Goodwill and Intangible Assets

9 Months Ended

Mar. 30, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

There were no changes to goodwill during the three and nine months ended March 30, 2025.

The Company performs an annual assessment of its goodwill during the fourth quarter of each calendar year or more frequently if indicators of potential impairment exist, such as an adverse change in business climate, declines in market capitalization or a decline in the overall industry demand, that would indicate it is more likely than not that the fair value of its single reporting unit is less than its carrying value. If the Company determines that it is more likely than not that the fair value of its single reporting unit is less than the carrying value, the Company measures the amount of impairment as the amount the carrying value of its single reporting unit exceeds the fair value, up to the carrying value of goodwill, by using a discounted cash flow method and market approach method.

Although the Company’s market capitalization further declined in the third quarter of fiscal 2025, the Company does not believe that it is more likely than not that the fair value of its single reporting unit is less than its carrying value. Using the market capitalization approach, which the Company expects would be similar to the discounted cash flow method, the fair value of the single reporting unit is estimated based on the trading price of the Company’s stock at the test date, which is further adjusted by an acquisition control premium representing the synergies a market participant would obtain when obtaining control of the business. If the Company's market capitalization continues to decline or future performance falls below the Company’s current expectations, assumptions, or estimates, including assumptions related to current macroeconomic uncertainties, this may trigger a future material non-cash impairment charge, which could have a material adverse effect on the Company’s business, financial condition, and results of operations in the reporting period in which a charge would be necessary. The Company will continue to monitor developments, including updates to the Company’s forecasts and market capitalization. An update of the Company’s assessment and related estimates may be required in the future.

Intangible Assets, net

The following table presents the components of intangible assets, net:


	March 30, 2025			June 30, 2024
(in millions of U.S. Dollars)	Gross	Accumulated Amortization	Net	Gross	Accumulated Amortization	Net







Acquisition related intangible assets (1)	$24.0	($23.7)	$0.3	$24.0	($22.8)	$1.2
Patent and licensing rights	51.7	(28.2)	23.5	49.8	(27.1)	22.7
Total intangible assets	$75.7	($51.9)	$23.8	$73.8	($49.9)	$23.9

(1) Relates to developed technology