Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Sep. 30, 2013 | Oct. 25, 2013 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'ShoreTel Inc | ' |
Entity Central Index Key | '0001388133 | ' |
Current Fiscal Year End Date | '--06-30 | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 60,366,531 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-13 | ' |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $49,855 | $43,775 |
Short-term investments | 6,118 | 7,501 |
Accounts receivable, net of allowances of $643 as of September 30, 2013 and $639 as of June 30, 2013 | 31,003 | 37,118 |
Inventories | 17,634 | 18,891 |
Indemnification asset | 6,600 | 6,277 |
Prepaid expenses and other current assets | 6,506 | 6,417 |
Total current assets | 117,716 | 119,979 |
Property and equipment - net | 15,623 | 15,625 |
Goodwill | 122,750 | 122,750 |
Intangible assets - net | 35,646 | 38,138 |
Other assets | 3,313 | 3,295 |
Total assets | 295,048 | 299,787 |
Current liabilities: | ' | ' |
Accounts payable | 13,823 | 9,790 |
Accrued liabilities and other | 15,703 | 17,766 |
Accrued employee compensation | 11,984 | 13,159 |
Accrued taxes and surcharges | 10,623 | 11,312 |
Purchase consideration | 3,630 | 3,577 |
Deferred revenue | 40,835 | 39,692 |
Total current liabilities | 96,598 | 95,296 |
Line of credit, net of debt issuance costs | 18,026 | 29,004 |
Long-term deferred revenue | 16,540 | 15,294 |
Other long-term liabilities | 3,783 | 4,053 |
Total liabilities | 134,947 | 143,647 |
Commitments and contingencies (Note 12) | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock, par value $.001 per share, authorized 5,000 shares; no shares issued and outstanding | 0 | 0 |
Common stock and additional paid-in capital, par value $.001 per share, authorized 500,000; issued and outstanding, 60,297 and 59,168 shares as of September 30, 2013 and June 30, 2013, respectively | 327,249 | 322,260 |
Accumulated other comprehensive income (loss) | 5 | -2 |
Accumulated deficit | -167,153 | -166,118 |
Total stockholders' equity | 160,101 | 156,140 |
Total liabilities and stockholders' equity | $295,048 | $299,787 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Current assets: | ' | ' |
Accounts receivable, allowances | $643 | $639 |
Stockholders' equity: | ' | ' |
Preferred stock, par value (in dollars per share) | $0.00 | $0.00 |
Preferred stock, authorized (in shares) | 5,000 | 5,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $0.00 | $0.00 |
Common stock, authorized (in shares) | 500,000 | 500,000 |
Common stock, issued (in shares) | 60,297 | 59,168 |
Common stock, outstanding (in shares) | 60,297 | 59,168 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (USD $) | 3 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | ||
Revenue: | ' | ' | ||
Product | $47,682 | $45,834 | ||
Hosted and related services | 20,739 | 15,662 | ||
Support and services | 15,866 | 13,488 | ||
Total revenue | 84,287 | 74,984 | ||
Cost of revenue: | ' | ' | ||
Product | 16,296 | [1] | 15,787 | [1] |
Hosted and related services | 12,533 | [1] | 9,142 | [1] |
Support and services | 4,282 | [1] | 4,189 | [1] |
Total cost of revenue | 33,111 | 29,118 | ||
Gross profit | 51,176 | 45,866 | ||
Operating expenses: | ' | ' | ||
Research and development | 13,280 | [1] | 13,953 | [1] |
Sales and marketing | 27,666 | [1] | 30,756 | [1] |
General and administrative | 10,629 | [1] | 8,595 | [1] |
Total operating expenses | 51,575 | 53,304 | ||
Loss from operations | -399 | -7,438 | ||
Other income (expense): | ' | ' | ||
Interest income | 28 | 41 | ||
Interest expense | -287 | -413 | ||
Other income (expense), net | -168 | -30 | ||
Total other expense | -427 | -402 | ||
Loss before provision for income tax | -826 | -7,840 | ||
Provision for income tax | 209 | 197 | ||
Net loss | ($1,035) | ($8,037) | ||
Net loss per share - basic and diluted (in dollars per share) | ($0.02) | ($0.14) | ||
Shares used in computing net loss per share - basic and diluted (in shares) | 59,543 | [2] | 58,186 | [2] |
[1] | Includes stock-based compensation expense as follows: Cost of product revenue $ 29 $ 50 Cost of hosted and related services revenue 49 38 Cost of support and services revenue 247 207 Research and development 564 1,059 Sales and marketing 544 862 General and administrative 681 1,137 Total stock-based compensation expense $ 2,114 $ 3,353 | |||
[2] | Potentially dilutive securities were not included in the computation of diluted net loss per share for the periods which had a net loss because to do so would have been anti-dilutive. |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | $2,114 | $3,353 |
Cost of product revenue [Member] | ' | ' |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | 29 | 50 |
Cost of hosted and related service revenue [Member] | ' | ' |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | 49 | 38 |
Cost of support and services revenue [Member] | ' | ' |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | 247 | 207 |
Research and development [Member] | ' | ' |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | 564 | 1,059 |
Sales and marketing [Member] | ' | ' |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | 544 | 862 |
General and administrative [Member] | ' | ' |
Stock-based compensation expense: | ' | ' |
Total stock-based compensation expense | $681 | $1,137 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) [Abstract] | ' | ' |
Net loss | ($1,035) | ($8,037) |
Other comprehensive income, net of tax: | ' | ' |
Unrealized gains on short-term investments | 7 | 7 |
Other comprehensive income | 7 | 7 |
Comprehensive loss | ($1,028) | ($8,030) |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net loss | ($1,035) | ($8,037) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ' | ' |
Depreciation and amortization | 4,345 | 3,677 |
Stock-based compensation expense | 2,114 | 3,353 |
Amortization of premium on investments | 40 | 51 |
Loss on disposal of property and equipment | 278 | 0 |
Provision for doubtful accounts receivable | 75 | 0 |
Change in fair value of purchase consideration | 53 | 188 |
Changes in assets and liabilities, net of effect of acquisition: | ' | ' |
Accounts receivable | 6,040 | 3,896 |
Inventories | 1,141 | 1,140 |
Indemnification asset | -323 | 0 |
Prepaid expenses and other current assets | -89 | -741 |
Other assets | -18 | 361 |
Accounts payable | 3,201 | -419 |
Accrued liabilities and other | -2,109 | -866 |
Accrued employee compensation | -1,175 | -499 |
Accrued taxes and surcharges | -689 | 318 |
Deferred revenue | 2,389 | 694 |
Net cash provided by operating activities | 14,238 | 3,116 |
CASH FLOWS FROM INVESTING ACTIVITES: | ' | ' |
Purchases of property and equipment | -1,036 | -1,774 |
Purchases of investments | 0 | -3,552 |
Proceeds from sale/maturities of investments | 1,350 | 7,950 |
Purchases of patents, technology and other intangible assets | 0 | -750 |
Net cash provided by investing activities | 314 | 1,874 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Proceeds from issuance of common stock | 3,315 | 27 |
Taxes paid on vested and released stock awards | -440 | -618 |
Payments made under line of credit | -11,000 | 0 |
Payments made for capital leases | -347 | -304 |
Net cash used in financing activities | -8,472 | -895 |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 6,080 | 4,095 |
CASH AND CASH EQUIVALENTS - Beginning of period | 43,775 | 37,120 |
CASH AND CASH EQUIVALENTS - End of period | 49,855 | 41,215 |
SUPPLEMENTAL CASH FLOW DISCLOSURE: | ' | ' |
Cash paid for interest | 215 | 220 |
Cash paid for taxes | 63 | 60 |
NONCASH INVESTING AND FINANCING ACTIVITIES: | ' | ' |
Property, plant and equipment acquired on capital lease | 123 | 41 |
Unpaid portion of property and equipment purchases included in period-end accruals | $888 | $893 |
Description_of_Business
Description of Business | 3 Months Ended |
Sep. 30, 2013 | |
Description of Business [Abstract] | ' |
Description of Business | ' |
1. Description of Business | |
ShoreTel, Inc. and its subsidiaries (referred herein as “the Company”) are a leading provider of pure Internet Protocol, or IP, Unified Communications (“UC”) systems for enterprises while offering both premise-based and hosted business solutions. The Company’s premise systems are based on its distributed software architecture and switch-based hardware platforms which enable multi-site enterprises to be served by a single telecommunications system. The Company’s premise systems enable a single point of management, easy installation and a high degree of scalability and reliability, and provide end users with a consistent, full suite of features across the enterprise, regardless of location. The Company also offers a hosted solution based on the Company’s proprietary UC platform. The hosted solution offers a secure and managed business communications solution to enterprises with minimal capital investment required. The Company’s hosted architecture offers a wide variety of applications and services which provide a full user experience along with the capability to scale based on a customer’s evolving needs. |
Basis_of_Presentation_and_Sign
Basis of Presentation and Significant Accounting Policies | 3 Months Ended |
Sep. 30, 2013 | |
Basis of Presentation and Significant Accounting Policies [Abstract] | ' |
Basis of Presentation and Significant Accounting Policies | ' |
2. Basis of Presentation and Significant Accounting Policies | |
The accompanying condensed consolidated financial statements as of September 30, 2013, and for the three months ended September 30, 2013 and 2012 have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations. However, the Company believes that the disclosures are adequate to make the information presented not misleading. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto, included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013. In the opinion of management, all adjustments (primarily consisting of normal recurring adjustments) considered necessary for a fair statement have been included. | |
The condensed consolidated balance sheet at June 30, 2013 has been derived from the audited consolidated financial statements as of that date but does not include all of the information and footnotes included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2013. The results of operations for the three months ended September 30, 2013 are not necessarily indicative of the operating results to be expected for the full fiscal year or any future periods. | |
Reclassifications | |
In connection with the acquisition of M5 Networks, Inc. (“M5”) in March 2012, the consolidated statement of cash flow for the three months ended September 30, 2012 has been recast to include retrospective purchase accounting adjustments. These adjustments were retrospectively applied to the March 23, 2012 acquisition date balance sheet. These adjustments pertain to measurement period adjustments during the nine months ended March 31, 2013, which coincides with the one year anniversary date of the acquisition, based on the valuation of assets acquired and liabilities assumed in the M5 acquisition. The effect on the consolidated statement of cash flow for the three months ended September 30, 2012, as a result of the recast, is a change to the addition of the deferred tax valuation allowance of $0.1 million, a decrease in the other assets of $1.0 million, a decrease in accrued and other liabilities of $1.2 million and an increase in accrued taxes and surcharges of $0.3 million. | |
Computation of Net Loss per Share | |
Basic net loss per share is determined by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted net loss per share is determined by dividing net loss by the weighted average number of common shares used in the basic loss per share calculation plus the number of common shares that would be issued assuming conversion of all potentially dilutive securities outstanding under the treasury stock method. Dilutive securities of 10.8 million and 11.8 million shares were not included in the computation of diluted net loss per share for the three months ended September 30, 2013 and 2012, respectively, because such securities were anti-dilutive. | |
Concentration of Credit Risk | |
Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash, cash equivalents, short-term investments and accounts receivable. As of September 30, 2013, all of the Company’s cash, cash equivalents and short-term investments were managed by multiple financial institutions. Accounts receivable are typically unsecured and are derived from revenue earned from customers. The Company performs ongoing credit evaluations of its customers and maintains allowances for potential credit losses. Accounts receivable from one value-added distributor accounted for 31% of total accounts receivable at September 30, 2013. At June 30, 2013 one value-added distributor accounted for 27% of the total accounts receivable. | |
Revenue Recognition | |
The Company’s revenue recognition policy from products and services of its premise and hosted segments is included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013. | |
Recent Accounting Pronouncements | |
In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (ASU) No. 2011-11, Balance Sheet (Topic 210) - Disclosures about Offsetting Assets and Liabilities (ASU 2011-11), that requires an entity to disclose additional information about offsetting and related arrangements to enable users of the financial statements to understand the effect of those arrangements on the financial position. ASU 2011-11 was adopted by the Company beginning July 1, 2013. The adoption of ASU 2011-11 did not impact disclosures or the Company’s consolidated financial statements. | |
In June 2011, the FASB issued ASU No. 2011-5, Comprehensive Income (Topic 220) - Presentation of Comprehensive Income, which requires companies to present the total of comprehensive income (loss), the components of net income (loss), and the components of other comprehensive income (loss) either as a single continuous statement of comprehensive income (loss) or in two separate but consecutive statements. This update eliminates the option to present the components of other comprehensive income (loss) as part of the statement of changes in stockholders’ equity. In December 2011, the FASB deferred the effective date of the specific requirement to present items that are reclassified out of accumulated other comprehensive income (loss) to net income (loss) alongside their respective components of net income (loss) and other comprehensive income (loss). The deferred provision was adopted in the three months ended September 30, 2013 and did not have an impact on the Company’s consolidated financial statements. | |
In July 2012, the FASB issued ASU No. 2012-2, Intangibles - Goodwill and Other (Topic 350) - Testing Goodwill for Impairment (ASU 2012-2), an accounting standard update intended to simplify how an entity tests indefinite-lived intangible assets other than goodwill for impairment by providing entities with an option to perform a qualitative assessment to determine whether further impairment testing is necessary. This accounting standard update was adopted in the three months ended September 30, 2013 and did not have an impact on the Company's consolidated financial statements. |
Balance_Sheet_Details
Balance Sheet Details | 3 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||
Balance Sheet Details [Abstract] | ' | ||||||||||||||||||||||||
Balance Sheet Details | ' | ||||||||||||||||||||||||
3. Balance Sheet Details | |||||||||||||||||||||||||
Balance Sheet Components Consist of the Following: | |||||||||||||||||||||||||
September 30, | June 30, | ||||||||||||||||||||||||
2013 | 2013 | ||||||||||||||||||||||||
(Amounts in thousands) | |||||||||||||||||||||||||
Inventories: | |||||||||||||||||||||||||
Raw materials | $ | 128 | $ | 128 | |||||||||||||||||||||
Distributor inventory | 1,450 | 1,687 | |||||||||||||||||||||||
Finished goods | 16,056 | 17,076 | |||||||||||||||||||||||
Total inventories | $ | 17,634 | $ | 18,891 | |||||||||||||||||||||
Property and equipment: | |||||||||||||||||||||||||
Computer equipment and tooling | $ | 25,027 | $ | 23,172 | |||||||||||||||||||||
Software | 3,108 | 3,080 | |||||||||||||||||||||||
Furniture and fixtures | 3,207 | 3,072 | |||||||||||||||||||||||
Leasehold improvements & others | 6,029 | 6,330 | |||||||||||||||||||||||
Total property and equipment | 37,371 | 35,654 | |||||||||||||||||||||||
Less accumulated depreciation and amortization | (21,748 | ) | (20,029 | ) | |||||||||||||||||||||
Property and equipment – net | $ | 15,623 | $ | 15,625 | |||||||||||||||||||||
Deferred revenue: | |||||||||||||||||||||||||
Product | $ | 4,074 | $ | 4,893 | |||||||||||||||||||||
Support and services | 49,867 | 47,074 | |||||||||||||||||||||||
Hosted and related services | 3,434 | 3,019 | |||||||||||||||||||||||
Total deferred revenue | $ | 57,375 | $ | 54,986 | |||||||||||||||||||||
Intangible Assets: | |||||||||||||||||||||||||
The following is a summary of the Company’s intangible assets as of the following dates (in thousands): | |||||||||||||||||||||||||
30-Sep-13 | 30-Jun-13 | ||||||||||||||||||||||||
Gross | Accumulated | NetCarrying | Gross | Accumulated | NetCarrying | ||||||||||||||||||||
Carrying | Amortization | Amount | Carrying | Amortization | Amount | ||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||
Patents | $ | 3,810 | $ | (2,643 | ) | $ | 1,167 | $ | 3,810 | $ | (2,446 | ) | $ | 1,364 | |||||||||||
Technology | 24,944 | (10,238 | ) | 14,706 | 22,948 | (8,832 | ) | 14,116 | |||||||||||||||||
Customer relationships | 23,300 | (5,299 | ) | 18,001 | 23,300 | (4,448 | ) | 18,852 | |||||||||||||||||
Non-compete agreements | 300 | (228 | ) | 72 | 300 | (191 | ) | 109 | |||||||||||||||||
Intangible assets in process and other | 1,700 | - | 1,700 | 3,697 | - | 3,697 | |||||||||||||||||||
Intangible assets | $ | 54,054 | $ | (18,408 | ) | $ | 35,646 | $ | 54,055 | $ | (15,917 | ) | $ | 38,138 | |||||||||||
The intangible assets that are amortizable have estimated useful lives of two to eight years. | |||||||||||||||||||||||||
Research and development costs are expensed as incurred. In accordance with ASC 985-20, Costs of Computer Software to be Sold, Leased, or Marketed, development costs of computer software to be sold, leased, or otherwise marketed are subject to capitalization beginning when a product’s technological feasibility has been established and ending when a product is available for general release to customers. Such costs are amortized using the straight-line method over the estimated economic life of the product. The Company evaluates the realizability of the assets and the related periods of amortization on a regular basis. Judgment is required in determining when technological feasibility of a product is established as well as its economic life. In most instances, the Company’s products are released soon after technological feasibility has been established; therefore, costs incurred subsequent to achievement of technological feasibility are usually not significant. | |||||||||||||||||||||||||
During the three months ended September 30, 2012, the Company capitalized $0.5 million of software development costs related to new products. The software became available for general release to customers during the three months ended September 30, 2013; therefore, a total of $2.0 million in software development costs were transferred from intangible assets in process and other to technology in the table above and amortization expense is being recognized related to these capitalized software costs. The Company did not capitalize any software development costs for the three months ended September 30, 2013. | |||||||||||||||||||||||||
Amortization of intangible assets for the three months ended September 30, 2013 and 2012 was $2.5 million and $2.4 million, respectively. | |||||||||||||||||||||||||
The estimated amortization expenses for intangible assets as of September 30, 2013 for the next five years and thereafter are as follows (in thousands): | |||||||||||||||||||||||||
Years Ending June 30, | |||||||||||||||||||||||||
2014 (remaining nine months) | $ | 7,093 | |||||||||||||||||||||||
2015 | 7,745 | ||||||||||||||||||||||||
2016 | 7,064 | ||||||||||||||||||||||||
2017 | 5,574 | ||||||||||||||||||||||||
2018 | 3,579 | ||||||||||||||||||||||||
Thereafter | 2,891 | ||||||||||||||||||||||||
Total | $ | 33,946 | |||||||||||||||||||||||
Short-Term Investments: | |||||||||||||||||||||||||
The following tables summarize the Company’s short-term investments (in thousands): | |||||||||||||||||||||||||
Amortized | Gross Unrealized | Gross Unrealized | |||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | ||||||||||||||||||||||
As of September 30, 2013 | |||||||||||||||||||||||||
Corporate notes and commercial paper | $ | 5,524 | $ | 5 | $ | - | $ | 5,529 | |||||||||||||||||
U.S. Government agency securities | 589 | - | - | 589 | |||||||||||||||||||||
Total short-term investments | $ | 6,113 | $ | 5 | $ | - | $ | 6,118 | |||||||||||||||||
As of June 30, 2013 | |||||||||||||||||||||||||
Corporate notes and commercial paper | $ | 6,107 | $ | 1 | $ | (3 | ) | $ | 6,105 | ||||||||||||||||
U.S. Government agency securities | 1,396 | - | - | 1,396 | |||||||||||||||||||||
Total short-term investments | $ | 7,503 | $ | 1 | $ | (3 | ) | $ | 7,501 | ||||||||||||||||
The following table summarizes the maturities of the Company’s fixed income securities (in thousands): | |||||||||||||||||||||||||
Amortized | |||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
As of September 30, 2013 | |||||||||||||||||||||||||
Less than 1 year | $ | 5,609 | $ | 5,613 | |||||||||||||||||||||
Due in 1 to 3 years | 504 | 505 | |||||||||||||||||||||||
Total | $ | 6,113 | $ | 6,118 | |||||||||||||||||||||
Amortized | |||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
As of June 30, 2013 | |||||||||||||||||||||||||
Less than 1 year | $ | 4,912 | $ | 4,912 | |||||||||||||||||||||
Due in 1 to 3 years | 2,591 | 2,589 | |||||||||||||||||||||||
Total | $ | 7,503 | $ | 7,501 | |||||||||||||||||||||
Actual maturities may differ from the contractual maturities because borrowers may have the right to call or prepay certain obligations. |
Fair_Value_Disclosure
Fair Value Disclosure | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Fair Value Disclosure [Abstract] | ' | ||||||||||||||||
Fair Value Disclosure | ' | ||||||||||||||||
4. Fair Value Disclosure | |||||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal market (or most advantageous market, in the absence of a principal market) for the asset or liability in an orderly transaction between market participants at the measurement date. Further, entities are required to maximize the use of observable inputs and minimize the use of unobservable inputs in measuring fair value, and to utilize a three-level fair value hierarchy that prioritizes the inputs used to measure fair value. The three levels of inputs used to measure fair value are as follows: | |||||||||||||||||
• | Level 1 — Quoted prices in active markets for identical assets or liabilities. | ||||||||||||||||
• | Level 2 — Observable inputs other than quoted prices included within Level 1, including quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; and inputs other than quoted prices that are observable or are derived principally from, or corroborated by, observable market data by correlation or other means. | ||||||||||||||||
• | Level 3 — Unobservable inputs that are supported by little or no market activity, are significant to the fair value of the assets or liabilities, and reflect the Company’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. | ||||||||||||||||
The tables below set forth the Company’s financial instruments and liabilities measured at fair value on a recurring basis (in thousands): | |||||||||||||||||
30-Sep-13 | |||||||||||||||||
Fair Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds | $ | 7,679 | $ | 7,679 | $ | - | $ | - | |||||||||
Short-term investments: | |||||||||||||||||
Corporate notes and commercial paper | 5,529 | - | 5,529 | - | |||||||||||||
U.S. Government agency securities | 589 | - | 589 | - | |||||||||||||
Total assets measured and recorded at fair value | $ | 13,797 | $ | 7,679 | $ | 6,118 | $ | - | |||||||||
Liabilities: | |||||||||||||||||
Acquisition-related consideration | $ | 3,630 | $ | - | $ | 3,630 | $ | - | |||||||||
The above table excludes $42.2 million of cash balances on deposit at banks. | |||||||||||||||||
June 30,2013 | |||||||||||||||||
Fair Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds | $ | 6,280 | $ | 6,280 | $ | - | $ | - | |||||||||
Short-term investments: | |||||||||||||||||
Corporate notes and commercial paper | 6,105 | - | 6,105 | - | |||||||||||||
U.S. Government agency securities | 1,396 | - | 1,396 | - | |||||||||||||
Total assets measured and recorded at fair value | $ | 13,781 | $ | 6,280 | $ | 7,501 | $ | - | |||||||||
Liabilities: | |||||||||||||||||
Acquisition-related consideration | $ | 3,577 | $ | - | $ | 3,577 | $ | - | |||||||||
The above table excludes $37.5 million of cash balances on deposit at banks. | |||||||||||||||||
The foreign exchange forward contracts outstanding as of September 30, 2013 are entered into by the Company on the last business day of the period. Given the relatively short duration such contracts are outstanding in relation to changes in potential market rates, the change in the fair value is not material and is not reflected either as an asset or a liability. | |||||||||||||||||
Money market funds are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices in active markets. Short-term investments are classified within Level 2 of the fair value hierarchy because they are valued based on other observable inputs, including broker or dealer quotations, or alternative pricing sources. When quoted prices in active markets for identical assets or liabilities are not available, the Company relies on non-binding quotes from independent pricing services. Non-binding quotes are based on proprietary valuation models prepared by independent pricing services. These models use algorithms based on inputs such as observable market data, quoted market prices for similar instruments, historical pricing trends of a security as relative to its peers, internal assumptions of the independent pricing service and statistically supported models. The Company corroborates the reasonableness of non-binding quotes received from the independent pricing service by comparing them to the (a) actual experience gained from the purchases and redemption of investment securities, (b) quotes received on similar securities obtained when purchasing securities and (c) monitoring changes in ratings of similar securities and the related impact on the fair value. The types of instruments valued based on other observable inputs include corporate notes and commercial paper and U.S. Government agency securities. The Company reviewed financial and non-financial assets and liabilities and concluded that there were no material impairment charges during the three months ended September 30, 2013 and 2012, respectively. The Company reviews the fair value hierarchy on a quarterly basis. Changes in the ability to observe valuation inputs may result in a reclassification of levels of certain securities within the fair value hierarchy. The Company recognizes transfers into and out of levels within the fair value hierarchy as of the date in which the actual event or change in circumstances that caused the transfer occurs. There were no transfers between Level 1 and Level 2 of the fair value hierarchy. | |||||||||||||||||
The Company measures the fair value of outstanding debts for disclosure purposes on a recurring basis. As of September 30, 2013 and June 30, 2013, long-term debt of $18.0 million and $29.0 million, respectively, is reported at amortized cost. This outstanding debt is classified at Level 2 as it is not actively traded and is valued using a discounted cash flow model that uses observable market inputs. Based on the discounted cash flow model, the fair value of the outstanding debt approximates amortized cost. | |||||||||||||||||
The purchase consideration for the Company’s acquisition of M5 included a contingent portion ranging from zero to $13.7 million and was subject to the achievement of certain revenue targets. These revenue targets were met in full on December 31, 2012, and as such, $10.0 million was paid in March 2013 and the full remaining $3.7 million will be paid in January 2014. Additionally, due to the achievement of these revenue targets, the fair value of the remaining $3.7 million was determined as of September 30, 2013 by taking the present value of these future cash payments using a present value discount rate of 6.0%. The purchase consideration is classified within Level 2 of the fair value hierarchy since it is based on observable inputs. | |||||||||||||||||
The change in the fair value of the Company’s purchase consideration liability is as follows (in thousands): | |||||||||||||||||
Fair Value | |||||||||||||||||
As of June 30, 2013 | $ | 3,577 | |||||||||||||||
Add: Change in fair value of purchase consideration | 53 | ||||||||||||||||
As of September 30, 2013 | $ | 3,630 | |||||||||||||||
Assets and Liabilities That Are Measured at Fair Value on a Nonrecurring Basis | |||||||||||||||||
Non-financial assets such as goodwill, intangible assets, and property, plant, and equipment are evaluated for impairment and adjusted to fair value using Level 3 inputs, only when an impairment is recognized. Fair values are considered Level 3 when management makes significant assumptions in developing a discounted cash flow model based upon a number of considerations including projections of revenues, earnings and a discount rate. In addition, in evaluating the fair value of goodwill impairment, further corroboration is obtained using the Company’s market capitalization. There were no indicators of impairment in the three months ended September 30, 2013 that required a nonrecurring fair value analysis to be performed on non-financial assets. |
Line_of_credit
Line of credit | 3 Months Ended |
Sep. 30, 2013 | |
Line of credit [Abstract] | ' |
Line of credit | ' |
5. Line of credit | |
On March 15, 2012, the Company entered into a secured credit agreement (the “Credit Facility”). The Credit Facility was amended on December 4, 2012. The Credit Facility includes a revolving loan facility for an aggregate principal amount not exceeding $50.0 million. The Credit Facility matures on the fifth anniversary of its closing (March 15, 2017) and is payable in full upon maturity. The amounts borrowed and repaid under the Credit Facility are available for future borrowings. The borrowings under the Credit Facility accrue interest either (at the election of the Company) at (i) the London interbank offered rate then in effect, plus a margin of between 2.00% and 2.50%, which is based on the Company’s consolidated EBITDA (as defined in the Credit Facility), or (ii) the higher of (a) the bank’s publicly-announced prime rate then in effect and (b) the federal funds rate plus 0.50%, in each case of (a) or (b), plus a margin of between 0.00% and 0.50%, which will be based upon the Company’s consolidated EBITDA. The Company also pays annual commitment fees during the term of the Credit Facility which varies depending on the Company’s consolidated EBITDA. The Credit Facility is secured by substantially all of the Company’s assets. The amounts borrowed are recorded as long-term debt, net of the financing costs, in the Company’s consolidated financial statements. As of September 30, 2013, the Company had an additional $31.7 million available for borrowing under the Credit Facility. | |
The Credit Facility contains customary affirmative and negative covenants, including compliance with financial ratios and metrics. The Credit Facility and the related amendment requires the Company to maintain a minimum ratio of liquidity to its indebtedness (each as defined in the Credit Facility) and varying amounts of Liquidity and Consolidated EBITDA specified in the Credit Facility throughout the term of the agreement. The Company was in compliance with all such covenants as of September 30, 2013. | |
For the three months ended September 30, 2013, the Company paid interest at an approximate rate of 2.4% per annum. As of September 30, 2013, the Company had $18.3 million outstanding under the Credit Facility. The Company amortizes deferred financing costs to interest expense on a straight-line basis over the term of the debt. |
Income_Taxes
Income Taxes | 3 Months Ended |
Sep. 30, 2013 | |
Income Taxes [Abstract] | ' |
Income Taxes | ' |
6. Income Taxes | |
The Company recorded an income tax provision of $0.2 million for both the three months ended September 30, 2013 and 2012. | |
The tax provision of $0.2 million determined for the three months ended September 30, 2013 is primarily the result of income tax provisions for federal alternative minimum tax, tax provisions for profitable foreign jurisdictions based upon income earned during this period and tax provisions for certain states that are determined on a basis other than income earned. No income tax benefit was accrued for jurisdictions where the Company anticipates incurring a loss during the full fiscal year as the related deferred tax assets were fully offset by a valuation allowance. | |
The tax provision determined for the three months ended September 30, 2012 is primarily the result of income tax provisions for profitable jurisdictions based upon income earned during this period, tax provisions for certain states that are determined on a basis other than income earned and an increase in the valuation allowance recorded against deferred tax assets established upon the acquisition of M5 Networks. | |
The Company maintains liabilities for uncertain tax positions. As of September 30, 2013 and June 30, 2013, the Company’s total amounts of unrecognized tax benefits were $4.1 million and $4.1 million, respectively. Of the total of $4.1 million of unrecognized tax benefit as of September 30, 2013, only $0.1 million, if recognized, would impact the effective tax rate. The Company does not expect its unrecognized tax benefits to change materially over the next 12 months. | |
The “American Taxpayer Relief Act of 2012” (the “2012 Tax Act”) was enacted in January 2013. The 2012 Tax Act extended certain tax provisions that had previously expired under the “Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010”. The 2012 Tax Act extended the Research and Development credit for qualifying activities through December 31, 2013 and also extended the 50% bonus depreciation provisions on property acquired through December 31, 2013. | |
While management believes that the Company has adequately provided for all tax positions, amounts asserted by tax authorities could be greater or less than the Company’s current position. Accordingly, the Company’s provisions for federal, state and foreign tax related matters to be recorded in the future may change as revised estimates are made or as the underlying matters are settled or otherwise resolved. | |
The Company’s primary tax jurisdiction is in the United States. For federal and state tax purposes, the tax years 2001 through 2013 remain open and subject to tax examination by the appropriate federal or state taxing authorities. |
Common_Stock
Common Stock | 3 Months Ended | ||||
Sep. 30, 2013 | |||||
Common Stock [Abstract] | ' | ||||
Common Stock | ' | ||||
7. Common Stock | |||||
Common Shares Reserved for Issuance | |||||
At September 30, 2013, the Company has reserved shares of common stock for issuance as follows (in thousands): | |||||
Reserved under stock option plans | 16,676 | ||||
Reserved under employee stock purchase plan | 510 | ||||
Total | 17,186 |
StockBased_Compensation
Stock-Based Compensation | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Stock-Based Compensation [Abstract] | ' | ||||||||
Stock-Based Compensation | ' | ||||||||
8. Stock-Based Compensation | |||||||||
The Company estimated the grant date fair value of stock option awards and Employee Stock Purchase Plan (ESPP) rights using the Black-Scholes option valuation model with the following assumptions: | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
Expected life from grant date of option (in years) | 5.44 | 5.32 | |||||||
Expected life from grant date of ESPP (in years) | 0.5 | 0.5 | |||||||
Risk free interest rate for options | 1.51 | % | 0.67 - 1.68 | % | |||||
Risk free interest rate for ESPP | 0.07 | % | 0.15 | % | |||||
Expected volatility for options | 66 | % | 69 - 73 | % | |||||
Expected volatility for ESPP | 42 | % | 57 | % | |||||
Expected dividend yield | 0 | % | 0 | % | |||||
During the three months ended September 30, 2013 and 2012, the Company recorded non-cash stock-based compensation expense of $2.1 million and $3.4 million, respectively. | |||||||||
Compensation expense is recognized only for the portion of stock options that are expected to vest, assuming an expected forfeiture rate in determining stock-based compensation expense, which could affect the stock-based compensation expense recorded if there is a significant difference between actual and estimated forfeiture rates. As of September 30, 2013, total unrecognized compensation cost related to stock-based options and awards granted to employees and non-employee directors was $10.4 million. This cost will be amortized on a ratable basis over a weighted-average vesting period of approximately 2.9 years. |
Stock_Option_Plan
Stock Option Plan | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Stock Option Plan [Abstract] | ' | ||||||||||||||||
Stock Option Plan | ' | ||||||||||||||||
9. Stock Option Plan | |||||||||||||||||
In January 1997, the Board of Directors and stockholders adopted the 1997 stock option plan (the “1997 Plan”) which, as amended, provided for granting incentive stock options (“ISOs”) and nonqualified stock options (“NSOs”) for shares of common stock to employees, directors, and consultants of the Company. This plan was terminated in January 2007 for new issuances. | |||||||||||||||||
In February 2007, the Company adopted the 2007 Equity Incentive Plan (the “2007 Plan”) which, as amended, provides for grants of ISOs, NSOs, restricted stock units (“RSUs”) and restricted stock awards (“RSAs”) to employees, directors and consultants of the Company. Options granted generally vest ratably over four years from the date of grant. The 2007 Plan provides that the options shall be exercisable over a period not to exceed ten years. Five million shares of common stock were initially reserved for future issuance in the form of stock options, restricted stock awards or units, stock appreciation rights and stock bonuses. Pursuant to the provisions under the 2007 Plan, each year, the number of shares in the reserve shall be increased by the provisions set forth in the 2007 Plan, subject to approval by the Company’s Board of Directors. The Company’s Board of Directors increased the number of shares authorized and reserved for issuance under the 2007 Plan during the years ended June 30, 2013 and 2012, by 2.9 million shares and 2.4 million shares, respectively. | |||||||||||||||||
Transactions under the 1997 and 2007 option plans are summarized as follows (in thousands, except per share data and contractual term): | |||||||||||||||||
Options Outstanding | |||||||||||||||||
Shares | Weighted- | Weighted- | Aggregate | ||||||||||||||
Subject to | Average | Average | Intrinsic | ||||||||||||||
Options | Exercise | Remaining | Value | ||||||||||||||
Outstanding | Price | Contractual | |||||||||||||||
Term | |||||||||||||||||
(in years) | |||||||||||||||||
Balance at July 1, 2013 | 8,898 | $ | 5.45 | ||||||||||||||
Options granted (weighted average fair value $2.67 per share) | 1,476 | 4.63 | |||||||||||||||
Options exercised | (947 | ) | 3.57 | ||||||||||||||
Options cancelled/forfeited | (257 | ) | 6.07 | ||||||||||||||
Balance at September 30, 2013 | 9,170 | $ | 5.49 | 6.61 | $ | 10,557 | |||||||||||
Vested and expected to vest at September 30, 2013 | 7,939 | $ | 5.58 | 6.05 | $ | 8,853 | |||||||||||
Options exercisable at September 30, 2013 | 5,216 | $ | 5.73 | 4.82 | $ | 5,528 | |||||||||||
The total pre-tax intrinsic value for options exercised in the three months ended September 30, 2013 and 2012 was $1.7 million and $36,000, respectively, representing the difference between the fair values of the Company’s common stock underlying these options at the dates of exercise and the exercise prices paid. |
Employee_Stock_Purchase_Plan
Employee Stock Purchase Plan | 3 Months Ended |
Sep. 30, 2013 | |
Employee Stock Purchase Plan [Abstract] | ' |
Employee Stock Purchase Plan | ' |
10. Employee Stock Purchase Plan | |
On September 18, 2007, the Board of Directors approved the commencement of offering periods under a previously-approved employee stock purchase plan (the “ESPP”). The ESPP allows eligible employees to purchase shares of the Company’s common stock at a discount through payroll deductions. The ESPP consists of six-month offering periods commencing on May 1st and November 1st, each year. Under the ESPP, employees purchased shares of the Company's common stock at 85% of the market value at either the beginning of the offering period or the end of the offering period, whichever price is lower. | |
In February of fiscal 2013 and 2012, pursuant to the automatic increase provisions of the ESPP, the Company’s Board of Directors approved increases to the number of shares authorized and reserved for issuance under the ESPP by 587,188 and 481,433 shares, respectively. | |
As of September 30, 2013, 509,924 shares are reserved for future issuance under the ESPP. |
Restricted_Stock
Restricted Stock | 3 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Restricted Stock [Abstract] | ' | ||||||||||||
Restricted Stock | ' | ||||||||||||
11. Restricted Stock | |||||||||||||
Under the 2007 Plan, during the three months ended September 30, 2013 the Company issued fully vested restricted stock awards to non-employee directors electing to receive them in lieu of an annual cash retainer. | |||||||||||||
In addition, restricted stock units can be issued under the 2007 Plan to eligible employees, and generally vest 25% at each one year anniversary from the date of grant. | |||||||||||||
Restricted stock award and restricted stock unit activity for the three months ended September 30, 2013 and 2012 is as follows (in thousands): | |||||||||||||
Three Months Ended | |||||||||||||
September 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Beginning outstanding | 1,310 | 1,641 | |||||||||||
Awarded | 619 | 468 | |||||||||||
Released | (294 | ) | (431 | ) | |||||||||
Forfeited | (53 | ) | (55 | ) | |||||||||
Ending outstanding | 1,582 | 1,623 | |||||||||||
Information regarding restricted stock awards and restricted stock units outstanding at September 30, 2013 is summarized below: | |||||||||||||
Number of Shares | Weighted Average | Aggregate Intrinsic | |||||||||||
(thousands) | Remaining | Value | |||||||||||
Contractual Lives | (thousands) | ||||||||||||
Shares outstanding | 1,582 | 1.77 | $ | 9,557 | |||||||||
Shares vested and expected to vest | 1,026 | 1.48 | $ | 6,195 |
Litigation_Commitments_Conting
Litigation, Commitments, Contingencies and Leases | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Litigation, Commitments, Contingencies and Leases [Abstract] | ' | ||||||||
Litigation, Commitments, Contingencies and Leases | ' | ||||||||
12. Litigation, Commitments, Contingencies and Leases | |||||||||
Litigation — At September 30, 2013, the Company is involved in litigation relating to claims arising out of the ordinary course of business or otherwise. Any litigation, regardless of outcome, is costly and time-consuming, can divert the attention of management and key personnel from business operations and deter distributors from selling the Company’s products and dissuade potential customers from purchasing the Company’s products. The Company defends itself vigorously against any such claims. Due to the uncertainty surrounding the litigation process, the Company is unable to estimate a range of loss, if any, at this time, however the Company does not believe a material loss is probable. | |||||||||
In addition, on March 21, 2013, the Company provided Fortis Advisors LLC, as representative of the former shareholders of M5 Networks, with a Claim Certificate disclosing certain claims for indemnification under the January 31, 2012 Agreement and Plan of Reorganization between M5 and the Company (the “Purchase Agreement”). Thereafter, the Company and Fortis engaged in negotiations in an attempt to resolve the indemnification claims asserted by the Company. In September 2013, the Company received notice of commencement of an arbitration proceeding by Fortis on behalf of the former shareholders of M5. Through the arbitration, Fortis seeks a declaration that the Company’s claims for indemnification are precluded. On October 11, 2013, the Company served its response, denying all of Fortis’ allegations and asserting counterclaims for breach of the Purchase Agreement and declaratory relief. An arbitration hearing has not yet been set. | |||||||||
Indemnification asset — At September 30, 2013, the Company had recorded a $6.6 million indemnification asset. The indemnification asset represents reimbursement the Company reasonably expects to receive from the escrow funds, currently held by a financial institution, pursuant to the M5 acquisition agreement. | |||||||||
Leases — The Company leases its facilities under noncancelable operating leases which expire at various times through 2023. The leases provide for the lessee to pay all costs of utilities, insurance, and taxes. Future minimum lease payments under the noncancelable capital and operating leases as of September 30, 2013, are as follows (in thousands): | |||||||||
Years Ending June 30, | Operating | Capital | |||||||
Leases | Leases | ||||||||
2014 (remaining nine months) | $ | 3,262 | $ | 1,087 | |||||
2015 | 3,420 | 413 | |||||||
2016 | 3,188 | 41 | |||||||
2017 | 3,013 | 14 | |||||||
2018 | 2,279 | - | |||||||
Therafter | 4,230 | - | |||||||
Total minimum lease payments | $ | 19,392 | 1,555 | ||||||
Less: amount representing interest | (78 | ) | |||||||
Present value of total minimum lease payments | 1,477 | ||||||||
Less: current portion liability | (1,258 | ) | |||||||
Capital lease obligation, net of current portion | $ | 219 | |||||||
The operating lease obligations noted in the table above have not been reduced by non-cancellable sublease rentals of $0.6 million. | |||||||||
The current portion of the capital leases is included in accrued liabilities and other on the condensed consolidated balance sheet. The non-current portion of the capital leases is included in the other long-term liabilities on the consolidated balance sheet. Lease obligations for the Company’s foreign offices are denominated in foreign currencies, which were converted in the above table to U.S. dollars at the interbank exchange rate on September 30, 2013. | |||||||||
Rent expense for the three months ended September 30, 2013 and 2012 was $1.1 million and $0.9 million, respectively. | |||||||||
Purchase commitments — The Company had purchase commitments with contract manufacturers for inventory totaling approximately $32.1 million as of September 30, 2013 and $24.0 million as of June 30, 2013. | |||||||||
Indemnification — Under the indemnification provisions of the Company’s customer agreements, the Company agrees to indemnify and defend its customers against infringement of any patent, trademark, or copyright of any country or the misappropriation of any trade secret, arising from the customers’ legal use of the Company’s services. The exposure to the Company under these indemnification provisions is generally limited to the total amount paid by the customers under pertinent agreements. However, certain indemnification provisions potentially expose the Company to losses in excess of the aggregate amount received from the customer. | |||||||||
The Company also has entered into customary indemnification agreements with each of its officers and directors. The Company also has indemnification obligations to the underwriters of its initial public offering pursuant to the underwriting agreement executed in connection with that offering. |
Segment_Information
Segment Information | 3 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Segment Information [Abstract] | ' | ||||||||||||
Segment Information | ' | ||||||||||||
13. Segment Information | |||||||||||||
The Company provides UC systems for enterprises through offering both premise and hosted business solutions. Due to the uniqueness of these platforms, the Company considers each of these offerings a separate segment. The Company’s chief operating decision-maker (“CODM”) is its Chief Executive Officer (“CEO”). The Company’s CEO reviews revenue and gross profit for these two distinct segments to evaluate financial performance and allocate resources. The financial information by the two reportable segments is also accompanied by information about revenue by geographic regions. | |||||||||||||
The following presents total revenue and gross profit by reportable segments (in thousands): | |||||||||||||
Three Months Ended | |||||||||||||
September 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Total revenues: | |||||||||||||
Premise | $ | 63,548 | $ | 59,322 | |||||||||
Hosted | 20,739 | 15,662 | |||||||||||
Total | $ | 84,287 | $ | 74,984 | |||||||||
Gross profit: | |||||||||||||
Premise | $ | 42,970 | $ | 39,346 | |||||||||
Hosted | 8,206 | 6,520 | |||||||||||
Total | $ | 51,176 | $ | 45,866 | |||||||||
Revenue by geographic region is based on the ship to address on the customer order. The following presents total revenue by geographic region (in thousands): | |||||||||||||
Three Months Ended | |||||||||||||
September 30, | |||||||||||||
2013 | 2012 | ||||||||||||
United States of America | $ | 76,531 | $ | 66,965 | |||||||||
International | 7,756 | 8,019 | |||||||||||
Total | $ | 84,287 | $ | 74,984 | |||||||||
Revenue from one value-added distributor accounted for approximately 25% and 22% of the total revenue during the three months ended September 30, 2013 and 2012, respectively. | |||||||||||||
The Company’s assets are primarily located in the United States of America and not allocated to any specific region and it does not measure the performance of its geographic regions based upon asset-based metrics. | |||||||||||||
The following presents a summary of long-lived assets, excluding deferred tax assets, other assets, and intangible assets (in thousands): | |||||||||||||
September 30, | June 30, | ||||||||||||
2013 | 2013 | ||||||||||||
United States of America | $ | 14,971 | $ | 14,929 | |||||||||
International | 652 | 696 | |||||||||||
Total | $ | 15,623 | $ | 15,625 | |||||||||
The following presents the carrying value of goodwill for the Company’s reportable segments (in thousands): | |||||||||||||
Premise | Hosted | Total | |||||||||||
Segment | Segment | ||||||||||||
As of June 30, 2013 | $ | 7,415 | $ | 115,335 | $ | 122,750 | |||||||
As of September 30, 2013 | $ | 7,415 | $ | 115,335 | $ | 122,750 |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Derivative Instruments and Hedging Activities [Abstract] | ' | ||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||
14. Derivative Instruments and Hedging Activities | |||||||||
In the normal course of business, the Company is exposed to fluctuations in interest rates and the exchange rates associated with foreign currencies. During the three months ended September 30, 2013, the Company used derivative instruments to reduce the volatility of earnings associated with changes in foreign currency exchange rates. The Company used foreign exchange forward contracts to mitigate the gains and losses generated from the re-measurement of certain foreign monetary assets and liabilities, primarily including cash balances, third party accounts receivable and intercompany transactions recorded on the balance sheet. These derivatives are not designated and do not qualify as hedge instruments. Accordingly, changes in the fair value of these instruments are recognized in other income and expenses during the period of change. The fair values recorded during the three months ended September 30, 2013 and 2012 were not material since these contracts were entered into on the last day of the period. These derivatives have maturities of approximately one month. | |||||||||
The following table presents the gross notional value of all of the Company’s foreign exchange forward contracts outstanding as of September 30, 2013 (in thousands): | |||||||||
30-Sep-13 | |||||||||
Local Currency | Notional Contract | ||||||||
Amount | Amount (USD) | ||||||||
Australian dollar | $ | 2,350 | $ | 2,165 | |||||
British pound | £ | 2,710 | 4,355 | ||||||
Euro | € | 420 | 564 | ||||||
Total | $ | 7,084 | |||||||
No such contracts were outstanding as of June 30, 2013. |
Basis_of_Presentation_and_Sign1
Basis of Presentation and Significant Accounting Policies (Policies) | 3 Months Ended |
Sep. 30, 2013 | |
Basis of Presentation and Significant Accounting Policies [Abstract] | ' |
Reclassifications | ' |
Reclassifications | |
In connection with the acquisition of M5 Networks, Inc. (“M5”) in March 2012, the consolidated statement of cash flow for the three months ended September 30, 2012 has been recast to include retrospective purchase accounting adjustments. These adjustments were retrospectively applied to the March 23, 2012 acquisition date balance sheet. These adjustments pertain to measurement period adjustments during the nine months ended March 31, 2013, which coincides with the one year anniversary date of the acquisition, based on the valuation of assets acquired and liabilities assumed in the M5 acquisition. The effect on the consolidated statement of cash flow for the three months ended September 30, 2012, as a result of the recast, is a change to the addition of the deferred tax valuation allowance of $0.1 million, a decrease in the other assets of $1.0 million, a decrease in accrued and other liabilities of $1.2 million and an increase in accrued taxes and surcharges of $0.3 million. | |
Computation of Net Loss per Share | ' |
Computation of Net Loss per Share | |
Basic net loss per share is determined by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted net loss per share is determined by dividing net loss by the weighted average number of common shares used in the basic loss per share calculation plus the number of common shares that would be issued assuming conversion of all potentially dilutive securities outstanding under the treasury stock method. Dilutive securities of 10.8 million and 11.8 million shares were not included in the computation of diluted net loss per share for the three months ended September 30, 2013 and 2012, respectively, because such securities were anti-dilutive. | |
Concentration of Credit Risk | ' |
Concentration of Credit Risk | |
Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash, cash equivalents, short-term investments and accounts receivable. As of September 30, 2013, all of the Company’s cash, cash equivalents and short-term investments were managed by multiple financial institutions. Accounts receivable are typically unsecured and are derived from revenue earned from customers. The Company performs ongoing credit evaluations of its customers and maintains allowances for potential credit losses. Accounts receivable from one value-added distributor accounted for 31% of total accounts receivable at September 30, 2013. At June 30, 2013 one value-added distributor accounted for 27% of the total accounts receivable. | |
Revenue Recognition | ' |
Revenue Recognition | |
The Company’s revenue recognition policy from products and services of its premise and hosted segments is included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (ASU) No. 2011-11, Balance Sheet (Topic 210) - Disclosures about Offsetting Assets and Liabilities (ASU 2011-11), that requires an entity to disclose additional information about offsetting and related arrangements to enable users of the financial statements to understand the effect of those arrangements on the financial position. ASU 2011-11 was adopted by the Company beginning July 1, 2013. The adoption of ASU 2011-11 did not impact disclosures or the Company’s consolidated financial statements. | |
In June 2011, the FASB issued ASU No. 2011-5, Comprehensive Income (Topic 220) - Presentation of Comprehensive Income, which requires companies to present the total of comprehensive income (loss), the components of net income (loss), and the components of other comprehensive income (loss) either as a single continuous statement of comprehensive income (loss) or in two separate but consecutive statements. This update eliminates the option to present the components of other comprehensive income (loss) as part of the statement of changes in stockholders’ equity. In December 2011, the FASB deferred the effective date of the specific requirement to present items that are reclassified out of accumulated other comprehensive income (loss) to net income (loss) alongside their respective components of net income (loss) and other comprehensive income (loss). The deferred provision was adopted in the three months ended September 30, 2013 and did not have an impact on the Company’s consolidated financial statements. | |
In July 2012, the FASB issued ASU No. 2012-2, Intangibles - Goodwill and Other (Topic 350) - Testing Goodwill for Impairment (ASU 2012-2), an accounting standard update intended to simplify how an entity tests indefinite-lived intangible assets other than goodwill for impairment by providing entities with an option to perform a qualitative assessment to determine whether further impairment testing is necessary. This accounting standard update was adopted in the three months ended September 30, 2013 and did not have an impact on the Company's consolidated financial statements. |
Balance_Sheet_Details_Tables
Balance Sheet Details (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||||||||||
Balance Sheet Details [Abstract] | ' | ||||||||||||||||||||||||
Balance sheet components | ' | ||||||||||||||||||||||||
Balance Sheet Components Consist of the Following: | |||||||||||||||||||||||||
September 30, | June 30, | ||||||||||||||||||||||||
2013 | 2013 | ||||||||||||||||||||||||
(Amounts in thousands) | |||||||||||||||||||||||||
Inventories: | |||||||||||||||||||||||||
Raw materials | $ | 128 | $ | 128 | |||||||||||||||||||||
Distributor inventory | 1,450 | 1,687 | |||||||||||||||||||||||
Finished goods | 16,056 | 17,076 | |||||||||||||||||||||||
Total inventories | $ | 17,634 | $ | 18,891 | |||||||||||||||||||||
Property and equipment: | |||||||||||||||||||||||||
Computer equipment and tooling | $ | 25,027 | $ | 23,172 | |||||||||||||||||||||
Software | 3,108 | 3,080 | |||||||||||||||||||||||
Furniture and fixtures | 3,207 | 3,072 | |||||||||||||||||||||||
Leasehold improvements & others | 6,029 | 6,330 | |||||||||||||||||||||||
Total property and equipment | 37,371 | 35,654 | |||||||||||||||||||||||
Less accumulated depreciation and amortization | (21,748 | ) | (20,029 | ) | |||||||||||||||||||||
Property and equipment – net | $ | 15,623 | $ | 15,625 | |||||||||||||||||||||
Deferred revenue: | |||||||||||||||||||||||||
Product | $ | 4,074 | $ | 4,893 | |||||||||||||||||||||
Support and services | 49,867 | 47,074 | |||||||||||||||||||||||
Hosted and related services | 3,434 | 3,019 | |||||||||||||||||||||||
Total deferred revenue | $ | 57,375 | $ | 54,986 | |||||||||||||||||||||
Summary of intangible assets | ' | ||||||||||||||||||||||||
The following is a summary of the Company’s intangible assets as of the following dates (in thousands): | |||||||||||||||||||||||||
30-Sep-13 | 30-Jun-13 | ||||||||||||||||||||||||
Gross | Accumulated | NetCarrying | Gross | Accumulated | NetCarrying | ||||||||||||||||||||
Carrying | Amortization | Amount | Carrying | Amortization | Amount | ||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||
Patents | $ | 3,810 | $ | (2,643 | ) | $ | 1,167 | $ | 3,810 | $ | (2,446 | ) | $ | 1,364 | |||||||||||
Technology | 24,944 | (10,238 | ) | 14,706 | 22,948 | (8,832 | ) | 14,116 | |||||||||||||||||
Customer relationships | 23,300 | (5,299 | ) | 18,001 | 23,300 | (4,448 | ) | 18,852 | |||||||||||||||||
Non-compete agreements | 300 | (228 | ) | 72 | 300 | (191 | ) | 109 | |||||||||||||||||
Intangible assets in process and other | 1,700 | - | 1,700 | 3,697 | - | 3,697 | |||||||||||||||||||
Intangible assets | $ | 54,054 | $ | (18,408 | ) | $ | 35,646 | $ | 54,055 | $ | (15,917 | ) | $ | 38,138 | |||||||||||
Estimated amortization expenses for intangible assets | ' | ||||||||||||||||||||||||
The estimated amortization expenses for intangible assets as of September 30, 2013 for the next five years and thereafter are as follows (in thousands): | |||||||||||||||||||||||||
Years Ending June 30, | |||||||||||||||||||||||||
2014 (remaining nine months) | $ | 7,093 | |||||||||||||||||||||||
2015 | 7,745 | ||||||||||||||||||||||||
2016 | 7,064 | ||||||||||||||||||||||||
2017 | 5,574 | ||||||||||||||||||||||||
2018 | 3,579 | ||||||||||||||||||||||||
Thereafter | 2,891 | ||||||||||||||||||||||||
Total | $ | 33,946 | |||||||||||||||||||||||
Summary of short-term investments | ' | ||||||||||||||||||||||||
The following tables summarize the Company’s short-term investments (in thousands): | |||||||||||||||||||||||||
Amortized | Gross Unrealized | Gross Unrealized | |||||||||||||||||||||||
Cost | Gains | Losses | Fair Value | ||||||||||||||||||||||
As of September 30, 2013 | |||||||||||||||||||||||||
Corporate notes and commercial paper | $ | 5,524 | $ | 5 | $ | - | $ | 5,529 | |||||||||||||||||
U.S. Government agency securities | 589 | - | - | 589 | |||||||||||||||||||||
Total short-term investments | $ | 6,113 | $ | 5 | $ | - | $ | 6,118 | |||||||||||||||||
As of June 30, 2013 | |||||||||||||||||||||||||
Corporate notes and commercial paper | $ | 6,107 | $ | 1 | $ | (3 | ) | $ | 6,105 | ||||||||||||||||
U.S. Government agency securities | 1,396 | - | - | 1,396 | |||||||||||||||||||||
Total short-term investments | $ | 7,503 | $ | 1 | $ | (3 | ) | $ | 7,501 | ||||||||||||||||
Short term investments by contractual maturity | ' | ||||||||||||||||||||||||
The following table summarizes the maturities of the Company’s fixed income securities (in thousands): | |||||||||||||||||||||||||
Amortized | |||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
As of September 30, 2013 | |||||||||||||||||||||||||
Less than 1 year | $ | 5,609 | $ | 5,613 | |||||||||||||||||||||
Due in 1 to 3 years | 504 | 505 | |||||||||||||||||||||||
Total | $ | 6,113 | $ | 6,118 | |||||||||||||||||||||
Amortized | |||||||||||||||||||||||||
Cost | Fair Value | ||||||||||||||||||||||||
As of June 30, 2013 | |||||||||||||||||||||||||
Less than 1 year | $ | 4,912 | $ | 4,912 | |||||||||||||||||||||
Due in 1 to 3 years | 2,591 | 2,589 | |||||||||||||||||||||||
Total | $ | 7,503 | $ | 7,501 |
Fair_Value_Disclosure_Tables
Fair Value Disclosure (Tables) | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Fair Value Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of financial instruments and liabilities measured at fair value on a recurring basis | ' | ||||||||||||||||
The tables below set forth the Company’s financial instruments and liabilities measured at fair value on a recurring basis (in thousands): | |||||||||||||||||
30-Sep-13 | |||||||||||||||||
Fair Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds | $ | 7,679 | $ | 7,679 | $ | - | $ | - | |||||||||
Short-term investments: | |||||||||||||||||
Corporate notes and commercial paper | 5,529 | - | 5,529 | - | |||||||||||||
U.S. Government agency securities | 589 | - | 589 | - | |||||||||||||
Total assets measured and recorded at fair value | $ | 13,797 | $ | 7,679 | $ | 6,118 | $ | - | |||||||||
Liabilities: | |||||||||||||||||
Acquisition-related consideration | $ | 3,630 | $ | - | $ | 3,630 | $ | - | |||||||||
The above table excludes $42.2 million of cash balances on deposit at banks. | |||||||||||||||||
June 30,2013 | |||||||||||||||||
Fair Value | Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets: | |||||||||||||||||
Cash and cash equivalents: | |||||||||||||||||
Money market funds | $ | 6,280 | $ | 6,280 | $ | - | $ | - | |||||||||
Short-term investments: | |||||||||||||||||
Corporate notes and commercial paper | 6,105 | - | 6,105 | - | |||||||||||||
U.S. Government agency securities | 1,396 | - | 1,396 | - | |||||||||||||
Total assets measured and recorded at fair value | $ | 13,781 | $ | 6,280 | $ | 7,501 | $ | - | |||||||||
Liabilities: | |||||||||||||||||
Acquisition-related consideration | $ | 3,577 | $ | - | $ | 3,577 | $ | - | |||||||||
Change in the fair value of our contingent consideration | ' | ||||||||||||||||
The change in the fair value of the Company’s purchase consideration liability is as follows (in thousands): | |||||||||||||||||
Fair Value | |||||||||||||||||
As of June 30, 2013 | $ | 3,577 | |||||||||||||||
Add: Change in fair value of purchase consideration | 53 | ||||||||||||||||
As of September 30, 2013 | $ | 3,630 |
Common_Stock_Tables
Common Stock (Tables) | 3 Months Ended | ||||
Sep. 30, 2013 | |||||
Common Stock [Abstract] | ' | ||||
Reserved shares of common stock for issuance | ' | ||||
At September 30, 2013, the Company has reserved shares of common stock for issuance as follows (in thousands): | |||||
Reserved under stock option plans | 16,676 | ||||
Reserved under employee stock purchase plan | 510 | ||||
Total | 17,186 |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Stock-Based Compensation [Abstract] | ' | ||||||||
Estimated grant date fair value of stock option awards and Employee Stock Purchase Plan (ESPP) rights using the Black-Scholes option valuation model | ' | ||||||||
The Company estimated the grant date fair value of stock option awards and Employee Stock Purchase Plan (ESPP) rights using the Black-Scholes option valuation model with the following assumptions: | |||||||||
Three Months Ended | |||||||||
September 30, | |||||||||
2013 | 2012 | ||||||||
Expected life from grant date of option (in years) | 5.44 | 5.32 | |||||||
Expected life from grant date of ESPP (in years) | 0.5 | 0.5 | |||||||
Risk free interest rate for options | 1.51 | % | 0.67 - 1.68 | % | |||||
Risk free interest rate for ESPP | 0.07 | % | 0.15 | % | |||||
Expected volatility for options | 66 | % | 69 - 73 | % | |||||
Expected volatility for ESPP | 42 | % | 57 | % | |||||
Expected dividend yield | 0 | % | 0 | % |
Stock_Option_Plan_Tables
Stock Option Plan (Tables) | 3 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Stock Option Plan [Abstract] | ' | ||||||||||||||||
Schedule of stock options activity | ' | ||||||||||||||||
Transactions under the 1997 and 2007 option plans are summarized as follows (in thousands, except per share data and contractual term): | |||||||||||||||||
Options Outstanding | |||||||||||||||||
Shares | Weighted- | Weighted- | Aggregate | ||||||||||||||
Subject to | Average | Average | Intrinsic | ||||||||||||||
Options | Exercise | Remaining | Value | ||||||||||||||
Outstanding | Price | Contractual | |||||||||||||||
Term | |||||||||||||||||
(in years) | |||||||||||||||||
Balance at July 1, 2013 | 8,898 | $ | 5.45 | ||||||||||||||
Options granted (weighted average fair value $2.67 per share) | 1,476 | 4.63 | |||||||||||||||
Options exercised | (947 | ) | 3.57 | ||||||||||||||
Options cancelled/forfeited | (257 | ) | 6.07 | ||||||||||||||
Balance at September 30, 2013 | 9,170 | $ | 5.49 | 6.61 | $ | 10,557 | |||||||||||
Vested and expected to vest at September 30, 2013 | 7,939 | $ | 5.58 | 6.05 | $ | 8,853 | |||||||||||
Options exercisable at September 30, 2013 | 5,216 | $ | 5.73 | 4.82 | $ | 5,528 |
Restricted_Stock_Tables
Restricted Stock (Tables) | 3 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Restricted Stock [Abstract] | ' | ||||||||||||
Restricted stock award and restricted stock unit activity | ' | ||||||||||||
Restricted stock award and restricted stock unit activity for the three months ended September 30, 2013 and 2012 is as follows (in thousands): | |||||||||||||
Three Months Ended | |||||||||||||
September 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Beginning outstanding | 1,310 | 1,641 | |||||||||||
Awarded | 619 | 468 | |||||||||||
Released | (294 | ) | (431 | ) | |||||||||
Forfeited | (53 | ) | (55 | ) | |||||||||
Ending outstanding | 1,582 | 1,623 | |||||||||||
Information regarding restricted stock awards and restricted stock units outstanding | ' | ||||||||||||
Information regarding restricted stock awards and restricted stock units outstanding at September 30, 2013 is summarized below: | |||||||||||||
Number of Shares | Weighted Average | Aggregate Intrinsic | |||||||||||
(thousands) | Remaining | Value | |||||||||||
Contractual Lives | (thousands) | ||||||||||||
Shares outstanding | 1,582 | 1.77 | $ | 9,557 | |||||||||
Shares vested and expected to vest | 1,026 | 1.48 | $ | 6,195 |
Litigation_Commitments_Conting1
Litigation, Commitments, Contingencies and Leases (Tables) | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Litigation, Commitments, Contingencies and Leases [Abstract] | ' | ||||||||
Schedule of future minimum payments under noncancelable capital and operating leases | ' | ||||||||
Future minimum lease payments under the noncancelable capital and operating leases as of September 30, 2013, are as follows (in thousands): | |||||||||
Years Ending June 30, | Operating | Capital | |||||||
Leases | Leases | ||||||||
2014 (remaining nine months) | $ | 3,262 | $ | 1,087 | |||||
2015 | 3,420 | 413 | |||||||
2016 | 3,188 | 41 | |||||||
2017 | 3,013 | 14 | |||||||
2018 | 2,279 | - | |||||||
Therafter | 4,230 | - | |||||||
Total minimum lease payments | $ | 19,392 | 1,555 | ||||||
Less: amount representing interest | (78 | ) | |||||||
Present value of total minimum lease payments | 1,477 | ||||||||
Less: current portion liability | (1,258 | ) | |||||||
Capital lease obligation, net of current portion | $ | 219 |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Segment Information [Abstract] | ' | ||||||||||||
Total revenue and gross profit by reportable segments | ' | ||||||||||||
The following presents total revenue and gross profit by reportable segments (in thousands): | |||||||||||||
Three Months Ended | |||||||||||||
September 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Total revenues: | |||||||||||||
Premise | $ | 63,548 | $ | 59,322 | |||||||||
Hosted | 20,739 | 15,662 | |||||||||||
Total | $ | 84,287 | $ | 74,984 | |||||||||
Gross profit: | |||||||||||||
Premise | $ | 42,970 | $ | 39,346 | |||||||||
Hosted | 8,206 | 6,520 | |||||||||||
Total | $ | 51,176 | $ | 45,866 | |||||||||
Total revenue and long-lived assets, excluding deferred tax assets, other assets, and intangible assets by geographic region | ' | ||||||||||||
Revenue by geographic region is based on the ship to address on the customer order. The following presents total revenue by geographic region (in thousands): | |||||||||||||
Three Months Ended | |||||||||||||
September 30, | |||||||||||||
2013 | 2012 | ||||||||||||
United States of America | $ | 76,531 | $ | 66,965 | |||||||||
International | 7,756 | 8,019 | |||||||||||
Total | $ | 84,287 | $ | 74,984 | |||||||||
The following presents a summary of long-lived assets, excluding deferred tax assets, other assets, and intangible assets (in thousands): | |||||||||||||
September 30, | June 30, | ||||||||||||
2013 | 2013 | ||||||||||||
United States of America | $ | 14,971 | $ | 14,929 | |||||||||
International | 652 | 696 | |||||||||||
Total | $ | 15,623 | $ | 15,625 | |||||||||
Schedule of carrying value of goodwill by reportable segment | ' | ||||||||||||
The following presents the carrying value of goodwill for the Company’s reportable segments (in thousands): | |||||||||||||
Premise | Hosted | Total | |||||||||||
Segment | Segment | ||||||||||||
As of June 30, 2013 | $ | 7,415 | $ | 115,335 | $ | 122,750 | |||||||
As of September 30, 2013 | $ | 7,415 | $ | 115,335 | $ | 122,750 |
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended | ||||||||
Sep. 30, 2013 | |||||||||
Derivative Instruments and Hedging Activities [Abstract] | ' | ||||||||
Notional amounts of outstanding derivative positions | ' | ||||||||
The following table presents the gross notional value of all of the Company’s foreign exchange forward contracts outstanding as of September 30, 2013 (in thousands): | |||||||||
30-Sep-13 | |||||||||
Local Currency | Notional Contract | ||||||||
Amount | Amount (USD) | ||||||||
Australian dollar | $ | 2,350 | $ | 2,165 | |||||
British pound | £ | 2,710 | 4,355 | ||||||
Euro | € | 420 | 564 | ||||||
Total | $ | 7,084 |
Basis_of_Presentation_and_Sign2
Basis of Presentation and Significant Accounting Policies (Details) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2012 |
Credit Concentration Risk [Member] | Credit Concentration Risk [Member] | M5 Networks, Inc. [Member] | |||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Addition in deferred tax valuation allowance | ' | ' | ' | ' | $0.10 |
Decrease to other assets | ' | ' | ' | ' | -1 |
Decrease in accrued liabilities and other | ' | ' | ' | ' | -1.2 |
Increase of accrued taxes and surcharges | ' | ' | ' | ' | $0.30 |
Computation of Net Loss per Share [Abstract] | ' | ' | ' | ' | ' |
Diluted securities not included in computation of diluted net loss per share as result would have been anti-dilutive (in shares) | 10.8 | 11.8 | ' | ' | ' |
Concentration Risk [Line Items] | ' | ' | ' | ' | ' |
Concentration risk, percentage (in hundredths) | ' | ' | 31.00% | 27.00% | ' |
Balance_Sheet_Details_Details
Balance Sheet Details (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | |
Inventories [Abstract] | ' | ' | ' |
Raw materials | $128,000 | ' | $128,000 |
Distributor inventory | 1,450,000 | ' | 1,687,000 |
Finished goods | 16,056,000 | ' | 17,076,000 |
Total inventories | 17,634,000 | ' | 18,891,000 |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total property and equipment | 37,371,000 | ' | 35,654,000 |
Less accumulated depreciation and amortization | -21,748,000 | ' | -20,029,000 |
Property and equipment - net | 15,623,000 | ' | 15,625,000 |
Deferred revenue [Abstract] | ' | ' | ' |
Total deferred revenue | 57,375,000 | ' | 54,986,000 |
Intangible assets [Abstract] | ' | ' | ' |
Gross Carrying Amount | 54,054,000 | ' | 54,055,000 |
Accumulated Amortization | -18,408,000 | ' | -15,917,000 |
Net Carrying Amount | 35,646,000 | ' | 38,138,000 |
Capitalize software development cost during period | 0 | 500,000 | ' |
Transferred from intangible assets in process and other to technology | 2,000,000 | ' | ' |
Amortization of intangible assets | 2,500,000 | 2,400,000 | ' |
Estimated future amortization expenses for intangible assets [Abstract] | ' | ' | ' |
2014 (remaining nine months) | 7,093,000 | ' | ' |
2015 | 7,745,000 | ' | ' |
2016 | 7,064,000 | ' | ' |
2017 | 5,574,000 | ' | ' |
2018 | 3,579,000 | ' | ' |
Thereafter | 2,891,000 | ' | ' |
Total | 33,946,000 | ' | ' |
Short-term investments [Abstract] | ' | ' | ' |
Amortized Cost | 6,113,000 | ' | 7,503,000 |
Gross Unrealized Gains | 5,000 | ' | 1,000 |
Gross Unrealized Losses | 0 | ' | -3,000 |
Fair Value | 6,118,000 | ' | 7,501,000 |
Amortized Cost [Abstract] | ' | ' | ' |
Less than 1 year | 5,609,000 | ' | 4,912,000 |
Due in 1 to 3 years | 504,000 | ' | 2,591,000 |
Total | 6,113,000 | ' | 7,503,000 |
Fair Value [Abstract] | ' | ' | ' |
Less than 1 year | 5,613,000 | ' | 4,912,000 |
Due in 1 to 3 years | 505,000 | ' | 2,589,000 |
Fair Value | 6,118,000 | ' | 7,501,000 |
Corporate notes and commercial paper [Member] | ' | ' | ' |
Short-term investments [Abstract] | ' | ' | ' |
Amortized Cost | 5,524,000 | ' | 6,107,000 |
Gross Unrealized Gains | 5,000 | ' | 1,000 |
Gross Unrealized Losses | 0 | ' | -3,000 |
Fair Value | 5,529,000 | ' | 6,105,000 |
Amortized Cost [Abstract] | ' | ' | ' |
Total | 5,524,000 | ' | 6,107,000 |
Fair Value [Abstract] | ' | ' | ' |
Fair Value | 5,529,000 | ' | 6,105,000 |
U.S. Government agency securities [Member] | ' | ' | ' |
Short-term investments [Abstract] | ' | ' | ' |
Amortized Cost | 589,000 | ' | 1,396,000 |
Gross Unrealized Gains | 0 | ' | 0 |
Gross Unrealized Losses | 0 | ' | 0 |
Fair Value | 589,000 | ' | 1,396,000 |
Amortized Cost [Abstract] | ' | ' | ' |
Total | 589,000 | ' | 1,396,000 |
Fair Value [Abstract] | ' | ' | ' |
Fair Value | 589,000 | ' | 1,396,000 |
Minimum [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Useful lives of intangible assets | '2 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Useful lives of intangible assets | '8 years | ' | ' |
Patents [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Gross Carrying Amount | 3,810,000 | ' | 3,810,000 |
Accumulated Amortization | -2,643,000 | ' | -2,446,000 |
Net Carrying Amount | 1,167,000 | ' | 1,364,000 |
Technology [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Gross Carrying Amount | 24,944,000 | ' | 22,948,000 |
Accumulated Amortization | -10,238,000 | ' | -8,832,000 |
Net Carrying Amount | 14,706,000 | ' | 14,116,000 |
Customer relationships [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Gross Carrying Amount | 23,300,000 | ' | 23,300,000 |
Accumulated Amortization | -5,299,000 | ' | -4,448,000 |
Net Carrying Amount | 18,001,000 | ' | 18,852,000 |
Non compete agreement [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Gross Carrying Amount | 300,000 | ' | 300,000 |
Accumulated Amortization | -228,000 | ' | -191,000 |
Net Carrying Amount | 72,000 | ' | 109,000 |
Intangible assets in process and other [Member] | ' | ' | ' |
Intangible assets [Abstract] | ' | ' | ' |
Gross Carrying Amount | 1,700,000 | ' | 3,697,000 |
Accumulated Amortization | 0 | ' | 0 |
Net Carrying Amount | 1,700,000 | ' | 3,697,000 |
Product [Member] | ' | ' | ' |
Deferred revenue [Abstract] | ' | ' | ' |
Total deferred revenue | 4,074,000 | ' | 4,893,000 |
Support and services [Member] | ' | ' | ' |
Deferred revenue [Abstract] | ' | ' | ' |
Total deferred revenue | 49,867,000 | ' | 47,074,000 |
Hosted and related services [Member] | ' | ' | ' |
Deferred revenue [Abstract] | ' | ' | ' |
Total deferred revenue | 3,434,000 | ' | 3,019,000 |
Computer equipment and tooling [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total property and equipment | 25,027,000 | ' | 23,172,000 |
Software [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total property and equipment | 3,108,000 | ' | 3,080,000 |
Furniture and fixtures [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total property and equipment | 3,207,000 | ' | 3,072,000 |
Leaseholds improvements & others [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total property and equipment | $6,029,000 | ' | $6,330,000 |
Fair_Value_Disclosure_Details
Fair Value Disclosure (Details) (USD $) | 3 Months Ended | 3 Months Ended | |||||||||||||||||||||||||||||||||||
Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | Sep. 30, 2013 | Mar. 31, 2013 | Mar. 23, 2012 | Mar. 23, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | |
M5 Networks, Inc. [Member] | M5 Networks, Inc. [Member] | M5 Networks, Inc. [Member] | M5 Networks, Inc. [Member] | Level 1 [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | Money market funds [Member] | Money market funds [Member] | Money market funds [Member] | Money market funds [Member] | Money market funds [Member] | Money market funds [Member] | Money market funds [Member] | Money market funds [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | Corporate notes and commercial paper [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | U.S. Government agency securities [Member] | ||||
Minimum [Member] | Maximum [Member] | Level 1 [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | Level 1 [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | Level 1 [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | ||||||||||||||||||
Assets: [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $7,679,000 | $6,280,000 | $7,679,000 | $6,280,000 | $0 | $0 | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Short-term investments | 6,118,000 | ' | 7,501,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,529,000 | 6,105,000 | 0 | 0 | 5,529,000 | 6,105,000 | 0 | 0 | 589,000 | 1,396,000 | 0 | 0 | 589,000 | 1,396,000 | 0 | 0 |
Total assets measured and recorded at fair value | 13,797,000 | ' | 13,781,000 | ' | ' | ' | ' | 7,679,000 | 6,280,000 | 6,118,000 | 7,501,000 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash balances on deposit at banks | 42,200,000 | ' | 37,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Liabilities: [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition-related consideration | 3,630,000 | ' | 3,577,000 | ' | ' | ' | ' | 0 | 0 | 3,630,000 | 3,577,000 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Quantitative information about the inputs and valuation methodologies used for our fair value measurements [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt outstanding | 18,026,000 | ' | 29,004,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Earn-out liability | ' | ' | ' | ' | ' | 0 | 13,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition related consideration first installment paid | ' | ' | ' | ' | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acquisition related consideration second installment payable | ' | ' | ' | 3,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discount rate (%) (in hundredths) | ' | ' | ' | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in the fair value of our purchase consideration liability [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
As of beginning of period | 3,577,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in fair value of purchase consideration | 53,000 | 188,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
As of ending of period | $3,630,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line_of_credit_Details
Line of credit (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Line of Credit Facility [Line Items] | ' |
Credit Facility revolving Loan Facility for aggregate principal amount | $50 |
Line of credit facility, maturity date | 15-Mar-17 |
Line of credit facility, remaining borrowing capacity | 31.7 |
Interest rate for the year (in hundredths) | 2.40% |
Line of credit facility, amount outstanding | $18.30 |
Federal funds rate [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Debt instrument, basis spread on variable rate (in hundredths) | 0.50% |
Debt instrument, description of variable rate basis | 'federal funds rate |
London interbank [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Debt instrument, description of variable rate basis | 'London interbank |
Minimum [Member] | Federal funds rate [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Debt instrument, basis spread on variable rate (in hundredths) | 0.00% |
Minimum [Member] | London interbank [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Debt instrument, basis spread on variable rate (in hundredths) | 2.00% |
Maximum [Member] | Federal funds rate [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Debt instrument, basis spread on variable rate (in hundredths) | 0.50% |
Maximum [Member] | London interbank [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Debt instrument, basis spread on variable rate (in hundredths) | 2.50% |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | |
Income Taxes [Abstract] | ' | ' | ' |
Income tax provision | $209,000 | $197,000 | ' |
Unrecognized tax benefits | 4,100,000 | ' | 4,100,000 |
Unrecognized tax benefits that would impact effective tax rate if recognized | $100,000 | ' | ' |
Open tax years | '2001 through 2013 | ' | ' |
Common_Stock_Details
Common Stock (Details) | Sep. 30, 2013 |
Share-based Compensation Awards [Line Items] | ' |
Common stock shares reserved for issuance | 17,186,000 |
Reserved under stock option plans [Member] | ' |
Share-based Compensation Awards [Line Items] | ' |
Common stock shares reserved for issuance | 16,676,000 |
Reserved under employee stock purchase plan [Member] | ' |
Share-based Compensation Awards [Line Items] | ' |
Common stock shares reserved for issuance | 510,000 |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 3 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | |
Black-Scholes option valuation assumptions [Abstract] | ' | ' |
Expected dividend yield (in hundredths) | 0.00% | 0.00% |
Non-cash stock-based compensation expense | $2,114,000 | $3,353,000 |
Unrecognized compensation cost related to stock options and awards granted to employees and non-employee directors | $10,400,000 | ' |
Period to recognize unrecognized compensation cost | '2 years 10 months 24 days | ' |
Stock Options [Member] | ' | ' |
Black-Scholes option valuation assumptions [Abstract] | ' | ' |
Expected life from grant date of option | '5 years 5 months 8 days | '5 years 3 months 25 days |
Risk free interest rate (in hundredths) | 1.51% | ' |
Risk-free interest rate, minimum (in hundredths) | ' | 0.67% |
Risk-free interest rate, maximum (in hundredths) | ' | 1.68% |
Expected volatility (in hundredths) | 66.00% | ' |
Expected volatility, minimum (in hundredths) | ' | 69.00% |
Expected volatility, maximum (in hundredths) | ' | 73.00% |
Employee Stock Purchase Plan [Member] | ' | ' |
Black-Scholes option valuation assumptions [Abstract] | ' | ' |
Expected life from grant date of option | '6 months | '6 months |
Risk free interest rate (in hundredths) | 0.07% | 0.15% |
Expected volatility (in hundredths) | 42.00% | 57.00% |
Stock_Option_Plan_Details
Stock Option Plan (Details) (Stock Options [Member], USD $) | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | Jun. 30, 2012 | Feb. 07, 2007 | |
Stock Options [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Vesting rights | 'Options granted generally vest ratably over four years from the date of grant. | ' | ' | ' | ' |
Vesting period | '4 years | ' | ' | ' | ' |
Expiration period | '10 years | ' | ' | ' | ' |
Number of shares reserved for future issuance (in shares) | ' | ' | ' | ' | 5,000,000 |
Increase in number of share authorized and reserved for issuance (in shares) | ' | ' | 2,900,000 | 2,400,000 | ' |
Stock option activity [Roll Forward] | ' | ' | ' | ' | ' |
Beginning Balance (in shares) | 8,898,000 | ' | ' | ' | ' |
Options granted (weighted average fair value $2.67 per share) (in shares) | 1,476,000 | ' | ' | ' | ' |
Options exercised (in shares) | -947,000 | ' | ' | ' | ' |
Options cancelled/forfeited (in shares) | -257,000 | ' | ' | ' | ' |
Ending Balance (in shares) | 9,170,000 | ' | 8,898,000 | ' | ' |
Vested and expected to vest (in shares) | 7,939,000 | ' | ' | ' | ' |
Options exercisable (in shares) | 5,216,000 | ' | ' | ' | ' |
Weighted-Average Exercise Price [Roll Forward] | ' | ' | ' | ' | ' |
Beginning Balance (in dollars per share) | $5.45 | ' | ' | ' | ' |
Options granted (weighted average fair value $2.67 per share) (in dollars per share) | $4.63 | ' | ' | ' | ' |
Options exercised (in dollars per share) | $3.57 | ' | ' | ' | ' |
Options cancelled/forfeited (in dollars per share) | $6.07 | ' | ' | ' | ' |
Ending Balance (in dollars per share) | $5.49 | ' | $5.45 | ' | ' |
Vested and expected to vest (in dollars per share) | $5.58 | ' | ' | ' | ' |
Options exercisable (in dollars per share) | $5.73 | ' | ' | ' | ' |
Weighted Average Remaining Contractual Term [Abstract] | ' | ' | ' | ' | ' |
Balance | '6 years 7 months 10 days | ' | ' | ' | ' |
Vested and expected to vest | '6 years 0 months 18 days | ' | ' | ' | ' |
Options exercisable | '4 years 9 months 25 days | ' | ' | ' | ' |
Weighted Average Intrinsic Value [Abstract] | ' | ' | ' | ' | ' |
Balance | $10,557,000 | ' | ' | ' | ' |
Vested and expected to vest | 8,853,000 | ' | ' | ' | ' |
Options exercisable | 5,528,000 | ' | ' | ' | ' |
Weighted Average Grant Date Fair Value [Abstract] | ' | ' | ' | ' | ' |
Weighted average grant date fair value of options granted (in dollars per share) | $2.67 | ' | ' | ' | ' |
Total pre-tax intrinsic value for options exercised | $1,700,000 | $36,000 | ' | ' | ' |
Employee_Stock_Purchase_Plan_D
Employee Stock Purchase Plan (Details) | 0 Months Ended | 3 Months Ended | |
Feb. 28, 2013 | Feb. 29, 2012 | Sep. 30, 2013 | |
Share-based Compensation Awards [Line Items] | ' | ' | ' |
Number of shares reserved for future issuance (in shares) | ' | ' | 17,186,000 |
Employee Stock Purchase Plan [Member] | ' | ' | ' |
Share-based Compensation Awards [Line Items] | ' | ' | ' |
Plan description and terms | ' | ' | 'The ESPP consists of six-month offering periods commencing on May 1st and November 1st, each year. |
Purchase price of share (in hundredths) | ' | ' | 85.00% |
Increase in number of shares authorized and available for issuance (in shares) | 587,188 | 481,433 | ' |
Number of shares reserved for future issuance (in shares) | ' | ' | 509,924 |
Restricted_Stock_Details
Restricted Stock (Details) (Restricted Stock Awards and Restricted Stock Units [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Restricted Stock Awards and Restricted Stock Units [Member] | ' | ' |
Share-based Compensation Awards [Line Items] | ' | ' |
Vesting rights | 'restricted stock units can be issued under the 2007 Plan to eligible employees, and generally vest 25% at each one year anniversary from the date of grant. | ' |
Vesting percentage each year (in hundredths) | 25.00% | ' |
Restricted stock award and restricted stock unit activity [Roll Forward] | ' | ' |
Beginning outstanding (in shares) | 1,310 | 1,641 |
Awarded (in shares) | 619 | 468 |
Released (in shares) | -294 | -431 |
Forfeited (in shares) | -53 | -55 |
Ending outstanding (in shares) | 1,582 | 1,623 |
Information regarding restricted stock awards and restricted stock units outstanding [Abstract] | ' | ' |
Shares outstanding, Number of Shares (in shares) | 1,582 | 1,623 |
Shares vested and expected to vest, Number of Shares (in shares) | 1,026 | ' |
Shares outstanding, Weighted Average Remaining Contractual Lives | '1 year 9 months 7 days | ' |
Shares vested and expected to vest, Weighted Average Remaining Contractual Lives | '1 year 5 months 23 days | ' |
Shares outstanding, Aggregate Intrinsic Value | $9,557 | ' |
Shares vested or expected to vest, Aggregate Intrinsic Value | $6,195 | ' |
Litigation_Commitments_Conting2
Litigation, Commitments, Contingencies and Leases (Details) (USD $) | 3 Months Ended | ||
Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | |
Litigation, Commitments, Contingencies and Leases [Abstract] | ' | ' | ' |
Indemnification asset | $6,600,000 | ' | $6,277,000 |
Non-cancellable sublease rentals | 600,000 | ' | ' |
Operating Leases [Abstract] | ' | ' | ' |
2014 (remaining nine months) | 3,262,000 | ' | ' |
2015 | 3,420,000 | ' | ' |
2016 | 3,188,000 | ' | ' |
2017 | 3,013,000 | ' | ' |
2018 | 2,279,000 | ' | ' |
Thereafter | 4,230,000 | ' | ' |
Total minimum lease payments | 19,392,000 | ' | ' |
Capital Leases [Abstract] | ' | ' | ' |
2014 (remaining nine months) | 1,087,000 | ' | ' |
2015 | 413,000 | ' | ' |
2016 | 41,000 | ' | ' |
2017 | 14,000 | ' | ' |
2018 | 0 | ' | ' |
Thereafter | 0 | ' | ' |
Total minimum lease payments | 1,555,000 | ' | ' |
Less: amount representing interest | -78,000 | ' | ' |
Present value of total minimum lease payments | 1,477,000 | ' | ' |
Less: current portion liability | -1,258,000 | ' | ' |
Capital lease obligation, net of current portion | 219,000 | ' | ' |
Rent expense | 1,100,000 | 900,000 | ' |
Purchase commitments [Abstract] | ' | ' | ' |
Purchase commitment with contract manufacturers | $32,100,000 | ' | $24,000,000 |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 |
Customer | Customer | ||
Segment | |||
Segment Information [Abstract] | ' | ' | ' |
Number of reportable segments | 2 | ' | ' |
Total revenue and gross profit by reportable segments [Abstract] | ' | ' | ' |
Total revenues | $84,287 | $74,984 | ' |
Total gross profit | 51,176 | 45,866 | ' |
Goodwill [Abstract] | ' | ' | ' |
Goodwill | 122,750 | ' | 122,750 |
Revenue by geographic region [Abstract] | ' | ' | ' |
Total | 84,287 | 74,984 | ' |
Number of major customers | 1 | 1 | ' |
Geographic Areas, Long-Lived Assets [Abstract] | ' | ' | ' |
Total | 15,623 | ' | 15,625 |
Revenue [Member] | ' | ' | ' |
Revenue by geographic region [Abstract] | ' | ' | ' |
Revenue from one value added distributor accounted more than 10% (in hundredths) | 25.00% | 22.00% | ' |
United States of America [Member] | ' | ' | ' |
Total revenue and gross profit by reportable segments [Abstract] | ' | ' | ' |
Total revenues | 76,531 | 66,965 | ' |
Revenue by geographic region [Abstract] | ' | ' | ' |
Total | 76,531 | 66,965 | ' |
Geographic Areas, Long-Lived Assets [Abstract] | ' | ' | ' |
Total | 14,971 | ' | 14,929 |
International [Member] | ' | ' | ' |
Total revenue and gross profit by reportable segments [Abstract] | ' | ' | ' |
Total revenues | 7,756 | 8,019 | ' |
Revenue by geographic region [Abstract] | ' | ' | ' |
Total | 7,756 | 8,019 | ' |
Geographic Areas, Long-Lived Assets [Abstract] | ' | ' | ' |
Total | 652 | ' | 696 |
Premise [Member] | ' | ' | ' |
Total revenue and gross profit by reportable segments [Abstract] | ' | ' | ' |
Total revenues | 63,548 | 59,322 | ' |
Total gross profit | 42,970 | 39,346 | ' |
Goodwill [Abstract] | ' | ' | ' |
Goodwill | 7,415 | ' | 7,415 |
Revenue by geographic region [Abstract] | ' | ' | ' |
Total | 63,548 | 59,322 | ' |
Hosted [Member] | ' | ' | ' |
Total revenue and gross profit by reportable segments [Abstract] | ' | ' | ' |
Total revenues | 20,739 | 15,662 | ' |
Total gross profit | 8,206 | 6,520 | ' |
Goodwill [Abstract] | ' | ' | ' |
Goodwill | 115,335 | ' | 115,335 |
Revenue by geographic region [Abstract] | ' | ' | ' |
Total | $20,739 | $15,662 | ' |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Details) | 3 Months Ended | |||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
USD ($) | Contract | Australian dollar [Member] | Australian dollar [Member] | British pound [Member] | British pound [Member] | Euro [Member] | Euro [Member] | |
USD ($) | AUD | USD ($) | GBP (£) | USD ($) | EUR (€) | |||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Notional contract amount | $7,084 | ' | $2,165 | 2,350 | $4,355 | £ 2,710 | $564 | € 420 |
Derivative maturity period | '1 month | ' | ' | ' | ' | ' | ' | ' |
Number of contracts outstanding | ' | 0 | ' | ' | ' | ' | ' | ' |