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Acquisitions | 9 Months Ended
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Mar. 31, 2019
Business Combinations [Abstract] |
Acquisitions | 7. Acquisitions On October 1, 2018, the Company completed the purchase of AmOne, an online performance marketing company in the financial services client vertical, to broaden its publisher and customer relationships. In exchange for all outstanding shares of AmOne, the Company paid $23.0 million in cash upon closing (including $2.7 million cash for net assets acquired subject to post-closing adjustments) and will make $8.0 million in post-closing payments, payable in equal semi-annual installments over a two year period, with the first installment payable six months following the date of closing. As of March 31, 2019, the Company has a liability related to post-closing adjustments for net assets acquired of $0.1 million included in accrued liabilities on the Company’s condensed consolidated balance sheet. The total consideration was calculated as follows (in thousands):
|  |  | Estimated Fair Value |  |
Cash |  |  | $ | 23,032 |  |
Post-closing adjustments for net assets acquired |  |  |  | 138 |  |
Post-closing payments, net of imputed interest of $486 |  |  | 7,514 |  |
Total |  |  | $ | 30,684 |  |
As of March 31, 2019, the Company had recorded $3.9 million in other liabilities, current and $3.8 million in other liabilities, noncurrent, on the Company’s condensed consolidated balance sheet related to post-closing payments. The acquisition was accounted for as a business combination and the results of operations of AmOne have been included in the Company’s results of operations as of October 1, 2018. The Company allocated the purchase price to identifiable assets acquired based on their estimated fair values. The excess of the purchase price over the aggregate fair value of the identifiable assets acquired was recorded as goodwill and is primarily attributable to synergies the Company expects to achieve related to the acquisition. The goodwill is deductible for tax purposes. The following table summarizes the preliminary allocation of the purchase price and the estimated useful lives of the identifiable assets acquired as of the date of the acquisition (in thousands):
| Estimated Fair Value |  |  | Estimated Useful Life |
Customer/publisher/advertiser relationships | $ | 21,300 |  |  | 7 years |
Website/trade/domain names |  | 900 |  |  | 15 years |
Acquired technology and others |  | 500 |  |  | 3 years |
Net assets |  | 2,838 |  |  | n/a |
Goodwill |  | 5,146 |  |  | Indefinite |
Total | $ | 30,684 |  |  |  |
The Company is still finalizing the allocation of the purchase price to the individual assets acquired. Accordingly, these preliminary estimates are subject to change during the measurement period, which is the period subsequent to the acquisition date during which the acquirer may adjust the provisional amounts recognized for a business combination, not to exceed one year from the acquisition date. The final purchase price allocation, which may include changes in the allocations within intangible assets and between intangible assets and goodwill, as well as changes in the estimated useful lives of the intangible assets, will be determined when the Company has completed the detailed review of underlying inputs and assumptions used in its preliminary purchase price allocation. The unaudited pro forma financial information in the table below summarizes the combined results of operations for the Company and AmOne as though AmOne had been acquired as of the beginning of fiscal year 2018. The unaudited pro forma financial information is presented for illustrative purposes only and do not necessarily reflect what the combined company’s results of operations would have been had the acquisition occurred as of the beginning of fiscal year 2018, nor is it necessarily indicative of the future results of operations of the combined company.
| Three Months Ended |  |  | Nine Months Ended |
| March 31, |  |  | March 31, |
| 2019 |  |  | 2018 |  |  | 2019 |  |  | 2018 |
| (In thousands) |  |  | (In thousands) |
Net revenue | $ | 116,225 |  |  | $ | 123,060 |  |  | $ | 339,680 |  |  | $ | 308,733 |
Net income |  | 941 |  |  |  | 7,921 |  |  |  | 60,320 |  |  |  | 13,214 |
The pro forma financial information for the nine months ended March 31, 2019 included the elimination of $192 thousand of nonrecurring acquisition costs incurred by the Company that were directly related to the acquisition. The change in the carrying amount of goodwill for the nine months ended March 31, 2019 was as follows (in thousands):
| Goodwill |  |
Balance at June 30, 2018 | $ | 62,283 |  |
Additions |  | 5,146 |  |
Balance at March 31, 2019 | $ | 67,429 |  |

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- Definition The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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- References No definition available. + Details
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Period Type: | duration