XML 49 R19.htm IDEA: XBRL DOCUMENT v3.25.3
Commitments and Contingencies
 3 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
The Company is, from time to time, party to lawsuits arising out of operations. Although there can be no assurance, based upon information known to the Company, the Company believes that any liability resulting from an adverse determination of such lawsuits would not have a material adverse effect on the Company’s financial condition, results of operations or cash flows.

During the Company's due diligence for the Network1 acquisition, several pre-acquisition contingencies were identified regarding various Brazilian federal and state tax exposures. The Company recorded indemnification receivables that are reported gross of the pre-acquisition contingency liabilities as the funds were escrowed as part of the acquisition. There were no deposits or releases from the escrow account during the quarter ended September 30, 2025. During the fiscal year ended June 30, 2025, there were no deposits into the escrow account; however $0.2 million was released from the escrow account. The amount available after the impact of foreign currency translation, as of September 30, 2025 and June 30, 2025, for future pre-acquisition contingency settlements or to be released to the sellers was $3.6 million and $3.4 million, respectively.
The Company has recorded pre-acquisition contingencies and corresponding indemnification receivables related to Network1 of $3.8 million and $3.7 million at September 30, 2025 and June 30, 2025, respectively. These balances are presented as other non-current liabilities and other non-current assets in the Consolidated Balance Sheets. The amount of reasonably possible undiscounted pre-acquisition contingencies as of September 30, 2025 is estimated to range from $3.8 million to $15.3 million at this time, of which all exposures are indemnifiable under the share purchase agreement.