XML 30 R14.htm IDEA: XBRL DOCUMENT
v3.23.2

Financial Statement Details | 12 Months Ended
--- | ---
Jun. 25, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Financial Statement Details | Financial Statement Details Accounts Receivable, net Accounts receivable, net consisted of the following:
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022
Billed trade receivables | $152.1 |  |  | $148.0 |
Unbilled contract receivables | 2.3 |  |  | 2.7 |
Royalties | 1.1 |  |  | 0.7 |
| 155.5 |  |  | 151.4 |
Allowance for bad debts | (0.7) |  |  | (1.2) |
Accounts receivable, net | $154.8 |  |  | $150.2 |
Changes in the Company’s allowance for bad debts were as follows:
| Fiscal Years Ended
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022 |  | June 27, 2021
Balance at beginning of period | $1.2 |  |  | $0.8 |  |  | $0.7 |
Current period provision change | (0.5) |  |  | 0.4 |  |  | 0.1 |
Write-offs, net of recoveries | — |  |  | — |  |  | — |
Balance at end of period | $0.7 |  |  | $1.2 |  |  | $0.8 |
Inventories Inventories consisted of the following:
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022
Raw material | $101.8 |  |  | $60.2 |
Work-in-progress | 200.4 |  |  | 135.9 |
Finished goods | 25.3 |  |  | 30.9 |
Inventories | $327.5 |  |  | $227.0 |
Other Current Assets Other current assets consisted of the following:
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022
Reimbursement receivable on long-term incentive agreement | $91.3 |  |  | $132.5 |
Accrued interest receivable | 10.1 |  |  | 5.9 |
Short-term deposit on long-term incentive agreement | 10.0 |  |  | — |
Insurance deposit | 6.3 |  |  | — |
VAT receivables | 4.8 |  |  | 0.2 |
Inventory related to the Wafer Supply Agreement | 3.9 |  |  | 3.9 |
Other receivables | 2.2 |  |  | 2.2 |
Receivable on the Wafer Supply Agreement | 1.3 |  |  | 2.7 |
Other | 1.8 |  |  | 4.0 |
Other current assets | $131.7 |  |  | $151.4 |
Property and Equipment, net Property and equipment, net consisted of the following:
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022
Machinery and equipment | $1,333.4 |  |  | $1,167.3 |
Land and buildings | 966.4 |  |  | 407.4 |
Computer hardware/software | 76.5 |  |  | 61.9 |
Furniture and fixtures | 8.1 |  |  | 8.0 |
Leasehold improvements and other | 14.5 |  |  | 11.0 |
Vehicles | 0.6 |  |  | 0.6 |
Finance lease assets | 9.6 |  |  | 10.3 |
Construction in progress | 873.5 |  |  | 802.3 |
Property and equipment, gross | 3,282.6 |  |  | 2,468.8 |
Accumulated depreciation | (1,091.2) |  |  | (987.7) |
Property and equipment, net | $2,191.4 |  |  | $1,481.1 |
Depreciation of property and equipment totaled $148.1 million, $100.4 million and $100.5 million for the years ended June 25, 2023, June 26, 2022 and June 27, 2021, respectively. During the years ended June 25, 2023, June 26, 2022 and June 27, 2021, the Company recognized approximately $3.7 million, $1.0 million and $4.3 million, respectively, as losses on disposals or impairments of property and equipment of which $1.8 million, $1.3 million, and $3.4 million are related to the Company's start-up and factory optimization activities and are reflected in other operating expense for the years ended June 25, 2023, June 26, 2022 and June 27, 2021, respectively. The remaining amount of these charges are reflected in loss on disposal or impairment of other assets in the consolidated statements of operations. The majority of the Company's property and equipment, net is in the United States. As of June 25, 2023 and June 26, 2022, the Company held $66.5 million and $58.6 million, respectively, of property and equipment, net outside of the United States, primarily related to assets held at contract manufacturing space in Malaysia. Accounts Payable and Accrued Expenses Accounts payable and accrued expenses consisted of the following:
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022
Accounts payable, trade | $44.9 |  |  | $57.8 |
Accrued salaries and wages | 66.3 |  |  | 80.6 |
Accrued property and equipment | 328.4 |  |  | 132.1 |
Accrued expenses | 97.3 |  |  | 37.2 |
Accounts payable and accrued expenses | $536.9 |  |  | $307.7 |
Other Operating Expense The following table summarizes the components of other operating expense:
| Fiscal Years Ended
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022 |  | June 27, 2021
Project, transformation and transaction costs | 22.9 |  |  | 6.6 |  |  | 7.3 |
Factory optimization restructuring costs (1) | — |  |  | 6.1 |  |  | 7.6 |
Severance costs | 3.4 |  |  | 1.2 |  |  | 6.2 |
Other operating expense | $26.3 |  |  | $13.9 |  |  | $21.1 |
(1) Factory optimization restructuring costs relate to the Company's multi-year factory optimization restructuring plan, which was implemented in connection with the Company's expansion activities between fiscal 2019 and fiscal 2022. As part of the factory optimization restructuring plan, the Company incurred restructuring charges associated with the movement of equipment as well as disposals on certain long-lived assets. The factory optimization restructuring plan concluded in fiscal 2022. Non-Operating Expense (Income), net The following table summarizes the components of non-operating expense (income), net:
| Fiscal Years Ended
(in millions of U.S. Dollars) | June 25, 2023 |  | June 26, 2022 |  | June 27, 2021
Interest income | ($58.2) |  |  | ($11.8) |  |  | ($10.1) |
Interest expense, net of capitalized interest | 42.6 |  |  | 25.1 |  |  | 45.4 |
Gain on arbitration proceedings (1) | (50.3) |  |  | — |  |  | — |
Loss on debt extinguishment (2) | — |  |  | 24.8 |  |  | — |
Gain on equity investment | — |  |  | — |  |  | (8.3) |
Loss on Wafer Supply Agreement | 13.6 |  |  | 0.8 |  |  | 0.8 |
Gain on sale of investments, net | — |  |  | (0.3) |  |  | (0.4) |
Other, net | 0.2 |  |  | (0.3) |  |  | (1.1) |
Non-operating (income) expense, net | ($52.1) |  |  | $38.3 |  |  | $26.3 |
(1) In the first quarter of fiscal 2023, the Company received an arbitration award in relation to a former customer failing to fulfill contractual obligations to purchase a certain amount of product over a period of time. In the second quarter of fiscal 2023, a final payment, net of legal fees, was received. The arbitration award is recognized as non-operating income, net of legal fees incurred. (2) As discussed further in Note 10, "Long-term Debt," in the second quarter of fiscal 2022, all outstanding 2023 Notes (as defined below) were surrendered for conversion, resulting in the settlement of all outstanding 2023 Notes in shares, with fractional shares paid in cash. Accumulated Other Comprehensive (Loss) Income, net of taxes Accumulated other comprehensive (loss) income, net of taxes, consisted of $25.1 million of net unrealized losses on available-for-sale securities and $25.3 million of net unrealized gains on available-for-sale securities as of June 25, 2023 and June 26, 2022, respectively. Amounts for both periods include a $2.4 million loss related to tax on unrealized loss on available-for-sale securities. Reclassifications Out of Accumulated Other Comprehensive Income The Company reclassified a net loss of less than $0.1 million and a net gain of $0.3 million and $0.4 million on available for sale securities out of accumulated other comprehensive income for the fiscal years ended June 25, 2023, June 26, 2022, and June 27, 2021, respectively. Amounts were reclassified to non-operating expense (income), net on the consolidated statements of operations. Additionally, in fiscal 2021, $9.5 million of currency translation gain related to the former LED Products segment was reclassified out of accumulated other comprehensive income and recognized in the consolidated statements of operations as part of the loss on sale of discontinued operations. Statements of Cash Flows - non-cash activities
| Fiscal Years Ended
| June 25, 2023 |  | June 26, 2022 |  | June 27, 2021
Lease asset and liability additions | $63.8 |  |  | $39.0 |  |  | $7.9 |
Lease asset and liability modifications, net | 0.5 |  |  | 8.6 |  |  | 1.7 |
Transfer of finance lease liability to accounts payable and accrued expenses (1) | — |  |  | — |  |  | 4.2 |
Receivables for property, plant and equipment related insurance proceeds | — |  |  | — |  |  | 1.9 |
Settlement of 2023 Notes in shares of common stock (2) | — |  |  | 416.1 |  |  | — |
Decrease in property, plant and equipment from investment tax credit receivables | 167.4 |  |  | — |  |  | — |
Decrease in property, plant and equipment from long-term incentive related receivables | 114.0 |  |  | 119.0 |  |  | 16.4 |
Accrued property and equipment as of the fiscal year end date | 328.4 |  |  | 132.1 |  |  | 248.3 |
(1) In the first quarter of fiscal 2021, the Company executed the available bargain purchase option for certain finance leases relating to property and equipment, net, in order to purchase the assets. (2) As discussed further in Note 10, "Long-term Debt," in the second quarter of fiscal 2022, all outstanding 0.875% convertible senior notes due September 1, 2023 (the 2023 Notes) were surrendered for conversion, resulting in the settlement of all outstanding 2023 Notes in shares, with fractional shares paid in cash.

X
- Definition The entire disclosures of supplemental information, including descriptions and amounts, related to the balance sheet, income statement, and/or cash flow statement. + References No definition available. + Details
Name: | us-gaap_AdditionalFinancialInformationDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_OrganizationConsolidationAndPresentationOfFinancialStatementsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration