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Summary of Significant Accounting Policies Summary of Significant Accounting Principles (Tables)

6 Months Ended

Dec. 31, 2021

Accounting Policies [Abstract]

Schedule of Error Corrections and Prior Period Adjustments

For the year ended June 30, 2021 and three months ended September 30, 2021, we incorrectly recognized $7,518 and $9,027, respectively, of gains in other income (expense), net. This error overstated other income (expense), net; income (loss) before income taxes; and net income for both periods but did not have an impact on cash provided by operating activities, since it is a non-cash currency item. Included below are the revisions made for each period presented.

Consolidated Balance Sheets			As of September 30, 2021
			Reported						Adjustments						Revised
Accumulated other comprehensive loss			$	(83,732)					$	16,545					$	(67,187)
Retained earnings			532,414						(16,545)						515,869
			As of June 30, 2021
			Reported						Adjustments						Revised
Accumulated other comprehensive loss			$	(79,000)					$	7,518					$	(71,482)
Retained earnings			537,677						(7,518)						530,159
Consolidated Statements of Operations			Three months ended September 30, 2021
			Reported						Adjustments						Revised
Other income (expense), net			$	22,197					$	(9,027)					$	13,170
Income (loss) before income taxes			13,448						(9,027)						4,421
Net income (loss)			4,067						(9,027)						(4,960)
Net income (loss) attributable to Cimpress plc			2,329						(9,027)						(6,698)
Net income (loss) per share attributable to Cimpress plc:
Basic			$	0.09					$	(0.35)					$	(0.26)
Diluted			$	0.09					$	(0.35)					$	(0.26)
Consolidated Statements of Comprehensive Loss			Three months ended September 30, 2021
			Reported						Adjustments						Revised
Net income (loss)			$	4,067					$	(9,027)					$	(4,960)
Foreign currency translation losses, net of hedges			(9,210)						9,027						(183)
Consolidated Statements of Shareholders' Deficit			Three months ended September 30, 2021
			Reported						Adjustments						Revised
Net income (loss) attributable to Cimpress plc			$	2,329					$	(9,027)					$	(6,698)
Foreign currency translation, net of hedges			(8,353)						9,027						674
Consolidated Statements of Cash Flows			Three months ended September 30, 2021
			Reported						Adjustments						Revised
Net income (loss)			$	4,067					$	(9,027)					$	(4,960)
Effect of exchange rate changes on monetary assets and liabilities denominated in non-functional currency			(8,853)						9,027						174

Consolidated Statements of Operations			Year ended June 30, 2021
			Reported						Adjustments						Revised
Other income (expense), net			$	(11,835)					$	(7,518)					$	(19,353)
Loss before income taxes			(56,036)						(7,518)						(63,554)
Net loss			(74,939)						(7,518)						(82,457)
Net loss attributable to Cimpress plc			(77,711)						(7,518)						(85,229)
Net loss per share attributable to Cimpress plc:
Basic			$	(2.99)					$	(0.29)					$	(3.28)
Diluted			$	(2.99)					$	(0.29)					$	(3.28)
Consolidated Statements of Comprehensive (Loss) Income			Year ended June 30, 2021
			Reported						Adjustments						Revised
Net loss			$	(74,939)					$	(7,518)					$	(82,457)
Foreign currency translation losses, net of hedges			5,397						7,518						12,915
Consolidated Statements of Shareholders' Equity (Deficit)			Year ended June 30, 2021
			Reported						Adjustments						Revised
Net loss attributable to Cimpress plc			$	(77,711)					$	(7,518)					$	(85,229)
Foreign currency translation, net of hedges			3,765						7,518						11,283
Consolidated Statements of Cash Flows			Year ended June 30, 2021
			Reported						Adjustments						Revised
Net loss			$	(74,939)					$	(7,518)					$	(82,457)
Effect of exchange rate changes on monetary assets and liabilities denominated in non-functional currency			(7,278)						7,518						240

Presentation of Revenue and Cost of Revenue

During the first quarter of fiscal 2022, we identified an immaterial error related to the presentation of revenue for one-to-one design service arrangements that overstated revenue and cost of revenue for the period from October 1, 2020 through June 30, 2021. On October 1, 2020 we acquired the 99designs business, which is presented as part of our Vista reportable segment, and after acquisition we recognized revenue on a gross basis as if we were the principal to the transactions. During the first quarter of fiscal 2022, we reconsidered the guidance of ASC 606-10-55-39 and confirmed we are the principal for contest arrangements; however, the one-to-one design service portion of 99designs revenue is governed by different terms and conditions. We evaluated whether we have control over these services before the design is transferred to the customer, as we leverage a network of third-party designers to fulfill this offering. The pricing and fulfillment responsibility aspects of the one-to-one design arrangements led us to conclude we are an agent to these specific transactions.

The revision for the three and six months ended December 31, 2020 is summarized in the table below.

Consolidated Statements of Operations			Three months ended December 30, 2020
			Reported						Adjustments						Revised
Revenue			$	786,145					$	(5,241)					$	780,904
Cost of revenue			385,979						(5,241)						380,738
			Six months ended December 31, 2020
			Reported						Adjustments						Revised
Revenue			$	1,372,645					$	(5,241)					$	1,367,404
Cost of revenue			684,823						(5,241)						679,582

The impact of this revision will result in a decrease to revenue and cost of revenue for the third quarter of fiscal 2021 of $5,489 and for fiscal year 2021 of $16,552.

Debt Securities, Held-to-maturity

The following is a summary of the net carrying amount, unrealized losses, and fair value of held-to-maturity securities by type and contractual maturity as of December 31, 2021 and June 30, 2021.

			December 31, 2021
			Amortized cost												Unrealized losses						Fair value
Due within one year or less:
Commercial paper			$	47,490											$	(12)					$	47,478
Corporate debt securities			99,709												(102)						99,607
Total due within one year or less			147,199												(114)						147,085
Due between one and two years:
Corporate debt securities			27,693												(126)						27,567
Total held-to-maturity securities			$	174,892											$	(240)					$	174,652

			June 30, 2021
			Amortized cost												Unrealized losses						Fair value
Due within one year or less:
Commercial paper			$	74,463											$	(28)					$	74,435
Corporate debt securities			77,785												(57)						77,728
Total due within one year or less			152,248												(85)						152,163
Due after one year through two years:
Corporate debt securities			50,713												(90)						50,623
Total held-to-maturity securities			$	202,961											$	(175)					$	202,786

Interest and Other Income

The following table summarizes the components of other income (expense), net:

			Three Months Ended December 31,												Six Months Ended December 31,
			2021						2020						2021						2020
Gains (losses) on derivatives not designated as hedging instruments (1)			$	6,481					$	(19,020)					$	19,808					$	(32,515)
Currency-related gains, net (2)(3)			5,551						1,809						5,874						5,884
Other gains			807						13						327						679
Total other income (expense), net			$	12,839					$	(17,198)					$	26,009					$	(25,952)

_____________________

(1) Primarily relates to both realized and unrealized gains and losses on derivative currency forward and option contracts not designated as hedging instruments, as well as certain interest rate swap contracts that have been de-designated from hedge accounting due to their ineffectiveness.

(2) We have significant non-functional currency intercompany financing relationships that we may change at times and are subject to currency exchange rate volatility. The currency-related gains, net are primarily driven by this intercompany activity for the periods presented. In addition, we have certain cross-currency swaps designated as cash flow hedges which hedge the remeasurement of certain intercompany loans; both are presented in the same component above. Unrealized gains related to cross-currency swaps were $3,067 and $6,356 during the three and six months ended December 31, 2021, respectively, while there were unrealized losses of $6,085 and $11,522 during the three and six months ended December 31, 2020, respectively.

(3) During the second quarter of fiscal year 2022, we identified an immaterial error and revised our previously reported results to reduce the gains presented above by $9,027 for the six months ended December 31, 2021. Refer to the "Revision of Prior Period Financial Statements" section above for additional details.

Schedule of Weighted Average Number of Shares

The following table sets forth the reconciliation of the weighted-average number of ordinary shares:

			Three Months Ended December 31,												Six Months Ended December 31,
			2021						2020						2021						2020
Weighted average shares outstanding, basic			26,096,786						26,003,649						26,084,518						25,974,823
Weighted average shares issuable upon exercise/vesting of outstanding share options/RSUs/warrants (1)			305,917						380,811						408,740						415,450
Shares used in computing diluted net income per share attributable to Cimpress plc			26,402,703						26,384,460						26,493,258						26,390,273
Weighted average anti-dilutive shares excluded from diluted net income per share attributable to Cimpress plc			567,220						3,129						292,834						1,565

___________________

(1) On May 1, 2020, we entered into a financing arrangement with Apollo Global Management, Inc., which included 7-year warrants with a strike price of $60 that have a potentially dilutive impact on our weighted average shares outstanding. For the three and six months ended December 31, 2021, the weighted average dilutive effect of the warrants was 281,884 and 345,722 shares, respectively, as compared to 318,191 and 317,224 shares for the three and six months ended December 31, 2020, respectively.

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