Paylocity Holding (PCTY) 10-Q 5 Feb 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Dec. 31, 2015	Jan. 29, 2016
Document and Entity Information
Entity Registrant Name	Paylocity Holding Corp
Entity Central Index Key	1,591,698
Document Type	10-Q
Document Period End Date	Dec. 31, 2015
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		50,956,284
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2

Unaudited Consolidated Balance

Unaudited Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2015	Jun. 30, 2015
Current assets:
Cash and cash equivalents	$ 79,024	$ 81,258
Accounts receivable, net	1,468	1,115
Prepaid expenses and other	5,521	4,416
Deferred income tax assets, net	397	775
Total current assets before funds held for clients	86,410	87,564
Funds held for clients	883,137	591,219
Total current assets	969,547	678,783
Long-term prepaid expenses	695	403
Capitalized internal-use software, net	9,309	7,357
Property and equipment, net	21,121	16,061
Intangible assets, net	11,180	11,941
Goodwill	6,003	6,003
Total assets	1,017,855	720,548
Current liabilities:
Accounts payable	2,889	1,327
Consideration related to acquisitions	300	511
Accrued expenses	17,696	16,430
Total current liabilities before client fund obligations	20,885	18,268
Client fund obligations	883,137	591,219
Total current liabilities	904,022	609,487
Deferred rent	3,397	2,607
Deferred income tax liabilities, net	647	874
Total liabilities	$ 908,066	$ 612,968
Stockholders' equity:
Preferred stock, $0.001 par value, 5,000 authorized, no shares issued and outstanding at June 30, 2015 and December 31, 2015
Common stock, $0.001 par value, 155,000 shares authorized at June 30, 2015 and December 31, 2015; 50,703 shares issued and outstanding at June 30, 2015 and 50,953 shares issued and outstanding at December 31, 2015	$ 51	$ 51
Additional paid-in capital	162,481	155,672
Accumulated deficit	(52,743)	(48,143)
Total stockholders' equity	109,789	107,580
Total liabilities and stockholders' equity	$ 1,017,855	$ 720,548

Unaudited Consolidated Balance3

Unaudited Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands	Dec. 31, 2015	Jun. 30, 2015
Unaudited Consolidated Balance Sheets
Preferred Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred Stock, shares authorized	5,000	5,000
Preferred Stock, shares issued	0	0
Preferred Stock, shares outstanding	0	0
Common Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common Stock, shares authorized	155,000	155,000
Common Stock, shares issued	50,953	50,703
Common Stock, shares outstanding	50,953	50,703

Unaudited Consolidated Statemen

Unaudited Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Revenues:
Recurring fees	$ 51,732	$ 32,055	$ 94,095	$ 61,197
Interest income on funds held for clients	615	390	1,143	753
Total recurring revenues	52,347	32,445	95,238	61,950
Implementation services and other	2,837	1,868	5,054	3,472
Total revenues	55,184	34,313	100,292	65,422
Cost of revenues:
Recurring revenues	16,125	11,953	29,282	22,010
Implementation services and other	7,975	6,093	15,013	11,488
Total cost of revenues	24,100	18,046	44,295	33,498
Gross profit	31,084	16,267	55,997	31,924
Operating expenses:
Sales and marketing	14,340	9,401	26,790	18,479
Research and development	6,799	5,271	12,228	9,298
General and administrative	11,239	8,061	21,690	15,509
Total operating expenses	32,378	22,733	60,708	43,286
Operating loss	(1,294)	(6,466)	(4,711)	(11,362)
Other income	214	80	297	129
Loss before income taxes	(1,080)	(6,386)	(4,414)	(11,233)
Income tax expense	85	34	186	62
Net loss	$ (1,165)	$ (6,420)	$ (4,600)	$ (11,295)
Net loss per share:
Basic (in dollars per share)	$ (0.02)	$ (0.13)	$ (0.09)	$ (0.23)
Diluted (in dollars per share)	$ (0.02)	$ (0.13)	$ (0.09)	$ (0.23)
Weighted-average share used in computing net loss per share:
Basic (in shares)	50,890	49,775	50,817	49,670
Diluted (in shares)	50,890	49,775	50,817	49,670

Unaudited Consolidated Stateme5

Unaudited Consolidated Statement of Changes in Stockholders' Equity - 6 months ended Dec. 31, 2015 - USD ($) shares in Thousands, $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Balance at Jun. 30, 2015	$ 51	$ 155,672	$ (48,143)	$ 107,580
Balance (in shares) at Jun. 30, 2015	50,703			50,703
Increase (Decrease) in Stockholders' Equity
Stock-based compensation expense		9,034		$ 9,034
Stock options exercised		1,931		1,931
Stock options exercised (in shares)	254
Issuance of common stock upon vesting of restricted stock units (in shares)	95
Issuance of common stock under employee stock purchase plan		1,403		1,403
Issuance of common stock under employee stock purchase plan (in shares)	50
Net settlement for taxes and/or exercise price related to equity awards		(5,559)		(5,559)
Net settlement for taxes and/or exercise price related to equity awards (in shares)	(149)
Net loss			(4,600)	(4,600)
Balance at Dec. 31, 2015	$ 51	$ 162,481	$ (52,743)	$ 109,789
Balance (in shares) at Dec. 31, 2015	50,953			50,953

Unaudited Consolidated Stateme6

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014
Cash flows from operating activities:
Net loss	$ (4,600)	$ (11,295)
Adjustments to reconcile net loss to net cash provided by operating activities:
Stock-based compensation	8,492	7,137
Depreciation and amortization	6,155	4,160
Deferred income tax expense	151	39
Provision for doubtful accounts	75	71
Loss on disposal of equipment	168	42
Changes in operating assets and liabilities:
Accounts receivable	(428)	(345)
Prepaid expenses	(891)	(193)
Trade accounts payable	653	697
Accrued expenses	1,039	536
Net cash provided by operating activities	10,814	849
Cash flows from investing activities:
Capitalized internal-use software costs	(3,775)	(1,579)
Purchases of property and equipment	(6,865)	(4,165)
Payments for acquisitions	(183)	(2,585)
Net change in funds held for clients	(291,918)	(440,878)
Net cash used in investing activities	(302,741)	(449,207)
Cash flows from financing activities:
Net change in client funds obligation	291,918	440,878
Proceeds from follow-on offering, net of cash paid for issuance costs		18,716
Payments on initial public offering costs		(75)
Proceeds from exercise of stock options	137	181
Proceeds from employee stock purchase plan	1,403	670
Taxes paid related to net share settlement of equity awards	(3,765)	(1,380)
Net cash provided by financing activities	289,693	458,990
Net Change in Cash and Cash Equivalents	(2,234)	10,632
Cash and Cash Equivalents-Beginning of Period	81,258	78,848
Cash and Cash Equivalents-End of Period	79,024	89,480
Supplemental Disclosure of Non-Cash Investing and Financing Activities
Build-out allowance received from landlord	55
Unpaid follow-on offering costs included in accrued expenses	152	332
Purchase of property and equipment, accrued but not paid	1,531	1,366
Supplemental disclosure of cash flow information
Cash paid for income taxes, net of refunds	$ 22	$ 26

Organization and Description of

Organization and Description of Business	6 Months Ended
	Dec. 31, 2015
Organization and Description of Business
Organization and Description of Business	(1) Organization and Description of Business Paylocity Holding Corporation (the “Company”), through its wholly owned subsidiary, Paylocity Corporation, is a cloud-based provider of payroll and human capital management software solutions for medium-sized organizations. Services are provided in a Software-as-a-Service (“SaaS”) delivery model utilizing the Company’s cloud-based platform. Payroll services include collection, remittance and reporting of payroll liabilities to the appropriate federal, state and local authorities. Secondary Offering In September 2015, the Company completed a secondary offering in which its existing shareholders sold 3,740 shares of common stock at a public offering price of $29.75 per share. The Company did not receive any proceeds from the sale of common stock by the existing shareholders. In October 2015, the underwriters for the Company’s secondary offering exercised their option to purchase 561 additional shares from certain shareholders of the Company as described in the final prospectus filed with the Securities and Exchange Commission (“SEC”) on September 25, 2015. The Company did not receive any proceeds from the sale of common stock by the existing shareholders.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Dec. 31, 2015
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	(2) Summary of Significant Accounting Policies (a) Consolidation and Use of Estimates These unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). The unaudited consolidated financial statements include the accounts of the Company and its wholly owned subsidiary. All intercompany accounts and transactions have been eliminated in consolidation. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the allowance for doubtful accounts, internal-use software, valuation and useful lives of long-lived assets, definite-lived intangibles, goodwill, stock-based compensation, valuation of net deferred income tax assets and the best estimate of selling price for revenue recognition purposes. Future events and their effects cannot be predicted with certainty; accordingly, accounting estimates require the exercise of judgment. Accounting estimates used in the preparation of these consolidated financial statements change as new events occur, as more experience is acquired, as additional information is obtained and as the operating environment changes. (b) Interim Unaudited Consolidated Financial Information The accompanying unaudited consolidated financial statements and notes have been prepared in accordance with GAAP and applicable rules and regulations of the SEC regarding interim financial reporting. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, the interim financial information includes all adjustments of a normal recurring nature necessary for a fair presentation of the results of operations, financial position, changes in stockholders’ equity and cash flows. The results of operations for the three and six months ended December 31, 2015 are not necessarily indicative of the results for the full year or the results for any future periods. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes for the year ended June 30, 2015 included in the Company’s Annual Report on Form 10-K filed with the SEC on August 14, 2015. (c) Income Taxes Differences in the normal relationship between the income tax expense and pre-tax loss materially result from the existence of a valuation allowance recorded against the preponderance of the net deferred tax assets. (d) Stock-Based Compensation The Company recognizes all employee stock-based compensation as a cost in the financial statements. Equity-classified awards, including those under the 2014 Employee Stock Purchase Plan (“ESPP”), are measured at the grant date fair value of the award and expense is recognized, net of assumed forfeitures, on a straight-line basis over the requisite service period for each separately vesting portion of the award. The Company estimates grant date fair value using the Black-Scholes option-pricing model and periodically updates the assumed forfeiture rates for actual experience over the option vesting term or the term of the ESPP purchase period. (e) Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 supersedes a majority of existing revenue recognition guidance under US GAAP, and requires companies to recognize revenue when it transfers goods or services to a customer in an amount that reflects the consideration to which a company expects to be entitled. Companies may need to apply more judgment and estimation techniques or methods while recognizing revenue, which could result in additional disclosures to the financial statements. Topic 606 allows for either a “retrospective” or “cumulative effect” transition method. The original standard was effective for fiscal years beginning after December 15, 2016. In July 2015, the FASB approved a one-year deferral of this standard, with a new effective date for fiscal years beginning after December 15, 2017 with early adoption permitted as of the original effective date. The Company is currently assessing the potential effects of these changes to its consolidated financial statements and is evaluating the adoption method and timing. In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes (Topic 740) (“ASU 2015-17”) . ASU 2015-17 requires all deferred income tax assets and liabilities to be classified as non-current in a classified balance sheet. This ASU would first apply prospectively or retrospectively for fiscal years beginning after December 15, 2016. Earlier adoption is permitted as of the beginning of an interim or annual reporting period. The Company is currently assessing the potential effects of these changes to its consolidated financial statements and is evaluating the adoption method and timing. From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that are adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on the Company’s consolidated financial statements upon adoption.

Balance Sheet Information

Balance Sheet Information	6 Months Ended
	Dec. 31, 2015
Balance Sheet Information
Balance Sheet Information	(3) Balance Sheet Information The following tables provide details of selected consolidated balance sheet items: Activity in the allowance for doubtful accounts was as follows: Balance at June 30, 2015 $ Charged to expense Write-offs ) Balance at December 31, 2015 $ Capitalized internal-use software and accumulated amortization were as follows: June 30, December 31, 2015 2015 Capitalized internal-use software $ $ Accumulated amortization ) ) Capitalized internal-use software, net $ $ Amortization of capitalized internal-use software costs is included in Cost of Revenues-Recurring Revenues and amounted to $685 and $1,423 for the three months ended December 31, 2014 and 2015, respectively and $1,278 and $2,365 for the six months ended December 31, 2014 and 2015, respectively. Property and equipment consist of the following: June 30, December 31, 2015 2015 Office equipment $ $ Computer equipment Furniture and fixtures Software Leasehold improvements Time clocks rented by clients Accumulated depreciation ) ) Property and equipment, net $ $ Depreciation expense amounted to $1,354 and $1,632 for the three months ended December 31, 2014 and 2015, respectively and $2,502 and $3,029 for the six months ended December 31, 2014 and 2015, respectively. Intangible assets consist of the following: June 30, 2015 December 31, 2015 Weighted Average Useful Life Client relationships $ $ 9 years Non-solicitation agreements 2-3 years Total Accumulated amortization ) ) Intangible assets, net $ $ Amortization expense for acquired intangible assets was $190 and $381 for the three months ended December 31, 2014 and 2015, respectively and $380 and $761 for the six months ended December 31, 2014 and 2015, respectively. Future amortization expense for acquired intangible assets is as follows, as of December 31, 2015: Remainder of fiscal 2016 $ Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total $ The components of accrued expenses were as follows: June 30, December 31, 2015 2015 Accrued payroll and personnel costs $ $ Current portion of deferred rent Other Total accrued expenses $ $

Fair Value Measurement

Fair Value Measurement	6 Months Ended
	Dec. 31, 2015
Fair Value Measurement
Fair Value Measurement	(4) Fair Value Measurement The Company applies the fair value measurement and disclosure provisions of ASC 820, Fair Value Measurements and Disclosures, and ASU 2011-04, Fair Value Measurement (Topic 820): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRS . Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three-level fair value hierarchy prioritizes the inputs used to measure fair value. The hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows:  Level 1—Quoted prices in active markets for identical assets and liabilities.  Level 2—Quoted prices in active markets for similar assets and liabilities, or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument.  Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets and liabilities. This includes certain pricing models, discounted cash flow methodologies and similar techniques that use significant unobservable inputs. Substantially all of the Company’s assets that are measured at fair value on a recurring basis are measured using Level 1 inputs. The Company considers the recorded value of its financial assets and liabilities, which consist primarily of cash and cash equivalents, accounts receivable, and accounts payable, to approximate the fair value of the respective assets and liabilities at June 30, 2015 and December 31, 2015 based upon the short-term nature of the assets and liabilities.

Benefit Plans

Benefit Plans	6 Months Ended
	Dec. 31, 2015
Benefit Plans
Benefit Plans	(5) Benefit Plans (a) Equity Incentive Plan The Company maintains a 2008 Equity Incentive Plan (the “2008 Plan”) and a 2014 Equity Incentive Plan (the “2014 Plan”) pursuant to which the Company has reserved shares of its common stock for issuance to its employees, directors and non-employee third parties. The 2014 Plan serves as the successor to the 2008 Plan and permits the granting of options to purchase common stock and other equity incentives at the discretion of the compensation committee of the Company’s board of directors. No new awards have been or will be issued under the 2008 Plan since the effective date of the 2014 Plan. Outstanding awards under the 2008 Plan continue to be subject to the terms and conditions of the 2008 Plan. The number of shares of common stock reserved for issuance under the 2014 Plan will increase automatically each calendar year, continuing through and including January 1, 2024. The number of shares added each year will be equal to the lesser of (a) four and five tenths percent (4.5%) of the number of shares of common stock of the Company issued and outstanding on the immediately preceding December 31, or (b) an amount determined by the Company’s board of directors. As of December 31, 2015, the Company had 8,551 shares allocated to the plans, of which 4,761 shares were subject to outstanding options or awards. Generally, the Company issues previously unissued shares for the exercise of stock options or vesting of awards; however, shares previously subject to 2014 Plan grants or awards that are forfeited or net settled at exercise or release may be reissued to satisfy future issuances. The following table summarizes changes during the quarter in the number of shares available for grant under our equity incentive plans: Number of Shares Available for grant at July 1, 2015 RSUs granted ) Options granted ) Shares withheld in settlement of taxes and exercise price Forfeitures Shares removed ) Available for grant at December 31, 2015 Shares removed represents forfeitures of shares and shares withheld in settlement of taxes and payment of exercise price related to grants made under the 2008 Plan. As noted above, no new awards will be issued under the 2008 Plan. Stock-based compensation expense related to stock options, restricted stock units (“RSUs”), and the Employee Stock Purchase Plan (as described below) is included in the following line items in the accompanying unaudited consolidated statements of operations: Three months ended December 31, Six months ended December 31, 2014 2015 2014 2015 Cost of revenue — recurring $ $ $ $ Cost of revenue — non-recurring Sales and marketing Research and development General and administrative Total stock-based compensation $ $ $ $ In addition, the Company capitalized $148 and $276 of stock compensation costs in its internal use software in the three months ended December 31, 2014 and 2015, respectively and $310 and $542 in the six months ended December 31, 2014 and 2015, respectively. Under the 2008 and 2014 Plans, the exercise price of each option cannot be less than the fair value of a share of common stock on the grant date. The options typically vest ratably over a three or four year period and expire 10 years from the grant date. Stock-based compensation expense for the fair value of the options at their grant date is recognized ratably over the vesting schedule for each separately vesting portion of the award. The Company values stock options using the Black-Scholes option-pricing model, which requires the input of subjective assumptions, including the risk-free rate, expected life, expected stock price volatility and dividend yield. The risk-free interest rate assumption is based upon observed interest rates for U.S. Treasury securities consistent with the expected term of the Company’s employee stock options. The expected life represents the period of time the stock options are expected to be outstanding and is based on the simplified method. Under the simplified method, the expected life of an option is presumed to be the mid-point between the vesting date and the end of the contractual term. As the Company has a limited history of trading as a public company, the Company utilizes the simplified method due to the lack of sufficient historical exercise data to provide a reasonable basis upon which to otherwise estimate the expected life of the stock options. Therefore, the expected volatility is based on historical volatilities for publicly traded stock of comparable companies over the estimated expected life of the stock options. The Company assumed no dividend yield because it does not expect to pay dividends in the near future, which is consistent with the Company’s history of not paying dividends. The following table summarizes the assumptions used for estimating the fair value of stock options granted for the six months ended December 31: Period ended December 31, 2014 2015 Valuation assumptions: Expected dividend yield % % Expected volatility % % Expected term (years) Risk-free interest rate % % The table below presents stock option activity during the six months ended December 31, 2015: Outstanding Options Number of shares Weighted average exercise price Weighted average remaining contractual term Aggregate intrinsic value Balance at July 1, 2015 $ $ Options granted Options forfeited ) Options exercised ) Balance at December 31, 2015 $ $ Options exercisable at December 31, 2015 $ $ Options vested and expected to vest at December 31, 2015 $ $ There were no options granted during either of the three-month periods December 31, 2014 and 2015. The weighted average grant date fair value of options granted during the six-month period ended December 31, 2014 and 2015 was $11.15 and $12.92, respectively. The total intrinsic value of options exercised was $1,839 and $4,653 during the three-month periods ended December 31, 2014 and 2015, respectively and $2,063 and $7,588 during the six-month periods ended December 31, 2014 and 2015, respectively. At December 31, 2015, there was $4,849 of total unrecognized compensation cost, net of estimated forfeitures, related to unvested stock option granted under the Plan. That cost is expected to be recognized over a weighted average period of 1.59 years. The Company may also grant RSUs under the 2014 Plan with terms determined at the discretion of the Compensation Committee of the Company’s Board of Directors. RSUs generally vest over three or four years following the grant date. Certain RSU awards have time-based vesting conditions while other RSU awards are based on attainment of certain performance benchmarks. The following table represents restricted stock unit activity during the six months ended December 31, 2015: Units Weighted average grant date fair value RSU balance at July 1, 2015 $ RSUs granted RSUs vested ) RSUs cancelled/forfeited ) RSU balance at December 31, 2015 $ RSUs expected to vest at December 31, 2015 $ At December 31, 2015, there was $20,399 of total unrecognized compensation cost, net of estimated forfeitures, related to unvested restricted stock awards granted under the Plan. That cost is expected to be recognized over a weighted average period of 2.3 years. (b) Employee Stock Purchase Plan The Company’s 2014 Employee Stock Purchase Plan (“ESPP”) was adopted by the Company’s board of directors and approved by the stockholders on February 6, 2014 and was effective upon completion of the Company’s initial public offering. Under the Company’s ESPP, the Company can grant stock purchase rights to all eligible employees during specific offering periods not to exceed twenty-seven months. Each offering period will begin on the trading day closest to May 16 and November 16 of each year. Shares are purchased through employees’ payroll deductions, up to a maximum of 10% of employees’ compensation for each purchase period, at a purchase price equal to 85% of the lesser of the fair market value of the Company’s common stock at the first trading day of the applicable offering period or the purchase date. Participants may purchase up to $25 worth of common stock or 2 shares of common stock in any one year. The ESPP is considered compensatory and results in compensation expense. As of December 31, 2015, a total of 1,003 common stock were reserved for future issuances under the ESPP. The number of shares of common stock reserved for issuance under the ESPP will increase automatically each calendar year, continuing through and including January 1, 2024. The number of shares added each year will be equal to the lesser of (a) 400, (b) seventy-five one hundredths percent (0.75%) of the number of shares of common stock of the Company issued and outstanding on the immediately preceding December 31, or (c) an amount determined by the Company’s board of directors. The Company issued 50 shares upon the completion of its six-month offering period ending November 15, 2015. The Company recorded compensation expense attributable to the ESPP of $154 and $256 for the three months ended December 31, 2014 and 2015, respectively and $284 and $508 for the six months ended December 31, 2014 and 2015, respectively, which is included in the summary of stock-based compensation expense above. The grant date fair value of the ESPP offering periods was estimated using the following weighted average assumptions: Period ended December 31, 2014 2015 Valuation assumptions: Expected dividend yield Expected volatility 35.5 – 41.7% 44.1 - 48.4% Expected term (years) 0.3 – 0.5 Risk-free interest rate 0.04 – 0.06% 0.11 - 0.31% (c) 401(k) Plan The Company maintains a 401(k) plan with a safe harbor matching provision that covers all eligible employees. The Company matches 50% of the employees’ contributions up to 6% of their gross pay. Contributions were $327 and $536 for the three-month periods ended December 31, 2014 and 2015, respectively and were $709 and $1,116 for the six-month periods ended December 31, 2014 and 2015, respectively.

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Dec. 31, 2015
Net Loss Per Share
Net Loss Per Share	(6) Net Loss Per Share Basic net loss per common share is computed using the weighted-average number of common shares outstanding during the period. Diluted net loss per share is computed using the weighted-average number of common shares outstanding during the period and, if dilutive, potential common shares outstanding during the period. The Company’s potential common shares consist of the incremental common shares issuable upon the exercise of stock options, the release of restricted stock units, and the shares purchasable via the employee stock purchase plan as of the balance sheet date. The dilutive effect of outstanding stock options is reflected in diluted earnings per share by application of the treasury stock method. The following table presents the calculation of basic and diluted net loss per share: Three months ended December 31, Six months ended December 31, 2014 2015 2014 2015 Numerator: Net loss $ ) $ ) $ ) $ ) Denominator: Weighted-average shares used in computing net loss per share: Basic Weighted-average effect of potentially dilutive shares: Employee stock options, restricted stock units and employee stock purchase plan shares — — — — Diluted Net loss per share: Basic $ ) $ ) $ ) $ ) Diluted $ ) $ ) $ ) $ ) The following table summarizes the outstanding employee stock options, restricted stock units, and shares purchasable via the employee stock purchase plan as of the balance sheet date that were excluded from the diluted per share calculation for the periods presented because to include them would have been anti-dilutive: Three months ended December 31, Six months ended December 31, 2014 2015 2014 2015 Employee stock options Restricted stock units Employee stock purchase plan shares Total

Income Taxes

Income Taxes	6 Months Ended
	Dec. 31, 2015
Income Taxes
Income Taxes	(7) Income Taxes The Company’s quarterly provision for income taxes is based on an estimated annual income tax rate. The Company’s quarterly provision for income taxes also includes the tax impact of certain unusual or infrequently occurring items, if any, including changes in judgment about valuation allowances and effects of changes in tax laws or rates, in the interim period in which they occur. The Company recorded income tax expense of $34 and $85 for the three-month periods ended December 31, 2014 and 2015, respectively and $62 and $186 for the six-month periods ended December 31, 2014 and 2015, respectively. The Company’s effective tax rate for the three and six months ended December 31, 2014 and 2015 differs from statutory rates primarily due to the existence of a valuation allowance recorded against the preponderance of the net deferred tax assets. The Company reviews the likelihood that it will realize the benefit of its deferred tax assets and, therefore, the need for a valuation allowance on a quarterly basis. It established a valuation allowance on all of its net deferred tax assets except for deferred tax liabilities associated with indefinite-lived intangible assets during fiscal 2014, given that the Company determined that it was more likely than not that the Company would not recognize the benefits of its net operating loss carryforwards prior to their expiration. The Company has continued to carry the valuation allowance during fiscal 2015 and for the three and six months ending December 31, 2015. As of December 31, 2015, the Company had no unrecognized tax benefits.

Summary of Significant Accoun14

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Dec. 31, 2015
Summary of Significant Accounting Policies
Consolidation and Use of Estimates	(a) Consolidation and Use of Estimates These unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). The unaudited consolidated financial statements include the accounts of the Company and its wholly owned subsidiary. All intercompany accounts and transactions have been eliminated in consolidation. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include the allowance for doubtful accounts, internal-use software, valuation and useful lives of long-lived assets, definite-lived intangibles, goodwill, stock-based compensation, valuation of net deferred income tax assets and the best estimate of selling price for revenue recognition purposes. Future events and their effects cannot be predicted with certainty; accordingly, accounting estimates require the exercise of judgment. Accounting estimates used in the preparation of these consolidated financial statements change as new events occur, as more experience is acquired, as additional information is obtained and as the operating environment changes.
Interim Unaudited Consolidated Financial Information	(b) Interim Unaudited Consolidated Financial Information The accompanying unaudited consolidated financial statements and notes have been prepared in accordance with GAAP and applicable rules and regulations of the SEC regarding interim financial reporting. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, the interim financial information includes all adjustments of a normal recurring nature necessary for a fair presentation of the results of operations, financial position, changes in stockholders’ equity and cash flows. The results of operations for the three and six months ended December 31, 2015 are not necessarily indicative of the results for the full year or the results for any future periods. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes for the year ended June 30, 2015 included in the Company’s Annual Report on Form 10-K filed with the SEC on August 14, 2015.
Income Taxes	(c) Income Taxes Differences in the normal relationship between the income tax expense and pre-tax loss materially result from the existence of a valuation allowance recorded against the preponderance of the net deferred tax assets.
Stock-Based Compensation	(d) Stock-Based Compensation The Company recognizes all employee stock-based compensation as a cost in the financial statements. Equity-classified awards, including those under the 2014 Employee Stock Purchase Plan (“ESPP”), are measured at the grant date fair value of the award and expense is recognized, net of assumed forfeitures, on a straight-line basis over the requisite service period for each separately vesting portion of the award. The Company estimates grant date fair value using the Black-Scholes option-pricing model and periodically updates the assumed forfeiture rates for actual experience over the option vesting term or the term of the ESPP purchase period.
Recently Issued Accounting Standards	(e) Recently Issued Accounting Standards In May 2014, the Financial Accounting Standards Board (FASB) issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 supersedes a majority of existing revenue recognition guidance under US GAAP, and requires companies to recognize revenue when it transfers goods or services to a customer in an amount that reflects the consideration to which a company expects to be entitled. Companies may need to apply more judgment and estimation techniques or methods while recognizing revenue, which could result in additional disclosures to the financial statements. Topic 606 allows for either a “retrospective” or “cumulative effect” transition method. The original standard was effective for fiscal years beginning after December 15, 2016. In July 2015, the FASB approved a one-year deferral of this standard, with a new effective date for fiscal years beginning after December 15, 2017 with early adoption permitted as of the original effective date. The Company is currently assessing the potential effects of these changes to its consolidated financial statements and is evaluating the adoption method and timing. In November 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes (Topic 740) (“ASU 2015-17”) . ASU 2015-17 requires all deferred income tax assets and liabilities to be classified as non-current in a classified balance sheet. This ASU would first apply prospectively or retrospectively for fiscal years beginning after December 15, 2016. Earlier adoption is permitted as of the beginning of an interim or annual reporting period. The Company is currently assessing the potential effects of these changes to its consolidated financial statements and is evaluating the adoption method and timing. From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that are adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that the impact of recently issued standards that are not yet effective will not have a material impact on the Company’s consolidated financial statements upon adoption.

Balance Sheet Information (Tabl

Balance Sheet Information (Tables)	6 Months Ended
	Dec. 31, 2015
Balance Sheet Information
Schedule of activity in allowance for doubtful accounts	Balance at June 30, 2015 $ Charged to expense Write-offs ) Balance at December 31, 2015 $
Schedule of capitalized internal-use software and accumulated amortization	June 30, December 31, 2015 2015 Capitalized internal-use software $ $ Accumulated amortization ) ) Capitalized internal-use software, net $ $
Schedule of property and equipment	June 30, December 31, 2015 2015 Office equipment $ $ Computer equipment Furniture and fixtures Software Leasehold improvements Time clocks rented by clients Accumulated depreciation ) ) Property and equipment, net $ $
Schedule of intangible assets	June 30, 2015 December 31, 2015 Weighted Average Useful Life Client relationships $ $ 9 years Non-solicitation agreements 2-3 years Total Accumulated amortization ) ) Intangible assets, net $ $
Schedule of future amortization expense for acquired intangible assets	Future amortization expense for acquired intangible assets is as follows, as of December 31, 2015: Remainder of fiscal 2016 $ Fiscal 2017 Fiscal 2018 Fiscal 2019 Fiscal 2020 Thereafter Total $
Schedule of components of accrued expenses	June 30, December 31, 2015 2015 Accrued payroll and personnel costs $ $ Current portion of deferred rent Other Total accrued expenses $ $

Benefit Plans (Tables)

Benefit Plans (Tables)	6 Months Ended
	Dec. 31, 2015
Benefit Plans
Summary of shares available for grant under our equity incentive plans	Number of Shares Available for grant at July 1, 2015 RSUs granted ) Options granted ) Shares withheld in settlement of taxes and exercise price Forfeitures Shares removed ) Available for grant at December 31, 2015
Schedule of stock-based compensation expense related to stock options, Restricted Stock Units and the Employee Stock Purchase Plan	Three months ended December 31, Six months ended December 31, 2014 2015 2014 2015 Cost of revenue — recurring $ $ $ $ Cost of revenue — non-recurring Sales and marketing Research and development General and administrative Total stock-based compensation $ $ $ $
Summary of the assumptions used for estimating the fair value of stock options granted	Period ended December 31, 2014 2015 Valuation assumptions: Expected dividend yield % % Expected volatility % % Expected term (years) Risk-free interest rate % %
Schedule of stock option activity	Outstanding Options Number of shares Weighted average exercise price Weighted average remaining contractual term Aggregate intrinsic value Balance at July 1, 2015 $ $ Options granted Options forfeited ) Options exercised ) Balance at December 31, 2015 $ $ Options exercisable at December 31, 2015 $ $ Options vested and expected to vest at December 31, 2015 $ $
Schedule of Restricted stock unit activity	Units Weighted average grant date fair value RSU balance at July 1, 2015 $ RSUs granted RSUs vested ) RSUs cancelled/forfeited ) RSU balance at December 31, 2015 $ RSUs expected to vest at December 31, 2015 $
Schedule of estimated grant date fair value of ESPP offering period using weighted average assumptions	Period ended December 31, 2014 2015 Valuation assumptions: Expected dividend yield Expected volatility 35.5 – 41.7% 44.1 - 48.4% Expected term (years) 0.3 – 0.5 Risk-free interest rate 0.04 – 0.06% 0.11 - 0.31%

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	6 Months Ended
	Dec. 31, 2015
Net Loss Per Share
Schedule of calculation of basic and diluted net loss per share	Three months ended December 31, Six months ended December 31, 2014 2015 2014 2015 Numerator: Net loss $ ) $ ) $ ) $ ) Denominator: Weighted-average shares used in computing net loss per share: Basic Weighted-average effect of potentially dilutive shares: Employee stock options, restricted stock units and employee stock purchase plan shares — — — — Diluted Net loss per share: Basic $ ) $ ) $ ) $ ) Diluted $ ) $ ) $ ) $ )
Summary of outstanding employee stock options, restricted stock units and employee stock purchase plan shares excluded from the diluted per share calculation because to include them would have been anti-dilutive	Three months ended December 31, Six months ended December 31, 2014 2015 2014 2015 Employee stock options Restricted stock units Employee stock purchase plan shares Total

Organization and Description 18

Organization and Description of Business (Detail) - Secondary Offering - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	1 Months Ended
	Oct. 31, 2015	Sep. 30, 2015
Secondary offering
Public offering price (in dollar per share)		$ 29.75
Secondary offering over-allotment options exercised by underwriters (in shares)	561
Proceeds received from public offering	$ 0
Existing shareholders
Secondary offering
Number of shares of common stock sold		3,740
Proceeds received from public offering		$ 0

Balance Sheet Information (Deta

Balance Sheet Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Jun. 30, 2015
Activity in allowance for doubtful accounts
Balance at beginning of period			$ 149
Charged to expense			75	$ 71
Write-offs			(40)
Balance at end of period	$ 184		184
Capitalized internal-use software and accumulated amortization
Capitalized internal-use software	29,050		29,050		$ 24,733
Accumulated amortization	(19,741)		(19,741)		(17,376)
Capitalized internal-use software, net	9,309		9,309		7,357
Amortization of capitalized internal-use software costs	1,423	$ 685	2,365	1,278
Property and equipment
Property and equipment, gross	37,089		37,089		31,155
Accumulated depreciation	(15,968)		(15,968)		(15,094)
Property and equipment, net	21,121		21,121		16,061
Depreciation expense	1,632	$ 1,354	3,029	$ 2,502
Office equipment
Property and equipment
Property and equipment, gross	2,409		2,409		1,875
Computer equipment
Property and equipment
Property and equipment, gross	15,595		15,595		11,783
Furniture and fixtures
Property and equipment
Property and equipment, gross	3,032		3,032		2,423
Software
Property and equipment
Property and equipment, gross	5,094		5,094		5,218
Leasehold improvements
Property and equipment
Property and equipment, gross	7,230		7,230		6,639
Time clocks rented by clients
Property and equipment
Property and equipment, gross	$ 3,729		$ 3,729		$ 3,217

Balance Sheet Information (De20

Balance Sheet Information (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Jun. 30, 2015
Intangible Assets
Intangible assets	$ 12,940		$ 12,940		$ 12,940
Accumulated amortization	(1,760)		(1,760)		(999)
Intangible assets, net	11,180		11,180		11,941
Amortization expense for acquired intangible assets	381	$ 190	761	$ 380
Future amortization expense for acquired intangible assets
Remainder of fiscal 2016	762		762
Fiscal 2,017	1,512		1,512
Fiscal 2,018	1,427		1,427
Fiscal 2,019	1,398		1,398
Fiscal 2,020	1,398		1,398
Thereafter	4,683		4,683
Intangible assets, net	11,180		11,180		11,941
Components of accrued expenses
Accrued payroll and personnel costs	14,549		14,549		14,275
Current portion of deferred rent	190		190		727
Other	2,957		2,957		1,428
Total accrued expenses	17,696		17,696		16,430
Client relationships
Intangible Assets
Intangible assets	12,580		$ 12,580		12,580
Useful life			9 years
Non-solicitation agreements
Intangible Assets
Intangible assets	$ 360		$ 360		$ 360
Minimum | Non-solicitation agreements
Intangible Assets
Useful life			2 years
Maximum | Non-solicitation agreements
Intangible Assets
Useful life			3 years

Benefit Plans (Details)

Benefit Plans (Details) shares in Thousands	6 Months Ended
	Dec. 31, 2015shares
Stock options
Equity Incentive Plans
Expiration period	10 years
Stock options | Minimum
Equity Incentive Plans
Vesting period	3 years
Stock options | Maximum
Equity Incentive Plans
Vesting period	4 years
2008 Plan
Equity Incentive Plans
Awards issued (in shares)	0
2014 Plan
Equity Incentive Plans
Potential additional shares available for grant (as a percent)	4.50%
Equity Incentive Plans
Equity Incentive Plans
Number of shares of common stock reserved for issuance	8,551
Outstanding options or awards	4,761

Benefit Plans (Details 2)

Benefit Plans (Details 2) - Equity Incentive Plans shares in Thousands	6 Months Ended
	Dec. 31, 2015shares
Shares Available for Grant
Balance at the beginning of the period (in shares)	4,490
RSUs granted (in shares)	(722)
Options granted (in shares)	(149)
Shares withheld in settlement of taxes and exercise price (in shares)	149
Forfeitures (in shares)	102
Shares removed (in shares)	(80)
Balance at the end of the period (in shares)	3,790

Benefit Plans (Details 3)

Benefit Plans (Details 3) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Benefit Plans
Total stock-based compensation	$ 4,780	$ 3,854	$ 8,492	$ 7,137
Stock-based compensation costs capitalized	276	148	542	310
Cost of revenue - recurring
Benefit Plans
Total stock-based compensation	448	466	805	814
Cost of revenue - non-recurring
Benefit Plans
Total stock-based compensation	304	386	574	677
Sales and marketing
Benefit Plans
Total stock-based compensation	1,205	894	2,118	1,778
Research and development
Benefit Plans
Total stock-based compensation	815	849	1,384	1,384
General and administrative
Benefit Plans
Total stock-based compensation	$ 2,008	$ 1,259	$ 3,611	$ 2,484

Benefit Plans (Details 4)

Benefit Plans (Details 4) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Jun. 30, 2015
Stock options
Valuation assumptions:
Expected dividend yield (as a percent)			0.00%	0.00%
Expected volatility (as a percent)			34.00%	43.90%
Expected term (years)			6 years 3 months	6 years 3 months
Risk-free interest rate (as a percent)			1.83%	1.91%
Number of shares
Balance at the beginning of the period (in shares)			3,956,000
Options granted (in shares)	0	0	149,000	0
Options forfeited (in shares)			(78,000)
Options exercised (in shares)			(254,000)
Balance at the end of the period (in shares)	3,773,000		3,773,000		3,956,000
Options exercisable at the end of the period (in shares)	1,835,000		1,835,000
Options vested and expected to vest at the end of the period (in shares)	3,678,000		3,678,000
Weighted average exercise price
Balance at the beginning of the period (in dollars per share)			$ 10.96
Options granted (in dollars per share)			35.28
Options forfeited (in dollars per share)			16.06
Options exercised (in dollars per share)			7.61
Balance at the end of the period (in dollars per share)	$ 12.05		12.05		$ 10.96
Options exercisable at the end of the period (in dollars per share)	6.85		6.85
Options vested and expected to vest at the end of the period (in dollars per share)	$ 11.83		$ 11.83
Weighted average remaining contractual term
Balance at the beginning of the period			7 years 3 months 4 days		7 years 7 months 17 days
Balance at the end of the period			7 years 3 months 4 days		7 years 7 months 17 days
Options exercisable at the end of the period			6 years 4 months 6 days
Options vested and expected to vest at the end of the period			7 years 2 months 23 days
Aggregate intrinsic value
Balance at the beginning of the period			$ 98,434
Balance at the end of the period	$ 107,542		107,542		$ 98,434
Options exercisable at the end of the period	61,842		61,842
Options vested and expected to vest at the end of the period	105,625		$ 105,625
Weighted average grant date fair value of options granted (in dollars per share)			$ 12.92	$ 11.15
Total intrinsic value of options exercised	4,653	$ 1,839	$ 7,588	$ 2,063
Total unrecognized compensation cost, net of estimated forfeitures	4,849		$ 4,849
Weighted average period to recognize unrecognized compensation cost			1 year 7 months 2 days
Stock options | Minimum
Weighted average grant date fair value
Vesting period			3 years
Stock options | Maximum
Weighted average grant date fair value
Vesting period			4 years
RSUs
Aggregate intrinsic value
Total unrecognized compensation cost, net of estimated forfeitures	$ 20,399		$ 20,399
Weighted average period to recognize unrecognized compensation cost			2 years 3 months 18 days
Units
RSU Balance at the beginning of the period (in shares)			386,000
RSUs granted (in shares)			722,000
RSUs vested (in shares)			(95,000)
RSUs cancelled/forfeited (in shares)			(24,000)
RSU Balance at the end of the period (in shares)	989,000		989,000		386,000
RSUs expected to vest at the end of the period (in shares)	862,000		862,000
Weighted average grant date fair value
RSU Balance at the beginning of the period (in dollars per share)			$ 24.98
RSUs granted (in dollars per share)			35.27
RSUs vested (in dollars per share)			25.33
RSUs cancelled/forfeited (in dollars per share)			30.15
RSU Balance at the end of the period (in dollars per share)	$ 32.38		32.38		$ 24.98
RSUs expected to vest at the end of the period (in dollars per share)	$ 32.20		$ 32.20
RSUs | Minimum
Weighted average grant date fair value
Vesting period			3 years
RSUs | Maximum
Weighted average grant date fair value
Vesting period			4 years

Benefit Plans (Details 5)

Benefit Plans (Details 5) - USD ($) shares in Thousands, $ in Thousands	Feb. 06, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Equity Incentive Plans
Compensation expense (in dollars)		$ 4,780	$ 3,854	$ 8,492	$ 7,137
Employee stock purchase plan shares
Equity Incentive Plans
Percentage of employee compensation, maximum	10.00%
Percentage of fair market value as a purchase price	85.00%
Value of purchase per employee, maximum	$ 25
Number of shares per employee, maximum	2
Number of periods during which shares can be purchased	1 year
Number of shares of common stock reserved for issuance		1,003		1,003
Number of shares issued				50
Potential number of additional shares reserved for issuance each year				400
Potential percentage of additional number of shares reserved for issuance each year				0.75%
Compensation expense (in dollars)		$ 256	$ 154	$ 508	$ 284
Valuation assumptions:
Expected dividend yield				0.00%	0.00%
Expected term (years)				6 months
Employee stock purchase plan shares | Minimum
Valuation assumptions:
Expected volatility				44.10%	35.50%
Expected term (years)					3 months 18 days
Risk-free interest rate					0.04%
Risk-free interest rate				0.11%
Employee stock purchase plan shares | Maximum
Equity Incentive Plans
Offering period	27 months
Valuation assumptions:
Expected volatility				48.40%	41.70%
Expected term (years)					6 months
Risk-free interest rate				0.31%	0.06%

Benefit Plans (Details 6)

Benefit Plans (Details 6) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Benefit Plans
401(k) Plan Matching contributions by the Company as percentage of employees' contributions			50.00%
401(k) Plan Maximum contributions as percentage of employees' gross pay			6.00%
401(k) Plan contributions	$ 536	$ 327	$ 1,116	$ 709

Net Loss Per Share (Details)

Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Numerator:
Net loss	$ (1,165)	$ (6,420)	$ (4,600)	$ (11,295)
Weighted-average shares used in computing net loss per share:
Basic (in shares)	50,890	49,775	50,817	49,670
Weighted-average effect of potentially dilutive shares:
Employee stock options, restricted stock units and employee stock purchase plan shares	0	0	0	0
Diluted (in shares)	50,890	49,775	50,817	49,670
Net loss per share:
Basic (in dollars per share)	$ (0.02)	$ (0.13)	$ (0.09)	$ (0.23)
Diluted (in dollars per share)	$ (0.02)	$ (0.13)	$ (0.09)	$ (0.23)
Anti-dilutive securities excluded from diluted per share calculation
Total (in shares)	4,775	4,776	4,775	4,776
Employee stock options
Anti-dilutive securities excluded from diluted per share calculation
Total (in shares)	3,773	4,387	3,773	4,387
RSUs
Anti-dilutive securities excluded from diluted per share calculation
Total (in shares)	989	377	989	377
Employee stock purchase plan shares
Anti-dilutive securities excluded from diluted per share calculation
Total (in shares)	13	12	13	12

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Dec. 31, 2014
Income Taxes
Income tax expense	$ 85	$ 34	$ 186	$ 62
Unrecognized tax benefits	$ 0		$ 0