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Goodwill and Other Intangible Assets, Net | 9 Months Ended
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Mar. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets, Net | Goodwill and other intangibles, net The following table presents goodwill by segment and the related change in the net carrying amount:
| Consumer Floral & Gifts |  | BloomNet |  | Gourmet Foods & Gift Baskets |  | Total
| (in thousands)
Balance at June 30, 2024 | $ | 153,577 |  |  | $ | 2,960 |  |  | $ | - |  |  | $ | 156,537 |
Acquisition of Scharffen Berger | - |  |  | - |  |  | 111 |  |  | 111 |
Impairment | (113,420) |  |  | - |  |  | - |  |  | (113,420) |
Balance at March 30, 2025 | $ | 40,157 |  |  | $ | 2,960 |  |  | $ | 111 |  |  | $ | 43,228 |
The Company’s other intangible assets, net consist of the following:
|  |  | March 30, 2025 |  | June 30, 2024
| Amortization Period |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net
| (in years) |  | (in thousands)
Intangible assets with determinable lives |  |  |  |  |  |  |  |  |  |  |  |  |
Investment in licenses | 14 - 16 |  | $ | 7,420 |  |  | $ | 6,753 |  |  | $ | 667 |  |  | $ | 7,420 |  |  | $ | 6,674 |  |  | $ | 746 |
Customer lists | 3 - 10 |  | 29,647 |  |  | 27,404 |  |  | 2,243 |  |  | 29,647 |  |  | 25,932 |  |  | 3,715 |
Other | 5 - 14 |  | 2,946 |  |  | 2,709 |  |  | 237 |  |  | 2,946 |  |  | 2,664 |  |  | 282 |
Total intangible assets with determinable lives |  |  | 40,013 |  |  | 36,866 |  |  | 3,147 |  |  | 40,013 |  |  | 35,270 |  |  | 4,743 |
Trademarks with indefinite lives |  |  | 86,673 |  |  | - |  |  | 86,673 |  |  | 111,473 |  |  | - |  |  | 111,473 |
Total identifiable intangible assets |  |  | $ | 126,686 |  |  | $ | 36,866 |  |  | $ | 89,820 |  |  | $ | 151,486 |  |  | $ | 35,270 |  |  | $ | 116,216 |
Future estimated amortization expense is as follows: remainder of fiscal 2025 - $0.5 million, fiscal 2026 - $1.4 million, fiscal 2027 - $0.6 million, fiscal 2028 - $0.3 million, fiscal 2029 - $0.2 million and thereafter - $0.2 million. The Company performs its annual assessment of goodwill and indefinite-lived intangibles impairment during its fiscal fourth quarter, or more frequently if events occur or circumstances change such that it is more likely than not that an impairment may exist. During the quarter ended March 30, 2025, the Company evaluated whether events or circumstances had changed such that it was more likely than not that the fair value of its goodwill, intangible and other long-lived assets were less than their carrying amounts. After consideration of current operating results, changes in macro-economic conditions, and a decline in the Company’s market capitalization, the Company concluded that a triggering event had occurred for its Consumer Floral & Gifts reporting unit as of March 30, 2025. The Company performed its goodwill impairment test by comparing the fair value of its Consumer Floral and Gifts reporting unit to its respective carrying value. The Company estimated the fair value of the Consumer Floral and Gifts reporting unit using an equal weighting of the income and market approaches, and a discount rate of 14.5%. The Company used industry accepted valuation models and set criteria that were reviewed and approved by various levels of management. Under the income approach, the Company used a discounted cash flow methodology that required management to make significant estimates and assumptions related to forecasted revenues, gross profit margins, operating income margins, working capital cash flow, perpetual growth rates, and long-term discount rates, among others. For the market approach, the Company used the guideline public company method. Under this method, the Company utilized information from comparable publicly traded companies with similar operating and investment characteristics as the reporting units, to create valuation multiples that were applied to the operating performance of the reporting unit being tested, in order to obtain their respective fair values. The Company also reconciled the aggregate fair values of its reporting units to its current market capitalization. The Company’s impairment test for indefinite-lived intangible assets encompassed calculating a fair value of the indefinite-lived intangible asset and comparing that result to its carrying value. To determine fair value of indefinite-lived intangible assets, the Company used an income approach, the relief-from-royalty method. This method assumes that, in lieu of ownership, a third party would be willing to pay a royalty in order to obtain the rights to use the comparable asset. Indefinite-lived intangible assets’ fair values require significant judgments in determining both the assets’ estimated cash flows as well as the appropriate discount and royalty rates applied to those cash flows to determine fair value. The Company’s impairment test for definite-lived and other long-lived assets was performed through a recoverability test, comparing projected undiscounted cash flows from the use and eventual disposition of the asset or asset group to its carrying value. Based on the impairment assessment performed for the period ended March 30, 2025, the Company recorded a non-cash goodwill and intangible impairment charge of $138.2 million, comprised of $113.4 million attributable to goodwill and $24.8 million attributable to the PersonalizationMall tradename within the same reporting unit. The Company concluded that definite-lived and other long-lived assets of the reporting unit were not impaired. In the prior fiscal year, during the quarter ended December 31, 2023, as a result of a decline in the actual and projected revenue for the Company’s PersonalizationMall tradename, as well as a higher discount rate resulting from the higher interest rate environment, the Company determined that an impairment assessment was required for this tradename. This assessment resulted in the Company recording a non-cash impairment charge of $19.8 million to reduce the recorded carrying value of the PersonalizationMall tradename to its estimated fair value at that time. Additional Indefinite-Lived Intangible Asset Considerations Fair value determinations require considerable judgment and are sensitive to changes in underlying assumptions, estimates, and market factors. Estimating the fair value of goodwill and indefinite-lived intangible assets requires the Company to make assumptions and estimates regarding our future plans, as well as industry, economic, and regulatory conditions. These assumptions and estimates include estimated future annual net cash flows, income tax considerations, discount rates, long-term growth rates, royalty rates, and other market factors. If current expectations of future growth rates and margins are not met, if market factors outside of our control change; such as discount rates, market capitalization, income tax rates, or inflation, or if management’s expectations or plans otherwise change, including updates to our long-term operating plans, then goodwill or indefinite-lived intangible assets might become impaired in the future. As described above, goodwill for the Company’s Consumer Floral and Gifts reporting unit and the Company’s PersonalizationMall tradename were impaired during the quarter ended March 30, 2025 and were written down to their respective fair values resulting in zero excess fair value over carrying amount as of the impairment test date, resulting in a risk of future impairments if any assumptions, estimates, or market factors change in the future.

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 30 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-30/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-20/tableOfContent + Details
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