XML 35 R25.htm IDEA: XBRL DOCUMENT v3.24.1.u1
Derivative Financial Instruments (Tables)
 9 Months Ended
Mar. 31, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments
Our interest rate swap contracts have varying start and maturity dates through April 2028.
Interest rate swap contracts outstanding:Notional Amounts
Contracts accruing interest as of March 31, 2024 (1)
$245,000 
Contracts with a future start date430,000 
Total$675,000 
________________________
(1) Based on contracts outstanding as of March 31, 2024, the notional value of our contracted interest rate swaps accruing interest will fluctuate between $215,000 and $380,000 through April 2028 based on layered start dates and maturities.
Schedule of Notional Amounts of Outstanding Derivative Positions
As of March 31, 2024, we had the following outstanding currency derivative contracts that were not designated for hedge accounting and were primarily used to hedge fluctuations in the U.S. dollar value of forecasted transactions or balances denominated in Australian Dollar, Canadian Dollar, Czech Koruna, Danish Krone, Euro, GBP, Indian Rupee, Mexican Peso, New Zealand Dollar, Norwegian Krone, Philippine Peso, Swiss Franc and Swedish Krona:
Notional AmountEffective DateMaturity DateNumber of InstrumentsIndex
$671,510June 2022 through March 2024Various dates through March 2026642Various
Derivative Instruments in Statement of Financial Position, Fair Value
The table below presents the fair value of our derivative financial instruments as well as their classification on the balance sheet as of March 31, 2024 and June 30, 2023. Our derivative asset and liability balances fluctuate with interest rate and currency exchange rate volatility.
March 31, 2024
Asset DerivativesLiability Derivatives
Balance Sheet line itemGross amounts of recognized assetsGross amount offset in Consolidated Balance SheetNet amountBalance Sheet line itemGross amounts of recognized liabilitiesGross amount offset in Consolidated Balance SheetNet amount
Derivatives in cash flow hedging relationships
Interest rate swapsOther current assets / other assets$18,645 $— $18,645 Other current liabilities / other liabilities$— $— $— 
Cross-currency swapsOther current assets— — — Other current liabilities(918)— (918)
Total derivatives designated as hedging instruments$18,645 $— $18,645 $(918)$— $(918)
Derivatives not designated as hedging instruments
Currency forward contractsOther current assets / other assets$5,262 $(1,142)$4,120 Other current liabilities / other liabilities$(806)$309 $(497)
Currency option contractsOther current assets / other assets102 (57)45 Other current liabilities / other liabilities(3,431)66 (3,365)
Total derivatives not designated as hedging instruments$5,364 $(1,199)$4,165 $(4,237)$375 $(3,862)
June 30, 2023
Asset DerivativesLiability Derivatives
Balance Sheet line itemGross amounts of recognized assetsGross amount offset in Consolidated Balance SheetNet amountBalance Sheet line itemGross amounts of recognized liabilitiesGross amount offset in Consolidated Balance SheetNet amount
Derivatives designated as hedging instruments
Interest rate swapsOther current assets / other assets$19,341 $(123)$19,218 Other current liabilities / other liabilities$— $— $— 
Cross-currency swapsOther current assets— — — Other current liabilities(1,777)— (1,777)
Total derivatives designated as hedging instruments$19,341 $(123)$19,218 $(1,777)$— $(1,777)
Derivatives not designated as hedging instruments
Currency forward contractsOther current assets / other assets$2,873 $(572)$2,301 Other current liabilities / other liabilities$(6,074)$1,589 $(4,485)
Currency option contractsOther current assets / other assets990 — 990 Other current liabilities / other liabilities(3,055)— (3,055)
Total derivatives not designated as hedging instruments$3,863 $(572)$3,291 $(9,129)$1,589 $(7,540)
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net
The following table presents the effect of our derivative financial instruments designated as hedging instruments and their classification within comprehensive loss, net of tax, for the three and nine months ended March 31, 2024 and 2023:
Three Months Ended March 31, Nine Months Ended March 31,
2024202320242023
Derivatives in cash flow hedging relationships
Interest rate swaps$5,623 $(4,007)$3,673 $7,681 
Cross-currency swaps1,428 (660)786 (1,237)
Derivatives in net investment hedging relationships
Intercompany loan4,985 (3,418)1,441 (9,102)
Currency forward contracts— — (1,080)— 
Total$12,036 $(8,085)$4,820 $(2,658)
Reclassification out of Accumulated Other Comprehensive Income
The following table presents reclassifications out of accumulated other comprehensive loss for the three and nine months ended March 31, 2024 and 2023:
Amount of Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into IncomeAffected line item in the
Statement of Operations
Three Months Ended March 31, Nine Months Ended March 31,
2024202320242023
Derivatives in cash flow hedging relationships
Interest rate swaps$(1,630)$(1,939)$(6,126)$(2,632)Interest expense, net
Cross-currency swaps(1,748)595 (1,454)1,459 Other (expense) income, net
Total before income tax(3,378)(1,344)(7,580)(1,173)Income (loss) before income taxes
Income tax606 375 1,315 402 Income tax expense
Total$(2,772)$(969)$(6,265)$(771)
Derivatives Not Designated as Hedging Instruments
The following table presents the adjustment to fair value recorded within the consolidated statements of operations for the three and nine months ended March 31, 2024 and 2023 for derivative instruments for which we did not elect hedge accounting.
Amount of Gain (Loss) Recognized in Net Income (Loss)
Affected line item in the
Statement of Operations
Three Months Ended March 31, Nine Months Ended March 31,
2024202320242023
Currency contracts$9,071 $(2,428)$3,715 $2,021 Other (expense) income, net
Total$9,071 $(2,428)$3,715 $2,021