Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Jun. 30, 2020 | Aug. 14, 2020 | Dec. 31, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Jun. 30, 2020 | ||
Document Transition Report | false | ||
Entity File Number | 0-25259 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | BOTTOMLINE TECHNOLOGIES INC /DE/ | ||
Entity Central Index Key | 0001073349 | ||
Current Fiscal Year End Date | --06-30 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 02-0433294 | ||
Entity Address, Address Line One | 325 Corporate Drive | ||
Entity Address, City or Town | Portsmouth, | ||
Entity Address, State or Province | NH | ||
Entity Address, Postal Zip Code | 03801-6808 | ||
City Area Code | 603 | ||
Local Phone Number | 436-0700 | ||
Title of 12(b) Security | Common Stock, $.001 par value per share | ||
Trading Symbol | EPAY | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2,298,788,278 | ||
Entity Common Stock, Shares Outstanding | 44,680,885 | ||
Documents Incorporated by Reference | Items 10, 11, 12, 13 and 14 of Part III (except for information required with respect to our executive officers, which is set forth under “Part I-Item 1. Business-Information about our Executive Officers and Other Key Employees”) have been omitted from this report, as we expect to file with the Securities and Exchange Commission, not later than 120 days after the close of our fiscal year ended June 30, 2020, a definitive proxy statement for our 2020 annual meeting of stockholders. The information required by Items 10, 11, 12, 13 and 14 of Part III of this report, which will appear in our definitive proxy statement, is incorporated by reference into this report. |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 194,832 | $ 92,164 |
Cash held for customers | 6,304 | 5,637 |
Marketable securities | 10,209 | 7,541 |
Accounts receivable net of allowances for doubtful accounts of $1,336 at June 30, 2020 and $824 at June 30, 2019 | 69,970 | 77,285 |
Prepaid expenses and other current assets | 28,328 | 30,434 |
Total current assets | 309,643 | 213,061 |
Property and equipment, net | 67,155 | 54,541 |
Operating lease right-of-use assets, net | 24,712 | |
Goodwill | 205,713 | 206,101 |
Intangible assets, net | 154,111 | 168,349 |
Other assets | 31,803 | 27,177 |
Total assets | 793,137 | 669,229 |
Current liabilities: | ||
Accounts payable | 13,422 | 10,947 |
Accrued expenses and other current liabilities | 48,198 | 33,945 |
Customer account liabilities | 6,304 | 5,637 |
Deferred revenue | 82,074 | 75,097 |
Total current liabilities | 149,998 | 125,626 |
Borrowings under credit facility | 180,000 | 110,000 |
Deferred revenue, non-current | 13,959 | 17,062 |
Operating lease liabilities, non-current | 20,670 | |
Deferred income taxes | 8,656 | 10,345 |
Other liabilities | 27,520 | 26,819 |
Total liabilities | 400,803 | 289,852 |
Stockholders' equity | ||
Preferred Stock, $.001 par value: Authorized shares-4,000; issued and outstanding shares-none | 0 | 0 |
Common Stock, $.001 par value: Authorized shares-100,000; issued shares- 48,147 at June 30, 2020 and 46,995 at June 30, 2019; outstanding shares- 42,172 at June 30, 2020 and 41,315 at June 30, 2019 | 48 | 47 |
Additional paid-in-capital | 764,906 | 721,438 |
Accumulated other comprehensive loss | (48,675) | (43,593) |
Treasury stock: 5,975 shares at June 30, 2020 and 5,680 shares at June 30, 2019, at cost | (143,333) | (127,095) |
Accumulated deficit | (180,612) | (171,420) |
Total stockholders' equity | 392,334 | 379,377 |
Total liabilities and stockholders' equity | $ 793,137 | $ 669,229 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, net of allowances for doubtful accounts | $ 1,336 | $ 824 |
Preferred Stock, $.001 par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, authorized shares (in shares) | 4,000 | 4,000 |
Preferred stock, issued shares (in shares) | 0 | 0 |
Preferred stock, outstanding shares (in shares) | 0 | 0 |
Common stock, $.001 par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, authorized shares (in shares) | 100,000 | 100,000 |
Common stock, issued shares (in shares) | 48,147 | 46,995 |
Common stock, outstanding shares (in shares) | 42,172 | 41,315 |
Treasury stock, shares (in shares) | 5,975 | 5,680 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues: | |||
Revenues | $ 442,221 | $ 421,962 | $ 394,096 |
Cost of revenues: | |||
Total cost of revenues | 189,086 | 182,719 | 173,442 |
Gross profit | 253,135 | 239,243 | 220,654 |
Operating expenses: | |||
Sales and marketing | 106,429 | 95,265 | 86,095 |
Product development and engineering | 73,019 | 67,364 | 57,500 |
General and administrative | 56,749 | 52,199 | 49,869 |
Amortization of acquisition-related intangible assets | 20,370 | 21,336 | 22,076 |
Total operating expenses | 256,567 | 236,164 | 215,540 |
(Loss) income from operations | (3,432) | 3,079 | 5,114 |
Interest income | 658 | 670 | 273 |
Interest expense | (3,856) | (3,783) | (11,170) |
Other (expense) income, net of pension adjustments | (771) | 6,928 | 6,908 |
Other (expense) income, net | (3,969) | 3,815 | (3,989) |
(Loss) income before income taxes | (7,401) | 6,894 | 1,125 |
(Provision for) benefit from income taxes | (1,828) | 2,538 | 8,203 |
Net (loss) income | $ (9,229) | $ 9,432 | $ 9,328 |
Basic and diluted net (loss) income per share (in dollars per share) | $ (0.22) | $ 0.23 | $ 0.24 |
Shares used in computing net (loss) income per share: | |||
Basic (in shares) | 41,770 | 40,612 | 38,227 |
Diluted (in shares) | 41,770 | 41,691 | 39,326 |
Other comprehensive (loss) income, net of tax: | |||
Unrealized gain (loss) on available for sale securities | $ 29 | $ 14 | $ (5) |
Change in fair value on interest rate hedging instruments | (3,794) | (3,875) | 2,590 |
Minimum pension liability adjustments (net of income tax provision of $0, $0 and $300) | 943 | (4,730) | 1,087 |
Foreign currency translation adjustments | (2,260) | (4,369) | (1,980) |
Other comprehensive (loss) income, net of tax: | (5,082) | (12,960) | 1,692 |
Comprehensive (loss) income | (14,311) | (3,528) | 11,020 |
Subscriptions | |||
Revenues: | |||
Revenues | 339,410 | 295,633 | 262,363 |
Cost of revenues: | |||
Cost of revenue | 136,417 | 127,467 | 117,076 |
Software licenses | |||
Revenues: | |||
Revenues | 8,098 | 16,389 | 10,277 |
Cost of revenues: | |||
Cost of revenue | 528 | 923 | 815 |
Service and maintenance | |||
Revenues: | |||
Revenues | 91,706 | 105,895 | 114,926 |
Cost of revenues: | |||
Cost of revenue | 49,955 | 51,168 | 52,519 |
Other | |||
Revenues: | |||
Revenues | 3,007 | 4,045 | 6,530 |
Cost of revenues: | |||
Cost of revenue | $ 2,186 | $ 3,161 | $ 3,032 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Statement [Abstract] | |||
Income tax provision on minimum pension liability adjustments | $ 0 | $ 0 | $ 300 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Accumulated Deficit | Accumulated DeficitCumulative Effect, Period of Adoption, Adjustment |
Beginning balance (in shares) at Jun. 30, 2017 | 42,797 | 5,354 | ||||||
Beginning balance at Jun. 30, 2017 | $ 261,956 | $ 249 | $ 43 | $ 624,001 | $ (32,325) | $ (113,071) | $ (216,692) | $ 249 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | 70 | (143) | ||||||
Issuance of common stock for employee stock purchase plan and upon exercise of stock options | 3,509 | 388 | $ 3,121 | |||||
Vesting of Restricted stock awards (in shares) | 1,115 | |||||||
Vesting of Restricted stock awards | 0 | $ 1 | (1) | |||||
Stock compensation plan expense | 34,200 | 34,200 | ||||||
Settlement of conversion premium upon maturity of the Notes (in shares) | 588 | |||||||
Settlement of conversion premium upon maturity of the Notes | 0 | $ 1 | (1) | |||||
Settlement of note hedges (in shares) | 595 | |||||||
Settlement of note hedges | 0 | 19,964 | $ (19,964) | |||||
Warrant settlements (in shares) | 264 | |||||||
Warrant settlements | (2) | (2) | ||||||
Minimum pension liability adjustments, net of tax | 1,087 | 1,087 | ||||||
Net (loss) income | 9,328 | 9,328 | ||||||
Unrealized gain (loss) on available for sale securities, net of tax | (5) | (5) | ||||||
Change in fair value on interest rate hedging instruments | 2,590 | 2,590 | ||||||
Foreign currency translation adjustment | (1,980) | (1,980) | ||||||
Ending balance (in shares) at Jun. 30, 2018 | 44,834 | 5,806 | ||||||
Ending balance at Jun. 30, 2018 | 310,932 | 26,263 | $ 45 | 678,549 | (30,633) | $ (129,914) | (207,115) | 26,263 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | 45 | (126) | ||||||
Issuance of common stock for employee stock purchase plan and upon exercise of stock options | 3,924 | $ 1 | 1,104 | $ 2,819 | ||||
Vesting of Restricted stock awards (in shares) | 1,184 | |||||||
Vesting of Restricted stock awards | 0 | |||||||
Stock compensation plan expense | 41,790 | 41,790 | ||||||
Warrant settlements (in shares) | 932 | |||||||
Warrant settlements | (4) | $ 1 | (5) | |||||
Minimum pension liability adjustments, net of tax | (4,730) | (4,730) | ||||||
Net (loss) income | 9,432 | 9,432 | ||||||
Unrealized gain (loss) on available for sale securities, net of tax | 14 | 14 | ||||||
Change in fair value on interest rate hedging instruments | (3,875) | (3,875) | ||||||
Foreign currency translation adjustment | (4,369) | (4,369) | ||||||
Ending balance (in shares) at Jun. 30, 2019 | 46,995 | 5,680 | ||||||
Ending balance at Jun. 30, 2019 | 379,377 | $ 37 | $ 47 | 721,438 | (43,593) | $ (127,095) | (171,420) | $ 37 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | 14 | (123) | ||||||
Issuance of common stock for employee stock purchase plan and upon exercise of stock options | 4,134 | 1,227 | $ 2,907 | |||||
Vesting of Restricted stock awards (in shares) | 1,138 | |||||||
Vesting of Restricted stock awards | 0 | $ 1 | (1) | |||||
Stock compensation plan expense | 42,242 | 42,242 | ||||||
Repurchase of common stock to be held in treasury (in shares) | 418 | |||||||
Repurchase of common stock to be held in treasury | (19,145) | $ (19,145) | ||||||
Minimum pension liability adjustments, net of tax | 943 | 943 | ||||||
Net (loss) income | (9,229) | (9,229) | ||||||
Unrealized gain (loss) on available for sale securities, net of tax | 29 | 29 | ||||||
Change in fair value on interest rate hedging instruments | (3,794) | (3,794) | ||||||
Foreign currency translation adjustment | (2,260) | (2,260) | ||||||
Ending balance (in shares) at Jun. 30, 2020 | 48,147 | 5,975 | ||||||
Ending balance at Jun. 30, 2020 | $ 392,334 | $ 48 | $ 764,906 | $ (48,675) | $ (143,333) | $ (180,612) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Operating activities: | |||
Net (loss) income | $ (9,229) | $ 9,432 | $ 9,328 |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||
Amortization of acquisition-related intangible assets | 20,370 | 21,336 | 22,076 |
Stock-based compensation plan expense | 42,044 | 41,695 | 34,200 |
Depreciation and other amortization | 27,232 | 22,911 | 19,994 |
Gain on sale of investments | 0 | (7,599) | (2,419) |
Deferred income tax benefit | (829) | (5,147) | (9,465) |
Provision for allowances on accounts receivable | 749 | 220 | 238 |
Amortization of debt issuance costs | 414 | 414 | 928 |
Amortization of debt discount | 0 | 0 | 5,574 |
Amortization of discount on investments | (56) | (137) | (62) |
Fair value adjustment on other investments | (49) | 0 | 0 |
(Gain) loss on sale of property and equipment | (427) | 623 | 65 |
Loss (gain) on foreign exchange | 603 | 497 | (106) |
Changes in operating assets and liabilities: | |||
Accounts receivable | 5,763 | (4,303) | (9,675) |
Prepaid expenses and other current assets | 1,548 | (3,760) | (1,023) |
Operating lease right-of-use asset, net | 1,575 | ||
Other assets | (3,890) | (3,120) | (222) |
Customer account liabilities | 811 | 3,023 | (5,278) |
Accounts payable | 2,007 | 580 | 157 |
Accrued expenses | 4,025 | 279 | 4,056 |
Operating lease liabilities | (1,475) | ||
Deferred revenue | 4,540 | 1,689 | 2,852 |
Other liabilities | 1,445 | (356) | (468) |
Net cash provided by operating activities | 97,171 | 78,277 | 70,750 |
Investing activities: | |||
Acquisition of businesses and assets, net of cash acquired | 0 | (24,036) | (5,741) |
Acquisition of building | 0 | (20,700) | 0 |
Purchases of investments | (238) | (230) | 0 |
Proceeds from sale of investments | 38 | 9,011 | 4,415 |
Issuance of note receivable | (1,000) | 0 | 0 |
Purchases of available-for-sale securities | (13,485) | (8,381) | (14,188) |
Proceeds from sales of available-for-sale securities | 10,900 | 11,000 | 6,203 |
Capital expenditures, including capitalization of software costs | (46,650) | (33,083) | (21,376) |
Proceeds from disposal of property and equipment | 2,905 | 0 | 10 |
Insurance proceeds received for damage to equipment | 0 | 201 | 0 |
Net cash used in investing activities | (47,530) | (66,218) | (30,677) |
Financing activities: | |||
Repurchase of common stock | (19,145) | 0 | 0 |
Repayment of amounts borrowed under revolving credit facility | (10,000) | (40,000) | (189,750) |
Amounts borrowed under revolving credit facility | 80,000 | 0 | 150,000 |
Repayment of notes payable | (365) | (736) | (2,581) |
Settlement of warrants | 0 | (4) | (2) |
Debt issuance costs related to credit facility | 0 | (597) | 0 |
Proceeds from exercise of stock options and employee stock purchase plan | 4,134 | 3,924 | 3,509 |
Net cash provided by (used in) financing activities | 54,624 | (37,413) | (38,824) |
Effect of exchange rate changes on cash | (930) | (1,458) | (1,205) |
Increase (decrease) in cash and cash equivalents | 103,335 | (26,812) | 44 |
Cash, cash equivalents and restricted cash at beginning of period | 97,801 | 124,613 | 124,569 |
Cash, cash equivalents and restricted cash at end of period | 201,136 | 97,801 | 124,613 |
Cash and cash equivalents at end of period | 194,832 | 92,164 | 121,860 |
Cash held for customers at end of period | 6,304 | 5,637 | 2,753 |
Cash, cash equivalents and restricted cash at end of period | 97,801 | 124,613 | 124,613 |
Supplemental disclosure of cash flow information: | |||
Interest, net of amounts capitalized | 3,105 | 3,936 | 4,873 |
Income taxes | 3,100 | 2,040 | 3,109 |
Non-cash financing activities: | |||
Issuance of common stock upon settlement of the warrants | 0 | 58,451 | 12,739 |
Issuance of note payable to seller in connection with acquisition | 0 | 0 | 1,836 |
Issuance of common stock upon conversion of convertible senior notes | 0 | 0 | 19,736 |
Receipt of common stock upon settlement of Note Hedges | $ 0 | $ 0 | $ 19,964 |
Organization and Nature of Busi
Organization and Nature of Business | 12 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business | Organization and Nature of Business Bottomline Technologies (de), Inc. is a Delaware corporation that helps make complex business payments simple, smart, and secure. We provide solutions that are helping to accelerate the digital transformation of business payments. Corporations and banks rely on us for domestic and international payments, efficient cash management, automated workflows for payment processing and bill review, and fraud detection, behavioral analytics and regulatory compliance solutions. The majority of our revenues are derived from offerings sold as SaaS-based solutions and paid for on a subscription and transaction basis. Our products and services are sold to customers operating in many different industries throughout the world, but principally in the U.S., United Kingdom (UK) and continental Europe regions. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Principles of Consolidation The consolidated financial statements include our accounts and the accounts of our subsidiaries, all of which are wholly owned. All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates in the Preparation of Consolidated Financial Statements The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Estimates include, but are not limited to, revenue recognition, allowances for doubtful accounts, recoverability of deferred tax assets, determining the fair value associated with acquired assets and liabilities including acquired performance obligations, intangible asset and goodwill impairment, pension benefit obligations, accruals for uncertain tax positions and certain other of our accrued liabilities. Actual results could differ from those estimates. Foreign Currency Translation We have international subsidiaries in Europe, the Asia-Pacific region and Canada, whose functional currencies are typically the local currencies. Assets and liabilities of all of our international subsidiaries have been translated into U.S. dollars at year-end exchange rates, and results of operations and cash flows have been translated at the average exchange rates in effect during the year. Gains or losses resulting from foreign currency translation where the local currency is the functional currency are included as a component of accumulated other comprehensive income (loss). Foreign currency transaction gains and losses are included in results of operations as incurred and are not significant to our overall operations. Cash and Cash Equivalents We consider all highly liquid instruments with an original maturity of three months or less to be cash equivalents. The carrying value of these instruments approximates their fair value. At June 30, 2020, our cash equivalents consisted of demand deposit accounts and money market funds. Cash Held for Customers and Customer Account Liabilities At June 30, 2020 and 2019, our consolidated balance sheets included $6.3 million and $5.6 million, respectively, of cash held for customers and a corresponding liability in the same amount. Cash held for customers and customer account liabilities arise from a portion of our UK operations where we collect client funds and hold them for a short transient period before ultimately disbursing the amounts and settling the corresponding liability. Cash we hold on behalf of clients is segregated from our other corporate cash accounts and is not available for use by us other than to settle the corresponding client liability. Marketable Securities All marketable securities must be classified as one of the following: held to maturity, available for sale, or trading. At June 30, 2020, we held $10.2 million of marketable securities which consisted of U.S. corporate and government debt securities. Our held to maturity investments, all of which mature within one year, are recorded at amortized cost and interest income is recognized in earnings when earned. The cost of securities sold is determined based on the specific identification method. At June 30, 2020 and 2019, the amortized cost of our held-to-maturity investments approximated their fair value. Our securities classified as available for sale are recorded at fair value, with all unrealized gains or losses recorded as a component of accumulated other comprehensive income (loss). At June 30, 2020 and 2019, all of our available for sale securities had maturities of less than one year. The cost of securities sold is determined based on the specific identification method. At June 30, 2020 and 2019, the net unrealized gain associated with securities classified as available for sale was not significant. The table below presents information regarding our marketable securities by major security type as of June 30, 2020 and 2019. June 30, 2020 June 30, 2019 Held to Maturity Available for Sale Total Held to Maturity Available for Sale Total (in thousands) Marketable securities: Corporate and other debt securities $ 61 $ 10,148 $ 10,209 $ 62 $ 7,479 $ 7,541 Total marketable securities $ 61 $ 10,148 $ 10,209 $ 62 $ 7,479 $ 7,541 All of our available for sale marketable securities are classified as current assets. The following table presents the aggregate fair values and gross unrealized losses for those available for sale investments that were in an unrealized loss position as of June 30, 2020 and June 30, 2019, respectively, aggregated by investment category and the length of time that individual securities have been in a continuous loss position: At June 30, 2020 At June 30, 2019 Less than 12 Months Fair Value Unrealized Loss Fair Value Unrealized Loss (in thousands) Government—U.S. 2,012 (1) 800 (1) Total $ 2,012 $ (1) $ 800 $ (1) Other Investments We have certain other investments recorded at fair value. In circumstances where there is no readily determinable fair value, these investments are recorded at cost, less impairment (if any) plus or minus adjustments for observable price changes. The aggregate carrying value of these investments was $1.0 million and $0.7 million at June 30, 2020 and 2019, respectively, and they are reported as a component of our other assets. At June 30, 2020, we reviewed the carrying value of these investments and concluded that they were not impaired. We are unable to exercise significant influence or control over the investees underlying any of these investments. Sales of Investments During fiscal year 2019, we liquidated a $0.4 million investment, received cash proceeds of $7.7 million and recorded a gain on sale of $7.3 million as a component of other income in our consolidated statement of comprehensive income (loss). During fiscal year 2018, we liquidated a $3.0 million investment and recorded, as a component of other income, a gain on the sale of this investment of $2.4 million. In addition, in the overall liquidation of this investment in fiscal year 2018 we received a payment of $2.6 million which represented the buyout of a revenue share arrangement that we had with the predecessor company and a payment of $3.7 million in exchange for our release of certain market exclusivity and distribution rights. These amounts were recorded as components of other revenue and other income, respectively, in our consolidated statement of comprehensive income (loss) for the fiscal year ended June 30, 2018. Concentration of Credit Risk Financial instruments that potentially subject us to significant concentrations of credit risk consist of cash and cash equivalents and accounts receivable. We had approximately $185.5 million of cash and cash equivalents invested with six financial institutions at June 30, 2020. Balances of cash and cash equivalents are typically in excess of any insurance, such as FDIC coverage, that may protect our deposits. Our accounts receivable are reported in our consolidated balance sheets net of allowances for uncollectible accounts. We believe that the concentration of credit risk with respect to accounts receivable is limited due to the large number of companies and diverse industries comprising our customer base. On-going credit evaluations are performed, generally with a focus on new customers or customers with whom we have had no prior collections history, and collateral is generally not required. We maintain reserves for potential losses based on customer specific situations as well as our historic experience and such losses, in the aggregate, have not historically exceeded our expectations. There were no customers that, individually, accounted for more than 10% of our consolidated accounts receivable balance at June 30, 2020 or 2019. For the fiscal years ended June 30, 2020, 2019 and 2018, we had no customer that accounted for 10% or greater of our consolidated revenues. Financial Instruments The fair value of our financial instruments, which includes cash and cash equivalents, cash held for customers, marketable securities, accounts receivable, accounts payable, customer account liabilities, derivative interest rate swaps and debt drawn under our Credit Facility, as defined in Note 11 Indebtedness , are based on assumptions concerning the amount and timing of estimated future cash flows and assumed discount rates reflecting varying degrees of perceived risk. Please refer to Note 5 Fair Value for further details on the fair value of these financial instruments. Accounts Receivable Accounts receivable includes unbilled receivables of approximately $6.5 million a nd $6.9 million at June 30, 2020 and 2019, respectively. Unbilled receivables include revenues recognized for which billings have not yet been presented to the customers. Property and Equipment Property and equipment are stated at cost, net of depreciation. Depreciation is recorded on a straight-line basis over the estimated useful lives of the assets as follows: Property, equipment, furniture, fixtures and vehicles 3-7 years Technical equipment 3-5 years Building (Theale, Reading, England) 40 years Leasehold improvements Lower of estimated life or remaining lease term Periodically, we may assign a life outside of the general range of useful lives noted here if a particular asset’s estimated period of use falls outside of the normal range. Goodwill and Other Intangible Assets We initially record other acquired intangible assets at their estimated fair values and we review these assets periodically for impairment. Goodwill represents the excess of the purchase price over the fair value of identifiable tangible and intangible assets acquired and liabilities assumed in a business combination and is tested at least annually for impairment; historically during our fourth quarter. Our specifically identifiable intangible assets, which consist principally of customer related assets and core technology, are reported net of accumulated amortization and are amortized over their estimated useful lives at amortization rates that are proportional to each asset’s estimated economic benefit. We review the carrying value of these intangible assets annually, or more frequently if indicators of impairment are present. In performing our review of the recoverability of goodwill and other intangible assets we consider several factors, including whether there have been significant changes in legal factors or the overall business climate that could affect the underlying value of an asset. We also consider whether there is an expectation that the asset will be sold or disposed of before the end of its originally estimated useful life. In the case of goodwill, we must estimate the fair value of the reporting unit to which the goodwill is assigned. If as a result of examining any of these factors we conclude that the carrying value of goodwill or any other intangible asset exceeds its estimated fair value or undiscounted cash flows, respectively, we will recognize an impairment charge. Purchased software is classified as an intangible asset and is amortized on a straight-line basis over its estimated useful life, typically ranging from 3 to 5 years. Advertising Costs We expense advertising costs as incurred. Advertising costs were $4.1 million, $2.9 million and $2.0 million for the fiscal years ended June 30, 2020, 2019 and 2018, respectively. Shipping and Handling Costs We expense all shipping, handling and delivery costs in the period incurred, generally as a component of other cost of revenues. Commissions Expense Excluding certain arrangements within our Banking Solutions segment, for which software commissions are earned as revenue is recorded over the period of project performance, substantially all software commissions are earned in the month in which a customer order is received. Commissions associated with professional services are typically earned in the month that services are rendered. Commissions associated with post-contract customer support arrangements and subscription-based arrangements are typically earned when the customer is billed for the underlying contractual period or in the period the order is received. Commissions are normally paid within thirty days of the month in which they are earned. Prior to the adoption of the new revenue standard, commissions were expensed as incurred. Under the new revenue standard, we capitalize commission costs in connection with obtaining a contract if the period of benefit is greater than a year and we expect to recover the costs through future contract revenues. We expense any capitalized costs ratably over the estimated period of benefit. Commission costs are recorded as a component of sales and marketing expense. Research and Development Expenditures Research and development costs incurred prior to the establishment of technological feasibility (for software to be sold, leased or otherwise marketed), or prior to application development (for internal-use software), are expensed as incurred and are reported as product development and engineering operating expenses in our statements of comprehensive income (loss). Debt Issuance Costs We incurred certain third party costs in connection with the Credit Facility, principally related to underwriting and legal fees. These costs are included in other assets on our consolidated balance sheets and are being amortized to interest expense ratably over the term of the Credit Facility. Income Taxes and Income Tax Uncertainties We recognize deferred tax assets and deferred tax liabilities based on the difference between the financial reporting and tax basis of the asset or liability, measured at tax rates that are expected to be in effect when the differences reverse. A valuation allowance to reduce the carrying value of deferred tax assets is recorded if, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. In respect of income tax uncertainties, we perform a two-step analysis for all tax positions. The first step involves an evaluation of the underlying tax position based solely on technical merits (such as tax law) and the second step involves measuring the tax position based on the probability of it being sustained in the event of a tax examination. We recognize tax benefits at the largest amount that we deem more likely than not will be realized upon ultimate settlement of any tax uncertainty. Tax positions that fail to qualify for recognition are recognized in the period in which the more-likely-than-not standard has been reached, when the tax positions are resolved with the respective taxing authority or when the statute of limitations for tax examination has expired. We record any interest or penalties accruing in respect of uncertain tax positions as a component of income tax expense. Share-Based Compensation We recognize expense for the estimated fair value of our share-based compensation arrangements, net of estimated award forfeitures. The expense associated with share-based payment awards is generally recognized on a straight-line basis over the award’s vesting period. Capitalized Software Costs Capitalization of software development costs for software that is to be sold, leased or otherwise marketed begins upon the establishment of technological feasibility. The establishment of technological feasibility and the ongoing assessment of recoverability of capitalized software development costs requires considerable judgment by us with respect to certain factors including, but not limited to, determining which projects and development activities within those projects qualify for capitalization, anticipated future revenues, estimated economic life, and changes in software and hardware technologies. Amortization of capitalized costs commence on the date of general release of the software using the greater of the straight-line method over the estimated useful life or the ratio of revenue in the period to total expected revenues over the product’s expected useful life. Capitalized software development costs are normally amortized over an estimated useful life of 5 years once the product has been released for customer use. For the fiscal years ended June 30, 2020, 2019 and 2018, we capitalized $3.0 million, $3.7 million and $3.2 million, respectively, and recorded amortization expense of $4.0 million, $3.8 million and $2.8 million, respectively, of software development costs, excluding software developed for internal use. At June 30, 2020 and 2019, the net carrying value of capitalized software excluding software developed for internal use, which is included in intangible assets, net on our consolidated balance sheets, was $12.2 million and $13.2 million, respectively. We capitalize certain development costs associated with internal use software incurred during the application development stage. We expense costs associated with preliminary project phase activities, training, maintenance and any post-implementation costs as incurred. For the fiscal years ended June 30, 2020, 2019 and 2018, we capitalized $11.9 million, $10.4 million and $6.3 million, respectively, of internal use software development costs associated with our SaaS-based technology platforms. Capitalized internal use software costs are normally amortized over estimated useful lives ranging from 3 to 5 years once the related project has been completed and deployed for use. For the fiscal years ended June 30, 2020, 2019 and 2018, we recorded amortization expense of $7.2 million, $6.1 million and $5.2 million, respectively, of capitalized internal use software costs associated with our SaaS-based technology platforms. At June 30, 2020 and 2019, the net carrying value of capitalized internal use software associated with our SaaS-based technology platforms, which is included in intangible assets, net on our consolidated balance sheets, was $25.7 million and $21.1 million, respectively. Earnings per Share We report both basic and diluted earnings per share. Basic earnings per share is calculated based on the weighted average number of shares of common stock outstanding and excludes the dilutive effect of warrants, stock options or any other type of convertible securities. Diluted earnings per share is calculated based on the weighted average number of shares of common stock outstanding and the dilutive effect of stock options, warrants and other types of convertible securities are included in the calculation. Dilutive securities are excluded from the diluted earnings per share calculation if their effect is anti-dilutive, such as in periods where we report a net loss. Comprehensive Income or Loss Comprehensive income or loss includes all changes in equity during a period from non-owner sources, such as net income or loss, foreign currency translation adjustments, certain pension adjustments, unrealized gains and losses on available for sale securities and unrealized gains and losses on our interest rate hedging transactions. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Adopted Pronouncements Leases : In February 2016, the Financial Accounting Standards Board (FASB) issued an accounting standard update which requires balance sheet recognition of a lease liability and a corresponding right-of-use (ROU) asset for all leases unless, as a policy election, a lessee elects not to apply the standard to short-term leases. We adopted this standard on July 1, 2019 and elected the package of practical expedients which permitted us not to reassess prior conclusions regarding lease identification, lease classification and treatment of initial direct costs. For all asset classes, we adopted the lessee practical expedient to combine lease and non-lease components and we made a policy election not to recognize a ROU asset or lease liability for leases with a term of less than twelve months. We also availed ourselves of the adoption expedient not to adjust our prior period financial statements for the effects of the new standard or make additional disclosures for periods prior to the adoption date. Upon adoption, we recognized operating ROU assets and operating lease liabilities of $26.7 million and $29.0 million, respectively, in our consolidated balance sheet. The difference between the ROU assets and lease liabilities is primarily related to the reclassification of deferred rent on our balance sheet at the date of adoption. The adoption of this standard did not have a material impact on our consolidated statements of comprehensive income (loss) or consolidated statements of cash flows. Please refer to Note 10 Commitments and Contingencies for discussion of the adoption of this new standard. Accounting Pronouncements to be Adopted Financial Instruments - Credit Losses : In June 2016, the FASB issued an accounting standard update that replaces the incurred loss impairment model with an expected loss model for financial assets held at amortized cost, eliminates the concept of other-than-temporary impairment and requires credit losses associated with available-for-sale debt securities to be recorded through an allowance rather than a reduction in the amortized cost basis of the security. The changes are expected to result in earlier recognition of credit losses associated with financial assets. The estimate of expected credit losses will require entities to incorporate historical information, current information and reasonable and supportable forecasts. This standard also expands the disclosure requirements to enable users of financial statements to understand the entity’s assumptions, models and methods for estimating expected credit losses. We adopted this standard on July 1, 2020 on a modified retrospective basis, with the cumulative-effect accounting consequence recorded as an adjustment to the opening balance of accumulated deficit as of July 1, 2020 . We do not expect the adoption of this standard to have a material impact on our financial statements. Goodwill Impairment: In January 2017, the FASB issued an accounting standard update to simplify the test for goodwill impairment by removing the requirement to compare the carrying value of goodwill against its implied fair value. Under the revised standard, an entity will perform its annual or interim goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The loss should not exceed the total amount of goodwill allocated to the reporting unit. We adopted this standard on July 1, 2020 on a prospective basis and do not currently expect the adoption of this standard to have a material impact on our financial statements. Income Taxes: In December 2019, the FASB issued an accounting standard update related to simplifying the accounting for income taxes by eliminating certain exceptions related to intraperiod tax allocations, basis differences for changes in ownership interest in equity method investments, and the calculation of interim period income tax. The standard also simplifies other aspects of accounting for taxes. The standard is effective for us on July 1, 2021, with early adoption permitted. We are currently evaluating the effects of this update on our financial statements, including the potential for early adoption. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Significant Accounting Policy We generate revenue from the sale of SaaS solutions that can include both fixed and usage-based fees, perpetual and term software licenses, professional services such as consulting and implementation services and software support and maintenance. We recognize revenue as we transfer goods and services to customers at amounts we expect to receive as consideration under enforceable contractual arrangements. Revenue is recognized as we satisfy contractual performance obligations which can occur either at a point in time or over time. For perpetual and term software licenses that do not involve significant customization and for equipment and supplies sales, we normally record revenue at a point in time. For professional services, support and maintenance, stand-ready performance obligations with respect to our SaaS solutions and software licenses that are dependent on significant customization by us we normally record revenue over time. We recognize revenue according to a five step model that involves: • Identifying the contract (or contracts) with a customer; • Identifying the performance obligations in the contract(s); • Determining the transaction price; • Allocating the transaction price to the contractual performance obligations, and • Recognizing revenue as we satisfy the performance obligations. We consider a contract to exist when we have legally enforceable rights and obligations with a customer. Our contracts can take a variety of forms but are normally in writing and include all major commercial terms such as the goods or services we will be obligated to transfer under the arrangement, the amount the customer is obligated to pay us upon fulfillment of our obligations and the payment terms. Our contracts do not contain a financing component. Performance obligations in a contract are accounted for separately if they are determined to be distinct. We consider a performance obligation to be distinct if that good or service is separately identified from other items in the contract and if the customer can benefit from that performance obligation on its own or together with resources that are readily available to the customer. In assessing whether a customer can benefit from a performance obligation on its own, we consider factors such as the interdependency or interrelationship of the item with other goods or services in the contract, the complexity of any required integration or customization and the ability of the customer’s personnel or other third party providers to fulfill like goods or services. If a particular good or service is not considered to be distinct, it is combined with other performance obligations in the arrangement and revenue is recognized as the combined performance obligation is transferred to the customer. The transaction price is the amount of consideration we expect to be entitled to under a contract upon fulfillment of the performance obligations. The starting point for estimating the transaction price is the selling price stipulated in the contract, however we include in the determination of the overall transaction price an estimate of variable consideration to the extent it is probable that it will not result in a significant future reversal of revenue. Variable consideration can arise in our arrangements as a result of usage-based fees. For contracts with a long period over which usage-based fees can occur, or in contracts with customers with whom we do not have a reasonable operating history, we often constrain the amount of variable consideration included in the transaction price. We update our estimate of variable consideration at the end of each financial reporting period. We exclude from the determination of the transaction price sales and other taxes we bill to and collect from customers and remit to government authorities. Shipping and handling activities performed after the customer has obtained control of the good or service is accounted for as a fulfillment activity. The transaction price is allocated to contractual performance obligations on a relative standalone selling price basis. We normally estimate standalone selling price using the adjusted market approach, maximizing the use of observable inputs and other factors that can include: the price we charge when we sell an item separately, our internal price lists and internal pricing guidelines, cost of delivering the item and overall gross margin expectations and information about the customer or class of customer. Revenue is recorded, either at a point in time or over time, as we satisfy the performance obligations in a contract. Nature of Goods and Services Subscriptions: We generate subscriptions revenue through the provision of SaaS solutions which can include contractually fixed revenue amounts as well as usage-based fees. Our SaaS arrangements consist of an obligation for us to provide continuous access to a technology solution that we host, which we account for as a stand-ready performance obligation. These contracts may also include variable pricing or overage fees based on customer processing, usage or volume. We recognize revenue for fixed subscription fees ratably over the non-cancelable term of the contract, commencing on the date the customer has access to the solution. In circumstances where we meet certain requirements to allocate variable consideration to a distinct service within a series of related services, we allocate variable consideration to each distinct period of service within the series. If we do not meet those requirements, we include an estimate of variable consideration in the transaction price and recognize it ratably over the non-cancelable term of the contract. For certain of our SaaS solutions, customers are charged a fee for implementation services. In determining whether the implementation services are distinct from the hosting services we consider various factors, including the level of customization, complexity of the integration, the interdependency and interrelationship between the implementation services and the hosting services and the ability (or inability) of the customer's personnel or other service providers to perform the services. We have concluded that the implementation services in our hosting arrangements with multiple performance obligations are not distinct and therefore we recognize fees for implementation services ratably over the non-cancelable term of the hosting contract. We license software on a subscription basis under contractual arrangements where customers pay a specified fee, inclusive of support and maintenance, for a time-based license right to use our software. These fees recur periodically unless the customer opts to cancel their subscription arrangement with us. These contracts typically contain two distinct performance obligations: the software license and support and maintenance. The portion of the transaction price allocated to the license right is recognized at the point in time in which we have provided the customer access to the intellectual property and the license term has commenced. The portion of the transaction price allocated to support and maintenance is recognized ratably over the non-cancelable contract term. Software Licenses: Software licenses revenue reflects fees we charge to license software on a perpetual basis. For software licenses that do not include significant customization we recognize revenue at the point in time where the customer has obtained access to the intellectual property and the license period has commenced. Periodically our software arrangements require significant customization and modification and involve extended implementation periods. In these arrangements the professional services and software license are highly interdependent and we treat the software license and professional services as a combined performance obligation. We recognize revenue for the combined performance obligation over time and measure progress to completion based on labor hours incurred as a percentage of total expected labor hours. We believe the use of labor hours as an input measure provides a faithful depiction of the transfer of goods and services under these contracts. Support and Maintenance: Our software licenses are generally sold with post-contract support which is comprised of technical support and unspecified software upgrades. Unspecified upgrades refer to software upgrades which we make available at our discretion and from time-to-time, on a “when and as available” basis. We account for post-contract support as a stand-ready performance obligation and recognize revenue ratably over the non-cancelable contract term which is typically one year. Professional Services: Our professional services revenue is normally comprised of implementation, consulting and training services. Except for professional service performance obligations that form part of an overall, highly customized arrangement, our professional services typically represent distinct performance obligations and revenue is recognized as the services are performed. Other: Other revenue is derived from the sale of equipment and supplies and is recognized at the point in time control transfers to the customer. Remaining Performance Obligations The transaction price allocated to remaining performance obligations that are unsatisfied, or partially unsatisfied, as of June 30, 2020 and June 30, 2019 represents contracted revenue that will be recognized in future periods. Our future performance obligations consist primarily of SaaS-based subscription obligations relating to future periods, contracted but uncompleted professional services obligations and support and maintenance obligations. The amount of revenue recognized from performance obligations satisfied in prior periods was not significant during each of the twelve months ended June 30, 2020 and June 30, 2019 . Revenue allocated to remaining performance obligations was $409 million as of June 30, 2020 of which we expect to recognize approximately $158 million over the next twelve months and the remainder thereafter. We exclude from our measure of remaining performance obligations amounts related to contracts with a term of twelve months or less, royalty based transactions and future transactional or usage-based fees for which the value of services transferred to the customer will correspond to the amount we will invoice for those services. Contract Assets and Liabilities The table below presents our accounts receivable, contract assets and deferred revenue balances as of June 30, 2020 and June 30, 2019. June 30, June 30, 2020 2019 $ Change (in thousands) Accounts receivable $ 69,970 $ 77,285 $ (7,315) Contract assets 3,646 5,135 (1,489) Deferred revenue 96,033 92,159 3,874 Accounts receivable include amounts related to our contractual right to consideration for both completed and partially completed performance obligations that may not have been invoiced. Contract assets arise when we recognize revenue in excess of the amount billed to the customer and the right to payment is contingent on conditions other than simply the passage of time, such as the completion of a related performance obligation. Contract assets are classified in our consolidated balance sheets as other current assets for those contract assets with amortization periods of one year or less and other assets for contract assets with amortization periods greater than one year. Deferred revenue consists of billings to or payments from customers in excess of amounts recognized as revenue. The decrease in accounts receivable at June 30, 2020 as compared to June 30, 2019 reflects the impact of cash collections in the fourth quarter of fiscal year 2020, particularly in the U.S. For the fiscal years ended June 30, 2020 and June 30, 2019 we recognized $79.7 million and $72.2 million, respectively, in revenue from amounts that were included in deferred revenue as of June 30, 2019 and July 1, 2018, respectively. Contract Costs We capitalize incremental costs incurred in connection with obtaining a contract if they have a period of benefit that is greater than one year and we expect to recover the costs through future contract revenues. Incremental costs incurred to obtain a contract relate to sales commissions. We also capitalize costs incurred in fulfilling a contract when the costs relate directly to a specifically identifiable customer contract, when the costs generate or enhance resources that we will use to satisfy performance obligations in the future and when the costs are expected to be recovered through future contract revenues. At June 30, 2020 capitalized costs to obtain a contract and capitalized fulfillment costs totaled $7.6 million and $18.5 million, respectively. At June 30, 2019, capitalized costs to obtain a contract and capitalized fulfillment costs totaled $6.4 million and $16.4 million, respectively. Capitalized costs are amortized on a basis consistent with the transfer of the goods or services to which the asset relates. This results in capitalized costs being recognized on a ratable basis over the estimated period of future benefit, which is generally five years. We estimate the future period of benefit considering the current contract term, the impact of estimated customer renewal terms and the estimated life of the technology solution underlying the contracts. Amortization expense associated with costs of obtaining and costs of fulfilling a contract was $2.0 million and $3.3 million, respectively, for the fiscal year ended June 30, 2020, and $1.6 million and $3.5 million, respectively, for the fiscal year ended June 30, 2019. Amortization expense associated with costs of obtaining and costs of fulfilling a contract were recorded as components of sales and marketing expense and cost of revenues, respectively, in our consolidated statement of comprehensive (loss) income. |
Fair Value
Fair Value | 12 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value Fair Value of Assets and Liabilities We measure fair value at the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining fair value, the assumptions that market participants would use in pricing an asset or liability (the inputs) are based on a tiered fair value hierarchy consisting of three levels, as follows: Level 1: Observable inputs such as quoted prices for identical assets or liabilities in active markets. Level 2: Other inputs that are observable directly or indirectly, such as quoted prices for similar instruments in active markets or for similar markets that are not active. Level 3: Unobservable inputs for which there is little or no market data and which require us to develop our own assumptions about how market participants would price the asset or liability. Valuation techniques for assets and liabilities include methodologies such as the market approach, the income approach or the cost approach, and may use unobservable inputs such as projections, estimates and management’s interpretation of current market data. These unobservable inputs are only utilized to the extent that observable inputs are not available or cost-effective to obtain. At June 30, 2020 and June 30, 2019, our assets and liabilities measured at fair value on a recurring basis were as follows: June 30, 2020 June 30, 2019 Fair Value Measurements Using Input Types Fair Value Measurements Using Input Types Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (in thousands) Assets Money market funds (cash and cash equivalents) $ 354 $ — $ — $ 354 $ 2,807 $ — $ — $ 2,807 Available for sale securities - Debt Government - U.S. — 10,148 — 10,148 — 7,479 — 7,479 Total available for sale securities $ — $ 10,148 $ — $ 10,148 $ — $ 7,479 $ — $ 7,479 Total assets $ 354 $ 10,148 $ — $ 10,502 $ 2,807 $ 7,479 $ — $ 10,286 Liabilities Short-term derivative interest rate swap $ — $ 1,631 $ — $ 1,631 $ — $ 37 $ — $ 37 Long-term derivative interest rate swap $ — $ 3,448 $ — $ 3,448 $ — $ 1,248 $ — $ 1,248 Total liabilities $ — $ 5,079 $ — $ 5,079 $ — $ 1,285 $ — $ 1,285 Fair Value of Financial Instruments We have certain financial instruments which consist of cash and cash equivalents, cash held for customers, marketable securities, accounts receivable, notes receivable, contract assets, accounts payable, customer account liabilities, derivative interest rate swaps and debt drawn on our Credit Facility. Fair value information for each of these instruments is as follows: • Cash and cash equivalents, cash held for customers, accounts receivable, notes receivable, contract assets, accounts payable and customer account liabilities fair values approximate their carrying values, due to the expected duration of these instruments. • Marketable securities classified as held to maturity, all of which mature within one year, are recorded at amortized cost, which at June 30, 2020 and June 30, 2019, approximated fair value. • Marketable securities classified as available for sale are recorded at fair value. Unrealized gains and losses are included as a component of other accumulated comprehensive loss in stockholders’ equity, net of tax. We use the specific identification method to determine any realized gains or losses from the sale of our marketable securities classified as available for sale. • The fair value of our derivative interest rate swaps is based on the present value of projected cash flows that will occur over the life of the instruments, after considering certain contractual terms of the arrangements and counterparty credit risk. • The carrying value of assets related to deposits we have made to fund future requirements associated with Israeli severance arrangements was $1.0 million and $1.2 million at June 30, 2020 and June 30, 2019, respectively, which approximated their fair value. • We have certain other investments for which there is no readily determinable fair value. The carrying value of these investments was $0.5 million and $0.7 million at June 30, 2020 and June 30, 2019, respectively, and they are reported as a component of our other assets. These investments are recorded at cost, less impairment (if any) plus or minus adjustments for observable price changes. • We have borrowings of $180 million against our Credit Facility. The fair value of these borrowings, which are classified as Level 2, approximates their carrying value at June 30, 2020, as the instrument carries a variable rate of interest which reflects current market rates. |
Acquisitions
Acquisitions | 12 Months Ended |
Jun. 30, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions Current Year Activity In June 2020, we acquired a technology asset from a large financial institution for a cash payment (which we funded in July 2020) of $2.5 million and contingent future cash payments of up to $0.9 million. We are also obligated to make future royalty payments should our revenue from the license or sale of this technology exceed certain levels. We intend to further develop and enhance this technology to launch a SaaS based integrated accounts receivable platform. Prior Year Activity BankSight Software Systems In June 2019, we acquired the remaining capital stock of BankSight for $2.8 million in cash and 40,000 shares of our common stock. The common stock had vesting conditions tied to the continued employment of a prior stockholder of BankSight and thus excluded from the purchase price allocation. Prior to the acquisition, we had a pre-existing relationship in the form of a minority investment in their preferred stock of BankSight in the amount of $3.5 million. The carrying value of our prior investment approximated its fair value at the time of our acquisition and the total fair value we paid to acquire the outstanding capital stock of BankSight, $6.3 million, was allocated to assets acquired and liabilities assumed. BankSight’s operating results are included in our Banking Solutions segment from the date of the acquisition forward and did not have a material impact on our revenue or net (loss) income. In the allocation of the purchase price, we recorded $3.6 million of goodwill. The goodwill is not deductible for income tax purposes and arose principally due to the anticipated future benefits arising from the acquisition. Identifiable intangible assets of $3.1 million, consisting primarily of technology related assets, are being amortized over a weighted average estimated useful life of 11 years. Experian Limited In March 2019, we acquired certain technology and customer related assets from Experian Limited (Experian) for 9.5 million British Pound Sterling (approximately $12.6 million based on the exchange rate in effect at the acquisition date). In the allocation of the purchase price, we recorded $1.7 million of goodwill, which is not deductible for income tax purposes and arose principally due to the anticipated future benefits arising from the acquisition. Identifiable intangible assets of $12.8 million, consisting primarily of customer related assets, are being amortized over a weighted average estimated useful lives of 11 years. Experian’s operating results are included in our Payments and Documents segment from the date of the acquisition forward and did not have a material impact on our revenue or net (loss) income. In May 2019, we were notified by the United Kingdom's (UK) Competition and Markets Authority (CMA) that it was reviewing our acquisition of these assets from Experian to assess whether the acquisition could result in a substantial lessening of competition. In March 2020, the CMA review process was completed, with a finding that our acquisition of assets from Experian did not raise anti-competition concerns. Microgen Banking Systems Limited |
Property and Equipment
Property and Equipment | 12 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment consisted of the following: June 30, 2020 2019 (in thousands) Land $ 2,448 $ 3,380 Building and improvements 48,483 40,903 Furniture and fixtures 10,099 7,586 Technical equipment 55,605 50,395 Motor vehicles — 30 Total property and equipment, gross 116,635 102,294 Less: Accumulated depreciation 49,480 47,753 Total property and equipment, net $ 67,155 $ 54,541 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets We performed our annual goodwill impairment test during the fourth quarter of fiscal years 2020, 2019 and 2018. Based on these reviews, we concluded that there was no goodwill impairment. There can be no assurance that there will not be impairment charges in future periods as a result of future impairment reviews. To the extent that future impairment charges occur it would likely have a material impact on our financial results. At June 30, 2020, the carrying value of goodwill for all of our reporting units was $205.7 million. The following tables set forth the information for intangible assets subject to amortization and for intangible assets not subject to amortization. As of June 30, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Value Weighted Average Remaining Life (in thousands) (in years) Amortized intangible assets: Customer related $ 219,305 $ (157,008) $ 62,297 7.5 Core technology 135,720 (97,431) 38,289 7.2 Other intangible assets 22,099 (19,927) 2,172 4.8 Capitalized software development costs 26,222 (14,047) 12,175 2.9 Software (1) 84,493 (45,315) 39,178 3.8 Total $ 487,839 $ (333,728) $ 154,111 Unamortized intangible assets: Goodwill 205,713 Total intangible assets $ 359,824 As of June 30, 2019 Gross Carrying Amount Accumulated Amortization Net Carrying Value Weighted Average Remaining Life (in thousands) (in years) Amortized intangible assets: Customer related $ 219,893 $ (145,144) $ 74,749 8.5 Core technology 130,226 (90,017) 40,209 7.4 Other intangible assets 25,712 (19,030) 6,682 5.0 Capitalized software development costs 23,213 (10,006) 13,207 3.0 Software (1) 72,018 (38,516) 33,502 4.2 Total $ 471,062 $ (302,713) $ 168,349 Unamortized intangible assets: Goodwill 206,101 Total intangible assets $ 374,450 —————— (1) Software includes purchased software and software developed for internal use. Estimated amortization expense for fiscal year 2021 and subsequent fiscal years for acquired intangible assets, capitalized software development costs and software, in each case that have been placed in service as of June 30, 2020, is as follows: Acquired Intangible Assets Capitalized Software Development Costs Software (in thousands) 2021 $ 19,492 $ 4,415 $ 10,587 2022 17,389 4,415 8,525 2023 16,012 1,571 6,597 2024 14,241 858 4,985 2025 11,843 294 2,229 2026 and thereafter 23,781 — 1,011 Each period, for capitalized software development costs, we evaluate whether amortization expense using a ratio of revenue in the period to total expected revenue over the product’s expected useful life would result in greater amortization than as calculated under a straight-line methodology and, if that were to occur, amortization in that period would be accelerated accordingly. The following table represents a rollforward of our goodwill balances, by reportable segment: Cloud Solutions Banking Solutions Payments and Documents Other Total (in thousands) Balance at June 30, 2018 (1) $ 90,270 $ 35,880 $ 65,680 $ 8,194 $ 200,024 Goodwill acquired during the period — 3,571 4,391 — 7,962 Impact of foreign currency translation 37 — (1,922) — (1,885) Balance at June 30, 2019 (1) $ 90,307 $ 39,451 $ 68,149 $ 8,194 $ 206,101 Goodwill acquired during the period (2) — 65 — — 65 Goodwill reclassified as a result of segment reorganization 26,261 — (26,261) — — Impact of foreign currency translation 925 — (1,378) — (453) Balance at June 30, 2020 (1) $ 117,493 $ 39,516 $ 40,510 $ 8,194 $ 205,713 —————— (1) Other goodwill balance is net of $7.5 million accumulated impairment losses. (2) Reflects the reallocation of amounts to Goodwill in the final purchase price allocation of BankSight. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Jun. 30, 2020 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: June 30, 2020 2019 (in thousands) Employee compensation and benefits $ 21,846 $ 15,810 Operating lease liabilities 6,804 — Accrued customer rebates 4,352 3,978 Accrued capital expenditures 2,500 — Sales and value added taxes 2,052 1,971 Professional fees 1,646 3,106 Accrued income taxes payable 621 1,162 Accrued interest 191 197 Other 8,186 7,721 Total accrued expenses and other current liabilities $ 48,198 $ 33,945 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Leases On July 1, 2019, we adopted the new accounting standard related to leases. We determine if any arrangement is, or contains, a lease at its inception based on whether or not we have the right to control the asset during the contract period. We are a lessee in any lease contract when we obtain the right to control the asset. We determine the lease term by assuming the exercise of renewal options that are reasonably certain to be exercised. Leases with a lease term of a year or less at inception are not reflected in our balance sheet and those lease costs are expensed on a straight-line basis over the respective term. Leases with a term greater than a year are reflected as non-current ROU assets and current and non-current lease liabilities in our consolidated balance sheets. Current lease liabilities are classified as a component of accrued expenses and other current liabilities. As the implicit interest rate in our leases is generally not known, we use our incremental borrowing rate as the discount rate for purposes of determining the present value of our lease liabilities. Our determination of the incremental borrowing rate takes into consideration the expected term of the lease, the effect of the currency in which the lease is denominated and the rate of interest we would expect to incur on a collateralized debt instrument. At June 30, 2020, our weighted average discount rate utilized for our leases was 5.0%. When our contracts contain lease and non-lease elements, we account for both as a single lease component. We lease our principal office facility in Portsmouth, NH under a non-cancelable operating lease expiring in 2027. We have two five-year options to further extend the term of this lease. Rent expense is fixed for the base term of the lease and we are required to pay certain incremental operating costs above the base rent. We lease office space in cities worldwide under facility leases that expire at various dates. We are typically required to pay certain incremental operating costs above the base rent for our facility leases. Our leases may include periodic payment adjustments based on changes in applicable price indexes. To the extent the adjustment is considered a fixed payment it is included in the measurement of the ROU asset and lease liability, otherwise it is recognized in the period incurred. We also have a variety of data center locations and, to a lesser extent, vehicle and equipment leases. Our facility leases represent the substantial majority of our operating leases and often include renewal options that we can exercise unilaterally. At June 30, 2020, renewal options ranged from 3 months to 10 years. At June 30, 2020, our operating leases had a weighted average remaining lease term of 5.7 years and we had no material capital leases. Additional information of our lease activity, as of and for the twelve months ended June 30, is as follows: For the twelve months ended Operating leases: June 30, 2020 (in thousands) Operating lease cost $ 7,573 Short-term lease cost 585 Variable lease cost 2,058 Sublease income (360) Total lease cost $ 9,856 June 30, 2020 (in thousands) Right-of-use assets, net $ 24,712 Operating lease liabilities, current (1) $ 6,804 Operating lease liabilities, non-current 20,670 Total operating lease liabilities $ 27,474 —————— (1) Included as a component of accrued expenses and other current liabilities. For the twelve months ended June 30, 2020 (in thousands) Cash paid for amounts included in the measurement of lease liabilities $ 7,684 Right-of-use assets obtained in exchange for lease obligations $ 4,582 Remaining maturities of lease liabilities at June 30, 2020 were as follows: Operating Leases For the year ending June 30, (in thousands) 2021 $ 7,938 2022 6,571 2023 4,791 2024 2,960 2025 2,671 Thereafter 7,222 Total lease payments 32,153 Less imputed interest (4,679) Total lease liabilities $ 27,474 Prior to the adoption of the new lease accounting standard, rent expense, including the effects of rent escalation clauses or certain landlord concessions, was recognized on a straight-line basis over the lease term. Rent expense, net of sublease income, for the fiscal years ended June 30, 2019 and 2018 was $6.3 million and $6.5 million, respectively. Future minimum lease payments under non-cancelable operating leases at June 30, 2019 were as follows: (in thousands) 2020 $ 5,612 2021 5,672 2022 4,967 2023 3,690 2024 2,913 2025 and thereafter 11,665 $ 34,519 Long Term Service Arrangements We have entered into service agreements with initial minimum commitments ranging between one 2024 , primarily for software licenses, hosting services and disaster recovery services. In addition to the base terms, we have certain options to extend the terms of the service agreements. Payments are fixed for the initial terms and are subject to increase in the event that we elect to extend the service. Future minimum annual commitments under our long term service arrangements as of June 30, 2020 are as follows: (in thousands) 2021 $ 10,216 2022 5,621 2023 714 2024 504 $ 17,055 Legal Matters We are, from time to time, a party to legal proceedings and claims that arise out of the ordinary course of our business. We are not currently a party to any material legal proceedings. |
Indebtedness
Indebtedness | 12 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Indebtedness | Indebtedness Credit Agreement We are party to a credit agreement with Bank of America, N.A. and certain other lenders (the Credit Agreement) that provides for a revolving credit facility in the amount of up to $300 million (the Credit Facility) and that expires in July 2023. We also have the right to request an increase of the aggregate commitments under the Credit Facility by up to $150 million, subject to specified conditions. At June 30, 2020, we owed $180 million under the Credit Facility. Borrowings under the Credit Facility may be used for lawful corporate purposes of Bottomline and its subsidiaries, including acquisitions, share buybacks, capital expenditures, the repayment or refinancing of indebtedness and general corporate purposes. The Credit Facility is available for the issuance of up to $20 million of letters of credit and up to $20 million of swing line loans. The Credit Agreement contains customary representations, warranties and covenants, including, but not limited to, material adverse events, specified restrictions on indebtedness, liens, investments, acquisitions, sales of assets, dividends and other restricted payments, and transactions with affiliates. We are required to comply with (a) a maximum consolidated net leverage ratio of 3.50 to 1.00; and (b) a minimum consolidated interest coverage ratio of 3.00 to 1.00. The Credit Agreement also contains customary events of default and related cure provisions. As of June 30, 2020, we were in compliance with all covenants. The Credit Agreement is guaranteed by us (as borrower) and certain of our existing and future domestic material restricted subsidiaries (the Guarantors) and is secured by substantially all of our domestic assets and those of the Guarantors, including a pledge of all of the shares of capital stock of the Guarantors and 65% of the shares of the capital stock of our first-tier foreign subsidiaries or those of any Guarantor, in each case subject to certain exceptions as set forth in the Credit Agreement. The collateral does not include, among other things, any real property or the capital stock or any assets of any unrestricted subsidiary. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments Cash Flow Hedges Interest Rate Swap Agreements We utilize interest rate swap agreements to hedge our exposure to interest rate risk. At June 30, 2020, we had two outstanding interest rate swap agreements with notional values of $100 million and $80 million. The notional value of each interest rate swap agreement is expected to match the corresponding principal amount of a portion of our borrowings under the Credit Facility. The $100 million notional value agreement is effective as of December 1, 2017 and expires on December 1, 2021. During this period, the notional amount will have a fixed interest rate of 1.9275 percent and Citizens Bank, National Association, as counterparty to the agreement, will pay us interest at a floating rate based on the 1 month USD-LIBOR-BBA swap rate on the notional amount. Interest payments are made quarterly on a net settlement basis. The $80 million notional value agreement is effective as of December 1, 2021 and expires on July 16, 2023. During this period, the notional amount will have a fixed interest rate of 2.125 percent and Bank of America, N.A., as counterparty to the agreement, will pay us interest at a floating rate based on the 1-month USD-LIBOR-BBA swap rate on the notional amount. Interest payments will be made monthly on a net settlement basis. We designated the interest rate swaps as hedging instruments and they qualified for hedge accounting upon inception and at June 30, 2020. To continue to qualify for hedge accounting, the instruments must retain a “highly effective” ability to hedge interest rate risk for borrowings under the Credit Facility. We are required to test hedge effectiveness at the end of each financial reporting period. If a derivative qualifies for hedge accounting, changes in fair value of the hedge instrument are recognized in accumulated other comprehensive income (loss) and subsequently reclassified into earnings in the period that the hedged transaction affects earnings. The reclassification into earnings is recorded as a component of our interest expense. If the instrument were to lose some or all of its hedge effectiveness, changes in fair value for the “ineffective” portion of the instrument would be recorded immediately in earnings. The fair values of the interest rate swaps and their respective locations in our consolidated balance sheets at June 30, 2020 and June 30, 2019 were as follows: Description Balance Sheet Location June 30, 2020 June 30, 2019 Derivative interest rate swaps (in thousands) Short-term derivative liability Accrued expenses and other current liabilities $ 1,631 $ 37 Long-term derivative liability Other liabilities $ 3,448 $ 1,248 The following table presents the effect of the derivative interest rate swaps in our consolidated statement of comprehensive income (loss) for the fiscal years ended June 30, 2020 and June 30, 2019. Gain (Loss) in AOCI June 30, 2019 Amount of Gain (Loss) Recognized in OCI on Derivative Instruments (Effective Portion) Amount of (Gain) Loss Reclassified from AOCI into Net Loss (Effective Portion) (1) Gain (Loss) in AOCI June 30, 2020 (in thousands) Derivative interest rate swaps $ (1,285) $ (4,158) $ 364 $ (5,079) Gain (Loss) in AOCI June 30, 2018 Amount of Gain (Loss) Recognized in OCI on Derivative Instruments (Effective Portion) Amount of (Gain) Loss Reclassified from AOCI into Net Loss (Effective Portion) (1) Gain (Loss) in AOCI June 30, 2019 (in thousands) Derivative interest rate swaps $ 2,590 $ (3,455) $ (420) $ (1,285) —————— (1) Recorded as interest income (expense) within other expense, net in our consolidated statements of comprehensive income (loss). During the twelve months ended June 30, 2020, we concluded that no portion of the hedges was ineffective. We expect to reclassify approximately $1.8 million of this unrealized loss from accumulated other comprehensive loss to earnings over the next twelve months. |
Postretirement and Other Employ
Postretirement and Other Employee Benefits | 12 Months Ended |
Jun. 30, 2020 | |
Retirement Benefits [Abstract] | |
Postretirement and Other Employee Benefits | Postretirement and Other Employee Benefits Defined Contribution Pension Plans We have a 401(k) Plan (the Plan), whereby eligible U.S. employees may contribute up to 60% of their eligible compensation, subject to limitations established by the Internal Revenue Code. We may contribute a discretionary matching contribution annually equal to 50% of each such participant’s contribution to the Plan up to the first 5% of their annual eligible compensation. We charged approximately $2.7 million, $2.4 million and $2.2 million to expense in the fiscal years ended June 30, 2020, 2019 and 2018, respectively, associated with our matching contribution for those years. We have a Group Personal Pension Plan (GPPP) for employees in the UK, whereby eligible employees may contribute a portion of their compensation, subject to their age and other limitations established by HM Revenue & Customs. We contribute 4% of the employee’s annual compensation as long as the individual contributes a minimum of 1% of their annual compensation to the GPPP. We charged approximately $1.5 million, $2.0 million and $1.8 million to expense in the fiscal years ended June 30, 2020, 2019 and 2018, respectively, under the GPPP. We have a GPPP related to European employees from our acquisition of Sterci and governed by local regulatory requirements. We contributed approximately $1.9 million, $1.7 million and $1.5 million in the fiscal years ended June 30, 2020, 2019 and 2018, respectively, under the GPPP. We have a retirement contribution plan with respect to our employees in Israel (Israel plan) under which we contribute 6.5% of each eligible employee’s annual compensation. Employees are entitled to amounts accumulated in the Israel plan upon reaching retirement age. We charged approximately $0.6 million, $0.5 million and $0.4 million to expense in the fiscal years ended June 30, 2020, 2019 and 2018, respectively, related to the Israel plan. Defined Benefit Pension Plan We sponsor a defined benefit pension plan for our Swiss-based employees (the Swiss pension plan) that is governed by local regulatory requirements. As of June 30, 2020, we had 126 employees, which is approximately 6% of our workforce, covered under this plan. The Swiss pension plan is governed by the Swiss Federal Law on Occupational Retirements, Survivors’ and Disability Pension plans. We use a third party pension fund, Profond, to administer this plan. We charged approximately $3.1 million, $2.1 million and $1.8 million to expense in the fiscal years ended June 30, 2020, 2019 and 2018, respectively, related to this plan. The annual measurement date for our pension benefits is June 30. During the fiscal years ended June 30, 2020 and 2019, we made lump sum pension payments exceeding the settlement accounting threshold related to our Swiss pension plan. As required under pension accounting rules, we recorded $1.0 million and $0.6 million, of unrecognized actuarial loss in other expense in our consolidated statements of comprehensive income (loss) in our consolidated balance sheets for the fiscal years ended June 30, 2020 and 2019, respectively, and decreased accumulated other comprehensive loss by $1.0 million and $0.6 million in our consolidated balance sheets for the fiscal years ended June 30, 2020 and 2019, respectively. During fiscal years ended June 30, 2014 and June 30, 2018, Profond decreased the pension benefit conversion rates over two respective five year periods, from a maximum of 7.2% to 6.8% in fiscal year 2014 and from a maximum of 6.8% to 6.2% in fiscal year 2018. The changes in conversion rates reduced the projected benefits at retirement for all employees and qualified as plan amendments. The prior service credits arising from the amendments were recorded as components of accumulated other comprehensive income (loss) for the fiscal years ended June 30, 2014 and June 30, 2018. The accumulated benefit obligation (ABO) represents the obligations of a pension plan for past service as of the measurement date, which is the present value of benefits earned to date based on current compensation levels. The Swiss pension plan ABO as of June 30, 2020 was $50.8 million. The projected benefit obligation (PBO) is the ABO adjusted to reflect the impact of future compensation levels. The following table represents the PBO, change in plan assets, funded status and amounts recognized in our consolidated balance sheets at June 30, 2020 and 2019: June 30, 2020 2019 (in thousands) Change in benefit obligation: Projected benefit obligation at beginning of year $ 56,908 $ 51,368 Service cost 2,955 2,532 Interest cost 226 456 Actuarial (gain) loss (2,374) 4,124 Plan participant contributions 905 880 Benefits paid, net of transfers into plan (222) (215) Settlement (5,500) (3,060) Effect of foreign currency exchange rate changes 1,677 823 Projected benefit obligation at end of year $ 54,575 $ 56,908 Change in plan assets: Fair value of plan assets at beginning of year $ 37,306 $ 36,929 Actual return on plan assets (1,181) 339 Employer contribution 1,899 1,870 Plan participant contributions 905 880 Benefits paid, net of transfers into plan (222) (215) Settlement (5,500) (3,060) Effect of foreign currency exchange rate changes 1,109 563 Fair value of plan assets at end of year $ 34,316 $ 37,306 Pension liability at end of fiscal year $ (20,259) $ (19,602) Accumulated other comprehensive loss consists of the following: Net prior service credit $ 2,642 $ 2,877 Net actuarial loss (10,436) (11,586) Accumulated other comprehensive loss, before income tax $ (7,794) $ (8,709) For the fiscal year ended June 30, 2020, we reclassified approximately $1.5 million of net actuarial loss and $0.3 million of net prior service credit to components of net periodic benefit cost from accumulated other comprehensive loss. For the fiscal year ending June 30, 2021, we expect to reclassify approximately $0.2 million of net actuarial loss and $0.3 million of net prior service credit as components of net periodic benefit cost from accumulated other comprehensive loss. The net unfunded balance of our defined benefit pension plan is recorded as a non-current liability and all unrecognized gains or losses, net of tax, are recorded as a component of other comprehensive loss within stockholders’ equity at June 30, 2020. Assumptions: Fiscal Year Ended June 30, 2020 2019 2018 Weighted-average assumptions used to determine net benefit costs: Discount rate 0.40 % 0.90 % 0.70 % Expected return on plan assets 3.25 % 3.75 % 3.50 % Rate of compensation increase 1.75 % 1.75 % 1.50 % Weighted-average assumptions used to determine benefit obligations at year end: Discount rate 0.25 % 0.40 % 0.90 % Expected return on plan assets 2.75 % 3.25 % 3.75 % Rate of compensation increase 1.50 % 1.75 % 1.75 % The expected return on plan assets is determined by adjusting the market value of assets to reflect the investment gains and losses from prior years. We amortize gains and losses in our net periodic benefit cost which result from actual experience different from that assumed and from changes in assumptions. If, as of the beginning of the year, the net gain or loss exceeds 10% of the greater of the projected benefit obligation and the market related value of plan assets, the amortization is that excess divided by the average remaining service period of participating employees expected to receive benefits under the plan. The fair value of plan assets for the Swiss pension plan was $34.3 million at June 30, 2020. As is customary with Swiss pension plans, the plan assets are invested in a collective fund with multiple employers through a Swiss insurance company. We do not have rights to the individual assets of the plan nor do we have investment authority over the assets of the plan. The collective fund maintains a variety of investment positions primarily in equity securities and highly rated debt securities. The valuation of the collective fund assets as a whole is a Level 3 measurement; however the individual investments of the fund are generally Level 1 (equity securities), Level 2 (fixed income) and Level 3 (real estate) investments. We determine the fair value of the plan assets based on information provided by the collective fund, through review of the collective fund’s annual financial statements, and we further consider whether there are other indicators that the investment balances reported by the fund could be impaired. We concluded that no such impairment indicators were present at June 30, 2020. The Swiss pension plan's actual asset allocation as compared to Profond’s target asset allocations for fiscal year 2020 were as follows: Actual Target Asset Category: Cash and cash equivalents 8 % 2 % Equity Securities 49 % 49 % Fixed Income 12 % 17 % Real Estate 27 % 28 % Other 4 % 4 % As of June 30, 2020, the estimated future benefit payments (inclusive of any future service) were as follows: (in thousands) 2021 $ 1,644 2022 1,598 2023 1,876 2024 1,841 2025 3,077 2025-2029 10,657 Net periodic pension costs for the Swiss pension plan included the following components: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Components of net periodic cost Service cost $ 2,955 $ 2,532 $ 2,539 Interest cost 226 456 353 Net prior service credit (311) (306) (91) Net actuarial loss 482 219 217 Expected return on plan assets (1,252) (1,384) (1,196) Settlements 1,049 617 — Net periodic cost $ 3,149 $ 2,134 $ 1,822 The components of net periodic pension cost other than current service cost are presented within other expense, net in our unaudited consolidated statements of comprehensive income (loss). We expect to make a contribution of approximately $1.8 million to our pension plan in fiscal year 2021, which is the legal funding regulation minimum for the Swiss pension plan. Israeli Severance Pay We provide severance payments based on the Israeli severance pay law and certain other circumstances to employees of our Israeli subsidiary. Our liability for severance pay for service periods prior to January 12, 2015 is calculated based on the most recent employee salaries multiplied by the number of years of employment as of January 12, 2015. We make monthly deposits in insurance funds designed to fund a portion of this overall severance liability and the value of these deposits, inclusive of earnings and losses attributable to these deposits, is recorded as an asset on our consolidated balance sheet. In the event of a separation, the employee receives the balance in deposited funds with any remaining severance liability balance paid by us. As of June 30, 2020, for service periods prior to January 12, 2015, our severance liability (classified in other liabilities within our consolidated balance sheet) was $1.3 million and our severance deposit (classified as other assets within the consolidated balance sheet) was $1.0 million. Effective January 12, 2015, our statutory severance liability is covered under the provisions of Section 14 of the Israel severance pay law (Section 14). Under Section 14 we are released from any future severance liability once we fund the statutory severance requirement via payment to an insurance fund on behalf of the employee. As a result, for severance obligations arising after January 12, 2015, we do not recognize any liability (or asset) for severance related obligations once we fund the statutory severance requirement. |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Payments | Share-Based Payments We recognize expense for the estimated fair value of all share-based payments to employees over the awards vesting period. For the fiscal years ended June 30, 2020, 2019 and 2018, we recorded expense of approximately $42.0 million, $41.7 million and $34.2 million, respectively, in connection with our share-based payment awards. For the fiscal years ended June 30, 2020, 2019 and 2018, we recognized tax benefits of $1.9 million, $2.4 million and $1.7 million, respectively, related to the expense recorded in connection with our share-based payment awards. Share-Based Compensation Plans Employee Stock Purchase Plan On November 16, 2000, we adopted the 2000 Employee Stock Purchase Plan, which was amended on November 18, 2004 and November 18, 2010, and which provides for the issuance of up to a total of 4,000,000 shares of common stock to participating employees. At the end of each designated purchase period, which occurs every six months on March 31 and September 30, employees can elect to purchase shares of our common stock with contributions of between 1% and 10% of their base pay, accumulated via payroll deductions, at an amount equal to 85% of the lower of the fair market value of the common stock on the first day of each 24 month offering period or the last day of the applicable six-month purchase period. Our employee stock purchase plan has several complex features that make determining fair value on the grant date impracticable. Accordingly, we measure the fair value of these awards at intrinsic value (the value of our common stock less the employee purchase price) at the end of each reporting period. For the fiscal year ended June 30, 2020, we recorded compensation cost of approximately $1.3 million associated with our employee stock purchase plan. As a result of employee stock purchases in fiscal year 2020 we issued approximately 123,000 shares of our common stock. The aggregate intrinsic value of shares issued under the employee stock plan during fiscal year 2020 was $0.7 million. At June 30, 2020, based on employee withholdings and our common stock price at that date, approximately 39,000 shares of common stock, with an approximate intrinsic value of $0.9 million would have been eligible for issuance were June 30, 2020 to hav e been a designated stock purchase date. Stock Incentive Plans 2009 Stock Incentive Plan On November 19, 2009, we adopted the 2009 Stock Incentive Plan (the 2009 Plan), which provides for the issuance of stock options, stock appreciation rights, restricted stock, restricted stock units and other share-based awards. Stock option awards under this plan have a 10-year maximum contractual term and must be issued at an exercise price of not less than 100% of the fair market value of the common stock at the date of grant. The 2009 Plan is administered by the Board of Directors, which has the authority to determine to whom options and other equity awards may be granted, the period of exercise and what other restrictions, if any, should apply. Vesting for awards granted to date under the 2009 Plan is principally over four years from the date of the grant, with 25% of the award vesting after one year and 6.25% of the award vesting each quarter thereafter. We initially reserved 2,750,000 shares of our common stock for issuance under the 2009 Plan, plus additional shares equal to the number of shares subject to outstanding awards under our prior plans which expire, terminate or are otherwise surrendered, cancelled, forfeited or repurchased by us. Through November 21, 2019, 14,950,000 shares of common stock had been authorized for issuance under the 2009 Plan. No further shares will be authorized for issuance under the 2009 Plan as we adopted the 2019 Stock Incentive Plan in November 2019, as noted below. 2019 Stock Incentive Plan On November 21, 2019, we adopted the 2019 Stock Incentive Plan (the 2019 Plan), which provides for the issuance of stock options, stock appreciation rights, restricted stock, restricted stock units and other share-based awards. Stock option awards under this plan have a 10-year maximum contractual term and must be issued at an exercise price of not less than 100% of the fair market value of the common stock at the date of grant. The 2019 Plan is administered by the Board of Directors, which has the authority to determine to whom options and other equity awards may be granted, the period of exercise and what other restrictions, if any, should apply. Vesting for awards granted to date under the 2019 Plan is principally over four years from the date of the grant, with 25% of the award vesting after one year and 6.25% of the award vesting each quarter thereafter. We initially reserved 1,000,000 shares of our common stock for issuance under the 2019 Plan, plus additional shares equal to the number of shares subject to outstanding awards under our prior plans which expire, terminate or are otherwise surrendered, cancelled, forfeited or repurchased by us. To date under the 2019 Plan, 1,000,000 shares of common stock have been authorized for issuance. 2018 Israeli Special Purpose Stock Incentive Plan On November 15, 2018, we adopted the 2018 Israeli Special Purpose Stock Incentive Plan (the Israeli Plan), which provides for the issuance of stock options, stock appreciation rights, restricted stock, restricted stock units and other share-based awards. Stock option awards under this plan have a 10-year maximum contractual term and must be issued at an exercise price of not less than 100% of the fair market value of the common stock at the date of grant. The Israeli Plan is administered by the Board of Directors, which has the authority to determine to whom options and other equity awards may be granted, the period of exercise and what other restrictions, if any, should apply. Vesting for awards granted to date under the Israeli Plan is principally over five years from the date of the grant, with 20% of the award vesting after one year and 5% of the award vesting each quarter thereafter. We reserved 200,000 shares of common stock for issuance under the Israeli Plan. Valuation and Related Activity Restricted stock awards are valued based on the closing price of our common stock on the award grant date. There were no stock option grants during the fiscal years ended June 30, 2020, 2019 or 2018. A summary of stock option and restricted stock activity for the fiscal year ended June 30, 2020 is as follows; in respect of shares available for grant, the shares are available for issuance by us as either a stock option or as a restricted stock award: Non-vested Stock Stock Options Shares Available for Grant Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Weighted Aggregate (in thousands, except per share data) Awards outstanding at June 30, 2019 4,503 2,366 $ 41.72 14 $ 12.20 0.7 $ 481 Plan amendment — Plan adoption 1,000 Awards granted (1) (1,347) 1,054 44.88 Shares vested (1,085) 39.10 Stock options exercised — (13) 12.70 Awards forfeited (1) 158 (123) 45.86 Awards expired — — Awards outstanding at June 30, 2020 4,314 2,212 $ 44.25 1 $ 6.89 3.0 $ 49 Stock options exercisable at June 30, 2020 1 $ 6.89 3.0 $ 49 —————— (1) Our stock plans have fungible share pools in which restricted stock awards are counted against the plan (or replenished within the plan, in respect of award forfeitures) as 1.28 shares for each one share of common stock subject to such restricted stock award. The total intrinsic value of stock options exercised during the fiscal years ended June 30, 2020, 2019 and 2018 was approximately $0.4 million , $1.9 million and $1.9 million, respectively. There were no stock options that vested during the fiscal years ended June 30, 2020, 2019 or 2018. The majority of our restricted stock awards vest over a four two five $51.0 million, $63.6 million and $37.5 million, respectively. We recorded expense of approximately $40.7 million associated with our restricted stock awards for the fiscal year ended June 30, 2020. As of June 30, 2020, there was approximately $87.0 million of unrecognized compensation cost related to restricted stock awards that will be recognized as expense over a weighted average period of 2.9 years. Excluding the impact of shares issued as purchase consideration with forfeiture provisions, approximately 1.1 million shares of restricted stock awards vested during the fiscal year ended June 30, 2020. Stock Issued in Acquisitions Retention of key personnel in businesses we acquire is critical to us because it helps to ensure that we maximize the value of companies we acquire, which we believe is vitally important to our stockholders. Accordingly, in order to maximize the retention of key employees, we commonly attach forfeiture provisions to the shares we issue to acquire certain businesses. This has the effect of requiring key employees to stay in our employment, post-acquisition, in order to earn the full value of the stock we issue. These shares are issued as purchase consideration, but as a result of the forfeiture provisions we attach they are categorized as compensatory awards under U.S. GAAP. The forfeiture provisions on these shares typically lapse over a four five Activity associated with shares issued as purchase consideration with forfeiture provisions for the fiscal year ended June 30, 2020 is reflected in the table below. These shares were not issued out of our shareholder approved stock plans and do not represent grants or awards of shares from those plans. Non-vested Stock Number Weighted Purchase consideration shares with forfeiture provisions outstanding at June 30, 2019 99 $ 30.97 Issuance of purchase consideration shares with forfeiture provisions — — Lapse of forfeiture provisions (54) 22.70 Shares forfeited (43) 41.20 Purchase consideration shares with forfeiture provisions outstanding at June 30, 2020 2 $ 32.76 |
Net (Loss) Income Per Share
Net (Loss) Income Per Share | 12 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Net (Loss) Income Per Share | Net (Loss) Income Per Share The following table sets forth the computation of basic and diluted net (loss) income per share: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands, except per share amounts) Numerator - basic and diluted: Net (loss) income $ (9,229) $ 9,432 $ 9,328 Denominator: Shares used in computing basic net (loss) income per share attributable to common stockholders 41,770 40,612 38,227 Impact of dilutive securities — 1,079 1,099 Shares used in computing diluted net (loss) income per share attributable to common stockholders 41,770 41,691 39,326 Basic and diluted net (loss) income per share attributable to common stockholders $ (0.22) $ 0.23 $ 0.24 For the fiscal year ended June 30, 2020, approximately 2.3 million shares of unvested restricted stock and shares underlying stock options were excluded from the calculation of diluted earnings per share as their effect on the calculation would have been anti-dilutive. |
Operations by Segments and Geog
Operations by Segments and Geographic Areas | 12 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Operations by Segments and Geographic Areas | Operations by Segments and Geographic Areas Segment Information Operating segments are the components of our business for which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Our chief operating decision maker is our chief executive officer. Our operating segments are generally organized by the type of product or service offered and by geography. During the fourth quarter of the fiscal year ended June 30, 2020, we realigned our internal financial reporting and changed the manner in which financial information related to our PTX solutions is presented to our chief executive officer. This resulted in PTX solutions operating activity being reclassified into our Cloud Solutions segment rather than our Payments and Documents segment. To ensure a consistent presentation of the measurement of segment revenues and profit or loss, this change is reflected for all financial periods presented. Similar operating segments have been aggregated into four reportable segments as follows: Cloud Solutions. Our Cloud Solutions segment provides customers with SaaS technology offerings that facilitate electronic payments, electronic invoicing, and spend management. Our payment platforms (Paymode-X, PTX and financial messaging) are included in this segment. These solutions are highly scalable, secure and cost effective and facilitate cash payment and transaction settlement between businesses, their vendors and banks. Our legal spend management solutions, which enable customers to create more efficient processes for managing invoices generated by outside law firms while offering insight into important legal spend factors such as expense monitoring and outside counsel performance, are also included within this segment. Revenue within this segment is generally recognized on a subscription or transaction basis. Banking Solutions. Our Banking Solutions segment provides solutions that are specifically designed for banking and financial institution customers. Our Banking Solutions products are sold predominantly on a hosted basis, with revenue recognized on a subscription or transaction basis. Payments and Documents. Our Payments and Documents segment supplies financial business process management software solutions, including making and collecting payments, sending and receiving invoices, and generating and storing business documents. This segment also provides a range of standard professional services and equipment and supplies that complement and enhance our core software products. When licensed for on-premise deployment, software license revenue is typically recorded upon delivery of the software and commencement of the license term. If the solution is hosted by us, we typically record revenue over time. Professional services revenue is normally recorded as we perform the work and software support and maintenance revenue is recorded ratably over the support period. Other . Our Other segment consists of our fraud solutions and our healthcare solutions. The Other segment loss reported below is attributable to the operating results of our fraud solutions, which reflects the revenue contribution from the legacy sales channel we acquired and the burden of certain other centralized costs; however our fraud solutions are sold as part of all of our operating segments. Our healthcare solutions focus on eliminating paper intensive processes and providing electronic signature and mobile document capabilities to allow healthcare organizations to improve efficiency and reduce costs. Software revenue for perpetual licenses of our fraud and healthcare products is typically recorded upon delivery of the software and commencement of the license term. Professional services revenue is recorded as we perform the work and software support and maintenance revenue is recorded ratably over the support period which is normally twelve months. Periodically a sales person in one operating segment will sell products and services that are typically sold within a different operating segment. In such cases, the transaction is generally recorded by the operating segment to which the sales person is assigned. Accordingly, segment results can include the results of transactions that have been allocated to a specific segment based on the contributing sales resources, rather than the nature of the product or service. Conversely, a transaction can be recorded by the operating segment primarily responsible for delivery to the customer, even if the sales person is assigned to a different operating segment. Our chief operating decision maker assesses segment performance based on a variety of factors that normally include segment revenue and a segment measure of profit or loss. Each segment’s measure of profit or loss is on a pre-tax basis and excludes certain items as presented in our reconciliation of the measure of total segment profit to GAAP income (loss) before income taxes that follows. There are no inter-segment sales; accordingly, the measure of segment revenue and profit or loss reflects only revenues from external customers. The costs of certain corporate level expenses, primarily general and administrative expenses, are allocated to our operating segments based on a percentage of the segment’s revenues. We do not track or assign our assets by operating segment. Segment information for the fiscal years ended June 30, 2020, 2019 and 2018, according to the segment descriptions above, is as follows: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Segment revenue: Cloud Solutions $ 252,349 $ 232,106 $ 203,599 Banking Solutions 97,785 93,956 91,851 Payments and Documents 75,048 77,322 80,063 Other 17,039 18,578 18,583 Total segment revenue $ 442,221 $ 421,962 $ 394,096 Segment measure of profit (loss): Cloud Solutions $ 54,002 $ 53,113 $ 43,852 Banking Solutions 4,849 8,227 9,703 Payments and Documents 19,336 21,207 22,383 Other (10,459) (5,301) (2,199) Total measure of segment profit $ 67,728 $ 77,246 $ 73,739 A reconciliation of the measure of segment profit to GAAP (loss) income before income taxes is as follows: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Total measure of segment profit $ 67,728 $ 77,246 $ 73,739 Less: Amortization of acquisition-related intangible assets (20,370) (21,336) (22,076) Stock-based compensation plan expense (42,044) (41,695) (34,200) Acquisition and integration-related expenses (5,647) (4,648) (2,564) Restructuring expenses (1,652) (1,881) (1,495) Legal settlement — — (1,269) Other non-core income (expense) 94 (550) 150 Global ERP system implementation and other costs (485) (3,395) (6,430) Other (expense) income, net of pension adjustments (5,025) 3,153 (4,730) (Loss) income before income taxes $ (7,401) $ 6,894 $ 1,125 —————— (1) On July 1, 2018, we adopted an accounting standard update that changes the classification of certain pension related items. For purposes of this reconciliation of segment profit, we have presented pension related adjustments discretely, not as a component of other expense, net. The following depreciation and other amortization expense amounts are included in the segment measure of profit: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Depreciation and other amortization expense: Cloud Solutions $ 15,903 $ 13,543 $ 11,984 Banking Solutions 9,416 7,865 6,333 Payments and Documents 1,011 1,146 1,289 Other 902 357 388 Total depreciation and other amortization expense $ 27,232 $ 22,911 $ 19,994 Geographic Information We have presented geographic information about our revenues below. This presentation allocates revenue based on the point of sale, not the location of the customer. Accordingly, we derive revenues from geographic locations based on the location of the customer that would vary from the geographic areas listed here; particularly in respect of financial institution customers located in Australia for which the point of sale was the United States. Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) United States $ 277,153 $ 261,779 $ 242,170 United Kingdom 106,492 99,746 91,489 Switzerland 39,071 38,698 39,759 Other 19,505 21,739 20,678 Total revenues from unaffiliated customers $ 442,221 $ 421,962 $ 394,096 Long-lived assets based on geographical location, excluding deferred tax assets and intangible assets, were as follows: At June 30, 2020 2019 (in thousands) Long-lived assets: United States $ 64,858 $ 44,357 United Kingdom 41,835 32,035 Other 16,977 5,326 Total long-lived assets $ 123,670 $ 81,718 Disaggregation of Revenue The tables below present our subscriptions revenue and total revenue disaggregated by major product classification. (in thousands) Twelve Months Ended June 30, 2020 2019 Subscriptions Revenue Total Revenue Subscriptions Revenue Total Revenue Payment Settlement Solutions (1) $ 149,109 $ 167,547 $ 131,433 $ 155,442 Banking Solutions 80,176 97,785 67,680 93,956 Legal Spend Management (2) 84,802 84,802 76,663 76,664 All other (3) 25,323 92,087 19,857 95,900 Total revenues $ 339,410 $ 442,221 $ 295,633 $ 421,962 We derive the majority of our revenue from subscription arrangements. The substantial majority of our non-subscription revenue is derived from software support and maintenance fees and from professional services, with such revenue being recorded by all of our operating segments, but with the largest concentration of this revenue being derived from our legacy business payments and documents products in our Payments and Documents segment. (1) Consists of our Paymode-X, PTX and financial messaging payment platforms, all of which are components of our Cloud Solutions segment. (2) Component of our Cloud Solutions segment. (3) Consists of our legacy business payments and documents products which are components of our Payments and Documents segment and revenue from our Other segment. |
Income Taxes
Income Taxes | 12 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Provision for Income Taxes We file U.S. federal income tax returns and returns in various state, local and foreign jurisdictions. Generally, we are no longer subject to U.S. federal, state and local, or foreign income tax examinations by tax authorities for years before 2001. Our provision for (benefit from) income taxes consisted of the following: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Current: Federal $ 43 $ 56 $ (673) State 84 123 20 Foreign 2,530 2,430 1,915 2,657 2,609 1,262 Deferred: Federal (314) (1,724) (7,271) State 336 (441) 687 Foreign (851) (2,982) (2,881) (829) (5,147) (9,465) $ 1,828 $ (2,538) $ (8,203) Our income tax expense (benefit) included a tax benefit of $0.4 million in each of the fiscal years 2020, 2019 and 2018, respectively, relating to a reduction in our unrecognized tax benefits upon the expiration of certain statutes of limitations. Income (loss) before income taxes by geographic area is as follows: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) North America $ (2,417) $ 9,403 $ (29) United Kingdom 4,918 4,184 7,144 Continental Europe 1,292 2,194 6,062 Asia-Pacific and Middle East (11,194) (8,887) (12,052) $ (7,401) $ 6,894 $ 1,125 A reconciliation of the federal statutory rate to the effective income tax rate is as follows: Fiscal Year Ended June 30, 2020 2019 2018 Tax expense (benefit) at federal statutory rate (21.0 %) 21.0 % 28.1 % State taxes, net of federal benefit (5.5 %) (11.1 %) 5.5 % Change in valuation allowance 32.8 % 3.7 % (168.9 %) Non-deductible executive compensation 28.3 % 48.4 % 90.3 % Changes in uncertain tax positions 13.6 % 2.0 % 12.9 % Foreign branch operations, net of foreign tax deductions 8.8 % 9.7 % 91.2 % Non-deductible other expenses 5.2 % 6.1 % 39.2 % Non-deductible acquisition costs 0.1 % 7.2 % 26.0 % Changes in tax laws or rates (1) (4.7 %) (10.8 %) (738.7 %) Tax rate differential on foreign earnings (7.3 %) (4.5 %) (50.7 %) Research and development credit (11.1 %) (14.8 %) (33.4 %) Share-based payments (15.3 %) (94.0 %) (33.4 %) Other 0.8 % 0.3 % 2.6 % 24.7 % (36.8 %) (729.3 %) —————— (1)The impact on our effective tax rate due to changes in tax laws or rates includes the revaluation of deferred tax assets, deferred tax liabilities and the corresponding change in our valuation allowance. The increase in our effective tax rate over the statutory tax rate for the fiscal year ended June 30, 2020 was primarily due to the inability to benefit U.S. and Israel losses. This increase was partially offset by tax benefits associated with share-based compensation. The decrease in our effective tax rate compared to the statutory tax rate for the fiscal year ended June 30, 2019 was due to tax benefits associated with share-based compensation and the enactment of legislation that decreased statutory tax rates in Switzerland. The decrease in our effective tax rate compared to the statutory tax rate for the fiscal year ended June 30, 2018 is principally due to the provisions of the Tax Cuts and Jobs Act, which reduced the U.S. federal income tax rate from 35% to 21%. Our blended U.S. federal income tax rate for the fiscal year ended June 30, 2018 was 28.06%. Deferred Tax Assets and Liabilities We recognize deferred tax assets and liabilities based on the differences between their financial reporting and tax basis by applying tax rates that are expected to be in effect when the differences reverse. Significant components of our deferred income taxes are as follows: June 30, 2020 2019 (in thousands) Deferred tax assets: Net operating loss carryforwards $ 38,795 $ 35,049 Research and development and other credits 7,815 7,183 Stock compensation 6,848 7,217 Lease Liabilities 6,261 — Deferred revenue 4,577 6,103 Various accrued expenses 3,281 2,731 Accrued pension 2,834 2,742 Unrealized loss - interest swap 1,377 349 Acquired intangible assets 851 622 Property and equipment 445 536 Allowances and reserves 353 171 Other 466 207 Total deferred tax assets $ 73,903 $ 62,910 Valuation allowance (34,830) (32,538) Deferred tax assets, net of valuation allowance 39,073 30,372 Deferred tax liabilities: Property and equipment, inclusive of capitalized software (15,735) (12,205) Acquired intangible assets (12,903) (15,422) Deductible goodwill acquired intangible assets (7,384) (7,010) Capitalized Costs (5,559) (5,805) Right of Use Assets (5,659) — Other (489) (275) Total deferred tax liabilities (47,729) (40,717) Net deferred tax liabilities $ (8,656) $ (10,345) At June 30, 2020, we had U.S. net operating loss carryforwards of $121.6 million, of which $104.8 million expire at various times through fiscal year 2037 and $16.8 million of which have no statutory expiration date. From a foreign tax perspective, we had foreign net operating losses of $30.9 million, primarily in Europe and Israel, which have no statutory expiration date. We utilized approximately $1.7 million of net operating losses in fiscal year 2020 in our foreign operations, predominantly in continental Europe. We have approximately $7.8 million of research and development tax credit carryforwards available, which expire at various points through fiscal year 2040. Our operating losses and tax credit carryforwards may be subject to limitations under provisions of the Internal Revenue Code. Valuation Allowance We record a deferred tax asset if we believe that it is more likely than not that we will realize a future tax benefit. Ultimate realization of any deferred tax asset is dependent on our ability to generate sufficient future taxable income in the appropriate tax jurisdiction before the expiration of carryforward periods, if any. Our assessment of deferred tax asset recoverability considers many different factors including historical and projected operating results, the reversal of existing deferred tax liabilities that provide a source of future taxable income, the impact of current tax planning strategies and the availability of future tax planning strategies. We establish a valuation allowance against any deferred tax asset for which we are unable to conclude that recoverability is more likely than not. This is inherently judgmental, since we are required to assess many different factors and evaluate as much objective evidence as we can in reaching an overall conclusion. At June 30, 2020, we had a $34.8 million valuation allowance against certain deferred tax assets given the uncertainty of recoverability of these amounts. The valuation allowance increased by $2.3 million in fiscal year 2020 due predominantly to the increase in net operating losses during the year. Uncertain Tax Positions As of June 30, 2020, we had approximately $11.3 million of total gross unrecognized tax benefits, of which approximately $1.9 million represented the amount of unrecognized tax benefits that, if recognized, would favorably affect our effective income tax rate in future periods. Approximately $3.3 million of the gross unrecognized tax benefits resulted in a reduction to tax credit carryforwards. We currently anticipate that our unrecognized tax benefits will decrease within the next twelve months by approximately $0.3 million, as a result of the expiration of certain statutes of limitations associated with intercompany transactions subject to tax in multiple jurisdictions. A summary of the changes in the gross amount of unrecognized tax benefits is shown below: (in thousands) Balance at July 1, 2017 8,656 Additions related to current year tax positions 1,041 Reductions related to prior year tax positions (85) Reductions due to lapse of statute of limitations (432) Reductions due to audit closure (122) Change in tax rates (368) Foreign currency translation 11 Balance at July 1, 2018 8,701 Additions related to current year tax positions 1,257 Additions related to prior year tax positions 56 Reductions due to lapse of statute of limitations (377) Change in tax rates 319 Foreign currency translation (43) Balance at July 1, 2019 9,913 Additions related to current year tax positions 1,810 Reductions related to prior year tax positions (19) Reductions due to lapse of statute of limitations (399) Change in tax rates 49 Foreign currency translations (44) Balance at July 1, 2020 $ 11,310 We recognize interest and penalties related to uncertain tax positions as a component of income tax expense. To the extent that the accrued interest and penalties do not ultimately become payable, the amounts accrued will be derecognized and reflected as an income tax benefit in the period that such a determination is made. Our accrued interest and penalties related to uncertain tax positions for all periods presented were not significant. |
Guarantees
Guarantees | 12 Months Ended |
Jun. 30, 2020 | |
Guarantees and Product Warranties [Abstract] | |
Guarantees | Guarantees We generally offer a standard warranty on our products and services, specifying that our software products will perform in accordance with published product specifications and that any professional services will conform with applicable specifications and industry standards. Further, we offer, as an element of our standard licensing arrangements, an indemnification clause that protects the licensee against liability and damages, including legal defense costs arising from claims of patent, copyright, trademark or other similar infringements by our software products. At June 30, 2020 and 2019, warranty accruals were not significant. Certain of our arrangements with customers include clauses whereby we may be subject to penalties for failure to meet certain service level requirements; however, we have not incurred any related material penalties to date. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jun. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events In July 2020 we acquired Switzerland-based AnaSys AG (AnaSys) for a total purchase price of $13.9 million. The purchase price consisted of cash of 5.2 million Swiss Francs (approximately $5.7 million based on the foreign exchange rate in effect at the acquisition date) and 166,393 shares of our common stock valued at $8.2 million on the closing date of the transaction. Additionally, we issued 28,000 shares of our common stock to certain selling stockholders of AnaSys with vesting conditions tied to continued employment with us. These shares are compensatory and we will record share-based payment expense over their vesting period of five years.AnaSys is a provider of financial messaging solutions and will extend our geographic presence in Switzerland and Germany and expand our customer base. The operating results of AnaSys will be a component of our Cloud Solutions segment from the date of the acquisition forward. |
Quarterly Financial Data (unaud
Quarterly Financial Data (unaudited) | 12 Months Ended |
Jun. 30, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (unaudited) | Quarterly Financial Data (unaudited) The following table contains selected quarterly financial data for the fiscal years ended June 30, 2020 and 2019. The quarterly earnings per share information is computed separately for each period. Therefore, the sum of the quarterly per share amounts may differ from the total year per share amounts. For the quarters ended September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, (in thousands, except per share data) Revenues $ 102,437 $ 104,846 $ 106,438 $ 108,241 $ 108,176 $ 111,691 $ 111,715 $ 110,639 Gross profit 57,307 59,865 60,725 61,346 61,681 64,652 63,786 63,016 Net (loss) income (1) $ (918) $ 5,969 $ 824 $ 3,557 $ (1,367) $ 2,609 $ (7,468) $ (3,003) Basic net (loss) income per share $ (0.02) $ 0.15 $ 0.02 $ 0.09 $ (0.03) $ 0.06 $ (0.18) $ (0.07) Diluted net (loss) income per share $ (0.02) $ 0.14 $ 0.02 $ 0.09 $ (0.03) $ 0.06 $ (0.18) $ (0.07) Shares used in computing basic net (loss) income per share 39,689 40,635 40,911 41,214 41,487 41,693 41,823 42,078 Shares used in computing diluted net (loss) income per share 39,689 41,739 41,625 41,813 41,487 42,092 41,823 42,078 —————— (1) We liquidated a $0.4 million cost method investment in the quarter ended June 30, 2019. As a result of the sale, we recorded $7.3 million in other income in our consolidated statement of comprehensive income (loss). |
Schedule II-Valuation and Quali
Schedule II-Valuation and Qualifying Accounts Allowance for Doubtful Accounts | 12 Months Ended |
Jun. 30, 2020 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II-Valuation and Qualifying Accounts Allowance for Doubtful Accounts | SCHEDULE II-VALUATION AND QUALIFYING ACCOUNTS ALLOWANCE FOR DOUBTFUL ACCOUNTS Fiscal Years Ended June 30, 2020, 2019 and 2018 Activity Fiscal Year Ended Balance at (Charged to Additions and Recoveries (1) Deductions (2) Balance at (in thousands) June 30, 2020 $ 824 749 2 (239) $ 1,336 June 30, 2019 $ 996 220 1 (393) $ 824 June 30, 2018 $ 923 238 2 (167) $ 996 —————— (1) Additions primarily represent increases to the allowance for doubtful accounts balance as a result of the impact of increases in foreign currency exchange rates. (2) Deductions are principally write-offs as well as the impact of decreases in foreign currency exchange rates. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include our accounts and the accounts of our subsidiaries, all of which are wholly owned. All intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates in the Preparation of Consolidated Financial Statements | Use of Estimates in the Preparation of Consolidated Financial Statements The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Estimates include, but are not limited to, revenue recognition, allowances for doubtful accounts, recoverability of deferred tax assets, determining the fair value associated with acquired assets and liabilities including acquired performance obligations, intangible asset and goodwill impairment, pension benefit obligations, accruals for uncertain tax positions and certain other of our accrued liabilities. Actual results could differ from those estimates. |
Foreign Currency Translation | Foreign Currency Translation We have international subsidiaries in Europe, the Asia-Pacific region and Canada, whose functional currencies are typically the local currencies. Assets and liabilities of all of our international subsidiaries have been translated into U.S. dollars at year-end exchange rates, and results of operations and cash flows have been translated at the average exchange rates in effect during the year. Gains or losses resulting from foreign currency translation where the local currency is the functional currency are included as a component of accumulated other comprehensive income (loss). Foreign currency transaction gains and losses are included in results of operations as incurred and are not significant to our overall operations. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider all highly liquid instruments with an original maturity of three months or less to be cash equivalents. The carrying value of these instruments approximates their fair value. At June 30, 2020, our cash equivalents consisted of demand deposit accounts and money market funds. |
Cash Held for Customers and Customer Account Liabilities | Cash Held for Customers and Customer Account Liabilities At June 30, 2020 and 2019, our consolidated balance sheets included $6.3 million and $5.6 million, respectively, of cash held for customers and a corresponding liability in the same amount. Cash held for customers and customer account liabilities arise from a portion of our UK operations where we collect client funds and hold them for a short transient period before ultimately disbursing the amounts and settling the corresponding liability. Cash we hold on behalf of clients is segregated from our other corporate cash accounts and is not available for use by us other than to settle the corresponding client liability. |
Marketable Securities | Marketable Securities All marketable securities must be classified as one of the following: held to maturity, available for sale, or trading. At June 30, 2020, we held $10.2 million of marketable securities which consisted of U.S. corporate and government debt securities. Our held to maturity investments, all of which mature within one year, are recorded at amortized cost and interest income is recognized in earnings when earned. The cost of securities sold is determined based on the specific identification method. At June 30, 2020 and 2019, the amortized cost of our held-to-maturity investments approximated their fair value. Our securities classified as available for sale are recorded at fair value, with all unrealized gains or losses recorded as a component of accumulated other comprehensive income (loss). At June 30, 2020 and 2019, all of our available for sale securities had maturities of less than one year. The cost of securities sold is determined based on the specific identification method. At June 30, 2020 and 2019, the net unrealized gain associated with securities classified as available for sale was not significant. |
Other Investments | Other Investments We have certain other investments recorded at fair value. In circumstances where there is no readily determinable fair value, these investments are recorded at cost, less impairment (if any) plus or minus adjustments for observable price changes. The aggregate carrying value of these investments was $1.0 million and $0.7 million at June 30, 2020 and 2019, respectively, and they are reported as a component of our other assets. At June 30, 2020, we reviewed the carrying value of these investments and concluded that they were not impaired. We are unable to exercise significant influence or control over the investees underlying any of these investments. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject us to significant concentrations of credit risk consist of cash and cash equivalents and accounts receivable. We had approximately $185.5 million of cash and cash equivalents invested with six financial institutions at June 30, 2020. Balances of cash and cash equivalents are typically in excess of any insurance, such as FDIC coverage, that may protect our deposits. |
Financial Instruments | Financial Instruments The fair value of our financial instruments, which includes cash and cash equivalents, cash held for customers, marketable securities, accounts receivable, accounts payable, customer account liabilities, derivative interest rate swaps and debt drawn under our Credit Facility, as defined in Note 11 Indebtedness |
Accounts Receivable | Accounts Receivable Accounts receivable includes unbilled receivables of approximately $6.5 million a nd $6.9 million at June 30, 2020 and 2019, respectively. Unbilled receivables include revenues recognized for which billings have not yet been presented to the customers. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost, net of depreciation. Depreciation is recorded on a straight-line basis over the estimated useful lives of the assets as follows: Property, equipment, furniture, fixtures and vehicles 3-7 years Technical equipment 3-5 years Building (Theale, Reading, England) 40 years Leasehold improvements Lower of estimated life or remaining lease term Periodically, we may assign a life outside of the general range of useful lives noted here if a particular asset’s estimated period of use falls outside of the normal range. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets We initially record other acquired intangible assets at their estimated fair values and we review these assets periodically for impairment. Goodwill represents the excess of the purchase price over the fair value of identifiable tangible and intangible assets acquired and liabilities assumed in a business combination and is tested at least annually for impairment; historically during our fourth quarter. Our specifically identifiable intangible assets, which consist principally of customer related assets and core technology, are reported net of accumulated amortization and are amortized over their estimated useful lives at amortization rates that are proportional to each asset’s estimated economic benefit. We review the carrying value of these intangible assets annually, or more frequently if indicators of impairment are present. In performing our review of the recoverability of goodwill and other intangible assets we consider several factors, including whether there have been significant changes in legal factors or the overall business climate that could affect the underlying value of an asset. We also consider whether there is an expectation that the asset will be sold or disposed of before the end of its originally estimated useful life. In the case of goodwill, we must estimate the fair value of the reporting unit to which the goodwill is assigned. If as a result of examining any of these factors we conclude that the carrying value of goodwill or any other intangible asset exceeds its estimated fair value or undiscounted cash flows, respectively, we will recognize an impairment charge. Purchased software is classified as an intangible asset and is amortized on a straight-line basis over its estimated useful life, typically ranging from 3 to 5 years. |
Advertising Costs | Advertising Costs We expense advertising costs as incurred. |
Shipping And Handling Costs | Shipping and Handling Costs We expense all shipping, handling and delivery costs in the period incurred, generally as a component of other cost of revenues. |
Commissions Expense | Commissions Expense Excluding certain arrangements within our Banking Solutions segment, for which software commissions are earned as revenue is recorded over the period of project performance, substantially all software commissions are earned in the month in which a customer order is received. Commissions associated with professional services are typically earned in the month that services are rendered. Commissions associated with post-contract customer support arrangements and subscription-based arrangements are typically earned when the customer is billed for the underlying contractual period or in the period the order is received. Commissions are normally paid within thirty days of the month in which they are earned. Prior to the adoption of the new revenue standard, commissions were expensed as incurred. Under the new revenue standard, we capitalize commission costs in connection with obtaining a contract if the period of benefit is greater than a year and we expect to recover the costs through future contract revenues. We expense any capitalized costs ratably over the estimated period of benefit. Commission costs are recorded as a component of sales and marketing expense |
Research and Development Expenditures | Research and Development Expenditures Research and development costs incurred prior to the establishment of technological feasibility (for software to be sold, leased or otherwise marketed), or prior to application development (for internal-use software), are expensed as incurred and are reported as product development and engineering operating expenses in our statements of comprehensive income (loss). |
Debt Issuance Costs | Debt Issuance Costs We incurred certain third party costs in connection with the Credit Facility, principally related to underwriting and legal fees. These costs are included in other assets on our consolidated balance sheets and are being amortized to interest expense ratably over the term of the Credit Facility. |
Income Taxes and Income Tax Uncertainties | Income Taxes and Income Tax Uncertainties We recognize deferred tax assets and deferred tax liabilities based on the difference between the financial reporting and tax basis of the asset or liability, measured at tax rates that are expected to be in effect when the differences reverse. A valuation allowance to reduce the carrying value of deferred tax assets is recorded if, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. In respect of income tax uncertainties, we perform a two-step analysis for all tax positions. The first step involves an evaluation of the underlying tax position based solely on technical merits (such as tax law) and the second step involves measuring the tax position based on the probability of it being sustained in the event of a tax examination. We recognize tax benefits at the largest amount that we deem more likely than not will be realized upon ultimate settlement of any tax uncertainty. Tax positions that fail to qualify for recognition are recognized in the period in which the more-likely-than-not standard has been reached, when the tax positions are resolved with the respective taxing authority or when the statute of limitations for tax examination has expired. We record any interest or penalties accruing in respect of uncertain tax positions as a component of income tax expense. |
Share-Based Compensation | Share-Based Compensation We recognize expense for the estimated fair value of our share-based compensation arrangements, net of estimated award forfeitures. The expense associated with share-based payment awards is generally recognized on a straight-line basis over the award’s vesting period. |
Capitalized Software Costs | Capitalized Software Costs Capitalization of software development costs for software that is to be sold, leased or otherwise marketed begins upon the establishment of technological feasibility. The establishment of technological feasibility and the ongoing assessment of recoverability of capitalized software development costs requires considerable judgment by us with respect to certain factors including, but not limited to, determining which projects and development activities within those projects qualify for capitalization, anticipated future revenues, estimated economic life, and changes in software and hardware technologies. Amortization of capitalized costs commence on the date of general release of the software using the greater of the straight-line method over the estimated useful life or the ratio of revenue in the period to total expected revenues over the product’s expected useful life. Capitalized software development costs are normally amortized over an estimated useful life of 5 years once the product has been released for customer use. For the fiscal years ended June 30, 2020, 2019 and 2018, we capitalized $3.0 million, $3.7 million and $3.2 million, respectively, and recorded amortization expense of $4.0 million, $3.8 million and $2.8 million, respectively, of software development costs, excluding software developed for internal use. At June 30, 2020 and 2019, the net carrying value of capitalized software excluding software developed for internal use, which is included in intangible assets, net on our consolidated balance sheets, was $12.2 million and $13.2 million, respectively. We capitalize certain development costs associated with internal use software incurred during the application development stage. We expense costs associated with preliminary project phase activities, training, maintenance and any post-implementation costs as incurred. For the fiscal years ended June 30, 2020, 2019 and 2018, we capitalized $11.9 million, $10.4 million and $6.3 million, |
Earnings per Share | Earnings per Share We report both basic and diluted earnings per share. Basic earnings per share is calculated based on the weighted average number of shares of common stock outstanding and excludes the dilutive effect of warrants, stock options or any other type of convertible securities. Diluted earnings per share is calculated based on the weighted average number of shares of common stock outstanding and the dilutive effect of stock options, warrants and other types of convertible securities are included in the calculation. Dilutive securities are excluded from the diluted earnings per share calculation if their effect is anti-dilutive, such as in periods where we report a net loss. |
Comprehensive Income or Loss | Comprehensive Income or Loss Comprehensive income or loss includes all changes in equity during a period from non-owner sources, such as net income or loss, foreign currency translation adjustments, certain pension adjustments, unrealized gains and losses on available for sale securities and unrealized gains and losses on our interest rate hedging transactions. |
Recently Adopted Pronouncements and Accounting Pronouncements to be Adopted | Recently Adopted Pronouncements Leases : In February 2016, the Financial Accounting Standards Board (FASB) issued an accounting standard update which requires balance sheet recognition of a lease liability and a corresponding right-of-use (ROU) asset for all leases unless, as a policy election, a lessee elects not to apply the standard to short-term leases. We adopted this standard on July 1, 2019 and elected the package of practical expedients which permitted us not to reassess prior conclusions regarding lease identification, lease classification and treatment of initial direct costs. For all asset classes, we adopted the lessee practical expedient to combine lease and non-lease components and we made a policy election not to recognize a ROU asset or lease liability for leases with a term of less than twelve months. We also availed ourselves of the adoption expedient not to adjust our prior period financial statements for the effects of the new standard or make additional disclosures for periods prior to the adoption date. Upon adoption, we recognized operating ROU assets and operating lease liabilities of $26.7 million and $29.0 million, respectively, in our consolidated balance sheet. The difference between the ROU assets and lease liabilities is primarily related to the reclassification of deferred rent on our balance sheet at the date of adoption. The adoption of this standard did not have a material impact on our consolidated statements of comprehensive income (loss) or consolidated statements of cash flows. Please refer to Note 10 Commitments and Contingencies for discussion of the adoption of this new standard. Accounting Pronouncements to be Adopted Financial Instruments - Credit Losses : In June 2016, the FASB issued an accounting standard update that replaces the incurred loss impairment model with an expected loss model for financial assets held at amortized cost, eliminates the concept of other-than-temporary impairment and requires credit losses associated with available-for-sale debt securities to be recorded through an allowance rather than a reduction in the amortized cost basis of the security. The changes are expected to result in earlier recognition of credit losses associated with financial assets. The estimate of expected credit losses will require entities to incorporate historical information, current information and reasonable and supportable forecasts. This standard also expands the disclosure requirements to enable users of financial statements to understand the entity’s assumptions, models and methods for estimating expected credit losses. We adopted this standard on July 1, 2020 on a modified retrospective basis, with the cumulative-effect accounting consequence recorded as an adjustment to the opening balance of accumulated deficit as of July 1, 2020 . We do not expect the adoption of this standard to have a material impact on our financial statements. Goodwill Impairment: In January 2017, the FASB issued an accounting standard update to simplify the test for goodwill impairment by removing the requirement to compare the carrying value of goodwill against its implied fair value. Under the revised standard, an entity will perform its annual or interim goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The loss should not exceed the total amount of goodwill allocated to the reporting unit. We adopted this standard on July 1, 2020 on a prospective basis and do not currently expect the adoption of this standard to have a material impact on our financial statements. Income Taxes: In December 2019, the FASB issued an accounting standard update related to simplifying the accounting for income taxes by eliminating certain exceptions related to intraperiod tax allocations, basis differences for changes in ownership interest in equity method investments, and the calculation of interim period income tax. The standard also simplifies other aspects of accounting for taxes. The standard is effective for us on July 1, 2021, with early adoption permitted. We are currently evaluating the effects of this update on our financial statements, including the potential for early adoption. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments We have certain financial instruments which consist of cash and cash equivalents, cash held for customers, marketable securities, accounts receivable, notes receivable, contract assets, accounts payable, customer account liabilities, derivative interest rate swaps and debt drawn on our Credit Facility. Fair value information for each of these instruments is as follows: • Cash and cash equivalents, cash held for customers, accounts receivable, notes receivable, contract assets, accounts payable and customer account liabilities fair values approximate their carrying values, due to the expected duration of these instruments. • Marketable securities classified as held to maturity, all of which mature within one year, are recorded at amortized cost, which at June 30, 2020 and June 30, 2019, approximated fair value. • Marketable securities classified as available for sale are recorded at fair value. Unrealized gains and losses are included as a component of other accumulated comprehensive loss in stockholders’ equity, net of tax. We use the specific identification method to determine any realized gains or losses from the sale of our marketable securities classified as available for sale. • The fair value of our derivative interest rate swaps is based on the present value of projected cash flows that will occur over the life of the instruments, after considering certain contractual terms of the arrangements and counterparty credit risk. • The carrying value of assets related to deposits we have made to fund future requirements associated with Israeli severance arrangements was $1.0 million and $1.2 million at June 30, 2020 and June 30, 2019, respectively, which approximated their fair value. • We have certain other investments for which there is no readily determinable fair value. The carrying value of these investments was $0.5 million and $0.7 million at June 30, 2020 and June 30, 2019, respectively, and they are reported as a component of our other assets. These investments are recorded at cost, less impairment (if any) plus or minus adjustments for observable price changes. • We have borrowings of $180 million against our Credit Facility. The fair value of these borrowings, which are classified as Level 2, approximates their carrying value at June 30, 2020, as the instrument carries a variable rate of interest which reflects current market rates. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Marketable Securities by Major Security Type | The table below presents information regarding our marketable securities by major security type as of June 30, 2020 and 2019. June 30, 2020 June 30, 2019 Held to Maturity Available for Sale Total Held to Maturity Available for Sale Total (in thousands) Marketable securities: Corporate and other debt securities $ 61 $ 10,148 $ 10,209 $ 62 $ 7,479 $ 7,541 Total marketable securities $ 61 $ 10,148 $ 10,209 $ 62 $ 7,479 $ 7,541 |
Summary of Available for Sale Investments In Unrealized Loss Position | The following table presents the aggregate fair values and gross unrealized losses for those available for sale investments that were in an unrealized loss position as of June 30, 2020 and June 30, 2019, respectively, aggregated by investment category and the length of time that individual securities have been in a continuous loss position: At June 30, 2020 At June 30, 2019 Less than 12 Months Fair Value Unrealized Loss Fair Value Unrealized Loss (in thousands) Government—U.S. 2,012 (1) 800 (1) Total $ 2,012 $ (1) $ 800 $ (1) |
Depreciation Recorded Over Estimated Useful Lives of Assets | Property and equipment are stated at cost, net of depreciation. Depreciation is recorded on a straight-line basis over the estimated useful lives of the assets as follows: Property, equipment, furniture, fixtures and vehicles 3-7 years Technical equipment 3-5 years Building (Theale, Reading, England) 40 years Leasehold improvements Lower of estimated life or remaining lease term |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Contract with Customer, Asset and Liability | The table below presents our accounts receivable, contract assets and deferred revenue balances as of June 30, 2020 and June 30, 2019. June 30, June 30, 2020 2019 $ Change (in thousands) Accounts receivable $ 69,970 $ 77,285 $ (7,315) Contract assets 3,646 5,135 (1,489) Deferred revenue 96,033 92,159 3,874 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis | At June 30, 2020 and June 30, 2019, our assets and liabilities measured at fair value on a recurring basis were as follows: June 30, 2020 June 30, 2019 Fair Value Measurements Using Input Types Fair Value Measurements Using Input Types Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total (in thousands) Assets Money market funds (cash and cash equivalents) $ 354 $ — $ — $ 354 $ 2,807 $ — $ — $ 2,807 Available for sale securities - Debt Government - U.S. — 10,148 — 10,148 — 7,479 — 7,479 Total available for sale securities $ — $ 10,148 $ — $ 10,148 $ — $ 7,479 $ — $ 7,479 Total assets $ 354 $ 10,148 $ — $ 10,502 $ 2,807 $ 7,479 $ — $ 10,286 Liabilities Short-term derivative interest rate swap $ — $ 1,631 $ — $ 1,631 $ — $ 37 $ — $ 37 Long-term derivative interest rate swap $ — $ 3,448 $ — $ 3,448 $ — $ 1,248 $ — $ 1,248 Total liabilities $ — $ 5,079 $ — $ 5,079 $ — $ 1,285 $ — $ 1,285 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following: June 30, 2020 2019 (in thousands) Land $ 2,448 $ 3,380 Building and improvements 48,483 40,903 Furniture and fixtures 10,099 7,586 Technical equipment 55,605 50,395 Motor vehicles — 30 Total property and equipment, gross 116,635 102,294 Less: Accumulated depreciation 49,480 47,753 Total property and equipment, net $ 67,155 $ 54,541 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets Subject to Amortization and for Intangible Assets Not Subject to Amortization | The following tables set forth the information for intangible assets subject to amortization and for intangible assets not subject to amortization. As of June 30, 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Value Weighted Average Remaining Life (in thousands) (in years) Amortized intangible assets: Customer related $ 219,305 $ (157,008) $ 62,297 7.5 Core technology 135,720 (97,431) 38,289 7.2 Other intangible assets 22,099 (19,927) 2,172 4.8 Capitalized software development costs 26,222 (14,047) 12,175 2.9 Software (1) 84,493 (45,315) 39,178 3.8 Total $ 487,839 $ (333,728) $ 154,111 Unamortized intangible assets: Goodwill 205,713 Total intangible assets $ 359,824 As of June 30, 2019 Gross Carrying Amount Accumulated Amortization Net Carrying Value Weighted Average Remaining Life (in thousands) (in years) Amortized intangible assets: Customer related $ 219,893 $ (145,144) $ 74,749 8.5 Core technology 130,226 (90,017) 40,209 7.4 Other intangible assets 25,712 (19,030) 6,682 5.0 Capitalized software development costs 23,213 (10,006) 13,207 3.0 Software (1) 72,018 (38,516) 33,502 4.2 Total $ 471,062 $ (302,713) $ 168,349 Unamortized intangible assets: Goodwill 206,101 Total intangible assets $ 374,450 —————— (1) Software includes purchased software and software developed for internal use. |
Schedule of Estimated Amortization Expense | Estimated amortization expense for fiscal year 2021 and subsequent fiscal years for acquired intangible assets, capitalized software development costs and software, in each case that have been placed in service as of June 30, 2020, is as follows: Acquired Intangible Assets Capitalized Software Development Costs Software (in thousands) 2021 $ 19,492 $ 4,415 $ 10,587 2022 17,389 4,415 8,525 2023 16,012 1,571 6,597 2024 14,241 858 4,985 2025 11,843 294 2,229 2026 and thereafter 23,781 — 1,011 |
Schedule of Rollforward of Goodwill Balances, by Reportable Segment | The following table represents a rollforward of our goodwill balances, by reportable segment: Cloud Solutions Banking Solutions Payments and Documents Other Total (in thousands) Balance at June 30, 2018 (1) $ 90,270 $ 35,880 $ 65,680 $ 8,194 $ 200,024 Goodwill acquired during the period — 3,571 4,391 — 7,962 Impact of foreign currency translation 37 — (1,922) — (1,885) Balance at June 30, 2019 (1) $ 90,307 $ 39,451 $ 68,149 $ 8,194 $ 206,101 Goodwill acquired during the period (2) — 65 — — 65 Goodwill reclassified as a result of segment reorganization 26,261 — (26,261) — — Impact of foreign currency translation 925 — (1,378) — (453) Balance at June 30, 2020 (1) $ 117,493 $ 39,516 $ 40,510 $ 8,194 $ 205,713 —————— (1) Other goodwill balance is net of $7.5 million accumulated impairment losses. (2) Reflects the reallocation of amounts to Goodwill in the final purchase price allocation of BankSight. |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following: June 30, 2020 2019 (in thousands) Employee compensation and benefits $ 21,846 $ 15,810 Operating lease liabilities 6,804 — Accrued customer rebates 4,352 3,978 Accrued capital expenditures 2,500 — Sales and value added taxes 2,052 1,971 Professional fees 1,646 3,106 Accrued income taxes payable 621 1,162 Accrued interest 191 197 Other 8,186 7,721 Total accrued expenses and other current liabilities $ 48,198 $ 33,945 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Lease Expenses and Supplemental Cash Flow Information | Additional information of our lease activity, as of and for the twelve months ended June 30, is as follows: For the twelve months ended Operating leases: June 30, 2020 (in thousands) Operating lease cost $ 7,573 Short-term lease cost 585 Variable lease cost 2,058 Sublease income (360) Total lease cost $ 9,856 June 30, 2020 (in thousands) Right-of-use assets, net $ 24,712 Operating lease liabilities, current (1) $ 6,804 Operating lease liabilities, non-current 20,670 Total operating lease liabilities $ 27,474 —————— (1) Included as a component of accrued expenses and other current liabilities. For the twelve months ended June 30, 2020 (in thousands) Cash paid for amounts included in the measurement of lease liabilities $ 7,684 Right-of-use assets obtained in exchange for lease obligations $ 4,582 |
Schedule of Operating Lease Maturities | Remaining maturities of lease liabilities at June 30, 2020 were as follows: Operating Leases For the year ending June 30, (in thousands) 2021 $ 7,938 2022 6,571 2023 4,791 2024 2,960 2025 2,671 Thereafter 7,222 Total lease payments 32,153 Less imputed interest (4,679) Total lease liabilities $ 27,474 |
Schedule of Future Minimum Annual Rental Commitments | Future minimum lease payments under non-cancelable operating leases at June 30, 2019 were as follows: (in thousands) 2020 $ 5,612 2021 5,672 2022 4,967 2023 3,690 2024 2,913 2025 and thereafter 11,665 $ 34,519 |
Schedule of Future Minimum Annual Commitments Under Long Term Service Arrangements | Future minimum annual commitments under our long term service arrangements as of June 30, 2020 are as follows: (in thousands) 2021 $ 10,216 2022 5,621 2023 714 2024 504 $ 17,055 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Values of the Interest Rate Swap | The fair values of the interest rate swaps and their respective locations in our consolidated balance sheets at June 30, 2020 and June 30, 2019 were as follows: Description Balance Sheet Location June 30, 2020 June 30, 2019 Derivative interest rate swaps (in thousands) Short-term derivative liability Accrued expenses and other current liabilities $ 1,631 $ 37 Long-term derivative liability Other liabilities $ 3,448 $ 1,248 |
Summary of Effect of Derivative Interest Rate Swap in Our Consolidated Statement of Comprehensive Income (Loss) | The following table presents the effect of the derivative interest rate swaps in our consolidated statement of comprehensive income (loss) for the fiscal years ended June 30, 2020 and June 30, 2019. Gain (Loss) in AOCI June 30, 2019 Amount of Gain (Loss) Recognized in OCI on Derivative Instruments (Effective Portion) Amount of (Gain) Loss Reclassified from AOCI into Net Loss (Effective Portion) (1) Gain (Loss) in AOCI June 30, 2020 (in thousands) Derivative interest rate swaps $ (1,285) $ (4,158) $ 364 $ (5,079) Gain (Loss) in AOCI June 30, 2018 Amount of Gain (Loss) Recognized in OCI on Derivative Instruments (Effective Portion) Amount of (Gain) Loss Reclassified from AOCI into Net Loss (Effective Portion) (1) Gain (Loss) in AOCI June 30, 2019 (in thousands) Derivative interest rate swaps $ 2,590 $ (3,455) $ (420) $ (1,285) —————— (1) Recorded as interest income (expense) within other expense, net in our consolidated statements of comprehensive income (loss). |
Postretirement and Other Empl_2
Postretirement and Other Employee Benefits (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Retirement Benefits [Abstract] | |
Schedule of PBO, Change in Plan Assets, Funded Status and Amounts Recognized in Consolidated Balance Sheet | The following table represents the PBO, change in plan assets, funded status and amounts recognized in our consolidated balance sheets at June 30, 2020 and 2019: June 30, 2020 2019 (in thousands) Change in benefit obligation: Projected benefit obligation at beginning of year $ 56,908 $ 51,368 Service cost 2,955 2,532 Interest cost 226 456 Actuarial (gain) loss (2,374) 4,124 Plan participant contributions 905 880 Benefits paid, net of transfers into plan (222) (215) Settlement (5,500) (3,060) Effect of foreign currency exchange rate changes 1,677 823 Projected benefit obligation at end of year $ 54,575 $ 56,908 Change in plan assets: Fair value of plan assets at beginning of year $ 37,306 $ 36,929 Actual return on plan assets (1,181) 339 Employer contribution 1,899 1,870 Plan participant contributions 905 880 Benefits paid, net of transfers into plan (222) (215) Settlement (5,500) (3,060) Effect of foreign currency exchange rate changes 1,109 563 Fair value of plan assets at end of year $ 34,316 $ 37,306 Pension liability at end of fiscal year $ (20,259) $ (19,602) Accumulated other comprehensive loss consists of the following: Net prior service credit $ 2,642 $ 2,877 Net actuarial loss (10,436) (11,586) Accumulated other comprehensive loss, before income tax $ (7,794) $ (8,709) |
Summary of Weighted-Average Assumptions Used to Determine Net Benefit Costs and Benefit Obligations | The net unfunded balance of our defined benefit pension plan is recorded as a non-current liability and all unrecognized gains or losses, net of tax, are recorded as a component of other comprehensive loss within stockholders’ equity at June 30, 2020. Assumptions: Fiscal Year Ended June 30, 2020 2019 2018 Weighted-average assumptions used to determine net benefit costs: Discount rate 0.40 % 0.90 % 0.70 % Expected return on plan assets 3.25 % 3.75 % 3.50 % Rate of compensation increase 1.75 % 1.75 % 1.50 % Weighted-average assumptions used to determine benefit obligations at year end: Discount rate 0.25 % 0.40 % 0.90 % Expected return on plan assets 2.75 % 3.25 % 3.75 % Rate of compensation increase 1.50 % 1.75 % 1.75 % |
Summary of Swiss Pension Plan's Actual Asset Allocation as Compared to Profond's Target Asset Allocations | The Swiss pension plan's actual asset allocation as compared to Profond’s target asset allocations for fiscal year 2020 were as follows: Actual Target Asset Category: Cash and cash equivalents 8 % 2 % Equity Securities 49 % 49 % Fixed Income 12 % 17 % Real Estate 27 % 28 % Other 4 % 4 % |
Summary of Estimated Future Benefit Payments | As of June 30, 2020, the estimated future benefit payments (inclusive of any future service) were as follows: (in thousands) 2021 $ 1,644 2022 1,598 2023 1,876 2024 1,841 2025 3,077 2025-2029 10,657 |
Components of Net Periodic Pension Costs for the Swiss Pension Plan | Net periodic pension costs for the Swiss pension plan included the following components: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Components of net periodic cost Service cost $ 2,955 $ 2,532 $ 2,539 Interest cost 226 456 353 Net prior service credit (311) (306) (91) Net actuarial loss 482 219 217 Expected return on plan assets (1,252) (1,384) (1,196) Settlements 1,049 617 — Net periodic cost $ 3,149 $ 2,134 $ 1,822 |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Stock Option and Restricted Stock Activity | A summary of stock option and restricted stock activity for the fiscal year ended June 30, 2020 is as follows; in respect of shares available for grant, the shares are available for issuance by us as either a stock option or as a restricted stock award: Non-vested Stock Stock Options Shares Available for Grant Number of Shares Weighted Average Grant Date Fair Value Number of Shares Weighted Weighted Aggregate (in thousands, except per share data) Awards outstanding at June 30, 2019 4,503 2,366 $ 41.72 14 $ 12.20 0.7 $ 481 Plan amendment — Plan adoption 1,000 Awards granted (1) (1,347) 1,054 44.88 Shares vested (1,085) 39.10 Stock options exercised — (13) 12.70 Awards forfeited (1) 158 (123) 45.86 Awards expired — — Awards outstanding at June 30, 2020 4,314 2,212 $ 44.25 1 $ 6.89 3.0 $ 49 Stock options exercisable at June 30, 2020 1 $ 6.89 3.0 $ 49 —————— |
Schedule of Shares Issued as Purchase Consideration with Forfeiture Provisions | Activity associated with shares issued as purchase consideration with forfeiture provisions for the fiscal year ended June 30, 2020 is reflected in the table below. These shares were not issued out of our shareholder approved stock plans and do not represent grants or awards of shares from those plans. Non-vested Stock Number Weighted Purchase consideration shares with forfeiture provisions outstanding at June 30, 2019 99 $ 30.97 Issuance of purchase consideration shares with forfeiture provisions — — Lapse of forfeiture provisions (54) 22.70 Shares forfeited (43) 41.20 Purchase consideration shares with forfeiture provisions outstanding at June 30, 2020 2 $ 32.76 |
Net (Loss) Income Per Share (Ta
Net (Loss) Income Per Share (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Net (Loss) Income Per Share | The following table sets forth the computation of basic and diluted net (loss) income per share: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands, except per share amounts) Numerator - basic and diluted: Net (loss) income $ (9,229) $ 9,432 $ 9,328 Denominator: Shares used in computing basic net (loss) income per share attributable to common stockholders 41,770 40,612 38,227 Impact of dilutive securities — 1,079 1,099 Shares used in computing diluted net (loss) income per share attributable to common stockholders 41,770 41,691 39,326 Basic and diluted net (loss) income per share attributable to common stockholders $ (0.22) $ 0.23 $ 0.24 |
Operations by Segments and Ge_2
Operations by Segments and Geographic Areas (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Segment information for the fiscal years ended June 30, 2020, 2019 and 2018, according to the segment descriptions above, is as follows: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Segment revenue: Cloud Solutions $ 252,349 $ 232,106 $ 203,599 Banking Solutions 97,785 93,956 91,851 Payments and Documents 75,048 77,322 80,063 Other 17,039 18,578 18,583 Total segment revenue $ 442,221 $ 421,962 $ 394,096 Segment measure of profit (loss): Cloud Solutions $ 54,002 $ 53,113 $ 43,852 Banking Solutions 4,849 8,227 9,703 Payments and Documents 19,336 21,207 22,383 Other (10,459) (5,301) (2,199) Total measure of segment profit $ 67,728 $ 77,246 $ 73,739 |
Reconciliation of Measure of Segment Profit to GAAP (Loss) Income Before Income Taxes | A reconciliation of the measure of segment profit to GAAP (loss) income before income taxes is as follows: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Total measure of segment profit $ 67,728 $ 77,246 $ 73,739 Less: Amortization of acquisition-related intangible assets (20,370) (21,336) (22,076) Stock-based compensation plan expense (42,044) (41,695) (34,200) Acquisition and integration-related expenses (5,647) (4,648) (2,564) Restructuring expenses (1,652) (1,881) (1,495) Legal settlement — — (1,269) Other non-core income (expense) 94 (550) 150 Global ERP system implementation and other costs (485) (3,395) (6,430) Other (expense) income, net of pension adjustments (5,025) 3,153 (4,730) (Loss) income before income taxes $ (7,401) $ 6,894 $ 1,125 —————— (1) On July 1, 2018, we adopted an accounting standard update that changes the classification of certain pension related items. For purposes of this reconciliation of segment profit, we have presented pension related adjustments discretely, not as a component of other expense, net. |
Schedule of Segment Depreciation and Amortization Expense Included in Segment Measure of Profit (Loss) | The following depreciation and other amortization expense amounts are included in the segment measure of profit: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Depreciation and other amortization expense: Cloud Solutions $ 15,903 $ 13,543 $ 11,984 Banking Solutions 9,416 7,865 6,333 Payments and Documents 1,011 1,146 1,289 Other 902 357 388 Total depreciation and other amortization expense $ 27,232 $ 22,911 $ 19,994 |
Schedule of Revenue Based on Point of Sale | We have presented geographic information about our revenues below. This presentation allocates revenue based on the point of sale, not the location of the customer. Accordingly, we derive revenues from geographic locations based on the location of the customer that would vary from the geographic areas listed here; particularly in respect of financial institution customers located in Australia for which the point of sale was the United States. Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) United States $ 277,153 $ 261,779 $ 242,170 United Kingdom 106,492 99,746 91,489 Switzerland 39,071 38,698 39,759 Other 19,505 21,739 20,678 Total revenues from unaffiliated customers $ 442,221 $ 421,962 $ 394,096 |
Schedule of Long-Lived Assets, Based on Geographical Location, Excluding Deferred Tax Assets and Intangible Assets | Long-lived assets based on geographical location, excluding deferred tax assets and intangible assets, were as follows: At June 30, 2020 2019 (in thousands) Long-lived assets: United States $ 64,858 $ 44,357 United Kingdom 41,835 32,035 Other 16,977 5,326 Total long-lived assets $ 123,670 $ 81,718 |
Summary of Revenue Disaggregated by Major Product Category and the Related Financial Statement Classification of Revenue | The tables below present our subscriptions revenue and total revenue disaggregated by major product classification. (in thousands) Twelve Months Ended June 30, 2020 2019 Subscriptions Revenue Total Revenue Subscriptions Revenue Total Revenue Payment Settlement Solutions (1) $ 149,109 $ 167,547 $ 131,433 $ 155,442 Banking Solutions 80,176 97,785 67,680 93,956 Legal Spend Management (2) 84,802 84,802 76,663 76,664 All other (3) 25,323 92,087 19,857 95,900 Total revenues $ 339,410 $ 442,221 $ 295,633 $ 421,962 We derive the majority of our revenue from subscription arrangements. The substantial majority of our non-subscription revenue is derived from software support and maintenance fees and from professional services, with such revenue being recorded by all of our operating segments, but with the largest concentration of this revenue being derived from our legacy business payments and documents products in our Payments and Documents segment. (1) Consists of our Paymode-X, PTX and financial messaging payment platforms, all of which are components of our Cloud Solutions segment. (2) Component of our Cloud Solutions segment. (3) Consists of our legacy business payments and documents products which are components of our Payments and Documents segment and revenue from our Other segment. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provision for (Benefit from) Income Taxes | Our provision for (benefit from) income taxes consisted of the following: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) Current: Federal $ 43 $ 56 $ (673) State 84 123 20 Foreign 2,530 2,430 1,915 2,657 2,609 1,262 Deferred: Federal (314) (1,724) (7,271) State 336 (441) 687 Foreign (851) (2,982) (2,881) (829) (5,147) (9,465) $ 1,828 $ (2,538) $ (8,203) |
Schedule of Income (Loss) Before Income Taxes by Geographic Area | Income (loss) before income taxes by geographic area is as follows: Fiscal Year Ended June 30, 2020 2019 2018 (in thousands) North America $ (2,417) $ 9,403 $ (29) United Kingdom 4,918 4,184 7,144 Continental Europe 1,292 2,194 6,062 Asia-Pacific and Middle East (11,194) (8,887) (12,052) $ (7,401) $ 6,894 $ 1,125 |
Schedule of Reconciliation of Federal Statutory Rate to Effective Income Tax Rate | A reconciliation of the federal statutory rate to the effective income tax rate is as follows: Fiscal Year Ended June 30, 2020 2019 2018 Tax expense (benefit) at federal statutory rate (21.0 %) 21.0 % 28.1 % State taxes, net of federal benefit (5.5 %) (11.1 %) 5.5 % Change in valuation allowance 32.8 % 3.7 % (168.9 %) Non-deductible executive compensation 28.3 % 48.4 % 90.3 % Changes in uncertain tax positions 13.6 % 2.0 % 12.9 % Foreign branch operations, net of foreign tax deductions 8.8 % 9.7 % 91.2 % Non-deductible other expenses 5.2 % 6.1 % 39.2 % Non-deductible acquisition costs 0.1 % 7.2 % 26.0 % Changes in tax laws or rates (1) (4.7 %) (10.8 %) (738.7 %) Tax rate differential on foreign earnings (7.3 %) (4.5 %) (50.7 %) Research and development credit (11.1 %) (14.8 %) (33.4 %) Share-based payments (15.3 %) (94.0 %) (33.4 %) Other 0.8 % 0.3 % 2.6 % 24.7 % (36.8 %) (729.3 %) —————— (1)The impact on our effective tax rate due to changes in tax laws or rates includes the revaluation of deferred tax assets, deferred tax liabilities and the corresponding change in our valuation allowance. |
Schedule of Deferred Tax Assets and Liabilities | We recognize deferred tax assets and liabilities based on the differences between their financial reporting and tax basis by applying tax rates that are expected to be in effect when the differences reverse. Significant components of our deferred income taxes are as follows: June 30, 2020 2019 (in thousands) Deferred tax assets: Net operating loss carryforwards $ 38,795 $ 35,049 Research and development and other credits 7,815 7,183 Stock compensation 6,848 7,217 Lease Liabilities 6,261 — Deferred revenue 4,577 6,103 Various accrued expenses 3,281 2,731 Accrued pension 2,834 2,742 Unrealized loss - interest swap 1,377 349 Acquired intangible assets 851 622 Property and equipment 445 536 Allowances and reserves 353 171 Other 466 207 Total deferred tax assets $ 73,903 $ 62,910 Valuation allowance (34,830) (32,538) Deferred tax assets, net of valuation allowance 39,073 30,372 Deferred tax liabilities: Property and equipment, inclusive of capitalized software (15,735) (12,205) Acquired intangible assets (12,903) (15,422) Deductible goodwill acquired intangible assets (7,384) (7,010) Capitalized Costs (5,559) (5,805) Right of Use Assets (5,659) — Other (489) (275) Total deferred tax liabilities (47,729) (40,717) Net deferred tax liabilities $ (8,656) $ (10,345) |
Summary of Changes in Gross Amount of Unrecognized Tax Benefits | A summary of the changes in the gross amount of unrecognized tax benefits is shown below: (in thousands) Balance at July 1, 2017 8,656 Additions related to current year tax positions 1,041 Reductions related to prior year tax positions (85) Reductions due to lapse of statute of limitations (432) Reductions due to audit closure (122) Change in tax rates (368) Foreign currency translation 11 Balance at July 1, 2018 8,701 Additions related to current year tax positions 1,257 Additions related to prior year tax positions 56 Reductions due to lapse of statute of limitations (377) Change in tax rates 319 Foreign currency translation (43) Balance at July 1, 2019 9,913 Additions related to current year tax positions 1,810 Reductions related to prior year tax positions (19) Reductions due to lapse of statute of limitations (399) Change in tax rates 49 Foreign currency translations (44) Balance at July 1, 2020 $ 11,310 |
Quarterly Financial Data (una_2
Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Jun. 30, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Selected Quarterly Financial Data | The following table contains selected quarterly financial data for the fiscal years ended June 30, 2020 and 2019. The quarterly earnings per share information is computed separately for each period. Therefore, the sum of the quarterly per share amounts may differ from the total year per share amounts. For the quarters ended September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, (in thousands, except per share data) Revenues $ 102,437 $ 104,846 $ 106,438 $ 108,241 $ 108,176 $ 111,691 $ 111,715 $ 110,639 Gross profit 57,307 59,865 60,725 61,346 61,681 64,652 63,786 63,016 Net (loss) income (1) $ (918) $ 5,969 $ 824 $ 3,557 $ (1,367) $ 2,609 $ (7,468) $ (3,003) Basic net (loss) income per share $ (0.02) $ 0.15 $ 0.02 $ 0.09 $ (0.03) $ 0.06 $ (0.18) $ (0.07) Diluted net (loss) income per share $ (0.02) $ 0.14 $ 0.02 $ 0.09 $ (0.03) $ 0.06 $ (0.18) $ (0.07) Shares used in computing basic net (loss) income per share 39,689 40,635 40,911 41,214 41,487 41,693 41,823 42,078 Shares used in computing diluted net (loss) income per share 39,689 41,739 41,625 41,813 41,487 42,092 41,823 42,078 —————— (1) We liquidated a $0.4 million cost method investment in the quarter ended June 30, 2019. As a result of the sale, we recorded $7.3 million in other income in our consolidated statement of comprehensive income (loss). |
Significant Accounting Polici_4
Significant Accounting Policies - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020USD ($)CustomerFinancial_Institution | Jun. 30, 2019USD ($)Customer | Jun. 30, 2018USD ($)Customer | |
Significant Accounting Policies [Line Items] | |||
Cash held for customers | $ 6,304 | $ 5,637 | $ 2,753 |
Marketable securities | 10,200 | ||
Other investments | 1,000 | 700 | |
Liquidated investment | 400 | 3,000 | |
Proceeds from sale of equity method investments | 7,700 | ||
Gain (loss) on sale of equity investments | 7,300 | 2,400 | |
Cash and cash equivalents, marketable securities | $ 185,500 | ||
Number of financial institutions | Financial_Institution | 6 | ||
Unbilled receivables | $ 6,500 | 6,900 | |
Advertising costs | $ 4,100 | $ 2,900 | 2,000 |
Number of days with in which commissions paid | 30 days | ||
Capitalized Software Development Costs | |||
Significant Accounting Policies [Line Items] | |||
Capitalize software cost estimated useful life | 2 years 10 months 24 days | 3 years | |
Capitalized software development costs | $ 3,000 | $ 3,700 | 3,200 |
Amortization expense | 4,000 | 3,800 | 2,800 |
Net carrying value of capitalized software | 12,200 | 13,200 | |
Internal Use Software | |||
Significant Accounting Policies [Line Items] | |||
Capitalized software development costs | 11,900 | 10,400 | 6,300 |
Amortization expense | 7,200 | 6,100 | $ 5,200 |
Net carrying value of capitalized software | $ 25,700 | $ 21,100 | |
Minimum | Internal Use Software | |||
Significant Accounting Policies [Line Items] | |||
Capitalize software cost estimated useful life | 3 years | ||
Maximum | Internal Use Software | |||
Significant Accounting Policies [Line Items] | |||
Capitalize software cost estimated useful life | 5 years | ||
Internal-Use Software Development | Minimum | |||
Significant Accounting Policies [Line Items] | |||
Capitalize software cost estimated useful life | 3 years | ||
Internal-Use Software Development | Maximum | |||
Significant Accounting Policies [Line Items] | |||
Capitalize software cost estimated useful life | 5 years | ||
Accounts Receivable | Customer Concentration Risk | |||
Significant Accounting Policies [Line Items] | |||
Number of customers that accounted for more than 10% of accounts receivable | Customer | 0 | 0 | |
Revenue Benchmark | Customer Concentration Risk | |||
Significant Accounting Policies [Line Items] | |||
Number of customers that accounted for more than 10% of consolidated revenues | Customer | 0 | 0 | 0 |
Revenue Share Arrangement | |||
Significant Accounting Policies [Line Items] | |||
Proceeds from sale of equity method investments | $ 2,600 | ||
Market Exclusivity and Distribution Rights | |||
Significant Accounting Policies [Line Items] | |||
Proceeds from sale of equity method investments | $ 3,700 | ||
Available-for-sale Securities | Maximum | |||
Significant Accounting Policies [Line Items] | |||
Security maturity | 1 year | 1 year |
Significant Accounting Polici_5
Significant Accounting Policies - Marketable Securities by Major Security Type (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Marketable Securities [Line Items] | ||
Held to Maturity | $ 61 | $ 62 |
Available for Sale | 10,148 | 7,479 |
Total | 10,209 | 7,541 |
Corporate and other debt securities | ||
Marketable Securities [Line Items] | ||
Held to Maturity | 61 | 62 |
Available for Sale | 10,148 | 7,479 |
Total | $ 10,209 | $ 7,541 |
Significant Accounting Polici_6
Significant Accounting Policies - Summary of Gross Unrealized Losses and Fair Values of Available for Sale Investments (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | $ 2,012 | $ 800 |
Less than 12 months, unrealized loss | (1) | (1) |
Government—U.S. | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 months, fair value | 2,012 | 800 |
Less than 12 months, unrealized loss | $ (1) | $ (1) |
Significant Accounting Polici_7
Significant Accounting Policies - Depreciation Recorded Over Estimated Useful Lives of Assets (Detail) | 12 Months Ended |
Jun. 30, 2020 | |
Building | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of assets | 40 years |
Minimum | Property, equipment, furniture, fixtures and vehicles | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of assets | 3 years |
Minimum | Technical equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of assets | 3 years |
Maximum | Property, equipment, furniture, fixtures and vehicles | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of assets | 7 years |
Maximum | Technical equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of assets | 5 years |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jul. 01, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Right-of-use assets, net | $ 24,712 | |
Total lease liabilities | $ 27,474 | |
Accounting Standards Update 2016-02 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Right-of-use assets, net | $ 26,700 | |
Total lease liabilities | $ 29,000 |
Revenue Recognition - Remaining
Revenue Recognition - Remaining Performance Obligation (Details) $ in Millions | Jun. 30, 2020USD ($) |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation, amount | $ 409 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-07-01 | |
Revenue from Contract with Customer [Abstract] | |
Remaining performance obligation, amount | $ 158 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation, expected satisfaction period | 12 months |
Revenue Recognition - Contract
Revenue Recognition - Contract Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 |
Revenue from Contract with Customer [Abstract] | ||||
Accounts receivable | $ 69,970 | $ 77,285 | $ 69,970 | $ 77,285 |
Change in accounts receivable | (7,315) | |||
Contract assets | 3,646 | 5,135 | 3,646 | 5,135 |
Change in contract assets | (1,489) | |||
Deferred revenue | $ 96,033 | $ 92,159 | 79,700 | $ 72,200 |
Change in deferred revenue | $ 3,874 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Deferred revenue | $ 96,033 | $ 92,159 | $ 79,700 | $ 72,200 |
Capitalized Obtaining Costs | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Capitalized contract cost, net | 7,600 | 6,400 | 7,600 | 6,400 |
Capitalized contract cost, amortization expense | 2,000 | 1,600 | ||
Capitalized Fulfillment Costs | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Capitalized contract cost, net | $ 18,500 | $ 16,400 | 18,500 | 16,400 |
Capitalized contract cost, amortization expense | $ 3,300 | $ 3,500 |
Fair Value - Schedule of Fair V
Fair Value - Schedule of Fair Value Measurement (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Assets | ||
Total available for sale securities | $ 10,148 | $ 7,479 |
Fair Value, Recurring | ||
Assets | ||
Money market funds (cash and cash equivalents) | 354 | 2,807 |
Total available for sale securities | 10,148 | 7,479 |
Total assets | 10,502 | 10,286 |
Liabilities | ||
Total liabilities | 5,079 | 1,285 |
Fair Value, Recurring | Government—U.S. | ||
Assets | ||
Total available for sale securities | 10,148 | 7,479 |
Fair Value, Recurring | Interest Rate Swap | ||
Liabilities | ||
Short-term derivative interest rate swap | 1,631 | 37 |
Long-term derivative interest rate swap | 3,448 | 1,248 |
Fair Value, Recurring | Level 1 | ||
Assets | ||
Money market funds (cash and cash equivalents) | 354 | 2,807 |
Total available for sale securities | 0 | 0 |
Total assets | 354 | 2,807 |
Liabilities | ||
Total liabilities | 0 | 0 |
Fair Value, Recurring | Level 1 | Government—U.S. | ||
Assets | ||
Total available for sale securities | 0 | 0 |
Fair Value, Recurring | Level 1 | Interest Rate Swap | ||
Liabilities | ||
Short-term derivative interest rate swap | 0 | 0 |
Long-term derivative interest rate swap | 0 | 0 |
Fair Value, Recurring | Level 2 | ||
Assets | ||
Money market funds (cash and cash equivalents) | 0 | 0 |
Total available for sale securities | 10,148 | 7,479 |
Total assets | 10,148 | 7,479 |
Liabilities | ||
Total liabilities | 5,079 | 1,285 |
Fair Value, Recurring | Level 2 | Government—U.S. | ||
Assets | ||
Total available for sale securities | 10,148 | 7,479 |
Fair Value, Recurring | Level 2 | Interest Rate Swap | ||
Liabilities | ||
Short-term derivative interest rate swap | 1,631 | 37 |
Long-term derivative interest rate swap | 3,448 | 1,248 |
Fair Value, Recurring | Level 3 | ||
Assets | ||
Money market funds (cash and cash equivalents) | 0 | 0 |
Total available for sale securities | 0 | 0 |
Total assets | 0 | 0 |
Liabilities | ||
Total liabilities | 0 | 0 |
Fair Value, Recurring | Level 3 | Government—U.S. | ||
Assets | ||
Total available for sale securities | 0 | 0 |
Fair Value, Recurring | Level 3 | Interest Rate Swap | ||
Liabilities | ||
Short-term derivative interest rate swap | 0 | 0 |
Long-term derivative interest rate swap | $ 0 | $ 0 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments with no readily determinable fair value | $ 500 | $ 700 |
Borrowings under credit facility | 180,000 | 110,000 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Borrowings under credit facility | 180,000 | |
Israeli Severance Arrangements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Carrying value of assets related to deposits | $ 1,000 | $ 1,200 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) $ in Thousands, £ in Millions | 1 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2019USD ($)shares | Mar. 31, 2019USD ($) | Mar. 31, 2019GBP (£) | Jul. 31, 2018USD ($) | Jul. 31, 2018GBP (£) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | |
Business Acquisition [Line Items] | ||||||||
Cash paid to acquire assets | $ 46,650 | $ 33,083 | $ 21,376 | |||||
Goodwill | $ 206,101 | 205,713 | 206,101 | $ 200,024 | ||||
Technology Asset From Large Financial Institution | ||||||||
Business Acquisition [Line Items] | ||||||||
Cash paid to acquire assets | 2,500 | |||||||
Contingent future cash payments | $ 900 | |||||||
BankSight Software Systems, Inc. | ||||||||
Business Acquisition [Line Items] | ||||||||
Cash paid to acquire assets | $ 2,800 | |||||||
Shares issued (in shares) | shares | 40,000 | |||||||
Noncontrolling interest held, prior to acquisition | $ 3,500 | 3,500 | ||||||
Consideration transferred | 6,300 | |||||||
Goodwill | 3,600 | 3,600 | ||||||
Identifiable intangible assets | $ 3,100 | $ 3,100 | ||||||
Estimated useful lives of assets | 11 years | |||||||
Experian Limited | ||||||||
Business Acquisition [Line Items] | ||||||||
Cash paid to acquire assets | $ 12,600 | £ 9.5 | ||||||
Goodwill | 1,700 | |||||||
Identifiable intangible assets | $ 12,800 | |||||||
Estimated useful lives of assets | 11 years | 11 years | ||||||
Microgen Banking Systems Limited | ||||||||
Business Acquisition [Line Items] | ||||||||
Consideration transferred | $ 9,100 | £ 6.9 | ||||||
Goodwill | 2,700 | |||||||
Identifiable intangible assets | $ 8,400 | |||||||
Estimated useful lives of assets | 13 years | 13 years |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | $ 116,635 | $ 102,294 |
Less: Accumulated depreciation | 49,480 | 47,753 |
Total property and equipment, net | 67,155 | 54,541 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 2,448 | 3,380 |
Building and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 48,483 | 40,903 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 10,099 | 7,586 |
Technical equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 55,605 | 50,395 |
Motor vehicles | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | $ 0 | $ 30 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Goodwill impairment charge | $ 0 | $ 0 | |
Goodwill | $ 205,713,000 | $ 206,101,000 | $ 200,024,000 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Schedule of Intangible Assets Subject to Amortization and for Intangible Assets Not Subject to Amortization (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 487,839 | $ 471,062 | |
Accumulated Amortization | (333,728) | (302,713) | |
Net Carrying Value | 154,111 | 168,349 | |
Goodwill | 205,713 | 206,101 | $ 200,024 |
Total intangible assets | 359,824 | 374,450 | |
Customer related | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 219,305 | 219,893 | |
Accumulated Amortization | (157,008) | (145,144) | |
Net Carrying Value | $ 62,297 | $ 74,749 | |
Weighted Average Remaining Life | 7 years 6 months | 8 years 6 months | |
Core technology | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 135,720 | $ 130,226 | |
Accumulated Amortization | (97,431) | (90,017) | |
Net Carrying Value | $ 38,289 | $ 40,209 | |
Weighted Average Remaining Life | 7 years 2 months 12 days | 7 years 4 months 24 days | |
Other intangible assets | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 22,099 | $ 25,712 | |
Accumulated Amortization | (19,927) | (19,030) | |
Net Carrying Value | $ 2,172 | $ 6,682 | |
Weighted Average Remaining Life | 4 years 9 months 18 days | 5 years | |
Capitalized software development costs | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 26,222 | $ 23,213 | |
Accumulated Amortization | (14,047) | (10,006) | |
Net Carrying Value | $ 12,175 | $ 13,207 | |
Weighted Average Remaining Life | 2 years 10 months 24 days | 3 years | |
Software | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 84,493 | $ 72,018 | |
Accumulated Amortization | (45,315) | (38,516) | |
Net Carrying Value | $ 39,178 | $ 33,502 | |
Weighted Average Remaining Life | 3 years 9 months 18 days | 4 years 2 months 12 days |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Schedule of Estimated Amortization Expense (Detail) $ in Thousands | Jun. 30, 2020USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
2021 | $ 19,492 |
2022 | 17,389 |
2023 | 16,012 |
2024 | 14,241 |
2025 | 11,843 |
2026 and thereafter | 23,781 |
Capitalized Software Development Costs | |
Finite-Lived Intangible Assets [Line Items] | |
2021 | 4,415 |
2022 | 4,415 |
2023 | 1,571 |
2024 | 858 |
2025 | 294 |
2026 and thereafter | 0 |
Software | |
Finite-Lived Intangible Assets [Line Items] | |
2021 | 10,587 |
2022 | 8,525 |
2023 | 6,597 |
2024 | 4,985 |
2025 | 2,229 |
2026 and thereafter | $ 1,011 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Schedule of Rollforward of Goodwill Balances, by Reportable Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Goodwill [Roll Forward] | |||
Beginning Balance | $ 206,101 | $ 200,024 | |
Goodwill acquired during the period | 65 | 7,962 | |
Impact of foreign currency translation | (453) | (1,885) | |
Goodwill reclassified as a result of segment reorganization | 0 | ||
Ending Balance | 205,713 | 206,101 | |
Cloud Solutions | |||
Goodwill [Roll Forward] | |||
Beginning Balance | 90,307 | 90,270 | |
Goodwill acquired during the period | 0 | 0 | |
Impact of foreign currency translation | 925 | 37 | |
Goodwill reclassified as a result of segment reorganization | 26,261 | ||
Ending Balance | 117,493 | 90,307 | |
Banking Solutions | |||
Goodwill [Roll Forward] | |||
Beginning Balance | 39,451 | 35,880 | |
Goodwill acquired during the period | 65 | 3,571 | |
Impact of foreign currency translation | 0 | 0 | |
Goodwill reclassified as a result of segment reorganization | 0 | ||
Ending Balance | 39,516 | 39,451 | |
Payments and Documents | |||
Goodwill [Roll Forward] | |||
Beginning Balance | 68,149 | 65,680 | |
Goodwill acquired during the period | 0 | 4,391 | |
Impact of foreign currency translation | (1,378) | (1,922) | |
Goodwill reclassified as a result of segment reorganization | (26,261) | ||
Ending Balance | 40,510 | 68,149 | |
Other | |||
Goodwill [Roll Forward] | |||
Beginning Balance | 8,194 | 8,194 | |
Goodwill acquired during the period | 0 | 0 | |
Impact of foreign currency translation | 0 | 0 | |
Goodwill reclassified as a result of segment reorganization | 0 | ||
Ending Balance | 8,194 | 8,194 | |
Accumulated impairment losses | $ 7,500 | $ 7,500 | $ 7,500 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Payables and Accruals [Abstract] | ||
Employee compensation and benefits | $ 21,846 | $ 15,810 |
Operating lease liabilities | 6,804 | |
Accrued customer rebates | 4,352 | 3,978 |
Accrued capital expenditures | 2,500 | 0 |
Sales and value added taxes | 2,052 | 1,971 |
Professional fees | 1,646 | 3,106 |
Accrued income taxes payable | 621 | 1,162 |
Accrued interest | 191 | 197 |
Other | 8,186 | 7,721 |
Total accrued expenses and other current liabilities | $ 48,198 | $ 33,945 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Millions | 12 Months Ended | ||
Jun. 30, 2020Lease | Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | |
Contingencies And Commitments [Line Items] | |||
Weighted average discount rate | 5.00% | ||
Non-cancelable operating lease expiration year | 2027 | ||
Number of lease options | Lease | 2 | ||
Lease optional extension period | 5 years | ||
Weighted average remaining lease term | 5 years 8 months 12 days | ||
Rent expense, net of sublease income | $ | $ 6.3 | $ 6.5 | |
Minimum | |||
Contingencies And Commitments [Line Items] | |||
Operating lease renewal term | 3 months | ||
Service agreements with minimum commitments period range | 1 year | ||
Service agreements with minimum commitments expiration period | 2021 | ||
Maximum | |||
Contingencies And Commitments [Line Items] | |||
Operating lease renewal term | 10 years | ||
Service agreements with minimum commitments period range | 4 years | ||
Service agreements with minimum commitments expiration period | 2024 |
Commitments and Contingencies_2
Commitments and Contingencies - Lease Expense (Details) $ in Thousands | 12 Months Ended |
Jun. 30, 2020USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Operating lease cost | $ 7,573 |
Short-term lease cost | 585 |
Variable lease cost | 2,058 |
Sublease income | (360) |
Total lease cost | $ 9,856 |
Commitments and Contingencies_3
Commitments and Contingencies - Supplemental Balance Sheet (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Operating leases | |
Right-of-use assets, net | $ 24,712 |
Operating lease, liabilities, current | 6,804 |
Operating lease liabilities, non-current | 20,670 |
Total operating lease liabilities | $ 27,474 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | us-gaap:AccruedLiabilitiesCurrent |
Commitments and Contingencies_4
Commitments and Contingencies - Supplemental Cash Flows (Details) $ in Thousands | 12 Months Ended |
Jun. 30, 2020USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities | |
Operating cash flows from operating leases | $ 7,684 |
Right-of-use assets obtained in exchange for lease obligations | |
Operating leases | $ 4,582 |
Commitments and Contingencies_5
Commitments and Contingencies - Remaining Maturities of Lease Liabilities (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Operating Leases | |
2021 | $ 7,938 |
2022 | 6,571 |
2023 | 4,791 |
2024 | 2,960 |
2025 | 2,671 |
Thereafter | 7,222 |
Total lease payments | 32,153 |
Less imputed interest | (4,679) |
Total lease liabilities | $ 27,474 |
Commitments and Contingencies_6
Commitments and Contingencies - Prior to Adoption of Topic 842, Schedule of Future Minimum Annual Rental Commitments (Detail) $ in Thousands | Jun. 30, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2020 | $ 5,612 |
2021 | 5,672 |
2022 | 4,967 |
2023 | 3,690 |
2024 | 2,913 |
2025 and thereafter | 11,665 |
Operating leases, future minimum payments due | $ 34,519 |
Commitments and Contingencies_7
Commitments and Contingencies - Future Minimum Annual Commitments Under Long Term Service Arrangements (Detail) - Long Term Service Arrangements $ in Thousands | Jun. 30, 2020USD ($) |
Leases Future Minimum Payments [Line Items] | |
2021 | $ 10,216 |
2022 | 5,621 |
2023 | 714 |
2024 | 504 |
Total future minimum annual commitments | $ 17,055 |
Indebtedness - Additional Infor
Indebtedness - Additional Information (Detail) $ in Millions | Aug. 14, 2017USD ($)Installment | Jun. 30, 2020USD ($) | Aug. 14, 2017SGD ($) |
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Maximum capacity borrowing amount under credit facility | $ 300,000,000 | ||
Borrowings under credit facility | $ 180,000,000 | ||
Percentage of shares of capital stock pledged as guarantee | 65.00% | ||
Maximum | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Additional borrowing capacity | $ 150,000,000 | ||
Consolidated net leverage ratio | 3.50 | ||
Maximum | Letter of Credit | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Availability under credit facility | $ 20,000,000 | ||
Maximum | Swing Line Loans | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Availability under credit facility | $ 20,000,000 | ||
Minimum | Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Consolidated interest coverage ratio | 3 | ||
Decillion Solutions Pte Ltd | |||
Debt Instrument [Line Items] | |||
Note payable | $ 1,800,000 | $ 2.5 | |
Note payable, number of installments | Installment | 10 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) | Dec. 01, 2021USD ($) | Dec. 01, 2017USD ($) | Jun. 30, 2020USD ($)agreement |
Derivatives, Fair Value [Line Items] | |||
Number of interest rate swap agreements | agreement | 2 | ||
Amounts excluded from assessment of hedge effectiveness | $ 0 | ||
Reclassification of unrealized loss from accumulated other comprehensive loss to earnings | $ 1,800,000 | ||
Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Notional debt value | $ 100,000,000 | ||
Agreement effective date | Dec. 1, 2017 | ||
Agreement maturity date | Dec. 1, 2021 | ||
Fixed interest rate | 1.9275% | ||
Interest Rate Swap | Forecast | |||
Derivatives, Fair Value [Line Items] | |||
Notional debt value | $ 80,000,000 | ||
Agreement effective date | Dec. 1, 2021 | ||
Agreement maturity date | Jul. 16, 2023 | ||
Fixed interest rate | 2.125% |
Derivative Instruments - Summar
Derivative Instruments - Summary of Fair Values of the Interest Rate Swap (Detail) - Interest Rate Swap - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Accrued expenses and other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Short-term derivative interest rate swap | $ 1,631 | $ 37 |
Other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Long-term derivative interest rate swap | $ 3,448 | $ 1,248 |
Derivative Instruments - Summ_2
Derivative Instruments - Summary of Effect of Derivative Interest Rate Swap in Our Consolidated Statement of Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative Instruments, Effect On Comprehensive Income (Loss) [Roll Forward] | ||
Amount of Gain (Loss) Recognized in OCI on Derivative Instruments (Effective Portion) | $ (4,158) | $ (3,455) |
Amount of (Gain) Loss Reclassified from AOCI into Net Loss (Effective Portion) | 364 | (420) |
Interest Rate Swap | ||
Derivative Instruments, Effect On Comprehensive Income (Loss) [Roll Forward] | ||
Gain (Loss) in AOCI Beginning Balance | (1,285) | 2,590 |
Gain (Loss) in AOCI Ending Balance | $ (5,079) | $ (1,285) |
Postretirement and Other Empl_3
Postretirement and Other Employee Benefits - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($)employee | Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Pension plan contribution | $ 1,899 | $ 1,870 | |||
Actuarial (gain) loss | (2,374) | 4,124 | |||
Net actuarial loss | 1,500 | ||||
Net prior service credit | $ 300 | ||||
Projected benefit obligation percentage | 10.00% | ||||
Fair value of plan assets | $ 34,316 | 37,306 | $ 36,929 | ||
Forecast | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Net actuarial loss | $ 200 | ||||
Net prior service credit | $ 300 | ||||
Israel Severance Pay | Other liabilities | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Severance liability | $ 1,300 | ||||
Maximum | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Decrease in pension benefit conversion rate | 6.80% | 7.20% | |||
Decrease in pension benefit conversion rate amendment | 6.20% | 6.80% | |||
401 (k) | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Percentage of eligible compensation by employees | 60.00% | ||||
Percentage of employee's annual compensation contribution | 50.00% | ||||
Percentage of participant's contribution to the plan | 5.00% | ||||
Expenses charged | $ 2,700 | 2,400 | $ 2,200 | ||
Group Personal Pension Plan | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Percentage of employee's annual compensation contribution | 4.00% | ||||
Employee's annual compensation minimum percentage | 1.00% | ||||
Expenses charged | $ 1,500 | 2,000 | 1,800 | ||
Pension plan contribution | $ 1,900 | 1,700 | 1,500 | ||
Israel Pension | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Percentage of employee's annual compensation contribution | 6.50% | ||||
Expenses charged | $ 600 | 500 | 400 | ||
Swiss Pension Fund Foundation | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Expenses charged | $ 3,100 | 2,100 | $ 1,800 | ||
Number of employees covered under pension plan | employee | 126 | ||||
Employees covered under pension plan, percent | 6.00% | ||||
Actuarial (gain) loss | $ 1,000 | $ 600 | |||
Fair value of plan assets | 34,300 | ||||
Employers' contribution to pension plan | 1,800 | ||||
Sterci Pension Plan | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Accumulated benefit obligation | $ 50,800 |
Postretirement and Other Empl_4
Postretirement and Other Employee Benefits - Schedule of PBO, Change in Plan Assets, Funded Status and Amounts Recognized in Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Change in benefit obligation: | ||
Projected benefit obligation at beginning of year | $ 56,908 | $ 51,368 |
Service cost | 2,955 | 2,532 |
Interest cost | 226 | 456 |
Actuarial (gain) loss | (2,374) | 4,124 |
Plan participant contributions | 905 | 880 |
Benefits paid, net of transfers into plan | (222) | (215) |
Settlement | (5,500) | (3,060) |
Effect of foreign currency exchange rate changes | 1,677 | 823 |
Projected benefit obligation at end of year | 54,575 | 56,908 |
Change in plan assets: | ||
Fair value of plan assets at beginning of year | 37,306 | 36,929 |
Actual return on plan assets | (1,181) | 339 |
Employer contribution | 1,899 | 1,870 |
Plan participant contributions | 905 | 880 |
Benefits paid, net of transfers into plan | (222) | (215) |
Settlement | (5,500) | (3,060) |
Effect of foreign currency exchange rate changes | 1,109 | 563 |
Fair value of plan assets at end of year | 34,316 | 37,306 |
Pension liability at end of fiscal year | (20,259) | (19,602) |
Accumulated other comprehensive loss consists of the following: | ||
Net prior service credit | 2,642 | 2,877 |
Net actuarial loss | (10,436) | (11,586) |
Accumulated other comprehensive loss, before income tax | $ (7,794) | $ (8,709) |
Postretirement and Other Empl_5
Postretirement and Other Employee Benefits - Summary of Weighted-Average Assumptions Used to Determine Net Benefit Costs and Benefit Obligations (Detail) | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Weighted-average assumptions used to determine net benefit costs: | |||
Discount rate | 0.40% | 0.90% | 0.70% |
Expected return on plan assets | 3.25% | 3.75% | 3.50% |
Rate of compensation increase | 1.75% | 1.75% | 1.50% |
Weighted-average assumptions used to determine benefit obligations at year end: | |||
Discount rate | 0.25% | 0.40% | 0.90% |
Expected return on plan assets | 2.75% | 3.25% | 3.75% |
Rate of compensation increase | 1.50% | 1.75% | 1.75% |
Postretirement and Other Empl_6
Postretirement and Other Employee Benefits - Summary of Swiss Pension Plan's Actual Asset Allocation as Compared to Profond's Target Asset Allocations (Detail) | Jun. 30, 2020 |
Cash and cash equivalents | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual | 8.00% |
Target | 2.00% |
Equity Securities | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual | 49.00% |
Target | 49.00% |
Fixed Income | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual | 12.00% |
Target | 17.00% |
Real Estate | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual | 27.00% |
Target | 28.00% |
Other | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual | 4.00% |
Target | 4.00% |
Postretirement and Other Empl_7
Postretirement and Other Employee Benefits - Summary of Estimated Future Benefit Payments (Detail) $ in Thousands | Jun. 30, 2020USD ($) |
Retirement Benefits [Abstract] | |
2021 | $ 1,644 |
2022 | 1,598 |
2023 | 1,876 |
2024 | 1,841 |
2025 | 3,077 |
2025-2029 | $ 10,657 |
Postretirement and Other Empl_8
Postretirement and Other Employee Benefits - Components of Net Periodic Pension Costs for the Swiss Pension Plan (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Components of net periodic cost | |||
Service cost | $ 2,955 | $ 2,532 | |
Interest cost | 226 | 456 | |
Swiss Pension Fund Foundation | |||
Components of net periodic cost | |||
Service cost | 2,955 | 2,532 | $ 2,539 |
Interest cost | 226 | 456 | 353 |
Net prior service credit | (311) | (306) | (91) |
Net actuarial loss | 482 | 219 | 217 |
Expected return on plan assets | (1,252) | (1,384) | (1,196) |
Settlements | 1,049 | 617 | 0 |
Net periodic cost | $ 3,149 | $ 2,134 | $ 1,822 |
Share Based Payments - Addition
Share Based Payments - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Nov. 21, 2019 | Nov. 15, 2018 | Nov. 19, 2009 | Nov. 16, 2000 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock compensation expense | $ 42,044 | $ 41,695 | $ 34,200 | ||||
Share-based payment awards tax benefits | $ 1,900 | $ 2,400 | $ 1,700 | ||||
Reserved common stock for issuance (in shares) | 1,000,000 | 1,347,000 | |||||
Common Stock subject to such restricted stock award (in shares) | 1.28 | ||||||
Stock options exercised (in shares) | 13,000 | ||||||
Shares vested (in dollars per share) | $ 39.10 | ||||||
Restricted stock awards vested (in shares) | 1,085,000 | ||||||
Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Forfeiture provision, expiration period | 4 years | ||||||
Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Forfeiture provision, expiration period | 5 years | ||||||
Restricted Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock compensation expense | $ 40,700 | ||||||
Stock vesting period | 4 years | ||||||
Shares vested (in dollars per share) | $ 44.88 | $ 52.45 | $ 32.78 | ||||
Total fair value of restricted stock awards vested | $ 51,000 | $ 63,600 | $ 37,500 | ||||
Unrecognized compensation cost related to restricted stock awards | $ 87,000 | ||||||
Unrecognized compensation cost weighted average period | 2 years 10 months 24 days | ||||||
Restricted stock awards vested (in shares) | 1,100,000 | ||||||
Restricted Stock | Minimum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock vesting period | 2 years | ||||||
Restricted Stock | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock vesting period | 5 years | ||||||
Non- Employee Directors Vest | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock vesting period | 1 year | ||||||
Employee Stock Purchase Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Issuance of shares common stock to participating employees (in shares) | 4,000,000 | ||||||
Purchase period | six months | ||||||
Minimum percentage limit of base pay for employees for purchasing shares | 1.00% | ||||||
Maximum percentage limit of base pay for employees for purchasing shares | 10.00% | ||||||
Lower of fair market value of the common stock | 85.00% | ||||||
Offering period | 24 | ||||||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | 123,000 | ||||||
Aggregate intrinsic value of shares issued under employee stock plan | $ 700 | ||||||
Common stock (in shares) | 39,000 | ||||||
Intrinsic value eligible for issuance | $ 900 | ||||||
Employee Stock Purchase Plan | Stock Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock compensation expense | $ 1,300 | ||||||
2009 Stock Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Issuance of shares common stock to participating employees (in shares) | 14,950,000 | ||||||
Lower of fair market value of the common stock | 100.00% | ||||||
Stock vesting period | 4 years | ||||||
Percentage of vesting for awards granted | 25.00% | ||||||
Award vesting percentage | 6.25% | ||||||
Reserved common stock for issuance (in shares) | 2,750,000 | ||||||
Stock option granted (in shares) | 0 | 0 | 0 | ||||
Total intrinsic stock value of options exercised | $ 400 | $ 1,900 | $ 1,900 | ||||
Stock options exercised (in shares) | 0 | 0 | 0 | ||||
2009 Stock Incentive Plan | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock option awards contractual term | 10 years | ||||||
2019 Stock Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Issuance of shares common stock to participating employees (in shares) | 1,000,000 | ||||||
Lower of fair market value of the common stock | 100.00% | ||||||
Stock vesting period | 4 years | ||||||
Percentage of vesting for awards granted | 25.00% | ||||||
Award vesting percentage | 6.25% | ||||||
Reserved common stock for issuance (in shares) | 1,000,000 | ||||||
2019 Stock Incentive Plan | Maximum | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock option awards contractual term | 10 years | ||||||
2018 Israeli Special Purpose Stock Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Lower of fair market value of the common stock | 100.00% | ||||||
Stock option awards contractual term | 10 years | ||||||
Stock vesting period | 5 years | ||||||
Percentage of vesting for awards granted | 20.00% | ||||||
Award vesting percentage | 5.00% | ||||||
Reserved common stock for issuance (in shares) | 200,000 |
Share Based Payments - Summary
Share Based Payments - Summary of Stock Option and Restricted Stock Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Nov. 15, 2018 | |
Share-based Payment Arrangement [Abstract] | |||
Awards outstanding beginning balance (in shares) | 4,503,000 | ||
Plan amendment (in shares) | 0 | ||
Awards granted (in shares) | (1,347,000) | (1,000,000) | |
Awards forfeited (in shares) | 158,000 | ||
Awards outstanding ending balance (in shares) | 4,314,000 | 4,503,000 | |
Nonvested Restricted Stock Activity | |||
Awards outstanding beginning balance (in shares) | 2,366,000 | ||
Awards granted (in shares) | 1,054,000 | ||
Shares vested (in shares) | (1,085,000) | ||
Awards forfeited (in shares) | (123,000) | ||
Awards outstanding ending balance (in shares) | 2,212,000 | 2,366,000 | |
Weighted Average Grant Date Fair Value | |||
Awards outstanding beginning balance (in dollars per share) | $ 41.72 | ||
Awards granted (in dollars per share) | 44.88 | ||
Shares vested (in dollars per share) | 39.10 | ||
Awards forfeited (in dollars per share) | 45.86 | ||
Awards outstanding ending balance (in dollars per share) | $ 44.25 | $ 41.72 | |
Awards outstanding beginning balance (in shares) | 14,000 | ||
Stock options exercised (in shares) | (13,000) | ||
Awards expired (in shares) | 0 | ||
Awards outstanding ending balance (in shares) | 1,000 | 14,000 | |
Stock options exercisable at end of period (in shares) | 1,000 | ||
Weighted Average Exercise Price | |||
Awards outstanding beginning balance (in dollars per share) | $ 12.20 | ||
Stock options exercised (in dollars per share) | 12.70 | ||
Awards expired (in dollars per share) | 0 | ||
Awards outstanding ending balance (in dollars per share) | 6.89 | $ 12.20 | |
Stock options exercisable at end of period (in dollars per share) | $ 6.89 | ||
Weighted Average Remaining Contractual Term | |||
Awards outstanding | 3 years | 8 months 12 days | |
Stock options exercisable | 3 years | ||
Aggregate Intrinsic Value | |||
Awards outstanding beginning balance | $ 481 | ||
Awards outstanding ending balance | 49 | $ 481 | |
Stock options exercisable at end of period | $ 49 |
Share Based Payments - Schedule
Share Based Payments - Schedule of Shares Issued as Purchase Consideration with Forfeiture Provisions (Detail) | 12 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Nonvested Restricted Stock Activity | |
Awards outstanding beginning balance (in shares) | shares | 2,366,000 |
Issuance of purchase consideration shares with forfeiture provisions (in shares) | shares | 1,054,000 |
Lapse of forfeiture provisions (in shares) | shares | (1,085,000) |
Shares forfeited (in shares) | shares | (123,000) |
Awards outstanding ending balance (in shares) | shares | 2,212,000 |
Weighted Average Grant Date Fair Value | |
Awards outstanding beginning balance (in dollars per share) | $ / shares | $ 41.72 |
Issuance of purchase consideration shares with forfeiture provisions (in dollars per share) | $ / shares | 44.88 |
Lapse of forfeiture provisions (in dollars per share) | $ / shares | 39.10 |
Shares forfeited (in dollars per share) | $ / shares | 45.86 |
Awards outstanding ending balance (in dollars per share) | $ / shares | $ 44.25 |
Equity Acquisition Activity | |
Nonvested Restricted Stock Activity | |
Awards outstanding beginning balance (in shares) | shares | 99,000 |
Issuance of purchase consideration shares with forfeiture provisions (in shares) | shares | 0 |
Lapse of forfeiture provisions (in shares) | shares | (54,000) |
Shares forfeited (in shares) | shares | (43,000) |
Awards outstanding ending balance (in shares) | shares | 2,000 |
Weighted Average Grant Date Fair Value | |
Awards outstanding beginning balance (in dollars per share) | $ / shares | $ 30.97 |
Issuance of purchase consideration shares with forfeiture provisions (in dollars per share) | $ / shares | 0 |
Lapse of forfeiture provisions (in dollars per share) | $ / shares | 22.70 |
Shares forfeited (in dollars per share) | $ / shares | 41.20 |
Awards outstanding ending balance (in dollars per share) | $ / shares | $ 32.76 |
Net (Loss) Income Per Share - S
Net (Loss) Income Per Share - Schedule of Computation of Basic and Diluted Net (Loss) Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Numerator - basic and diluted: | |||||||||||
Net (loss) income | $ (3,003) | $ (7,468) | $ 2,609 | $ (1,367) | $ 3,557 | $ 824 | $ 5,969 | $ (918) | $ (9,229) | $ 9,432 | $ 9,328 |
Denominator: | |||||||||||
Shares used in computing basic net (loss) income per share attributable to common stockholders (in shares) | 42,078 | 41,823 | 41,693 | 41,487 | 41,214 | 40,911 | 40,635 | 39,689 | 41,770 | 40,612 | 38,227 |
Impact of dilutive securities (in shares) | 0 | 1,079 | 1,099 | ||||||||
Shares used in computing diluted net (loss) income per share attributable to common stockholders (in shares) | 42,078 | 41,823 | 42,092 | 41,487 | 41,813 | 41,625 | 41,739 | 39,689 | 41,770 | 41,691 | 39,326 |
Basic and diluted net (loss) income per share attributable to common stockholders (in dollars per share) | $ (0.22) | $ 0.23 | $ 0.24 |
Net (Loss) Income Per Share - A
Net (Loss) Income Per Share - Additional Information (Detail) shares in Millions | 12 Months Ended |
Jun. 30, 2020shares | |
Earnings Per Share [Abstract] | |
Anti-dilutive securities excluded from calculation of diluted earnings per share (in shares) | 2.3 |
Operations by Segments and Ge_3
Operations by Segments and Geographic Areas - Additional Information (Detail) | 12 Months Ended |
Jun. 30, 2020Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 4 |
Operations by Segments and Ge_4
Operations by Segments and Geographic Areas - Schedule of Segment Reporting Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Segment revenue: | |||||||||||
Total segment revenue | $ 110,639 | $ 111,715 | $ 111,691 | $ 108,176 | $ 108,241 | $ 106,438 | $ 104,846 | $ 102,437 | $ 442,221 | $ 421,962 | $ 394,096 |
Segment measure of profit (loss): | |||||||||||
Total measure of segment profit | (3,432) | 3,079 | 5,114 | ||||||||
Operating Segments | |||||||||||
Segment measure of profit (loss): | |||||||||||
Total measure of segment profit | 67,728 | 77,246 | 73,739 | ||||||||
Cloud Solutions | |||||||||||
Segment revenue: | |||||||||||
Total segment revenue | 252,349 | 232,106 | 203,599 | ||||||||
Cloud Solutions | Operating Segments | |||||||||||
Segment measure of profit (loss): | |||||||||||
Total measure of segment profit | 54,002 | 53,113 | 43,852 | ||||||||
Banking Solutions | |||||||||||
Segment revenue: | |||||||||||
Total segment revenue | 97,785 | 93,956 | 91,851 | ||||||||
Banking Solutions | Operating Segments | |||||||||||
Segment revenue: | |||||||||||
Total segment revenue | 97,785 | 93,956 | |||||||||
Segment measure of profit (loss): | |||||||||||
Total measure of segment profit | 4,849 | 8,227 | 9,703 | ||||||||
Payments and Documents | |||||||||||
Segment revenue: | |||||||||||
Total segment revenue | 75,048 | 77,322 | 80,063 | ||||||||
Payments and Documents | Operating Segments | |||||||||||
Segment measure of profit (loss): | |||||||||||
Total measure of segment profit | 19,336 | 21,207 | 22,383 | ||||||||
Other | |||||||||||
Segment revenue: | |||||||||||
Total segment revenue | 17,039 | 18,578 | 18,583 | ||||||||
Other | Operating Segments | |||||||||||
Segment measure of profit (loss): | |||||||||||
Total measure of segment profit | $ (10,459) | $ (5,301) | $ (2,199) |
Operations by Segments and Ge_5
Operations by Segments and Geographic Areas - Reconciliation of Measure of Segment Profit to GAAP (Loss) Income Before Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Total measure of segment profit | $ (3,432) | $ 3,079 | $ 5,114 |
Less: | |||
Amortization of acquisition-related intangible assets | (20,370) | (21,336) | (22,076) |
Stock-based compensation plan expense | (42,044) | (41,695) | (34,200) |
Other (expense) income, net of pension adjustments | (771) | 6,928 | 6,908 |
(Loss) income before income taxes | (7,401) | 6,894 | 1,125 |
Operating Segments | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Total measure of segment profit | 67,728 | 77,246 | 73,739 |
Segment Reconciling Items | |||
Less: | |||
Amortization of acquisition-related intangible assets | (20,370) | (21,336) | (22,076) |
Stock-based compensation plan expense | (42,044) | (41,695) | (34,200) |
Acquisition and integration-related expenses | (5,647) | (4,648) | (2,564) |
Restructuring expenses | (1,652) | (1,881) | (1,495) |
Legal settlement | 0 | 0 | (1,269) |
Other non-core income (expense) | 94 | (550) | 150 |
Global ERP system implementation and other costs | (485) | (3,395) | (6,430) |
Other (expense) income, net of pension adjustments | $ (5,025) | $ 3,153 | $ (4,730) |
Operations by Segments and Ge_6
Operations by Segments and Geographic Areas - Schedule of Segment Depreciation and Amortization Expense Included in Segment Measure of Profit Loss (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Depreciation and other amortization expense: | |||
Total depreciation and other amortization expense | $ 27,232 | $ 22,911 | $ 19,994 |
Cloud Solutions | |||
Depreciation and other amortization expense: | |||
Total depreciation and other amortization expense | 15,903 | 13,543 | 11,984 |
Banking Solutions | |||
Depreciation and other amortization expense: | |||
Total depreciation and other amortization expense | 9,416 | 7,865 | 6,333 |
Payments and Documents | |||
Depreciation and other amortization expense: | |||
Total depreciation and other amortization expense | 1,011 | 1,146 | 1,289 |
Other | |||
Depreciation and other amortization expense: | |||
Total depreciation and other amortization expense | $ 902 | $ 357 | $ 388 |
Operations by Segments and Ge_7
Operations by Segments and Geographic Areas - Schedule of Revenue Based on Point of Sale (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total revenues from unaffiliated customers | $ 110,639 | $ 111,715 | $ 111,691 | $ 108,176 | $ 108,241 | $ 106,438 | $ 104,846 | $ 102,437 | $ 442,221 | $ 421,962 | $ 394,096 |
United States | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total revenues from unaffiliated customers | 277,153 | 261,779 | 242,170 | ||||||||
United Kingdom | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total revenues from unaffiliated customers | 106,492 | 99,746 | 91,489 | ||||||||
Switzerland | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total revenues from unaffiliated customers | 39,071 | 38,698 | 39,759 | ||||||||
Other | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total revenues from unaffiliated customers | $ 19,505 | $ 21,739 | $ 20,678 |
Operations by Segments and Ge_8
Operations by Segments and Geographic Areas - Schedule of Long-Lived Assets, Based on Geographical Location, Excluding Deferred Tax Assets and Intangible Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Long-lived assets: | ||
Total long-lived assets | $ 123,670 | $ 81,718 |
United States | ||
Long-lived assets: | ||
Total long-lived assets | 64,858 | 44,357 |
United Kingdom | ||
Long-lived assets: | ||
Total long-lived assets | 41,835 | 32,035 |
Other | ||
Long-lived assets: | ||
Total long-lived assets | $ 16,977 | $ 5,326 |
Operations by Segments and Ge_9
Operations by Segments and Geographic Areas- Schedule of Disaggregated Revenue by Major Product Classification (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 110,639 | $ 111,715 | $ 111,691 | $ 108,176 | $ 108,241 | $ 106,438 | $ 104,846 | $ 102,437 | $ 442,221 | $ 421,962 | $ 394,096 |
Banking Solutions | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 97,785 | 93,956 | 91,851 | ||||||||
Subscriptions | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 339,410 | 295,633 | $ 262,363 | ||||||||
Operating Segments | Payment Settlement Solutions | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 167,547 | 155,442 | |||||||||
Operating Segments | Banking Solutions | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 97,785 | 93,956 | |||||||||
Operating Segments | Legal Spend Management | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 84,802 | 76,664 | |||||||||
Operating Segments | Subscriptions | Payment Settlement Solutions | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 149,109 | 131,433 | |||||||||
Operating Segments | Subscriptions | Banking Solutions | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 80,176 | 67,680 | |||||||||
Operating Segments | Subscriptions | Legal Spend Management | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 84,802 | 76,663 | |||||||||
All other | All other | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | 92,087 | 95,900 | |||||||||
All other | Subscriptions | All other | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenues | $ 25,323 | $ 19,857 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax Contingency [Line Items] | ||||||
Unrecognized tax benefits | $ 399 | $ 377 | $ 432 | |||
Federal corporate income tax rate | 21.00% | 35.00% | 21.00% | 21.00% | 28.06% | |
Net operating loss carryforward, subject to expiration | $ 104,800 | |||||
Net operating loss carryforward, not subject to expiration | 16,800 | |||||
Net operating losses utilized | 1,700 | |||||
Research and development tax credit carryforwards | 7,800 | |||||
Valuation allowance against certain deferred tax assets | 34,830 | $ 32,538 | ||||
Increase in valuation allowance | 2,300 | |||||
Gross unrecognized tax benefits | $ 8,701 | 11,310 | $ 9,913 | $ 8,701 | $ 8,656 | |
Unrecognized tax benefits that, if recognized, would favorably affect effective income tax rate in future periods | 1,900 | |||||
Reduction to tax credit carryforwards | 3,300 | |||||
Unrecognized tax benefits decrease as a result of the expiration of certain statutes | 300 | |||||
United States | ||||||
Income Tax Contingency [Line Items] | ||||||
Net operating loss carryforwards | 121,600 | |||||
Europe and Israel | ||||||
Income Tax Contingency [Line Items] | ||||||
Net operating loss carryforwards | $ 30,900 |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision for (Benefit from) Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Current: | |||
Federal | $ 43 | $ 56 | $ (673) |
State | 84 | 123 | 20 |
Foreign | 2,530 | 2,430 | 1,915 |
Provision for (benefit from) income taxes, current | 2,657 | 2,609 | 1,262 |
Deferred: | |||
Federal | (314) | (1,724) | (7,271) |
State | 336 | (441) | 687 |
Foreign | (851) | (2,982) | (2,881) |
Provision for (benefit from) income taxes, deferred | (829) | (5,147) | (9,465) |
Provision for (benefit from) income taxes, total | $ 1,828 | $ (2,538) | $ (8,203) |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income (Loss) Before Income Taxes By Geographic Area (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Contingency [Line Items] | |||
(Loss) income before income taxes | $ (7,401) | $ 6,894 | $ 1,125 |
North America | |||
Income Tax Contingency [Line Items] | |||
Income (loss) before income taxes, domestic | (2,417) | 9,403 | (29) |
United Kingdom | |||
Income Tax Contingency [Line Items] | |||
Income (loss) before income taxes, international | 4,918 | 4,184 | 7,144 |
Continental Europe | |||
Income Tax Contingency [Line Items] | |||
Income (loss) before income taxes, international | 1,292 | 2,194 | 6,062 |
Asia-Pacific and Middle East | |||
Income Tax Contingency [Line Items] | |||
Income (loss) before income taxes, international | $ (11,194) | $ (8,887) | $ (12,052) |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliation of Federal Statutory Rate to Effective Income Tax Rate (Detail) | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2018 | Dec. 31, 2017 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |||||
Tax expense (benefit) at federal statutory rate | 21.00% | 35.00% | 21.00% | 21.00% | 28.06% |
State taxes, net of federal benefit | 5.50% | (11.10%) | 5.50% | ||
Change in valuation allowance | (32.80%) | 3.70% | (168.90%) | ||
Non-deductible executive compensation | (28.30%) | 48.40% | 90.30% | ||
Changes in uncertain tax positions | (13.60%) | 2.00% | 12.90% | ||
Foreign branch operations, net of foreign tax deductions | (8.80%) | 9.70% | 91.20% | ||
Non-deductible other expenses | (5.20%) | 6.10% | 39.20% | ||
Non-deductible acquisition costs | (0.10%) | 7.20% | 26.00% | ||
Changes in tax laws or rates | 4.70% | (10.80%) | (738.70%) | ||
Tax rate differential on foreign earnings | 7.30% | (4.50%) | (50.70%) | ||
Research and development credit | 11.10% | (14.80%) | (33.40%) | ||
Share-based payments | 15.30% | (94.00%) | (33.40%) | ||
Other | (0.80%) | 0.30% | 2.60% | ||
Effective income tax rate, continuing operations | (24.70%) | (36.80%) | (729.30%) |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Jun. 30, 2019 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 38,795 | $ 35,049 |
Research and development and other credits | 7,815 | 7,183 |
Stock compensation | 6,848 | 7,217 |
Lease Liabilities | 6,261 | |
Deferred revenue | 4,577 | 6,103 |
Various accrued expenses | 3,281 | 2,731 |
Accrued pension | 2,834 | 2,742 |
Unrealized loss - interest swap | 1,377 | 349 |
Acquired intangible assets | 851 | 622 |
Property and equipment | 445 | 536 |
Allowances and reserves | 353 | 171 |
Other | 466 | 207 |
Total deferred tax assets | 73,903 | 62,910 |
Valuation allowance | (34,830) | (32,538) |
Deferred tax assets, net of valuation allowance | 39,073 | 30,372 |
Deferred tax liabilities: | ||
Property and equipment, inclusive of capitalized software | (15,735) | (12,205) |
Acquired intangible assets | (12,903) | (15,422) |
Deductible goodwill acquired intangible assets | (7,384) | (7,010) |
Capitalized Costs | (5,559) | (5,805) |
Right of Use Assets | (5,659) | |
Other | (489) | (275) |
Total deferred tax liabilities | (47,729) | (40,717) |
Net deferred tax liabilities | $ (8,656) | $ (10,345) |
Income Taxes - Summary of Chang
Income Taxes - Summary of Changes in Gross Amount of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning balance | $ 9,913 | $ 8,701 | $ 8,656 |
Additions related to current year tax positions | 1,810 | 1,257 | 1,041 |
Reductions related to prior year tax positions | (19) | (85) | |
Reductions due to lapse of statute of limitations | (399) | (377) | (432) |
Reductions due to audit closure | (122) | ||
Additions related to prior year tax positions | 56 | ||
Change in tax rates | 49 | 319 | (368) |
Foreign currency translation | 11 | ||
Foreign currency translation | (44) | (43) | |
Ending balance | $ 11,310 | $ 9,913 | $ 8,701 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - 1 months ended Jul. 31, 2020 - Anasys AG - Subsequent Event SFr in Millions, $ in Millions | USD ($)shares | CHF (SFr)shares |
Subsequent Event [Line Items] | ||
Purchase price | $ | $ 13.9 | |
Cash paid for acquisition | $ 5.7 | SFr 5.2 |
Shares issued (in shares) | shares | 166,393 | 166,393 |
Shares issued, value | $ | $ 8.2 | |
Additional shares issued relating to deferred compensation arrangement (in shares) | shares | 28,000 | 28,000 |
Stock vesting period | 5 years | 5 years |
Quarterly Financial Data (una_3
Quarterly Financial Data (unaudited) - Schedule of Selected Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $ 110,639 | $ 111,715 | $ 111,691 | $ 108,176 | $ 108,241 | $ 106,438 | $ 104,846 | $ 102,437 | $ 442,221 | $ 421,962 | $ 394,096 |
Gross profit | 63,016 | 63,786 | 64,652 | 61,681 | 61,346 | 60,725 | 59,865 | 57,307 | 253,135 | 239,243 | 220,654 |
Net (loss) income | $ (3,003) | $ (7,468) | $ 2,609 | $ (1,367) | $ 3,557 | $ 824 | $ 5,969 | $ (918) | $ (9,229) | $ 9,432 | $ 9,328 |
Basic net (loss) income per share (in dollars per share) | $ (0.07) | $ (0.18) | $ 0.06 | $ (0.03) | $ 0.09 | $ 0.02 | $ 0.15 | $ (0.02) | |||
Diluted net (loss) income per share (in dollars per share) | $ (0.07) | $ (0.18) | $ 0.06 | $ (0.03) | $ 0.09 | $ 0.02 | $ 0.14 | $ (0.02) | |||
Shares used in computing basic net (loss) income per share (in shares) | 42,078 | 41,823 | 41,693 | 41,487 | 41,214 | 40,911 | 40,635 | 39,689 | 41,770 | 40,612 | 38,227 |
Shares used in computing diluted net (loss) income per share (in shares) | 42,078 | 41,823 | 42,092 | 41,487 | 41,813 | 41,625 | 41,739 | 39,689 | 41,770 | 41,691 | 39,326 |
Liquidated investment | $ 400 | $ 400 | $ 3,000 | ||||||||
Gain (loss) on sale of equity investments | $ 7,300 | $ 2,400 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts Allowances for Doubtful Accounts (Detail) - Allowance for Doubtful Accounts - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2018 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Year | $ 824 | $ 996 | $ 923 |
(Charged to Revenue, Costs and Expenses) | 749 | 220 | 238 |
Additions and Recoveries | 2 | 1 | 2 |
Deductions | (239) | (393) | (167) |
Balance at End of Year | $ 1,336 | $ 824 | $ 996 |