XML 35 R22.htm IDEA: XBRL DOCUMENT
v3.22.2.2

Income Taxes | 12 Months Ended
--- | ---
Jun. 30, 2022
Income Tax Disclosure [Abstract] |
Income Taxes | 14. Income Taxes The provision for income taxes consisted of the following: ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Year Ended June 30,
​ | ​ | 2022 | ​ | 2021
​ | ​ | (In thousands)
Current: | ​ | ​ | ​ | ​ | ​ | ​
Federal | ​ | $ | — | ​ | $ | —
State | ​ |  | 7 | ​ |  | 16
Total current tax expense | ​ |  | 7 | ​ |  | 16
Deferred: | ​ |  | ​ | ​ |  | ​
Federal | ​ |  | (91) | ​ |  | 200
State | ​ |  | (26) | ​ |  | 43
Total deferred tax expense | ​ |  | (117) | ​ |  | 243
Provision for income taxes | ​ | $ | (110) | ​ | $ | 259
​ ​ Income tax benefit resulting from applying statutory rates in jurisdictions in which the Company is taxed (Federal and various states) differs from the income tax provision (benefit) in the financial statements. Reconciliation of the U.S. federal statutory income tax rates to our effective tax rate is as follows. ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Year Ended June 30,
​ | ​ | 2022 | ​ | ​ | 2021
​ | ​ | (In thousands)
Tax at statutory rate | ​ | $ | (23,159) | ​ | (21.00) | % | ​ | $ | (12,185) | ​ | (21.00) | %
State income taxes, net of federal benefit | ​ | ​ | 601 | ​ | 0.55 | % | ​ | ​ | (2,461) | ​ | (4.24) | %
Permanent difference | ​ | ​ | — | ​ | — | % | ​ | ​ | — | ​ | — | %
Stock based compensation | ​ | ​ | 273 | ​ | 0.27 | % | ​ | ​ | 43 | ​ | 0.07 | %
Contingent consideration | ​ | ​ | (155) | ​ | (0.14) | % | ​ | ​ | (667) | ​ | (1.15) | %
162(m) limitation | ​ | ​ | 76 | ​ | 0.08 | % | ​ | ​ | 235 | ​ | 0.40 | %
Goodwill impairment | ​ | ​ | 9,733 | ​ | 8.83 | % | ​ | ​ | — | ​ | — | %
Transaction costs | ​ | ​ | — | ​ | — | % | ​ | ​ | 160 | ​ | 0.28 | %
Change in tax rate | ​ | ​ | — | ​ | — | % | ​ | ​ | — | ​ | — | %
Remeasurement of deferred taxes | ​ | ​ | — | ​ | — | % | ​ | ​ | — | ​ | — | %
Effect of phased-in tax rate | ​ | ​ | — | ​ | — | % | ​ | ​ | — | ​ | — | %
Loss on debt extinguishment and interest expense | ​ | ​ | — | ​ | — | % | ​ | ​ | — | ​ | — | %
Change in valuation allowance | ​ | ​ | 12,472 | ​ | 11.31 | % | ​ | ​ | 14,483 | ​ | 24.96 | %
Derivative income | ​ | ​ | — | ​ | — | % | ​ | ​ | — | ​ | — | %
Other | ​ | ​ | 49 | ​ | 0.01 | % | ​ | ​ | 651 | ​ | 1.13 | %
Net income tax provision (benefit) | ​ | $ | (110) | ​ | (0.09) | % | ​ | $ | 259 | ​ | 0.45 | %
​ ​ Deferred income taxes arise from temporary differences in the recognition of certain items for income tax and financial reporting purposes. The approximate tax effects of significant temporary differences which comprise the deferred tax assets and liabilities are as follows for the respective periods: ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Year Ended June 30,
​ | ​ | 2022 | ​ | 2021
​ | ​ | (In thousands)
Deferred tax assets: | ​ | ​ | ​ | ​ | ​ | ​
Net operating loss carry forward | ​ | $ | 114,443 | ​ | $ | 106,712
Accrued Rebates | ​ | ​ | 5,944 | ​ | ​ | 8,412
Share-based compensation | ​ |  | 2,773 | ​ |  | 2,330
Accrued expenses | ​ | ​ | 817 | ​ | ​ | 1,507
R&D credits | ​ |  | 2,423 | ​ |  | 2,115
Interest | ​ | ​ | 2,975 | ​ | ​ | 2,064
Inventory | ​ |  | 1,177 | ​ |  | 1,704
Lease liability | ​ |  | 799 | ​ |  | 1,031
Other | ​ | ​ | 1,301 | ​ | ​ | 1,526
Total deferred tax assets | ​ | ​ | 132,652 | ​ | ​ | 127,401
Less: valuation allowance | ​ | ​ | (128,966) | ​ | ​ | (116,494)
Deferred tax assets, net of valuation allowance | ​ | ​ | 3,686 | ​ | ​ | 10,907
Deferred tax liabilities: | ​ | ​ | ​ | ​ | ​ | ​
Intangibles | ​ |  | (2,717) | ​ |  | (9,396)
ROU asset | ​ |  | (308) | ​ |  | (1,009)
Fixed assets | ​ | ​ | (788) | ​ | ​ | (745)
Total deferred tax liabilities | ​ | ​ | (3,813) | ​ | ​ | (11,150)
Net deferred tax liabilities | ​ | $ | (127) | ​ | $ | (243)
​ ​ In 2022, the impairment of goodwill decreased net deferred tax liabilities by $0.1 million resulting in an income tax benefit of $0.1 million. As of June 30, 2022, the Company had $0.1 million deferred tax liabilities included in other long-term liabilities in the consolidated balance sheet. The Company has recorded a valuation allowance of $129.0 million and $116.5 million at June 30, 2022 and 2021, respectively, to reserve its net deferred tax assets. The change in valuation allowance is due to the change in inventory of deferred items exclusive of indefinite lived deferred tax liabilities which cannot be fully offset with existing attributes. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, carry back opportunities and tax planning strategies in making the assessment. The Company believes it is more likely than not it will realize the benefits of these deductible differences, net of the valuation allowance provided. The Company had federal net operating losses of approximately $503.2 million and $466.7 million as of June 30, 2022, and June 30, 2021, respectively that, subject to limitation, may be available in future tax years to offset taxable income. Of the available federal net operating losses, approximately $171.5 million can be carried forward indefinitely while the remaining balance will begin to expire in 2024. As of June 30, 2022, the Company had research and development credits of $3.0 million, which begin to expire in 2024. The available state net operating losses, if not utilized to offset taxable Income in future periods, will begin to expire in 2025 through 2039. Under the provisions of the Internal Revenue Code, substantial changes in the Company’s ownership may result in limitations on the amount of NOL carryforwards that can be utilized in future years. Net operating loss carryforwards are subject to examination in the year they are utilized regardless of whether the tax year in which they are generated has been closed by statute. The amount subject to disallowance is limited to the NOL utilized. Accordingly, the Company may be subject to examination for prior NOLs generated as such NOLs are utilized. As of June 30, 2022, the Company had various state NOL carryforwards. The determination of the state NOL carryforwards is dependent on apportionment percentages and state laws that can change from year to year and impact the amount of such carryforwards. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. The Company has no accrued interest related to its uncertain tax positions as they all relate to timing differences that would adjust the Company’s net operating loss carryforward, interest expense carryover or research and development credit carryover and therefore do not require recognition. As a result of these timing differences, at June 30, 2022 and 2021, the Company had gross unrecognized tax benefits related to uncertain tax positions of $9.8 million and $11.5 million, respectively. Changes in unrecognized benefits in any given year are recorded as a component of deferred tax expense. A tabular roll-forward of the Company’s gross unrecognized tax benefits is below. ​
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | June 30,
​ | ​ | 2022 | ​ | 2021
​ | ​ | (In thousands)
Beginning balance | ​ | $ | 11,537 | ​ | $ | —
Increase resulting from prior period tax positions | ​ |  | — | ​ |  | 12,017
Increase resulting from current period tax positions | ​ | ​ | — | ​ | ​ | 2
Decrease resulting from current period tax positions | ​ |  | (1,704) | ​ |  | (482)
Ending balance | ​ | $ | 9,833 | ​ | $ | 11,537
​ ​ The change in the Company’s gross unrecognized tax benefits relates to the acquisition of Neos, whereby historic tax positions of Neos were inherited in the acquisition. Additionally, Neos pre-acquisition tax years are subject to the same general statute of limitations, resulting in its tax years back to 2004 being subject to examination.

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

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 21 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 17 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 6.I.5.Q1) -URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 14 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 270 -Section 50 -Paragraph 1 -URI https://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -URI https://asc.fasb.org/topic&trid=2144680 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration