Cardiovascular Systems (CSII) 10-Q 6 May 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Mar. 31, 2016	Apr. 30, 2016
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Trading Symbol	CSII
Entity Registrant Name	CARDIOVASCULAR SYSTEMS INC
Entity Central Index Key	1,180,145
Current Fiscal Year End Date	--06-30
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		32,673,703

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Current assets
Cash and cash equivalents	$ 62,174	$ 83,842
Accounts receivable, net	23,048	30,830
Inventories	18,226	13,966
Marketable securities	1,909	1,876
Prepaid expenses and other current assets	1,388	3,380
Total current assets	106,745	133,894
Property and equipment, net	33,224	32,883
Patents, net	4,952	4,511
Other assets	88	40
Total assets	145,009	171,328
Current liabilities
Accounts payable	8,338	9,763
Accrued expenses	26,649	20,125
Total current liabilities	34,987	29,888
Long-term liabilities
Other liabilities	8,251	2,005
Total liabilities	43,238	31,893
Commitments and contingencies	0	0
Common stock, $0.001 par value; authorized 100,000,000 common shares at March 31, 2016 and June 30, 2015; issued and outstanding 32,684,195 at March 31, 2016 and 31,898,124 at June 30, 2015, respectively	33	32
Additional paid in capital	424,178	410,700
Accumulated other comprehensive income	86	90
Accumulated deficit	(322,526)	(271,387)
Total stockholders’ equity	101,771	139,435
Total liabilities and stockholders’ equity	$ 145,009	$ 171,328

Consolidated Balance Sheets (U3

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2016	Jun. 30, 2015
Statement of Financial Position [Abstract]
Common stock, par value (in usd per share)	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	32,684,195	31,898,124
Common stock, shares outstanding	32,684,195	31,898,124

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2016	Mar. 31, 2015
Income Statement [Abstract]
Net revenues	$ 44,461	$ 47,004	$ 129,724	$ 133,090
Cost of goods sold	8,725	10,416	25,567	28,647
Gross profit	35,736	36,588	104,157	104,443
Expenses:
Selling, general and administrative	42,338	39,453	124,991	105,513
Research and development	5,748	7,777	19,895	23,014
Restructuring	2,376	0	2,376	0
Legal settlement	8,000	0	8,000	0
Total expenses	58,462	47,230	155,262	128,527
Loss from operations	(22,726)	(10,642)	(51,105)	(24,084)
Interest and other, net	10	(14)	(35)	(69)
Net loss	$ (22,716)	$ (10,656)	$ (51,140)	$ (24,153)
Net loss per common share:
Basic and diluted (in usd per share)	$ (0.69)	$ (0.34)	$ (1.57)	$ (0.77)
Weighted average common shares used in computation:
Basic and diluted (in shares)	32,711,341	31,644,522	32,491,271	31,479,803

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Cash flows from operating activities
Net loss	$ (51,140)	$ (24,153)
Adjustments to reconcile net loss to net cash used in operations
Depreciation of property and equipment	2,728	1,292
Amortization and write-off of patents	215	146
Provision for doubtful accounts	600	1,021
Loss on disposal of property and equipment	8	99
Stock-based compensation	10,392	11,039
Changes in assets and liabilities
Accounts receivable	7,532	(10,858)
Inventories	(4,260)	(329)
Prepaid expenses and other assets	2,354	166
Accounts payable	(1,400)	826
Accrued expenses and other liabilities	12,771	5,666
Net cash used in operating activities	(20,200)	(15,085)
Cash flows from investing activities
Expenditures for property and equipment	(3,245)	(16,593)
Issuance of convertible note receivable	(350)	0
Purchases of marketable securities	(37)	(2,094)
Sales of marketable securities	0	365
Costs incurred in connection with patents	(512)	(634)
Net cash used in investing activities	(4,144)	(18,956)
Cash flows from financing activities
Proceeds from employee stock purchase plan	1,670	1,360
Exercise of stock options	1,006	1,974
Payments on debt	0	(2,400)
Net cash provided by financing activities	2,676	934
Net change in cash and cash equivalents	(21,668)	(33,107)
Cash and cash equivalents
Beginning of period	83,842	126,592
End of period	62,174	93,485
Noncash investing activities
Property and equipment included in accounts payable	$ 0	$ 1,860

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2016	Mar. 31, 2015
Statement of Comprehensive Income [Abstract]
Net loss	$ (22,716)	$ (10,656)	$ (51,140)	$ (24,153)
Other comprehensive income (loss):
Unrealized gain (loss) on available for sale securities	37	105	(5)	105
Comprehensive loss	$ (22,679)	$ (10,551)	$ (51,145)	$ (24,048)

Business Overview

Business Overview	9 Months Ended
	Mar. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business Overview	Business Overview Company Description Cardiovascular Systems, Inc. (the “Company”) was incorporated as Replidyne, Inc. (“Replidyne”) in Delaware in 2000. On February 25, 2009, Replidyne completed its business combination with Cardiovascular Systems, Inc., a Minnesota corporation, in accordance with the terms of the Agreement and Plan of Merger and Reorganization, dated as of November 3, 2008. At the effective time of the merger, Replidyne changed its name to Cardiovascular Systems, Inc. The Company develops, manufactures and markets devices for the treatment of vascular diseases. The Company’s peripheral arterial disease (“PAD”) products, the Stealth 360° ® Peripheral Orbital Atherectomy System (“OAS”), and the Diamondback 360 ® Peripheral OAS, are catheter-based platforms capable of treating a broad range of plaque types, including calcified plaque, in leg arteries both above and below the knee, and address many of the limitations associated with existing surgical, catheter and pharmacological treatment alternatives. These devices use smaller access sheaths that can provide procedural benefits and allow physicians to treat PAD patients in the small and tortuous vessels located below the knee through alternative access sites in the ankle and foot as well as in the groin. In October 2013, the Company received premarket approval from the United States Food and Drug Administration to market the Diamondback 360 ® Coronary OAS as a treatment for severely calcified coronary arteries. The Company is currently selling only in the United States and evaluating options for international expansion to maximize the coronary and peripheral market opportunities.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Interim Financial Statements The Company prepared the unaudited interim consolidated financial statements and related unaudited financial information in the footnotes in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. The year-end consolidated balance sheet was derived from the Company’s audited consolidated financial statements, but does not include all disclosures as required by GAAP. These interim consolidated financial statements reflect all adjustments consisting of normal recurring accruals, which, in the opinion of management, are necessary to state fairly the Company’s consolidated financial position, the results of its operations and its cash flows for the interim periods. These interim consolidated financial statements should be read in conjunction with the consolidated annual financial statements and the notes thereto included in the Form 10-K filed by the Company with the SEC on August 27, 2015. The nature of the Company’s business is such that the results of any interim period may not be indicative of the results to be expected for the entire year. Use of Estimates The preparation of the Company’s consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Prior Year Revision During the fourth quarter of fiscal 2015, the Company evaluated the presentation of its accounts payable and accrued expenses line items on the consolidated balance sheet and determined that a reclassification of amounts from accounts payable to accrued expenses would provide a more meaningful presentation. There were no changes to total current liabilities and net cash used in operations as a result of these reclassifications. The Company reclassified $4,917 from accounts payable to accrued expenses as of March 31, 2015. In addition, the Company reclassified the changes in accounts payable and accrued expenses in the operating activities section of the consolidated statement of cash flows by $1,921 for the nine months ended March 31, 2015. The Company has concluded that these reclassifications are not material. During the fourth quarter of fiscal 2015, the Company reclassified a $99 loss on disposal of assets during the three months ended March 31, 2015 from other expense to selling, general and administrative expenses on the consolidated statement of operations. There were no changes to net income. The Company has concluded that this reclassification is not material. Stock-Based Compensation The Company has stock-based compensation plans, which include stock options, nonvested share awards, and an employee stock purchase plan. Fair value of option awards is determined using option-pricing models, fair value of nonvested share awards with market conditions is determined using the Monte Carlo simulation, and fair value of nonvested share awards that vest based upon performance or service conditions is determined by the closing market price of the Company's stock on the date of grant. Stock-based compensation expense is recognized ratably over the requisite service period for the awards expected to vest. Revenue Recognition The Company sells the majority of its products via direct shipment to hospitals or clinics. The Company recognizes revenue when all of the following criteria are met: persuasive evidence of an arrangement exists; delivery has occurred; the sales price is fixed or determinable; and collectability is reasonably assured. The Company records estimated sales returns, discounts and rebates as a reduction of net sales. Costs related to products delivered are recognized in the period revenue is recognized. Cost of goods sold consists primarily of raw materials, direct labor, and manufacturing overhead. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue From Customers With Contracts.” The guidance requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Additionally, qualitative and quantitative disclosures are required about customer contracts, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. ASU 2014-09 was initially to be effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period, using one of two prescribed retrospective methods. Early adoption was not to be permitted. In August 2015, the FASB issued ASU 2015-14 to defer the effective date of ASU 2014-09 by one year and allow early adoption for all entities but not before the original public entity effective date. The Company is evaluating the impact of the amended revenue recognition guidance on its financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern.” The guidance requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date of issuance of the entity's financial statements. The entity must also provide certain disclosures if there is substantial doubt about the entity's ability to continue as a going concern. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods thereafter. Early adoption is permitted. The Company does not anticipate a material impact on its financial statements upon adoption. In April 2015, the FASB issued ASU No. 2015-05, “Customer's Accounting for Fees Paid in a Cloud Computing Arrangement.” The ASU provides guidance to customers about whether a cloud computing arrangement includes a software license. ASU 2015-05 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2015. Early adoption is permitted and companies can elect to adopt the guidance prospectively to all arrangements entered into or materially modified after the effective date, or retrospectively. The Company does not anticipate a material impact on its financial statements upon adoption. In July 2015, the FASB issued ASU No. 2015-11, “Simplifying the Measurement of Inventory.” The guidance requires an entity to measure inventory within the scope of the ASU at the lower of cost and net realizable value. ASU 2015-11 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2016 and should be applied prospectively. Early adoption is permitted. The Company does not anticipate a material impact on its financial statements upon adoption. In November 2015, the FASB issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes.” The guidance requires that all deferred tax assets and liabilities, along with any related valuation allowance, be classified as noncurrent on the balance sheet. ASU 2015-17 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2016 and can be applied either prospectively or retrospectively. Early adoption is permitted. The Company does not anticipate a material impact on its financial statements upon adoption. In February 2016, the FASB issued ASU 2016-02, “Leases.” The guidance requires lessees to recognize the assets and liabilities that arise from leases on the balance sheet. ASU 2016-02 is effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods, and should be applied using a modified retrospective approach. Early adoption is permitted. The Company is currently evaluating the impact of the new lease guidance on its financial statements. In March 2016, the FASB issued ASU 2016-09, “Stock Compensation.” The guidance simplifies several aspects related to the accounting for share-based payment transactions, including the accounting for income taxes, classification on the statement of cash flows, forfeitures, statutory withholding requirements and classification on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted and transition requirements vary based on the amendments adopted. The Company is currently evaluating the impact of the stock compensation guidance on its financial statements.

Selected Consolidated Financial

Selected Consolidated Financial Statement Information	9 Months Ended
	Mar. 31, 2016
Quarterly Financial Information Disclosure [Abstract]
Selected Consolidated Financial Statement Information	Selected Consolidated Financial Statement Information Accounts Receivable, Net Accounts receivable consists of the following: March 31, June 30, 2016 2015 Accounts receivable $ 24,652 $ 32,267 Less: Allowance for doubtful accounts (1,604 ) (1,437 ) Total Accounts receivable $ 23,048 $ 30,830 Inventories, Net Inventories consist of the following: March 31, June 30, 2016 2015 Raw materials $ 7,648 $ 7,292 Work in process 917 1,108 Finished goods 9,661 5,566 Total Inventories $ 18,226 $ 13,966 Property and Equipment, Net Property and equipment consists of the following: March 31, June 30, 2016 2015 Land $ 500 $ 500 Building 22,575 22,468 Equipment 13,072 11,745 Furniture 2,697 2,581 Leasehold improvements 87 110 Construction in progress 2,626 1,218 41,557 38,622 Less: Accumulated depreciation (8,333 ) (5,739 ) Total Property and equipment, net $ 33,224 $ 32,883 Accrued Expenses Accrued expenses consist of the following: March 31, June 30, 2016 2015 Salaries and bonus $ 3,683 $ 3,961 Commissions 7,626 5,387 Vacation 3,368 3,770 Excise, sales and other taxes 3,386 3,217 Clinical studies 1,736 2,446 Legal settlement 3,000 — Restructuring 2,369 — Other accrued expenses 1,481 1,344 Total Accrued expenses $ 26,649 $ 20,125 Restructuring On March 31, 2016, the Company announced a restructuring to reduce costs as a key part of its plan to balance revenue growth with a pathway to profitability and positive cash flow. As a result, the Company recorded a restructuring expense of $2,376 during the three months ended March 31, 2016 which was comprised of severance and other employee related costs. The Company and its Chief Healthcare Policy Officer, Robert Thatcher, agreed that Mr. Thatcher’s employment with the Company will end, effective May 25, 2016. The Company expects to enter into a Separation Agreement with Mr. Thatcher that will provide Mr. Thatcher with benefits consistent with the Company’s Amended and Restated Executive Officer Severance Plan (the “Executive Severance Plan”). In addition, Mr. Thatcher and his family members will be eligible for early retiree medical benefits pursuant to the terms and conditions of the Company's group health plan. Consistent with the Severance Plan, the vesting of 7,996 shares of Mr. Thatcher’s time-based restricted stock that would have otherwise vested within the 12 month period following May 25, 2016 will be accelerated, and up to 30,624 shares of Mr. Thatcher’s performance-based restricted stock that would have otherwise vested within the 12 month period following May 25, 2016 will vest, provided, and only to the extent, if any, that the performance criteria for such shares is met, as determined by the Company in or around August or September 2016. Additionally, Mr. Thatcher’s outstanding vested stock options will remain exercisable through the applicable award expiration dates. The foregoing terms are subject to the finalization of a definitive Separation Agreement, the terms of which the Company will disclose following execution of the Separation Agreement by the parties. The Company anticipates that $2,369 of the restructuring accrual, which includes previously accrued vacation and bonus, will be paid within the next twelve months and is therefore recorded in accrued expenses on the consolidated balance sheet. Estimated payments of $270 , representing the long-term portion of Mr. Thatcher's benefits, are recorded in other liabilities on the consolidated balance sheet. CEO Departure On February 29, 2016, the Company announced that David L. Martin resigned from his positions as President and Chief Executive Officer of the Company and as a director of the Company, effective February 26, 2016. The Company and Mr. Martin entered into a Separation Agreement in accordance with the Executive Severance Plan. In addition, Mr. Martin and his family members were eligible for early retiree medical benefits pursuant to the terms and conditions of the Company's group health plan. Any benefits payable to Mr. Martin under the Company’s Deferred Compensation Plan will be paid pursuant to the terms of such plan. The Separation Agreement terms also accelerated the vesting of 27,140 shares of time-based restricted stock that would have otherwise vested within the 12 month period following February 26, 2016 and provide for the vesting of up to 112,072 shares of performance-based restricted stock that would have otherwise vested within the 12 month period following February 26, 2016, provided, and only to the extent, if any, that the performance criteria for such shares is met as determined by the Company in or around August or September 2016. Additionally, Mr. Martin’s outstanding vested stock options will remain exercisable through the applicable award expiration date. The total expense related to Mr. Martin's departure was $2,030 and was recorded in selling, general and administrative expenses for the three months ended March 31, 2016, which includes a non-cash stock modification expense of $190 . Approximately $911 of the package benefits, including previously accrued bonus expense, is recorded in accrued expenses and $971 is recorded in other liabilities on the consolidated balance sheet, representing the long-term portion of Mr. Martin's benefits. Other Liabilities Other liabilities consist of the following: March 31, June 30, 2016 2015 Legal settlement $ 5,000 $ — Deferred compensation 1,902 1,876 Other liabilities 1,349 129 Total Other liabilities $ 8,251 $ 2,005

Deferred Compensation Plan

Deferred Compensation Plan	9 Months Ended
	Mar. 31, 2016
Compensation and Retirement Disclosure [Abstract]
Deferred Compensation Plan	Deferred Compensation Plan The Company offers certain members of management and highly compensated employees the opportunity to defer up to 100% of their base salary (after 401(k), payroll tax and other deductions), performance bonus and discretionary bonus and elect to receive the deferred compensation at a fixed future date of participant’s choosing. Each participant may, at the time of his or her deferral election, choose to allocate the deferred compensation into investment alternatives set by the Human Resources and Compensation Committee. The amount payable to each participant under the plan will change in value based upon the investment selected by that participant and is classified as current or long-term on the Company's balance sheet based on the disbursement elections made by the participants. As of March 31, 2016 , $1,902 is classified as long-term and is included in other liabilities on the consolidated balance sheet. In connection with the departure of Mr. Martin, discussed above, $6 of his deferred compensation plan balance is payable seven months after his employment ended and is therefore included in accrued expenses on the consolidated balance sheet as of March 31, 2016. Beginning in August 2014, the Company acquired available-for-sale marketable securities under the deferred compensation plan. These available-for-sale marketable securities are primarily comprised of investments with a fixed income and equity investments. Investments consisted of the following: As of March 31, 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Mutual funds $ 1,823 $ 85 $ — $ 1,908 Total short-term investments $ 1,823 $ 85 $ — $ 1,908 As of June 30, 2015 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Mutual funds $ 1,786 $ 90 $ — $ 1,876 Total short-term investments $ 1,786 $ 90 $ — $ 1,876 During the nine months ended March 31, 2016 and 2015 , there were $37 and $2,094 , respectively, in purchases of available-for-sale securities. There were no sales or other-than-temporary impairments during the nine months ended March 31, 2016 . During the nine months ended March 31, 2015 , there was $365 of sales and no other-than-temporary impairment. The following table provides information by level for the Company's available-for-sale marketable securities that were measured at fair value on a recurring basis: Fair Value Measurements as of March 31, 2016 Using Inputs Considered as Fair Value Level 1 Level 2 Level 3 Mutual funds $ 1,908 $ 1,297 $ 611 $ — Total short-term investments $ 1,908 $ 1,297 $ 611 $ — Fair Value Measurements as of June 30, 2015 Using Inputs Considered as Fair Value Level 1 Level 2 Level 3 Mutual funds $ 1,876 $ 1,275 $ 601 $ — Total short-term investments $ 1,876 $ 1,275 $ 601 $ — The Company's marketable securities classified within Level 1 are valued primarily using real-time quotes for transactions in active exchange markets. Marketable securities within Level 2 are valued using readily available pricing sources. There were no transfers of assets between Level 1 and Level 2 of the fair value measurement hierarchy during the nine months ended March 31, 2016 . Any transfers between levels would be recognized on the date of the event or when a change in circumstances causes a transfer.

Stock Options and Restricted St

Stock Options and Restricted Stock Awards	9 Months Ended
	Mar. 31, 2016
Share-based Arrangements with Employees and Nonemployees [Abstract]
Stock Options and Restricted Stock Awards	Stock Options and Restricted Stock Awards The Company maintains the 2014 Equity Incentive Plan (the “2014 Plan”) for the purpose of granting equity awards to employees, directors and consultants. The 2014 Plan was approved by the Company's stockholders and became effective in November 2014. The 2014 Plan was amended in May 2015. The 2014 Plan replaced the 2007 Equity Incentive Plan (the “2007 Plan”), and no further equity awards may be granted under the 2007 Plan. The Company also maintains a terminated plan, the 2003 Stock Option Plan (the “2003 Plan”) (the 2014 Plan, the 2007 Plan, and the 2003 Plan are collectively referred to as the “Plans”). Stock Options All options granted under the Plans become exercisable over periods established at the date of grant. The option exercise price is generally not less than the estimated fair market value of the Company’s common stock at the date of grant, as determined by the Company’s management and Board of Directors. In addition, the Company has granted nonqualified stock options to a director outside of the Plans. An employee's vested options must be exercised at or within 90 days of termination to avoid forfeiture. As of March 31, 2016 , all outstanding options were fully vested. Stock option activity for the nine months ended March 31, 2016 is as follows: Number of Options (a) Weighted Average Exercise Price Options outstanding at June 30, 2015 699,872 $ 10.32 Options exercised (87,817 ) $ 11.46 Options forfeited or expired (5,176 ) $ 12.37 Options outstanding at March 31, 2016 606,879 $ 10.14 (a) Includes the effect of options granted, exercised, forfeited or expired from the 2003 Plan and 2007 Plan, and options granted outside such plans. Restricted Stock The fair value of each restricted stock award is equal to the fair market value of the Company’s common stock at the date of grant. Vesting of restricted stock awards generally ranges from one to three years . The estimated fair value of restricted stock awards, including the effect of estimated forfeitures, is recognized on a straight-line basis over the restricted stock’s vesting period. On August 10, 2015, the Company granted performance based restricted stock awards to its executives and management. The performance based awards included grants of a maximum aggregate of 156,509 shares that vest based upon achievement of certain thresholds measuring total shareholder return during periods within fiscal 2016 compared to a pre-determined peer group of companies, and grants of a maximum aggregate of 156,520 shares that vest based upon achievement of certain thresholds measuring annual revenue growth during fiscal 2016 compared to a pre-determined peer group of companies. Management adjusts expense as required based on expected revenue growth performance for those awards. Restricted stock award activity for the nine months ended March 31, 2016 is as follows: Number of Shares Weighted Average Fair Value Restricted stock awards outstanding at June 30, 2015 995,323 $ 21.31 Restricted stock awards granted (1) 813,099 $ 21.06 Restricted stock awards forfeited (250,333 ) $ 25.85 Restricted stock awards vested (529,227 ) $ 23.40 Restricted stock awards outstanding at March 31, 2016 1,028,862 $ 23.24 (1) Includes both time-based and performance-based restricted stock awards.

Commitment and Contingencies

Commitment and Contingencies	9 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitment and Contingencies Operating Leases The Company leases manufacturing and office space and equipment under various lease agreements that expire at various dates through March 2020 . Rental expenses were $140 and $554 for the three months ended March 31, 2016 and 2015 , respectively, and $781 and $1,351 for the nine months ended March 31, 2016 and 2015 , respectively. The decrease in rent expense relates to the completion of construction of the Company's new headquarters, which replaced space previously leased by the Company. Future minimum lease payments under the agreements as of March 31, 2016 are as follows: Three months ended June 30, 2016 $ 157 Fiscal 2017 589 Fiscal 2018 523 Fiscal 2019 471 Fiscal 2020 353 $ 2,093 Legal Settlement On May 8, 2014, the Company received a letter from the U.S. Attorney’s Office for the Western District of North Carolina (the “Department of Justice”) stating that it is investigating the Company to determine whether it had violated the False Claims Act (“FCA”), and on July 8, 2015, the complaint underlying the Department of Justice’s investigation, which was filed by Travis Thams (the “relator”), was unsealed. On December 14, 2015, the United States District Court for the Western District of North Carolina, Charlotte Division (the “Court”), granted the Company’s motion to extend the time to file a response to the complaint to March 25, 2016. On March 16, 2016, the Company, along with the relator and with affirmative support from the United States, filed a consent motion to stay or extend the Company’s time to respond to the complaint. In that Consent Motion, the Department of Justice and the Company stated that they had reached an agreement in principle to settle the FCA claims in the action and that additional time is needed to negotiate, execute and obtain approvals of all of the parties to the settlement documents. On March 18, 2016, the Court granted the consent motion to stay the action, up to and until May 15, 2016. The agreement in principle provides that the Company will make estimated payments totaling $8,000 over a three-year period to the United States government, which does not include the Company’s share of the relator's counsel fees and expenses. If a settlement agreement is consummated, the Company expects that a stipulation of dismissal will be filed resolving the FCA claims in the action. The Company has recorded $3,000 of the estimated settlement in accrued expenses and $5,000 in other liabilities on the consolidated balance sheet. During the three months ended March 31, 2016, the Company recorded approximately $505 in legal fees in selling, general and administrative expense related to the Department of Justice investigation. The agreement in principle is subject to the negotiation of definitive documentation, and there can be no assurance that the Company, the government and the relator will agree on the definitive documentation within the stay period on the terms of the agreement in principle, or at all. Stockholder Litigation On February 12, 2016, a stockholder purporting to represent a class of persons who purchased securities of the Company between September 12, 2011 and January 21, 2016 filed a lawsuit against the Company and certain of its officers in the United States District Court for the Central District of California, Paradis v. Cardiovascular Systems, Inc., et al., 2:16-cv-01011 (C.D. Cal.). The lawsuit alleges that the Company made materially false and misleading statements and failed to disclose material adverse facts about the Company’s business, operational and financial performance, in violation of federal securities laws, relating to (1) alleged kickbacks to health care providers, (2) alleged off-label promotion of medical devices, and (3) alleged violations of the Food and Drug Administration’s laws and regulations in connection with the Company’s medical devices. On March 4, 2016, a second stockholder filed a similar lawsuit against the Company and certain of its officers in the United States District Court for the District of Minnesota, Shoemaker v. Cardiovascular Systems, Inc. et al., 0:16-cv-00568 (D. Minn.). The plaintiffs seek unspecified monetary damages on behalf of the alleged class, interest, and attorney’s fees and costs of litigation. On April 12, 2016, four motions for appointment as lead plaintiff were filed in the Paradis action and three of the four proposed plaintiffs also filed a motion for appointment as lead plaintiff in the Shoemaker action. On April 26, 2016, the Paradis action was voluntarily dismissed by plaintiffs in favor of the Shoemaker action. That same day, the Shoemaker court entered an order appointing the City of Miami Fire Fighters’ & Police Officers’ Retirement Trust and the County Retirement Systems as Co-Lead Plaintiffs for representing the putative class. The Company believes that this lawsuit is without merit and intends to defend itself vigorously. The Company cannot at this time determine the likelihood of any outcome or the potential impact on the Company. Other Matters In the ordinary conduct of business, the Company is subject to various lawsuits and claims covering a wide range of matters including, but not limited to, employment claims and commercial disputes. While the outcome of these matters is uncertain, the Company does not believe there are any significant matters as of March 31, 2016 that are probable or estimable, for which the outcome could have a material adverse impact on its consolidated balance sheets or statements of operations.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share The following table presents a reconciliation of the numerators and denominators used in the basic and diluted earnings per common share computations (in thousands except share and per share amounts): Three Months Ended Nine Months Ended 2016 2015 2016 2015 Numerator Net loss $ (22,716 ) $ (10,656 ) $ (51,140 ) $ (24,153 ) Denominator Weighted average common shares – basic 32,711,341 31,644,522 32,491,271 31,479,803 Effect of dilutive stock options (a)(b) — — — — Weighted average common shares outstanding – diluted 32,711,341 31,644,522 32,491,271 31,479,803 Net loss per common share — basic and diluted $ (0.69 ) $ (0.34 ) $ (1.57 ) $ (0.77 ) (a) At March 31, 2016 and 2015 , 606,879 and 720,233 stock options, respectively, were outstanding. The effect of the shares that would be issued upon exercise of these options has been excluded from the calculation of diluted loss per share because those shares are anti-dilutive. (b) At March 31, 2016 and 2015 , 305,031 and 337,303 additional shares of common stock, respectively, were issuable upon the settlement of outstanding restricted stock units. The effect of the shares that would be issued upon settlement of these restricted stock units has been excluded from the calculation of diluted loss per share because those shares are anti-dilutive.

Summary of Significant Accoun14

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Mar. 31, 2016
Accounting Policies [Abstract]
Interim Financial Statements	Interim Financial Statements The Company prepared the unaudited interim consolidated financial statements and related unaudited financial information in the footnotes in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. The year-end consolidated balance sheet was derived from the Company’s audited consolidated financial statements, but does not include all disclosures as required by GAAP. These interim consolidated financial statements reflect all adjustments consisting of normal recurring accruals, which, in the opinion of management, are necessary to state fairly the Company’s consolidated financial position, the results of its operations and its cash flows for the interim periods. These interim consolidated financial statements should be read in conjunction with the consolidated annual financial statements and the notes thereto included in the Form 10-K filed by the Company with the SEC on August 27, 2015. The nature of the Company’s business is such that the results of any interim period may not be indicative of the results to be expected for the entire year.
Use of Estimates	Use of Estimates The preparation of the Company’s consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Prior Year Revision	Prior Year Revision During the fourth quarter of fiscal 2015, the Company evaluated the presentation of its accounts payable and accrued expenses line items on the consolidated balance sheet and determined that a reclassification of amounts from accounts payable to accrued expenses would provide a more meaningful presentation. There were no changes to total current liabilities and net cash used in operations as a result of these reclassifications. The Company reclassified $4,917 from accounts payable to accrued expenses as of March 31, 2015. In addition, the Company reclassified the changes in accounts payable and accrued expenses in the operating activities section of the consolidated statement of cash flows by $1,921 for the nine months ended March 31, 2015. The Company has concluded that these reclassifications are not material. During the fourth quarter of fiscal 2015, the Company reclassified a $99 loss on disposal of assets during the three months ended March 31, 2015 from other expense to selling, general and administrative expenses on the consolidated statement of operations. There were no changes to net income. The Company has concluded that this reclassification is not material.
Stock-Based Compensation	Stock-Based Compensation The Company has stock-based compensation plans, which include stock options, nonvested share awards, and an employee stock purchase plan. Fair value of option awards is determined using option-pricing models, fair value of nonvested share awards with market conditions is determined using the Monte Carlo simulation, and fair value of nonvested share awards that vest based upon performance or service conditions is determined by the closing market price of the Company's stock on the date of grant. Stock-based compensation expense is recognized ratably over the requisite service period for the awards expected to vest.
Revenue Recognition	Revenue Recognition The Company sells the majority of its products via direct shipment to hospitals or clinics. The Company recognizes revenue when all of the following criteria are met: persuasive evidence of an arrangement exists; delivery has occurred; the sales price is fixed or determinable; and collectability is reasonably assured. The Company records estimated sales returns, discounts and rebates as a reduction of net sales. Costs related to products delivered are recognized in the period revenue is recognized. Cost of goods sold consists primarily of raw materials, direct labor, and manufacturing overhead.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue From Customers With Contracts.” The guidance requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. The guidance also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Additionally, qualitative and quantitative disclosures are required about customer contracts, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. ASU 2014-09 was initially to be effective for annual periods beginning after December 15, 2016, including interim periods within that reporting period, using one of two prescribed retrospective methods. Early adoption was not to be permitted. In August 2015, the FASB issued ASU 2015-14 to defer the effective date of ASU 2014-09 by one year and allow early adoption for all entities but not before the original public entity effective date. The Company is evaluating the impact of the amended revenue recognition guidance on its financial statements. In August 2014, the FASB issued ASU No. 2014-15, “Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern.” The guidance requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date of issuance of the entity's financial statements. The entity must also provide certain disclosures if there is substantial doubt about the entity's ability to continue as a going concern. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods thereafter. Early adoption is permitted. The Company does not anticipate a material impact on its financial statements upon adoption. In April 2015, the FASB issued ASU No. 2015-05, “Customer's Accounting for Fees Paid in a Cloud Computing Arrangement.” The ASU provides guidance to customers about whether a cloud computing arrangement includes a software license. ASU 2015-05 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2015. Early adoption is permitted and companies can elect to adopt the guidance prospectively to all arrangements entered into or materially modified after the effective date, or retrospectively. The Company does not anticipate a material impact on its financial statements upon adoption. In July 2015, the FASB issued ASU No. 2015-11, “Simplifying the Measurement of Inventory.” The guidance requires an entity to measure inventory within the scope of the ASU at the lower of cost and net realizable value. ASU 2015-11 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2016 and should be applied prospectively. Early adoption is permitted. The Company does not anticipate a material impact on its financial statements upon adoption. In November 2015, the FASB issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes.” The guidance requires that all deferred tax assets and liabilities, along with any related valuation allowance, be classified as noncurrent on the balance sheet. ASU 2015-17 is effective for annual periods, including interim periods within those annual periods, beginning after December 15, 2016 and can be applied either prospectively or retrospectively. Early adoption is permitted. The Company does not anticipate a material impact on its financial statements upon adoption. In February 2016, the FASB issued ASU 2016-02, “Leases.” The guidance requires lessees to recognize the assets and liabilities that arise from leases on the balance sheet. ASU 2016-02 is effective for annual periods beginning after December 15, 2018, including interim periods within those annual periods, and should be applied using a modified retrospective approach. Early adoption is permitted. The Company is currently evaluating the impact of the new lease guidance on its financial statements. In March 2016, the FASB issued ASU 2016-09, “Stock Compensation.” The guidance simplifies several aspects related to the accounting for share-based payment transactions, including the accounting for income taxes, classification on the statement of cash flows, forfeitures, statutory withholding requirements and classification on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted and transition requirements vary based on the amendments adopted. The Company is currently evaluating the impact of the stock compensation guidance on its financial statements.

Selected Consolidated Financi15

Selected Consolidated Financial Statement Information (Tables)	9 Months Ended
	Mar. 31, 2016
Quarterly Financial Information Disclosure [Abstract]
Schedule of Accounts Receivable	Accounts receivable consists of the following: March 31, June 30, 2016 2015 Accounts receivable $ 24,652 $ 32,267 Less: Allowance for doubtful accounts (1,604 ) (1,437 ) Total Accounts receivable $ 23,048 $ 30,830
Schedule of Inventory	Inventories consist of the following: March 31, June 30, 2016 2015 Raw materials $ 7,648 $ 7,292 Work in process 917 1,108 Finished goods 9,661 5,566 Total Inventories $ 18,226 $ 13,966
Schedule of Property and Equipment	Property and equipment consists of the following: March 31, June 30, 2016 2015 Land $ 500 $ 500 Building 22,575 22,468 Equipment 13,072 11,745 Furniture 2,697 2,581 Leasehold improvements 87 110 Construction in progress 2,626 1,218 41,557 38,622 Less: Accumulated depreciation (8,333 ) (5,739 ) Total Property and equipment, net $ 33,224 $ 32,883
Schedule of Accrued Expenses	Accrued expenses consist of the following: March 31, June 30, 2016 2015 Salaries and bonus $ 3,683 $ 3,961 Commissions 7,626 5,387 Vacation 3,368 3,770 Excise, sales and other taxes 3,386 3,217 Clinical studies 1,736 2,446 Legal settlement 3,000 — Restructuring 2,369 — Other accrued expenses 1,481 1,344 Total Accrued expenses $ 26,649 $ 20,125
Schedule of Other Liabilities	Other Liabilities Other liabilities consist of the following: March 31, June 30, 2016 2015 Legal settlement $ 5,000 $ — Deferred compensation 1,902 1,876 Other liabilities 1,349 129 Total Other liabilities $ 8,251 $ 2,005

Deferred Compensation Plan Defe

Deferred Compensation Plan Deferred Compensation Plan (Tables)	9 Months Ended
	Mar. 31, 2016
Compensation and Retirement Disclosure [Abstract]
Schedule of Investments	Investments consisted of the following: As of March 31, 2016 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Mutual funds $ 1,823 $ 85 $ — $ 1,908 Total short-term investments $ 1,823 $ 85 $ — $ 1,908 As of June 30, 2015 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Mutual funds $ 1,786 $ 90 $ — $ 1,876 Total short-term investments $ 1,786 $ 90 $ — $ 1,876
Schedule of Available-for-sale Marketable Securities at Fair Value on Recurring Basis	The following table provides information by level for the Company's available-for-sale marketable securities that were measured at fair value on a recurring basis: Fair Value Measurements as of March 31, 2016 Using Inputs Considered as Fair Value Level 1 Level 2 Level 3 Mutual funds $ 1,908 $ 1,297 $ 611 $ — Total short-term investments $ 1,908 $ 1,297 $ 611 $ — Fair Value Measurements as of June 30, 2015 Using Inputs Considered as Fair Value Level 1 Level 2 Level 3 Mutual funds $ 1,876 $ 1,275 $ 601 $ — Total short-term investments $ 1,876 $ 1,275 $ 601 $ —

Stock Options and Restricted 17

Stock Options and Restricted Stock Awards (Tables)	9 Months Ended
	Mar. 31, 2016
Share-based Arrangements with Employees and Nonemployees [Abstract]
Stock Option Activity	Stock option activity for the nine months ended March 31, 2016 is as follows: Number of Options (a) Weighted Average Exercise Price Options outstanding at June 30, 2015 699,872 $ 10.32 Options exercised (87,817 ) $ 11.46 Options forfeited or expired (5,176 ) $ 12.37 Options outstanding at March 31, 2016 606,879 $ 10.14 (a) Includes the effect of options granted, exercised, forfeited or expired from the 2003 Plan and 2007 Plan, and options granted outside such plans.
Restricted Stock Award Activity	Restricted stock award activity for the nine months ended March 31, 2016 is as follows: Number of Shares Weighted Average Fair Value Restricted stock awards outstanding at June 30, 2015 995,323 $ 21.31 Restricted stock awards granted (1) 813,099 $ 21.06 Restricted stock awards forfeited (250,333 ) $ 25.85 Restricted stock awards vested (529,227 ) $ 23.40 Restricted stock awards outstanding at March 31, 2016 1,028,862 $ 23.24 (1) Includes both time-based and performance-based restricted stock awards.

Commitment and Contingencies (T

Commitment and Contingencies (Tables)	9 Months Ended
	Mar. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Schedule of Future Minimum Lease Payments for Operating Leases	Future minimum lease payments under the agreements as of March 31, 2016 are as follows: Three months ended June 30, 2016 $ 157 Fiscal 2017 589 Fiscal 2018 523 Fiscal 2019 471 Fiscal 2020 353 $ 2,093

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Mar. 31, 2016
Earnings Per Share [Abstract]
Reconciliation of Numerators and Denominators Used in Basic and Diluted Earnings Per Common Share Computations	The following table presents a reconciliation of the numerators and denominators used in the basic and diluted earnings per common share computations (in thousands except share and per share amounts): Three Months Ended Nine Months Ended 2016 2015 2016 2015 Numerator Net loss $ (22,716 ) $ (10,656 ) $ (51,140 ) $ (24,153 ) Denominator Weighted average common shares – basic 32,711,341 31,644,522 32,491,271 31,479,803 Effect of dilutive stock options (a)(b) — — — — Weighted average common shares outstanding – diluted 32,711,341 31,644,522 32,491,271 31,479,803 Net loss per common share — basic and diluted $ (0.69 ) $ (0.34 ) $ (1.57 ) $ (0.77 ) (a) At March 31, 2016 and 2015 , 606,879 and 720,233 stock options, respectively, were outstanding. The effect of the shares that would be issued upon exercise of these options has been excluded from the calculation of diluted loss per share because those shares are anti-dilutive. (b) At March 31, 2016 and 2015 , 305,031 and 337,303 additional shares of common stock, respectively, were issuable upon the settlement of outstanding restricted stock units. The effect of the shares that would be issued upon settlement of these restricted stock units has been excluded from the calculation of diluted loss per share because those shares are anti-dilutive.

Summary of Significant Accoun20

Summary of Significant Accounting Policies (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Mar. 31, 2015USD ($)	Mar. 31, 2015USD ($)
Accounting Policies [Abstract]
Balance sheet reclassification	$ 4,917	$ 4,917
Cash flow reclassification		$ 1,921
Reclassification of loss on disposal of assets	$ 99

Selected Consolidated Financi21

Selected Consolidated Financial Statement Information - Accounts Receivable (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Accounts Receivable
Accounts receivable	$ 24,652	$ 32,267
Less: Allowance for doubtful accounts	(1,604)	(1,437)
Total Accounts receivable	$ 23,048	$ 30,830

Selected Consolidated Financi22

Selected Consolidated Financial Statement Information - Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Inventories
Raw materials	$ 7,648	$ 7,292
Work in process	917	1,108
Finished goods	9,661	5,566
Total Inventories	$ 18,226	$ 13,966

Selected Consolidated Financi23

Selected Consolidated Financial Statement Information - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Property and Equipment
Land	$ 500	$ 500
Building	22,575	22,468
Equipment	13,072	11,745
Furniture	2,697	2,581
Leasehold improvements	87	110
Construction in progress	2,626	1,218
Property and equipment, gross	41,557	38,622
Less: Accumulated depreciation	(8,333)	(5,739)
Total Property and equipment, net	$ 33,224	$ 32,883

Selected Consolidated Financi24

Selected Consolidated Financial Statement Information - Restructuring and CEO Departure (Details) - USD ($) $ in Thousands	3 Months Ended				9 Months Ended
	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2016	Mar. 31, 2015	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restructuring expense			$ 2,376	$ 0	$ 2,376	$ 0
Restructuring accrual			2,369		2,369		$ 0
Chief Healthcare Policy Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Estimated payment on restructuring representing the long-term portion			270		270
Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total expense related to the CEO departure			2,030
Non-cash stock modification expense			190
Package benefits recorded in accrued expenses			911		911
Package benefits recorded in other liabilities			$ 971		$ 971
Restricted Stock | Chief Healthcare Policy Officer | Scenario, Forecast
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares accelerated		7,996
Restricted Stock | Chief Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares accelerated			27,140
Performance Shares | Chief Healthcare Policy Officer | Scenario, Forecast
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares accelerated	30,624
Performance Shares | Chief Executive Officer | Scenario, Forecast
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares accelerated	112,072

Selected Consolidated Financi25

Selected Consolidated Financial Statement Information - Accrued Expenses (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Accrued Expenses
Salaries and bonus	$ 3,683	$ 3,961
Commissions	7,626	5,387
Vacation	3,368	3,770
Excise, sales and other taxes	3,386	3,217
Clinical studies	1,736	2,446
Legal settlement	3,000	0
Restructuring	2,369	0
Other accrued expenses	1,481	1,344
Total Accrued expenses	$ 26,649	$ 20,125

Selected Consolidated Financi26

Selected Consolidated Financial Statement Information - Other Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Other Liabilities
Legal settlement	$ 5,000	$ 0
Deferred compensation	1,902	1,876
Other liabilities	1,349	129
Total Other liabilities	$ 8,251	$ 2,005

Deferred Compensation Plan - In

Deferred Compensation Plan - Investments (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Amortized Cost	$ 1,823	$ 1,786
Unrealized Gains	85	90
Unrealized Losses	0	0
Fair Value	1,908	1,876
Mutual funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Amortized Cost	1,823	1,786
Unrealized Gains	85	90
Unrealized Losses	0	0
Fair Value	$ 1,908	$ 1,876

Deferred Compensation Plan - Av

Deferred Compensation Plan - Available-for-sale Measured at Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Jun. 30, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	$ 1,908	$ 1,876
Mutual funds
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	1,908	1,876
Recurring
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	1,908	1,876
Recurring | Mutual funds
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	1,908	1,876
Recurring | Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	1,297	1,275
Recurring | Level 1 | Mutual funds
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	1,297	1,275
Recurring | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	611	601
Recurring | Level 2 | Mutual funds
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	611	601
Recurring | Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	0	0
Recurring | Level 3 | Mutual funds
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total short-term investments	$ 0	$ 0

Deferred Compensation Plan - Na

Deferred Compensation Plan - Narrative (Details) - USD ($)	9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Jun. 30, 2015
Deferred Compensation Arrangements [Abstract]
Deferred compensation classified as long-term	$ 1,902,000		$ 1,876,000
Deferred compensation classified as short-term	6,000
Purchases of available-for-sale securities	37,000	$ 2,094,000
Sales of available-for-sale securities	0	365,000
Other-than-temporary impairments	0	$ 0
Transfers of assets between Level 1 and Level 2	$ 0
Maximum
Deferred Compensation Arrangements [Abstract]
Deferred compensation plan, maximum percentage of employees' base salary	100.00%

Stock Options and Restricted 30

Stock Options and Restricted Stock Awards - Narrative (Details) - shares	Aug. 10, 2015	Mar. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise period for employee's vested options		90 days
Restricted Stock | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		1 year
Restricted Stock | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period		3 years
Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Aggregate shares based on thresholds measuring total shareholder return	156,509
Aggregate shares based on thresholds measuring annual revenue growth during fiscal 2015	156,520

Stock Options and Restricted 31

Stock Options and Restricted Stock Awards - Stock Option Activity (Details)	9 Months Ended
	Mar. 31, 2016$ / sharesshares
Number of Options
Options outstanding, balance at beginning of period (in shares) | shares	699,872
Options exercised (in shares) | shares	(87,817)
Options forfeited or expired (in shares) | shares	(5,176)
Options outstanding, balance at end of period (in shares) | shares	606,879
Weighted Average Exercise Price
Options outstanding at beginning of period (in usd per share) | $ / shares	$ 10.32
Options exercised (in usd per share) | $ / shares	11.46
Options forfeited or expired (in usd per share) | $ / shares	12.37
Options outstanding at end of period (in usd per share) | $ / shares	$ 10.14

Stock Options and Restricted 32

Stock Options and Restricted Stock Awards - Restricted Stock Award Activity (Details) - Restricted Stock	9 Months Ended
	Mar. 31, 2016$ / sharesshares
Number of Shares
Awards outstanding, balance at beginning of period (in shares) | shares	995,323
Awards granted (in shares) | shares	813,099
Awards forfeited (in shares) | shares	(250,333)
Awards vested (in shares) | shares	(529,227)
Awards outstanding, balance at end of period (in shares) | shares	1,028,862
Weighted Average Fair Value
Awards outstanding, balance at beginning of period (in usd per share) | $ / shares	$ 21.31
Awards granted (in usd per share) | $ / shares	21.06
Awards forfeited (in usd per share) | $ / shares	25.85
Awards vested (in usd per share) | $ / shares	23.40
Awards outstanding, balance at end of period (in usd per share) | $ / shares	$ 23.24

Commitment and Contingencies (D

Commitment and Contingencies (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2016	Mar. 31, 2015	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Rental expense	$ 140	$ 554	$ 781	$ 1,351
Lease expiration date			Mar. 31, 2020
Future Minimum Lease Payments:
Three months ended June 30, 2016	157		$ 157
Fiscal 2,017	589		589
Fiscal 2,018	523		523
Fiscal 2,019	471		471
Fiscal 2,020	353		353
Future minimum lease payments	2,093		2,093
Loss Contingencies [Line Items]
Legal settlement	8,000	$ 0	8,000	$ 0
Estimated settlement in accrued expenses	3,000		3,000		$ 0
Estimated settlement in other liabilities	5,000		5,000		$ 0
Department of Justice
Loss Contingencies [Line Items]
Legal settlement	8,000
Estimated settlement in accrued expenses	3,000		3,000
Estimated settlement in other liabilities	5,000		$ 5,000
Legal fees	$ 505

Earnings Per Share - EPS Reconc

Earnings Per Share - EPS Reconciliation (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2016	Mar. 31, 2015
Numerator
Net loss	$ (22,716)	$ (10,656)	$ (51,140)	$ (24,153)
Denominator
Weighted average common shares – basic	32,711,341	31,644,522	32,491,271	31,479,803
Effect of dilutive stock options (in shares)	0	0	0	0
Weighted average common shares outstanding – diluted	32,711,341	31,644,522	32,491,271	31,479,803
Net loss per common share — basic and diluted (in usd per share)	$ (0.69)	$ (0.34)	$ (1.57)	$ (0.77)

Earnings Per Share - EPS Reco35

Earnings Per Share - EPS Reconciliation (Additional Information) (Details) - shares	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Mar. 31, 2015	Mar. 31, 2016	Mar. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive shares excluded from the calculation (in shares)	0	0	0	0
Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive shares excluded from the calculation (in shares)			606,879	720,233
Restricted Stock Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive shares excluded from the calculation (in shares)			305,031	337,303