Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Mar. 31, 2022 | Apr. 29, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | BILL.COM HOLDINGS, INC. | |
Entity Central Index Key | 0001786352 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 104,267,874 | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity File Number | 001-39149 | |
Entity Tax Identification Number | 83-2661725 | |
Entity Address, Address Line One | 6220 America Center Drive, Suite 100 | |
Entity Address, City or Town | San Jose | |
Entity Address, State or Province | CA | |
City Area Code | 650 | |
Local Phone Number | 621-7700 | |
Entity Address, Postal Zip Code | 95002 | |
Entity Interactive Data Current | Yes | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Title of 12(b) Security | Common Stock, $0.00001 par value | |
Security Exchange Name | NYSE | |
Trading Symbol | BILL |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 1,639,371 | $ 509,615 |
Short-term investments | 1,143,408 | 655,314 |
Accounts receivable, net | 26,859 | 18,222 |
Acquired card receivables, net | 237,511 | 147,093 |
Prepaid expenses and other current assets | 91,865 | 67,195 |
Funds held for customers | 3,043,540 | 2,208,598 |
Total current assets | 6,182,554 | 3,606,037 |
Non-current assets: | ||
Operating lease right-of-use assets, net | 78,739 | 71,925 |
Property and equipment, net | 53,279 | 48,902 |
Intangible assets, net | 452,351 | 417,341 |
Goodwill | 2,363,109 | 1,772,043 |
Other assets | 53,804 | 52,925 |
Total assets | 9,183,836 | 5,969,173 |
Current liabilities: | ||
Accounts payable | 9,433 | 11,904 |
Accrued compensation and benefits | 18,478 | 20,287 |
Other accruals and current liabilities | 155,127 | 84,870 |
Borrowings from credit facilities, net | 30,370 | |
Convertible senior notes, net | 1,134,835 | |
Customer fund deposits | 3,043,540 | 2,208,598 |
Total current liabilities | 4,391,783 | 2,325,659 |
Non-current liabilities: | ||
Operating lease liabilities | 84,931 | 86,639 |
Borrowings from credit facilities, net | 48,071 | 79,534 |
Convertible senior notes, net | 561,457 | 909,847 |
Other long-term liabilities | 29,278 | 37,904 |
Total liabilities | 5,115,520 | 3,439,583 |
Commitments and contingencies (Notes 14) | ||
Stockholders' equity: | ||
Common stock | 2 | 2 |
Additional paid-in capital | 4,535,699 | 2,777,155 |
Accumulated other comprehensive loss | (7,499) | (100) |
Accumulated deficit | (459,886) | (247,467) |
Total stockholders' equity | 4,068,316 | 2,529,590 |
Total liabilities and stockholders' equity | $ 9,183,836 | $ 5,969,173 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||||
Revenue | $ 166,911 | $ 59,738 | $ 441,738 | $ 159,992 |
Cost of revenue | 37,342 | 15,434 | 101,563 | 41,513 |
Gross profit | 129,569 | 44,304 | 340,175 | 118,479 |
Operating expenses | ||||
Research and development | 60,230 | 22,286 | 154,656 | 60,558 |
Sales and marketing | 92,065 | 15,190 | 235,194 | 42,272 |
General and administrative | 60,457 | 22,124 | 183,788 | 58,897 |
Total operating expenses | 212,752 | 59,600 | 573,638 | 161,727 |
Loss from operations | (83,183) | (15,296) | (233,463) | (43,248) |
Other expenses, net | (4,416) | (11,432) | (12,891) | (13,943) |
Loss before benefit from income taxes | (87,599) | (26,728) | (246,354) | (57,191) |
Benefit from income taxes | (879) | (4,935) | (333) | |
Net loss | $ (86,720) | $ (26,728) | $ (241,419) | $ (56,858) |
Net loss per share attributable to common stockholders: | ||||
Basic and diluted | $ (0.84) | $ (0.32) | $ (2.39) | $ (0.70) |
Weighted-average number of common shares used to compute net loss per share attributable to common stockholders: | ||||
Basic and diluted | 103,830 | 82,627 | 100,856 | 81,446 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net loss | $ (86,720) | $ (26,728) | $ (241,419) | $ (56,858) |
Other comprehensive loss: | ||||
Net unrealized loss on investments in available- for-sale securities | (5,649) | (389) | (7,399) | (2,611) |
Comprehensive loss | $ (92,369) | $ (27,117) | $ (248,818) | $ (59,469) |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Cumulative Effect Period Of Adoption Adjustment | Common Stock | Additional Paid-in Capital | Additional Paid-in CapitalCumulative Effect Period Of Adoption Adjustment | Accumulated Other Comprehensive Income (Loss) | Accumulated Deficit | Accumulated DeficitCumulative Effect Period Of Adoption Adjustment |
Beginning balance at Jun. 30, 2020 | $ 710,719 | $ 2 | $ 857,044 | $ 2,420 | $ (148,747) | |||
Beginning balance, shares at Jun. 30, 2020 | 79,635 | |||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units | 8,081 | 8,081 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units, shares | 1,164 | |||||||
Issuance of common stock under the employee stock purchase plan | 4,327 | 4,327 | ||||||
Issuance of common stock under the employee stock purchase plan, shares | 226 | |||||||
Stock-based compensation | 9,894 | 9,894 | ||||||
Other comprehensive loss | (1,302) | (1,302) | ||||||
Net loss | (12,951) | (12,951) | ||||||
Ending balance at Sep. 30, 2020 | 718,768 | $ 2 | 879,346 | 1,118 | (161,698) | |||
Ending balance, shares at Sep. 30, 2020 | 81,025 | |||||||
Beginning balance at Jun. 30, 2020 | 710,719 | $ 2 | 857,044 | 2,420 | (148,747) | |||
Beginning balance, shares at Jun. 30, 2020 | 79,635 | |||||||
Net loss | (56,858) | |||||||
Ending balance at Mar. 31, 2021 | 870,461 | $ 2 | 1,076,255 | (191) | (205,605) | |||
Ending balance, shares at Mar. 31, 2021 | 83,090 | |||||||
Beginning balance at Sep. 30, 2020 | 718,768 | $ 2 | 879,346 | 1,118 | (161,698) | |||
Beginning balance, shares at Sep. 30, 2020 | 81,025 | |||||||
Equity component of 2025 Notes, net of allocated issuance costs and taxes | 245,066 | 245,066 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units | 8,184 | 8,184 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units, shares | 1,089 | |||||||
Purchase of capped calls | (87,860) | (87,860) | ||||||
Stock-based compensation | 10,689 | 10,689 | ||||||
Other comprehensive loss | (920) | (920) | ||||||
Net loss | (17,179) | (17,179) | ||||||
Ending balance at Dec. 31, 2020 | 876,748 | $ 2 | 1,055,425 | 198 | (178,877) | |||
Ending balance, shares at Dec. 31, 2020 | 82,114 | |||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units | 5,613 | 5,613 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units, shares | 756 | |||||||
Issuance of common stock under the employee stock purchase plan | 4,537 | 4,537 | ||||||
Issuance of common stock under the employee stock purchase plan, shares | 220 | |||||||
Stock-based compensation | 10,680 | 10,680 | ||||||
Other comprehensive loss | (389) | (389) | ||||||
Net loss | (26,728) | (26,728) | ||||||
Ending balance at Mar. 31, 2021 | 870,461 | $ 2 | 1,076,255 | (191) | (205,605) | |||
Ending balance, shares at Mar. 31, 2021 | 83,090 | |||||||
Beginning balance at Jun. 30, 2021 | 2,529,590 | $ 2 | 2,777,155 | (100) | (247,467) | |||
Beginning balance (ASU 2020-06) at Jun. 30, 2021 | $ (216,066) | $ (245,066) | $ 29,000 | |||||
Beginning balance, shares at Jun. 30, 2021 | 94,504 | |||||||
Issuance of common stock upon public offering, net of underwriting discounts and commissions and other offering costs | 1,341,122 | 1,341,122 | ||||||
Issuance of common stock upon public offering, net of underwriting discounts and commissions and other offering costs, shares | 5,074 | |||||||
Issuance of common stock as consideration for an acquisition,net of issuance costs | 488,263 | 488,263 | ||||||
Issuance of common stock as consideration for an acquisition, net of issuance costs, shares | 1,788 | |||||||
Fair value of replacement awards | 26,710 | 26,710 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units | 8,644 | 8,644 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units, shares | 1,033 | |||||||
Issuance of common stock under the employee stock purchase plan | 5,726 | 5,726 | ||||||
Issuance of common stock under the employee stock purchase plan, shares | 40 | |||||||
Purchase of capped calls | (37,893) | (37,893) | ||||||
Stock-based compensation | 38,839 | 38,839 | ||||||
Other comprehensive loss | (39) | (39) | ||||||
Net loss | (75,685) | (75,685) | ||||||
Ending balance at Sep. 30, 2021 | 4,109,211 | $ 2 | 4,403,500 | (139) | (294,152) | |||
Ending balance (ASU 2021-08) at Sep. 30, 2021 | 1,426 | 1,426 | ||||||
Ending balance, shares at Sep. 30, 2021 | 102,439 | |||||||
Beginning balance at Jun. 30, 2021 | 2,529,590 | $ 2 | 2,777,155 | (100) | (247,467) | |||
Beginning balance (ASU 2020-06) at Jun. 30, 2021 | $ (216,066) | $ (245,066) | $ 29,000 | |||||
Beginning balance, shares at Jun. 30, 2021 | 94,504 | |||||||
Net loss | (241,419) | |||||||
Ending balance at Mar. 31, 2022 | 4,068,316 | $ 2 | 4,535,699 | (7,499) | (459,886) | |||
Ending balance, shares at Mar. 31, 2022 | 104,183 | |||||||
Beginning balance at Sep. 30, 2021 | 4,109,211 | $ 2 | 4,403,500 | (139) | (294,152) | |||
Beginning balance, shares at Sep. 30, 2021 | 102,439 | |||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units | 14,140 | 14,140 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units, shares | 1,022 | |||||||
Stock-based compensation | 50,701 | 50,701 | ||||||
Other comprehensive loss | (1,711) | (1,711) | ||||||
Net loss | (80,440) | (80,440) | ||||||
Ending balance at Dec. 31, 2021 | 4,093,327 | $ 2 | 4,468,341 | (1,850) | (373,166) | |||
Ending balance, shares at Dec. 31, 2021 | 103,461 | |||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units | 6,332 | 6,332 | ||||||
Issuance of common stock upon exercise of stock options and release of restricted stock units, shares | 680 | |||||||
Issuance of common stock under the employee stock purchase plan | 7,123 | 7,123 | ||||||
Issuance of common stock under the employee stock purchase plan, shares | 42 | |||||||
Stock-based compensation | 53,903 | 53,903 | ||||||
Other comprehensive loss | (5,649) | (5,649) | ||||||
Net loss | (86,720) | (86,720) | ||||||
Ending balance at Mar. 31, 2022 | $ 4,068,316 | $ 2 | $ 4,535,699 | $ (7,499) | $ (459,886) | |||
Ending balance, shares at Mar. 31, 2022 | 104,183 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash flows from operating activities: | ||
Net loss | $ (241,419) | $ (56,858) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 8,220 | 3,449 |
Stock-based compensation | 140,381 | 31,263 |
Amortization of debt discount (accretion of debt premium) and issuance costs | 3,362 | 15,724 |
Amortization of finite-lived intangible assets | 56,209 | |
Amortization of premium (accretion of discount) on investments in marketable debt securities | 10,039 | 1,970 |
Non-cash operating lease expense | 6,307 | 2,635 |
Provision for losses on acquired card receivables | 15,621 | |
Deferred income taxes | (4,691) | (333) |
Changes in assets and liabilities: | ||
Accounts receivable | (5,846) | (5,332) |
Prepaid expenses and other current assets | (2,966) | (6,149) |
Other assets | (968) | (11,799) |
Accounts payable | (4,435) | 927 |
Other accruals and current liabilities | 12,665 | 58 |
Operating lease liabilities | (5,591) | 7,782 |
Other long-term liabilities | 302 | 576 |
Deferred revenue | 5,191 | 2,924 |
Net cash used in operating activities | (7,619) | (13,163) |
Cash flows from investing activities: | ||
Cash paid for acquisition, net of acquired cash and cash equivalents | (144,541) | |
Purchases of corporate and customer fund short-term investments | (2,176,127) | (1,486,025) |
Proceeds from maturities of corporate and customer fund short-term investments | 1,308,650 | 830,933 |
Proceeds from sale of corporate and customer fund short-term investments | 50,744 | 119,072 |
Increase in other receivables included in funds held for customers | (13,547) | (9,072) |
Increase in acquired card receivables | (89,909) | |
Purchases of property and equipment | (3,758) | (17,062) |
Capitalization of internal-use software costs | (7,409) | (1,038) |
Net cash used in investing activities | (1,075,897) | (563,192) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock upon public offering, net of underwriting discounts and other offering costs | 1,341,122 | |
Proceeds from issuance of convertible senior notes, net of discounts and issuance costs | 560,075 | 1,129,379 |
Purchase of capped call | (37,893) | (87,860) |
Increase in customer fund deposits liability | 834,942 | 285,590 |
Payments of line of credit borrowings | (2,300) | |
Proceeds from exercise of stock options | 29,116 | 23,034 |
Proceeds from issuance of common stock under the employee stock purchase plan | 12,849 | 8,864 |
Other | (351) | (664) |
Net cash provided by financing activities | 2,739,860 | 1,356,043 |
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents | ||
Net increase in cash, cash equivalents, restricted cash, and restricted cash equivalents | 1,656,344 | 779,688 |
Cash, cash equivalents, restricted cash, and restricted cash equivalents, beginning of period | 1,809,692 | 1,592,377 |
Cash, cash equivalents, restricted cash, and restricted cash equivalents, end of period | 3,466,036 | 2,372,065 |
Reconciliation of cash, cash equivalents, restricted cash, and restricted cash equivalents within the consolidated balance sheets to the amounts shown in the consolidated statements of cash flows above: | ||
Cash and cash equivalents | 1,639,371 | 1,223,724 |
Restricted cash included in other current assets | $ 28,343 | $ 35 |
Restricted Cash, Current, Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent |
Restricted cash included in other assets | $ 6,724 | |
Restricted Cash, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | Other Assets, Noncurrent |
Restricted cash and restricted cash equivalents included in funds held for customers | $ 1,791,598 | $ 1,148,306 |
Total cash, cash equivalents, restricted cash, and restricted cash equivalents, end of period | $ 3,466,036 | $ 2,372,065 |
The Company and Its Significant
The Company and Its Significant Accounting Policies | 9 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
The Company and Its Significant Accounting Policies | NOTE 1 – THE COMPANY AND ITS SIGNIFICANT ACCOUNTING POLICIES Bill.com, Inc. was incorporated in the State of Delaware in April 2006. In November 2018, Bill.com, Inc. consummated a reorganization with Bill.com Holdings, Inc., which resulted in the latter becoming the parent entity of Bill.com, Inc. Bill.com, Inc. was subsequently converted into a limited liability company and renamed Bill.com, LLC. Bill.com Holdings, Inc., which was incorporated in the State of Delaware in August 2018, and its subsidiaries are collectively referred to as the “Company.” The Company is a provider of software-as-a-service, cloud-based payments and spend management products, which allow users to automate accounts payable and accounts receivable transactions, enable businesses to easily connect with their suppliers and/or customers to do business, eliminate expense reports, manage cash flows, and improve back office efficiency. Offering of Common Stock and Notes On September 24, 2021, the Company closed a public offering in which the Company issued and sold a total of 5,073,529 shares of common stock at a public offering price of $ 272.00 per share. The Company received $ 1.3 billion in net proceeds from this public offering, after deducting underwriting discounts, commissions and other offering costs of $ 38.9 million. Concurrent with the public offering of common stock, the Company issued and sold $ 575.0 million in aggregate principal amount of its 0 % convertible notes due on April 1, 2027 (2027 Notes) in a private offering . The Company received $ 560.1 million in net proceeds from the sale of the 2027 Notes, after deducting purchaser discounts, commissions and other offering costs of $ 14.9 million. Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and applicable rules and regulations of the SEC regarding interim financial reporting. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present fairly the Company’s financial position, results of operations, comprehensive loss, changes in stockholders’ equity, and cash flows for the periods presented. The results of operations for the three and nine months ended March 31, 2022 are not necessarily indicative of the results to be expected for the fiscal year ending June 30, 2022 or for any other future annual or interim period. The unaudited condensed consolidated balance sheet as of June 30, 2021 included herein was derived from the audited financial statements as of that date, but does not include all disclosures including certain notes required by U.S. GAAP on an annual reporting basis. All intercompany accounts and transactions have been eliminated. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2021. Segment Reporting The Company operates as one operating segment because its chief operating decision maker, who is the Chief Executive Officer, reviews its financial information on a consolidated basis for purposes of making decisions regarding allocating resources and assessing performance. The Company's long-lived assets are mainly located in the United States (U.S.) and revenue is mainly generated in the U.S. Long-lived assets and revenue generated outside the U.S. are not material . Business Combination The Company accounts for acquisitions using the acquisition method of accounting, which requires, among other things, allocation of the fair value of purchase consideration to the tangible and intangible assets acquired and liabilities assumed at their estimated fair values on the acquisition date. The excess of the fair value of purchase consideration over the values of the identifiable assets and liabilities is recorded as goodwill. The determination of the fair value of assets acquired and liabilities assumed involves assessments of factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the date of the acquisition. Significant management inputs used in the estimation of fair value of assets acquired and liabilities assumed include, but are not limited to, expected future cash flows, future changes in technology, estimated replacement costs, discount rates and assumptions about the period of time the brand will continue to be used in the Company’s product portfolio. Where appropriate, external advisers are consulted to assist in the determination of fair value. For non-observable market values, fair value has been determined using acceptable valuation methods (e.g., relief from royalty methods). The results of operations for businesses acquired are included in the financial statements from the acquisition date. Acquisition-related expenses and post-acquisition integration costs are recognized separately from the business combination and are expensed as incurred. During the measurement period, not to exceed one year from the date of acquisition, the Company may record adjustments to the tangible and intangible assets acquired and liabilities assumed, including the fair value of acquired intangible assets, an indemnification asset related to certain assumed liabilities, net lease liabilities, uncertain tax positions, tax-related valuation allowances and pre-acquisition contingencies with a corresponding offset to goodwill. The Company continues to collect information and reevaluates these estimates and assumptions quarterly and records any adjustments to the Company’s preliminary estimates to goodwill provided that the Company is within the measurement period. After the measurement period, any subsequent adjustments are reflected in the consolidated statements of operations. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make various estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Management regularly assesses these estimates, including useful lives of long-lived assets, capitalization of internal-use software costs, incremental borrowing rates for right-of-use operating lease assets and operating lease liabilities, the estimate of credit losses on accounts receivable, acquired card receivables and other financial assets, accrual for rewards, variable consideration used in revenue recognition for certain contracts, benefit periods used to amortize deferred commissions, reserve for losses on funds held for custom ers, inputs used to value certain stock-based compensation awards, and income tax. The Company evaluates these estimates and assumptions and adjusts them accordingly. Actual results could differ from those estimates, and such differences may be material to the consolidated financial statements. Cash, cash equivalents, restricted cash and restricted cash equivalents Cash and cash equivalents consist of cash in banks, highly liquid investments with maturities of three months or less at the time of purchase, and securities purchased under overnight reverse repurchase agreements. Restricted cash consists of (i) amounts restricted under deposit control agreements, (ii) cash collateral required by the Company’s lessors to satisfy letter of credit requirements under its lease agreements, (iii) cash collateral required by a bank in connection with the Company’s money transmission activities, and (iv) cash in bank deposits included in funds held for customers. Restricted cash equivalents consist of highly liquid investments with maturities of three months or less at the time of purchase that are included in funds held for customers. Except for the restricted cash included in funds held for customers, the current and non-current portion of the restricted cash is included in prepaid expenses and other current assets and in other assets, respectively, in the accompanying condensed consolidated balance sheets. Concentrations of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash, cash equivalents, restricted cash, restricted cash equivalents, short-term investments, accounts receivable, acquired card receivables, card receivables held for sale, and deposits of cash with a bank (collectively referred to as Financial Assets). The Company maintains its cash, cash equivalents, restricted cash, restricted cash equivalents, and short-term investments with major financial institutions that may at times exceed federally insured limits. Management believes that these financial institutions are financially sound with minimal credit risk. The Company performs credit evaluations to verify the credit quality of its financial assets and determine any at-risk receivables. An allowance for potential credit losses on Financial Assets and customer accounts is recognized, if material. As of March 31, 2022, the allowance for potential credit losses related to accounts receivable and acquired card receivables totale d approximately $ 6.0 million. There were no customers that exceeded 10 % of the Company’s total revenue during the three and nine months ended March 31, 2022 and 2021. Foreign Currency The Company has a foreign subsidiary whose functional currency is the U.S. dollar, which is the Company's reporting currency. Gains and losses from the remeasurement of transactions denominated in foreign currencies other than the functional currency of the foreign subsidiary are included in other income (expense), net in the accompanying condensed consolidated statements of operations Significant Accounting Policies There have been no changes to the Company’s significant accounting policies described in the Annual Report on Form 10-K for the fiscal year ended June 30, 2021, other than those new accounting policies that were implemented as a result of the Company's business acquisitions and the adoption of new accounting standards as described below. Recently Adopted Accounting Pronouncements In October 2021, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2021-08, Business Combinations (Topic 805)— Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . The amendments in this ASU address diversity and inconsistency related to the recognition and measurement of contract assets and contract liabilities acquired in a business combination. The amendments in this ASU require that an acquirer recognize and measure contract assets and contract liabilities (e.g., deferred revenue) acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. Upon adoption, an acquirer should account for the related revenue contracts of the acquiree as if it had originated the contracts. For public business entities, the amendments in ASU 2021-08 are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The amendments in this ASU should be applied prospectively to business combinations occurring on or after the effective date of the amendments. Early adoption of the amendments is permitted, including adoption in an interim period. An entity that early adopts in an interim period should apply the amendments (i) retrospectively to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application and (ii) prospectively to all business combinations that occur on or after the date of initial application. The Company early- adopted this ASU on October 1, 2021 , retrospectively to September 1, 2021, the date of the Company’s acquisition of Invoice2go, the Company’s only acquisition since July 1, 2021, the beginning of the fiscal year of adoption. The adoption of ASU 2021-08 resulted in an increase in deferred revenue assumed and a related increase to goodwill as of September 1, 2021 with a consequent increase in revenue during the three months ended September 30, 2021 and nine months ended March 31, 2022, in connection with the Invoice2go acquisition. The adoption of ASU 2021-08 had the following impact on the Company's previously reported condensed consolidated balance sheet as of the periods presented (in thousands): As previously ASU 2021-08 As adjusted, Assets Goodwill $ 2,354,812 $ 8,278 $ 2,363,090 Liabilities and Stockholders' Equity Current liabilities: Deferred revenue $ 21,328 $ 8,080 $ 29,408 Non-current liabilities: Deferred income tax liability $ 3,877 $ ( 1,228 ) $ 2,649 Stockholders' equity: Accumulated deficit $ ( 294,152 ) $ 1,426 $ ( 292,726 ) The adoption of ASU 2021-08 had the following impact on the Company's previously reported condensed consolidated statement of operations for the period presented (in thousands): As previously ASU 2021-08 As adjusted, Revenue $ 116,403 $ 1,946 $ 118,349 Benefit from income taxes $ ( 3,941 ) $ 520 $ ( 3,421 ) Net loss $ ( 75,685 ) $ 1,426 $ ( 74,259 ) Net loss per share attributable to $ ( 0.79 ) $ 0.01 $ ( 0.78 ) These adjustments are reflected in the Company’s condensed consolidated statement of operations during the nine months ended March 31, 2022. The impact of adopting ASU 2021-08 increased reported revenues by $ 2.6 million and $ 8.3 million during the three and nine months ended March 31, 2022, respectively. On July 1, 2021 , the Company early- adopted FASB ASU 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40), Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity , which simplifies the accounting for convertible instruments by removing certain separation models in Subtopic 470-20, Debt—Debt with Conversion and Other Options for convertible instruments. Under this ASU, the embedded conversion features are not required to be separated from the host contract for convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, Derivatives and Hedging , or that do not result in substantial premiums accounted for as paid-in capital. Consequently, a convertible debt instrument is accounted for as a single liability measured at its amortized cost and a convertible preferred stock is accounted for as a single equity instrument measured at its historical cost, as long as no other features require bifurcation and recognition as derivatives. In addition, this ASU amends the requirement for calculating diluted earnings per share for convertible instruments by using the “if-converted” method instead of the treasury stock method. The Company elected to follow the modified retrospective method upon adopting this ASU with respect to the 2025 Notes, which is the convertible debt that existed at that date. As a result of the adoption, the Company accounts for the 2025 Notes as a single liability and no longer separately accounts for the liability and equity components. The adoption of this ASU also resulted in the derecognition of a deferred tax liability, which represented a basis difference in the face value of the 2025 Notes due to the previous allocation of a portion of the proceeds to the equity component. Additionally, the Company recorded a cumulative adjustment to decrease the beginning balance of the accumulated deficit at July 1, 2021, which represented a reduction in previously recorded amortization of debt discount through June 30, 2021. The following table summarizes the adjustments made to the condensed consolidated balance sheet as of July 1, 2021 as a result of applying the modified retrospective method in adopting this ASU: ASU 2020-06 adjustments As previously Account for the Cumulative As adjusted, Convertible senior notes, net $ 909,847 $ 247,231 $ ( 25,316 ) $ 1,131,762 Deferred income tax liability (1) $ 9,090 $ ( 2,165 ) $ ( 3,684 ) $ 3,241 Additional paid-in capital $ 2,777,155 $ ( 245,066 ) $ — $ 2,532,089 Accumulated deficit $ ( 247,467 ) $ — $ 29,000 $ ( 218,467 ) (1) The balance at June 30, 2021 included $ 5.8 million of deferred tax liability associated with the allocation of the 2025 Notes into equity. On July 1, 2021 , the Company adopted FASB ASU 2020-04 , Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This ASU provide optional guidance to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting in response to concerns about structural risks of the cessation of LIBOR. It also provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. This ASU applies only to contracts and hedging relationships that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. The Company’s credit agreements reference both LIBOR and an alternative rate to replace LIBOR; therefore, the adoption of this ASU did no t have a material impact on the Company’s condensed consolidated financial statements. On July 1, 2021 , the Company adopted ASU 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment , which eliminates the second step of the goodwill impairment test that required a calculation of the implied fair value of goodwill following the procedures that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. Accordingly, a goodwill impairment test will be performed by comparing the fair value of a reporting unit with its carrying amount. An impairment charge will be recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value. The adoption of this ASU did no t have a material impact on the Company's condensed consolidated financial statements. |
Revenue, Performance Obligation
Revenue, Performance Obligations, Deferred Revenue and Unbilled Revenue | 9 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue, Performance Obligations, Deferred Revenue and Unbilled Revenue | NOTE 2 – Revenue, Performance Obligations, Deferred Revenue and UNBILLED REVENUE The Company generates revenue primarily from subscription and transaction fees. The Company’s customers include small and midsize businesses (SMB), accounting firms, and financial institutions. The table below shows the Company’s revenue from subscription and transaction fees, which are disaggregated by customer category, and revenue from interest on funds held for customers (in thousands). Three months ended Nine months ended 2022 2021 2022 2021 Small-to-midsize business, accounting $ 156,518 $ 54,710 $ 417,651 $ 144,609 Financial institution customers 8,950 3,912 20,895 10,134 Total subscription and transaction fees 165,468 58,622 438,546 154,743 Interest on funds held for customers 1,443 1,116 3,192 5,249 Total revenue $ 166,911 $ 59,738 $ 441,738 $ 159,992 Deferred revenue Fees from customers with which the Company has annual or multi-year contracts are generally billed in advance. These fees are initially recorded as deferred revenue and subsequently recognized as revenue as the performance obligation is satisfied. Total deferred revenue was $ 33.6 million and $ 15.8 million as of March 31, 2022 and June 30, 2021, respectively. The current portion of the deferred revenue, which was $ 31.6 million and $ 12.9 million as of March 31, 2022 and June 30, 2021, respectively, is included in other accruals and current liabilities in the accompanying condensed consolidated balance sheets. The non-current portion of the deferred revenue, which was $ 2.0 million and $ 2.9 million as of March 31, 2022 and June 30, 2021, respectively, is included in other long-term liabilities in the accompanying condensed consolidated balance sheets. During the three and nine months ended March 31, 2022, the Company recognized $ 3.2 million and $ 12.1 million of revenue, respectively, that was included in the deferred revenue balance as of June 30, 2021. Remaining performance obligations The Company has performance obligations associated with commitments in customer contracts for future services that have not yet been recognized as revenue. As of March 31, 2022, the aggregate amount of transaction price allocated to performance obligations that are unsatisfied (or partially unsatisfied), including deferred revenue, was approximately $ 148 million. Of the total remaining performance obligations, the Company expects to recognize approximately 63 % within two years and 37 % over the next three to five years thereafter. The Company determines remaining performance obligations at a point of time. Actual amounts and timing of revenue recognized may differ due to subsequent contract modifications, renewals and/or terminations. Unbilled revenue Unbilled revenue, which is included in prepaid expenses and other current assets in the accompanying condensed consolidated balance sheets, consists of rev enue recognized that has not been billed to the customers yet. The unbilled revenue amounted to $ 11.0 million and $ 8.1 million as of March 31, 2022 and June 30, 2021, respectively. |
Business Combinations
Business Combinations | 9 Months Ended |
Mar. 31, 2022 | |
Business Combinations [Abstract] | |
Business Combinations | NOTE 3 – BUSINESS COMBINATIONS Acquisition of Invoice2go On September 1, 2021 (acquisition date), the Company acquired 100 % of the outstanding equity interests of Invoice2go. The results of Invoice2go's operations have been included in the accompanying condensed consolidated financial statements since the acquisition date. Invoice2go provides mobile-first accounts receivable software that empowers SMBs and freelancers to grow their client base, manage invoicing and payments, and build their brand. Invoice2go has operations in the U.S. and in Australia, and serves a large global customer base of SMBs. The acquisition of Invoice2go will enhance the Company’s ability to provide an expanded product solution to enable SMBs to manage accounts payable, corporate card spend, and accounts receivable all in one place. Additionally, the acquisition will expand the market opportunity for the Company by offering Invoice2go's product to its existing customers and network members and vice versa. The acquisition purchase consideration totaled $ 674.3 million , which consisted of the following (in thousands): Equity consideration (1) $ 510,218 Cash 164,087 Total $ 674,305 (1) This includes 1,788,372 shares of the Company’s common stock issued with a fair value based upon the opening market price on the acquisition date. This also includes the stock options assumed to replace stock options that were outstanding on the acquisition date under Invoice2go's 2014 Equity Incentive Plan (Invoice2go 2014 Plan). The fair value of these stock options was $ 21.7 million, which was the amount attributable to the pre-combination requisite service period. The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands): Cash and cash equivalents $ 19,738 Accounts receivable and other assets 4,518 Intangible assets 91,219 Total identifiable assets acquired 115,475 Accounts payable and other liabilities ( 26,618 ) Net identifiable assets acquired 88,857 Goodwill 585,448 Net assets acquired $ 674,305 The preliminary fair values allocated to the identifiable intangible assets and their estimated useful lives are as follows: Preliminary Weighted-average Customer relationships $ 61,269 10.0 Developed technology 15,908 3.0 Trade name 14,042 3.0 Total $ 91,219 7.7 Customer relationships were measured at fair value using the multiple-period excess earnings method under the income approach. Significant inputs used to measure the fair value include an estimate of projected revenue and costs associated with existing customers, and a discount rate of 12.3 %. Developed technology was measured at fair value using the relief-from-royalty method of the income approach. Significant inputs used to measure the fair value include an estimate of projected revenue from existing technology, a pre-tax royalty rate of 15.0 % and a discount rate of 12.3 %. Trade name was measured at fair value using the relief-from-royalty method under the income approach. Significant inputs used to measure the fair value include an estimate of projected revenue from the trade name, a pre-tax royalty rate of 2.5 % and a discount rate of 12.3 %. The $ 585.4 million goodwill is attributable primarily to the expected synergies and economies of scale expected from combining the operations of both entities, and intangible assets that do not qualify for separate recognition, including assembled workforce acquired through the acquisition. None of the goodwill is expected to be deductible for income tax purposes. As a result of ASU 2021-08 adoption on October 1, 2021, retrospectively to September 1, 2021, the Company recorded adjustments of $ 8.0 million to increase goodwill and deferred revenue, and an immaterial amount to deferred income tax liability. The Company recognized $ 3.7 million of acquisition-related costs that were expensed in the current period. These costs are shown as part of general and administrative expenses in the accompanying condensed consolidated statements of operations. The Company also recognized $ 0.2 million in costs associated with the issuance and registration of the shares issued as consideration in the acquisition of Invoice2go. Those costs were reported as a reduction of additional paid-in capital within stockholders’ equity. The amou nts of Invoice2go’s total revenues that were included in the Company’s condensed consolidated statements of operations during the three and nine months ended March 31, 2022, were approximately $ 10 million and $ 23 million, respectively. The amounts of Invoice2go’s net loss that were included in the Company’s condensed consolidated statements of operations during the three and nine months ended March 31, 2022 were approximately $ 13 million and $ 28 million, respectively. Unaudited Pro Forma Financial Information The unaudited pro forma information below summarizes the combined results (in thousands) of the Company and Invoice2go as if the Company’s acquisition of Invoice2go closed on July 1, 2020, but does not necessarily reflect the combined actual results of operations of the Company and Invoice2go that would have been achieved, nor are they necessarily indicative of future results of operations. The unaudited pro forma information reflects certain adjustments that were directly attributable to the acquisition of Invoice2go, including additional depreciation and amortization adjustments for the fair value of the assets acquired and liabilities assumed. The pro forma net loss for the nine months ended March 31, 2022 was adjusted to exclude nonrecurring acquisition-related costs o f $ 19.0 million. The pro forma net loss for the nine months ended March 31, 2021 was adjusted to include nonrecurring acquisition-related costs of $ 20.6 million . Three months Nine months 2021 2022 2021 Total revenue $ 69,168 $ 448,256 $ 186,788 Net loss $ ( 34,732 ) $ ( 242,194 ) $ ( 97,157 ) Acquisition of Divvy On June 1, 2021 , the Company acquired 100 % of the outstanding equity interests of Divvy for total consideration (equity and cash) of $ 2.3 billion. Following the acquisition of Divvy, the Company has a period of not more than 12 months to finalize the fair values of assets acquired and liabilities assumed, including valuations of identifiable intangible assets and indemnification asset related to certain assumed liabilities at the acquisition date of Divvy. The Company continues to refine its estimates and assumptions used in the valuation of the assets acquired and liabilities assumed. As of September 30, 2021, the Company remeasured the fair value of the leases acquired and the replacement stock based awards included in the purchase consideration. The effect of these measurement period adjustments resulted in a decrease of goodwill by $ 2.7 million as of September 30, 2021. Unaudited Pro Forma Financial Information The unaudited pro forma information below summarizes the combined results (in thousands) of the Company and Divvy as if the Company’s acquisition of Divvy closed on July 1, 2019 but does not necessarily reflect the combined actual results of operations of the Company and Divvy that would have been achieved, nor are they necessarily indicative of future results of operations. The unaudited pro forma information reflects certain adjustments that were directly attributable to the acquisition of Divvy, including additional depreciation and amortization adjustments for the fair value of the assets acquired and liabilities assumed. Three months Nine months Total revenue $ 80,808 $ 210,787 Net loss $ ( 75,131 ) $ ( 222,918 ) |
Fair Value Measurement
Fair Value Measurement | 9 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | NOTE 4 – FAIR VALUE MEASUREMENT The Company measures and reports its cash equivalents, short-term investments, funds held for customers that are invested in money market funds and marketable debt securities, and beneficial interest derivative on card receivables sold at fair value. Fair value is defined as the exchange price that would be received for an asset or an exit price paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy defines a three-level valuation hierarchy for disclosure of fair value measurements as follows: Level 1 — Inputs are unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs other than quoted prices included within Level 1 that are observable, unadjusted quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities. Level 3 — Unobservable inputs that are supported by little or no market activity for the related assets or liabilities and typically reflect management’s estimate of assumptions that market participants would use in pricing the assets or liabilities. In determining fair value, the Company utilizes quoted market prices, or valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible, and also considers counterparty credit risk in its assessment of fair value. The following tables set forth the fair value of assets and liabilities that were measured at fair value on a recurring basis based on the three-tier fair value hierarchy as of the dates presented (in thousands): March 31, 2022 Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 1,237,003 $ — $ — $ 1,237,003 Corporate bonds — 16,392 — 16,392 1,237,003 16,392 — 1,253,395 Short-term investments: Corporate bonds — 660,298 — 660,298 U.S. treasury securities 414,825 — — 414,825 Asset-backed securities — 49,177 — 49,177 Certificates of deposit — 19,108 — 19,108 414,825 728,583 — 1,143,408 Funds held for customers: Restricted cash equivalents: Money market funds 16,811 — — 16,811 Corporate bonds — 107,321 — 107,321 16,811 107,321 — 124,132 Corporate bonds — 763,268 — 763,268 Certificates of deposit — 390,144 — 390,144 Municipal bonds — 9,512 — 9,512 Asset-backed securities — 57,397 — 57,397 U.S. treasury securities 6,074 — — 6,074 22,885 1,327,642 — 1,350,527 Beneficial interest derivative on — — 1,786 1,786 Total assets measured at fair value $ 1,674,713 $ 2,072,617 $ 1,786 $ 3,749,116 June 30, 2021 Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 365,550 $ — $ — $ 365,550 Corporate bonds — 15,499 — 15,499 365,550 15,499 — 381,049 Short-term investments: Corporate bonds — 466,459 — 466,459 U.S. treasury securities 155,674 — — 155,674 Asset-backed securities — 26,406 — 26,406 Certificates of deposit — 6,775 — 6,775 155,674 499,640 — 655,314 Funds held for customers: Restricted cash equivalents: Money market funds 6,887 — — 6,887 Corporate bonds — 79,435 — 79,435 6,887 79,435 — 86,322 Corporate bonds — 516,350 — 516,350 Certificates of deposit — 326,927 — 326,927 Municipal bonds — 42,957 — 42,957 Asset-backed securities — 25,085 — 25,085 U.S. treasury securities 3,009 — — 3,009 9,896 990,754 — 1,000,650 Beneficial interest derivative on — — 2,252 2,252 Total assets measured at fair value $ 531,120 $ 1,505,893 $ 2,252 $ 2,039,265 There were no transfers of financial instruments between Level 1, Level 2, and Level 3 during the periods presented. The fair values of the Company’s Level 1 instruments were derived from quoted market prices and active markets for these specific instruments. The valuation techniques used to measure the fair values of Level 2 instruments were derived from non-binding market consensus prices that were corroborated with observable market data, quoted market prices for similar instruments, or pricing models. The initial and recurring fair value of the beneficial interest derivative on card receivables sold is estimated using a discounted cash flow model, which uses Level 3 inputs including a discount rate and a default rate. The default rate estimate is based upon the expected transferred card receivables that will ultimately default. The default rate is calculated using historical trends and ages of the outstanding card receivable balances. The default rate did not have a material impact in the estimation of fair value of the beneficial interest derivative as of March 31, 2022 and June 30, 2021. Other inputs, such as the discount rate and expected repayments, are generally considered but had no material impact in the estimation of fair value of the beneficial interest derivative as of March 31, 2022 and June 30, 2021. A ten percent increase or decrease in the discount rate or default rate used would not result in a significantly higher or lower fair value measurement. The Company has $ 575.0 million and $ 1.15 billion in aggregate principal amount of its 0 % convertible senior notes due in 2027 (2027 Notes) and in 2025 (2025 Notes, together with the 2027 Notes, the Notes), respectively, outstanding as of March 31, 2022. The Company carries the Notes at par value, less the unamortized debt discount and issuance costs in the accompanying condensed consolidated balance sheets. The estimated fair value of the 2027 Notes and 2025 Notes, which is presented for disclosure purposes only, was approximately $ 556.9 million and $ 1.9 billion, respectively, as of March 31, 2022. The fair value was based on a market approach, which represents a Level 2 valuation estimate. The market approach was determined based on the actual bids and offers of the Notes in an over-the-counter market as of the last day of trading prior to the end of the period. |
Short-Term Investments
Short-Term Investments | 9 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Short-Term Investments | NOTE 5 – SHORT-TERM INVESTMENTS Short-term investments consisted of the following as of the dates presented (in thousands): March 31, 2022 Amortized Gross Gross Fair value Corporate bonds $ 663,946 $ 5 $ ( 3,653 ) $ 660,298 U.S. treasury securities 416,879 5 ( 2,059 ) 414,825 Asset-backed securities 49,403 — ( 226 ) 49,177 Certificates of deposit 19,108 — — 19,108 Total $ 1,149,336 $ 10 $ ( 5,938 ) $ 1,143,408 June 30, 2021 Amortized Gross Gross Fair value Corporate bonds $ 466,403 $ 111 $ ( 55 ) $ 466,459 U.S. treasury securities 155,663 16 ( 5 ) 155,674 Asset-backed securities 26,391 16 ( 1 ) 26,406 Certificates of deposit 6,775 — — 6,775 Total $ 655,232 $ 143 $ ( 61 ) $ 655,314 The amor tized cost and fair value amounts include accrued interest receivable of $ 3.2 million and $ 2.5 million as of March 31, 2022 and June 30, 2021, respectively. As of March 31 , 2022, the fair value of the Company’s short-term investments that mature within one year and thereafter was $ 971.6 million and $ 171.8 million, respectively, or 85 % and 15 %, respectively, of the Company’s total short-term investments. As of June 30, 2021, the fair value of the Company’s short-term investments that mature within one year and thereafter was $ 495.8 million and $ 159.5 million, respectively, or 76 % and 24 %, respectively, of the Company’s total short-term investments. As of March 31, 2022, approximately 300 out of approximately 400 i nvestment positions were in an unrealized loss position. The following table presents gross unrealized losses and fair values for those investments that were in an unrealized loss position as of the dates presented (in thousands): March 31, 2022 Fair value Unrealized Corporate bonds $ 415,637 $ ( 3,653 ) U.S. treasury securities 372,165 ( 2,059 ) Asset backed securities 49,177 ( 226 ) Total $ 836,979 $ ( 5,938 ) June 30, 2021 Fair value Unrealized Corporate bonds $ 152,485 $ ( 55 ) U.S. treasury securities 85,466 ( 5 ) Asset backed securities 8,089 ( 1 ) Total $ 246,040 $ ( 61 ) Most of the Company investments with unrealized losses had been in a continuous unrealized loss position for less than 12 months. Investments with unrealized losses that had been in a continuous unrealized loss position for more than 12 months have not been material. The Company does not intend to sell the investments and it is not likely that the Company will be required to sell the investments before recovery of their amortized cost bases, which will be at maturity. Therefore, the Company does not consider those unrealized investment losses as other-than-temporary impairment of the investments. There have been no significant realized gains or losses on the short-term investments during the three and nine months ended March 31, 2022 and 2021. The Company has no t recorded an allowance for credit losses on investments that were in an unrealized loss position as of March 31, 2022 and June 30, 2021 because they were not material. |
Funds Held for Customers
Funds Held for Customers | 9 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Funds Held for Customers | NOTE 6 – FUNDS HELD FOR CUSTOMERS Funds held for customers consisted of the following as of the dates presented (in thousands): March 31, June 30, 2022 2021 Restricted cash $ 1,667,466 $ 1,195,904 Restricted cash equivalents 124,132 86,322 Funds receivable 26,241 12,694 Corporate bonds 763,268 516,350 Certificates of deposit 390,144 326,927 Municipal bonds 9,512 42,957 Asset backed securities 57,397 25,085 U.S. treasury securities 6,074 3,009 Total funds held for customers 3,044,234 2,209,248 Less - income earned by the Company ( 694 ) ( 650 ) Total funds held for customers, net $ 3,043,540 $ 2,208,598 Income earned by the Company that is included in other current assets represents interest income, accretion of discount (offset by amortization of premium), and net unrealized gains on customer funds that were invested in money market funds and short-term marketable debt securities. Earnings from these investments are contractually earned by the Company and are expected to be transferred into the Company’s corporate deposit account upon sale or settlement of the associated investment. Below is a summary of the fair value of funds held for customers that were invested in short-term marketable debt securities as of the dates presented (in thousands): March 31, 2022 Amortized Gross Gross Fair value Corporate bonds $ 764,208 $ 4 $ ( 944 ) $ 763,268 Certificates of deposit 390,145 — ( 1 ) 390,144 Municipal bonds 9,544 — ( 32 ) 9,512 Asset backed securities 57,802 — ( 405 ) 57,397 U.S. treasury securities 6,087 — ( 13 ) 6,074 Total $ 1,227,786 $ 4 $ ( 1,395 ) $ 1,226,395 June 30, 2021 Amortized Gross Gross Fair value Corporate bonds $ 516,364 $ 24 $ ( 38 ) $ 516,350 Certificates of deposit 326,927 — — 326,927 Municipal bonds 42,952 5 — 42,957 Asset backed securities 25,081 4 — 25,085 U.S. treasury securities 3,010 — ( 1 ) 3,009 Total $ 914,334 $ 33 $ ( 39 ) $ 914,328 The amortized cost and fair value amounts include accrued interest receivabl e of $ 2.1 million and $ 1.9 million and as of March 31, 2022 and June 30, 2021, respectively. As of March 31, 2022, approximately 95 %, or $ 1.2 billion, of the total funds held for customers invested in marketable debt securities mature within one year and approximately 5 % or $ 57.4 m illion mature thereafter. As of June 30, 2021, approximately 97 %, or $ 882.4 million, of the total funds held for customers invested in marketable debt securities mature within one year and approximately 3 % or $ 31.9 million mature thereafter. As of March 31, 2022, approximately 200 out of approximately 400 inve stment positions were in an unrealized loss position. The following tables present gross unrealized losses and fair values for those investments that were in an unrealized loss position as of the dates presented (in thousands): March 31, 2022 Fair value Unrealized Corporate bonds $ 267,969 $ ( 944 ) Certificates of deposit 2,055 ( 1 ) Municipal bonds 9,512 ( 32 ) Asset backed securities 57,397 ( 405 ) U.S. treasury securities 6,074 ( 13 ) Total $ 343,007 $ ( 1,395 ) June 30, 2021 Fair value Unrealized Corporate bonds $ 79,359 $ ( 38 ) U.S. treasury securities 2,501 ( 1 ) Total $ 81,860 $ ( 39 ) Investments with unrealized losses have been in a continuous unrealized loss position for less than 12 months. The Company does not intend to sell the investments and it is not likely that the Company will be required to sell the investments before recovery of their amortized cost bases, which will be at maturity. Therefore, the Company does not consider those unrealized investment losses as other-than-temporary impairment of the investments. There have been no significant realized gains or losses on funds held for customers that were invested in short-term marketable debt securities during the three and nine months ended March 31, 2022 and 2021. |
Acquired Card Receivables
Acquired Card Receivables | 9 Months Ended |
Mar. 31, 2022 | |
Acquired Card Receivables [Abstract] | |
Acquired Card Receivables | NOTE 7 – ACQUIRED CARD RECEIVABLES Acquired Card Receivables Acquired card receivables consisted of the following as of the dates presented (in thousands): March 31, June 30, 2022 2021 Gross amount of acquired card receivables $ 242,911 $ 148,833 Less: allowance for credit losses ( 5,400 ) ( 1,740 ) Total $ 237,511 $ 147,093 Certain lines of credit and acquired card receivable balances are collateralized by cash deposits held by the Issuing Banks. Before an account is charged off, the Company obtains any available cash collateral from the Issuing Banks. As of March 31, 2022, approximately $ 192 million of the acquired card receivable balance served as collateral for the Company’s borrowings from the 2021 Revolving Credit Agreement and the 2019 Credit Agreement (see Note 9) . Credit Quality Information The Company regularly reviews collection experience, delinquencies, and net charge-offs in determining allowance for credit losses related to acquired card receivables. Historical collections rates have shown that days past due is the primary indicator of the likelihood of loss. The Company elected to use the delinquency trends or past due status of the acquired card receivables as the credit quality indicator. Acquired card receivables are considered past due if full payment is not received on the bill date or within a grace period, which is generally limited to five days . Below is a summary of the acquired card receivables by class (i.e., past due status) as of the dates presented (in thousands): March 31, June 30, 2022 2021 Current and less than 30 days past due $ 237,847 $ 145,993 30 ~ 59 days past due 1,773 1,188 60 ~ 89 days past due 1,613 580 90 ~ 119 days past due 1,583 713 Over 119 days past due 95 359 Total $ 242,911 $ 148,833 The amount of outstanding balance of acquired card receivables that is (i) 90 days or more past due that continue to accrue fees and have an allowance for outstanding balance and fees, and (ii) classified as nonper forming was not material as of March 31, 2022. Allowance for Credit Losses Below is a summary of the changes in allowance for credit losses for the periods presented (in thousands): Three months ended Nine months ended 2022 2022 Balance, beginning $ 4,607 $ 1,740 Initial allowance for credit losses on purchased 1 311 Provision for expected credit losses 6,085 15,310 Charge-off amounts ( 5,774 ) ( 13,070 ) Recoveries collected 481 1,109 Balance, end of period $ 5,400 $ 5,400 The Company also incurred losses related to card transactions disputed by spending businesses. The amount was not material during the three and nine months ended March 31, 2022. Purchased Financial Assets with Credit Deterioration A financial asset acquired is considered a purchased credit deteriorated (PCD) asset if, as of the acquisition date, such financial asset has experienced a more-than-insignificant deterioration in credit quality since origination. The Company used certain indicators, such as the past due status and charge-off status of the balances, in identifying and assessing whether the acquired card receivables are considered PCD assets. The acquired card receivables that were considered PCD assets were not material during the three and nine months ended March 31, 2022. Card Receivables Held for Sale The Company sells a portion of acquired card receivables to a Purchasing Bank at a discount. Card receivables held for sale, which are carried at the lower of cost or estimated market value at the individual user account level and included in pr epaid expenses and other current assets in the accompanying condensed consolidated balance sheets, amounted to $ 6.7 million and $ 2.6 million as of March 31, 2022 and June 30, 2021. Card Receivables Sold and Related Servicing and Beneficial Interest Derivative Retained The Company accounts for the transfer of card receivables as a sale if all of the following conditions are met: • the financial asset is isolated from the transferor and its consolidated affiliates as well as its creditors, even in bankruptcy or other receivership; • the transferee or beneficial interest holders have the right to pledge or exchange the transferred financial asset; and • the transferor, its consolidated affiliates and its agents do not maintain effective control over the transferred financial asset. The card receivables that the Company transferred to the Purchasing Bank during the three and nine months ended March 31, 2022 met all of the requirements described above; therefore, the Company accounted for the transfer as a sale of financial assets. Accordingly, the Company measures gain or loss on the sales of financial assets as the net proceeds less the carrying amount of the card receivables sold. The net proceeds represent the fair value of any assets obtained or liabilities incurred as part of the transfer, including, but not limited to, servicing assets, servicing liabilities, or beneficial interest derivatives. The Company has an agreement with the Purchasing Bank to sell its acquired card receivables. The Company has continuing involvement under this agreement as servicer, and by retaining a beneficial interest derivative in the form of a deferred purchase price. The beneficial interest derivative represents the Company’s right to receive a portion of collections based on the performance of each cohort of card receivables sold to the Purchasing Bank. The fair value of the beneficial interest derivative was $ 1.8 million and $ 2.3 million as of March 31, 2022 and June 30, 2021, respectively, and is included in prepaid expenses and other current assets in the accompanying condensed consolidated balance sheets. The servicing fee income was not material during the three and nine months ended March 31, 2022. The initial fair value of the beneficial interest derivative includes key inputs and assumptions that qualify as Level 3 inputs in the fair value hierarchy including discount rates and delinquency rates. See Note 4 for additional information about the fair value measurement of the beneficial interest derivative as of March 31, 2022 and June 30, 2021. Below is a summary of th e fair value of consideration received from the transfer of card receivables accounted for as a sale during the periods presented (in thousands): Three months ended Nine months ended 2022 2022 Initial fair value of consideration received: Cash $ 394,497 $ 1,019,704 Beneficial interest derivative 1,100 3,387 Total $ 395,597 $ 1,023,091 The Company could experience losses on the beneficial interest derivative if the performance of the cohorts of card receivables sold to the Purchasing Bank is less than expected. The Company could also experience losses on card receivables sold if it were required to repurchase delinquent receivables due to a breach in representations and warranties associated with its sales of receivables. Card receivable repurchases during the three and nine months ended March 31, 2022 were not material. Below is a summary of outstanding transferred card receivables by class (i.e., past due status) that have not been charged-off and have not been recorded on the Company's condensed consolidated balance sheets, but with which the Company has a continuing involvement through its servicing agreements, as of the periods presented (in thousands): March 31, June 30, 2022 2021 Current and less than 30 days past due $ 60,772 $ 27,763 30 ~ 59 days past due 397 240 60 ~ 89 days past due 802 165 90 ~ 119 days past due 437 301 Over 119 days past due 44 132 Total $ 62,452 $ 28,601 The difference between the outstanding balance of transferred card receivables as of March 31, 2022 and June 30, 2021 and the amount derecognized for which the Company has a continuing involvement as servicer as of March 31, 2022 and June 30, 2021 was not material. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Mar. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | NOTE 8 – GOODWILL AND INTANGIBLE ASSETS Goodwill Goodwill, which is primarily attributable to expected synergies from acquisitions and is not deductible for U.S. federal and state income tax purposes, consisted of the following (in thousands): March 31, June 30, 2022 2021 Balance, beginning $ 1,772,043 $ — Addition related to acquisition during the period 585,448 1,772,043 Measurement period adjustments ( 2,660 ) — ASU 2021-08 adoption 8,278 — Balance, ending $ 2,363,109 $ 1,772,043 Intangible Assets Intangible assets consisted of the following (amounts in thousands): March 31, 2022 Gross Accumulated Amortization Net Weighted- Customer relationships $ 259,269 $ ( 20,074 ) $ 239,195 9.2 Developed technology 206,908 ( 29,624 ) 177,284 5 Trade name 48,042 ( 12,170 ) 35,872 2.3 Total $ 514,219 $ ( 61,868 ) $ 452,351 7 June 30, 2021 Gross Accumulated Amortization Net Weighted- Customer relationships $ 198,000 $ ( 2,062 ) $ 195,938 9.9 Developed technology 191,000 ( 2,653 ) 188,347 5.9 Trade name 34,000 ( 944 ) 33,056 2.9 Total $ 423,000 $ ( 5,659 ) $ 417,341 7.5 Amortization of finite-lived intangible assets was as follows during the three and nine months ended March 31, 2022 (in thousands): Three months ended Nine months ended March 31, 2022 March 31, 2022 Cost of revenue $ 9,285 $ 26,971 Sales and marketing 10,484 29,238 Total $ 19,769 $ 56,209 As of March 31, 2022, future amortization of finite-lived intangible assets that will be recorded in cost of revenue and operating expenses is estimated as follows (in thousands): Fiscal years ending June 30: Amount Remainder of 2022 $ 19,768 2023 79,075 2024 78,147 2025 59,425 2026 57,763 2027 55,094 Thereafter 103,079 Total $ 452,351 |
Debt and Borrowings
Debt and Borrowings | 9 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Debt and Borrowings | NOTE 9 – DEBT AND BORROWINGS Debt and borrowings consisted of the following (in thousands): March 31, June 30, 2022 2021 Convertible senior notes: 2027 Notes, principal $ 575,000 $ — 2025 Notes, principal 1,150,000 1,150,000 Total principal amount of convertible senior notes 1,725,000 1,150,000 Credit facilities: 2021 revolving credit agreement (Class A) 37,500 37,500 2021 revolving credit agreement (Class B) 10,000 10,000 2019 credit agreement 30,000 30,000 Total principal borrowings from credit facilities 77,500 77,500 Total principal amount of debt and borrowings 1,802,500 1,227,500 Less: unamortized debt discount and issuance costs ( 27,767 ) ( 238,119 ) Net carrying value of debt and borrowings $ 1,774,733 $ 989,381 Net carrying value of debt and borrowings consisted of: Current liabilities: 2025 Notes, net $ 1,134,835 $ 909,847 Borrowings from credit facilities (including 30,370 — Non-current liabilities: 2027 Notes, net 561,457 — Borrowings from credit facilities (including 48,071 79,534 Total $ 1,774,733 $ 989,381 2027 Notes On September 24, 2021, the Company issued $ 575.0 million in aggregate principal amount of its 0 % convertible senior notes due on April 1, 2027 , in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as am ended. The 2027 Notes are subject to the terms and conditions of the Indenture governing the 2027 Notes between the Company and Wells Fargo Bank, N.A., as trustee (Tr ustee). The net proceeds from the issuance of the 2027 Notes were $ 560.1 million, after deducting debt discount and debt issuance costs totaling $ 14.9 million. The 2027 Notes are senior, unsecured obligations of the Company, and will not accrue interest unless the Company determines to pay special interest as a remedy for failure to timely file any reports required to be filed with the SEC, certain trading restrictions, or failure to deliver reports to the Trustee. The 2027 Notes rank senior in right of payment to any of the Company’s indebtedness that is expressly subordinated to the 2027 Notes and rank equal in right of payment to any of the Company’s unsecured indebtedness that is not so subordinated, including the 2025 Notes. In addition, the 2027 Notes are subordinated to any of the Company’s secured indebtedness and to all indebtedness and other liabilities of the Company’s subsidiaries. The 2027 Notes have an initial conversion rate of 2.4108 shares of common stock per $ 1,000 principal amount, which is equivalent to an initial conversion price of approximately $ 414.80 per share of the Company’s common stock and approximately 1.4 million shares issuable upon conversion. The conversion rate is subject to customary adjustments for certain events as described below. Upon conversion, the Company will pay or deliver, as the case may be, cash, shares of its common stock, or a combination of cash and shares of its common stock, at its election. The Company’s current intent is to settle conversions of the 2027 Notes through a combination settlement, which involves a repayment of the principal portion in cash with any excess of the conversion value over the principal amount settled in shares of common stock. The Company may redeem for cash, all or any portion of the 2027 Notes, at the Company’s option, on or after October 5, 2024 if the last reported sale price of the Company’s common stock has been at least 130 % of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on and including the trading day preceding the date on which the Company provides notice of redemption at a redemption price equal to 100 % of the principal amount of the notes to be redeemed, plus any accrued and unpaid special interest to, but excluding, the redemption date. No sinking fund is provided for the 2027 Notes. The holders of the 2027 Notes may convert their notes at their option at any time prior to the close of business on the business day immediately preceding January 1, 2027 in multiples of $ 1,000 principal amount, under the following circumstances: • during any calendar quarter commencing after the calendar quarter ending on December 31, 2021, and only during such calendar quarter, if the last reported sale price of the Company's common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on and including the last trading day of the immediately preceding calendar quarter is greater than or equal to 130 % of the conversion price on each applicable trading day; • during the five business day periods after any five consecutive trading day period in which the trading price per $ 1,000 principal amount of the 2027 Notes for each trading day of that period was less than 98 % of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; • if the Company calls such notes for redemption, at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date; or • upon the occurrence of specified corporate events. The conversion rate is subject to adjustment upon the occurrence of certain events or if the Company’s Board of Directors determines it is in the best interest of the Company. Additionally, holders of the 2027 Notes that convert their notes in connection with a make-whole fundamental change or during the redemption period, may be eligible to receive a make-whole premium through an increase of the conversion rate based on the estimated fair value of the 2027 Notes for the given date and stock price. The make-whole premium is designed to compensate the holder for lost “time-value” of the conversion option. The maximum number of additional shares that may be issued under the make-whole premium is 1.2656 per $ 1,000 principal (the lowest price of $ 272.00 in the make whole). The Indenture governing the 2027 Notes contains customary events of default with respect to the 2027 Notes and provides that upon certain events of default occurring and continuing, the holders of the 2027 Notes will have the right, at their option, to require the Company to repurchase for cash all or a portion of their outstanding notes, at a price equal to 100 % of the principal amount of the 2027 Notes to be repurchased, plus any accrued and unpaid interest. 2025 Notes On November 30, 2020, the Company issued $ 1.15 billion in aggregate principal amount of its 0 % convertible senior notes due on December 1, 2025 , in a private placement to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended. The 2025 Notes are subject to the terms and conditions of the Indentu re governing the 2025 Notes between the Company and the Trustee. The net proceeds from the issuance of the 2025 Notes were $ 1.13 billion, after deducting debt discount and debt issuance costs totaling $ 20.6 million. The 2025 Notes are senior, unsecured obligations of the Company, and will not accrue interest unless the Company determines to pay special interest as a remedy for failure to timely file any reports required to be filed with the SEC, certain trading restrictions, or failure to deliver reports to the Trustee. The 2025 Notes rank senior in right of payment to any of the Company’s indebtedness that is expressly subordinated to the 2025 Notes and rank equal in right of payment to any of the Company’s unsecured indebtedness that is not so subordinated, including the 2027 Notes. In addition, the 2025 Notes are subordinated to any of the Company’s secured indebtedness and to all indebtedness and other liabilities of the Company’s subsidiaries. The 2025 Notes have an initial conversion rate of 6.2159 shares of common stock per $ 1,000 principal amount, which is equivalent to an initial conversion price of approximately $ 160.88 per share of the Company’s common stock and approximately 7.1 million shares issuable upon conversion. The conversion rate is subject to customary adjustments for certain events as described below. Upon conversion, the Company will pay or deliver, as the case may be, cash, shares of its common stock, or a combination of cash and shares of its common stock, at its election. The Company’s current intent is to settle conversions of the 2025 Notes through a combination settlement, which involves a repayment of the principal portion in cash with any excess of the conversion value over the principal amount settled in shares of common stock. The Company may redeem for cash, all or any portion of the 2025 Notes, at the Company’s option, on or after December 5, 2023 if the last reported sale price of the Company’s common stock has been at least 130 % of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on and including the trading day preceding the date on which the Company provides notice of redemption at a redemption price equal to 100 % of the principal amount of the notes to be redeemed, plus any accrued and unpaid special interest to, but excluding, the redemption date. No sinking fund is provided for the 2025 Notes. The holders of the 2025 Notes may convert their notes at their option at any time prior to the close of business on the business day immediately preceding September 1, 2025 in multiples of $ 1,000 principal amount, under the following circumstances: • during any calendar quarter commencing after the calendar quarter ending on March 31, 2021, and only during such calendar quarter, if the last reported sale price of the Company's common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on and including the last trading day of the immediately preceding calendar quarter is greater than or equal to 130 % of the conversion price on each applicable trading day; • during the five business day periods after any five consecutive trading day period in which the trading price per $ 1,000 principal amount of the 2025 Notes for each trading day of that period was less than 98 % of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; • if the Company calls such notes for redemption, at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date; or • upon the occurrence of specified corporate events. The conversion rate is subject to adjustment upon the occurrence of certain events or if the Company’s Board of Directors determines it is in the best interest of the Company. Additionally, holders of the 2025 Notes that convert their notes in connection with a make-whole fundamental change or during the redemption period, may be eligible to receive a make-whole premium through an increase of the conversion rate based on the estimated fair value of the 2025 Notes for the given date and stock price. The make-whole premium is designed to compensate the holder for lost “time-value” of the conversion option. The maximum number of additional shares that may be issued under the make-whole premium is 2.9525 per $ 1,000 principal (the lowest price of $ 109.07 in the make whole). The Indenture governing the 2025 Notes contains customary events of default with respect to the 2025 Notes and provides that upon certain events of default occurring and continuing, the holders of the 2025 Notes will have the right, at their option, to require the Company to repurchase for cash all or a portion of their outstanding notes, at a price equal to 100 % of the principal amount of the 2025 Notes to be repurchased, plus any accrued and unpaid interest. As of March 31, 2022, one of the conditions for early conversion of the 2025 Notes was met. Specifically, the Company's common stock during the three months ended March 31, 2022 traded at a price greater than 130 % of the initial conversion price of the 2025 Notes for 20 trading days in a period of 30 consecutive trading days. Pursuant to the terms of the 2025 Notes, the holders of the 2025 Notes have the right to convert their notes at their option at any time in the calendar quarter subsequent to March 31, 2022. As a result, the Company classified the net carrying amount of the 2025 Notes as a current liability in the accompanying condensed consolidated balance sheets as of March 31, 2022. Additional Information About the Notes Prior to the adoption of ASU 2020-06 on July 1, 2021, the Company separated the 2025 Notes into liability and equity components upon the issuance of the 2025 Notes. The carrying amount of the liability component was calculated by measuring the fair value of a similar liability that does not have an associated convertible feature using a discounted cash flow model with a discount rate determined using observable yields for stand-alone debt instruments with a comparable credit rating and term. The carrying amount of the equity component, representing the conversion option, was determined by deducting the fair value of the liability component from the par value of the 2025 Notes as a whole. The difference between the principal amount of the 2025 Notes and the liability component was initially recorded as a debt discount and was amortized as interest expense using the effective interest method over the term of the 2025 Notes. The equity component of the 2025 Notes, which was included in additional paid-in capital, was not required to be remeasured. The total amount of debt issuance costs of $ 20.6 million was allocated between the liability and equity components based on the respective values of the liability and equity components. The debt issuance costs allocated to the liability component was amortized as interest expense over the term of the 2025 Notes using the effective interest method. The debt issuance costs allocated to the equity component were included as a reduction of additional paid-in capital. As discussed in Note 1, effective July 1, 2021 , the Company early- adopted ASU 2020-06 using the modified retrospective method which resulted in the accounting for the 2027 Notes and 2025 Notes as a single liability and no longer required to be accounted for separately between liability and equity components. As of March 31, 2022 and June 30, 2021, the Notes consisted of the following: March 31, 2022 June 30, 2021 2027 Notes 2025 Notes 2025 Notes Liability component: Principal $ 575,000 $ 1,150,000 $ 1,150,000 Less: unamortized debt discount and issuance costs ( 13,543 ) ( 15,165 ) ( 240,153 ) Net carrying amount $ 561,457 $ 1,134,835 $ 909,847 Amount allocated to equity component, net of issuance costs and tax $ — $ — $ 245,066 The debt discount and issuance costs of the Notes are being amortize d using the effective interest method. During the three and nine months ended March 31, 2022, the Company recognized $ 1.7 million and $ 4.5 million, respectively, of interest expense related to the amortization of the debt discount and issuance costs of the Notes. During the three and nine months ended March 31, 2021, the Company recognized $ 11.8 million and $ 15.7 million, respectively, of interest expense related to the amortization of the debt discount and issuance costs of the 2025 Notes. The effective interest rate of the 2027 Notes was 0.48 %. The effective interest rate of the 2025 Notes was 0.36 % after the adoption of ASU 2020-06 beginning July 1, 2021. Prior to the adoption of ASU 2020-06, the effective interest rate of the liability component of the 2025 Notes was 5.37 % and was based on the interest rate of similar debt instruments, at the time of the offering, that do not have associated convertible features. As of March 31, 2022, the weighted-average remaining life of the Notes was 4.1 years. The “if-converted” value of the 2027 Notes did not exceed the principal amount of $ 575.0 million as of March 31, 2022. The “if-converted” value of the 2025 Notes exceeded the principal amount by approximately $ 471 million as of March 31, 2022. Capped Call Transactions In conjunction with the issuance of each of the 2025 Notes and the 2027 Notes, the Company entered into Capped Call transactions (collectively, the Capped Calls) with certain of the initial purchasers of the Notes and/or their respective affiliates or other financial institutions at a total cost of $ 125.8 million. The Capped Calls are separate transactions and are not part of the terms of the Notes. The total amount paid for the Capped Calls was recorded as a reduction of additional paid-in capital. The Company used the proceeds from the Notes to pay for the cost of the Capped Call premium. The cost of the Capped Calls is not expected to be tax-deductible as the Company did not elect to integrate the Capped Calls into the Notes for tax purposes. The Capped Calls associated with the 2027 Notes and 2025 Notes each have an initial strike price of approximately $ 414.80 per share and $ 160.88 per share, respectively, subject to certain adjustments, which corresponds to the respective initial conversion price of the 2027 Notes and 2025 Notes, and have an initial cap price of $ 544.00 per share and $ 218.14 per share, respectively, subject to certain adjustments; provided that such cap price shall not be reduced to an amount less than their respective strike price. The Capped Calls associated with the Notes cover, subject to anti-dilution adjustments, a total of approximately 8.5 million shares of the Company’s common stock. The Capped Calls are expected to generally reduce the potential dilution of the Company’s common stock upon any conversion of the Notes and/or offset any cash payments that the Company is required to make in excess of the principal amount of such converted notes, as the case may be, with such reduction and/or offset subject to a cap. 2021 Revolving Credit Agreement (as amended) The 2021 Revolving Credit Agreement was executed in March 2021, and was most recently amended in October 2021, to finance the acquisition of card receivables. The 2021 Revolving Credit Agreement matures in June 2023 or earlier pursuant to the agreement and has a total commitment of $ 95.0 million consisting of a Class A facility amounting to $ 75.0 million and a Class B facility amounting to $ 20.0 million. Both Class A and Class B facilities require a minimum utilization of 50 %. Borrowings from the Class A and Class B facilities, which are secured by acquired card receivables, bear interest at 2.75 % and 10.25 % per annum, respectively, plus LIBOR (subject to a floor rate of 0.25 %). The interest rates on borrowings from the Class A and Class B facilities were 3.27 % and 10.77 % per annum, respectively, as of March 31, 2022. The 2021 Revolving Credit Agreement requires the Company to pay an unused fee of up to 0.50 %. The 2021 Revolving Credit Agreement requires the Company to comply with certain restricted covenants, including certain liquidity requirements. As of March 31, 2022, the Company was in compliance with those covenants. 2019 Credit Agreement (as amended) The 2019 Credit Agreement was executed in January 2019 and was most recently amended in March 2022. The amended 2019 Credit Agreement, which matures in January 2023 , has a total commitment of $ 60.0 million with a minimum utilization requirement of $ 30.0 million. Borrowings from the amended 2019 Credit Agreement, w hich are secured by acquired card receivables, bear interest at 6.0 % per annum plus LIBOR (subject to a floor rate of 2.0 %). The interest rate dropped to 4.50 % per annum plus LIBOR (subject to a floor rate of 0.25 %) beginning October 2021. The interest rate was 5.02 % p er annum as of March 31, 2022. The amended 2019 Credit Agreement requires the Company to pay an unused fee of 0.50 %; however, to the extent utilization requirements are not met, the unused fee is equal to the stated interest rate for the portion unused funds under the utilization requirement. The amended 2019 Credit Agreement requires the Company to comply with certain restricted covenants, including certain liquidity requirements. As of March 31, 2022, the Company was in compliance with those covenants. The debt premium associated with the 2021 Revolving Credit Agreement and the 2019 Credit Agreement is amortized using the effective interest method ove r the remaining term of the credit agreements, with a weighted-average remaining amortization period of approximately 1 year. T he interest income related to the amortization of the debt premium during the three and nine months ended March 31, 2022 was not material. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Stockholders' Equity | NOTE 10 – STOCKHOLDERS’ EQUITY Equity Incentive Plans On November 26, 2019 , the Company’s board of directors approved the 2019 Equity Incentive Plan (2019 EIP), which became effective on December 10, 2019. The 2019 Plan authorizes the award of stock options, restricted stock units (RSUs), restricted stock awards, stock appreciation rights, performance awards, cash awards, and stock bonus awards, as determined by the Company’s board of directors. Equity Awards Assumed in Acquisition In connection with the acquisition of Invoice2go, the Company assumed and replaced the outstanding stock options on the acquisition date of Invoice2go under the Invoice2go 2014 Plan. The assumed equity awards will be settled in shares of the Company’s common stock and will retain the terms and conditions under which they were originally granted. No additional equity awards will be granted under the Invoice2go 2014 Plan and the forfeited awards will not be returned to the Invoice2go 2014 Plan. Stock Options The stock option awards granted during the nine months ended March 31, 2022 and 2021 were not material. A s of March 31, 2022, the total unamortized stock-based compensation expense related to the unvested stock options was $ 83.9 million , which the Company expects to recognize over a weighted-average period of 2.1 years . Restricted Stock Units (RSUs) During the nine months ended March 31, 2022, the Company granted an aggregate of approximately 2.5 million RSUs with a weighted grant-date fair value of $ 212.33 per unit. The fair value of the RSUs was estimated based upon the market closing price of the Company’s common stock on the date of grant. The RSUs vest over the requisite service period, which generally range between 1 year and 4 years from the date of grant, subject to the continued employment of the employees and services of the nonemployee board members. As of March 31, 2022, the total unamortized stock-based compensation expense related to the unvested RSUs options was $ 435.8 million, which the Company expects to amortize over a weighted-average period of 3.0 years. Market-based RSUs In December 2021, the Company granted a total of 50,000 market-based RSUs to one executive employee that vest based on appreciation of the price of the Company’s common stock over a multi-year period and upon continued service. The Company estimated the fair value of the market-based RSUs award on the grant date using the Monte Carlo simulation model with the following assumptions: (i) expected volatility of 60 %, (ii) risk-free interest rate of 1.08 % to 1.21 %, and (iii) total performance period of three to five years . The weighted-average grant date fair value of the market-based RSUs award was $ 182.15 per share. The Company recognizes expense for market-based RSUs over the requisite service period of 1 to 3 years . Provided that the requisite service is rendered, the total fair value of the market-based RSUs at the date of grant is recognized as compensation expense even if the market condition is not achieved. However, the number of shares that ultimately vest can vary significantly with the achievement of the specified market criteria. As of March 31, 2022, the total unrecognized compensation expense related to the market-based RSUs was $ 7.7 million, which is expected to be amortized over a weighted-average period of 1.8 years. 2019 Employee Stock Purchase Plan (ESPP) The fair value of the ESPP offering during the nine months ended March 31, 2022 was estimated at the date of th e offering using the Black-Scholes option-pricing model with the following assumptions: (i) expected term range of 0.6 to 1.0 years, (ii) expected volatility of 77.2 %, (iii) risk-free interest rate range of 0.63 % to 0.88 % and (iv) expected dividend yield of 0 %. As of March 31, 2022, the total unrecognized compensation expense related to the ESPP wa s $ 6.6 million, which is expected to be amortized over the next 12 months. Warrants The Company has an agreement with a customer to issue warrants for up to 5.6 million shares of the Company’s common stock at an exercise price of $ 4.50 per share over a period of five years , ending in September 2023 . Issuance of the warrants is contingent upon certain performance conditions and subject to certain limits. As of March 31, 2022, there were no warrants issued or issuable under this agreement. The Company has concluded that the performance conditions for the issuance of this warrant are not probable of being met. Stock Based Compensation Cost Stock-based compensation cost from stock options, RSUs, and ESPP was included in the following line items in the accompanying condensed consolidated statements of operations and condensed consolidated balance sheets (in thousands): Three months ended Nine months ended 2022 2021 2022 2021 Cost of revenue $ 1,262 $ 728 $ 3,674 $ 1,971 Research and development 13,912 3,638 38,752 9,953 Sales and marketing 17,758 1,711 36,911 5,086 General and administrative 19,878 4,603 61,044 14,253 Total amount charged to expense 52,810 10,680 140,381 31,263 Property and equipment (capitalized internal-use software) 1,093 — 3,050 — Total stock-based compensation cost $ 53,903 $ 10,680 $ 143,431 $ 31,263 |
Other Expenses, Net
Other Expenses, Net | 9 Months Ended |
Mar. 31, 2022 | |
Other Income, Nonoperating [Abstract] | |
Other Expenses, Net | NOTE 11 – OTHER EXPENSES, NET Other expenses, net consisted of the following for the periods presented (in thousands): Three months ended Nine months ended 2022 2021 2022 2021 Interest expense $ ( 2,462 ) $ ( 11,888 ) $ ( 6,785 ) $ ( 15,846 ) Lower of cost or market adjustment on card ( 3,179 ) — ( 7,824 ) — Interest income 1,185 460 2,456 1,914 Other 40 ( 4 ) ( 738 ) ( 11 ) Total $ ( 4,416 ) $ ( 11,432 ) $ ( 12,891 ) $ ( 13,943 ) |
Income Taxes
Income Taxes | 9 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 12 – INCOME TAXES The Company’s provision for income taxes during the interim periods is determined using an estimate of the Company’s annual effective tax rate, which is adjusted for certain discrete tax items during the interim period. The Company’s effective tax rate differs from the federal statutory rate primarily due to its federal, state and foreign valuation allowance positions. The income tax benefit during the three and nine months ended March 31, 2022 consisted primarily of the Company's net losses and credits generated, offset with a corresponding valuation allowance, and the discrete income tax benefit recorded after a partial release of valuation allowance due to the acquisition of Invoice2go. The Company is subject to income tax audits in the U.S. and in Australia. The Company records liabilities related to uncertain tax positions, which provide adequate reserves for income tax uncertainties in all open tax years. Due to the Company’s history of tax losses, all years remain open to tax audit. The Company’s management evaluates the realizability of the Company’s deferred tax assets based on all available evidence, both positive and negative. The realization of net deferred tax assets is dependent on the Company’s ability to generate sufficient future taxable income during the foreseeable future. |
Leases
Leases | 9 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Leases | NOTE 13 – LEASES The Company has non-cancelable operating leases for office and other facilities in various locations, and certain equipment, which expire through 2031 . Also, the Company subleases part of its office facility in Draper, Utah under a non-cancellable operating lease that expires in December 2025 . The Company's leases do not contain any material residual value guarantees. As of March 31, 2022, the weighted-average remaining term of these operating leases is 8.4 years and the weighted-average discount rate used to estimate the net present value of the operating lease liabilities was 5.10 %. The total amount paid for amounts included in the measurement of operating lease liabilities was $ 3.9 million and $ 10.3 million during the three and nine months ended March 31, 2022, respectively, and was $ 0.5 million and $ 1.2 million during the three and nine months ended March 31, 2021, respectively. The total amount of right-of-use assets obtained in exchange for new operating lease liabilities was $ 4.2 million and $ 5.3 million during the three and nine months ended March 31, 2022, respectively, and was $ 0.3 million and $ 2.6 million during the three and nine months ended March 31, 2021, respectively. The components of lease expense during the three and nine months ended March 31, 2022 and 2021 is shown on the table below (in thousands). Three months ended Nine months ended 2022 2021 2022 2021 Operating lease expense $ 3,580 $ 1,767 $ 10,098 $ 5,016 Short-term lease expense — 52 77 381 Variable lease expense, net of credit ( 345 ) 598 2,564 1,917 Sublease income ( 215 ) — ( 546 ) — Total $ 3,020 $ 2,417 $ 12,193 $ 7,314 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 14 – COMMITMENTS AND CONTINGENCIES Commitments The Company has non-cancelable operating leases for office and other facilities in various locations, and certain equipment, which expire through 2031 . Future minimum lease payments as of March 31, 2022 are as follows (in thousands): Fiscal years ending June 30: Amount Remainder of 2022 $ 3,477 2023 14,000 2024 13,651 2025 13,425 2026 13,292 2027 13,226 Thereafter 49,508 Gross lease payments 120,579 Less - present value adjustments ( 23,426 ) Total operating lease liabilities, net $ 97,153 In addition to the minimum lease payments above, the Company has multi-year agreements with certain third parties and financial institution partners, expiring through 2029 , which require the Company to pay fees over the term of the respective agreements. Future payments under these agreements as of March 31, 2022 are as follows (in thousands): Fiscal years ending June 30: Amount Remainder of 2022 $ 2,152 2023 21,066 2024 8,892 2025 5,385 2026 4,750 2027 4,750 Thereafter 34,250 Total $ 81,245 Card Receivable Repurchase Obligations with Purchasing Bank The Company is obligated to repurchase card receivables sold to the Purchasing Bank if representations and warranties made with respect to such card receivables are breached. The Company is also obligated to repurchase card receivables for which a user fails to make the first payment within ten days when it becomes due. The obligation to repurchase card receivables meeting the previously specified criteria is limited to card receivables transferred to the Purchasing Bank, less related spending business payments remitted to the Purchasing Bank. The amount of payable to repurchase card receivables is generally offset against the proceeds from the sale of new card receivables to the Purchasing Bank. Purchase of Card Receivables that have not Cleared The Company is contractually obligated to purchase all card receivables from the Issuing Banks including authorized transactions that have not cleared. The transactions that have been authorized but not cleared totaled $ 41.0 million as of March 31, 2022 and have not been recorded on the accompanying consolidated balance sheets. The Company has credit exposures with these authorized but not cleared transactions; however, the expected credit losses recorded was not material as of March 31, 2022. Litigation From time to time, the Company is involved in lawsuits, claims, investigations, and proceedings that arise in the ordinary course of business. The Company records a provision for a liability when management believes that it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. As of March 31, 2022, the Company’s reserve for litigation is immaterial . The Company reviews these provisions periodically and adjusts these provisions to reflect the impact of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular case. Litigation is inherently unpredictable. |
Net Loss Per Share Attributable
Net Loss Per Share Attributable To Common Stockholders | 9 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share Attributable To Common Stockholders | NOTE 15 – NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS The following table presents the calculation of basic and diluted net loss per share attributable to common stockholders (in thousands, except per share amounts): Three months ended Nine months ended 2022 2021 2022 2021 Numerator: Net loss attributable to common stockholders $ ( 86,720 ) $ ( 26,728 ) $ ( 241,419 ) $ ( 56,858 ) Denominator: Weighted-average shares used to compute net loss Basic and diluted 103,830 82,627 100,856 81,446 Net loss per share attributable to common stockholders: Basic and diluted $ ( 0.84 ) $ ( 0.32 ) $ ( 2.39 ) $ ( 0.70 ) Potentially dilutive securities, which were excluded from the diluted net loss per share calculations because they would have been antidilutive were as follows as of the dates presented (in thousands): March 31, 2022 2021 Stock options 4,232 5,905 Restricted stock units 3,159 1,167 Total 7,391 7,072 In addition, approximately 8.5 million shares underlying the conversion option of the Notes are not considered in the calculation of diluted net loss per share. Such number of shares issuable under the Notes is subject to adjustment up to approximately 12.7 million shares if certain corporate events occur prior to the maturity date of the Notes or if the Company issues a notice of redemption. The Company’s current intent is to settle conversions of the Notes through a combination settlement, which involves a repayment of the principal portion in cash with any excess of the conversion value over the principal amount settled in shares of common stock. The Company uses the "as-if converted" method for calculating any potential dilutive effect of the conversion option on diluted earnings per share, if a pplicable. During the three and nine months ended March 31, 2022, the average market price of the Company’s common stock did not exceed the initial conversion price of the 2027 Notes of $ 414.80 per share; however, it exceeded the initial conversion price of the 2025 Notes of $ 160.88 per share. |
The Company and Its Significa_2
The Company and Its Significant Accounting Policies (Policies) | 9 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Offering of Common Stock and Notes | Offering of Common Stock and Notes On September 24, 2021, the Company closed a public offering in which the Company issued and sold a total of 5,073,529 shares of common stock at a public offering price of $ 272.00 per share. The Company received $ 1.3 billion in net proceeds from this public offering, after deducting underwriting discounts, commissions and other offering costs of $ 38.9 million. Concurrent with the public offering of common stock, the Company issued and sold $ 575.0 million in aggregate principal amount of its 0 % convertible notes due on April 1, 2027 (2027 Notes) in a private offering . The Company received $ 560.1 million in net proceeds from the sale of the 2027 Notes, after deducting purchaser discounts, commissions and other offering costs of $ 14.9 million. |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the accounts of the Company and have been prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) and applicable rules and regulations of the SEC regarding interim financial reporting. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect all normal and recurring adjustments that are, in the opinion of management, necessary to present fairly the Company’s financial position, results of operations, comprehensive loss, changes in stockholders’ equity, and cash flows for the periods presented. The results of operations for the three and nine months ended March 31, 2022 are not necessarily indicative of the results to be expected for the fiscal year ending June 30, 2022 or for any other future annual or interim period. The unaudited condensed consolidated balance sheet as of June 30, 2021 included herein was derived from the audited financial statements as of that date, but does not include all disclosures including certain notes required by U.S. GAAP on an annual reporting basis. All intercompany accounts and transactions have been eliminated. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2021. |
Segment Reporting | Segment Reporting The Company operates as one operating segment because its chief operating decision maker, who is the Chief Executive Officer, reviews its financial information on a consolidated basis for purposes of making decisions regarding allocating resources and assessing performance. The Company's long-lived assets are mainly located in the United States (U.S.) and revenue is mainly generated in the U.S. Long-lived assets and revenue generated outside the U.S. are not material |
Business Combination | Business Combination The Company accounts for acquisitions using the acquisition method of accounting, which requires, among other things, allocation of the fair value of purchase consideration to the tangible and intangible assets acquired and liabilities assumed at their estimated fair values on the acquisition date. The excess of the fair value of purchase consideration over the values of the identifiable assets and liabilities is recorded as goodwill. The determination of the fair value of assets acquired and liabilities assumed involves assessments of factors such as the expected future cash flows associated with individual assets and liabilities and appropriate discount rates at the date of the acquisition. Significant management inputs used in the estimation of fair value of assets acquired and liabilities assumed include, but are not limited to, expected future cash flows, future changes in technology, estimated replacement costs, discount rates and assumptions about the period of time the brand will continue to be used in the Company’s product portfolio. Where appropriate, external advisers are consulted to assist in the determination of fair value. For non-observable market values, fair value has been determined using acceptable valuation methods (e.g., relief from royalty methods). The results of operations for businesses acquired are included in the financial statements from the acquisition date. Acquisition-related expenses and post-acquisition integration costs are recognized separately from the business combination and are expensed as incurred. During the measurement period, not to exceed one year from the date of acquisition, the Company may record adjustments to the tangible and intangible assets acquired and liabilities assumed, including the fair value of acquired intangible assets, an indemnification asset related to certain assumed liabilities, net lease liabilities, uncertain tax positions, tax-related valuation allowances and pre-acquisition contingencies with a corresponding offset to goodwill. The Company continues to collect information and reevaluates these estimates and assumptions quarterly and records any adjustments to the Company’s preliminary estimates to goodwill provided that the Company is within the measurement period. After the measurement period, any subsequent adjustments are reflected in the consolidated statements of operations. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make various estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Management regularly assesses these estimates, including useful lives of long-lived assets, capitalization of internal-use software costs, incremental borrowing rates for right-of-use operating lease assets and operating lease liabilities, the estimate of credit losses on accounts receivable, acquired card receivables and other financial assets, accrual for rewards, variable consideration used in revenue recognition for certain contracts, benefit periods used to amortize deferred commissions, reserve for losses on funds held for custom ers, inputs used to value certain stock-based compensation awards, and income tax. The Company evaluates these estimates and assumptions and adjusts them accordingly. Actual results could differ from those estimates, and such differences may be material to the consolidated financial statements. |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | Cash, cash equivalents, restricted cash and restricted cash equivalents Cash and cash equivalents consist of cash in banks, highly liquid investments with maturities of three months or less at the time of purchase, and securities purchased under overnight reverse repurchase agreements. Restricted cash consists of (i) amounts restricted under deposit control agreements, (ii) cash collateral required by the Company’s lessors to satisfy letter of credit requirements under its lease agreements, (iii) cash collateral required by a bank in connection with the Company’s money transmission activities, and (iv) cash in bank deposits included in funds held for customers. Restricted cash equivalents consist of highly liquid investments with maturities of three months or less at the time of purchase that are included in funds held for customers. Except for the restricted cash included in funds held for customers, the current and non-current portion of the restricted cash is included in prepaid expenses and other current assets and in other assets, respectively, in the accompanying condensed consolidated balance sheets. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash, cash equivalents, restricted cash, restricted cash equivalents, short-term investments, accounts receivable, acquired card receivables, card receivables held for sale, and deposits of cash with a bank (collectively referred to as Financial Assets). The Company maintains its cash, cash equivalents, restricted cash, restricted cash equivalents, and short-term investments with major financial institutions that may at times exceed federally insured limits. Management believes that these financial institutions are financially sound with minimal credit risk. The Company performs credit evaluations to verify the credit quality of its financial assets and determine any at-risk receivables. An allowance for potential credit losses on Financial Assets and customer accounts is recognized, if material. As of March 31, 2022, the allowance for potential credit losses related to accounts receivable and acquired card receivables totale d approximately $ 6.0 million. There were no customers that exceeded 10 % of the Company’s total revenue during the three and nine months ended March 31, 2022 and 2021. |
Significant Accounting Policies | Significant Accounting Policies There have been no changes to the Company’s significant accounting policies described in the Annual Report on Form 10-K for the fiscal year ended June 30, 2021, other than those new accounting policies that were implemented as a result of the Company's business acquisitions and the adoption of new accounting standards as described below. |
Foreign Currency | Foreign Currency The Company has a foreign subsidiary whose functional currency is the U.S. dollar, which is the Company's reporting currency. Gains and losses from the remeasurement of transactions denominated in foreign currencies other than the functional currency of the foreign subsidiary are included in other income (expense), net in the accompanying condensed consolidated statements of operations |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In October 2021, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2021-08, Business Combinations (Topic 805)— Accounting for Contract Assets and Contract Liabilities from Contracts with Customers . The amendments in this ASU address diversity and inconsistency related to the recognition and measurement of contract assets and contract liabilities acquired in a business combination. The amendments in this ASU require that an acquirer recognize and measure contract assets and contract liabilities (e.g., deferred revenue) acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. Upon adoption, an acquirer should account for the related revenue contracts of the acquiree as if it had originated the contracts. For public business entities, the amendments in ASU 2021-08 are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The amendments in this ASU should be applied prospectively to business combinations occurring on or after the effective date of the amendments. Early adoption of the amendments is permitted, including adoption in an interim period. An entity that early adopts in an interim period should apply the amendments (i) retrospectively to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application and (ii) prospectively to all business combinations that occur on or after the date of initial application. The Company early- adopted this ASU on October 1, 2021 , retrospectively to September 1, 2021, the date of the Company’s acquisition of Invoice2go, the Company’s only acquisition since July 1, 2021, the beginning of the fiscal year of adoption. The adoption of ASU 2021-08 resulted in an increase in deferred revenue assumed and a related increase to goodwill as of September 1, 2021 with a consequent increase in revenue during the three months ended September 30, 2021 and nine months ended March 31, 2022, in connection with the Invoice2go acquisition. The adoption of ASU 2021-08 had the following impact on the Company's previously reported condensed consolidated balance sheet as of the periods presented (in thousands): As previously ASU 2021-08 As adjusted, Assets Goodwill $ 2,354,812 $ 8,278 $ 2,363,090 Liabilities and Stockholders' Equity Current liabilities: Deferred revenue $ 21,328 $ 8,080 $ 29,408 Non-current liabilities: Deferred income tax liability $ 3,877 $ ( 1,228 ) $ 2,649 Stockholders' equity: Accumulated deficit $ ( 294,152 ) $ 1,426 $ ( 292,726 ) The adoption of ASU 2021-08 had the following impact on the Company's previously reported condensed consolidated statement of operations for the period presented (in thousands): As previously ASU 2021-08 As adjusted, Revenue $ 116,403 $ 1,946 $ 118,349 Benefit from income taxes $ ( 3,941 ) $ 520 $ ( 3,421 ) Net loss $ ( 75,685 ) $ 1,426 $ ( 74,259 ) Net loss per share attributable to $ ( 0.79 ) $ 0.01 $ ( 0.78 ) These adjustments are reflected in the Company’s condensed consolidated statement of operations during the nine months ended March 31, 2022. The impact of adopting ASU 2021-08 increased reported revenues by $ 2.6 million and $ 8.3 million during the three and nine months ended March 31, 2022, respectively. On July 1, 2021 , the Company early- adopted FASB ASU 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40), Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity , which simplifies the accounting for convertible instruments by removing certain separation models in Subtopic 470-20, Debt—Debt with Conversion and Other Options for convertible instruments. Under this ASU, the embedded conversion features are not required to be separated from the host contract for convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, Derivatives and Hedging , or that do not result in substantial premiums accounted for as paid-in capital. Consequently, a convertible debt instrument is accounted for as a single liability measured at its amortized cost and a convertible preferred stock is accounted for as a single equity instrument measured at its historical cost, as long as no other features require bifurcation and recognition as derivatives. In addition, this ASU amends the requirement for calculating diluted earnings per share for convertible instruments by using the “if-converted” method instead of the treasury stock method. The Company elected to follow the modified retrospective method upon adopting this ASU with respect to the 2025 Notes, which is the convertible debt that existed at that date. As a result of the adoption, the Company accounts for the 2025 Notes as a single liability and no longer separately accounts for the liability and equity components. The adoption of this ASU also resulted in the derecognition of a deferred tax liability, which represented a basis difference in the face value of the 2025 Notes due to the previous allocation of a portion of the proceeds to the equity component. Additionally, the Company recorded a cumulative adjustment to decrease the beginning balance of the accumulated deficit at July 1, 2021, which represented a reduction in previously recorded amortization of debt discount through June 30, 2021. The following table summarizes the adjustments made to the condensed consolidated balance sheet as of July 1, 2021 as a result of applying the modified retrospective method in adopting this ASU: ASU 2020-06 adjustments As previously Account for the Cumulative As adjusted, Convertible senior notes, net $ 909,847 $ 247,231 $ ( 25,316 ) $ 1,131,762 Deferred income tax liability (1) $ 9,090 $ ( 2,165 ) $ ( 3,684 ) $ 3,241 Additional paid-in capital $ 2,777,155 $ ( 245,066 ) $ — $ 2,532,089 Accumulated deficit $ ( 247,467 ) $ — $ 29,000 $ ( 218,467 ) (1) The balance at June 30, 2021 included $ 5.8 million of deferred tax liability associated with the allocation of the 2025 Notes into equity. On July 1, 2021 , the Company adopted FASB ASU 2020-04 , Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting . This ASU provide optional guidance to ease the potential burden in accounting for (or recognizing the effects of) reference rate reform on financial reporting in response to concerns about structural risks of the cessation of LIBOR. It also provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by reference rate reform if certain criteria are met. This ASU applies only to contracts and hedging relationships that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. The Company’s credit agreements reference both LIBOR and an alternative rate to replace LIBOR; therefore, the adoption of this ASU did no t have a material impact on the Company’s condensed consolidated financial statements. On July 1, 2021 , the Company adopted ASU 2017-04, Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment , which eliminates the second step of the goodwill impairment test that required a calculation of the implied fair value of goodwill following the procedures that would be required in determining the fair value of assets acquired and liabilities assumed in a business combination. Accordingly, a goodwill impairment test will be performed by comparing the fair value of a reporting unit with its carrying amount. An impairment charge will be recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value. The adoption of this ASU did no t have a material impact on the Company's condensed consolidated financial statements. |
The Company and Its Significa_3
The Company and Its Significant Accounting Policies (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
ASU 2021-08 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Impact on Previously Reported Condensed Consolidated Balance Sheet | The adoption of ASU 2021-08 had the following impact on the Company's previously reported condensed consolidated balance sheet as of the periods presented (in thousands): As previously ASU 2021-08 As adjusted, Assets Goodwill $ 2,354,812 $ 8,278 $ 2,363,090 Liabilities and Stockholders' Equity Current liabilities: Deferred revenue $ 21,328 $ 8,080 $ 29,408 Non-current liabilities: Deferred income tax liability $ 3,877 $ ( 1,228 ) $ 2,649 Stockholders' equity: Accumulated deficit $ ( 294,152 ) $ 1,426 $ ( 292,726 ) |
Impact on Previously Reported Condensed Consolidated Statement of Operations | The adoption of ASU 2021-08 had the following impact on the Company's previously reported condensed consolidated statement of operations for the period presented (in thousands): As previously ASU 2021-08 As adjusted, Revenue $ 116,403 $ 1,946 $ 118,349 Benefit from income taxes $ ( 3,941 ) $ 520 $ ( 3,421 ) Net loss $ ( 75,685 ) $ 1,426 $ ( 74,259 ) Net loss per share attributable to $ ( 0.79 ) $ 0.01 $ ( 0.78 ) |
ASU 2020-06 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Schedule of Condensed Consolidated Balance Sheet | The following table summarizes the adjustments made to the condensed consolidated balance sheet as of July 1, 2021 as a result of applying the modified retrospective method in adopting this ASU: ASU 2020-06 adjustments As previously Account for the Cumulative As adjusted, Convertible senior notes, net $ 909,847 $ 247,231 $ ( 25,316 ) $ 1,131,762 Deferred income tax liability (1) $ 9,090 $ ( 2,165 ) $ ( 3,684 ) $ 3,241 Additional paid-in capital $ 2,777,155 $ ( 245,066 ) $ — $ 2,532,089 Accumulated deficit $ ( 247,467 ) $ — $ 29,000 $ ( 218,467 ) (1) The balance at June 30, 2021 included $ 5.8 million of deferred tax liability associated with the allocation of the 2025 Notes into equity. |
Revenue, Performance Obligati_2
Revenue, Performance Obligations, Deferred Revenue and Unbilled Revenue (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenue from Subscription and Transaction Fees Disaggregated by Customer Category | The table below shows the Company’s revenue from subscription and transaction fees, which are disaggregated by customer category, and revenue from interest on funds held for customers (in thousands). Three months ended Nine months ended 2022 2021 2022 2021 Small-to-midsize business, accounting $ 156,518 $ 54,710 $ 417,651 $ 144,609 Financial institution customers 8,950 3,912 20,895 10,134 Total subscription and transaction fees 165,468 58,622 438,546 154,743 Interest on funds held for customers 1,443 1,116 3,192 5,249 Total revenue $ 166,911 $ 59,738 $ 441,738 $ 159,992 |
Business Combinations (Tables)
Business Combinations (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Invoice2go, Inc. | |
Business Acquisition [Line Items] | |
Summary of Acquisition Purchase Consideration | The acquisition purchase consideration totaled $ 674.3 million , which consisted of the following (in thousands): Equity consideration (1) $ 510,218 Cash 164,087 Total $ 674,305 (1) This includes 1,788,372 shares of the Company’s common stock issued with a fair value based upon the opening market price on the acquisition date. This also includes the stock options assumed to replace stock options that were outstanding on the acquisition date under Invoice2go's 2014 Equity Incentive Plan (Invoice2go 2014 Plan). The fair value of these stock options was $ 21.7 million, which was the amount attributable to the pre-combination requisite service period. |
Summary of Preliminary Fair Values of Assets Acquired and Liabilities Assumed | The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands): Cash and cash equivalents $ 19,738 Accounts receivable and other assets 4,518 Intangible assets 91,219 Total identifiable assets acquired 115,475 Accounts payable and other liabilities ( 26,618 ) Net identifiable assets acquired 88,857 Goodwill 585,448 Net assets acquired $ 674,305 |
Summary of Preliminary Fair Values Allocated to Identifiable Intangible Assets and Estimated Useful Lives | The preliminary fair values allocated to the identifiable intangible assets and their estimated useful lives are as follows: Preliminary Weighted-average Customer relationships $ 61,269 10.0 Developed technology 15,908 3.0 Trade name 14,042 3.0 Total $ 91,219 7.7 |
Summary of Unaudited Proforma Financial Information | The unaudited pro forma information below summarizes the combined results (in thousands) of the Company and Invoice2go as if the Company’s acquisition of Invoice2go closed on July 1, 2020, but does not necessarily reflect the combined actual results of operations of the Company and Invoice2go that would have been achieved, nor are they necessarily indicative of future results of operations. The unaudited pro forma information reflects certain adjustments that were directly attributable to the acquisition of Invoice2go, including additional depreciation and amortization adjustments for the fair value of the assets acquired and liabilities assumed. The pro forma net loss for the nine months ended March 31, 2022 was adjusted to exclude nonrecurring acquisition-related costs o f $ 19.0 million. The pro forma net loss for the nine months ended March 31, 2021 was adjusted to include nonrecurring acquisition-related costs of $ 20.6 million . Three months Nine months 2021 2022 2021 Total revenue $ 69,168 $ 448,256 $ 186,788 Net loss $ ( 34,732 ) $ ( 242,194 ) $ ( 97,157 ) |
DivvyPay, Inc. | |
Business Acquisition [Line Items] | |
Summary of Unaudited Proforma Financial Information | The unaudited pro forma information below summarizes the combined results (in thousands) of the Company and Divvy as if the Company’s acquisition of Divvy closed on July 1, 2019 but does not necessarily reflect the combined actual results of operations of the Company and Divvy that would have been achieved, nor are they necessarily indicative of future results of operations. The unaudited pro forma information reflects certain adjustments that were directly attributable to the acquisition of Divvy, including additional depreciation and amortization adjustments for the fair value of the assets acquired and liabilities assumed. Three months Nine months Total revenue $ 80,808 $ 210,787 Net loss $ ( 75,131 ) $ ( 222,918 ) |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Fair Value of Assets and Liabilities Measured on Recurring Basis | The following tables set forth the fair value of assets and liabilities that were measured at fair value on a recurring basis based on the three-tier fair value hierarchy as of the dates presented (in thousands): March 31, 2022 Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 1,237,003 $ — $ — $ 1,237,003 Corporate bonds — 16,392 — 16,392 1,237,003 16,392 — 1,253,395 Short-term investments: Corporate bonds — 660,298 — 660,298 U.S. treasury securities 414,825 — — 414,825 Asset-backed securities — 49,177 — 49,177 Certificates of deposit — 19,108 — 19,108 414,825 728,583 — 1,143,408 Funds held for customers: Restricted cash equivalents: Money market funds 16,811 — — 16,811 Corporate bonds — 107,321 — 107,321 16,811 107,321 — 124,132 Corporate bonds — 763,268 — 763,268 Certificates of deposit — 390,144 — 390,144 Municipal bonds — 9,512 — 9,512 Asset-backed securities — 57,397 — 57,397 U.S. treasury securities 6,074 — — 6,074 22,885 1,327,642 — 1,350,527 Beneficial interest derivative on — — 1,786 1,786 Total assets measured at fair value $ 1,674,713 $ 2,072,617 $ 1,786 $ 3,749,116 June 30, 2021 Level 1 Level 2 Level 3 Total Assets Cash equivalents: Money market funds $ 365,550 $ — $ — $ 365,550 Corporate bonds — 15,499 — 15,499 365,550 15,499 — 381,049 Short-term investments: Corporate bonds — 466,459 — 466,459 U.S. treasury securities 155,674 — — 155,674 Asset-backed securities — 26,406 — 26,406 Certificates of deposit — 6,775 — 6,775 155,674 499,640 — 655,314 Funds held for customers: Restricted cash equivalents: Money market funds 6,887 — — 6,887 Corporate bonds — 79,435 — 79,435 6,887 79,435 — 86,322 Corporate bonds — 516,350 — 516,350 Certificates of deposit — 326,927 — 326,927 Municipal bonds — 42,957 — 42,957 Asset-backed securities — 25,085 — 25,085 U.S. treasury securities 3,009 — — 3,009 9,896 990,754 — 1,000,650 Beneficial interest derivative on — — 2,252 2,252 Total assets measured at fair value $ 531,120 $ 1,505,893 $ 2,252 $ 2,039,265 |
Short-Term Investments (Tables)
Short-Term Investments (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Short-Term Investments | Short-term investments consisted of the following as of the dates presented (in thousands): March 31, 2022 Amortized Gross Gross Fair value Corporate bonds $ 663,946 $ 5 $ ( 3,653 ) $ 660,298 U.S. treasury securities 416,879 5 ( 2,059 ) 414,825 Asset-backed securities 49,403 — ( 226 ) 49,177 Certificates of deposit 19,108 — — 19,108 Total $ 1,149,336 $ 10 $ ( 5,938 ) $ 1,143,408 June 30, 2021 Amortized Gross Gross Fair value Corporate bonds $ 466,403 $ 111 $ ( 55 ) $ 466,459 U.S. treasury securities 155,663 16 ( 5 ) 155,674 Asset-backed securities 26,391 16 ( 1 ) 26,406 Certificates of deposit 6,775 — — 6,775 Total $ 655,232 $ 143 $ ( 61 ) $ 655,314 |
Schedule of Gross Unrealized Loss and Fair Values | The following table presents gross unrealized losses and fair values for those investments that were in an unrealized loss position as of the dates presented (in thousands): March 31, 2022 Fair value Unrealized Corporate bonds $ 415,637 $ ( 3,653 ) U.S. treasury securities 372,165 ( 2,059 ) Asset backed securities 49,177 ( 226 ) Total $ 836,979 $ ( 5,938 ) June 30, 2021 Fair value Unrealized Corporate bonds $ 152,485 $ ( 55 ) U.S. treasury securities 85,466 ( 5 ) Asset backed securities 8,089 ( 1 ) Total $ 246,040 $ ( 61 ) |
Funds Held for Customers (Table
Funds Held for Customers (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Funds Held For Customers | Funds held for customers consisted of the following as of the dates presented (in thousands): March 31, June 30, 2022 2021 Restricted cash $ 1,667,466 $ 1,195,904 Restricted cash equivalents 124,132 86,322 Funds receivable 26,241 12,694 Corporate bonds 763,268 516,350 Certificates of deposit 390,144 326,927 Municipal bonds 9,512 42,957 Asset backed securities 57,397 25,085 U.S. treasury securities 6,074 3,009 Total funds held for customers 3,044,234 2,209,248 Less - income earned by the Company ( 694 ) ( 650 ) Total funds held for customers, net $ 3,043,540 $ 2,208,598 |
Summary of Fair Value of Funds Held For Customers Invested In Short Term Marketable Debt Securities | Below is a summary of the fair value of funds held for customers that were invested in short-term marketable debt securities as of the dates presented (in thousands): March 31, 2022 Amortized Gross Gross Fair value Corporate bonds $ 764,208 $ 4 $ ( 944 ) $ 763,268 Certificates of deposit 390,145 — ( 1 ) 390,144 Municipal bonds 9,544 — ( 32 ) 9,512 Asset backed securities 57,802 — ( 405 ) 57,397 U.S. treasury securities 6,087 — ( 13 ) 6,074 Total $ 1,227,786 $ 4 $ ( 1,395 ) $ 1,226,395 June 30, 2021 Amortized Gross Gross Fair value Corporate bonds $ 516,364 $ 24 $ ( 38 ) $ 516,350 Certificates of deposit 326,927 — — 326,927 Municipal bonds 42,952 5 — 42,957 Asset backed securities 25,081 4 — 25,085 U.S. treasury securities 3,010 — ( 1 ) 3,009 Total $ 914,334 $ 33 $ ( 39 ) $ 914,328 |
Summary of Gross Unrealized Losses And Fair Values | As of March 31, 2022, approximately 200 out of approximately 400 inve stment positions were in an unrealized loss position. The following tables present gross unrealized losses and fair values for those investments that were in an unrealized loss position as of the dates presented (in thousands): March 31, 2022 Fair value Unrealized Corporate bonds $ 267,969 $ ( 944 ) Certificates of deposit 2,055 ( 1 ) Municipal bonds 9,512 ( 32 ) Asset backed securities 57,397 ( 405 ) U.S. treasury securities 6,074 ( 13 ) Total $ 343,007 $ ( 1,395 ) June 30, 2021 Fair value Unrealized Corporate bonds $ 79,359 $ ( 38 ) U.S. treasury securities 2,501 ( 1 ) Total $ 81,860 $ ( 39 ) |
Acquired Card Receivables (Tabl
Acquired Card Receivables (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Acquired Card Receivables [Abstract] | |
Schedule of Acquired Card Receivables | Acquired card receivables consisted of the following as of the dates presented (in thousands): March 31, June 30, 2022 2021 Gross amount of acquired card receivables $ 242,911 $ 148,833 Less: allowance for credit losses ( 5,400 ) ( 1,740 ) Total $ 237,511 $ 147,093 |
Summary of Acquired Card Receivables by Class | Below is a summary of the acquired card receivables by class (i.e., past due status) as of the dates presented (in thousands): March 31, June 30, 2022 2021 Current and less than 30 days past due $ 237,847 $ 145,993 30 ~ 59 days past due 1,773 1,188 60 ~ 89 days past due 1,613 580 90 ~ 119 days past due 1,583 713 Over 119 days past due 95 359 Total $ 242,911 $ 148,833 |
Summary of Change in Allowance for Credit Losses | Below is a summary of the changes in allowance for credit losses for the periods presented (in thousands): Three months ended Nine months ended 2022 2022 Balance, beginning $ 4,607 $ 1,740 Initial allowance for credit losses on purchased 1 311 Provision for expected credit losses 6,085 15,310 Charge-off amounts ( 5,774 ) ( 13,070 ) Recoveries collected 481 1,109 Balance, end of period $ 5,400 $ 5,400 |
Summary of Fair Value of Consideration Received from Transfer of Card Receivables | Below is a summary of th e fair value of consideration received from the transfer of card receivables accounted for as a sale during the periods presented (in thousands): Three months ended Nine months ended 2022 2022 Initial fair value of consideration received: Cash $ 394,497 $ 1,019,704 Beneficial interest derivative 1,100 3,387 Total $ 395,597 $ 1,023,091 |
Summary Of Outstanding Transferred Card Receivables By Class Past Due Status [Table Text Block] | Below is a summary of outstanding transferred card receivables by class (i.e., past due status) that have not been charged-off and have not been recorded on the Company's condensed consolidated balance sheets, but with which the Company has a continuing involvement through its servicing agreements, as of the periods presented (in thousands): March 31, June 30, 2022 2021 Current and less than 30 days past due $ 60,772 $ 27,763 30 ~ 59 days past due 397 240 60 ~ 89 days past due 802 165 90 ~ 119 days past due 437 301 Over 119 days past due 44 132 Total $ 62,452 $ 28,601 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill | Goodwill, which is primarily attributable to expected synergies from acquisitions and is not deductible for U.S. federal and state income tax purposes, consisted of the following (in thousands): March 31, June 30, 2022 2021 Balance, beginning $ 1,772,043 $ — Addition related to acquisition during the period 585,448 1,772,043 Measurement period adjustments ( 2,660 ) — ASU 2021-08 adoption 8,278 — Balance, ending $ 2,363,109 $ 1,772,043 |
Schedule of Intangible Assets | Intangible assets consisted of the following (amounts in thousands): March 31, 2022 Gross Accumulated Amortization Net Weighted- Customer relationships $ 259,269 $ ( 20,074 ) $ 239,195 9.2 Developed technology 206,908 ( 29,624 ) 177,284 5 Trade name 48,042 ( 12,170 ) 35,872 2.3 Total $ 514,219 $ ( 61,868 ) $ 452,351 7 June 30, 2021 Gross Accumulated Amortization Net Weighted- Customer relationships $ 198,000 $ ( 2,062 ) $ 195,938 9.9 Developed technology 191,000 ( 2,653 ) 188,347 5.9 Trade name 34,000 ( 944 ) 33,056 2.9 Total $ 423,000 $ ( 5,659 ) $ 417,341 7.5 |
Schedule of Amortization of Finite-Lived Intangible Assets | Amortization of finite-lived intangible assets was as follows during the three and nine months ended March 31, 2022 (in thousands): Three months ended Nine months ended March 31, 2022 March 31, 2022 Cost of revenue $ 9,285 $ 26,971 Sales and marketing 10,484 29,238 Total $ 19,769 $ 56,209 |
Schedule of Future Amortization of Finite-Lived Intangible Assets | As of March 31, 2022, future amortization of finite-lived intangible assets that will be recorded in cost of revenue and operating expenses is estimated as follows (in thousands): Fiscal years ending June 30: Amount Remainder of 2022 $ 19,768 2023 79,075 2024 78,147 2025 59,425 2026 57,763 2027 55,094 Thereafter 103,079 Total $ 452,351 |
Debt and Bank Borrowings (Table
Debt and Bank Borrowings (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Debt Instrument [Line Items] | |
Schedule Of Debt and Borrowings | Debt and borrowings consisted of the following (in thousands): March 31, June 30, 2022 2021 Convertible senior notes: 2027 Notes, principal $ 575,000 $ — 2025 Notes, principal 1,150,000 1,150,000 Total principal amount of convertible senior notes 1,725,000 1,150,000 Credit facilities: 2021 revolving credit agreement (Class A) 37,500 37,500 2021 revolving credit agreement (Class B) 10,000 10,000 2019 credit agreement 30,000 30,000 Total principal borrowings from credit facilities 77,500 77,500 Total principal amount of debt and borrowings 1,802,500 1,227,500 Less: unamortized debt discount and issuance costs ( 27,767 ) ( 238,119 ) Net carrying value of debt and borrowings $ 1,774,733 $ 989,381 Net carrying value of debt and borrowings consisted of: Current liabilities: 2025 Notes, net $ 1,134,835 $ 909,847 Borrowings from credit facilities (including 30,370 — Non-current liabilities: 2027 Notes, net 561,457 — Borrowings from credit facilities (including 48,071 79,534 Total $ 1,774,733 $ 989,381 |
Schedule of Debt | As of March 31, 2022 and June 30, 2021, the Notes consisted of the following: March 31, 2022 June 30, 2021 2027 Notes 2025 Notes 2025 Notes Liability component: Principal $ 575,000 $ 1,150,000 $ 1,150,000 Less: unamortized debt discount and issuance costs ( 13,543 ) ( 15,165 ) ( 240,153 ) Net carrying amount $ 561,457 $ 1,134,835 $ 909,847 Amount allocated to equity component, net of issuance costs and tax $ — $ — $ 245,066 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Summary of Stock Based Compensation Cost from Stock Options, RSUs and ESPP | Stock-based compensation cost from stock options, RSUs, and ESPP was included in the following line items in the accompanying condensed consolidated statements of operations and condensed consolidated balance sheets (in thousands): Three months ended Nine months ended 2022 2021 2022 2021 Cost of revenue $ 1,262 $ 728 $ 3,674 $ 1,971 Research and development 13,912 3,638 38,752 9,953 Sales and marketing 17,758 1,711 36,911 5,086 General and administrative 19,878 4,603 61,044 14,253 Total amount charged to expense 52,810 10,680 140,381 31,263 Property and equipment (capitalized internal-use software) 1,093 — 3,050 — Total stock-based compensation cost $ 53,903 $ 10,680 $ 143,431 $ 31,263 |
Other Expenses, Net (Tables)
Other Expenses, Net (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Other Income, Nonoperating [Abstract] | |
Schedule of Other Expenses, Net | Other expenses, net consisted of the following for the periods presented (in thousands): Three months ended Nine months ended 2022 2021 2022 2021 Interest expense $ ( 2,462 ) $ ( 11,888 ) $ ( 6,785 ) $ ( 15,846 ) Lower of cost or market adjustment on card ( 3,179 ) — ( 7,824 ) — Interest income 1,185 460 2,456 1,914 Other 40 ( 4 ) ( 738 ) ( 11 ) Total $ ( 4,416 ) $ ( 11,432 ) $ ( 12,891 ) $ ( 13,943 ) |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Components Of Lease Expense | The components of lease expense during the three and nine months ended March 31, 2022 and 2021 is shown on the table below (in thousands). Three months ended Nine months ended 2022 2021 2022 2021 Operating lease expense $ 3,580 $ 1,767 $ 10,098 $ 5,016 Short-term lease expense — 52 77 381 Variable lease expense, net of credit ( 345 ) 598 2,564 1,917 Sublease income ( 215 ) — ( 546 ) — Total $ 3,020 $ 2,417 $ 12,193 $ 7,314 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Future Minimum Lease Payments | Future minimum lease payments as of March 31, 2022 are as follows (in thousands): Fiscal years ending June 30: Amount Remainder of 2022 $ 3,477 2023 14,000 2024 13,651 2025 13,425 2026 13,292 2027 13,226 Thereafter 49,508 Gross lease payments 120,579 Less - present value adjustments ( 23,426 ) Total operating lease liabilities, net $ 97,153 |
Schedule of Future Payments Under Other Agreements | Future payments under these agreements as of March 31, 2022 are as follows (in thousands): Fiscal years ending June 30: Amount Remainder of 2022 $ 2,152 2023 21,066 2024 8,892 2025 5,385 2026 4,750 2027 4,750 Thereafter 34,250 Total $ 81,245 |
Net Loss Per Share Attributab_2
Net Loss Per Share Attributable To Common Stockholders (Tables) | 9 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Basic and Diluted Net Loss Per Share Attributable to Common Stockholders | The following table presents the calculation of basic and diluted net loss per share attributable to common stockholders (in thousands, except per share amounts): Three months ended Nine months ended 2022 2021 2022 2021 Numerator: Net loss attributable to common stockholders $ ( 86,720 ) $ ( 26,728 ) $ ( 241,419 ) $ ( 56,858 ) Denominator: Weighted-average shares used to compute net loss Basic and diluted 103,830 82,627 100,856 81,446 Net loss per share attributable to common stockholders: Basic and diluted $ ( 0.84 ) $ ( 0.32 ) $ ( 2.39 ) $ ( 0.70 ) |
Summary of Potentially Dilutive Securities Excluded from Diluted Net Loss Per Share Calculation | Potentially dilutive securities, which were excluded from the diluted net loss per share calculations because they would have been antidilutive were as follows as of the dates presented (in thousands): March 31, 2022 2021 Stock options 4,232 5,905 Restricted stock units 3,159 1,167 Total 7,391 7,072 |
The Company and Its Significa_4
The Company and Its Significant Accounting Policies - Additional Information (Details) $ / shares in Units, $ in Thousands | Sep. 24, 2021USD ($)$ / sharesshares | Mar. 31, 2022USD ($)Customer | Sep. 30, 2021USD ($) | Mar. 31, 2021USD ($)Customer | Mar. 31, 2022USD ($)CustomerSegment | Mar. 31, 2021USD ($)Customer |
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Number of operating segments | Segment | 1 | |||||
Proceeds from issuance of common stock upon public offering, net of underwriting discounts and other offering costs | $ 1,341,122 | |||||
Proceeds from issuance of convertible senior notes, net of discounts and issuance costs | 560,075 | $ 1,129,379 | ||||
Allowance for potential credit losses related to accounts receivable and acquired card receivables | $ 6,000 | 6,000 | ||||
Revenue | $ 166,911 | $ 118,349 | $ 59,738 | $ 441,738 | $ 159,992 | |
ASU 2017-04 | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Change In Accounting Principle Accounting Standards Update Adoption Date | Jul. 1, 2021 | Jul. 1, 2021 | ||||
Change in Accounting Principle, Accounting Standards Update, Immaterial Effect [true false] | true | true | ||||
Change in Accounting Principle, Accounting Standards Update, Adopted [true false] | true | true | ||||
ASU 2020-06 | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Change in Accounting Principle, Accounting Standards Update, Early Adoption [true false] | true | true | ||||
Change In Accounting Principle Accounting Standards Update Adoption Date | Jul. 1, 2021 | Jul. 1, 2021 | ||||
ASU 2020-04 | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Change In Accounting Principle Accounting Standards Update Adoption Date | Jul. 1, 2021 | Jul. 1, 2021 | ||||
Change in Accounting Principle, Accounting Standards Update, Immaterial Effect [true false] | true | true | ||||
Change in Accounting Principle, Accounting Standards Update, Adopted [true false] | true | true | ||||
ASU 2021-08 | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Change in Accounting Principle, Accounting Standards Update, Early Adoption [true false] | true | true | ||||
Change In Accounting Principle Accounting Standards Update Adoption Date | Oct. 1, 2021 | Oct. 1, 2021 | ||||
Revenue | $ 2,600 | $ 8,300 | ||||
2027 Notes | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Debt instrument, aggregate principal amount | $ 575,000 | $ 575,000 | $ 575,000 | |||
Debt stated percentage | 0.00% | 0.00% | 0.00% | |||
Debt instrument, maturity date | Apr. 1, 2027 | |||||
Proceeds from issuance of convertible senior notes, net of discounts and issuance costs | $ 560,100 | |||||
Debt issuance costs | $ 14,900 | |||||
IPO | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Shares issued | shares | 5,073,529 | |||||
Shares issued price to public per share | $ / shares | $ 272 | |||||
Proceeds from issuance of common stock upon public offering, net of underwriting discounts and other offering costs | $ 1,300,000 | |||||
Underwriting discounts, commissions and other offering costs | $ 38,900 | |||||
Revenue Benchmark | Customer Concentration Risk | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Number of customers exceed 10% of revenue | Customer | 0 | 0 | 0 | 0 | ||
Revenue Benchmark | Customer Concentration Risk | No Customer | ||||||
Organization Consolidation Basis Of Presentation Business Description And Accounting Policies [Line Items] | ||||||
Concentration percentage | 10.00% |
The Company and Its Significa_5
The Company and Its Significant Accounting Policies - Impact on Previously Reported Condensed Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Oct. 01, 2021 | Sep. 30, 2021 | Jun. 30, 2021 |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Goodwill | $ 2,363,109 | $ 1,772,043 | ||
Current liabilities: | ||||
Deferred revenue | 31,600 | 12,900 | ||
Stockholders' equity: | ||||
Accumulated deficit | (459,886) | (247,467) | ||
ASU 2021-08 adjustments | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Goodwill | $ 8,278 | $ 2,363,090 | ||
Current liabilities: | ||||
Deferred revenue | 29,408 | |||
Non-current liabilities: | ||||
Deferred Income Tax Liabilities, Net | 2,649 | |||
Stockholders' equity: | ||||
Accumulated deficit | (292,726) | |||
AS Previously Reported | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Goodwill | $ 2,354,812 | |||
Current liabilities: | ||||
Deferred revenue | 21,328 | |||
Non-current liabilities: | ||||
Deferred Income Tax Liabilities, Net | 3,877 | 9,090 | ||
Stockholders' equity: | ||||
Accumulated deficit | $ (294,152) | $ (247,467) | ||
Revision of Prior Period, Adjustment | ASU 2021-08 adjustments | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Goodwill | 8,278 | |||
Current liabilities: | ||||
Deferred revenue | 8,080 | |||
Non-current liabilities: | ||||
Deferred Income Tax Liabilities, Net | (1,228) | |||
Stockholders' equity: | ||||
Accumulated deficit | $ 1,426 |
The Company and Its Significa_6
The Company and Its Significant Accounting Policies - Impact on Previously Reported Condensed Consolidated Statement of Operations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Mar. 31, 2022 | Mar. 31, 2021 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Revenue | $ 166,911 | $ 118,349 | $ 59,738 | $ 441,738 | $ 159,992 | |||
Benefit from income taxes | (879) | (3,421) | (4,935) | (333) | ||||
Net loss | $ (86,720) | $ (80,440) | (75,685) | $ (26,728) | $ (17,179) | $ (12,951) | $ (241,419) | $ (56,858) |
Net loss adjusted | $ (74,259) | |||||||
Net loss per share attributable to common stockholders, basic and diluted | $ (0.84) | $ (0.78) | $ (0.32) | $ (2.39) | $ (0.70) | |||
ASU 2021-08 adjustments | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Revenue | $ 2,600 | $ 8,300 | ||||||
AS Previously Reported | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Revenue | $ 116,403 | |||||||
Benefit from income taxes | (3,941) | |||||||
Net loss | $ (75,685) | |||||||
Net loss per share attributable to common stockholders, basic and diluted | $ (0.79) | |||||||
Revision of Prior Period, Adjustment | ASU 2021-08 adjustments | ||||||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||||||
Revenue | $ 1,946 | |||||||
Benefit from income taxes | 520 | |||||||
Net loss | $ 1,426 | |||||||
Net loss per share attributable to common stockholders, basic and diluted | $ 0.01 |
The Company and Its Significa_7
The Company and Its Significant Accounting Policies - Schedule of Condensed Consolidated Balance Sheet (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 | Jul. 01, 2021 | Jun. 30, 2021 |
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Convertible senior notes, net (2025 Notes) | $ 561,457 | $ 909,847 | ||
Additional paid-in capital | 4,535,699 | 2,777,155 | ||
Accumulated deficit | $ (459,886) | (247,467) | ||
AS Previously Reported | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Convertible senior notes, net (2025 Notes) | 909,847 | |||
Deferred income tax liability | $ 3,877 | 9,090 | ||
Additional paid-in capital | 2,777,155 | |||
Accumulated deficit | $ (294,152) | $ (247,467) | ||
ASU 2020-06 adjustments | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Convertible senior notes, net (2025 Notes) | $ 1,131,762 | |||
Deferred income tax liability | 3,241 | |||
Additional paid-in capital | 2,532,089 | |||
Accumulated deficit | (218,467) | |||
ASU 2020-06 adjustments | Cummulative effect adjustments | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Convertible senior notes, net (2025 Notes) | (25,316) | |||
Deferred income tax liability | (3,684) | |||
Accumulated deficit | 29,000 | |||
ASU 2020-06 adjustments | 2025 Notes | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Convertible senior notes, net (2025 Notes) | 247,231 | |||
Deferred income tax liability | (2,165) | |||
Additional paid-in capital | $ (245,066) |
The Company and Its Significa_8
The Company and Its Significant Accounting Policies - Schedule of Condensed Consolidated Balance Sheet (Parenthetical) (Details) $ in Millions | Jun. 30, 2021USD ($) |
ASU 2020-06 adjustments | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |
Deferred tax liabilities associated with allocation of notes into equity | $ 5.8 |
Revenue, Performance Obligati_3
Revenue, Performance Obligations, Deferred Revenue and Unbilled Revenue - Schedule of Revenue from Subscription and Transaction Fees Disaggregated by Customer Category (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2022 | Sep. 30, 2021 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation Of Revenue [Line Items] | |||||
Total revenue | $ 166,911 | $ 118,349 | $ 59,738 | $ 441,738 | $ 159,992 |
Subscription and Transaction Fees | |||||
Disaggregation Of Revenue [Line Items] | |||||
Total revenue | 165,468 | 58,622 | 438,546 | 154,743 | |
Subscription and Transaction Fees | Small-to-midsize Business, Accounting Firm Customers and Other | |||||
Disaggregation Of Revenue [Line Items] | |||||
Total revenue | 156,518 | 54,710 | 417,651 | 144,609 | |
Subscription and Transaction Fees | Financial Institution Customers | |||||
Disaggregation Of Revenue [Line Items] | |||||
Total revenue | 8,950 | 3,912 | 20,895 | 10,134 | |
Interest on Funds Held for Customers | |||||
Disaggregation Of Revenue [Line Items] | |||||
Total revenue | $ 1,443 | $ 1,116 | $ 3,192 | $ 5,249 |
Revenue, Performance Obligati_4
Revenue, Performance Obligations, Deferred Revenue and Unbilled Revenue - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | |
Revenue, Deferred Revenue and Performance Obligations [Line Items] | |||
Aggregate amount of transaction price allocated to performance obligations | $ 148 | $ 148 | |
Aggregate amount of transaction price allocated to performance obligations, description | As of March 31, 2022, the aggregate amount of transaction price allocated to performance obligations that are unsatisfied (or partially unsatisfied), including deferred revenue, was approximately $148 million. Of the total remaining performance obligations, the Company expects to recognize approximately 63% within two years and 37% over the next three to five years thereafter. The Company determines remaining performance obligations at a point of time. | ||
Deferred revenue, recognized | 3.2 | $ 12.1 | |
Unbilled revenue | 11 | 11 | $ 8.1 |
Total deferred revenue | 33.6 | 33.6 | 15.8 |
Current portion of the deferred revenue | 31.6 | 31.6 | 12.9 |
Non-current portion of the deferred revenue | $ 2 | $ 2 | $ 2.9 |
Revenue, Performance Obligati_5
Revenue, Performance Obligations, Deferred Revenue and Unbilled Revenue - Additional Information (Details1) | Mar. 31, 2022 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-04-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Aggregate amount of transaction price allocated to performance obligations, percentage | 63.00% |
Revenue, remaining performance obligation, expected timing of satisfaction, period | 2 years |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2024-04-01 | |
Revenue Remaining Performance Obligation Expected Timing Of Satisfaction [Line Items] | |
Aggregate amount of transaction price allocated to performance obligations, percentage | 37.00% |
Revenue, remaining performance obligation, expected timing of satisfaction, period | 3 years |
Business Combinations - Additio
Business Combinations - Additional Information (Details) - USD ($) | Sep. 01, 2021 | Jun. 01, 2021 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Mar. 31, 2022 | Mar. 31, 2021 | Jun. 30, 2021 |
Business Acquisition [Line Items] | |||||||||||
Goodwill | $ 2,363,109,000 | $ 2,363,109,000 | $ 1,772,043,000 | ||||||||
Total revenue | 166,911,000 | $ 118,349,000 | $ 59,738,000 | 441,738,000 | $ 159,992,000 | ||||||
Net loss | 86,720,000 | $ 80,440,000 | 75,685,000 | 26,728,000 | $ 17,179,000 | $ 12,951,000 | 241,419,000 | 56,858,000 | |||
Invoice2go, Inc. | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Sep. 1, 2021 | ||||||||||
Business combination, percentage of outstanding equity interests acquired | 100.00% | ||||||||||
Acquisition purchase consideration | $ 674,305,000 | ||||||||||
Goodwill | 585,448,000 | 585,400,000 | |||||||||
Goodwill expected to be deductible for income tax purposes | 0 | ||||||||||
Increase (decrease) in goodwill | 8,000,000 | ||||||||||
Increase in deferred revenue | 8,000,000 | ||||||||||
Costs associated with issuance and registration of shares issued | $ 200,000 | ||||||||||
Total revenue | 10,000,000 | 23,000,000 | |||||||||
Net loss | $ 13,000,000 | 28,000,000 | |||||||||
Proforma net loss | 34,732,000 | 242,194,000 | 97,157,000 | ||||||||
Invoice2go, Inc. | Discount Rate | Customer Relationships | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Fair value measurement input | 0.123 | ||||||||||
Invoice2go, Inc. | Discount Rate | Developed Technology | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Fair value measurement input | 0.123 | ||||||||||
Invoice2go, Inc. | Discount Rate | Trade Name | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Fair value measurement input | 0.123 | ||||||||||
Invoice2go, Inc. | Pre-tax Royalty Rate | Developed Technology | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Fair value measurement input | 0.150 | ||||||||||
Invoice2go, Inc. | Pre-tax Royalty Rate | Trade Name | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Fair value measurement input | 0.025 | ||||||||||
Invoice2go, Inc. | General and Administrative Expense | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition-related costs | $ 3,700,000 | ||||||||||
Invoice2go, Inc. | Nonrecurring Acquisition-Related Costs | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Proforma net loss | $ 19,000,000 | 20,600,000 | |||||||||
DivvyPay, Inc. | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Jun. 1, 2021 | ||||||||||
Business combination, percentage of outstanding equity interests acquired | 100.00% | ||||||||||
Acquisition purchase consideration | $ 2,300,000,000 | ||||||||||
Increase (decrease) in goodwill | $ (2,700,000) | ||||||||||
Proforma net loss | $ 75,131,000 | $ 222,918,000 |
Business Combinations - Summary
Business Combinations - Summary of Acquisition Purchase Consideration (Details) - Invoice2go, Inc. $ in Thousands | Sep. 01, 2021USD ($) |
Business Acquisition [Line Items] | |
Equity consideration | $ 510,218 |
Cash | 164,087 |
Total | $ 674,305 |
Business Combinations - Summa_2
Business Combinations - Summary of Acquisition Purchase Consideration (Parenthetical) (Details) - Invoice2go, Inc. $ in Millions | Sep. 01, 2021USD ($)shares |
Business Acquisition [Line Items] | |
Business acquisition, common stock issued | shares | 1,788,372 |
2014 Equity Incentive Plan | |
Business Acquisition [Line Items] | |
Fair value of stock options | $ | $ 21.7 |
Business Combinations - Summa_3
Business Combinations - Summary of Preliminary Fair Values of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Sep. 30, 2021 | Sep. 01, 2021 | Jun. 30, 2021 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 2,363,109 | $ 1,772,043 | ||
Invoice2go, Inc. | ||||
Business Acquisition [Line Items] | ||||
Cash and cash equivalents | $ 19,738 | |||
Accounts receivable and other assets | 4,518 | |||
Intangible assets | 91,219 | |||
Total identifiable assets acquired | 115,475 | |||
Accounts payable and other liabilities | (26,618) | |||
Net identifiable assets acquired | 88,857 | |||
Goodwill | $ 585,400 | 585,448 | ||
Net assets acquired | $ 674,305 |
Business Combinations - Summa_4
Business Combinations - Summary of Preliminary Fair Values Allocated to Identifiable Intangible Assets and Estimated Useful Lives (Details) - USD ($) $ in Thousands | Sep. 01, 2021 | Mar. 31, 2022 | Jun. 30, 2021 |
Business Acquisition [Line Items] | |||
Preliminary fair value | $ 514,219 | $ 423,000 | |
Customer Relationships | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | 259,269 | 198,000 | |
Developed Technology | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | 206,908 | 191,000 | |
Trade Name | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | $ 48,042 | $ 34,000 | |
Invoice2go, Inc. | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | $ 91,219 | ||
Weighted average useful life (In years) | 7 years 8 months 12 days | ||
Invoice2go, Inc. | Customer Relationships | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | $ 61,269 | ||
Weighted average useful life (In years) | 10 years | ||
Invoice2go, Inc. | Developed Technology | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | $ 15,908 | ||
Weighted average useful life (In years) | 3 years | ||
Invoice2go, Inc. | Trade Name | |||
Business Acquisition [Line Items] | |||
Preliminary fair value | $ 14,042 | ||
Weighted average useful life (In years) | 3 years |
Business Combinations - Summa_5
Business Combinations - Summary of Unaudited Proforma Financial Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Invoice2go, Inc. | |||
Business Acquisition [Line Items] | |||
Total revenue | $ 69,168 | $ 448,256 | $ 186,788 |
Net loss | (34,732) | $ (242,194) | (97,157) |
DivvyPay, Inc. | |||
Business Acquisition [Line Items] | |||
Total revenue | 80,808 | 210,787 | |
Net loss | $ (75,131) | $ (222,918) |
Fair Value Measurement - Summar
Fair Value Measurement - Summary of Fair Value of Assets and Liabilities Measured on Recurring Basis (Details) - Fair Value, Recurring - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Assets | ||
Cash equivalents | $ 1,253,395 | $ 381,049 |
Short-term investments | 1,143,408 | 655,314 |
Funds held for customers | 1,350,527 | 1,000,650 |
Beneficial interest derivative on card receivables sold | 1,786 | 2,252 |
Total assets measured at fair value | 3,749,116 | 2,039,265 |
Money Market Funds | ||
Assets | ||
Cash equivalents | 1,237,003 | 365,550 |
U.S. Treasury Securities | ||
Assets | ||
Short-term investments | 414,825 | 155,674 |
Funds held for customers | 6,074 | 3,009 |
Corporate Bonds | ||
Assets | ||
Cash equivalents | 16,392 | 15,499 |
Short-term investments | 660,298 | 466,459 |
Funds held for customers | 763,268 | 516,350 |
Asset Backed Securities | ||
Assets | ||
Short-term investments | 49,177 | 26,406 |
Funds held for customers | 57,397 | 25,085 |
Certificates of Deposit | ||
Assets | ||
Short-term investments | 19,108 | 6,775 |
Funds held for customers | 390,144 | 326,927 |
Municipal Bonds | ||
Assets | ||
Funds held for customers | 9,512 | 42,957 |
Restricted Cash Equivalents | ||
Assets | ||
Funds held for customers | 124,132 | 86,322 |
Restricted Cash Equivalents | Money Market Funds | ||
Assets | ||
Funds held for customers | 16,811 | 6,887 |
Restricted Cash Equivalents | Corporate Bonds | ||
Assets | ||
Funds held for customers | 107,321 | 79,435 |
Level 1 | ||
Assets | ||
Cash equivalents | 1,237,003 | 365,550 |
Short-term investments | 414,825 | 155,674 |
Funds held for customers | 22,885 | 9,896 |
Total assets measured at fair value | 1,674,713 | 531,120 |
Level 1 | Money Market Funds | ||
Assets | ||
Cash equivalents | 1,237,003 | 365,550 |
Level 1 | U.S. Treasury Securities | ||
Assets | ||
Short-term investments | 414,825 | 155,674 |
Funds held for customers | 6,074 | 3,009 |
Level 1 | Restricted Cash Equivalents | ||
Assets | ||
Funds held for customers | 16,811 | 6,887 |
Level 1 | Restricted Cash Equivalents | Money Market Funds | ||
Assets | ||
Funds held for customers | 16,811 | 6,887 |
Level 2 | ||
Assets | ||
Cash equivalents | 16,392 | 15,499 |
Short-term investments | 728,583 | 499,640 |
Funds held for customers | 1,327,642 | 990,754 |
Total assets measured at fair value | 2,072,617 | 1,505,893 |
Level 2 | Corporate Bonds | ||
Assets | ||
Cash equivalents | 16,392 | 15,499 |
Short-term investments | 660,298 | 466,459 |
Funds held for customers | 763,268 | 516,350 |
Level 2 | Asset Backed Securities | ||
Assets | ||
Short-term investments | 49,177 | 26,406 |
Funds held for customers | 57,397 | 25,085 |
Level 2 | Certificates of Deposit | ||
Assets | ||
Short-term investments | 19,108 | 6,775 |
Funds held for customers | 390,144 | 326,927 |
Level 2 | Municipal Bonds | ||
Assets | ||
Funds held for customers | 9,512 | 42,957 |
Level 2 | Restricted Cash Equivalents | ||
Assets | ||
Funds held for customers | 107,321 | 79,435 |
Level 2 | Restricted Cash Equivalents | Corporate Bonds | ||
Assets | ||
Funds held for customers | 107,321 | 79,435 |
Level 3 | ||
Assets | ||
Beneficial interest derivative on card receivables sold | 1,786 | 2,252 |
Total assets measured at fair value | $ 1,786 | $ 2,252 |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2022 | Jun. 30, 2021 | Sep. 24, 2021 | Nov. 30, 2020 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Fair value assets amount transfer from level 1 to level 2 | $ 0 | $ 0 | ||
Fair value assets amount transfer from level 2 to level 1 | 0 | 0 | ||
Fair value liabilities amount transfer from level 1 to level 2 | 0 | 0 | ||
Fair value liabilities amount transfer from level 2 to level 1 | 0 | 0 | ||
Fair value assets amount transfer into level 3 | 0 | 0 | ||
Fair value assets amount transfer out of level 3 | 0 | 0 | ||
Fair value liabilities amount transfer into level 3 | 0 | 0 | ||
Fair value liabilities amount transfer out of level 3 | 0 | $ 0 | ||
2025 Notes | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Debt Instrument, Face Amount | $ 1,150,000,000 | $ 1,150,000,000 | ||
Debt instrument, interest rate stated percentage | 0.00% | 0.00% | ||
Debt Instrument, Fair Value Estimated | $ 1,900,000,000 | |||
2027 Notes | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Debt Instrument, Face Amount | $ 575,000,000 | $ 575,000,000 | ||
Debt instrument, interest rate stated percentage | 0.00% | 0.00% | ||
Debt Instrument, Fair Value Estimated | $ 556,900,000 |
Short-Term Investments - Schedu
Short-Term Investments - Schedule of Short-Term Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Schedule Of Available For Sale Securities [Line Items] | ||
Short-term investments, Amortized cost | $ 1,149,336 | $ 655,232 |
Short-term investments, Gross unrealized gains | 10 | 143 |
Short-term investments, Gross unrealized losses | (5,938) | (61) |
Short-term investments | 1,143,408 | 655,314 |
Corporate Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Short-term investments, Amortized cost | 663,946 | 466,403 |
Short-term investments, Gross unrealized gains | 5 | 111 |
Short-term investments, Gross unrealized losses | (3,653) | (55) |
Short-term investments | 660,298 | 466,459 |
U.S. Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Short-term investments, Amortized cost | 416,879 | 155,663 |
Short-term investments, Gross unrealized gains | 5 | 16 |
Short-term investments, Gross unrealized losses | (2,059) | (5) |
Short-term investments | 414,825 | 155,674 |
Asset Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Short-term investments, Amortized cost | 49,403 | 26,391 |
Short-term investments, Gross unrealized gains | 0 | 16 |
Short-term investments, Gross unrealized losses | (226) | (1) |
Short-term investments | 49,177 | 26,406 |
Certificates of Deposit | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Short-term investments, Amortized cost | 19,108 | 6,775 |
Short-term investments, Gross unrealized gains | 0 | 0 |
Short-term investments, Gross unrealized losses | 0 | 0 |
Short-term investments | $ 19,108 | $ 6,775 |
Short-Term Investments - Additi
Short-Term Investments - Additional Information (Details) | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2022USD ($)InvestmentPosition | Mar. 31, 2021USD ($) | Mar. 31, 2022USD ($)InvestmentPosition | Mar. 31, 2021USD ($) | Jun. 30, 2021USD ($) | |
Schedule Of Available For Sale Securities [Line Items] | |||||
Amortized cost | $ 1,149,336,000 | $ 1,149,336,000 | $ 655,232,000 | ||
Short-term investments mature within one year | $ 971,600,000 | $ 971,600,000 | $ 495,800,000 | ||
Percentage of short-term investments maturing within one year | 85.00% | 85.00% | 76.00% | ||
Short-term investments mature thereafter | $ 171,800,000 | $ 171,800,000 | $ 159,500,000 | ||
Percentage of short-term investments maturing thereafter | 15.00% | 15.00% | 24.00% | ||
Short-term investments realized gains or losses | $ 0 | $ 0 | $ 0 | $ 0 | |
Number of investments in unrealized loss positions | InvestmentPosition | 300 | 300 | |||
Number of investment positions | InvestmentPosition | 400 | 400 | |||
Allowance for credit losses on investments that were in an unrealized loss position | $ 0 | $ 0 | $ 0 | ||
Accrued Interest Receivable | |||||
Schedule Of Available For Sale Securities [Line Items] | |||||
Fair value | $ 3,200,000 | $ 3,200,000 | $ 2,500,000 |
Short-Term Investments - Sche_2
Short-Term Investments - Schedule of Gross Unrealized Losses and Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Schedule Of Available For Sale Securities [Line Items] | ||
Fair value | $ 836,979 | $ 246,040 |
Unrealized losses | (5,938) | (61) |
Corporate Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair value | 415,637 | 152,485 |
Unrealized losses | (3,653) | (55) |
U.S. Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair value | 372,165 | 85,466 |
Unrealized losses | (2,059) | (5) |
Asset Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Fair value | 49,177 | 8,089 |
Unrealized losses | $ (226) | $ (1) |
Funds Held for Customers - Summ
Funds Held for Customers - Summary of Funds Held for Customers (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Funds Held For Customers [Line Items] | ||
Total funds held for customers | $ 3,044,234 | $ 2,209,248 |
Total funds held for customers, net of income earned by the Company | 3,043,540 | 2,208,598 |
Other Current Assets | ||
Funds Held For Customers [Line Items] | ||
Less - income earned by the Company | (694) | (650) |
Certificates of Deposit | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 390,144 | 326,927 |
Restricted Cash | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 1,667,466 | 1,195,904 |
Restricted Cash Equivalents | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 124,132 | 86,322 |
Funds Receivable | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 26,241 | 12,694 |
Corporate Bonds | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 763,268 | 516,350 |
Asset Backed Securities | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 57,397 | 25,085 |
U.S. Treasury Securities | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | 6,074 | 3,009 |
Municipal Bonds | ||
Funds Held For Customers [Line Items] | ||
Total funds held for customers | $ 9,512 | $ 42,957 |
Funds Held for Customers - Su_2
Funds Held for Customers - Summary of Fair Value of Funds Held For Customers (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Funds Held For Customers [Line Items] | ||
Amortized cost | $ 1,227,786 | $ 914,334 |
Gross unrealized gains | 4 | 33 |
Gross unrealized losses | (1,395) | (39) |
Fair value | 1,226,395 | 914,328 |
Certificates of Deposit | ||
Funds Held For Customers [Line Items] | ||
Amortized cost | 390,145 | 326,927 |
Gross unrealized losses | (1) | |
Fair value | 390,144 | 326,927 |
Municipal Bonds | ||
Funds Held For Customers [Line Items] | ||
Amortized cost | 9,544 | 42,952 |
Gross unrealized gains | 5 | |
Gross unrealized losses | (32) | |
Fair value | 9,512 | 42,957 |
Corporate Bonds | ||
Funds Held For Customers [Line Items] | ||
Amortized cost | 764,208 | 516,364 |
Gross unrealized gains | 4 | 24 |
Gross unrealized losses | (944) | (38) |
Fair value | 763,268 | 516,350 |
Asset Backed Securities | ||
Funds Held For Customers [Line Items] | ||
Amortized cost | 57,802 | 25,081 |
Gross unrealized gains | 4 | |
Gross unrealized losses | (405) | |
Fair value | 57,397 | 25,085 |
U.S. Treasury Securities | ||
Funds Held For Customers [Line Items] | ||
Amortized cost | 6,087 | 3,010 |
Gross unrealized losses | (13) | (1) |
Fair value | $ 6,074 | $ 3,009 |
Funds Held for Customers - Addi
Funds Held for Customers - Additional Information (Details) | Mar. 31, 2022USD ($)InvestmentPosition | Jun. 30, 2021USD ($) | Mar. 31, 2021USD ($) |
Funds Held For Customers [Line Items] | |||
Amortized Cost | $ 1,227,786,000 | $ 914,334,000 | |
Fair value | $ 1,226,395,000 | $ 914,328,000 | |
Debt securities percentage mature within one year | 95.00% | 97.00% | |
Short term marketable debt realized gains or losses | $ 0 | $ 0 | |
Debt securities mature within one year | $ 1,200,000,000 | $ 882,400,000 | |
Debt securities percentage mature thereafter | 5.00% | 3.00% | |
Debt securities mature thereafter | $ 57,400,000 | $ 31,900,000 | |
Number of unrealized loss investment positions | InvestmentPosition | 200 | ||
Number of investment positions | InvestmentPosition | 400 | ||
Accrued Interest Receivable | |||
Funds Held For Customers [Line Items] | |||
Amortized Cost | $ 2,100,000 | 1,900,000 | |
Fair value | $ 2,100,000 | $ 1,900,000 |
Funds Held for Customers - Su_3
Funds Held for Customers - Summary of Gross Unrealized Losses And Fair Values (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Funds Held For Customers [Line Items] | ||
Fair value | $ 343,007 | $ 81,860 |
Unrealized losses | (1,395) | (39) |
Certificates of Deposit | ||
Funds Held For Customers [Line Items] | ||
Fair value | 2,055 | |
Unrealized losses | (1) | |
Municipal Bonds | ||
Funds Held For Customers [Line Items] | ||
Fair value | 9,512 | |
Unrealized losses | (32) | |
Corporate Bonds | ||
Funds Held For Customers [Line Items] | ||
Fair value | 267,969 | 79,359 |
Unrealized losses | (944) | (38) |
U.S. Treasury Securities | ||
Funds Held For Customers [Line Items] | ||
Fair value | 6,074 | 2,501 |
Unrealized losses | (13) | $ (1) |
Asset Backed Securities | ||
Funds Held For Customers [Line Items] | ||
Fair value | 57,397 | |
Unrealized losses | $ (405) |
Acquired Card Receivables - Sch
Acquired Card Receivables - Schedule of Acquired Card Receivables (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Acquired Card Receivables [Abstract] | |||
Gross amount of acquired card receivables | $ 242,911 | $ 148,833 | |
Less: allowance for credit losses | (5,400) | $ (4,607) | (1,740) |
Total | $ 237,511 | $ 147,093 |
Acquired Card Receivables - Add
Acquired Card Receivables - Additional Information (Details) - USD ($) $ in Millions | 9 Months Ended | |
Mar. 31, 2022 | Jun. 30, 2021 | |
Financing Receivable, Past Due [Line Items] | ||
Acquired card receivable as collateral | $ 192 | |
Grace period to payment on acquired card receivables | 5 days | |
Acquired card receivables, minimum number of past due days to accrue fees | 90 days | |
Prepaid Expenses and Other Current Assets | ||
Financing Receivable, Past Due [Line Items] | ||
Card receivables held for sale, amount | $ 6.7 | $ 2.6 |
Fair value of beneficial interest derivative | $ 1.8 | $ 2.3 |
Acquired Card Receivables - Sum
Acquired Card Receivables - Summary of Acquired Card Receivables by Class (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Financing Receivable, Past Due [Line Items] | ||
Total | $ 242,911 | $ 148,833 |
Current and Less than 30 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 237,847 | 145,993 |
30 ~ 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 1,773 | 1,188 |
60 ~ 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 1,613 | 580 |
90 ~ 119 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 1,583 | 713 |
Over 119 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | $ 95 | $ 359 |
Acquired Card Receivables - S_2
Acquired Card Receivables - Summary of Change in Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Mar. 31, 2022 | Mar. 31, 2022 | |
Acquired Card Receivables [Abstract] | ||
Balance, beginning | $ 4,607 | $ 1,740 |
Initial allowance for credit losses on purchased card receivables with credit deterioration | 1 | 311 |
Provision for expected credit losses | 6,085 | 15,310 |
Charge-off amounts | (5,774) | (13,070) |
Recoveries collected | 481 | 1,109 |
Balance, end of period | $ 5,400 | $ 5,400 |
Acquired Card Receivables - S_3
Acquired Card Receivables - Summary of Fair Value of Consideration Received from Transfer of Card Receivables (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Mar. 31, 2022 | Mar. 31, 2022 | |
Acquired Card Receivables [Abstract] | ||
Cash | $ 394,497 | $ 1,019,704 |
Beneficial interest derivative | 1,100 | 3,387 |
Total | $ 395,597 | $ 1,023,091 |
Acquired Card Receivables - S_4
Acquired Card Receivables - Summary of Outstanding Transferred Card Receivables by Class (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Financing Receivable, Past Due [Line Items] | ||
Total | $ 62,452 | $ 28,601 |
Current and Less than 30 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 60,772 | 27,763 |
30 ~ 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 397 | 240 |
60 ~ 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 802 | 165 |
90 ~ 119 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | 437 | 301 |
Over 119 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total | $ 44 | $ 132 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Summary of Goodwill (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Jun. 30, 2021 | |
Goodwill [Line Items] | ||
Balance, beginning | $ 1,772,043 | |
Addition related to acquisition during the period | 585,448 | $ 1,772,043 |
Measurement period adjustments | (2,660) | |
Balance, ending | 2,363,109 | $ 1,772,043 |
ASU 2021-08 | ||
Goodwill [Line Items] | ||
Balance, ending | $ 8,278 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Mar. 31, 2022 | Jun. 30, 2021 | |
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 514,219 | $ 423,000 |
Accumulated Amortization | (61,868) | (5,659) |
Net Carrying Amount | $ 452,351 | $ 417,341 |
Weighted-average remaining useful life (in years) | 7 years | 7 years 6 months |
Customer Relationships | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 259,269 | $ 198,000 |
Accumulated Amortization | (20,074) | (2,062) |
Net Carrying Amount | $ 239,195 | $ 195,938 |
Weighted-average remaining useful life (in years) | 9 years 2 months 12 days | 9 years 10 months 24 days |
Developed Technology | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 206,908 | $ 191,000 |
Accumulated Amortization | (29,624) | (2,653) |
Net Carrying Amount | $ 177,284 | $ 188,347 |
Weighted-average remaining useful life (in years) | 5 years | 5 years 10 months 24 days |
Trade Name | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 48,042 | $ 34,000 |
Accumulated Amortization | (12,170) | (944) |
Net Carrying Amount | $ 35,872 | $ 33,056 |
Weighted-average remaining useful life (in years) | 2 years 3 months 18 days | 2 years 10 months 24 days |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Schedule of Amortization of Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Mar. 31, 2022 | Mar. 31, 2022 | |
Finite Lived Intangible Assets [Line Items] | ||
Amortization of finite-lived intangible assets | $ 19,769 | $ 56,209 |
Cost of Revenue | ||
Finite Lived Intangible Assets [Line Items] | ||
Amortization of finite-lived intangible assets | 9,285 | 26,971 |
Sales and Marketing | ||
Finite Lived Intangible Assets [Line Items] | ||
Amortization of finite-lived intangible assets | $ 10,484 | $ 29,238 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Schedule of Future Amortization of Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2022 | $ 19,768 | |
2023 | 79,075 | |
2024 | 78,147 | |
2025 | 59,425 | |
2026 | 57,763 | |
2027 | 55,094 | |
Thereafter | 103,079 | |
Net Carrying Amount | $ 452,351 | $ 417,341 |
Debt and Borrowings - Schedule
Debt and Borrowings - Schedule of Debt and Borrowings (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jun. 30, 2021 |
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | $ 1,802,500 | $ 1,227,500 |
Less: unamortized debt discount and issuance costs | (27,767) | (238,119) |
Net carrying value of debt and borrowings | 1,774,733 | 989,381 |
2019 Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | 30,000 | 30,000 |
2021 Revolving Credit Agreement and the 2019 Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | 77,500 | 77,500 |
Current liabilities | 30,370 | |
Non-current liabilities | 48,071 | 79,534 |
2027 Notes | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | 575,000 | |
Less: unamortized debt discount and issuance costs | (13,543) | |
Net carrying value of debt and borrowings | 561,457 | |
Non-current liabilities | 561,457 | |
2025 Notes | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | 1,150,000 | 1,150,000 |
Less: unamortized debt discount and issuance costs | (15,165) | (240,153) |
Net carrying value of debt and borrowings | 1,134,835 | 909,847 |
Current liabilities | 1,134,835 | 909,847 |
Amount allocated to equity component, net of issuance costs and tax | 245,066 | |
Class A | 2021 Revolving Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | 37,500 | 37,500 |
Class B | 2021 Revolving Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | 10,000 | 10,000 |
2027 and 2025 Convertible Senior Notes | ||
Debt Instrument [Line Items] | ||
Total principal amount of debt and borrowings | $ 1,725,000 | $ 1,150,000 |
Debt and Borrowings - Additiona
Debt and Borrowings - Additional Information (Details) $ / shares in Units, shares in Millions | Mar. 31, 2022USD ($)$ / shares | Oct. 31, 2021USD ($) | Oct. 01, 2021 | Sep. 24, 2021USD ($)$ / sharesshares | Nov. 30, 2020USD ($)$ / sharesshares | Mar. 31, 2022USD ($)Tradingday$ / shares | Dec. 31, 2021Tradingday | Mar. 31, 2021USD ($)Tradingday | Mar. 31, 2022USD ($)Tradingday$ / sharesshares | Mar. 31, 2021USD ($) | Jul. 01, 2021 | Jun. 30, 2021 |
Debt Instrument [Line Items] | ||||||||||||
Proceeds from issuance of convertible senior notes, net of discounts and issuance costs | $ 560,075,000 | $ 1,129,379,000 | ||||||||||
Amortization of debt discount and issuance costs | $ 3,362,000 | 15,724,000 | ||||||||||
Debt premium weighted average remaining amortization period | 1 year | |||||||||||
ASU 2020-06 | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Change in Accounting Principle, Accounting Standards Update, Early Adoption [true false] | true | true | true | |||||||||
Change In Accounting Principle Accounting Standards Update Adoption Date | Jul. 1, 2021 | Jul. 1, 2021 | Jul. 1, 2021 | |||||||||
2021 Revolving Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | $ 95,000,000 | |||||||||||
Line of credit facility maturity month and year | 2023-06 | |||||||||||
Debt instrument floor rate | 0.25% | |||||||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.50% | |||||||||||
Line of credit facility, covenant terms | The 2021 Revolving Credit Agreement requires the Company to comply with certain restricted covenants, including certain liquidity requirements. As of March 31, 2022, the Company was in compliance with those covenants. | |||||||||||
Amended 2019 Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | $ 60,000,000 | $ 60,000,000 | $ 60,000,000 | |||||||||
Debt instrument basis spread on variable rate | 6.00% | 4.50% | ||||||||||
Line of credit facility maturity month and year | 2023-01 | |||||||||||
Line of credit facility minimum utilization requirement amount | $ 30,000,000 | $ 30,000,000 | $ 30,000,000 | |||||||||
Debt instrument floor rate | 2.00% | 0.25% | ||||||||||
Line of credit facility, unused capacity, commitment fee percentage | 0.50% | |||||||||||
Line of credit facility, covenant terms | The amended 2019 Credit Agreement requires the Company to comply with certain restricted covenants, including certain liquidity requirements. As of March 31, 2022, the Company was in compliance with those covenants. | |||||||||||
LIBOR | Amended 2019 Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit facility, interest rate at period end | 5.02% | 5.02% | 5.02% | |||||||||
2027 Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, aggregate principal amount | $ 575,000,000 | $ 575,000,000 | $ 575,000,000 | $ 575,000,000 | ||||||||
Debt instrument, interest rate stated percentage | 0.00% | 0.00% | 0.00% | 0.00% | ||||||||
Debt instrument, maturity date | Apr. 1, 2027 | |||||||||||
Proceeds from issuance of convertible senior notes, net of discounts and issuance costs | $ 560,100,000 | |||||||||||
Debt issuance costs | $ 14,900,000 | |||||||||||
Debt initial conversion rate | 2.4108 | |||||||||||
Debt instrument denomination of principal amount for conversion into common stock | $ 1,000 | $ 1,000 | ||||||||||
Initial conversion price per share | $ / shares | $ 414.80 | |||||||||||
Notes issued upon conversion | shares | 1.4 | |||||||||||
Debt instrument threshold percentage of conversion price | 130.00% | |||||||||||
Number of trading days for conversion of notes | Tradingday | 20 | |||||||||||
Number of consecutive trading days for conversion of notes | Tradingday | 30 | |||||||||||
Debt convertible date | Jan. 1, 2027 | |||||||||||
Number of business day period for conversion of notes | 5 days | |||||||||||
Number of consecutive trading day period in consideration for conversion of notes | 5 days | |||||||||||
Threshold percentage of stock price trigger in measurement period | 98.00% | |||||||||||
Debt conversion rate in make whole | 1.2656 | |||||||||||
Debt conversion price per share in make whole | $ / shares | $ 272 | $ 272 | $ 272 | |||||||||
Debt instrument, default description | The Indenture governing the 2027 Notes contains customary events of default with respect to the 2027 Notes and provides that upon certain events of default occurring and continuing, the holders of the 2027 Notes will have the right, at their option, to require the Company to repurchase for cash all or a portion of their outstanding notes, at a price equal to 100% of the principal amount of the 2027 Notes to be repurchased, plus any accrued and unpaid interest. | |||||||||||
Debt default threshold principal amount percentage | 100.00% | |||||||||||
Debt instrument, effective interest rate percentage | 0.48% | 0.48% | 0.48% | |||||||||
Cost of capped call | $ 125,800,000 | |||||||||||
Capped call, initial strike price | $ / shares | $ 414.80 | $ 414.80 | $ 414.80 | |||||||||
Capped call, initial cap price | $ / shares | $ 544 | $ 544 | $ 544 | |||||||||
Cap calls cover subject to anti-dilution adjustments to common stock | shares | 8.5 | |||||||||||
Debt instrument, aggregate principal amount if converted | $ 575,000,000 | $ 575,000,000 | $ 575,000,000 | |||||||||
2027 Notes | Redeem On or After October 5, 2024 | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Redemption period, start date | Oct. 5, 2024 | |||||||||||
Debt instrument threshold percentage of conversion price | 130.00% | |||||||||||
Number of trading days for conversion of notes | Tradingday | 20 | |||||||||||
Number of consecutive trading days for conversion of notes | Tradingday | 30 | |||||||||||
Redemption price percentage of principal amount redeemed | 100.00% | |||||||||||
Sinking fund | $ 0 | |||||||||||
2025 Notes | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, aggregate principal amount | $ 1,150,000,000 | $ 1,150,000,000 | $ 1,150,000,000 | $ 1,150,000,000 | ||||||||
Debt instrument, interest rate stated percentage | 0.00% | 0.00% | 0.00% | 0.00% | ||||||||
Debt instrument, maturity date | Dec. 1, 2025 | |||||||||||
Proceeds from issuance of convertible senior notes, net of discounts and issuance costs | $ 1,130,000,000 | |||||||||||
Debt issuance costs | $ 20,600,000 | |||||||||||
Debt initial conversion rate | 6.2159 | |||||||||||
Debt instrument denomination of principal amount for conversion into common stock | $ 1,000 | $ 1,000 | 1,000 | |||||||||
Initial conversion price per share | $ / shares | $ 160.88 | |||||||||||
Notes issued upon conversion | shares | 7.1 | |||||||||||
Debt instrument threshold percentage of conversion price | 130.00% | |||||||||||
Number of trading days for conversion of notes | Tradingday | 20 | 20 | ||||||||||
Number of consecutive trading days for conversion of notes | Tradingday | 30 | 30 | ||||||||||
Debt convertible date | Sep. 1, 2025 | |||||||||||
Number of business day period for conversion of notes | 5 days | |||||||||||
Number of consecutive trading day period in consideration for conversion of notes | 5 days | |||||||||||
Threshold percentage of stock price trigger in measurement period | 98.00% | |||||||||||
Debt conversion rate in make whole | 2.9525 | |||||||||||
Debt conversion price per share in make whole | $ / shares | $ 109.07 | $ 109.07 | $ 109.07 | |||||||||
Debt instrument, default description | The Indenture governing the 2025 Notes contains customary events of default with respect to the 2025 Notes and provides that upon certain events of default occurring and continuing, the holders of the 2025 Notes will have the right, at their option, to require the Company to repurchase for cash all or a portion of their outstanding notes, at a price equal to 100% of the principal amount of the 2025 Notes to be repurchased, plus any accrued and unpaid interest. | |||||||||||
Debt default threshold principal amount percentage | 100.00% | |||||||||||
Debt instrument, effective interest rate percentage | 5.37% | |||||||||||
Cost of capped call | $ 125,800,000 | |||||||||||
Capped call, initial strike price | $ / shares | 160.88 | 160.88 | $ 160.88 | |||||||||
Capped call, initial cap price | $ / shares | $ 218.14 | $ 218.14 | $ 218.14 | |||||||||
Cap calls cover subject to anti-dilution adjustments to common stock | shares | 8.5 | |||||||||||
Amortization of debt discount and issuance costs | $ 1,700,000 | $ 11,800,000 | $ 4,500,000 | $ 15,700,000 | ||||||||
Debt instrument, weighted average remaining term | 4 years 1 month 6 days | |||||||||||
Debt instrument, aggregate principal amount if converted | $ 471,000,000 | $ 471,000,000 | $ 471,000,000 | |||||||||
2025 Notes | ASU 2020-06 | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, effective interest rate percentage | 0.36% | |||||||||||
2025 Notes | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Traded price percentage. | 130.00% | |||||||||||
2025 Notes | Redeem On or After December 5, 2023 | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Redemption period, start date | Dec. 5, 2023 | |||||||||||
Debt instrument threshold percentage of conversion price | 130.00% | |||||||||||
Number of trading days for conversion of notes | Tradingday | 20 | |||||||||||
Number of consecutive trading days for conversion of notes | Tradingday | 30 | |||||||||||
Redemption price percentage of principal amount redeemed | 100.00% | |||||||||||
Sinking fund | $ 0 | |||||||||||
Class A Facility | 2021 Revolving Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | $ 75,000,000 | |||||||||||
Line of credit facility, interest rate during period | 2.75% | |||||||||||
Class A Facility | LIBOR | 2021 Revolving Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument basis spread on variable rate | 3.27% | |||||||||||
Class B Facility | 2021 Revolving Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit facility, maximum borrowing capacity | $ 20,000,000 | |||||||||||
Line of credit facility, interest rate during period | 10.25% | |||||||||||
Class B Facility | LIBOR | 2021 Revolving Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument basis spread on variable rate | 10.77% | |||||||||||
Class A and Class B Facilities | 2021 Revolving Credit Agreement | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of credit facility percentage of minimum utilization | 50.00% |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) $ / shares in Units, $ in Millions | 1 Months Ended | 9 Months Ended |
Dec. 31, 2021Employee$ / sharesshares | Mar. 31, 2022USD ($)$ / sharesshares | |
Class Of Stock [Line Items] | ||
Unamortized stock-based compensation expense | $ | $ 83.9 | |
Weighted-average period over which unrecognized compensation cost is expected to be recognized | 2 years 1 month 6 days | |
Class of warrant exercise price | $ / shares | $ 4.50 | |
Class of warrant exercisable period | 5 years | |
Class of warrant exercisable period ends | 2023-09 | |
Warrants issued or issuable | 0 | |
2019 Employee Stock Purchase Plan | ||
Class Of Stock [Line Items] | ||
Unamortized stock-based compensation expense | $ | $ 6.6 | |
Weighted-average period over which unrecognized compensation cost is expected to be recognized | 12 months | |
Expected volatility of option granted | 77.20% | |
Risk-free interest rate, minimum | 0.63% | |
Risk-free interest rate, maximum | 0.88% | |
Expected dividend yield | 0.00% | |
Minimum | 2019 Employee Stock Purchase Plan | ||
Class Of Stock [Line Items] | ||
Expected term of stock options granted | 7 months 6 days | |
Maximum | ||
Class Of Stock [Line Items] | ||
Issuance of warrants | 5,600,000 | |
Maximum | 2019 Employee Stock Purchase Plan | ||
Class Of Stock [Line Items] | ||
Expected term of stock options granted | 1 year | |
Restricted Stock Units | ||
Class Of Stock [Line Items] | ||
Unamortized stock-based compensation expense | $ | $ 435.8 | |
Weighted-average period over which unrecognized compensation cost is expected to be recognized | 3 years | |
Number of other than options granted | 2,500,000 | |
Weighted grant-date fair value | $ / shares | $ 212.33 | |
Restricted Stock Units | Minimum | ||
Class Of Stock [Line Items] | ||
Vest over requisite period | 1 year | |
Restricted Stock Units | Maximum | ||
Class Of Stock [Line Items] | ||
Vest over requisite period | 4 years | |
Market-based RSUs | ||
Class Of Stock [Line Items] | ||
Unamortized stock-based compensation expense | $ | $ 7.7 | |
Weighted-average period over which unrecognized compensation cost is expected to be recognized | 1 year 9 months 18 days | |
Weighted grant-date fair value | $ / shares | $ 182.15 | |
Number of employees shares granted | Employee | 1 | |
Expected volatility of option granted | 60.00% | |
Risk-free interest rate, minimum | 1.08% | |
Risk-free interest rate, maximum | 1.21% | |
Market-based RSUs | Executive Employee | ||
Class Of Stock [Line Items] | ||
Number of other than options granted | 50,000 | |
Market-based RSUs | Minimum | ||
Class Of Stock [Line Items] | ||
Expected term of stock options granted | 3 years | |
Requisite period for expenses recognized | 1 year | |
Market-based RSUs | Maximum | ||
Class Of Stock [Line Items] | ||
Expected term of stock options granted | 5 years | |
Requisite period for expenses recognized | 3 years | |
Invoice2go 2014 Plan | ||
Class Of Stock [Line Items] | ||
Equity-based awards granted | 0 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Stock Based Compensation Cost from Stock Options, RSUs and ESPP (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total amount charged to expense | $ 52,810 | $ 10,680 | $ 140,381 | $ 31,263 |
Property and equipment (capitalized internal-use software) | 1,093 | 3,050 | ||
Total stock-based compensation cost | 53,903 | 10,680 | 143,431 | 31,263 |
Cost of Revenue | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total amount charged to expense | 1,262 | 728 | 3,674 | 1,971 |
Research and Development | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total amount charged to expense | 13,912 | 3,638 | 38,752 | 9,953 |
Sales and Marketing | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total amount charged to expense | 17,758 | 1,711 | 36,911 | 5,086 |
General and Administrative | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total amount charged to expense | $ 19,878 | $ 4,603 | $ 61,044 | $ 14,253 |
Other Expenses, Net - Schedule
Other Expenses, Net - Schedule of Other Expenses, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Other Income, Nonoperating [Abstract] | ||||
Interest expense | $ (2,462) | $ (11,888) | $ (6,785) | $ (15,846) |
Lower of cost or market adjustment on card receivables sold and held for sale | (3,179) | (7,824) | ||
Interest income | 1,185 | 460 | 2,456 | 1,914 |
Other | 40 | (4) | (738) | (11) |
Total | $ (4,416) | $ (11,432) | $ (12,891) | $ (13,943) |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Lessee, Lease, Description [Line Items] | ||||
Weighted average remaining term | 8 years 4 months 24 days | 8 years 4 months 24 days | ||
Weighted average discount rate | 5.10% | 5.10% | ||
Lease expense paid during period | $ 3.9 | $ 0.5 | $ 10.3 | $ 1.2 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 4.2 | $ 0.3 | $ 5.3 | $ 2.6 |
Draper, Utah | ||||
Lessee, Lease, Description [Line Items] | ||||
Non-cancellable operating lease expiration | 2025-12 | |||
Various Locations | ||||
Lessee, Lease, Description [Line Items] | ||||
Non-cancellable operating lease expiration year | 2031 |
Leases - Components Of Lease Ex
Leases - Components Of Lease Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Lease, Cost [Abstract] | ||||
Operating lease expense | $ 3,580 | $ 1,767 | $ 10,098 | $ 5,016 |
Short-term lease expense | 52 | 77 | 381 | |
Variable lease expense, net of credit | (345) | 598 | 2,564 | 1,917 |
Sublease income | (215) | (546) | ||
Total | $ 3,020 | $ 2,417 | $ 12,193 | $ 7,314 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) $ in Millions | 9 Months Ended |
Mar. 31, 2022USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Other facility and equipment expiration year | 2031 |
Multiyear third party and financial institutions Agreements expiration year | 2029 |
Authorized transactions but not cleared | $ 41 |
Commitments and Contingencies_2
Commitments and Contingencies - Summary of Future Minimum Lease Payments (Details) $ in Thousands | Mar. 31, 2022USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Remainder of 2022 | $ 3,477 |
2023 | 14,000 |
2024 | 13,651 |
2025 | 13,425 |
2026 | 13,292 |
2027 | 13,226 |
Thereafter | 49,508 |
Gross lease payments | 120,579 |
Less - present value adjustments | (23,426) |
Total operating lease liabilities, net | $ 97,153 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule of Future Payments Under Other Agreements (Details) $ in Thousands | Mar. 31, 2022USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Remainder of 2022 | $ 2,152 |
2023 | 21,066 |
2024 | 8,892 |
2025 | 5,385 |
2026 | 4,750 |
2027 | 4,750 |
Thereafter | 34,250 |
Total | $ 81,245 |
Net Loss Per Share Attributab_3
Net Loss Per Share Attributable To Common Stockholders - Schedule of Calculation of Basic and Diluted Net Loss Per Share Attributable to Common Stockholders (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2022 | Sep. 30, 2021 | Mar. 31, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | |
Numerator: | |||||
Net loss attributable to common stockholders | $ (86,720) | $ (26,728) | $ (241,419) | $ (56,858) | |
Denominator: | |||||
Weighted-average shares used to compute net loss per share attributable to common stockholders, Basic and diluted | 103,830 | 82,627 | 100,856 | 81,446 | |
Net loss per share attributable to common stockholders: | |||||
Basic and diluted | $ (0.84) | $ (0.78) | $ (0.32) | $ (2.39) | $ (0.70) |
Net Loss Per Share Attributab_4
Net Loss Per Share Attributable To Common Stockholders - Summary of Potentially Dilutive Securities Excluded from Diluted Net Loss Per Share Calculation (Details) - shares shares in Thousands | 9 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Number of shares not considered in calculation of diluted net loss per share | 7,391 | 7,072 |
Stock Options | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Number of shares not considered in calculation of diluted net loss per share | 4,232 | 5,905 |
Restricted Stock Units | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Number of shares not considered in calculation of diluted net loss per share | 3,159 | 1,167 |
Net Loss Per Share Attributab_5
Net Loss Per Share Attributable To Common Stockholders - Additional Information (Details) - $ / shares shares in Thousands | 9 Months Ended | |||
Mar. 31, 2022 | Mar. 31, 2021 | Sep. 24, 2021 | Nov. 30, 2020 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Number of shares not considered in calculation of diluted net loss per share | 7,391 | 7,072 | ||
Notes | Maximum | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Number of shares subject to adjustment | 12,700 | |||
2027 Notes | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Conversion price per share | $ 414.80 | |||
2027 Notes | Common Stock | Maximum | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Conversion price per share | $ 414.80 | |||
2025 Notes | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Conversion price per share | $ 160.88 | |||
2025 Notes | Common Stock | Maximum | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Conversion price per share | $ 160.88 | |||
Shares Underlying Conversion Option in Notes | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Number of shares not considered in calculation of diluted net loss per share | 8,500 |