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EQUITY INVESTMENTS (Tables) | 12 Months Ended
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Jun. 30, 2022
Investments, Debt and Equity Securities [Abstract] |
Equity investments | The Company's equity investments, classified as Equity investments on the Consolidated Balance Sheets, as of June 30, 2022 are represented by the following:
| June 30, 2022 |  | June 30, 2021
Equity method investments: |  |  |
KKW Holdings (a) | $ | 12.6 |  |  | $ | 16.2 |
Equity investments at fair value: |  |  |
Wella (b) | 830.0 |  |  | 1,260.0 |
Total equity investments | $ | 842.6 |  |  | $ | 1,276.2 |
(a)On January 4, 2021, the Company completed its purchase of 20% of the outstanding equity of KKW Holdings. (See Note 4—Business Combinations, Asset Acquisitions and Divestitures). The Company accounts for this minority investment under the equity method, given it has the ability to exercise significant influence over, but not control, the investee. The carrying value of the Company’s investment includes basis differences allocated to amortizable intangible assets. During the years ended June 30, 2022 and 2021, the Company recognized $3.6 and $3.2, respectively, representing its share of the investee’s net loss and the amortization of basis differences in Other income, net within the Consolidated Statements of Operations. (b)On November 30, 2020, the Company completed the previously announced strategic transaction with KKR for the sale of a 60% stake in Coty’s Wella Business. As of June 30, 2022 and 2021, the Company's stake in the Wella Company was 25.9% and 40.0%, respectively. The following table presents summarized financial information of the Company’s equity method investees for the years ended June 30, 2022 and 2021 (for the period of the Company’s investment). Amounts presented represent combined totals at the investee level and not the Company’s proportionate share:
Summarized Statements of Operations information: | Year Ended June 30, 2022 |  | Year Ended June 30, 2021(a)
Net revenues | $ | 2,505.1 |  |  | $ | 1,317.4 |
Gross profit | 1,706.5 |  |  | 846.3 |
Operating income (loss) | 91.9 |  |  | (107.3) |
Loss before income taxes | (137.8) |  |  | (157.7) |
Net loss | (171.7) |  |  | (174.3) |
(a) As the sale of the Wella Business was completed on November 30, 2020, financial results for the Wella Company for fiscal year 2021 reflect seven months of operations.
Summarized Balance Sheets information: | June 30, 2022 |  | June 30, 2021
Current assets | $ | 951.4 |  |  | $ | 1,112.5 |
Noncurrent assets | 4,577.5 |  |  | 4,249.4 |
Total assets | 5,528.9 |  |  | 5,361.9 |
Current liabilities | 985.7 |  |  | 888.5 |
Noncurrent liabilities | 2,525.6 |  |  | 1,624.5 |
Total liabilities | 3,511.3 |  |  | 2,513.0 |
Summary of movement in equity investments | The following table summarizes movements in equity investments with fair value option that are classified within Level 3 for the period ended June 30, 2022. There were no internal movements to or from Level 3 from Level 1 or Level 2 for the period ended June 30, 2022.
Equity investments at fair value: |
Balance as of June 30, 2021 | $ | 1,260.0 |
First Exchange | (390.6) |
Second Exchange | (212.7) |
Wella Distribution | (230.6) |
Total gains/(losses) included in earnings | 403.9 |
Balance as of June 30, 2022 | $ | 830.0 |
Summary of significant unobservable inputs used in Level 3 valuation | The following table summarizes the significant unobservable inputs used in Level 3 valuation of the Company’s investments carried at fair value as of June 30, 2022. Included in the table are the inputs or range of possible inputs that have an effect on the overall valuation of the financial instruments.
| Fair value |  | Valuation Technique |  | Unobservable input |  | Range
Equity investments at fair value | $ | 830.0 |  |  | Discounted cash flows |  | Discount rate |  | 11.25% (a)
|  | Growth rate |  | 1.5% - 7.2% (a)
| Market multiple |  | Revenue multiple |  | 2.0x (b)
|  | EBITDA multiple |  | 12.0x – 15.0x (b)
(a)The primary unobservable inputs used in the fair value measurement of the Company’s equity investments with fair value option, when using a discounted cash flow method, are the discount rate and revenue growth rate. Significant increases (decreases) in the discount rate in isolation would result in a significantly lower (higher) fair value measurement. The Company estimates the discount rate based on the investees' projected cost of equity and debt. The revenue growth rate is forecasted for future years by the investee based on their best estimates. Significant increases (decreases) in the revenue growth rate in isolation would result in a significantly higher (lower) fair value measurement. (b)The primary unobservable inputs used in the fair value measurement of the Company’s equity investments with fair value option, when using a market multiple method, are the revenue multiple and EBITDA multiple. Significant increases (decreases) in the revenue multiple or EBITDA multiple in isolation would result in a significantly higher (lower) fair value measurement. The market multiples are derived from a group of guideline public companies.

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