ended September 30,
Net Revenue | 2016 | 2015
Supply Chain Services |  |
Net administrative fees | $ | 125,976 |  | $ | 117,949 |
Other services and support | 1,645 |  | 819 |
Services | 127,621 |  | 118,768 |
Products | 106,129 |  | 77,781 |
Total Supply Chain Services | $ | 233,750 |  | $ | 196,549 |
Performance Services | 79,522 |  | 74,286 |
Total | $ | 313,272 |  | $ | 270,835 |
| Three months ended September 30,
Segment Adjusted EBITDA | 2016 | 2015
Supply Chain Services | $ | 117,304 |  | $ | 102,949 |
Performance Services | 22,311 |  | 24,925 |
Corporate | (28,842 | ) | (22,877 | )
Total | $ | 110,773 |  | $ | 104,997 |
Reconciliation of Segment Adjusted EBITDA to Operating Income | A reconciliation of Segment Adjusted EBITDA to income before income taxes is as follows (in thousands):
| Three months ended September 30,
| 2016 | 2015
Segment Adjusted EBITDA | $ | 110,773 |  | $ | 104,997 |
Depreciation and amortization | (14,018 | ) | (11,865 | )
Amortization of purchased intangible assets | (9,209 | ) | (6,047 | )
Stock-based compensation expense (a) | (5,896 | ) | (13,700 | )
Acquisition related expenses (b) | (2,937 | ) | (3,472 | )
Strategic and financial restructuring expenses (c) | — |  | (27 | )
Adjustment to tax receivable agreement liability (d) | 5,722 |  | 4,818 |
ERP implementation expenses (e) | (1,094 | ) | (560 | )
Acquisition related adjustment - deferred revenue (f) | (151 | ) | (3,092 | )
Equity in net income of unconsolidated affiliates (g) | (9,579 | ) | (4,590 | )
Deferred compensation plan expense | (1,095 | ) | 1,809 |
Operating income | $ | 72,516 |  | $ | 68,271 |
Equity in net income of unconsolidated affiliates (g) | 9,579 |  | 4,590 |
Interest and investment income, net | (152 | ) | 241 |
Loss on disposal of long-lived assets | (1,518 | ) | — |
Other expense, net (h) | 1,006 |  | (1,809 | )
Income before income taxes | $ | 81,431 |  | $ | 71,293 |
(a) | Represents non-cash employee stock-based compensation expense and $0.1 million and $0.2 million stock purchase plan expense in the three months ended September 30, 2016 and 2015, respectively.
(b) | Represents legal, accounting and other expenses related to acquisition activities.
(c) | Represents legal, accounting and other expenses directly related to strategic and financial restructuring expenses.
(d) | Represents adjustment to tax receivable agreement liability for a 1% decrease in the North Carolina state income tax rate during the three months ended September 30, 2016 and 2015.
(e) | Represents implementation and other costs associated with the implementation of a new enterprise resource planning ("ERP") system.
(f) | Represents non-cash adjustment to deferred revenue of acquired entities. Business combination accounting rules require the Company to record a deferred revenue liability at its fair value only if the acquired deferred revenue represents a legal performance obligation assumed by the acquirer. The fair value is based on direct and indirect incremental costs of providing the services plus a normal profit margin. Generally, this results in a reduction to the purchased deferred revenue balance, which was based on upfront fees associated with software license updates and product support contracts assumed in connection with acquisitions. Because these support contracts are typically one year in duration, our GAAP revenues for the one year period subsequent to the acquisition of a business do not reflect the full amount of support revenues on these assumed support contracts that would have otherwise been recorded by the acquired entity. The Non-GAAP adjustment to software license updates and product support revenues is intended to include, and thus reflect, the full amount of such revenues.
(g) | Represents equity in net income of unconsolidated affiliates primarily generated by the Company's 50% ownership interest in Innovatix and 49% ownership interest in FFF, all of which is included in the supply chain services segment.
(h) | Represents unrealized gain on deferred compensation plan assets and losses on investments and other assets.
Schedule of Capital Expenditures, Total Assets and Depreciation and Amortization Expense | The following tables present capital expenditures, total assets and depreciation and amortization expense (in thousands):
| Three months ended September 30,
Capital Expenditures | 2016 | 2015
Supply Chain Services | $ | — |  | $ | 764 |
Performance Services | 16,851 |  | 15,263 |
Corporate | 115 |  | 1,114 |
Total | $ | 16,966 |  | $ | 17,141 |
Total Assets | September 30, 2016 | June 30, 2016
Supply Chain Services | $ | 411,810 |  | $ | 345,219 |
Performance Services | 971,834 |  | 934,588 |
Corporate | 506,020 |  | 575,576 |
Total | $ | 1,889,664 |  | $ | 1,855,383 |
| Three months ended September 30,
Depreciation and Amortization Expense (a) | 2016 | 2015
Supply Chain Services | $ | 466 |  | $ | 517 |
Performance Services | 20,875 |  | 15,924 |
Corporate | 1,886 |  | 1,471 |
Total | $ | 23,227 |  | $ | 17,912 |
(a) | Includes amortization of purchased intangible assets.

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- Definition Tabular disclosure of all significant reconciling items in the reconciliation of total assets from reportable segments to the entity's consolidated assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599 + Details
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- Definition Tabular disclosure of the reconciliation of profit (loss) from reportable segments to the consolidated income (loss) before income tax expense (benefit) and discontinued operations. Includes, but is not limited to, reconciliation after income tax if income tax is allocated to the reportable segment. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 + Details
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- Definition Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 25 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8813-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=35741047&loc=d3e13816-109267 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8736-108599 + Details
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