KLA (KLAC) 10-Q 31 Oct 19 2020 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Sep. 30, 2019	Oct. 18, 2019
Cover page.
Amendment Flag	false
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Entity Central Index Key	0000319201
Current Fiscal Year End Date	--06-30
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2019
Document Transition Report	false
Entity File Number	000-09992
Entity Registrant Name	KLA CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	04-2564110
Entity Address, Address Line One	One Technology Drive,
Entity Address, City or Town	Milpitas,
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	95035
City Area Code	408
Local Phone Number	875-3000
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Title of 12(b) Security	Common Stock, $0.001 par value per share
Trading Symbol	KLAC
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding		157,794,495

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands		Sep. 30, 2019	Jun. 30, 2019
Current assets:
Cash and cash equivalents		$ 988,348	$ 1,015,994
Marketable securities		763,174	723,391
Accounts receivable, net		1,066,188	990,113
Inventories		1,254,240	1,262,500
Other current assets		283,799	323,077
Total current assets		4,355,749	4,315,075
Land, property and equipment, net		475,210	448,799
Goodwill	[1]	2,263,689	2,211,858
Deferred income taxes		216,629	206,141
Purchased intangible assets, net		1,549,201	1,560,670
Other non-current assets		368,921	265,973
Total assets		9,229,399	9,008,516
Current liabilities:
Accounts payable		221,388	202,416
Deferred system revenue		277,515	282,348
Deferred service revenue		201,245	206,669
Current portion of long-term debt		250,000	249,999
Other current liabilities		993,299	827,054
Total current liabilities		1,943,447	1,768,486
Non-current liabilities:
Long-term debt		3,174,130	3,173,383
Deferred tax liabilities		688,170	702,285
Deferred service revenue		101,001	98,772
Other non-current liabilities		643,032	587,897
Total liabilities		6,549,780	6,330,823
Commitments and contingencies (Note 14 and Note 15)
Stockholders’ equity:
Common stock and capital in excess of par value		1,999,845	2,017,312
Retained earnings		733,173	714,825
Accumulated other comprehensive income (loss)		(71,855)	(73,029)
Total KLA stockholders’ equity		2,661,163	2,659,108
Non-controlling interest in consolidated subsidiaries		18,456	18,585
Total stockholders’ equity		2,679,619	2,677,693
Total liabilities and stockholders’ equity		$ 9,229,399	$ 9,008,516
[1]	No

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Revenues:
Revenues	$ 1,413,414	$ 1,093,260
Costs and expenses:
Costs of revenues	604,241	381,387
Research and development	210,580	153,530
Selling, general and administrative	188,345	114,438
Interest expense	40,350	26,362
Other expense (income), net	(1,618)	(10,025)
Income before income taxes	371,516	427,568
Provision for income taxes	25,120	31,624
Net income	346,396	395,944
Less: Net loss attributable to non-controlling interest	(129)	0
Net income attributable to KLA	$ 346,525	$ 395,944
Net income per share attributable to KLA
Basic (in dollars per share)	$ 2.18	$ 2.55
Diluted (in dollars per share)	$ 2.16	$ 2.54
Weighted-average number of shares:
Basic (in shares)	158,697	155,221
Diluted (in shares)	160,131	156,083
Product
Revenues:
Revenues	$ 1,057,975	$ 829,227
Service
Revenues:
Revenues	$ 355,439	$ 264,033

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Statement of Comprehensive Income [Abstract]
Net income	$ 346,396	$ 395,944
Currency translation adjustments:
Change in currency translation adjustments	(2,438)	(3,082)
Change in income tax benefit or expense	393	0
Net change related to currency translation adjustments	(2,045)	(3,082)
Cash flow hedges:
Change in net unrealized gains or losses	(742)
Change in net unrealized gains or losses		13,794
Reclassification adjustments for net gains or losses included in net income	1,527
Reclassification adjustments for net gains or losses included in net income		(1,037)
Change in income tax benefit or expense	(24)
Change in income tax benefit or expense		(3,295)
Net change related to cash flow hedges	761
Net change related to cash flow hedges		9,462
Net change related to unrecognized losses and transition obligations in connection with defined benefit plans	729	142
Available-for-sale securities:
Change in net unrealized gains or losses	1,183	2,110
Reclassification adjustments for net gains or losses included in net income	4	481
Change in income tax benefit or expense	542	(502)
Net change related to available-for-sale securities	1,729	2,089
Other comprehensive income (loss)	1,174	8,611
Less: Comprehensive loss attributable to non-controlling interest	(129)	0
Total comprehensive income attributable to KLA	$ 347,699	$ 404,555

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock and Capital in Excess of Par Value, Shares	Common Stock and Capital in Excess of Par Value, Amount	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	Total KLA Stockholders’ Equity	Non-Controlling Interest
Balance (in shares) at Jun. 30, 2018		156,048
Balance at Jun. 30, 2018	$ 1,620,511		$ 617,999	$ 1,056,445	$ (53,933)	$ 1,620,511	$ 0
Increase (Decrease) in Stockholders' Equity
Net income attributable to KLA	395,944
Net income	395,944			395,944		395,944
Net loss attributable to non-controlling interest	0
Other comprehensive income	8,611				8,611	8,611
Net issuance under employee stock plans (in shares)		332
Net issuance under employee stock plans	(26,961)		(26,961)			(26,961)
Repurchase of common stock (in shares)		(2,781)
Repurchase of common stock	(307,787)		(11,010)	(296,777)		(307,787)
Cash dividends and dividend equivalents declared	(117,947)			(117,947)		(117,947)
Stock-based compensation expense	16,138		16,138			16,138
Balance (in shares) at Sep. 30, 2018		153,599
Balance at Sep. 30, 2018	1,567,369		596,166	1,027,370	(56,167)	1,567,369	0
Balance (in shares) at Jun. 30, 2019		159,475
Balance at Jun. 30, 2019	2,677,693		2,017,312	714,825	(73,029)	2,659,108	18,585
Increase (Decrease) in Stockholders' Equity
Net income attributable to KLA	346,525			346,525		346,525
Net income	346,396
Net loss attributable to non-controlling interest	(129)						(129)
Other comprehensive income	1,174				1,174	1,174
Net issuance under employee stock plans (in shares)		281
Net issuance under employee stock plans	(23,423)		(23,423)			(23,423)
Repurchase of common stock (in shares)		(1,659)
Repurchase of common stock	(228,496)		(20,988)	(207,508)		(228,496)
Cash dividends and dividend equivalents declared	(120,669)			(120,669)		(120,669)
Stock-based compensation expense	26,944		26,944			26,944
Balance (in shares) at Sep. 30, 2019		158,097
Balance at Sep. 30, 2019	$ 2,679,619		$ 1,999,845	$ 733,173	$ (71,855)	$ 2,661,163	$ 18,456

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Statement of Stockholders' Equity [Abstract]
Cash dividends declared (in dollars per share)	$ 0.75	$ 0.75

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2019	Sep. 30, 2018
Cash flows from operating activities:
Net income		$ 346,396	$ 395,944
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		98,588	16,087
Loss (gains) on unrealized foreign exchange and other		12,794	3,895
Stock-based compensation expense		26,944	16,138
Changes in assets and liabilities, net of assets acquired and liabilities assumed in business acquisitions:
Accounts receivable	$ (76,075)	(75,214)	36,079
Inventories		(5,091)	(55,738)
Other assets		(8,930)	(16,853)
Accounts payable		18,885	(14,765)
Deferred system revenue		(4,833)	(79,810)
Deferred service revenue		(4,337)	(13,325)
Other liabilities		91,043	93,753
Net cash provided by operating activities		496,245	381,405
Cash flows from investing activities:
Business acquisitions, net of cash acquired		(78,530)	(11,787)
Capital expenditures		(32,566)	(22,330)
Proceeds from disposition of non-marketable securities		1,086	0
Purchases of available-for-sale securities		(263,767)	0
Proceeds from sale of available-for-sale securities		25,449	91,238
Proceeds from maturity of available-for-sale securities		198,751	254,757
Purchases of trading securities		(9,021)	(4,619)
Proceeds from sale of trading securities		11,905	7,612
Net cash (used in) provided by investing activities		(146,693)	314,871
Cash flows from financing activities:
Common stock repurchases		(228,496)	(299,974)
Payment of dividends to stockholders		(121,636)	(122,757)
Issuance of common stock		114	0
Tax withholding payments related to vested and released restricted stock units		(23,538)	(26,961)
Payment of contingent consideration payable		(57)	0
Net cash used in financing activities		(373,613)	(449,692)
Effect of exchange rate changes on cash and cash equivalents		(3,585)	(1,452)
Net (decrease) increase in cash and cash equivalents		(27,646)	245,132
Cash and cash equivalents at beginning of period		1,015,994	1,404,382
Cash and cash equivalents at end of period	$ 988,348	988,348	1,649,514
Supplemental cash flow disclosures:
Income taxes paid		19,862	24,962
Interest paid		26,347	537
Non-cash activities:
Business acquisition holdback amounts - investing activities		0	440
Contingent consideration payable - financing activities		9,366	3,102
Dividends payable - financing activities		1,552	4,783
Unsettled common stock repurchase - financing activities		8,000	7,812
Accrued purchases of land, property and equipment - investing activities		$ 16,074	$ 9,242

Basis of Presentation

Basis of Presentation	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION	NOTE 1 – BASIS OF PRESENTATION Basis of Presentation. On July 15, 2019 we changed our corporate name from “KLA-Tencor Corporation” to “KLA Corporation”. For purposes of this report, “KLA,” the “Company,” “we,” “our,” “us,” or similar references mean KLA Corporation, and its majority-owned subsidiaries unless the context requires otherwise. The Condensed Consolidated Financial Statements have been prepared by us pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the unaudited interim financial statements reflect all adjustments (consisting only of normal, recurring adjustments) necessary for a fair statement of the financial position, results of operations, comprehensive income, stockholders’ equity and cash flows for the periods indicated. These financial statements and notes, however, should be read in conjunction with Item 8, “Financial Statements and Supplementary Data” included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 , filed with the SEC on August 16, 2019 . The Condensed Consolidated Financial Statements include the accounts of KLA and its majority-owned subsidiaries. All significant intercompany balances and transactions have been eliminated. The results of operations for the three months ended September 30, 2019 are not necessarily indicative of the results that may be expected for any other interim period or for the full fiscal year ending June 30, 2020 . Certain reclassifications have been made to the prior year’s Condensed Consolidated Financial Statements to conform to the current year presentation. The reclassifications did not have material effects on the prior year’s Condensed Consolidated Balance Sheets, Statements of Operations, Comprehensive Income and Cash Flows. Acquisition of Orbotech, Ltd. On February 20, 2019 (the “Closing Date” or “Acquisition Date”), we completed the acquisition of Orbotech, Ltd. (“Orbotech”) for total consideration of $3.26 billion . The acquisition of Orbotech is referred to as the “Orbotech Acquisition”. The Orbotech Acquisition was accounted for by applying the acquisition method of accounting for business combinations. The unaudited Condensed Consolidated Financial Statements in this report include the financial results of Orbotech prospectively from the Acquisition Date. For additional details, refer to Note 6 “Business Combinations” of the Condensed Consolidated Financial Statements. Management Estimates. The preparation of the Condensed Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions in applying our accounting policies that affect the reported amounts of assets and liabilities (and related disclosure of contingent assets and liabilities) at the date of the Condensed Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Comparability. Effective July 1, 2019, we adopted ASC 842, Leases (“ASC 842”). Prior periods were not retrospectively restated, and accordingly, the Consolidated Balance Sheet as of June 30, 2019 , and the Condensed Consolidated Statements of Operations for the three months ended September 30, 2018 were prepared using accounting standards that were different than those in effect for the three months ended September 30, 2019 . Significant Accounting Policies. We updated our accounting policies for Leases. There have been no other material changes to our significant accounting policies in Note 1 “Description of Business and Summary of Significant Accounting Policies,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 . Leases. Under ASC 842, a contract is or contains a lease when we have the right to control the use of an identified asset for a period of time. We determine if an arrangement is a lease at inception of the contract, which is the date on which the terms of the contract are agreed to, and the agreement creates enforceable rights and obligations. The commencement date of the lease is the date that the lessor makes an underlying asset available for our use. On the commencement date leases are evaluated for classification and assets and liabilities are recognized based on the present value of lease payments over the lease term. The lease term used to calculate the lease liability includes options to extend or terminate the lease when it is reasonably certain that the option will be exercised. The right-of-use (“ROU”) asset is initially measured as the amount of lease liability, adjusted for any initial lease costs, prepaid lease payments and any lease incentives. Variable lease payments, consisting primarily of reimbursement of costs incurred by lessors for common area maintenance, real estate taxes, and insurance are not included in the lease liability and are recognized as they are incurred. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate at lease commencement to measure ROU assets and lease liabilities. The incremental borrowing rate used by us is based on baseline rates and adjusted by the credit spreads commensurate with our secured borrowing rate, over a similar term. We used the incremental borrowing rate on June 30, 2019 for all leases that commenced on or prior to that date. Operating lease expense is generally recognized on a straight-line basis over the lease term. We have elected the practical expedient to account for the lease and non-lease components as a single lease component for the majority of our asset classes. For leases with a term of one year or less, we have elected not to record the ROU asset or liability. Recent Accounting Pronouncements. Recently Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASC 842 which supersedes the lease recognition requirements in ASC 840, Leases, (“ASC 840”). The most prominent of the changes in ASC 842 is the recognition of ROU assets and lease liabilities by lessees for those leases classified as operating leases. Consistent with ASC 840, leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the statements of operations. In July 2018, the FASB issued an accounting standard update which amended ASC 842 and offered an additional (and optional) transition method by which entities could elect not to recast the comparative periods presented in financial statements in the period of adoption. KLA adopted the new standard on July 1, 2019, the first day of fiscal 2020, using the optional adoption method whereby we did not adjust comparative period financial statements. Consequently, prior period balances and disclosures have not been restated. KLA elected certain practical expedients, which among other things, allowed us to carry forward prior conclusions about lease identification and classification. The adoption of ASC 842 resulted in the balance sheet recognition of additional lease assets and lease liabilities of $110.7 million and $108.7 million , respectively, related primarily to facilities, vehicles and other equipment. The adoption of ASC 842 did not have a material impact on beginning retained earnings, the Condensed Consolidated Statement of Operations, Cash Flows, or earnings per share. Additionally, the adoption of ASC 842 did not have a material impact on the Condensed Consolidated Financial Statements for arrangements in which KLA is the lessor. For additional information regarding KLA’s leases, see Note 9 “Leases” in the Condensed Consolidated Financial Statements. Updates Not Yet Effective In June 2016, the FASB issued an accounting standard update that changes the accounting for recognizing impairments of financial assets. Under the update, credit losses for certain types of financial instruments will be estimated based on expected losses. The update also modifies the impairment models for available-for-sale debt securities and for purchased financial assets with credit deterioration since their origination. The update is effective for us beginning in the first quarter of our fiscal year ending June 30, 2021, with early adoption permitted starting in the first quarter of fiscal year ending June 30, 2020. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements. In August 2018, the FASB issued an accounting standard update which modifies the existing accounting standards for fair value measurement disclosure. This update eliminates the disclosure of the amount of and reasons for transfers between level 1 and level 2 of the fair value hierarchy, and the policy for timing of transfers between levels. This standard update is effective for us beginning in the first quarter of our fiscal year ending June 30, 2021, and early adoption is permitted. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements. In August 2018, the FASB issued an accounting standard update to amend the disclosure requirements related to defined benefit pension and other post-retirement plans. Some of the changes include adding a disclosure requirement for significant gains and losses related to changes in the benefit obligation for the period and removing the amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost over the next fiscal year. This standard update is effective for us for the fiscal year ending June 30, 2021, and early adoption is permitted. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements. In August 2018, the FASB issued an accounting standard update to align the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The guidance clarifies which costs should be capitalized including the cost to acquire the license and the related implementation costs. This standard update is effective for us beginning in the first quarter of our fiscal year ending June 30, 2021, with an option to be adopted either prospectively or retrospectively. Early adoption is permitted. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements.

Revenue

Revenue	3 Months Ended
	Sep. 30, 2019
Revenue from Contract with Customer [Abstract]
REVENUE	NOTE 2 – REVENUE Contract Balances The following table represents the opening and closing balances of accounts receivables, contract assets and contract liabilities for the indicated periods. As of As of (In thousands, except for percentage) September 30, 2019 July 1, 2019 $ Change % Change Accounts receivable, net $ 1,066,188 $ 990,113 $ 76,075 8 % Contract assets $ 99,068 $ 94,015 $ 5,053 5 % Contract liabilities $ 579,761 $ 587,789 $ (8,028 ) (1 )% Our payment terms and conditions vary by contract type, although terms generally include a requirement of payment of 70% to 90% of total contract consideration within 30 to 60 days of shipment, with the remainder payable within 30 days of acceptance . The change in contract assets during the three months ended September 30, 2019 was mainly due to $27.6 million of revenue recognized for which the payment is subject to conditions other than passage of time, partially offset by $22.8 million of contract assets reclassified to net accounts receivable as our right to consideration for these contract assets became unconditional. Contract assets are included in Other current assets on our Condensed Consolidated Balance Sheet. During the three months ended September 30, 2019 , we recognized revenue of $266.8 million that was included in contract liabilities as of July 1, 2019. This was partially offset by the value of products and services billed to customers for which control of the products and service has not transferred to the customers. Contract liabilities are included in current and non-current liabilities on our Condensed Consolidated Balance Sheets. Remaining Performance Obligations As of September 30, 2019 , we had $2.08 billion of remaining performance obligations, which represents our obligation to deliver products and services, and consists primarily of sales orders where written customer requests have been received. We expect to recognize approximately 5% to 15% of these performance obligations as revenue beyond the next twelve months, subject to risk of delays, pushouts, and cancellation by the customer, usually with limited or no penalties.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Sep. 30, 2019
Fair Value Disclosures [Abstract]
FAIR VALUE MEASUREMENTS	NOTE 3 – FAIR VALUE MEASUREMENTS Our financial assets and liabilities are measured and recorded at fair value, except for our debt and certain equity investments in privately-held companies. Equity investments without a readily available fair value are accounted for using the measurement alternative. The measurement alternative is calculated as cost minus impairment, if any, plus or minus changes resulting from observable price changes. Our non-financial assets, such as goodwill, intangible assets, and land, property and equipment, are assessed for impairment when an event or circumstance indicates that an other-than-temporary decline in value may have occurred. Fair Value of Financial Instruments. We have evaluated the estimated fair value of financial instruments using available market information and valuations as provided by third-party sources. The use of different market assumptions and/or estimation methodologies could have a significant effect on the estimated fair value amounts. The fair value of our cash equivalents, accounts receivable, accounts payable and other current assets and liabilities approximate their carrying amounts due to the relatively short maturity of these items. Fair Value Hierarchy. The authoritative guidance for fair value measurements establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 Valuations based on quoted prices in active markets for identical assets or liabilities that the entity has the ability to access. Level 2 Valuations based on quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities. Level 3 Valuations based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. As of September 30, 2019 , the types of instruments valued based on quoted market prices in active markets included money market funds, certain U.S. Treasury securities and U.S. Government agency securities. Such instruments are generally classified within Level 1 of the fair value hierarchy. The types of instruments valued based on other observable inputs included corporate debt securities, sovereign securities, municipal securities, certain U.S. Treasury and U.S. Government agency securities. The market inputs used to value these instruments generally consist of market yields, reported trades and broker / dealer quotes. Such instruments are generally classified within Level 2 of the fair value hierarchy. The principal market in which we execute our foreign currency contracts is the institutional market in an over-the-counter environment with a relatively high level of price transparency. The market participants generally are large financial institutions. Our foreign currency contracts’ valuation inputs are based on quoted prices and quoted pricing intervals from public data sources and do not involve management judgment. These contracts are typically classified within Level 2 of the fair value hierarchy. The fair value of deferred payments and contingent consideration payable, the majority of which were recorded in connection with recent business combinations, were classified as Level 3 and estimated using significant inputs that were not observable in the market. See Note 6 “Business Combinations” of the Condensed Consolidated Financial Statements for additional information. Financial assets (excluding cash held in operating accounts and time deposits) and liabilities measured at fair value on a recurring basis, as of the date indicated below, were presented on our Condensed Consolidated Balance Sheets as follows: As of September 30, 2019 (In thousands) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Little or No Market Activity Inputs (Level 3) Assets Cash equivalents: Corporate debt securities $ 3,903 $ — $ 3,903 $ — Money market funds and other 399,036 399,036 — — U.S. Government agency securities 1,500 — 1,500 — U.S. Treasury securities 5,995 — 5,995 — Marketable securities: Corporate debt securities 416,394 — 416,394 — Municipal securities 1,906 — 1,906 — Sovereign securities 6,014 — 6,014 — U.S. Government agency securities 102,829 102,829 — — U.S. Treasury securities 224,519 212,705 11,814 — Total cash equivalents and marketable securities (1) 1,162,096 714,570 447,526 — Other current assets: Derivative assets 3,608 — 3,608 — Other non-current assets: Executive Deferred Savings Plan 206,235 158,411 47,824 — Total financial assets (1) $ 1,371,939 $ 872,981 $ 498,958 $ — Liabilities Derivative liabilities $ (2,669 ) $ — $ (2,669 ) $ — Deferred payments (8,800 ) — — (8,800 ) Contingent consideration payable (19,292 ) — — (19,292 ) Total financial liabilities $ (30,761 ) $ — $ (2,669 ) $ (28,092 ) ________________ (1) Excludes cash of $503.5 million held in operating accounts and time deposits of $85.9 million as of September 30, 2019 . Financial assets (excluding cash held in operating accounts and time deposits) and liabilities measured at fair value on a recurring basis, as of the date indicated below, were presented on our Condensed Consolidated Balance Sheets as follows: As of June 30, 2019 (In thousands) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Little or No Market Activity Inputs (Level 3) Assets Cash equivalents: Corporate debt securities $ 10,988 $ — $ 10,988 $ — Money market funds and other 352,708 352,708 — — U.S. Government agency securities 27,994 — 27,994 — U.S. Treasury securities 55,858 — 55,858 — Marketable securities: Corporate debt securities 422,089 — 422,089 — Municipal securities 1,913 — 1,913 — Sovereign securities 5,994 — 5,994 — U.S. Government agency securities 131,224 131,224 — — U.S. Treasury securities 151,838 151,838 — — Total cash equivalents and marketable securities (1) 1,160,606 635,770 524,836 — Other current assets: Derivative assets 2,557 — 2,557 — Other non-current assets: Executive Deferred Savings Plan 207,581 158,021 49,560 — Total financial assets (1) $ 1,370,744 $ 793,791 $ 576,953 $ — Liabilities Derivative liabilities $ (3,334 ) $ — $ (3,334 ) $ — Deferred payments (8,800 ) — — (8,800 ) Contingent consideration payable (14,005 ) — — (14,005 ) Total financial liabilities $ (26,139 ) $ — $ (3,334 ) $ (22,805 ) ________________ (1) Excludes cash of $479.8 million held in operating accounts and time deposits of $99.0 million as of June 30, 2019 . There were no transfers between Level 1, Level 2 and Level 3 fair value measurements during the three months ended September 30, 2019 . See Note 8 “Debt” of the Condensed Consolidated Financial Statements for disclosure of the fair value of our Senior Notes.

Financial Statement Components

Financial Statement Components	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
FINANCIAL STATEMENT COMPONENTS	NOTE 4 – FINANCIAL STATEMENT COMPONENTS Condensed Consolidated Balance Sheets (In thousands) As of As of Accounts receivable, net: Accounts receivable, gross $ 1,078,051 $ 1,002,114 Allowance for doubtful accounts (11,863 ) (12,001 ) $ 1,066,188 $ 990,113 Inventories: Raw materials $ 449,075 $ 444,627 Customer service parts 336,809 328,515 Work-in-process 287,951 285,191 Finished goods 180,405 204,167 $ 1,254,240 $ 1,262,500 Other current assets: Contract assets $ 99,068 $ 94,015 Prepaid expenses 80,691 88,387 Deferred costs of revenue 65,197 70,721 Prepaid income and other taxes 15,858 51,889 Other current assets 22,985 18,065 $ 283,799 $ 323,077 Land, property and equipment, net: Land $ 67,876 $ 67,883 Buildings and leasehold improvements 405,476 402,678 Machinery and equipment 680,970 669,316 Office furniture and fixtures 29,217 28,282 Construction-in-process 56,828 26,029 1,240,367 1,194,188 Less: accumulated depreciation (765,157 ) (745,389 ) $ 475,210 $ 448,799 Other non-current assets: Executive Deferred Savings Plan (1) $ 206,235 $ 207,581 Operating lease right of use assets 105,967 — Other non-current assets 56,719 58,392 $ 368,921 $ 265,973 Other current liabilities: Compensation and benefits $ 311,779 $ 226,462 Executive Deferred Savings Plan 207,873 208,926 Other accrued expenses 163,345 202,647 Customer credits and advances 150,746 133,677 Income taxes payable 86,141 23,350 Interest payable 44,560 31,992 Operating lease liabilities, current 28,855 — $ 993,299 $ 827,054 Other non-current liabilities: Income taxes payable $ 358,235 $ 392,266 Pension liabilities 80,046 79,622 Operating lease liabilities 75,552 — Other non-current liabilities 129,199 116,009 $ 643,032 $ 587,897 ________________ (1) We have a non-qualified deferred compensation plan (known as “Executive Deferred Savings Plan” or “EDSP”) under which certain employees and non-employee directors may defer a portion of their compensation. The expense associated with changes in the EDSP liability included in selling, general and administrative expense was $1.9 million and $7.5 million during the three months ended September 30, 2019 and 2018 , respectively. The amount of net gains associated with changes in the EDSP assets included in selling, general and administrative expense was $2.3 million and $7.4 million during the three months ended September 30, 2019 and 2018 , respectively. For additional details, refer to Note 1, “Description of Business and Summary of Significant Accounting Policies,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 . Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) (“OCI”) as of the dates indicated below were as follows: (In thousands) Currency Translation Adjustments Unrealized Gains (Losses) on Available-for-Sale Securities Unrealized Gains (Losses) on Cash Flow Hedges Unrealized Gains (Losses) on Defined Benefit Plans Total Balance as of September 30, 2019 $ (46,086 ) $ 113 $ (7,964 ) $ (17,918 ) $ (71,855 ) Balance as of June 30, 2019 $ (44,041 ) $ (1,616 ) $ (8,725 ) $ (18,647 ) $ (73,029 ) The effects on net income (loss) of amounts reclassified from accumulated OCI to the Condensed Consolidated Statement of Operations for the indicated period were as follows (in thousands): Location in the Condensed Consolidated Three Months Ended Accumulated OCI Components Statements of Operations 2019 2018 Unrealized gains (losses) on cash flow hedges from foreign exchange and interest rate contracts (1) Revenues $ 373 $ 983 Costs of revenues and operating expenses (1,801 ) (134 ) Interest expense (99 ) 188 Net gains (losses) reclassified from accumulated OCI $ (1,527 ) $ 1,037 Unrealized gains (losses) on available-for-sale securities Other expense (income), net $ (4 ) $ (481 ) __________________ (1) The three months ended September 30, 2019 reflects the new accounting guidance for hedge accounting, which was adopted in the second quarter of fiscal year 2019. For additional details, refer to Note 16, “Derivative Instruments and Hedging Activities” of the Condensed Consolidated Financial Statements. The amounts reclassified out of accumulated OCI related to our defined benefit pension plans, which were recognized as a component of net periodic cost for the three months ended September 30, 2019 and 2018 were $0.2 million , respectively. For additional details, refer to Note 12, “Employee Benefit Plans” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 .

Marketable Securities

Marketable Securities	3 Months Ended
	Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]
MARKETABLE SECURITIES	NOTE 5 – MARKETABLE SECURITIES The amortized cost and fair value of marketable securities as of the dates indicated below were as follows: As of September 30, 2019 (In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Corporate debt securities $ 419,980 $ 430 $ (113 ) $ 420,297 Money market funds and other 399,036 — — 399,036 Municipal securities 1,899 7 — 1,906 Sovereign securities 6,014 3 (3 ) 6,014 U.S. Government agency securities 104,391 10 (72 ) 104,329 U.S. Treasury securities 230,632 120 (238 ) 230,514 Subtotal 1,161,952 570 (426 ) 1,162,096 Add: Time deposits (1) 85,902 — — 85,902 Less: Cash equivalents 484,824 — — 484,824 Marketable securities $ 763,030 $ 570 $ (426 ) $ 763,174 As of June 30, 2019 (In thousands) Amortized Gross Gross Fair Corporate debt securities $ 433,518 $ 141 $ (582 ) $ 433,077 Money market funds and other 352,708 — — 352,708 Municipal securities 1,910 3 — 1,913 Sovereign securities 6,001 1 (8 ) 5,994 U.S. Government agency securities 159,454 5 (241 ) 159,218 U.S. Treasury securities 208,058 39 (401 ) 207,696 Subtotal 1,161,649 189 (1,232 ) 1,160,606 Add: Time deposits (1) 99,006 — — 99,006 Less: Cash equivalents 536,206 17 (2 ) 536,221 Marketable securities $ 724,449 $ 172 $ (1,230 ) $ 723,391 ________________ (1) Time deposits excluded from fair value measurements. Our investment portfolio consists of both corporate and government securities that have a maximum maturity of three years . The longer the duration of these securities, the more susceptible they are to changes in market interest rates and bond yields. As yields increase, those securities with a lower yield-at-cost show a mark-to-market unrealized loss. Most of our unrealized losses are due to changes in market interest rates and bond yields. We believe that we have the ability to realize the full value of all of these investments upon maturity. As of September 30, 2019 , we had 158 investments in an unrealized loss position. The following table summarizes the fair value and gross unrealized losses of our investments that were in an unrealized loss position as of the date indicated below, $260.4 million of which were in a continuous loss position for 12 months or more: As of September 30, 2019 (In thousands) Fair Value Gross Unrealized Losses Corporate debt securities $ 182,963 $ (112 ) Sovereign securities 1,997 (3 ) U.S. Government agency securities 79,082 (72 ) U.S Treasury securities 167,750 (239 ) Total $ 431,792 $ (426 ) The contractual maturities of securities classified as available-for-sale, regardless of their classification on our Condensed Consolidated Balance Sheets, as of the date indicated below were as follows: As of September 30, 2019 (In thousands) Amortized Cost Fair Value Due within one year $ 442,133 $ 441,938 Due after one year through three years 320,897 321,236 $ 763,030 $ 763,174 Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Realized gains and losses on available-for-sale securities for the three months ended September 30, 2019 and 2018 were immaterial.

Business Combinations

Business Combinations	3 Months Ended
	Sep. 30, 2019
Business Combinations [Abstract]
BUSINESS COMBINATIONS	NOTE 6 - BUSINESS COMBINATIONS Fiscal 2020 Acquisition On August 22, 2019, we acquired the outstanding shares of a privately-held company, primarily to expand our products and services offerings, for a total purchase consideration of $93.9 million , including the fair value of the promise to pay an additional consideration up to $60.0 million contingent on the achievement of certain revenue milestones. As of September 30, 2019 , the estimated fair value of the additional consideration was $9.2 million , which was classified as a non-current liability on the Condensed Consolidated Balance Sheets. We have included the financial results of the acquisition completed during the first quarter of the fiscal year 2020 in our Condensed Consolidated Financial Statements from the date of acquisition. These results were not material to our Condensed Consolidated Financial Statements. The purchase price of the fiscal 2020 acquisition was allocated on a preliminary basis as follows: (In thousands) Fair Value Net tangible assets (including cash and cash equivalents of $6.6 million) $ 7,196 Deferred tax liabilities (15,265 ) Intangible assets 47,931 Goodwill 54,001 Total $ 93,863 The purchase price allocation is preliminary and as additional information becomes available, we may further revise the preliminary purchase price allocation during the remainder of the measurement period, which will not exceed 12 months from the closing of the acquisition. The $54.0 million of goodwill was assigned to the Wafer Inspection and Patterning reporting units. No ne of the goodwill recognized is deductible for income tax purposes. Fiscal 2019 Acquisitions Orbotech Acquisition On February 20, 2019, we completed the acquisition of Orbotech for total purchase consideration of approximately $3.26 billion which was paid in part by cash of $1.90 billion , in part by KLA common stock with a fair value of $1.32 billion and the balance by the assumption of stock options and RSUs. Orbotech is a global supplier of yield-enhancing and process-enabling solutions for the manufacture of electronics products. KLA acquired Orbotech to extend and enhance its portfolio of products to address market opportunities in the printed circuit board, flat panel display, advanced packaging and semiconductor manufacturing areas. Preliminary Purchase Price Allocation The total purchase consideration has been preliminarily allocated as follows (in thousands): Purchase Price Cash for outstanding Orbotech shares (1) $ 1,901,948 Fair value of KLA common stock issued for outstanding Orbotech shares (2) 1,324,657 Cash for Orbotech equity awards (3) 9,543 Fair value of KLA common stock issued to settle Orbotech equity awards (4) 6,129 Stock options and RSUs assumed (5) 13,281 Total purchase consideration 3,255,558 Less: cash acquired (215,640 ) Total purchase consideration, net of cash acquired $ 3,039,918 Allocation Accounts receivable, net $ 200,517 Inventories 330,325 Contract assets 63,181 Other current assets 73,561 Property, plant and equipment, net 102,197 Goodwill 1,809,625 Intangible assets 1,553,570 Other non-current assets 73,179 Accounts payable (53,015 ) Accrued liabilities (178,849 ) Other current liabilities (6) (69,449 ) Deferred tax liabilities (7) (777,838 ) Other non-current liabilities (6) (67,901 ) Non-controlling interest (19,185 ) $ 3,039,918 ________________ (1) Represents the total cash paid to settle 48.9 million outstanding Orbotech shares as of February 20, 2019 at $38.86 per Orbotech share. (2) Represents the fair value of 12.2 million shares of our common stock issued to settle 48.9 million outstanding Orbotech shares. KLA issued 0.25 shares for each Orbotech share. The fair value of KLA’s common stock was $ 108.26 per share on the Acquisition Date. (3) Represents primarily cash consideration for the settlement of the vested stock options and restricted stock units for which services were rendered by the employees of Orbotech prior to the closing, and a small portion for the settlement of fractional shares. (4) Represents the fair value of share of 56,614 shares of KLA common stock issued to settle the vested Orbotech stock options. The fair value of KLA’s common stock was $108.26 per share on the Acquisition Date. (5) Represents the fair value of the assumed stock options and RSUs to the extent those related to services provided by the employee of Orbotech prior to closing. Also refer to Note 10, “Equity, Long-Term Incentive Compensation Plans and Non-Controlling Interest” of the Condensed Consolidated Financial Statements for additional information about assumed stock options and RSUs. (6) On December 24, 2018, Orbotech, as part of its strategy to invest in the high growth area of the software business within the Printed Circuit Boards (“PCB”) industry, acquired the remaining 50% shares of Frontline, which was prior to that accounted as an equity investee, from Mentor Graphics Development Services (Israel) Ltd. Orbotech acquired all of the joint venture interests it did not previously own for $85.0 million in cash on hand and agreed to pay an additional $10.0 million in cash over four years plus a cash earn-out of not less than $5.0 million and up to $20.0 million . The earn out amounts are based on revenues from a Frontline product currently under development. As of February 20, 2019, the estimated fair market values of the four -year cash payment and the earn-out were $8.8 million and $7.1 million , respectively, and these amounts have been included in current and non-current liabilities at $4.3 million and $11.6 million respectively. As of September 30, 2019, the estimated fair market values of the four -year cash payment and the earn-out were $8.8 million and $3.2 million , respectively, and these amounts have been included in current and non-current liabilities at $4.3 million and $7.7 million respectively. (7) Primarily related to tax impact on the future amortization of intangible assets acquired and inventory fair value adjustments. During the first quarter of the fiscal year ended June 30, 2020, we recorded measurement period adjustments to reflect facts and circumstances in existence as of the Acquisition Date. These adjustments primarily related to the valuation of individually immaterial net tangible assets of $2.1 million with corresponding decrease to goodwill. KLA allocated the purchase price to tangible and identified intangible assets acquired and liabilities assumed based on the preliminary estimates of their estimated fair values, which were determined using generally accepted valuation techniques based on estimates and assumptions made by management at the time of the Orbotech Acquisition and are subject to change during the measurement period which is not expected to exceed one year. The primary tasks that are required to be completed include discovery and the remeasurement of unknown uncertain tax positions that existed at the Acquisition Date, adjustments to the deferred tax liabilities for unremitted earnings, validation of synergies expected to be derived from the acquisition of Orbotech, recoverability of certain acquired assets and reallocation of certain acquired intangible assets between jurisdictions based on the outcome of ongoing tax audits, including any related tax impacts. Any adjustments to our preliminary purchase price allocation identified during the measurement period will be recognized in the period in which the adjustments are determined and recorded against goodwill. The operating results of Orbotech have been included in our Condensed Consolidated Financial Statements for the three months ended September 30, 2019 . The goodwill was primarily attributable to the assembled workforce of Orbotech, planned growth in new markets and synergies expected to be achieved from the combined operations of KLA and Orbotech. None of the goodwill is deductible for income tax purposes. Goodwill arising from the Orbotech Acquisition has been allocated to the Specialty Semiconductor Process; and the PCB and Display reporting units during the fiscal year ended June 30, 2019. For additional details, refer to Note 7 “Goodwill and Purchased Intangible Assets” of the Consolidated Financial Statements included in our Annual Report Form 10-K for the fiscal year ended June 30, 2019 . Intangible Assets The estimated fair value and weighted average useful life of the Orbotech intangible assets are as follows: (In thousands) Fair Value Weighted Average Useful Lives (in years) Existing technology (1) $ 1,008,000 8 Customer-related assets (2) 227,000 8 Backlog (3) 37,500 1 Trade name (4) 91,500 7 Off market leases (5) 2,070 7 Total identified finite-lived intangible assets 1,366,070 In-process research and development (6) 187,500 N/A Total identified intangible assets $ 1,553,570 ________________ (1) Existing technology was identified from the products of Orbotech and its fair value was determined using the Relief-from-Royalty Method under the income approach, which estimates the cost savings generated by a company related to the ownership of an asset for which it would otherwise have had to pay royalties or license fees on revenues earned through the use of the asset. The discount rate used was determined at the time of measurement based on an analysis of the implied internal rate of return of the transaction, weighted average cost of capital and weighted average return on assets. The economic useful life was determined based on the technology cycle related to each developed technology, as well as the cash flows over the forecast period. (2) Customer contracts and related relationships represent the fair value of the existing relationships with the Orbotech customers and its fair value was determined using the Multi-Period Excess Earning Method which involves isolating the net earnings attributable to the asset being measured based on present value of the incremental after-tax cash flows (excess earnings) attributable solely to the intangible asset over its remaining useful life. The economic useful life was determined based on historical customer attrition rates. (3) Backlog primarily relates to the dollar value of purchase arrangements with customers, effective, as of a given point in time, that are based on mutually agreed terms which, in some cases, may still be subject to completion of written documentation and may be changed or canceled by the customer, often without penalty. Orbotech’s backlog consists of these arrangements with assigned shipment dates expected, in most cases, within three to twelve months. The fair value was determined using the Multi-Period Excess Earning Method. The economic useful life is based on the time to fulfill the outstanding order backlog obligation. (4) Trade name primarily relates to the “Orbotech” trade name. The fair value was determined by applying the Relief-from-Royalty Method under the income approach. The economic useful life was determined based on the expected life of the trade name. (5) The favorable / unfavorable components of the acquired leases were determined using the Income Approach which involves present valuing the difference in future cash flows between the contracted lease payments and the rent payable to a market participant over the lease terms. The economic useful life is based on the remaining lease term. (6) The fair value of in-process research and development (“IPR&D”) was determined using the relief-from-royalty method under the income approach, which estimates the cost savings generated by a company related to the ownership of an asset for which it would otherwise have had to pay royalties or license fees on revenues earned through the use of the asset. We believe the amounts of purchased intangible assets recorded above represent the fair values of and approximate the amounts a market participant would pay for, these intangible assets as of the Acquisition Date. Other Fiscal 2019 Acquisitions During the three months ended March 31, 2019 we acquired three privately-held companies primarily to expand our products and services offerings for an aggregate purchase price of $118.3 million , including a post-closing working capital adjustment, and the fair value of the promise to pay additional consideration of up to $13.0 million contingent on the achievement of certain milestones. As of September 30, 2019 , the estimated fair value of the additional consideration was $5.3 million , which was classified as a non-current liability on the Condensed Consolidated Balance Sheets. During the three months ended September 30, 2018 we acquired two privately-held companies for an aggregate purchase price of $15.4 million , including the fair value of the promise to pay total additional consideration of up to $6.0 million contingent on the achievement of certain milestones. As of September 30, 2019 , the estimated fair value of the additional consideration was $1.7 million , which is classified as a non-current liability on the Condensed Consolidated Balance Sheets. None of these acquisitions were individually material to our Condensed Consolidated Financial Statements. The aggregate purchase price of the other fiscal 2019 acquisitions was allocated on a preliminary basis as follows: (In thousands) Fair Value Net tangible assets (including Cash and cash equivalents of $2.6 million) $ 13,214 Identifiable intangible assets 75,130 Goodwill 45,380 Total $ 133,724 The goodwill was primarily assigned to the Wafer Inspection and Patterning, and GSS reporting units, and mainly attributable to the assembled workforce, and planned growth in new markets. A portion of the goodwill is deductible for income tax purposes. Supplemental Unaudited Pro Forma Information: The following unaudited pro forma financial information summarizes the combined results of operations for KLA, Orbotech, and the three acquisitions completed in the third quarter of fiscal 2019 as if the companies were combined as of the beginning of fiscal 2018. The unaudited pro forma information includes adjustments to amortization and depreciation for intangible assets and property, plant and equipment acquired, adjustments to stock-based compensation expense, the purchase accounting effect on inventory acquired, the purchase accounting effect on deferred revenue, interest expense and amortization of debt issuance costs associated with the Senior Notes financing, and transaction costs. The table below reflects the impact of material and nonrecurring adjustments to the unaudited pro forma results for the three months ended, September 30, 2018 that are directly attributable to the acquisitions: Three Months Ended Non-recurring Adjustments (In thousands) September 30, 2018 Decrease / (increase) to revenue as a result of deferred revenue fair value adjustment $ — (Decrease) / increase to expense as a result of inventory fair value adjustment $ 478 (Decrease) / increase to expense as a result of transaction costs $ (4,898 ) (Decrease) / increase to expense as a result of compensation costs $ 2,811 The unaudited pro forma information presented below is for informational purposes only and is not necessarily indicative of our consolidated results of operations of the combined business had the acquisitions actually occurred at the beginning of fiscal year 2018 or of the results of our future operations of the combined businesses. Pro Forma Three Months Ended (In thousands) September 30, 2018 Revenues $ 1,348,197 Net income attributable to KLA $ 376,634 We have not included pro forma results of operations for the acquisition of privately-held companies completed in the first quarter of fiscal 2019 or the first quarter of fiscal 2020 herein as they were not material to us on either an individual or in aggregate. We included the results of operations of each acquisition in our Condensed Consolidated Statements of Operations from the date of each acquisition.

Goodwill and Purchased Intangib

Goodwill and Purchased Intangible Assets	3 Months Ended
	Sep. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL AND PURCHASED INTANGIBLE ASSETS	NOTE 7 – GOODWILL AND PURCHASED INTANGIBLE ASSETS Goodwill Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in the current and prior business combinations. We have four reportable segments and six reporting units. For additional details, refer to Note 18, “Segment Reporting and Geographic Information” of the Condensed Consolidated Financial Statements. The following table presents goodwill carrying value and the movements during the three months ended September 30, 2019 (1) : (In thousands) Wafer Inspection and Patterning Global Service and Support ( “ GSS ” ) Specialty Semiconductor Process PCB and Display Component Inspection Total Balance as of June 30, 2019 $ 360,615 $ 25,908 $ 821,842 $ 989,918 $ 13,575 $ 2,211,858 Acquired goodwill 54,001 — — — — 54,001 Foreign currency and other adjustments (35 ) — — (2,135 ) — (2,170 ) Balance as of September 30, 2019 $ 414,581 $ 25,908 $ 821,842 $ 987,783 $ 13,575 $ 2,263,689 _________________ (1) No goodwill was assigned to the Other reporting unit, and accordingly was excluded in the table above. As of September 30, 2019, there have been no significant events or circumstances affecting the valuation of goodwill subsequent to the qualitative assessment performed in the third and fourth quarters of the fiscal year ended June 30, 2019. For additional details, refer to Note 7 “Goodwill and Purchased Intangible Assets,” of the Notes to the Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2019. The next annual assessment of goodwill by reporting unit is scheduled to be performed in the third quarter of the fiscal year ending June 30, 2020. Purchased Intangible Assets The components of purchased intangible assets as of the dates indicated below were as follows: (In thousands) As of As of Category Range of Useful Lives (in years) Gross Carrying Amount Accumulated Amortization, and Impairment Net Amount Gross Carrying Amount Accumulated Amortization and Impairment Net Amount Existing technology 4-8 $ 1,251,277 $ 232,203 $ 1,019,074 $ 1,224,629 $ 196,582 $ 1,028,047 Trade name / Trademark 4-7 117,133 28,537 88,596 114,573 25,052 89,521 Customer relationships 4-9 305,028 74,511 230,517 297,250 66,471 230,779 Backlog and other <1-9 50,393 30,014 20,379 43,969 19,146 24,823 Intangible assets subject to amortization 1,723,831 365,265 1,358,566 1,680,421 307,251 1,373,170 In-process research and development 190,635 — 190,635 187,500 — 187,500 Total $ 1,914,466 $ 365,265 $ 1,549,201 $ 1,867,921 $ 307,251 $ 1,560,670 Purchased intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. The change in the gross carrying amounts of intangible assets is due to acquisition of certain assets and liabilities of privately-held companies. For additional details, refer to Note 6 “Business Combinations” of the Condensed Consolidated Financial Statements. Amortization expense for purchased intangible assets for the periods indicated below was as follows: Three Months Ended September 30, (In thousands) 2019 2018 Amortization expense - Cost of revenues $ 35,621 $ 890 Amortization expense - Selling, general and administrative 22,256 544 Amortization expense - Research and development 31 — Total $ 57,908 $ 1,434 Based on the purchased intangible assets gross carrying amount recorded as of September 30, 2019 , the underlying assets, the remaining estimated annual amortization expense is expected to be as follows: Fiscal year ending June 30: Amortization (In thousands) 2020 (remaining 9 months) $ 161,422 2021 194,901 2022 192,323 2023 191,271 2024 188,714 2025 and thereafter 429,935 Total $ 1,358,566

Debt

Debt	3 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
DEBT	NOTE 8 – DEBT The following table summarizes our debt as of September 30, 2019 and June 30, 2019 : As of September 30, 2019 As of June 30, 2019 Amount (In thousands) Effective Interest Rate Amount Effective Interest Rate Fixed-rate 3.375% Senior Notes due on November 1, 2019 $ 250,000 3.377 % $ 250,000 3.377 % Fixed-rate 4.125% Senior Notes due on November 1, 2021 500,000 4.128 % 500,000 4.128 % Fixed-rate 4.650% Senior Notes due on November 1, 2024 1,250,000 4.682 % 1,250,000 4.682 % Fixed-rate 5.650% Senior Notes due on November 1, 2034 250,000 5.670 % 250,000 5.670 % Fixed-rate 4.100% Senior Notes due on March 15, 2029 800,000 4.159 % 800,000 4.159 % Fixed-rate 5.000% Senior Notes due on March 15, 2049 400,000 5.047 % 400,000 5.047 % Total 3,450,000 3,450,000 Unamortized discount (8,528 ) (8,738 ) Unamortized debt issuance costs (17,342 ) (17,880 ) Total $ 3,424,130 $ 3,423,382 Reported as: Current portion of long-term debt $ 250,000 $ 249,999 Long-term debt 3,174,130 3,173,383 Total $ 3,424,130 $ 3,423,382 As of September 30, 2019 , future principal payments for our debt are $250.0 million for the remaining nine months in fiscal year 2020 ; $500.0 million in fiscal year 2022 ; and $2.70 billion after fiscal year 2023 . Senior Notes: In March 2019 and November 2014, we issued $1.20 billion and $2.50 billion , respectively (each, a “2019 Senior Notes”, a “2014 Senior Notes”, and collectively the “Senior Notes”), aggregate principal amount of senior, unsecured long-term notes. The interest rate specified for each series of the 2014 Senior Notes will be subject to adjustments from time to time if Moody’s Investor Service, Inc. (“Moody’s”) or Standard & Poor’s Ratings Services (“S&P”) or, under certain circumstances, a substitute rating agency selected by us as a replacement for Moody’s or S&P, as the case may be (a “Substitute Rating Agency”), downgrades (or subsequently upgrades) its rating assigned to the respective series of the 2014 Senior Notes such that the adjusted rating is below investment grade. For additional details, refer to Note 8 “Debt” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 . Unlike the 2014 Senior Notes, the interest rate for each series of the 2019 Senior Notes will not be subject to such adjustments. During the fiscal year ended June 30, 2018 , we entered into a series of forward contracts (the “2018 Rate Lock Agreements”) to lock the benchmark interest rate with notional amount of $500.0 million in aggregate. In October 2014, we entered into a series of forward contracts to lock the 10-year treasury rate (“benchmark rate”) on a portion of the 2014 Senior Notes with a notional amount of $1.00 billion in aggregate. For additional details on the forward contracts, refer to Note 16, “Derivative Instruments and Hedging Activities” of the Condensed Consolidated Financial Statements. The original discounts on the 2019 Senior Notes and the 2014 Senior Notes amounted to $6.7 million and $4.0 million , respectively and are being amortized over the life of the debt. Interest is payable semi-annually on May 1 and November 1 of each year for the 2014 Senior Notes and semi-annually on March 15 and September 15 of each year for the 2019 Senior Notes. The indenture for the Senior Notes (the “Indenture”) includes covenants that limit our ability to grant liens on our facilities and enter into sale and leaseback transactions, subject to certain allowances under which certain sale and leaseback transactions are not restricted. In certain circumstances involving a change of control followed by a downgrade of the rating of a series of Senior Notes by at least two of Moody’s, S&P and Fitch Inc., unless we have exercised our rights to redeem the Senior Notes of such series, we will be required to make an offer to repurchase all or, at the holder’s option, any part, of each holder’s Senior Notes of that series pursuant to the offer described below (the “Change of Control Offer”). In the Change of Control Offer, we will be required to offer payment in cash equal to 101% of the aggregate principal amount of Senior Notes repurchased plus accrued and unpaid interest, if any, on the Senior Notes repurchased, up to, but not including, the date of repurchase. Based on the trading prices of the Senior Notes on the applicable dates, the fair value of the Senior Notes as of September 30, 2019 and June 30, 2019 was approximately $3.82 billion and $3.70 billion , respectively. While the Senior Notes are recorded at cost, the fair value of the long-term debt was determined based on quoted prices in markets that are not active; accordingly, the long-term debt is categorized as Level 2 for purposes of the fair value measurement hierarchy. As of September 30, 2019 , we were in compliance with all of our covenants under the Indenture associated with the Senior Notes. Revolving Credit Facility: In November 2017, we entered into a Credit Agreement (the “Credit Agreement”) providing for a $750.0 million five -year unsecured Revolving Credit Facility (the “Revolving Credit Facility”), which replaced our prior Credit Facility. Subject to the terms of the Credit Agreement, the Revolving Credit Facility may be increased in an amount up to $250.0 million in the aggregate. In November 2018, we entered into an Incremental Facility, Extension and Amendment Agreement (the “Amendment”), which amends the Credit Agreement to (a) extend the Maturity Date (the “Maturity Date”) from November 30, 2022 to November 30, 2023 , (b) increase the total commitment by $250.0 million and (c) effect certain other amendments to the Credit Agreement as set forth in the Amendment. After giving effect to the Amendment, the total commitments under the Credit Agreement are $1.00 billion . We may borrow, repay and reborrow funds under the Revolving Credit Facility until the Maturity Date, at which time such Revolving Credit Facility will terminate, and all outstanding loans under such facility, together with all accrued and unpaid interest, must be repaid. We may prepay outstanding borrowings under the Revolving Credit Facility at any time without a prepayment penalty. Borrowings under the Revolving Credit Facility will bear interest, at our option, at either: (i) the Alternative Base Rate (“ABR”) plus a spread, which ranges from 0 bps to 75 bps , or (ii) the London Interbank Offered Rate (“LIBOR”) plus a spread, which ranges from 100 bps to 175 bps . The spreads under ABR and LIBOR are subject to adjustment in conjunction with credit rating downgrades or upgrades. We are also obligated to pay an annual commitment fee on the daily undrawn balance of the Revolving Credit Facility, which ranges from 10 bps to 25 bps , subject to an adjustment in conjunction with changes to our credit rating. As of September 30, 2019 , we pay an annual commitment fee of 12.5 bps on the daily undrawn balance of the Revolving Credit Facility. The Revolving Credit Facility requires us to maintain an interest expense coverage ratio as described in the Credit Agreement, on a quarterly basis, covering the trailing four consecutive fiscal quarters of no less than 3.50 to 1.00. In addition, we are required to maintain the maximum leverage ratio as described in the Credit Agreement, on a quarterly basis of 3.00 to 1.00, covering the trailing four consecutive fiscal quarters for each fiscal quarter, which can be increased to 4.00 to 1.00 for a period of time in connection with a material acquisition or a series of material acquisitions. As of September 30, 2019 , our maximum allowed leverage ratio was 4.00 to 1.00 following the Orbotech Acquisition. We were in compliance with all covenants under the Credit Agreement as of September 30, 2019 and had no

Leases

Leases	3 Months Ended
	Sep. 30, 2019
Leases [Abstract]
LEASES	NOTE 9– LEASES We have operating leases for facilities, vehicles, and other equipment. Our facility leases are primarily used for administrative functions, research and development, manufacturing, and storage and distribution. Our finance leases are not material. Our existing leases do not contain significant restrictive provisions or residual value guarantees; however, certain leases contain provisions for payment of maintenance, real estate taxes, or insurance costs by us. Our leases have remaining lease terms ranging from less than one year to eleven years , including periods covered by options to extend the lease when it is reasonably certain that the option will be exercised. Total lease expense for the three months ended September 30, 2019 was $8.7 million and included $0.2 million of costs related to short term leases which are not recorded on the Condensed Consolidated Balance Sheets. At September 30, 2019 , the weighted average remaining lease term and weighted average discount rate for operating leases was 5.2 years and 1.7% , respectively. Supplemental cash flow information related to leases was as follows: Three months ended September 30, 2019 Amount (In thousands) Operating cash outflows from operating leases 8,374 ROU assets obtained in exchange for new operating lease liabilities 2,805 Maturities of lease liabilities as of September 30, 2019 were as follows: Fiscal year ending June 30, Amount (In thousands) 2020 (remaining 9 months) 23,347 2021 24,802 2022 18,374 2023 12,827 2024 8,760 2025 and thereafter 20,856 Total lease payments 108,966 Less imputed interest (4,559 ) Total 104,407 As of September 30, 2019 , we did not have material leases that had not yet commenced. As of June 30, 2019 , future minimum lease payments as defined under the previous lease accounting guidance of ASC 840 under noncancelable operating leases were as follows: Fiscal year ending June 30, Amount (In thousands) 2020 $ 30,296 2021 22,250 2022 16,217 2023 11,878 2024 7,912 2025 and thereafter 15,018 Total minimum lease payments $ 103,571

Equity, Long-Term Incentive Com

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest	3 Months Ended
	Sep. 30, 2019
Share-based Payment Arrangement [Abstract]
EQUITY, LONG-TERM INCENTIVE COMPENSATION PLANS AND NON-CONTROLLING INTEREST	NOTE 10 – EQUITY, LONG-TERM INCENTIVE COMPENSATION PLANS AND NON-CONTROLLING INTEREST Equity Incentive Program As of September 30, 2019 , we had 10.8 million shares available for issuance under our 2004 Equity Incentive Plan (the “2004 Plan”). For details of the 2004 Plan refer to Note 9 “Equity, Long-Term Incentive Compensation Plans and Non-Controlling Interest,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 . Assumed Equity Plans As of the Orbotech Acquisition Date, we assumed outstanding equity incentive awards under the following Orbotech equity incentive plans: (i) Equity Remuneration Plan for Key Employees of Orbotech Ltd. and its Affiliates and Subsidiaries (as Amended and Restated in 2005), (ii) 2010 Equity-Based Incentive Plan, and (iii) 2015 Equity-Based Incentive Plan (each, an “Assumed Equity Plan” and collectively the “Assumed Equity Plans”). As of September 30, 2019 , there were 10,651 and 432,372 shares of our common stock underlying the outstanding Assumed Options and RSUs, respectively, under the Assumed Equity Plans. The weighted-average remaining contractual terms, the aggregate intrinsic values, and the weighted average exercise price for the stock options outstanding under the Assumed Equity Plans as of September 30, 2019 were 4.75 years , $0.6 million , and $63.08 per share, respectively. During the three months ended September 30, 2019 , there were 3,907 Assumed Options exercised with a weighted-average exercise price of $29.26 . For details on the Assumed Equity Plans refer to Note 9 “Equity, Long-Term Incentive Compensation Plans and Non-Controlling Interest,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019. Equity Incentive Plans - General Information The following table summarizes the combined activity under our equity incentive plans: (In thousands) Available For Grant (1) (2) Balance as of June 30, 2019 11,613 Restricted stock units granted (3) (782 ) Restricted stock units canceled 16 Balance as of September 30, 2019 10,847 __________________ (1) The number of RSUs reflects the application of the award multiplier of 2.0 x to calculate the impact of the award on the shares reserved under the 2004 Plan. (2) No additional stock options, RSUs or other awards will be granted under the Assumed Equity Plans. (3) Includes RSUs granted to senior management during the three months ended September 30, 2019 with performance-based vesting criteria (in addition to service-based vesting criteria for any of such RSUs that are deemed to have been earned) (“performance-based RSUs”). This line item includes all such performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.4 million shares for the three months ended September 30, 2019 reflects the application of the multiplier described above). The fair value of stock-based awards is measured at the grant date and is recognized as an expense over the employee’s requisite service period. For RSUs granted without “dividend equivalent” rights, fair value is calculated using the closing price of our common stock on the grant date, adjusted to exclude the present value of dividends which are not accrued on those RSUs. The fair value for RSUs granted with “dividend equivalent” rights is determined using the closing price of our common stock on the grant date. The fair value for purchase rights under our Employee Stock Purchase Plan is determined using a Black-Scholes model. The following table shows stock-based compensation expense for the indicated periods: Three Months Ended (In thousands) 2019 2018 Stock-based compensation expense by: Costs of revenues $ 2,864 $ 1,831 Research and development 5,287 2,519 Selling, general and administrative 18,793 11,788 Total stock-based compensation expense $ 26,944 $ 16,138 The following table shows stock-based compensation capitalized as inventory as of the dates indicated below: (In thousands) As of As of Inventory $ 4,909 $ 4,819 Restricted Stock Units The following table shows the activity and weighted-average grant date fair value for RSUs during the three months ended September 30, 2019 : Shares (1) (In thousands) Weighted-Average Grant Date Fair Value Outstanding restricted stock units as of June 30, 2019 (2) 2,902 $ 91.84 Granted (3) 391 $ 136.76 Vested and released (276 ) $ 67.32 Withheld for taxes (171 ) $ 67.32 Forfeited (16 ) $ 104.14 Outstanding restricted stock units as of September 30, 2019 (2) 2,830 $ 101.85 __________________ (1) Share numbers reflect actual shares subject to awarded RSUs. (2) Includes performance-based and market-based RSUs. (3) This line item includes performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.2 million shares for the three months ended September 30, 2019 .) The RSUs granted by us generally vest (a) with respect to awards with only service-based vesting criteria, over periods ranging from two to four years and (b) with respect to awards with both performance-based and service-based vesting criteria, in two equal installments on the third and fourth anniversaries of the grant date and (c) with respect to awards with both market-based and service-based vesting criteria in three equal installments on the third, fourth and fifth anniversaries of the grant date, in each case subject to the recipient remaining employed by us as of the applicable vesting date. The RSUs granted to the independent members of the Board of Directors vest annually. The following table shows the weighted-average grant date fair value per unit for the RSUs granted, vested, and tax benefits realized by us in connection with vested and released RSUs for the indicated periods : Three Months Ended (In thousands, except for weighted-average grant date fair value) 2019 2018 Weighted-average grant date fair value per unit $ 136.76 $ 118.47 Grant date fair value of vested restricted stock units $ 30,092 $ 36,072 Tax benefits realized by us in connection with vested and released restricted stock units $ 3,993 $ 6,918 As of September 30, 2019 , the unrecognized stock-based compensation expense balance related to RSUs was $206.2 million , excluding the impact of estimated forfeitures, and will be recognized over a weighted-average remaining contractual term and an estimated weighted-average amortization period of 1.8 years . The intrinsic value of outstanding RSUs as of September 30, 2019 was $451.2 million . Cash-Based Long-Term Incentive Compensation We have adopted a cash-based long-term incentive (“Cash LTI Plan”) program for many of our employees as part of our employee compensation program. Executives and non-employee members of the Board of Directors are not participating in this program. During the three months ended September 30, 2019 and 2018 , we approved Cash LTI awards of $1.8 million and $2.8 million , respectively under our Cash LTI Plan. Cash LTI awards issued to employees under the Cash LTI Plan will vest in three or four equal installments, with one-third or one-fourth of the aggregate amount of the Cash LTI award vesting on each anniversary of the grant date over a three or four-year period. In order to receive payments under a Cash LTI award, participants must remain employed by us as of the applicable award vesting date. During the three months ended September 30, 2019 and 2018 , we recognized $16.6 million and $15.2 million , respectively, in compensation expense under the Cash LTI Plan. As of September 30, 2019 , the unrecognized compensation balance (excluding the impact of estimated forfeitures) related to the Cash LTI Plan was $134.2 million . For details, refer to Note 9 “Equity, Long-Term Incentive Compensation Plans and Non-Controlling Interest,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019. Employee Stock Purchase Plan Our Employee Stock Purchase Plan (“ESPP”) provides that eligible employees may contribute up to 15% of their eligible earnings toward the semi-annual purchase of our common stock. The ESPP is qualified under Section 423 of the Internal Revenue Code. The employee’s purchase price is derived from a formula based on the closing price of the common stock on the first day of the offering period versus the closing price on the date of purchase (or, if not a trading day, on the immediately preceding trading day). The offering period (or length of the look-back period) under the ESPP has a duration of six months , and the purchase price with respect to each offering period beginning on or after such date is, until otherwise amended, equal to 85% of the lesser of (i) the fair market value of our common stock at the commencement of the applicable six-month offering period or (ii) the fair market value of our common stock on the purchase date. We estimate the fair value of purchase rights under the ESPP using a Black-Scholes model. The fair value of each purchase right under the ESPP was estimated on the date of grant using the Black-Scholes model and the straight-line attribution approach with the following weighted-average assumptions: Three Months Ended 2019 2018 Stock purchase plan: Expected stock price volatility 31.6 % 30.0 % Risk-free interest rate 2.4 % 1.9 % Dividend yield 2.5 % 2.9 % Expected life (in years) 0.5 0.5 The following table shows total cash received from employees for the issuance of shares under the ESPP, the number of shares purchased by employees through the ESPP, the tax benefits realized by us in connection with the disqualifying dispositions of shares purchased under the ESPP and the weighted-average fair value per share for the indicated periods: (In thousands, except for weighted-average fair value per share) Three Months Ended 2019 2018 Total cash received from employees for the issuance of shares under the ESPP $ — $ — Number of shares purchased by employees through the ESPP — — Tax benefits realized by us in connection with the disqualifying dispositions of shares purchased under the ESPP $ 1,734 $ 511 Weighted-average fair value per share based on Black-Scholes model $ 27.35 $ 22.73 The ESPP shares are replenished annually on the first day of each fiscal year by virtue of an evergreen provision. The provision allows for share replenishment equal to the lesser of 2.0 million shares or the number of shares which we estimate will be required to be issued under the ESPP during the forthcoming fiscal year. As of September 30, 2019 , a total of 2.6 million shares were reserved and available for issuance under the ESPP. Quarterly cash dividends On August 1, 2019 , our Board of Directors declared a regular quarterly cash dividend of $0.75 per share on the outstanding shares of our common stock, which was paid on September 3, 2019 to the stockholders of record as of the close of business on August 15, 2019 . The total amount of regular quarterly cash dividends and dividend equivalents paid during the three months ended September 30, 2019 and 2018 was $121.6 million and $119.9 million , respectively. The amount of accrued dividends equivalents payable for regular quarterly cash dividends on unvested RSUs with dividend equivalent rights as of September 30, 2019 and June 30, 2019 was $6.4 million and $7.3 million , respectively. These amounts will be paid upon vesting of the underlying RSUs. Non-controlling Interest We have consolidated the results of Orbotech LT Solar, LLC (“OLTS”) and Orbograph Ltd. (“Orbograph”), in which we own approximately 84% and 94% of the outstanding equity interest, respectively. OLTS is engaged in the research, development and marketing of products for the deposition of thin film coating of various materials on crystalline silicon photovoltaic wafers for solar energy panels through plasma-enhanced chemical vapor deposition (“PECVD”). Orbograph is engaged in the development and marketing of character recognition solutions to banks, financial and other payment processing institutions and healthcare providers. Additionally, we have consolidated the results of PixCell, an Israeli company developing diagnostic equipment for point-of-care hematology applications of which we own approximately 52%

Stock Repurchase Program

Stock Repurchase Program	3 Months Ended
	Sep. 30, 2019
Equity [Abstract]
STOCK REPURCHASE PROGRAM	NOTE 11 – STOCK REPURCHASE PROGRAM Our Board of Directors has authorized a program which permits us to repurchase shares of our common stock. The intent of this program is to offset the dilution from our equity incentive plans, employee stock purchase plan, the issuance of shares in the Orbotech Acquisition, as well as to return excess cash to our stockholders. Subject to market conditions, applicable legal requirements and other factors, the repurchases were made in the open market in compliance with applicable securities laws, including the Securities Exchange Act of 1934 and the rules promulgated thereunder, such as Rule 10b-18 and Rule 10b5-1. This stock repurchase program has no expiration date and may be suspended at any time. On September 17, 2019, our Board of Directors authorized us to repurchase an additional $1.00 billion of our common stock. As of September 30, 2019 , an aggregate of approximately $1.63 billion was available for repurchase under our stock repurchase program. Share repurchases for the indicated periods (based on the trade date of the applicable repurchase) were as follows: Three Months Ended (In thousands) 2019 2018 Number of shares of common stock repurchased 1,659 2,781 Total cost of repurchases $ 228,496 $ 307,787 As of September 30, 2019 , we had repurchased 50 thousand shares for $8.0 million , for which repurchases had not settled prior to September 30, 2019 . The amount was recorded as a component of other current liabilities for the period presented.

Net Income Per Share

Net Income Per Share	3 Months Ended
	Sep. 30, 2019
Earnings Per Share [Abstract]
NET INCOME PER SHARE	NOTE 12 – NET INCOME PER SHARE Basic net income per share is calculated by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net income per share is calculated by using the weighted-average number of common shares outstanding during the period, increased to include the number of additional shares of common stock that would have been outstanding if the shares of common stock underlying our outstanding dilutive restricted stock units had been issued. The dilutive effect of outstanding restricted stock units is reflected in diluted net income per share by application of the treasury stock method. The following table sets forth the computation of basic and diluted net income per share attributable to KLA: (In thousands, except per share amounts) Three Months Ended 2019 2018 Numerator: Net income attributable to KLA $ 346,525 $ 395,944 Denominator: Weighted-average shares-basic, excluding unvested restricted stock units 158,697 155,221 Effect of dilutive restricted stock units and options 1,434 862 Weighted-average shares-diluted 160,131 156,083 Basic net income per share attributable to KLA $ 2.18 $ 2.55 Diluted net income per share attributable to KLA $ 2.16 $ 2.54 Anti-dilutive securities excluded from the computation of diluted net income per share — 207

Income Taxes

Income Taxes	3 Months Ended
	Sep. 30, 2019
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 13 – INCOME TAXES The following table provides details of income taxes: Three Months Ended (Dollar amounts in thousands) 2019 2018 Income before income taxes $ 371,516 $ 427,568 Provision for income taxes $ 25,120 $ 31,624 Effective tax rate 6.8 % 7.4 % Our effective tax rate is lower than the U.S. federal statutory rate primarily due to the proportion of earnings generated in jurisdictions with tax rates lower than the U.S. statutory rate. In the normal course of business, we are subject to examination by tax authorities throughout the world. We completed the U.S. federal income tax examination for the fiscal year ended June 30, 2016 and are subject to U.S. federal income tax examinations for all years beginning from the fiscal year ended June 30, 2017. We are subject to state income tax examinations for all years beginning from the fiscal year ended June 30, 2015. We are also subject to examinations in other major foreign jurisdictions, including Singapore and Israel, for all years beginning from the calendar year ended December 31, 2012. We are under audit in Germany related to Orbotech for the years ended December 31, 2013 to December 31, 2015. It is possible that certain examinations may be concluded in the next twelve months. The timing and resolution of income tax examinations is uncertain. The amounts paid, if any, upon resolution of issues raised by the taxing authorities may differ materially from the amounts accrued for each year. Although it is possible that our balance of gross unrecognized tax benefits could materially change in the next 12 months, we are unable to estimate the full range of possible adjustments to this balance given the uncertainty in the development of ongoing income tax examinations. In May 2017, Orbotech received an assessment from the Israel Tax Authority (“ITA”) with respect to its fiscal years 2012 through 2014 (the “Assessment”, and the “Audit Period”, respectively), for an aggregate amount of tax, after offsetting all net operating losses (“NOLs”) available through the end of 2014, of approximately NIS 229.0 million (equivalent to approximately $66.0 million which includes related interest and linkage differentials to the Israeli consumer price index as of date of the issuance of the Tax Decrees, as defined below). On August 31, 2018, Orbotech filed an objection in respect of the tax assessment (the “Objection”). The ITA completed the second stage of the audit, in which the claims Orbotech raised in the Objection were examined by different personnel at the ITA. In addition, the ITA examined additional items during this second stage of the audit. As Orbotech and the ITA did not reach an agreement during the second stage, the ITA issued Tax Decrees to Orbotech on August 28, 2019 (“Tax Decrees”) for an aggregate amount of tax, after offsetting all NOLs available through the end of 2014, of approximately NIS 257 million (equivalent to approximately $74 million which includes related interest and linkage differentials to the Israeli consumer price index as of the date of the issuance of the Tax Decrees). These Tax Decrees replaced the Assessment. We believe that our recorded unrecognized tax benefits are sufficient to cover the resolution of these Tax Decrees. Orbotech filed a notice of appeal with respect to the above Tax Decrees with the District Court of Tel Aviv on September 26, 2019. The ITA and Orbotech have agreed to extend the filing of the ITA's arguments in support of the Tax Decrees to February 28, 2020. The ITA and Orbotech are continuing discussions in an effort to resolve this matter in a mutually agreeable manner. In connection with the above, there is an ongoing criminal investigation in Israel against Orbotech, certain of its employees and its tax consultant. On April 11, 2018, Orbotech received a “suspect notification letter” (dated March 28, 2018) from the Tel Aviv District Attorney’s Office (Fiscal and Financial). In the letter, it was noted that the investigation file was transferred from the Assessment Investigation Officer to the District Attorney’s Office. The letter further states that the District Attorney’s Office has not yet made a decision regarding submission of an indictment against Orbotech; and that if after studying the case, a decision is made to consider prosecuting Orbotech, Orbotech will receive an additional letter, and within 30 days, Orbotech may present its arguments to the District Attorney’s Office as to why it should not be indicted. On October 27, 2019, we received a request for additional information from the District Attorney's Office. We will continue to monitor the progress of the District Attorney’s Office investigation, however, we cannot anticipate when the review of the case will be completed and what will be the results thereof. We intend to cooperate with the District Attorney’s Office to enable them to conclude their investigation.

Litigation and Other Legal Matt

Litigation and Other Legal Matters	3 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
LITIGATION AND OTHER LEGAL MATTERS	NOTE 14 – LITIGATION AND OTHER LEGAL MATTERS We are named from time to time as a party to lawsuits and other types of legal proceedings and claims in the normal course of our business. Actions filed against us include commercial, intellectual property, customer, and labor and employment related claims, including complaints of alleged wrongful termination and potential class action lawsuits regarding alleged violations of federal and state wage and hour and other laws. In general, legal proceedings and claims, regardless of their merit, and associated internal investigations (especially those relating to intellectual property or confidential information disputes) are often expensive to prosecute, defend or conduct and may divert management’s attention and other company resources. Moreover, the results of legal proceedings are difficult to predict, and the costs incurred in litigation can be substantial, regardless of outcome. We believe the amounts provided in our Condensed Consolidated Financial Statements are adequate in light of the probable and estimated liabilities. However, because such matters are subject to many uncertainties, the ultimate outcomes are not predictable, and there can be no assurances that the actual amounts required to satisfy alleged liabilities from the matters described above will not exceed the amounts reflected in our Condensed Consolidated Financial Statements or will not have a material adverse effect on our results of operations, financial condition or cash flows.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 15 – COMMITMENTS AND CONTINGENCIES Factoring. We have agreements (referred to as “factoring agreements”) with financial institutions to sell certain of our trade receivables and promissory notes from customers without recourse. We do not believe we are at risk for any material losses as a result of these agreements. In addition, we periodically sell certain letters of credit (“LCs”), without recourse, received from customers in payment for goods and services. The following table shows total receivables sold under factoring agreements and proceeds from sales of LCs for the indicated periods: Three Months Ended (In thousands) 2019 2018 Receivables sold under factoring agreements $ 56,420 $ 61,540 Proceeds from sales of LCs $ 9,929 $ 10,892 Factoring and LC fees for the sale of certain trade receivables were recorded in other expense (income), net and were not material for the periods presented. Purchase Commitments. We maintain commitments to purchase inventory from our suppliers as well as goods, services, and other assets in the ordinary course of business. Our liability under these purchase commitments is generally restricted to a forecasted time-horizon as mutually agreed upon between the parties. This forecasted time-horizon can vary among different suppliers. Our estimate of our significant purchase commitments for primarily material, services, supplies and asset purchases is approximately $643.5 million as of September 30, 2019 , which are primarily due within the next 12 months. Actual expenditures will vary based upon the volume of the transactions and length of contractual service provided. In addition, the amounts paid under these arrangements may be less in the event that the arrangements are renegotiated or canceled. Certain agreements provide for potential cancellation penalties. Cash Long-Term Incentive Plan. As of September 30, 2019 , we have committed $176.0 million for future payment obligations under our Cash LTI Plan. The calculation of compensation expense related to the Cash LTI Plan includes estimated forfeiture rate assumptions. Cash LTI awards issued to employees under the Cash LTI Plan vest in three or four equal installments, with one-third or one-fourth of the aggregate amount of the Cash LTI award vesting on each anniversary of the grant date over a three or four -year period. In order to receive payments under a Cash LTI award, participants must remain employed by us as of the applicable award vesting date. Guarantees and Contingencies. We maintain guarantee arrangements available through various financial institutions for up to $49.2 million , of which $43.0 million had been issued as of September 30, 2019 , primarily to fund guarantees to customs authorities for value-added tax (“VAT”) and other operating requirements of our subsidiaries in Europe, Israel and Asia. Indemnification Obligations. Subject to certain limitations, we are obligated to indemnify our current and former directors, officers and employees with respect to certain litigation matters and investigations that arise in connection with their service to us. These obligations arise under the terms of our certificate of incorporation, our bylaws, applicable contracts, and Delaware and California law. The obligation to indemnify generally means that we are required to pay or reimburse the individuals’ reasonable legal expenses and possibly damages and other liabilities incurred in connection with these matters. For example, we have paid or reimbursed legal expenses incurred in connection with the investigation of our historical stock option practices and the related litigation and government inquiries by several of our current and former directors, officers and employees. Although the maximum potential amount of future payments we could be required to make under the indemnification obligations generally described in this paragraph is theoretically unlimited, we believe the fair value of this liability, to the extent estimable, is appropriately considered within the reserve we have established for currently pending legal proceedings. We are a party to a variety of agreements pursuant to which we may be obligated to indemnify the other party with respect to certain matters. Typically, these obligations arise in connection with contracts and license agreements or the sale of assets, under which we customarily agrees to hold the other party harmless against losses arising from, or provides customers with other remedies to protect against, bodily injury or damage to personal property caused by our products, non-compliance with our product performance specifications, infringement by our products of third-party intellectual property rights and a breach of warranties, representations and covenants related to matters such as title to assets sold, validity of certain intellectual property rights, non-infringement of third-party rights, and certain income tax-related matters. In each of these circumstances, payment by us is typically subject to the other party making a claim to and cooperating with us pursuant to the procedures specified in the particular contract. This usually allows us to challenge the other party’s claims or, in case of breach of intellectual property representations or covenants, to control the defense or settlement of any third-party claims brought against the other party. Further, our obligations under these agreements may be limited in terms of amounts, activity (typically at our option to replace or correct the products or terminate the agreement with a refund to the other party), and duration. In some instances, we may have recourse against third parties and/or insurance covering certain payments made by us. In addition, we may in limited circumstances enter into agreements that contain customer-specific commitments on pricing, tool reliability, spare parts stocking levels, response time and other commitments. Furthermore, we may give these customers limited audit or inspection rights to enable them to confirm that we are complying with these commitments. If a customer elects to exercise its audit or inspection rights, we may be required to expend significant resources to support the audit or inspection, as well as to defend or settle any dispute with a customer that could potentially arise out of such audit or inspection. To date, we have made no significant accruals in our Condensed Consolidated Financial Statements for this contingency. While we have not in the past incurred significant expenses for resolving disputes regarding these types of commitments, we cannot make any assurance that it will not incur any such liabilities in the future. It is not possible to predict the maximum potential amount of future payments under these or similar agreements due to the conditional nature of our obligations and the unique facts and circumstances involved in each particular agreement. Historically, payments made by us under these agreements have not had a material effect on our business, financial condition, results of operations or cash flows.

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	3 Months Ended
	Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES	NOTE 16 – DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES The authoritative guidance requires companies to recognize all derivative instruments and hedging activities, including foreign currency exchange contracts and interest rate lock agreements, (collectively “derivatives”) as either assets or liabilities at fair value on the Condensed Consolidated Balance Sheets. In accordance with the accounting guidance, we designate foreign currency exchange contracts and interest rate lock agreements as cash flow hedges of certain forecasted foreign currency denominated sales, purchase and spending transactions, and the benchmark interest rate of the corresponding debt financing, respectively. Our foreign subsidiaries operate and sell our products in various global markets. As a result, we are exposed to risks relating to changes in foreign currency exchange rates. We utilize foreign currency forward exchange contracts and option contracts to hedge against future movements in foreign exchange rates that affect certain existing and forecasted foreign currency denominated sales and purchase transactions, such as the Japanese yen, the euro, the pound sterling and the Israeli new shekel. We routinely hedge our exposures to certain foreign currencies with various financial institutions in an effort to minimize the impact of certain currency exchange rate fluctuations. These currency forward exchange contracts and options, designated as cash flow hedges, generally have maturities of less than 18 months . Cash flow hedges are evaluated for effectiveness monthly, based on changes in total fair value of the derivatives. If a financial counterparty to any of our hedging arrangements experiences financial difficulties or is otherwise unable to honor the terms of the foreign currency hedge, we may experience material losses. In October 2014 , we entered into a series of forward contracts (“Rate Lock Agreements”) to lock the benchmark rate on a portion of the Senior Notes. The Rate Lock Agreements had a notional amount of $1.00 billion in aggregate which matured in the second quarter of the fiscal year ended June 30, 2015 . The Rate Lock Agreements were terminated on the date of the pricing of the $1.25 billion of 4.650% Senior Notes due in 2024 and we recorded the fair value of $7.5 million as a gain within accumulated other comprehensive income (loss) (“OCI”) as of December 31, 2014 . We recognized $0.2 million for each of the three months ended September 30, 2019 and 2018, for the amortization of the gain recognized in accumulated other comprehensive income (loss), which amount reduced the interest expense. As of September 30, 2019 , the unamortized portion of the fair value of the forward contracts for the Rate Lock Agreements was $3.8 million . For more details, refer to Note 16, “Derivative Instruments and Hedging Activities” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 . During the fiscal year ended June 30, 2018 , we entered into a series of forward contracts (the “2018 Rate Lock Agreements”) to lock the benchmark interest rate prior to expected debt issuances. The objective of the 2018 Rate Lock Agreements was to hedge the risk associated with the variability in interest rates due to the changes in the benchmark rate leading up to the closing of the intended financing on the notional amount being hedged. The 2018 Rate Lock Agreement had a notional amount of $500.0 million in aggregate, which matured and terminated in the third quarter of fiscal year ending June 30, 2019 and we recorded the fair value of $13.6 million as a loss within OCI. We recognized $0.3 million amortization of the loss recognized in accumulated OCI, which increased the interest expense for the three months ended September 30, 2019 . As of September 30, 2019 , the unamortized portion of the fair value of the 2018 Rate Lock Agreements was $13.0 million . For derivatives that are designated and qualify as cash flow hedges, the effective portion of the gains or losses is reported in OCI and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Prior to adopting the new accounting guidance for hedge accounting, time value was excluded from the assessment of effectiveness for derivatives designated as cash flow hedges. Time value was amortized on a mark-to-market basis and recognized in earnings over the life of the derivative contract. For derivative contracts executed after adopting the new accounting guidance, the election to include time value for the assessment of effectiveness is made on all forward contracts designated as cash flow hedges. The change in fair value of the derivative are recorded in OCI until the hedged item is recognized in earnings. The assessment of effectiveness of options contracts designated as cash flow hedges continue to exclude time value after adopting the new accounting guidance. The initial value of the component excluded from the assessment of effectiveness are recognized in earnings over the life of the derivative contract. Any difference between change in the fair value of the excluded components and the amounts recognized in earnings are recorded in OCI. For derivatives that are not designated as cash flow hedges, gains and losses are recognized in other expense (income), net. We use foreign currency forward contracts to hedge certain foreign currency denominated assets or liabilities. The gains and losses on these derivative instruments are largely offset by the changes in the fair value of the assets or liabilities being hedged. Derivatives in Cash Flow Hedging Relationships: Foreign Exchange and Interest Rate Contracts The gains (losses) on derivatives in cash flow hedging relationships recognized in OCI for the indicated periods were as follows: Three Months Ended September 30, (In thousands) 2019 2018 Derivatives Designated as Hedging Instruments: Foreign exchange contracts: Amounts included in the assessment of effectiveness $ (740 ) $ 13,794 Amounts excluded from the assessment of effectiveness $ (2 ) $ — The locations and amounts of designated and non-designated derivative’s gains and losses reported in the Condensed Consolidated Statements of Operations for the indicated periods were as follows: Three Months Ended September 30, Three Months Ended September 30, 2019 2018 (In thousands) Revenue Cost of Revenues and Operating Expenses Interest Expense Other Expense (Income), Net Revenue Cost of Revenues Interest Expense Other Expense (Income), Net Total amounts presented in the Condensed Consolidated Statement of Operations in which the effects of cash flow hedges are recorded $ 1,413,414 $ 1,003,166 $ 40,350 $ (1,618 ) $ 1,093,260 $ 381,387 $ 26,362 $ (10,025 ) Gains (losses) on Derivatives Designated as Hedging Instruments: Rate lock agreements: Amount of gains (losses) reclassified from accumulated OCI to earnings $ — $ — $ (99 ) $ — $ — $ — $ — $ — Foreign exchange contracts: Amount of gains (losses) reclassified from accumulated OCI to earnings $ 475 $ (1,801 ) $ — $ — $ 983 $ (134 ) $ 188 $ — Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach $ (102 ) $ — $ — $ — $ — $ — $ — $ — Amount excluded from the assessment of effectiveness $ — $ — $ — $ — $ — $ — $ — $ 229 Gains (losses) on Derivatives Not Designated as Hedging Instruments: Amount of gains (losses) recognized in earnings $ — $ — $ — $ 2,325 $ — $ — $ — $ 3,763 The U.S. dollar equivalent of all outstanding notional amounts of foreign currency hedge contracts, with maximum remaining maturities of approximately ten months as of the dates indicated below were as follows: (In thousands) As of As of Cash flow hedge contracts - foreign currency Purchase $ 26,488 $ 31,108 Sell $ 117,761 $ 113,226 Other foreign currency hedge contracts Purchase $ 228,271 $ 257,614 Sell $ 280,226 $ 273,061 The locations and fair value of our derivatives reported in our Condensed Consolidated Balance Sheets as of the dates indicated below were as follows: Asset Derivatives Liability Derivatives Balance Sheet Location As of As of Balance Sheet Location As of As of (In thousands) Fair Value Fair Value Derivatives designated as hedging instruments Foreign exchange contracts Other current assets 608 397 Other current liabilities 824 2,097 Total derivatives designated as hedging instruments 608 397 824 2,097 Derivatives not designated as hedging instruments Foreign exchange contracts Other current assets 3,000 2,160 Other current liabilities 1,845 1,237 Total derivatives not designated as hedging instruments 3,000 2,160 1,845 1,237 Total derivatives $ 3,608 $ 2,557 $ 2,669 $ 3,334 The changes in OCI, before taxes, related to derivatives for the indicated periods were as follows: Three Months Ended (In thousands) 2019 2018 Beginning balance $ (10,791 ) $ 2,346 Amount reclassified to earnings 1,527 (1,037 ) Net change in unrealized gains or losses (742 ) 13,794 Ending balance $ (10,006 ) $ 15,103 Offsetting of Derivative Assets and Liabilities We present derivatives at gross fair values in the Condensed Consolidated Balance Sheets. We have entered into arrangements with each of our counterparties, which reduce credit risk by permitting net settlement of transactions with the same counterparty under certain conditions. The information related to the offsetting arrangements for the periods indicated was as follows (in thousands): As of September 30, 2019 Gross Amounts of Derivatives Not Offset in the Condensed Consolidated Balance Sheets Description Gross Amounts of Derivatives Gross Amounts of Derivatives Offset in the Condensed Consolidated Balance Sheets Net Amount of Derivatives Presented in the Condensed Consolidated Balance Sheets Financial Instruments Cash Collateral Received Net Amount Derivatives - Assets $ 3,608 $ — $ 3,608 $ (2,027 ) $ — $ 1,581 Derivatives - Liabilities $ (2,669 ) $ — $ (2,669 ) $ 2,027 $ — $ (642 ) As of June 30, 2019 Gross Amounts of Derivatives Not Offset in the Condensed Consolidated Balance Sheets Description Gross Amounts of Derivatives Gross Amounts of Derivatives Offset in the Condensed Consolidated Balance Sheets Net Amount of Derivatives Presented in the Condensed Consolidated Balance Sheets Financial Instruments Cash Collateral Received Net Amount Derivatives - Assets $ 2,557 $ — $ 2,557 $ (1,397 ) $ — $ 1,160 Derivatives - Liabilities $ (3,334 ) $ — $ (3,334 ) $ 1,397 $ — $ (1,937 )

Related Party Transactions

Related Party Transactions	3 Months Ended
	Sep. 30, 2019
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 17– RELATED PARTY TRANSACTIONS During the three months ended September 30, 2019 and 2018 , we purchased from, or sold to, several entities, where one or more of our executive officers or members of our Board of Directors, or their immediate family members, were, during the periods presented, an executive officer or a board member of a subsidiary, including Anaplan, Inc. Citrix Systems, Inc., Keysight Technologies, Inc., and NetApp, Inc. The following table provides the transactions with these parties for the indicated periods (for the portion of such period that they were considered related): Three Months Ended (In thousands) 2019 2018 Total revenues $ 1,041 $ 2 Total purchases $ 465 $ 603 Our receivable balances from these parties were $1.8 million at September 30, 2019 and immaterial as of June 30, 2019 . Our payable balances from these parties were immaterial at September 30, 2019 and June 30, 2019 .

Segment Reporting and Geographi

Segment Reporting and Geographic Information	3 Months Ended
	Sep. 30, 2019
Segment Reporting [Abstract]
SEGMENT REPORTING AND GEOGRAPHIC INFORMATION	NOTE 18 – SEGMENT REPORTING AND GEOGRAPHIC INFORMATION ASC 280, Segment Reporting, establishes standards for reporting information about operating segments. Operating segments are defined as components of an enterprise about which separate financial information is evaluated regularly by the chief operating decision maker (“CODM”) in deciding how to allocate resources and in assessing performance. Our CODM is our Chief Executive Officer. We have four reportable segments: Semiconductor Process Control; Specialty Semiconductor Process; PCB, Display and Component Inspection; and Other. The reportable segments are determined based on several factors including, but not limited to, customer base, homogeneity of products, technology, delivery channels and similar economic characteristics. Semiconductor Process Control The Semiconductor Process Control (“SPC”) segment offers comprehensive portfolio of inspection, metrology and data analytics products, and related service, which helps integrated circuit manufacturers achieve target yield throughout the entire semiconductor fabrication process-from research and development (“R&D”) to final volume production. Our differentiated products and services are designed to provide comprehensive solutions that help our customers accelerate development and production ramp cycles, achieve higher and more stable semiconductor die yields and improve their overall profitability. This reportable segment is comprised of two operating segments. Specialty Semiconductor Process The Specialty Semiconductor Manufacturing segment develops and sells advanced vacuum deposition and etching process tools, which are used by a broad range of specialty semiconductor customers, including manufacturers of microelectromechanical systems (“MEMS”), radio frequency (“RF”) communication chips, and power semiconductors for automotive and industrial applications. This reportable segment is comprised of one operating segment. PCB, Display and Component Inspection The PCB, Display and Component Inspection segment enable electronic device manufacturers to inspect, test and measure printed circuit boards (“PCBs”), flat panel displays (“FPDs”) and ICs to verify their quality, pattern the desired electronic circuitry on the relevant substrate and perform three-dimensional shaping of metalized circuits on multiple surfaces. This segment also engages in the development and marketing of character recognition solutions to banks, financial and other payment processing institutions and healthcare providers. This reportable segment is comprised of two operating segments. Other We engage in the research, development and marketing of products for the deposition of thin film coating of various materials on crystalline silicon photovoltaic wafers for solar energy panels. This reportable segment is comprised of one operating segment. The CODM assesses the performance of each operating segment and allocates resources to those segments based on total revenue and segment gross margin and does not evaluate the segments using discrete asset information. Segment gross margin excludes corporate allocations and effects of foreign exchange rates, amortization of intangible assets, amortization of inventory fair value adjustments, and transaction costs associated with our acquisitions related to costs of revenues. The following is a summary of results for each of our four reportable segments for the indicated periods: Three Months Ended September 30, (In thousands) 2019 2018 Semiconductor Process Control: Revenue $ 1,163,632 $ 1,069,959 Segment gross margin $ 742,342 $ 702,231 Specialty Semiconductor Process: Revenue $ 69,139 $ — Segment gross margin $ 38,164 $ — PCB, Display and Component Inspection: Revenue $ 178,552 $ 23,615 Segment gross margin $ 76,068 $ 10,533 Other: Revenue $ 2,231 $ — Segment gross margin $ 653 $ — Totals: Revenue $ 1,413,554 $ 1,093,574 Segment gross margin $ 857,227 $ 712,764 The following table reconciles total reportable segment revenue to total revenue for the indicated periods: Three Months Ended September 30, (In thousands) 2019 2018 Total revenue for reportable segments $ 1,413,554 $ 1,093,574 Corporate allocations and effects of foreign exchange rates (140 ) (314 ) Total revenue $ 1,413,414 $ 1,093,260 The following table reconciles total segment gross margin to total income before income taxes for the indicated periods: Three Months Ended September 30, (In thousands) 2019 2018 Total segment gross margin $ 857,227 $ 712,764 Acquisition-related charges, corporate allocations, and effects of foreign exchange rates (1) 48,054 891 Research and development 210,580 153,530 Selling, general and administrative 188,345 114,438 Interest expense 40,350 26,362 Other expense (income), net (1,618 ) (10,025 ) Income before income taxes $ 371,516 $ 427,568 __________________ (1) Acquisition-related charges primarily include amortization of intangible assets, amortization of inventory fair value adjustments, and other acquisition-related costs classified or presented as part of costs of revenues. Our significant operations outside the United States include manufacturing facilities in China, Germany, Israel and Singapore and sales, marketing and service offices in Japan, the rest of the Asia Pacific region and Europe. For geographical revenue reporting, revenues are attributed to the geographic location in which the customer is located. Long-lived assets consist of land, property and equipment, net and are attributed to the geographic region in which they are located. The following is a summary of revenues by geographic region, based on ship-to location, for the indicated periods: (Dollar amounts in thousands) Three Months Ended September 30, 2019 2018 Revenues: Taiwan $ 386,729 27 % $ 254,437 23 % China 345,856 24 % 340,134 31 % Japan 206,211 15 % 135,578 12 % Korea 197,450 14 % 153,501 14 % North America 181,983 13 % 102,129 9 % Europe and Israel 59,383 4 % 71,669 7 % Rest of Asia 35,802 3 % 35,812 4 % Total $ 1,413,414 100 % $ 1,093,260 100 % The following is a summary of revenues by major products for the indicated periods: (Dollar amounts in thousands) Three Months Ended September 30, 2019 2018 Revenues: Wafer Inspection $ 448,274 32 % $ 447,292 41 % Patterning 382,658 27 % 304,001 28 % Specialty Semiconductor Process 56,870 4 % — — % PCB, Display and Component Inspection 120,360 9 % 20,835 2 % Services 355,439 25 % 264,033 24 % Other 49,813 3 % 57,099 5 % Total $ 1,413,414 100 % $ 1,093,260 100 % Wafer Inspection, and Patterning products are offered in Semiconductor Process Control segment. Services are offered in multiple segments. Other includes primarily refurbished systems, remanufactured legacy systems, and enhancements and upgrades for previous-generation products which are part of Semiconductor Process Control segment. In the three months ended September 30, 2019 , two customers accounted for approximately 17% and 12% of total revenues. In the three months ended September 30, 2018 , two customers accounted for approximately 15% and 10% of total revenues. One customer on an individual basis accounted for greater than 10% of net accounts receivables at September 30, 2019 and June 30, 2019 . Land, property and equipment, net by geographic region as of the dates indicated below were as follows: (In thousands) As of As of Land, property and equipment, net: United States $ 279,293 $ 253,255 Singapore 52,778 49,523 Israel 63,250 66,082 Europe 61,302 62,027 Rest of Asia 18,587 17,912 Total $ 475,210 $ 448,799

Restructuring Charges

Restructuring Charges	3 Months Ended
	Sep. 30, 2019
Restructuring and Related Activities [Abstract]
Restructuring Charges	NOTE 19 – RESTRUCTURING CHARGES In September 2019, management approved a plan to streamline our organization and business processes that included the reduction of workforce, which is expected to be completed in the second half of our fiscal year 2021, primarily in our PCB, Display and Component Inspection segment, and a potential disposition of our solar energy business in our Other segment. Restructuring charges were immaterial for the three months ended September 30, 2019 . Proceeds from disposition of our solar energy business are not expected to be material.

Basis of Presentation (Policies

Basis of Presentation (Policies)	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	The Condensed Consolidated Financial Statements have been prepared by us pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, the unaudited interim financial statements reflect all adjustments (consisting only of normal, recurring adjustments) necessary for a fair statement of the financial position, results of operations, comprehensive income, stockholders’ equity and cash flows for the periods indicated. These financial statements and notes, however, should be read in conjunction with Item 8, “Financial Statements and Supplementary Data” included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 , filed with the SEC on August 16, 2019 . The Condensed Consolidated Financial Statements include the accounts of KLA and its majority-owned subsidiaries. All significant intercompany balances and transactions have been eliminated. The results of operations for the three months ended September 30, 2019 are not necessarily indicative of the results that may be expected for any other interim period or for the full fiscal year ending June 30, 2020 . Certain reclassifications have been made to the prior year’s Condensed Consolidated Financial Statements to conform to the current year presentation. The reclassifications did not have material effects on the prior year’s Condensed Consolidated Balance Sheets, Statements of Operations, Comprehensive Income and Cash Flows.
Management Estimates	The preparation of the Condensed Consolidated Financial Statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions in applying our accounting policies that affect the reported amounts of assets and liabilities (and related disclosure of contingent assets and liabilities) at the date of the Condensed Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.
Leases	Under ASC 842, a contract is or contains a lease when we have the right to control the use of an identified asset for a period of time. We determine if an arrangement is a lease at inception of the contract, which is the date on which the terms of the contract are agreed to, and the agreement creates enforceable rights and obligations. The commencement date of the lease is the date that the lessor makes an underlying asset available for our use. On the commencement date leases are evaluated for classification and assets and liabilities are recognized based on the present value of lease payments over the lease term. The lease term used to calculate the lease liability includes options to extend or terminate the lease when it is reasonably certain that the option will be exercised. The right-of-use (“ROU”) asset is initially measured as the amount of lease liability, adjusted for any initial lease costs, prepaid lease payments and any lease incentives. Variable lease payments, consisting primarily of reimbursement of costs incurred by lessors for common area maintenance, real estate taxes, and insurance are not included in the lease liability and are recognized as they are incurred. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate at lease commencement to measure ROU assets and lease liabilities. The incremental borrowing rate used by us is based on baseline rates and adjusted by the credit spreads commensurate with our secured borrowing rate, over a similar term. We used the incremental borrowing rate on June 30, 2019 for all leases that commenced on or prior to that date. Operating lease expense is generally recognized on a straight-line basis over the lease term. We have elected the practical expedient to account for the lease and non-lease components as a single lease component for the majority of our asset classes. For leases with a term of one year or less, we have elected not to record the ROU asset or liability.
Recent Accounting Pronouncements	Recently Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASC 842 which supersedes the lease recognition requirements in ASC 840, Leases, (“ASC 840”). The most prominent of the changes in ASC 842 is the recognition of ROU assets and lease liabilities by lessees for those leases classified as operating leases. Consistent with ASC 840, leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the statements of operations. In July 2018, the FASB issued an accounting standard update which amended ASC 842 and offered an additional (and optional) transition method by which entities could elect not to recast the comparative periods presented in financial statements in the period of adoption. KLA adopted the new standard on July 1, 2019, the first day of fiscal 2020, using the optional adoption method whereby we did not adjust comparative period financial statements. Consequently, prior period balances and disclosures have not been restated. KLA elected certain practical expedients, which among other things, allowed us to carry forward prior conclusions about lease identification and classification. The adoption of ASC 842 resulted in the balance sheet recognition of additional lease assets and lease liabilities of $110.7 million and $108.7 million , respectively, related primarily to facilities, vehicles and other equipment. The adoption of ASC 842 did not have a material impact on beginning retained earnings, the Condensed Consolidated Statement of Operations, Cash Flows, or earnings per share. Additionally, the adoption of ASC 842 did not have a material impact on the Condensed Consolidated Financial Statements for arrangements in which KLA is the lessor. For additional information regarding KLA’s leases, see Note 9 “Leases” in the Condensed Consolidated Financial Statements. Updates Not Yet Effective In June 2016, the FASB issued an accounting standard update that changes the accounting for recognizing impairments of financial assets. Under the update, credit losses for certain types of financial instruments will be estimated based on expected losses. The update also modifies the impairment models for available-for-sale debt securities and for purchased financial assets with credit deterioration since their origination. The update is effective for us beginning in the first quarter of our fiscal year ending June 30, 2021, with early adoption permitted starting in the first quarter of fiscal year ending June 30, 2020. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements. In August 2018, the FASB issued an accounting standard update which modifies the existing accounting standards for fair value measurement disclosure. This update eliminates the disclosure of the amount of and reasons for transfers between level 1 and level 2 of the fair value hierarchy, and the policy for timing of transfers between levels. This standard update is effective for us beginning in the first quarter of our fiscal year ending June 30, 2021, and early adoption is permitted. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements. In August 2018, the FASB issued an accounting standard update to amend the disclosure requirements related to defined benefit pension and other post-retirement plans. Some of the changes include adding a disclosure requirement for significant gains and losses related to changes in the benefit obligation for the period and removing the amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost over the next fiscal year. This standard update is effective for us for the fiscal year ending June 30, 2021, and early adoption is permitted. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements. In August 2018, the FASB issued an accounting standard update to align the requirements for capitalizing implementation costs incurred in a cloud computing arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The guidance clarifies which costs should be capitalized including the cost to acquire the license and the related implementation costs. This standard update is effective for us beginning in the first quarter of our fiscal year ending June 30, 2021, with an option to be adopted either prospectively or retrospectively. Early adoption is permitted. We are currently evaluating the impact of this accounting standard update on our Condensed Consolidated Financial Statements.
Fair Value Measurements	Our financial assets and liabilities are measured and recorded at fair value, except for our debt and certain equity investments in privately-held companies. Equity investments without a readily available fair value are accounted for using the measurement alternative. The measurement alternative is calculated as cost minus impairment, if any, plus or minus changes resulting from observable price changes. Our non-financial assets, such as goodwill, intangible assets, and land, property and equipment, are assessed for impairment when an event or circumstance indicates that an other-than-temporary decline in value may have occurred.
Fair Value of Financial Instruments	We have evaluated the estimated fair value of financial instruments using available market information and valuations as provided by third-party sources. The use of different market assumptions and/or estimation methodologies could have a significant effect on the estimated fair value amounts. The fair value of our cash equivalents, accounts receivable, accounts payable and other current assets and liabilities approximate their carrying amounts due to the relatively short maturity of these items.

Revenue (Tables)

Revenue (Tables)	3 Months Ended
	Sep. 30, 2019
Revenue from Contract with Customer [Abstract]
Schedule of Contract Balances	The following table represents the opening and closing balances of accounts receivables, contract assets and contract liabilities for the indicated periods. As of As of (In thousands, except for percentage) September 30, 2019 July 1, 2019 $ Change % Change Accounts receivable, net $ 1,066,188 $ 990,113 $ 76,075 8 % Contract assets $ 99,068 $ 94,015 $ 5,053 5 % Contract liabilities $ 579,761 $ 587,789 $ (8,028 ) (1 )%

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Sep. 30, 2019
Fair Value Disclosures [Abstract]
Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis	Financial assets (excluding cash held in operating accounts and time deposits) and liabilities measured at fair value on a recurring basis, as of the date indicated below, were presented on our Condensed Consolidated Balance Sheets as follows: As of September 30, 2019 (In thousands) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Little or No Market Activity Inputs (Level 3) Assets Cash equivalents: Corporate debt securities $ 3,903 $ — $ 3,903 $ — Money market funds and other 399,036 399,036 — — U.S. Government agency securities 1,500 — 1,500 — U.S. Treasury securities 5,995 — 5,995 — Marketable securities: Corporate debt securities 416,394 — 416,394 — Municipal securities 1,906 — 1,906 — Sovereign securities 6,014 — 6,014 — U.S. Government agency securities 102,829 102,829 — — U.S. Treasury securities 224,519 212,705 11,814 — Total cash equivalents and marketable securities (1) 1,162,096 714,570 447,526 — Other current assets: Derivative assets 3,608 — 3,608 — Other non-current assets: Executive Deferred Savings Plan 206,235 158,411 47,824 — Total financial assets (1) $ 1,371,939 $ 872,981 $ 498,958 $ — Liabilities Derivative liabilities $ (2,669 ) $ — $ (2,669 ) $ — Deferred payments (8,800 ) — — (8,800 ) Contingent consideration payable (19,292 ) — — (19,292 ) Total financial liabilities $ (30,761 ) $ — $ (2,669 ) $ (28,092 ) ________________ (1) Excludes cash of $503.5 million held in operating accounts and time deposits of $85.9 million as of September 30, 2019 . Financial assets (excluding cash held in operating accounts and time deposits) and liabilities measured at fair value on a recurring basis, as of the date indicated below, were presented on our Condensed Consolidated Balance Sheets as follows: As of June 30, 2019 (In thousands) Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Little or No Market Activity Inputs (Level 3) Assets Cash equivalents: Corporate debt securities $ 10,988 $ — $ 10,988 $ — Money market funds and other 352,708 352,708 — — U.S. Government agency securities 27,994 — 27,994 — U.S. Treasury securities 55,858 — 55,858 — Marketable securities: Corporate debt securities 422,089 — 422,089 — Municipal securities 1,913 — 1,913 — Sovereign securities 5,994 — 5,994 — U.S. Government agency securities 131,224 131,224 — — U.S. Treasury securities 151,838 151,838 — — Total cash equivalents and marketable securities (1) 1,160,606 635,770 524,836 — Other current assets: Derivative assets 2,557 — 2,557 — Other non-current assets: Executive Deferred Savings Plan 207,581 158,021 49,560 — Total financial assets (1) $ 1,370,744 $ 793,791 $ 576,953 $ — Liabilities Derivative liabilities $ (3,334 ) $ — $ (3,334 ) $ — Deferred payments (8,800 ) — — (8,800 ) Contingent consideration payable (14,005 ) — — (14,005 ) Total financial liabilities $ (26,139 ) $ — $ (3,334 ) $ (22,805 ) ________________ (1) Excludes cash of $479.8 million held in operating accounts and time deposits of $99.0 million as of June 30, 2019 .

Financial Statement Components

Financial Statement Components (Tables)	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Balance Sheet Components	Condensed Consolidated Balance Sheets (In thousands) As of As of Accounts receivable, net: Accounts receivable, gross $ 1,078,051 $ 1,002,114 Allowance for doubtful accounts (11,863 ) (12,001 ) $ 1,066,188 $ 990,113 Inventories: Raw materials $ 449,075 $ 444,627 Customer service parts 336,809 328,515 Work-in-process 287,951 285,191 Finished goods 180,405 204,167 $ 1,254,240 $ 1,262,500 Other current assets: Contract assets $ 99,068 $ 94,015 Prepaid expenses 80,691 88,387 Deferred costs of revenue 65,197 70,721 Prepaid income and other taxes 15,858 51,889 Other current assets 22,985 18,065 $ 283,799 $ 323,077 Land, property and equipment, net: Land $ 67,876 $ 67,883 Buildings and leasehold improvements 405,476 402,678 Machinery and equipment 680,970 669,316 Office furniture and fixtures 29,217 28,282 Construction-in-process 56,828 26,029 1,240,367 1,194,188 Less: accumulated depreciation (765,157 ) (745,389 ) $ 475,210 $ 448,799 Other non-current assets: Executive Deferred Savings Plan (1) $ 206,235 $ 207,581 Operating lease right of use assets 105,967 — Other non-current assets 56,719 58,392 $ 368,921 $ 265,973 Other current liabilities: Compensation and benefits $ 311,779 $ 226,462 Executive Deferred Savings Plan 207,873 208,926 Other accrued expenses 163,345 202,647 Customer credits and advances 150,746 133,677 Income taxes payable 86,141 23,350 Interest payable 44,560 31,992 Operating lease liabilities, current 28,855 — $ 993,299 $ 827,054 Other non-current liabilities: Income taxes payable $ 358,235 $ 392,266 Pension liabilities 80,046 79,622 Operating lease liabilities 75,552 — Other non-current liabilities 129,199 116,009 $ 643,032 $ 587,897 ________________ (1) We have a non-qualified deferred compensation plan (known as “Executive Deferred Savings Plan” or “EDSP”) under which certain employees and non-employee directors may defer a portion of their compensation. The expense associated with changes in the EDSP liability included in selling, general and administrative expense was $1.9 million and $7.5 million during the three months ended September 30, 2019 and 2018 , respectively. The amount of net gains associated with changes in the EDSP assets included in selling, general and administrative expense was $2.3 million and $7.4 million during the three months ended September 30, 2019 and 2018 , respectively. For additional details, refer to Note 1, “Description of Business and Summary of Significant Accounting Policies,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 .
Components of Accumulated Other Comprehensive Income (Loss)	The components of accumulated other comprehensive income (loss) (“OCI”) as of the dates indicated below were as follows: (In thousands) Currency Translation Adjustments Unrealized Gains (Losses) on Available-for-Sale Securities Unrealized Gains (Losses) on Cash Flow Hedges Unrealized Gains (Losses) on Defined Benefit Plans Total Balance as of September 30, 2019 $ (46,086 ) $ 113 $ (7,964 ) $ (17,918 ) $ (71,855 ) Balance as of June 30, 2019 $ (44,041 ) $ (1,616 ) $ (8,725 ) $ (18,647 ) $ (73,029 )
Reclassification out of Accumulated Other Comprehensive Income	The effects on net income (loss) of amounts reclassified from accumulated OCI to the Condensed Consolidated Statement of Operations for the indicated period were as follows (in thousands): Location in the Condensed Consolidated Three Months Ended Accumulated OCI Components Statements of Operations 2019 2018 Unrealized gains (losses) on cash flow hedges from foreign exchange and interest rate contracts (1) Revenues $ 373 $ 983 Costs of revenues and operating expenses (1,801 ) (134 ) Interest expense (99 ) 188 Net gains (losses) reclassified from accumulated OCI $ (1,527 ) $ 1,037 Unrealized gains (losses) on available-for-sale securities Other expense (income), net $ (4 ) $ (481 ) __________________ (1) The three months ended September 30, 2019 reflects the new accounting guidance for hedge accounting, which was adopted in the second quarter of fiscal year 2019. For additional details, refer to Note 16, “Derivative Instruments and Hedging Activities” of the Condensed Consolidated Financial Statements.

Marketable Securities (Tables)

Marketable Securities (Tables)	3 Months Ended
	Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]
Summary of Marketable Securities	The amortized cost and fair value of marketable securities as of the dates indicated below were as follows: As of September 30, 2019 (In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Corporate debt securities $ 419,980 $ 430 $ (113 ) $ 420,297 Money market funds and other 399,036 — — 399,036 Municipal securities 1,899 7 — 1,906 Sovereign securities 6,014 3 (3 ) 6,014 U.S. Government agency securities 104,391 10 (72 ) 104,329 U.S. Treasury securities 230,632 120 (238 ) 230,514 Subtotal 1,161,952 570 (426 ) 1,162,096 Add: Time deposits (1) 85,902 — — 85,902 Less: Cash equivalents 484,824 — — 484,824 Marketable securities $ 763,030 $ 570 $ (426 ) $ 763,174 As of June 30, 2019 (In thousands) Amortized Gross Gross Fair Corporate debt securities $ 433,518 $ 141 $ (582 ) $ 433,077 Money market funds and other 352,708 — — 352,708 Municipal securities 1,910 3 — 1,913 Sovereign securities 6,001 1 (8 ) 5,994 U.S. Government agency securities 159,454 5 (241 ) 159,218 U.S. Treasury securities 208,058 39 (401 ) 207,696 Subtotal 1,161,649 189 (1,232 ) 1,160,606 Add: Time deposits (1) 99,006 — — 99,006 Less: Cash equivalents 536,206 17 (2 ) 536,221 Marketable securities $ 724,449 $ 172 $ (1,230 ) $ 723,391 ________________ (1) Time deposits excluded from fair value measurements.
Investments with Gross Unrealized Losses	The following table summarizes the fair value and gross unrealized losses of our investments that were in an unrealized loss position as of the date indicated below, $260.4 million of which were in a continuous loss position for 12 months or more: As of September 30, 2019 (In thousands) Fair Value Gross Unrealized Losses Corporate debt securities $ 182,963 $ (112 ) Sovereign securities 1,997 (3 ) U.S. Government agency securities 79,082 (72 ) U.S Treasury securities 167,750 (239 ) Total $ 431,792 $ (426 )
Contractual Maturities of Securities	The contractual maturities of securities classified as available-for-sale, regardless of their classification on our Condensed Consolidated Balance Sheets, as of the date indicated below were as follows: As of September 30, 2019 (In thousands) Amortized Cost Fair Value Due within one year $ 442,133 $ 441,938 Due after one year through three years 320,897 321,236 $ 763,030 $ 763,174

Business Combinations (Tables)

Business Combinations (Tables)	3 Months Ended
	Sep. 30, 2019
Business Combinations [Abstract]
Aggregate Purchase Consideration and Preliminary Purchase Price Allocation	tion The total purchase consideration has been preliminarily allocated as follows (in thousands): Purchase Price Cash for outstanding Orbotech shares (1) $ 1,901,948 Fair value of KLA common stock issued for outstanding Orbotech shares (2) 1,324,657 Cash for Orbotech equity awards (3) 9,543 Fair value of KLA common stock issued to settle Orbotech equity awards (4) 6,129 Stock options and RSUs assumed (5) 13,281 Total purchase consideration 3,255,558 Less: cash acquired (215,640 ) Total purchase consideration, net of cash acquired $ 3,039,918 Allocation Accounts receivable, net $ 200,517 Inventories 330,325 Contract assets 63,181 Other current assets 73,561 Property, plant and equipment, net 102,197 Goodwill 1,809,625 Intangible assets 1,553,570 Other non-current assets 73,179 Accounts payable (53,015 ) Accrued liabilities (178,849 ) Other current liabilities (6) (69,449 ) Deferred tax liabilities (7) (777,838 ) Other non-current liabilities (6) (67,901 ) Non-controlling interest (19,185 ) $ 3,039,918 ________________ (1) Represents the total cash paid to settle 48.9 million outstanding Orbotech shares as of February 20, 2019 at $38.86 per Orbotech share. (2) Represents the fair value of 12.2 million shares of our common stock issued to settle 48.9 million outstanding Orbotech shares. KLA issued 0.25 shares for each Orbotech share. The fair value of KLA’s common stock was $ 108.26 per share on the Acquisition Date. (3) Represents primarily cash consideration for the settlement of the vested stock options and restricted stock units for which services were rendered by the employees of Orbotech prior to the closing, and a small portion for the settlement of fractional shares. (4) Represents the fair value of share of 56,614 shares of KLA common stock issued to settle the vested Orbotech stock options. The fair value of KLA’s common stock was $108.26 per share on the Acquisition Date. (5) Represents the fair value of the assumed stock options and RSUs to the extent those related to services provided by the employee of Orbotech prior to closing. Also refer to Note 10, “Equity, Long-Term Incentive Compensation Plans and Non-Controlling Interest” of the Condensed Consolidated Financial Statements for additional information about assumed stock options and RSUs. (6) On December 24, 2018, Orbotech, as part of its strategy to invest in the high growth area of the software business within the Printed Circuit Boards (“PCB”) industry, acquired the remaining 50% shares of Frontline, which was prior to that accounted as an equity investee, from Mentor Graphics Development Services (Israel) Ltd. Orbotech acquired all of the joint venture interests it did not previously own for $85.0 million in cash on hand and agreed to pay an additional $10.0 million in cash over four years plus a cash earn-out of not less than $5.0 million and up to $20.0 million . The earn out amounts are based on revenues from a Frontline product currently under development. As of February 20, 2019, the estimated fair market values of the four -year cash payment and the earn-out were $8.8 million and $7.1 million , respectively, and these amounts have been included in current and non-current liabilities at $4.3 million and $11.6 million respectively. As of September 30, 2019, the estimated fair market values of the four -year cash payment and the earn-out were $8.8 million and $3.2 million , respectively, and these amounts have been included in current and non-current liabilities at $4.3 million and $7.7 million respectively. (7) The aggregate purchase price of the other fiscal 2019 acquisitions was allocated on a preliminary basis as follows: (In thousands) Fair Value Net tangible assets (including Cash and cash equivalents of $2.6 million) $ 13,214 Identifiable intangible assets 75,130 Goodwill 45,380 Total $ 133,724 The purchase price of the fiscal 2020 acquisition was allocated on a preliminary basis as follows: (In thousands) Fair Value Net tangible assets (including cash and cash equivalents of $6.6 million) $ 7,196 Deferred tax liabilities (15,265 ) Intangible assets 47,931 Goodwill 54,001 Total $ 93,863
Estimated Fair Value and Weighted Average Useful Life of Acquired Intangible Assets	ts The estimated fair value and weighted average useful life of the Orbotech intangible assets are as follows: (In thousands) Fair Value Weighted Average Useful Lives (in years) Existing technology (1) $ 1,008,000 8 Customer-related assets (2) 227,000 8 Backlog (3) 37,500 1 Trade name (4) 91,500 7 Off market leases (5) 2,070 7 Total identified finite-lived intangible assets 1,366,070 In-process research and development (6) 187,500 N/A Total identified intangible assets $ 1,553,570 ________________ (1) Existing technology was identified from the products of Orbotech and its fair value was determined using the Relief-from-Royalty Method under the income approach, which estimates the cost savings generated by a company related to the ownership of an asset for which it would otherwise have had to pay royalties or license fees on revenues earned through the use of the asset. The discount rate used was determined at the time of measurement based on an analysis of the implied internal rate of return of the transaction, weighted average cost of capital and weighted average return on assets. The economic useful life was determined based on the technology cycle related to each developed technology, as well as the cash flows over the forecast period. (2) Customer contracts and related relationships represent the fair value of the existing relationships with the Orbotech customers and its fair value was determined using the Multi-Period Excess Earning Method which involves isolating the net earnings attributable to the asset being measured based on present value of the incremental after-tax cash flows (excess earnings) attributable solely to the intangible asset over its remaining useful life. The economic useful life was determined based on historical customer attrition rates. (3) Backlog primarily relates to the dollar value of purchase arrangements with customers, effective, as of a given point in time, that are based on mutually agreed terms which, in some cases, may still be subject to completion of written documentation and may be changed or canceled by the customer, often without penalty. Orbotech’s backlog consists of these arrangements with assigned shipment dates expected, in most cases, within three to twelve months. The fair value was determined using the Multi-Period Excess Earning Method. The economic useful life is based on the time to fulfill the outstanding order backlog obligation. (4) Trade name primarily relates to the “Orbotech” trade name. The fair value was determined by applying the Relief-from-Royalty Method under the income approach. The economic useful life was determined based on the expected life of the trade name. (5) The favorable / unfavorable components of the acquired leases were determined using the Income Approach which involves present valuing the difference in future cash flows between the contracted lease payments and the rent payable to a market participant over the lease terms. The economic useful life is based on the remaining lease term. (6)
Non-recurring Adjustments Attributable to Business Combination	The table below reflects the impact of material and nonrecurring adjustments to the unaudited pro forma results for the three months ended, September 30, 2018 that are directly attributable to the acquisitions: Three Months Ended Non-recurring Adjustments (In thousands) September 30, 2018 Decrease / (increase) to revenue as a result of deferred revenue fair value adjustment $ — (Decrease) / increase to expense as a result of inventory fair value adjustment $ 478 (Decrease) / increase to expense as a result of transaction costs $ (4,898 ) (Decrease) / increase to expense as a result of compensation costs $ 2,811
Unaudited Pro Forma Information	The unaudited pro forma information presented below is for informational purposes only and is not necessarily indicative of our consolidated results of operations of the combined business had the acquisitions actually occurred at the beginning of fiscal year 2018 or of the results of our future operations of the combined businesses. Pro Forma Three Months Ended (In thousands) September 30, 2018 Revenues $ 1,348,197 Net income attributable to KLA $ 376,634

Goodwill and Purchased Intang_2

Goodwill and Purchased Intangible Assets (Tables)	3 Months Ended
	Sep. 30, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill Balances	The following table presents goodwill carrying value and the movements during the three months ended September 30, 2019 (1) : (In thousands) Wafer Inspection and Patterning Global Service and Support ( “ GSS ” ) Specialty Semiconductor Process PCB and Display Component Inspection Total Balance as of June 30, 2019 $ 360,615 $ 25,908 $ 821,842 $ 989,918 $ 13,575 $ 2,211,858 Acquired goodwill 54,001 — — — — 54,001 Foreign currency and other adjustments (35 ) — — (2,135 ) — (2,170 ) Balance as of September 30, 2019 $ 414,581 $ 25,908 $ 821,842 $ 987,783 $ 13,575 $ 2,263,689 _________________ (1) No goodwill was assigned to the Other reporting unit, and accordingly was excluded in the table above.
Components of Purchased Intangible Assets	The components of purchased intangible assets as of the dates indicated below were as follows: (In thousands) As of As of Category Range of Useful Lives (in years) Gross Carrying Amount Accumulated Amortization, and Impairment Net Amount Gross Carrying Amount Accumulated Amortization and Impairment Net Amount Existing technology 4-8 $ 1,251,277 $ 232,203 $ 1,019,074 $ 1,224,629 $ 196,582 $ 1,028,047 Trade name / Trademark 4-7 117,133 28,537 88,596 114,573 25,052 89,521 Customer relationships 4-9 305,028 74,511 230,517 297,250 66,471 230,779 Backlog and other <1-9 50,393 30,014 20,379 43,969 19,146 24,823 Intangible assets subject to amortization 1,723,831 365,265 1,358,566 1,680,421 307,251 1,373,170 In-process research and development 190,635 — 190,635 187,500 — 187,500 Total $ 1,914,466 $ 365,265 $ 1,549,201 $ 1,867,921 $ 307,251 $ 1,560,670
Amortization Expense for Purchased Intangible Assets	Amortization expense for purchased intangible assets for the periods indicated below was as follows: Three Months Ended September 30, (In thousands) 2019 2018 Amortization expense - Cost of revenues $ 35,621 $ 890 Amortization expense - Selling, general and administrative 22,256 544 Amortization expense - Research and development 31 — Total $ 57,908 $ 1,434
Remaining Estimated Amortization Expense	Based on the purchased intangible assets gross carrying amount recorded as of September 30, 2019 , the underlying assets, the remaining estimated annual amortization expense is expected to be as follows: Fiscal year ending June 30: Amortization (In thousands) 2020 (remaining 9 months) $ 161,422 2021 194,901 2022 192,323 2023 191,271 2024 188,714 2025 and thereafter 429,935 Total $ 1,358,566

Debt (Tables)

Debt (Tables)	3 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Schedule of Debt	The following table summarizes our debt as of September 30, 2019 and June 30, 2019 : As of September 30, 2019 As of June 30, 2019 Amount (In thousands) Effective Interest Rate Amount Effective Interest Rate Fixed-rate 3.375% Senior Notes due on November 1, 2019 $ 250,000 3.377 % $ 250,000 3.377 % Fixed-rate 4.125% Senior Notes due on November 1, 2021 500,000 4.128 % 500,000 4.128 % Fixed-rate 4.650% Senior Notes due on November 1, 2024 1,250,000 4.682 % 1,250,000 4.682 % Fixed-rate 5.650% Senior Notes due on November 1, 2034 250,000 5.670 % 250,000 5.670 % Fixed-rate 4.100% Senior Notes due on March 15, 2029 800,000 4.159 % 800,000 4.159 % Fixed-rate 5.000% Senior Notes due on March 15, 2049 400,000 5.047 % 400,000 5.047 % Total 3,450,000 3,450,000 Unamortized discount (8,528 ) (8,738 ) Unamortized debt issuance costs (17,342 ) (17,880 ) Total $ 3,424,130 $ 3,423,382 Reported as: Current portion of long-term debt $ 250,000 $ 249,999 Long-term debt 3,174,130 3,173,383 Total $ 3,424,130 $ 3,423,382

Leases (Tables)

Leases (Tables)	3 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Leases Cost	Supplemental cash flow information related to leases was as follows: Three months ended September 30, 2019 Amount (In thousands) Operating cash outflows from operating leases 8,374 ROU assets obtained in exchange for new operating lease liabilities 2,805
Maturities of Lease Liabilities	Maturities of lease liabilities as of September 30, 2019 were as follows: Fiscal year ending June 30, Amount (In thousands) 2020 (remaining 9 months) 23,347 2021 24,802 2022 18,374 2023 12,827 2024 8,760 2025 and thereafter 20,856 Total lease payments 108,966 Less imputed interest (4,559 ) Total 104,407
Schedule of Future Minimum Rental Payments for Operating Leases	As of June 30, 2019 , future minimum lease payments as defined under the previous lease accounting guidance of ASC 840 under noncancelable operating leases were as follows: Fiscal year ending June 30, Amount (In thousands) 2020 $ 30,296 2021 22,250 2022 16,217 2023 11,878 2024 7,912 2025 and thereafter 15,018 Total minimum lease payments $ 103,571

Equity, Long-Term Incentive C_2

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest (Tables)	3 Months Ended
	Sep. 30, 2019
Share-based Payment Arrangement [Abstract]
Schedule of Combined Activity Under Equity Incentive Plans	The following table summarizes the combined activity under our equity incentive plans: (In thousands) Available For Grant (1) (2) Balance as of June 30, 2019 11,613 Restricted stock units granted (3) (782 ) Restricted stock units canceled 16 Balance as of September 30, 2019 10,847 __________________ (1) The number of RSUs reflects the application of the award multiplier of 2.0 x to calculate the impact of the award on the shares reserved under the 2004 Plan. (2) No additional stock options, RSUs or other awards will be granted under the Assumed Equity Plans. (3) Includes RSUs granted to senior management during the three months ended September 30, 2019 with performance-based vesting criteria (in addition to service-based vesting criteria for any of such RSUs that are deemed to have been earned) (“performance-based RSUs”). This line item includes all such performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.4 million shares for the three months ended September 30, 2019 reflects the application of the multiplier described above).
Schedule of Stock-based Compensation Expense	The following table shows stock-based compensation expense for the indicated periods: Three Months Ended (In thousands) 2019 2018 Stock-based compensation expense by: Costs of revenues $ 2,864 $ 1,831 Research and development 5,287 2,519 Selling, general and administrative 18,793 11,788 Total stock-based compensation expense $ 26,944 $ 16,138
Schedule of Stock-based Compensation Capitalized as Inventory	The following table shows stock-based compensation capitalized as inventory as of the dates indicated below: (In thousands) As of As of Inventory $ 4,909 $ 4,819
Schedule of Restricted Stock Activity	The following table shows the activity and weighted-average grant date fair value for RSUs during the three months ended September 30, 2019 : Shares (1) (In thousands) Weighted-Average Grant Date Fair Value Outstanding restricted stock units as of June 30, 2019 (2) 2,902 $ 91.84 Granted (3) 391 $ 136.76 Vested and released (276 ) $ 67.32 Withheld for taxes (171 ) $ 67.32 Forfeited (16 ) $ 104.14 Outstanding restricted stock units as of September 30, 2019 (2) 2,830 $ 101.85 __________________ (1) Share numbers reflect actual shares subject to awarded RSUs. (2) Includes performance-based and market-based RSUs. (3) This line item includes performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.2 million shares for the three months ended September 30, 2019 .)
Schedule of Grant Date Fair Value, Weighted Average Grant Date Fair Value, and Tax Benefits for Restricted Stock Units	The following table shows the weighted-average grant date fair value per unit for the RSUs granted, vested, and tax benefits realized by us in connection with vested and released RSUs for the indicated periods : Three Months Ended (In thousands, except for weighted-average grant date fair value) 2019 2018 Weighted-average grant date fair value per unit $ 136.76 $ 118.47 Grant date fair value of vested restricted stock units $ 30,092 $ 36,072 Tax benefits realized by us in connection with vested and released restricted stock units $ 3,993 $ 6,918
Employee Stock Purchase Rights Valuation	The fair value of each purchase right under the ESPP was estimated on the date of grant using the Black-Scholes model and the straight-line attribution approach with the following weighted-average assumptions: Three Months Ended 2019 2018 Stock purchase plan: Expected stock price volatility 31.6 % 30.0 % Risk-free interest rate 2.4 % 1.9 % Dividend yield 2.5 % 2.9 % Expected life (in years) 0.5 0.5
Schedule of Tax Benefits Realized and Weighted-average fair value for the ESPP	The following table shows total cash received from employees for the issuance of shares under the ESPP, the number of shares purchased by employees through the ESPP, the tax benefits realized by us in connection with the disqualifying dispositions of shares purchased under the ESPP and the weighted-average fair value per share for the indicated periods: (In thousands, except for weighted-average fair value per share) Three Months Ended 2019 2018 Total cash received from employees for the issuance of shares under the ESPP $ — $ — Number of shares purchased by employees through the ESPP — — Tax benefits realized by us in connection with the disqualifying dispositions of shares purchased under the ESPP $ 1,734 $ 511 Weighted-average fair value per share based on Black-Scholes model $ 27.35 $ 22.73

Stock Repurchase Program (Table

Stock Repurchase Program (Tables)	3 Months Ended
	Sep. 30, 2019
Equity [Abstract]
Schedule of Share Repurchases	Share repurchases for the indicated periods (based on the trade date of the applicable repurchase) were as follows: Three Months Ended (In thousands) 2019 2018 Number of shares of common stock repurchased 1,659 2,781 Total cost of repurchases $ 228,496 $ 307,787

Net Income Per Share (Tables)

Net Income Per Share (Tables)	3 Months Ended
	Sep. 30, 2019
Earnings Per Share [Abstract]
Computation of Basic and Diluted Net Income (Loss) Per Share	The following table sets forth the computation of basic and diluted net income per share attributable to KLA: (In thousands, except per share amounts) Three Months Ended 2019 2018 Numerator: Net income attributable to KLA $ 346,525 $ 395,944 Denominator: Weighted-average shares-basic, excluding unvested restricted stock units 158,697 155,221 Effect of dilutive restricted stock units and options 1,434 862 Weighted-average shares-diluted 160,131 156,083 Basic net income per share attributable to KLA $ 2.18 $ 2.55 Diluted net income per share attributable to KLA $ 2.16 $ 2.54 Anti-dilutive securities excluded from the computation of diluted net income per share — 207

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Sep. 30, 2019
Income Tax Disclosure [Abstract]
Schedule of Details of Income Taxes	The following table provides details of income taxes: Three Months Ended (Dollar amounts in thousands) 2019 2018 Income before income taxes $ 371,516 $ 427,568 Provision for income taxes $ 25,120 $ 31,624 Effective tax rate 6.8 % 7.4 %

Commitments and Contingencies (

Commitments and Contingencies (Tables)	3 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Receivables Sold Under Factoring Agreements	The following table shows total receivables sold under factoring agreements and proceeds from sales of LCs for the indicated periods: Three Months Ended (In thousands) 2019 2018 Receivables sold under factoring agreements $ 56,420 $ 61,540 Proceeds from sales of LCs $ 9,929 $ 10,892

Derivative Instruments and He_2

Derivative Instruments and Hedging Activities (Tables)	3 Months Ended
	Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Derivative Instruments, Location, Designated and Non-Designated, Gains (Losses)	The gains (losses) on derivatives in cash flow hedging relationships recognized in OCI for the indicated periods were as follows: Three Months Ended September 30, (In thousands) 2019 2018 Derivatives Designated as Hedging Instruments: Foreign exchange contracts: Amounts included in the assessment of effectiveness $ (740 ) $ 13,794 Amounts excluded from the assessment of effectiveness $ (2 ) $ — The locations and amounts of designated and non-designated derivative’s gains and losses reported in the Condensed Consolidated Statements of Operations for the indicated periods were as follows: Three Months Ended September 30, Three Months Ended September 30, 2019 2018 (In thousands) Revenue Cost of Revenues and Operating Expenses Interest Expense Other Expense (Income), Net Revenue Cost of Revenues Interest Expense Other Expense (Income), Net Total amounts presented in the Condensed Consolidated Statement of Operations in which the effects of cash flow hedges are recorded $ 1,413,414 $ 1,003,166 $ 40,350 $ (1,618 ) $ 1,093,260 $ 381,387 $ 26,362 $ (10,025 ) Gains (losses) on Derivatives Designated as Hedging Instruments: Rate lock agreements: Amount of gains (losses) reclassified from accumulated OCI to earnings $ — $ — $ (99 ) $ — $ — $ — $ — $ — Foreign exchange contracts: Amount of gains (losses) reclassified from accumulated OCI to earnings $ 475 $ (1,801 ) $ — $ — $ 983 $ (134 ) $ 188 $ — Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach $ (102 ) $ — $ — $ — $ — $ — $ — $ — Amount excluded from the assessment of effectiveness $ — $ — $ — $ — $ — $ — $ — $ 229 Gains (losses) on Derivatives Not Designated as Hedging Instruments: Amount of gains (losses) recognized in earnings $ — $ — $ — $ 2,325 $ — $ — $ — $ 3,763
Schedule of Notional Amounts of Derivatives Outstanding	The U.S. dollar equivalent of all outstanding notional amounts of foreign currency hedge contracts, with maximum remaining maturities of approximately ten months as of the dates indicated below were as follows: (In thousands) As of As of Cash flow hedge contracts - foreign currency Purchase $ 26,488 $ 31,108 Sell $ 117,761 $ 113,226 Other foreign currency hedge contracts Purchase $ 228,271 $ 257,614 Sell $ 280,226 $ 273,061
Schedule of Derivative Instruments, Fair Value	The locations and fair value of our derivatives reported in our Condensed Consolidated Balance Sheets as of the dates indicated below were as follows: Asset Derivatives Liability Derivatives Balance Sheet Location As of As of Balance Sheet Location As of As of (In thousands) Fair Value Fair Value Derivatives designated as hedging instruments Foreign exchange contracts Other current assets 608 397 Other current liabilities 824 2,097 Total derivatives designated as hedging instruments 608 397 824 2,097 Derivatives not designated as hedging instruments Foreign exchange contracts Other current assets 3,000 2,160 Other current liabilities 1,845 1,237 Total derivatives not designated as hedging instruments 3,000 2,160 1,845 1,237 Total derivatives $ 3,608 $ 2,557 $ 2,669 $ 3,334
Balances and Changes in Accumulated Other Comprehensive Income Related to Derivative Instruments	The changes in OCI, before taxes, related to derivatives for the indicated periods were as follows: Three Months Ended (In thousands) 2019 2018 Beginning balance $ (10,791 ) $ 2,346 Amount reclassified to earnings 1,527 (1,037 ) Net change in unrealized gains or losses (742 ) 13,794 Ending balance $ (10,006 ) $ 15,103
Offsetting of Assets and Liabilities	The information related to the offsetting arrangements for the periods indicated was as follows (in thousands): As of September 30, 2019 Gross Amounts of Derivatives Not Offset in the Condensed Consolidated Balance Sheets Description Gross Amounts of Derivatives Gross Amounts of Derivatives Offset in the Condensed Consolidated Balance Sheets Net Amount of Derivatives Presented in the Condensed Consolidated Balance Sheets Financial Instruments Cash Collateral Received Net Amount Derivatives - Assets $ 3,608 $ — $ 3,608 $ (2,027 ) $ — $ 1,581 Derivatives - Liabilities $ (2,669 ) $ — $ (2,669 ) $ 2,027 $ — $ (642 ) As of June 30, 2019 Gross Amounts of Derivatives Not Offset in the Condensed Consolidated Balance Sheets Description Gross Amounts of Derivatives Gross Amounts of Derivatives Offset in the Condensed Consolidated Balance Sheets Net Amount of Derivatives Presented in the Condensed Consolidated Balance Sheets Financial Instruments Cash Collateral Received Net Amount Derivatives - Assets $ 2,557 $ — $ 2,557 $ (1,397 ) $ — $ 1,160 Derivatives - Liabilities $ (3,334 ) $ — $ (3,334 ) $ 1,397 $ — $ (1,937 )

Related Party Transactions (Tab

Related Party Transactions (Tables)	3 Months Ended
	Sep. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	The following table provides the transactions with these parties for the indicated periods (for the portion of such period that they were considered related): Three Months Ended (In thousands) 2019 2018 Total revenues $ 1,041 $ 2 Total purchases $ 465 $ 603

Segment Reporting and Geograp_2

Segment Reporting and Geographic Information (Tables)	3 Months Ended
	Sep. 30, 2019
Segment Reporting [Abstract]
Summary Of Results for Reportable Segments	The following is a summary of results for each of our four reportable segments for the indicated periods: Three Months Ended September 30, (In thousands) 2019 2018 Semiconductor Process Control: Revenue $ 1,163,632 $ 1,069,959 Segment gross margin $ 742,342 $ 702,231 Specialty Semiconductor Process: Revenue $ 69,139 $ — Segment gross margin $ 38,164 $ — PCB, Display and Component Inspection: Revenue $ 178,552 $ 23,615 Segment gross margin $ 76,068 $ 10,533 Other: Revenue $ 2,231 $ — Segment gross margin $ 653 $ — Totals: Revenue $ 1,413,554 $ 1,093,574 Segment gross margin $ 857,227 $ 712,764
Reconciliation of Total Reportable Segments Revenue to Total Revenue	The following table reconciles total reportable segment revenue to total revenue for the indicated periods: Three Months Ended September 30, (In thousands) 2019 2018 Total revenue for reportable segments $ 1,413,554 $ 1,093,574 Corporate allocations and effects of foreign exchange rates (140 ) (314 ) Total revenue $ 1,413,414 $ 1,093,260
Reconciliation of Total Segment Gross Margin to Total Income Before Income Taxes	The following table reconciles total segment gross margin to total income before income taxes for the indicated periods: Three Months Ended September 30, (In thousands) 2019 2018 Total segment gross margin $ 857,227 $ 712,764 Acquisition-related charges, corporate allocations, and effects of foreign exchange rates (1) 48,054 891 Research and development 210,580 153,530 Selling, general and administrative 188,345 114,438 Interest expense 40,350 26,362 Other expense (income), net (1,618 ) (10,025 ) Income before income taxes $ 371,516 $ 427,568 __________________ (1) Acquisition-related charges primarily include amortization of intangible assets, amortization of inventory fair value adjustments, and other acquisition-related costs classified or presented as part of costs of revenues.
Revenues by Geographic Region	The following is a summary of revenues by geographic region, based on ship-to location, for the indicated periods: (Dollar amounts in thousands) Three Months Ended September 30, 2019 2018 Revenues: Taiwan $ 386,729 27 % $ 254,437 23 % China 345,856 24 % 340,134 31 % Japan 206,211 15 % 135,578 12 % Korea 197,450 14 % 153,501 14 % North America 181,983 13 % 102,129 9 % Europe and Israel 59,383 4 % 71,669 7 % Rest of Asia 35,802 3 % 35,812 4 % Total $ 1,413,414 100 % $ 1,093,260 100 %
Revenues by Major Products	The following is a summary of revenues by major products for the indicated periods: (Dollar amounts in thousands) Three Months Ended September 30, 2019 2018 Revenues: Wafer Inspection $ 448,274 32 % $ 447,292 41 % Patterning 382,658 27 % 304,001 28 % Specialty Semiconductor Process 56,870 4 % — — % PCB, Display and Component Inspection 120,360 9 % 20,835 2 % Services 355,439 25 % 264,033 24 % Other 49,813 3 % 57,099 5 % Total $ 1,413,414 100 % $ 1,093,260 100 %
Long-Lived Assets by Geographic Region	by geographic region as of the dates indicated below were as follows: (In thousands) As of As of Land, property and equipment, net: United States $ 279,293 $ 253,255 Singapore 52,778 49,523 Israel 63,250 66,082 Europe 61,302 62,027 Rest of Asia 18,587 17,912 Total $ 475,210 $ 448,799

Basis of Presentation (Details)

Basis of Presentation (Details) - USD ($) $ in Thousands	Feb. 20, 2019	Sep. 30, 2019	Jul. 01, 2019
Business Acquisition
Lease assets		$ 105,967
Lease liabilities		$ 104,407
ASU 2016-02
Business Acquisition
Lease assets			$ 110,700
Lease liabilities			$ 108,700
Orbotech
Business Acquisition
Total purchase consideration	$ 3,255,558

Revenue - Schedule of Contract

Revenue - Schedule of Contract Balances (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2019	Sep. 30, 2018	Jul. 01, 2019	Jun. 30, 2019
Accounts receivable, net
Accounts receivable, net	$ 1,066,188	$ 1,066,188		$ 990,113	$ 990,113
Change in accounts receivable, net	$ 76,075	75,214	$ (36,079)
Percentage change in accounts receivable, net	8.00%
Contract assets
Contract assets	$ 99,068	99,068		94,015	$ 94,015
Change in contract assets	$ 5,053
Percentage change in contract assets	5.00%
Contract liabilities
Contract liabilities	$ 579,761	$ 579,761		$ 587,789
Change in contract liabilities	$ (8,028)
Percentage change in contract liabilities	(1.00%)

Revenue - Narrative (Details)

Revenue - Narrative (Details) $ in Millions	3 Months Ended
	Sep. 30, 2019USD ($)
Revenue from Contract with Customer [Abstract]
Revenue, description of timing	Our payment terms and conditions vary by contract type, although terms generally include a requirement of payment of 70% to 90% of total contract consideration within 30 to 60 days of shipment, with the remainder payable within 30 days of acceptance
Revenue recognized in excess of amount billed to customer	$ 27.6
Decrease in contract assets, reclassified to accounts receivable	22.8
Revenue recognized, included in contract liabilities at beginning of period	$ 266.8

Revenue - Remaining Performanc

Revenue - Remaining Performance Obligations (Details) $ in Millions	Sep. 30, 2019USD ($)
Revenue from Contract with Customer [Abstract]
Remaining performance obligation	$ 2,080
Minimum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	5.00%
Maximum | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, percentage	15.00%

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands		Sep. 30, 2019		Jun. 30, 2019
Other current assets:
Derivative assets		$ 3,608		$ 2,557
Liabilities
Derivative liabilities		(2,669)		(3,334)
Cash excluded from fair value measurement		503,500		479,800
Time deposits excluded from fair value measurement	[1]	85,902		99,006
Municipal securities
Marketable securities:
Marketable securities		1,906		1,913
Level 1 | Municipal securities
Marketable securities:
Marketable securities		0		0
Level 2 | Municipal securities
Marketable securities:
Marketable securities		1,906		1,913
Level 3 | Municipal securities
Marketable securities:
Marketable securities		0		0
Recurring
Marketable securities:
Total cash equivalents and marketable securities		1,162,096	[2]	1,160,606	[3]
Other current assets:
Derivative assets		3,608		2,557
Other non-current assets:
Executive Deferred Savings Plan		206,235		207,581
Total financial assets		1,371,939	[2]	1,370,744	[3]
Liabilities
Derivative liabilities		(2,669)		(3,334)
Deferred payments		(8,800)		(8,800)
Contingent consideration payable		(19,292)		(14,005)
Total financial liabilities		(30,761)		(26,139)
Recurring | Corporate debt securities
Cash equivalents:
Cash equivalents		3,903		10,988
Marketable securities:
Marketable securities		416,394		422,089
Recurring | Money market funds and other
Cash equivalents:
Cash equivalents		399,036		352,708
Recurring | Sovereign securities
Marketable securities:
Marketable securities		6,014		5,994
Recurring | U.S. Government agency securities
Cash equivalents:
Cash equivalents		1,500		27,994
Marketable securities:
Marketable securities		102,829		131,224
Recurring | U.S. Treasury securities
Cash equivalents:
Cash equivalents		5,995		55,858
Marketable securities:
Marketable securities		224,519		151,838
Recurring | Level 1
Marketable securities:
Total cash equivalents and marketable securities		714,570	[2]	635,770	[3]
Other current assets:
Derivative assets		0		0
Other non-current assets:
Executive Deferred Savings Plan		158,411		158,021
Total financial assets		872,981	[2]	793,791	[3]
Liabilities
Derivative liabilities		0		0
Deferred payments		0		0
Contingent consideration payable		0		0
Total financial liabilities		0		0
Recurring | Level 1 | Corporate debt securities
Cash equivalents:
Cash equivalents		0		0
Marketable securities:
Marketable securities		0		0
Recurring | Level 1 | Money market funds and other
Cash equivalents:
Cash equivalents		399,036		352,708
Recurring | Level 1 | Sovereign securities
Marketable securities:
Marketable securities		0		0
Recurring | Level 1 | U.S. Government agency securities
Cash equivalents:
Cash equivalents		0		0
Marketable securities:
Marketable securities		102,829		131,224
Recurring | Level 1 | U.S. Treasury securities
Cash equivalents:
Cash equivalents		0		0
Marketable securities:
Marketable securities		212,705		151,838
Recurring | Level 2
Marketable securities:
Total cash equivalents and marketable securities		447,526	[2]	524,836	[3]
Other current assets:
Derivative assets		3,608		2,557
Other non-current assets:
Executive Deferred Savings Plan		47,824		49,560
Total financial assets		498,958	[2]	576,953	[3]
Liabilities
Derivative liabilities		(2,669)		(3,334)
Deferred payments		0		0
Contingent consideration payable		0		0
Total financial liabilities		(2,669)		(3,334)
Recurring | Level 2 | Corporate debt securities
Cash equivalents:
Cash equivalents		3,903		10,988
Marketable securities:
Marketable securities		416,394		422,089
Recurring | Level 2 | Money market funds and other
Cash equivalents:
Cash equivalents		0		0
Recurring | Level 2 | Sovereign securities
Marketable securities:
Marketable securities		6,014		5,994
Recurring | Level 2 | U.S. Government agency securities
Cash equivalents:
Cash equivalents		1,500		27,994
Marketable securities:
Marketable securities		0		0
Recurring | Level 2 | U.S. Treasury securities
Cash equivalents:
Cash equivalents		5,995		55,858
Marketable securities:
Marketable securities		11,814		0
Recurring | Level 3
Marketable securities:
Total cash equivalents and marketable securities		0	[2]	0	[3]
Other current assets:
Derivative assets		0		0
Other non-current assets:
Executive Deferred Savings Plan		0		0
Total financial assets		0	[2]	0	[3]
Liabilities
Derivative liabilities		0		0
Deferred payments		(8,800)		(8,800)
Contingent consideration payable		(19,292)		(14,005)
Total financial liabilities		(28,092)		(22,805)
Recurring | Level 3 | Corporate debt securities
Cash equivalents:
Cash equivalents		0		0
Marketable securities:
Marketable securities		0		0
Recurring | Level 3 | Money market funds and other
Cash equivalents:
Cash equivalents		0		0
Recurring | Level 3 | Sovereign securities
Marketable securities:
Marketable securities		0		0
Recurring | Level 3 | U.S. Government agency securities
Cash equivalents:
Cash equivalents		0		0
Marketable securities:
Marketable securities		0		0
Recurring | Level 3 | U.S. Treasury securities
Cash equivalents:
Cash equivalents		0		0
Marketable securities:
Marketable securities		$ 0		$ 0
[1]	Time deposits excluded from fair value measurements.
[2]	Excludes cash of $503.5 million held in operating accounts and time deposits of $85.9 million as of September 30, 2019 .
[3]	Excludes cash of $479.8 million held in operating accounts and time deposits of $99.0 million as of June 30, 2019 .

Financial Statement Component_2

Financial Statement Components - Balance Sheet Components (Details) - USD ($) $ in Thousands		3 Months Ended
		Sep. 30, 2019	Sep. 30, 2018	Jul. 01, 2019	Jun. 30, 2019
Accounts receivable, net:
Accounts receivable, gross		$ 1,078,051			$ 1,002,114
Allowance for doubtful accounts		(11,863)			(12,001)
Accounts receivable, net		1,066,188		$ 990,113	990,113
Inventories:
Raw materials		449,075			444,627
Customer service parts		336,809			328,515
Work-in-process		287,951			285,191
Finished goods		180,405			204,167
Inventories		1,254,240			1,262,500
Other current assets:
Contract assets		99,068		$ 94,015	94,015
Prepaid expenses		80,691			88,387
Deferred costs of revenue		65,197			70,721
Prepaid income and other taxes		15,858			51,889
Other current assets		22,985			18,065
Other current assets, total		283,799			323,077
Land, property and equipment, net:
Land		67,876			67,883
Buildings and leasehold improvements		405,476			402,678
Machinery and equipment		680,970			669,316
Office furniture and fixtures		29,217			28,282
Construction-in-process		56,828			26,029
Land, property and equipment, gross		1,240,367			1,194,188
Less: accumulated depreciation		(765,157)			(745,389)
Land, property and equipment, net		475,210			448,799
Other non-current assets:
Executive Deferred Savings Plan	[1]	206,235			207,581
Operating lease right of use assets		105,967
Other non-current assets		56,719			58,392
Other non-current assets		368,921			265,973
Other current liabilities:
Compensation and benefits		311,779			226,462
Executive Deferred Savings Plan		207,873			208,926
Other accrued expenses		163,345			202,647
Customer credits and advances		150,746			133,677
Income taxes payable		86,141			23,350
Interest payable		44,560			31,992
Operating lease liabilities, current		28,855
Other current liabilities, total		993,299			827,054
Other non-current liabilities:
Income taxes payable		358,235			392,266
Pension liabilities		80,046			79,622
Operating lease liabilities		75,552
Other non-current liabilities		129,199			116,009
Other non-current liabilities, total		643,032			$ 587,897
Selling, general and administrative
Other non-current liabilities:
EDSP Liability		1,900	$ 7,500
Gain (loss) on deferred compensation plan assets		$ 2,300	$ 7,400
[1]	We have a non-qualified deferred compensation plan (known as “Executive Deferred Savings Plan” or “EDSP”) under which certain employees and non-employee directors may defer a portion of their compensation. The expense associated with changes in the EDSP liability included in selling, general and administrative expense was $1.9 million and $7.5 million during the three months ended September 30, 2019 and 2018 , respectively. The amount of net gains associated with changes in the EDSP assets included in selling, general and administrative expense was $2.3 million and $7.4 million during the three months ended September 30, 2019 and 2018 , respectively. For additional details, refer to Note 1, “Description of Business and Summary of Significant Accounting Policies,” of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended June 30, 2019 .

Financial Statement Component_3

Financial Statement Components - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity	$ 2,661,163	$ 2,659,108
Currency Translation Adjustments
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity	(46,086)	(44,041)
Unrealized Gains (Losses) on Available-for-Sale Securities
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity	113	(1,616)
Unrealized Gains (Losses) on Cash Flow Hedges
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity	(7,964)
Unrealized Gains (Losses) on Cash Flow Hedges
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity		(8,725)
Unrealized Gains (Losses) on Defined Benefit Plans
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity	(17,918)	(18,647)
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
Stockholders' equity	$ (71,855)	$ (73,029)

Financial Statement Component_4

Financial Statement Components - Effects on net income (loss) of amounts reclassified from AOCI (Details) - USD ($) $ in Thousands		3 Months Ended
		Sep. 30, 2019	Sep. 30, 2018
Accumulated Other Comprehensive Income (Loss)
Revenues		$ 1,413,414	$ 1,093,260
Costs of revenues and operating expenses		1,003,166
Interest expense		40,350	26,362
Net income attributable to KLA		346,525	395,944
Unrealized Gains (Losses) on Defined Benefit Plans
Accumulated Other Comprehensive Income (Loss)
Other comprehensive (income) loss, reclassification adjustment from AOCI, pension and other postretirement benefit plans, net of tax		200	200
Reclassification out of accumulated other comprehensive income | Unrealized gains (losses) on cash flow hedges from foreign exchange and interest rate contracts(1)
Accumulated Other Comprehensive Income (Loss)
Revenues	[1]	373	983
Costs of revenues and operating expenses	[1]	(1,801)	(134)
Interest expense	[1]	(99)	188
Net income attributable to KLA	[1]	(1,527)	1,037
Reclassification out of accumulated other comprehensive income | Unrealized gains (losses) on available-for-sale securities
Accumulated Other Comprehensive Income (Loss)
Other expense (income), net		$ (4)	$ (481)
[1]	The three months ended September 30, 2019 reflects the new accounting guidance for hedge accounting, which was adopted in the second quarter of fiscal year 2019. For additional details, refer to Note 16, “Derivative Instruments and Hedging Activities” of the Condensed Consolidated Financial Statements.

Marketable Securities - Amorti

Marketable Securities - Amortized Cost and Fair Value (Details) $ in Thousands		Sep. 30, 2019USD ($)investment	Jun. 30, 2019USD ($)
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		$ 1,161,952	$ 1,161,649
Gross Unrealized Gains		570	189
Gross Unrealized Losses		(426)	(1,232)
Fair Value		1,162,096	1,160,606
Add: Time deposits	[1]	85,902	99,006
Marketable securities, Amortized Cost		763,030	724,449
Marketable securities, Gross Unrealized Gains		570	172
Marketable securities, Gross Unrealized Losses		(426)	(1,230)
Marketable securities, Fair value		$ 763,174	723,391
Number of investments in an unrealized loss position | investment		158
Cash and Cash Equivalents
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		$ 484,824	536,206
Gross Unrealized Gains		0	17
Gross Unrealized Losses		0	(2)
Fair Value		484,824	536,221
Corporate debt securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		419,980	433,518
Gross Unrealized Gains		430	141
Gross Unrealized Losses		(113)	(582)
Fair Value		420,297	433,077
Money market funds and other
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		399,036	352,708
Gross Unrealized Gains		0	0
Gross Unrealized Losses		0	0
Fair Value		399,036	352,708
Municipal securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		1,899	1,910
Gross Unrealized Gains		7	3
Gross Unrealized Losses		0	0
Fair Value		1,906	1,913
Sovereign securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		6,014	6,001
Gross Unrealized Gains		3	1
Gross Unrealized Losses		(3)	(8)
Fair Value		6,014	5,994
U.S. Government agency securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		104,391	159,454
Gross Unrealized Gains		10	5
Gross Unrealized Losses		(72)	(241)
Fair Value		104,329	159,218
U.S. Treasury securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost		230,632	208,058
Gross Unrealized Gains		120	39
Gross Unrealized Losses		(238)	(401)
Fair Value		$ 230,514	$ 207,696
Corporate and Government securities
Debt Securities, Available-for-sale [Line Items]
Investment portfolio, maximum maturity term		3 years
[1]	Time deposits excluded from fair value measurements.

Marketable Securities - Contin

Marketable Securities - Continuous Unrealized Loss Position (Details) $ in Thousands	Sep. 30, 2019USD ($)
Debt Securities, Available-for-sale [Line Items]
Investments in continuous loss position, 12 more or more	$ 260,400
Fair Value	431,792
Gross Unrealized Losses	(426)
Corporate debt securities
Debt Securities, Available-for-sale [Line Items]
Fair Value	182,963
Gross Unrealized Losses	(112)
Sovereign securities
Debt Securities, Available-for-sale [Line Items]
Fair Value	1,997
Gross Unrealized Losses	(3)
U.S. Government agency securities
Debt Securities, Available-for-sale [Line Items]
Fair Value	79,082
Gross Unrealized Losses	(72)
U.S. Treasury securities
Debt Securities, Available-for-sale [Line Items]
Fair Value	167,750
Gross Unrealized Losses	$ (239)

Marketable Securities - Contra

Marketable Securities - Contractual Maturities (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Amortized Cost
Due within one year	$ 442,133
Due after one year through three years	320,897
Marketable securities, Amortized Cost	763,030	$ 724,449
Fair Value
Due within one year	441,938
Due after one year through three years	321,236
Marketable securities, Fair value	$ 763,174	$ 723,391

Business Combinations - Fiscal

Business Combinations - Fiscal 2020 Acquisitions Additional Information (Details) - USD ($)		Aug. 22, 2019	Sep. 30, 2019
Business Acquisition
Acquired goodwill	[1]		$ 54,001,000
Wafer Inspection and Patterning
Business Acquisition
Acquired goodwill	[1]		54,001,000
Privately-held company
Business Acquisition
Total purchase consideration		$ 93,900,000
Additional consideration (up to)		60,000,000
Contingent consideration, non-current		$ 9,200,000
Goodwill deductible for income tax purposes			0
Privately-held company | Wafer Inspection and Patterning
Business Acquisition
Acquired goodwill			$ 54,000,000
[1]	No

Business Combinations - Fisc_2

Business Combinations - Fiscal 2020 Acquisitions (Details) - USD ($) $ in Thousands		Sep. 30, 2019	Aug. 22, 2019	Jun. 30, 2019
Business Acquisition
Goodwill	[1]	$ 2,263,689		$ 2,211,858
Privately-held company
Business Acquisition
Net tangible assets (including cash and cash equivalents of $6.6 million)			$ 7,196
Cash and cash equivalents		$ 6,600
Deferred tax liabilities			(15,265)
Intangible assets			47,931
Goodwill			54,001
Total purchase consideration			$ 93,863
[1]	No

Business Combinations - Fisc_3

Business Combinations - Fiscal 2019 Acquisitions Additional Information (Details) - Orbotech - USD ($)		Feb. 20, 2019	Sep. 30, 2019
Business Acquisition
Total purchase consideration		$ 3,255,558,000
Cash for outstanding Orbotech shares	[1]	1,901,948,000
Fair value of KLA-Tencor common stock issued for outstanding Orbotech shares	[2]	1,324,657,000
Adjustment related to valuation of net tangible assets			$ 2,100,000
Goodwill deductible for income tax purposes		$ 0
[1]	Represents the total cash paid to settle 48.9 million outstanding Orbotech shares as of February 20, 2019 at $38.86
[2]	Represents the fair value of 12.2 million shares of our common stock issued to settle 48.9 million outstanding Orbotech shares. KLA issued 0.25 shares for each Orbotech share. The fair value of KLA’s common stock was $ 108.26

Business Combinations - Orbote

Business Combinations - Orbotech Preliminary Purchase Price Allocation (Details) - USD ($)		Feb. 20, 2019	Dec. 24, 2018	Sep. 30, 2019	Jun. 30, 2019
Allocation
Goodwill	[1]			$ 2,263,689,000	$ 2,211,858,000
Common Stock
Allocation
Merger agreement, share price (in dollars per share)		$ 108.26
Orbotech
Business Acquisition
Cash for outstanding Orbotech shares	[2]	$ 1,901,948,000
Fair value of KLA-Tencor common stock issued for outstanding Orbotech shares	[3]	1,324,657,000
Cash for Orbotech equity awards	[4]	9,543,000
Fair value of KLA-Tencor common stock issued to settle Orbotech equity awards	[5]	6,129,000
Stock options and RSUs assumed	[6]	13,281,000
Total purchase consideration		3,255,558,000
Less: cash acquired		(215,640,000)
Total purchase consideration, net of cash acquired		3,039,918,000
Allocation
Accounts receivable, net		200,517,000
Inventories		330,325,000
Contract assets		63,181,000
Other current assets		73,561,000
Property, plant and equipment, net		102,197,000
Goodwill		1,809,625,000
Intangible assets		1,553,570,000
Other non-current assets		73,179,000
Accounts payable		(53,015,000)
Accrued liabilities		(178,849,000)
Other current liabilities	[7]	(69,449,000)
Deferred tax liabilities	[8]	(777,838,000)
Other non-current liabilities	[7]	(67,901,000)
Non-controlling interest		(19,185,000)
Total purchase consideration		$ 3,039,918,000
Merger agreement, share price (in dollars per share)		$ 38.86
Shares of common stock issued in acquisition (in shares)		12,200,000
Merger agreement, entity shares issues per acquiree share (in shares)		0.25
Orbotech stock options vested and unsettled (in shares)		56,614
Cash for outstanding Orbotech shares	[2]	$ 1,901,948,000
Purchase consideration, liability incurred, payment term		4 years
Contingent consideration, deferred cash payments		$ 8,800,000		8,800,000
Contingent consideration, earn-out		7,100,000		3,200,000
Contingent consideration, current		4,300,000		4,300,000
Contingent consideration, non-current		$ 11,600,000		$ 7,700,000
Orbotech
Allocation
Shares outstanding (in shares)		48,900,000
Orbotech | Frontline
Business Acquisition
Cash for outstanding Orbotech shares			$ 85,000,000
Allocation
Percentage of outstanding shares acquired			50.00%
Cash for outstanding Orbotech shares			$ 85,000,000
Purchase consideration, liability incurred			$ 10,000,000
Purchase consideration, liability incurred, payment term			4 years
Cash earn-out, minimum			$ 5,000,000
Cash earn-out, maximum			$ 20,000,000
[1]	No
[2]	Represents the total cash paid to settle 48.9 million outstanding Orbotech shares as of February 20, 2019 at $38.86
[3]	Represents the fair value of 12.2 million shares of our common stock issued to settle 48.9 million outstanding Orbotech shares. KLA issued 0.25 shares for each Orbotech share. The fair value of KLA’s common stock was $ 108.26
[4]	Represents primarily cash consideration for the settlement of the vested stock options and restricted stock units for which services were rendered by the employees of Orbotech prior to the closing, and a small portion for the settlement of fractional shares.
[5]	Represents the fair value of share of 56,614 shares of KLA common stock issued to settle the vested Orbotech stock options. The fair value of KLA’s common stock was $108.26
[6]	Represents the fair value of the assumed stock options and RSUs to the extent those related to services provided by the employee of Orbotech prior to closing. Also refer to Note 10, “Equity, Long-Term Incentive Compensation Plans and Non-Controlling Interest” of the Condensed Consolidated Financial Statements for additional information about assumed stock options and RSUs.
[7]	On December 24, 2018, Orbotech, as part of its strategy to invest in the high growth area of the software business within the Printed Circuit Boards (“PCB”) industry, acquired the remaining 50% shares of Frontline, which was prior to that accounted as an equity investee, from Mentor Graphics Development Services (Israel) Ltd. Orbotech acquired all of the joint venture interests it did not previously own for $85.0 million in cash on hand and agreed to pay an additional $10.0 million in cash over four years plus a cash earn-out of not less than $5.0 million and up to $20.0 million . The earn out amounts are based on revenues from a Frontline product currently under development. As of February 20, 2019, the estimated fair market values of the four -year cash payment and the earn-out were $8.8 million and $7.1 million , respectively, and these amounts have been included in current and non-current liabilities at $4.3 million and $11.6 million respectively. As of September 30, 2019, the estimated fair market values of the four -year cash payment and the earn-out were $8.8 million and $3.2 million , respectively, and these amounts have been included in current and non-current liabilities at $4.3 million and $7.7 million respectively.
[8]	Primarily related to tax impact on the future amortization of intangible assets acquired and inventory fair value adjustments.

Business Combinations - Orbo_2

Business Combinations - Orbotech Estimated Fair Value and Weighted Average Useful Life of Acquired Intangible Assets (Details) - Orbotech $ in Thousands	Feb. 20, 2019USD ($)
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
Identified finite-lived intangible assets	$ 1,366,070
Total identified intangible assets	1,553,570
In-process research and development
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
In-process research and development	187,500	[1]
Existing technology
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
Identified finite-lived intangible assets	$ 1,008,000	[2]
Weighted Average Useful Lives (in years)	8 years	[2]
Customer-related assets
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
Identified finite-lived intangible assets	$ 227,000	[3]
Weighted Average Useful Lives (in years)	8 years	[3]
Backlog
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
Identified finite-lived intangible assets	$ 37,500	[4]
Weighted Average Useful Lives (in years)	1 year	[4]
Trade name
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
Identified finite-lived intangible assets	$ 91,500	[5]
Weighted Average Useful Lives (in years)	7 years	[5]
Off Market Lease
Finite-Lived And Indefinite-Lived Intangible Assets Acquired As Part Of Business Combination [Line Items]
Identified finite-lived intangible assets	$ 2,070	[6]
Weighted Average Useful Lives (in years)	7 years	[6]
[1]	The fair value of in-process research and development (“IPR&D”) was determined using the relief-from-royalty method under the income approach, which estimates the cost savings generated by a company related to the ownership of an asset for which it would otherwise have had to pay royalties or license fees on revenues earned through the use of the asset.
[2]	Existing technology was identified from the products of Orbotech and its fair value was determined using the Relief-from-Royalty Method under the income approach, which estimates the cost savings generated by a company related to the ownership of an asset for which it would otherwise have had to pay royalties or license fees on revenues earned through the use of the asset. The discount rate used was determined at the time of measurement based on an analysis of the implied internal rate of return of the transaction, weighted average cost of capital and weighted average return on assets. The economic useful life was determined based on the technology cycle related to each developed technology, as well as the cash flows over the forecast period.
[3]	Customer contracts and related relationships represent the fair value of the existing relationships with the Orbotech customers and its fair value was determined using the Multi-Period Excess Earning Method which involves isolating the net earnings attributable to the asset being measured based on present value of the incremental after-tax cash flows (excess earnings) attributable solely to the intangible asset over its remaining useful life. The economic useful life was determined based on historical customer attrition rates.
[4]	Backlog primarily relates to the dollar value of purchase arrangements with customers, effective, as of a given point in time, that are based on mutually agreed terms which, in some cases, may still be subject to completion of written documentation and may be changed or canceled by the customer, often without penalty. Orbotech’s backlog consists of these arrangements with assigned shipment dates expected, in most cases, within three to twelve months. The fair value was determined using the Multi-Period Excess Earning Method. The economic useful life is based on the time to fulfill the outstanding order backlog obligation.
[5]	Trade name primarily relates to the “Orbotech” trade name. The fair value was determined by applying the Relief-from-Royalty Method under the income approach. The economic useful life was determined based on the expected life of the trade name.
[6]	The favorable / unfavorable components of the acquired leases were determined using the Income Approach which involves present valuing the difference in future cash flows between the contracted lease payments and the rent payable to a market participant over the lease terms. The economic useful life is based on the remaining lease term.

Business Combinations - Other

Business Combinations - Other Fiscal 2019 Additional Information (Details)	3 Months Ended
	Mar. 31, 2019USD ($)company	Sep. 30, 2018USD ($)company	Sep. 30, 2019USD ($)
Three privately-held companies
Business Acquisition
Number of companies acquired | company	3
Total purchase consideration	$ 118,300,000
Additional consideration (up to)	$ 13,000,000
Contingent consideration, non-current			$ 5,300,000
Two privately-held companies
Business Acquisition
Number of companies acquired | company		2
Total purchase consideration		$ 15,400,000
Additional consideration (up to)		$ 6,000,000
Contingent consideration, non-current			$ 1,700,000

Business Combinations - Othe_2

Business Combinations - Other Fiscal 2019 Acquisitions (Details) - USD ($) $ in Thousands		Sep. 30, 2019	Jun. 30, 2019
Business Acquisition
Goodwill	[1]	$ 2,263,689	$ 2,211,858
Acquisition of privately-held companies in 2019
Business Acquisition
Net tangible assets (including Cash and cash equivalents of $2.6 million)			13,214
Cash and cash equivalents			2,600
Identifiable intangible assets			75,130
Goodwill			45,380
Total purchase consideration			$ 133,724
[1]	No

Business Combinations - Schedu

Business Combinations - Schedule of Non-recurring Adjustments Attributable to Business Combination (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Business Acquisition
Adjustment to revenue	$ 1,413,414	$ 1,093,260
Adjustment to expense	$ (346,396)	(395,944)
Deferred revenue fair value adjustment | Orbotech and three privately-held companies
Business Acquisition
Adjustment to revenue		0
Inventory fair value adjustment | Orbotech and three privately-held companies
Business Acquisition
Adjustment to expense		478
Transaction costs | Orbotech and three privately-held companies
Business Acquisition
Adjustment to expense		(4,898)
Compensation costs | Orbotech and three privately-held companies
Business Acquisition
Adjustment to expense		$ 2,811

Business Combinations - Pro Fo

Business Combinations - Pro Forma Information (Details) - Orbotech and three privately-held companies $ in Thousands	3 Months Ended
	Sep. 30, 2018USD ($)
Business Acquisition
Revenues	$ 1,348,197
Net income attributable to KLA	$ 376,634

Goodwill and Purchased Intang_3

Goodwill and Purchased Intangible Assets - Schedule of Goodwill (Details)		3 Months Ended
		Sep. 30, 2019USD ($)reporting_unitsegment	Jun. 30, 2019USD ($)
Goodwill
Number of reportable segments | segment		4
Number of reporting units | reporting_unit		6
Goodwill
Balance as of June 30, 2019	[1]	$ 2,211,858,000
Acquired goodwill	[1]	54,001,000
Foreign currency and other adjustments	[1]	(2,170,000)
Balance as of September 30, 2019	[1]	2,263,689,000
Accumulated impairment loss			$ 277,600,000
Wafer Inspection and Patterning
Goodwill
Balance as of June 30, 2019	[1]	360,615,000
Acquired goodwill	[1]	54,001,000
Foreign currency and other adjustments	[1]	(35,000)
Balance as of September 30, 2019	[1]	414,581,000
Global Service and Support (“GSS”)
Goodwill
Balance as of June 30, 2019	[1]	25,908,000
Acquired goodwill	[1]	0
Foreign currency and other adjustments	[1]	0
Balance as of September 30, 2019	[1]	25,908,000
Specialty Semiconductor Process
Goodwill
Balance as of June 30, 2019	[1]	821,842,000
Acquired goodwill	[1]	0
Foreign currency and other adjustments	[1]	0
Balance as of September 30, 2019	[1]	821,842,000
PCB and Display
Goodwill
Balance as of June 30, 2019	[1]	989,918,000
Acquired goodwill	[1]	0
Foreign currency and other adjustments	[1]	(2,135,000)
Balance as of September 30, 2019	[1]	987,783,000
Component Inspection
Goodwill
Balance as of June 30, 2019	[1]	13,575,000
Acquired goodwill	[1]	0
Foreign currency and other adjustments	[1]	0
Balance as of September 30, 2019	[1]	13,575,000
Others
Goodwill
Balance as of June 30, 2019		0
Balance as of September 30, 2019		$ 0
[1]	No

Goodwill and Purchased Intang_4

Goodwill and Purchased Intangible Assets - Purchased Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Jun. 30, 2019
Purchased Intangible Assets
Gross Carrying Amount	$ 1,723,831	$ 1,680,421
Accumulated Amortization and Impairment	365,265	307,251
Total	1,358,566	1,373,170
Indefinite-lived Intangible Assets [Line Items]
Gross Carrying Amount, Total	1,914,466	1,867,921
Net Amount, Total	1,549,201	1,560,670
Existing technology
Purchased Intangible Assets
Gross Carrying Amount	1,251,277	1,224,629
Accumulated Amortization and Impairment	232,203	196,582
Total	1,019,074	1,028,047
Trade name / Trademark
Purchased Intangible Assets
Gross Carrying Amount	117,133	114,573
Accumulated Amortization and Impairment	28,537	25,052
Total	88,596	89,521
Customer relationships
Purchased Intangible Assets
Gross Carrying Amount	305,028	297,250
Accumulated Amortization and Impairment	74,511	66,471
Total	230,517	230,779
Backlog and other
Purchased Intangible Assets
Gross Carrying Amount	50,393	43,969
Accumulated Amortization and Impairment	30,014	19,146
Total	$ 20,379	24,823
Minimum | Existing technology
Purchased Intangible Assets
Range of Useful Lives (in years)	4 years
Minimum | Trade name / Trademark
Purchased Intangible Assets
Range of Useful Lives (in years)	4 years
Minimum | Customer relationships
Purchased Intangible Assets
Range of Useful Lives (in years)	4 years
Minimum | Backlog and other
Purchased Intangible Assets
Range of Useful Lives (in years)	1 year
Maximum | Existing technology
Purchased Intangible Assets
Range of Useful Lives (in years)	8 years
Maximum | Trade name / Trademark
Purchased Intangible Assets
Range of Useful Lives (in years)	7 years
Maximum | Customer relationships
Purchased Intangible Assets
Range of Useful Lives (in years)	9 years
Maximum | Backlog and other
Purchased Intangible Assets
Range of Useful Lives (in years)	9 years
In-process research and development
Indefinite-lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	$ 190,635	$ 187,500

Goodwill and Purchased Intang_5

Goodwill and Purchased Intangible Assets - Amortization Expense for Purchased Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Purchased Intangible Assets
Amortization of intangible assets	$ 57,908	$ 1,434
Costs of revenues
Purchased Intangible Assets
Amortization of intangible assets	35,621	890
Selling, general and administrative
Purchased Intangible Assets
Amortization of intangible assets	22,256	544
Research and development
Purchased Intangible Assets
Amortization of intangible assets	$ 31	$ 0

Goodwill and Purchased Intang_6

Goodwill and Purchased Intangible Assets - Future Estimated Amortization Expense (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Remaing Estimated Amortization Expense
2020 (remaining 9 months)	$ 161,422
2021	194,901
2022	192,323
2023	191,271
2024	188,714
2025 and thereafter	429,935
Total	$ 1,358,566	$ 1,373,170

Debt - Schedule of Debt (Detai

Debt - Schedule of Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Nov. 30, 2014	Oct. 31, 2014
Debt Instrument
Total debt, gross	$ 3,450,000	$ 3,450,000
Unamortized discount	(8,528)	(8,738)
Unamortized debt issuance costs	(17,342)	(17,880)
Total, net of discount	3,424,130	3,423,382
Current portion of long-term debt	250,000	249,999
Long-term debt	$ 3,174,130	3,173,383
Senior notes
Debt Instrument
Unamortized discount			$ (6,700)	$ (4,000)
Fixed-rate 3.375% Senior Notes due on November 1, 2019 | Senior notes
Debt Instrument
Stated interest rate	3.375%
Total debt, gross	$ 250,000	$ 250,000
Effective interest rate	3.377%	3.377%
Fixed-rate 4.125% Senior Notes due on November 1, 2021 | Senior notes
Debt Instrument
Stated interest rate	4.125%
Total debt, gross	$ 500,000	$ 500,000
Effective interest rate	4.128%	4.128%
Fixed-rate 4.650% Senior Notes due on November 1, 2024 | Senior notes
Debt Instrument
Stated interest rate	4.65%				4.65%
Total debt, gross	$ 1,250,000	$ 1,250,000
Effective interest rate	4.682%	4.682%
Fixed-rate 5.650% Senior Notes due on November 1, 2034 | Senior notes
Debt Instrument
Stated interest rate	5.65%
Total debt, gross	$ 250,000	$ 250,000
Effective interest rate	5.67%	5.67%
Fixed-rate 4.100% Senior Notes due on March 15, 2029 | Senior notes
Debt Instrument
Stated interest rate	4.10%
Total debt, gross	$ 800,000	$ 800,000
Effective interest rate	4.159%	4.159%
Fixed-rate 5.000% Senior Notes due on March 15, 2049 | Senior notes
Debt Instrument
Stated interest rate	5.00%
Total debt, gross	$ 400,000	$ 400,000
Effective interest rate	5.047%	5.047%

Debt - Schedule of Future Prin

Debt - Schedule of Future Principal Payments (Details) $ in Millions	Sep. 30, 2019USD ($)
Debt Disclosure [Abstract]
2020	$ 250
2022	500
After fiscal year 2023	$ 2,700

Debt - Senior Notes (Details)

Debt - Senior Notes (Details) - USD ($)	3 Months Ended
	Sep. 30, 2019	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2018	Nov. 30, 2014	Oct. 31, 2014
Debt Instrument
Unamortized discount	$ 8,528,000	$ 8,738,000
Treasury lock | Derivatives designated as hedging instruments | Cash flow hedge contracts - foreign currency | 2018 Rate lock agreements | Senior notes
Debt Instrument
Derivative, notional amount				$ 500,000,000
Treasury lock | Derivatives designated as hedging instruments | Cash flow hedge contracts - foreign currency | Portion of senior notes | Senior notes
Debt Instrument
Derivative, notional amount						$ 1,000,000,000
Senior notes
Debt Instrument
Face amount			$ 1,200,000,000		$ 2,500,000,000
Unamortized discount			$ 6,700,000		$ 4,000,000
Redemption price	101.00%
Fair value disclosure	$ 3,820,000,000	$ 3,700,000,000

Debt - Revolving Credit Facili

Debt - Revolving Credit Facility (Details) - Line of credit - Revolving credit facility	1 Months Ended	3 Months Ended
	Nov. 30, 2017USD ($)	Sep. 30, 2019USD ($)quarter	Nov. 30, 2018USD ($)
Debt Instrument
Maximum borrowing capacity	$ 750,000,000		$ 1,000,000,000
Debt instrument, term	5 years
Increase limit to borrowing capacity	$ 250,000,000
Borrowing capacity increase			$ 250,000,000
Commitment fee percentage (in bps)		0.125%
Covenant compliance, number of consecutive quarters | quarter		4
Covenant compliance, minimum interest expense coverage ratio		3.50
Maximum leverage ratio		3
Maximum leverage ratio under a material acquisition or series of material acquisitions		4
Borrowings under the revolving credit facility		$ 0
Minimum
Debt Instrument
Commitment fee percentage (in bps)		0.10%
Maximum
Debt Instrument
Commitment fee percentage (in bps)		0.25%
Alternative base rate | Minimum
Debt Instrument
Basis spread on variable rate (in bps)		0.00%
Alternative base rate | Maximum
Debt Instrument
Basis spread on variable rate (in bps)		0.75%
LIBOR | Minimum
Debt Instrument
Basis spread on variable rate (in bps)		1.00%
LIBOR | Maximum
Debt Instrument
Basis spread on variable rate (in bps)		1.75%

Leases - Additional Informatio

Leases - Additional Information (Details) $ in Millions	3 Months Ended
	Sep. 30, 2019USD ($)
Operating Leased Assets [Line Items]
Total lease expense	$ 8.7
Costs related to short-term leases	$ 0.2
Operating leases, weighted average remaining lease term	5 years 2 months 12 days
Operating leases, weighted average discount rate	1.70%
Minimum
Operating Leased Assets [Line Items]
Remaining lease terms	1 year
Maximum
Operating Leased Assets [Line Items]
Remaining lease terms	11 years

Leases - Supplemental Cash Flo

Leases - Supplemental Cash Flow Information Related to Leases (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2019USD ($)
Leases [Abstract]
Operating cash outflows from operating leases	$ 8,374
ROU assets obtained in exchange for new operating lease liabilities	$ 2,805

Leases - Maturities of Lease L

Leases - Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Operating Leases, After Adoption of 842
2020 (remaining 9 months)	$ 23,347
2021	24,802
2022	18,374
2023	12,827
2024	8,760
2025 and thereafter	20,856
Total lease payments	108,966
Less imputed interest	(4,559)
Total	$ 104,407
Operating Leases, Before Adoption of 842
2020		$ 30,296
2021		22,250
2022		16,217
2023		11,878
2024		7,912
2025 and thereafter		15,018
Total minimum lease payments		$ 103,571

Equity, Long-Term Incentive C_3

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Equity Incentive Program (Details) - USD ($) $ / shares in Units, $ in Millions		3 Months Ended
		Sep. 30, 2019	Jun. 30, 2019
Share-based Compensation Arrangement by Share-based Payment Award
Maximum number of shares available for grant (in shares)	[1],[2]	10,847,000	11,613,000
2004 Plan
Share-based Compensation Arrangement by Share-based Payment Award
Shares available for issuance (in shares)		10,800,000
Assumed Equity Plans
Share-based Compensation Arrangement by Share-based Payment Award
Stock options, outstanding, weighted-average remaining contractual term, stock options		4 years 9 months
Stock options, outstanding, aggregate intrinsic value		$ 0.6
Stock options, outstanding, weighted average exercise price (in dollars per share)		$ 63.08
Stock options, exercised (in shares)		3,907
Stock options, exercised, weighted-average price (in dollars per share)		$ 29.26
Assumed Equity Plans | Stock Options
Share-based Compensation Arrangement by Share-based Payment Award
Maximum number of shares available for grant (in shares)		10,651
Assumed Equity Plans | Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award
Maximum number of shares available for grant (in shares)		432,372
[1]	No additional stock options, RSUs or other awards will be granted under the Assumed Equity Plans.
[2]	The number of RSUs reflects the application of the award multiplier of 2.0 x to calculate the impact of the award on the shares reserved under the 2004 Plan.

Equity, Long-Term Incentive C_4

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Equity Incentive Plans General Information (Details) shares in Thousands		3 Months Ended
		Sep. 30, 2019shares	Sep. 30, 2019shares
Total Shares Available for Grant under the Company's equity incentive plans:
Balance as of June 30, 2018 (in shares)	[1],[2]	11,613
Balance as of September 30, 2019 (in shares)	[1],[2]	10,847
Maximum number of shares available for grant (in shares)	[1],[2]	11,613	10,847
Awards Granted after November 6, 2013
Total Shares Available for Grant under the Company's equity incentive plans:
Impact on share reserve multiplier			2
Restricted stock units
Total Shares Available for Grant under the Company's equity incentive plans:
Restricted stock units granted (in shares)	[1],[2],[3]	(782)
Restricted stock units canceled (in shares)	[1],[2]	16
Restricted stock unit, Performance-based and Service-based | Senior Management
Total Shares Available for Grant under the Company's equity incentive plans:
Balance as of September 30, 2019 (in shares)		400
Maximum number of shares available for grant (in shares)		400	400
[1]	No additional stock options, RSUs or other awards will be granted under the Assumed Equity Plans.
[2]	The number of RSUs reflects the application of the award multiplier of 2.0 x to calculate the impact of the award on the shares reserved under the 2004 Plan.
[3]	Includes RSUs granted to senior management during the three months ended September 30, 2019 with performance-based vesting criteria (in addition to service-based vesting criteria for any of such RSUs that are deemed to have been earned) (“performance-based RSUs”). This line item includes all such performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.4 million shares for the three months ended September 30, 2019 reflects the application of the multiplier described above).

Equity, Long-Term Incentive C_5

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Share-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Jun. 30, 2019
Stock-based compensation expense
Stock-based compensation expense	$ 26,944	$ 16,138
Stock-based compensation capitalized as inventory	4,909		$ 4,819
Costs of revenues
Stock-based compensation expense
Stock-based compensation expense	2,864	1,831
Research and development
Stock-based compensation expense
Stock-based compensation expense	5,287	2,519
Selling, general and administrative
Stock-based compensation expense
Stock-based compensation expense	$ 18,793	$ 11,788

Equity, Long-Term Incentive C_6

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Restricted Stock Unit Activities (Details) $ / shares in Units, shares in Thousands, $ in Millions		3 Months Ended
		Sep. 30, 2019USD ($)Installment$ / sharesshares	Sep. 30, 2018$ / shares	Jun. 30, 2019shares
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Maximum number of shares available for grant (in shares)	[1],[2]	10,847		11,613
Restricted stock units
Restricted Stock Units Activity Rollforward
Granted (in shares)	[1],[2],[3]	782
Forfeited (in shares)	[1],[2]	(16)
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Restricted stock units granted, weighted-average grant date fair value (in dollars per share) | $ / shares		$ 136.76	$ 118.47
Unrecognized stock-based compensation balance | $		$ 206.2
Estimated weighted-average amortization period		1 year 9 months 18 days
Intrinsic value, RSUs | $		$ 451.2
Restricted stock unit, Performance-based and Service-based
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, number of equal vesting installments | Installment		2
Restricted stock unit, Performance-based and Service-based | Third anniversary
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, percentage of equal vesting installments (as a percent)		50.00%
Restricted stock unit, Performance-based and Service-based | Fourth anniversary
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, percentage of equal vesting installments (as a percent)		50.00%
Restricted stock unit, Service-based | Minimum
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Share-based vesting period		2 years
Restricted stock unit, Service-based | Maximum
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Share-based vesting period		4 years
Restricted Stock Unit, Market-based and Service-based
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, number of equal vesting installments | Installment		3
Restricted Stock Unit, Market-based and Service-based | Third anniversary
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, percentage of equal vesting installments (as a percent)		33.33%
Restricted Stock Unit, Market-based and Service-based | Fourth anniversary
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, percentage of equal vesting installments (as a percent)		33.33%
Restricted Stock Unit, Market-based and Service-based | Fifth anniversary
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Service and performance-based, percentage of equal vesting installments (as a percent)		33.33%
2004 Plan | Restricted stock units
Restricted Stock Units Activity Rollforward
Outstanding restricted stock units as of June 30, 2018 (in shares)	[4],[5]	2,902
Granted (in shares)	[5],[6]	391
Vested and released (in shares)	[5]	(276)
Withheld for taxes (in shares)	[5]	(171)
Forfeited (in shares)	[5]	(16)
Outstanding restricted stock units as of September 30, 2019 (in shares)	[4],[5]	2,830
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Outstanding restricted stock units as of June 30, 2018, weighted-average grant date fair value (in dollars per share) | $ / shares	[4]	$ 91.84
Restricted stock units granted, weighted-average grant date fair value (in dollars per share) | $ / shares	[6]	136.76
Restricted stock units vested and released, weighted-average grant date fair value (in dollars per share) | $ / shares		67.32
Restricted stock units withheld for taxes, weighted-average grant date fair value (in dollars per share) | $ / shares		67.32
Restricted stock units forfeited, weighted-average grant date fair value (in dollars per share) | $ / shares		104.14
Outstanding restricted stock units as of September 30, 2019, weighted-average grant date fair value (in dollars per share) | $ / shares	[4]	$ 101.85
2004 Plan | Restricted stock unit, Performance-based and Service-based
Restricted Stock Units Activity, Weighted Average Grant Date Fair Value Rollforward
Maximum number of shares available for grant (in shares)		200
[1]	No additional stock options, RSUs or other awards will be granted under the Assumed Equity Plans.
[2]	The number of RSUs reflects the application of the award multiplier of 2.0 x to calculate the impact of the award on the shares reserved under the 2004 Plan.
[3]	Includes RSUs granted to senior management during the three months ended September 30, 2019 with performance-based vesting criteria (in addition to service-based vesting criteria for any of such RSUs that are deemed to have been earned) (“performance-based RSUs”). This line item includes all such performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.4 million shares for the three months ended September 30, 2019 reflects the application of the multiplier described above).
[4]	Includes performance-based and market-based RSUs.
[5]	Share numbers reflect actual shares subject to awarded RSUs.
[6]	This line item includes performance-based RSUs granted during the three months ended September 30, 2019 reported at the maximum possible number of shares that may ultimately be issuable if all applicable performance-based criteria are achieved at their maximum levels and all applicable service-based criteria are fully satisfied ( 0.2 million shares for the three months ended September 30, 2019 .)

Equity, Long-Term Incentive C_7

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Weighted-Average Grant Date Fair Value (Details) - Restricted stock units - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award
Weighted-average grant date fair value per unit (in dollars per share)	$ 136.76	$ 118.47
Grant date fair value of vested restricted stock units	$ 30,092	$ 36,072
Tax benefits realized by us in connection with vested and released restricted stock units	$ 3,993	$ 6,918

Equity, Long-Term Incentive C_8

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Cash-Based Long-Term Incentive Compensation (Details) - Cash long-term incentive plan $ in Millions	3 Months Ended
	Sep. 30, 2019USD ($)Installment	Sep. 30, 2018USD ($)
Cash Long-Term Incentive Plan
Cash-based long-term incentive plan, granted amount	$ 1.8	$ 2.8
Cash long-term incentive plan, compensation expense	16.6	$ 15.2
Cash long-term incentive plan, unrecognized compensation balance	$ 134.2
Minimum
Cash Long-Term Incentive Plan
Cash long-term incentive plan, equal vesting installments | Installment	3
Cash long-term incentive plan, percentage of equal vesting installments	33.33%
Cash long-term incentive plan, vesting period	3 years
Maximum
Cash Long-Term Incentive Plan
Cash long-term incentive plan, equal vesting installments | Installment	4
Cash long-term incentive plan, percentage of equal vesting installments	25.00%
Cash long-term incentive plan, vesting period	4 years

Equity, Long-Term Incentive C_9

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Employee Stock Purchase Plan (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award
ESPP maximum employee subscription rate	15.00%
ESPP, offering period	6 months
ESPP, discount from market price, lesser of commencement of offering period or purchase date	85.00%
Employee Stock Purchase Plan Additional Information
Total cash received from employees for the issuance of shares under the ESPP	$ 0	$ 0
Number of shares purchased by employees through the ESPP (in shares)	0	0
Tax benefits realized by us in connection with the disqualifying dispositions of shares purchased under the ESPP	$ 1,734	$ 511
Weighted-average fair value per share based on Black-Scholes model (in dollars per share)	$ 27.35	$ 22.73
ESPP maximum annual share replenishment (in shares)	2,000
Number of ESPP shares available for future issuance (in shares)	2,600
Employee Stock Purchase Plan
ESPP, Fair Value Assumptions and Methodology
Expected stock price volatility	31.60%	30.00%
Risk-free interest rate	2.40%	1.90%
Dividend yield	2.50%	2.90%
Expected life (in years)	6 months	6 months

Equity, Long-Term Incentive _10

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Cash Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands	Sep. 03, 2019	Aug. 01, 2019	Sep. 30, 2019	Sep. 30, 2018	Jun. 30, 2019
Dividends Payable
Cash dividends declared (in dollars per share)			$ 0.75	$ 0.75
Payment of dividends			$ 121,636	$ 122,757
Regular cash dividend
Dividends Payable
Cash dividends declared (in dollars per share)		$ 0.75
Cash dividends paid per share (in dollars per share)	$ 0.75
Regular cash dividend | Restricted stock unit, Performance-based and Service-based
Dividends Payable
Dividends payable			6,400		$ 7,300
Regular cash dividend | Additional paid-in capital
Dividends Payable
Payment of dividends			$ 121,600	$ 119,900

Equity, Long-Term Incentive _11

Equity, Long-Term Incentive Compensation Plans and Non-controlling Interest - Non-controlling Interest (Details)	Sep. 30, 2019
OLTS
Noncontrolling Interest [Line Items]
Non-controlling interest, ownership	84.00%
Orbograph
Noncontrolling Interest [Line Items]
Non-controlling interest, ownership	94.00%
PixCell
Noncontrolling Interest [Line Items]
Non-controlling interest, ownership	52.00%

Stock Repurchase Program (Detai

Stock Repurchase Program (Details) - USD ($) shares in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 17, 2019
Equity, Class of Treasury Stock
Total cost of repurchases	$ 228,496,000	$ 307,787,000
Other current liabilities
Equity, Class of Treasury Stock
Total cost of repurchases	$ 8,000,000
Common Stock and Capital in Excess of Par Value, Shares
Equity, Class of Treasury Stock
Number of shares of common stock repurchased (in shares)	1,659	2,781
Common Stock and Capital in Excess of Par Value, Shares | Other current liabilities
Equity, Class of Treasury Stock
Number of shares of common stock repurchased (in shares)	50
New repurchase program
Equity, Class of Treasury Stock
Increase to shares authorized to be repurchased, amount			$ 1,000,000,000
Remaining shares authorized to be repurchased, amount	$ 1,630,000,000

Net Income Per Share (Details)

Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Numerator:
Net income attributable to KLA	$ 346,525	$ 395,944
Denominator:
Weighted-average shares-basic, excluding unvested restricted stock units (in shares)	158,697	155,221
Effect of dilutive restricted stock units and options (in shares)	1,434	862
Weighted-average shares-diluted (in shares)	160,131	156,083
Basic net income (loss) per share attributable to KLA (in dollars per share)	$ 2.18	$ 2.55
Diluted net income (loss) per share attributable to KLA (in dollars per share)	$ 2.16	$ 2.54
Anti-dilutive securities excluded from the computation of diluted net income (loss) per share (in shares)	0	207

Income Taxes - Details of Inco

Income Taxes - Details of Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Income Tax Disclosure [Abstract]
Income before income taxes	$ 371,516	$ 427,568
Provision for income taxes	$ 25,120	$ 31,624
Effective tax rate	6.80%	7.40%

Income Taxes - Additional Info

Income Taxes - Additional Information (Details) - Foreign Tax Authority - ITA ₪ in Millions, $ in Millions	29 Months Ended
	Sep. 30, 2019USD ($)	Sep. 30, 2019ILS (₪)	Aug. 28, 2019USD ($)	Aug. 28, 2019ILS (₪)
Income Tax Examination
Tax assessment	$ 66	₪ 229
Tax Decrees, aggregate amount			$ 74	₪ 257

Commitments and Contingencies_2

Commitments and Contingencies (Details) $ in Thousands	3 Months Ended
	Sep. 30, 2019USD ($)Installment	Sep. 30, 2018USD ($)
Receivables Sold Under Factoring Agreements and Proceeds from Sales of LCs
Receivables sold under factoring agreements	$ 56,420	$ 61,540
Proceeds from sales of LCs	9,929	$ 10,892
Commitments and Contingencies
Purchase commitments	$ 643,500
Majority outstanding purchase commitment, period due (in months)	12 months
Cash-based long-term incentive plan, committed amount	$ 176,000
Guarantee arrangements to fund customs guarantees for VAT and other operating requirements	49,200
Outstanding guarantee arrangements to fund customs guarantees for VAT and other operating requirements	$ 43,000
Minimum | Cash long-term incentive plan
Commitments and Contingencies
Cash long-term incentive plan, equal vesting installments | Installment	3
Cash long-term incentive plan, percentage of equal vesting installments	33.33%
Cash long-term incentive plan, vesting period	3 years
Maximum | Cash long-term incentive plan
Commitments and Contingencies
Cash long-term incentive plan, equal vesting installments | Installment	4
Cash long-term incentive plan, percentage of equal vesting installments	25.00%
Cash long-term incentive plan, vesting period	4 years

Derivative Instruments and He_3

Derivative Instruments and Hedging Activities - Additional Information (Details) - USD ($)	3 Months Ended
	Sep. 30, 2019	Mar. 31, 2019	Sep. 30, 2018	Jun. 30, 2018	Dec. 31, 2014	Nov. 30, 2014	Oct. 31, 2014
Derivative
Reclassification adjustments for net gains or (losses) included in net income	$ (1,527,000)
Reclassification adjustments for net gains or losses included in net income			$ 200,000
Unamortized portion of the fair value of derivative contracts	3,800,000
Change in net unrealized gains or losses	$ (742,000)
Senior notes
Derivative
Face amount		$ 1,200,000,000				$ 2,500,000,000
Senior notes due November 1, 2024 | Senior notes
Derivative
Face amount							$ 1,250,000,000
Stated interest rate	4.65%						4.65%
Treasury lock | Interest expense
Derivative
Reclassification adjustments for net gains or (losses) included in net income	$ 200,000
2018 Rate Lock Agreements
Derivative
Reclassification adjustments for net gains or (losses) included in net income	(300,000)
Unamortized portion of the fair value of derivative contracts	$ 13,000,000
Senior notes | 2018 Rate Lock Agreements
Derivative
Change in net unrealized gains or losses		$ (13,600,000)
Derivatives designated as hedging instruments | Senior notes | Cash flow hedge contracts - foreign currency | Treasury lock | Portion of senior notes
Derivative
Derivative, notional amount							$ 1,000,000,000
Unrealized gains (losses) on cash flow hedges					$ 7,500,000
Derivatives designated as hedging instruments | Senior notes | Cash flow hedge contracts - foreign currency | Treasury lock | 2018 Rate lock agreements
Derivative
Derivative, notional amount				$ 500,000,000

Derivative Instruments and He_4

Derivative Instruments and Hedging Activities - Gains (Losses) on Derivatives in Cash Flow Hedging Relationships Recognized in OCI (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Derivative
Amounts included in the assessment of effectiveness	$ (742)
Amounts included in the assessment of effectiveness		$ 13,794
Foreign exchange contracts
Derivative
Amounts included in the assessment of effectiveness	(740)
Amounts included in the assessment of effectiveness		13,794
Amounts excluded from the assessment of effectiveness	$ (2)
Amounts excluded from the assessment of effectiveness		$ 0

Derivative Instruments and He_5

Derivative Instruments and Hedging Activities - Locations and Amounts of Designated and Non-Designated Derivative's Gains and Losses (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Derivative Instruments
Revenues	$ 1,413,414	$ 1,093,260
Costs of revenues and operating expenses	1,003,166
Costs of revenues	604,241	381,387
Interest expense	40,350	26,362
Other expense (income), net	(1,618)	(10,025)
Amount of gains (losses) reclassified from accumulated OCI to earnings	(1,527)
Amount of gains (losses) reclassified from accumulated OCI to earnings		1,037
Rate lock contracts | Revenues
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	0
Rate lock contracts | Cost of Revenues and Operating Expenses
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	0
Rate lock contracts | Interest Expense
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	(99)
Rate lock contracts | Other Expense (Income), Net
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	0
Foreign exchange contracts | Revenues
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	475
Amount of gains (losses) reclassified from accumulated OCI to earnings		983
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach	(102)
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach		0
Amount excluded from the assessment of effectiveness	0	0
Amount of gains (losses) recognized in earnings	0
Foreign exchange contracts | Cost of Revenues and Operating Expenses
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	(1,801)
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach	0
Amount excluded from the assessment of effectiveness	0
Foreign exchange contracts | Cost of Revenues
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings		(134)
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach		0
Amount excluded from the assessment of effectiveness		0
Amount of gains (losses) recognized in earnings	0
Foreign exchange contracts | Interest Expense
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	0
Amount of gains (losses) reclassified from accumulated OCI to earnings		188
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach	0
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach		0
Amount excluded from the assessment of effectiveness	0	0
Amount of gains (losses) recognized in earnings	0
Foreign exchange contracts | Other Expense (Income), Net
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings	0
Amount of gains (losses) reclassified from accumulated OCI to earnings		0
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach	0
Amount excluded from the assessment of effectiveness recognized in earnings based on an amortization approach		0
Amount excluded from the assessment of effectiveness	0	229
Amount of gains (losses) recognized in earnings	$ 2,325
Derivatives designated as hedging instruments | Rate lock contracts | Revenues
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings		0
Derivatives designated as hedging instruments | Rate lock contracts | Cost of Revenues
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings		0
Derivatives designated as hedging instruments | Rate lock contracts | Interest Expense
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings		0
Derivatives designated as hedging instruments | Rate lock contracts | Other Expense (Income), Net
Derivative Instruments
Amount of gains (losses) reclassified from accumulated OCI to earnings		0
Derivatives not designated as hedging instruments | Foreign exchange contracts | Revenues
Derivative Instruments
Amount of gains (losses) recognized in earnings		0
Derivatives not designated as hedging instruments | Foreign exchange contracts | Cost of Revenues
Derivative Instruments
Amount of gains (losses) recognized in earnings		0
Derivatives not designated as hedging instruments | Foreign exchange contracts | Interest Expense
Derivative Instruments
Amount of gains (losses) recognized in earnings		0
Derivatives not designated as hedging instruments | Foreign exchange contracts | Other Expense (Income), Net
Derivative Instruments
Amount of gains (losses) recognized in earnings		$ 3,763

Derivative Instruments and He_6

Derivative Instruments and Hedging Activities - Schedule of Notional Amount (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Sep. 30, 2019	Jun. 30, 2019
Derivative
Remaining maturity	10 months	10 months
Derivatives designated as hedging instruments | Purchase | Other foreign currency hedge contracts
Derivative
Derivative, notional amount	$ 228,271	$ 257,614
Derivatives designated as hedging instruments | Purchase | Cash flow hedge contracts - foreign currency
Derivative
Derivative, notional amount	26,488	31,108
Derivatives designated as hedging instruments | Sell | Other foreign currency hedge contracts
Derivative
Derivative, notional amount	280,226	273,061
Derivatives designated as hedging instruments | Sell | Cash flow hedge contracts - foreign currency
Derivative
Derivative, notional amount	$ 117,761	$ 113,226

Derivative Instruments and He_7

Derivative Instruments and Hedging Activities - Schedule of Derivative Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Asset derivatives fair value	$ 3,608	$ 2,557
Liability derivatives fair value	2,669	3,334
Other current assets
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Asset derivatives fair value	3,608	2,557
Other current liabilities
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Liability derivatives fair value	2,669	3,334
Derivatives designated as hedging instruments | Other current assets
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Asset derivatives fair value	608	397
Derivatives designated as hedging instruments | Other current liabilities
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Liability derivatives fair value	824	2,097
Derivatives not designated as hedging instruments | Other current assets
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Asset derivatives fair value	3,000	2,160
Derivatives not designated as hedging instruments | Other current liabilities
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Liability derivatives fair value	1,845	1,237
Foreign exchange contracts | Derivatives designated as hedging instruments | Other current assets
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Foreign exchange contracts, other current assets	608	397
Foreign exchange contracts | Derivatives designated as hedging instruments | Other current liabilities
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Foreign exchange contracts, other current liabilities	824	2,097
Foreign exchange contracts | Derivatives not designated as hedging instruments | Other current assets
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Foreign exchange contracts, other current assets	3,000	2,160
Foreign exchange contracts | Derivatives not designated as hedging instruments | Other current liabilities
Derivative Assets and Liabilities, at Fair Value, Net, by Balance Sheet Classification
Foreign exchange contracts, other current liabilities	$ 1,845	$ 1,237

Derivative Instruments and He_8

Derivative Instruments and Hedging Activities - Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Accumulated Other Comprehensive Income [Roll Forward]
Beginning balance	$ (10,791)
Beginning balance		$ 2,346
Amount reclassified to earnings	1,527
Amount reclassified to earnings		(1,037)
Net change in unrealized gains or losses	(742)
Net change in unrealized gains or losses		13,794
Ending balance	$ (10,006)
Ending balance		$ 15,103

Derivative Instruments and He_9

Derivative Instruments and Hedging Activities - Offsetting of Derivative Assets and Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Derivatives - Assets
Derivative - Assets, Gross Amounts of Derivatives	$ 3,608	$ 2,557
Derivatives - Assets, Gross Amounts of Derivatives Offset in the Condensed Consolidated Balance Sheets	0	0
Derivatives - Assets, Net Amount of Derivatives Presented in the Condensed Consolidated Balance Sheets	3,608	2,557
Derivatives - Assets, Financial Instruments	(2,027)	(1,397)
Derivatives - Assets, Cash Collateral Received	0	0
Derivatives - Assets, Net Amount	1,581	1,160
Derivatives - Liabilities
Derivatives - Liabilities, Gross Amounts of Derivatives	(2,669)	(3,334)
Derivatives - Liabilities, Gross Amounts of Derivatives Offset in the Condensed Consolidated Balance Sheets	0	0
Derivatives - Liabilities, Net Amount of Derivatives Presented in the Condensed Consolidated Balance Sheets	(2,669)	(3,334)
Derivatives - Liabilities, Financial Instruments	2,027	1,397
Derivatives - Liabilities, Cash Collateral Received	0	0
Derivatives - Liabilities, Net Amount	$ (642)	$ (1,937)

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Related Party Transactions [Abstract]
Total revenues	$ 1,041	$ 2
Total purchases	465	$ 603
Receivable balance, related parties	$ 1,800

Segment Reporting and Geograp_3

Segment Reporting and Geographic Information - Additional Information (Details)	3 Months Ended
	Sep. 30, 2019customersegment	Sep. 30, 2018customer	Jun. 30, 2019customer
Segment Reporting and Geographic Information
Number of reportable segments	4
Number of customers with significant revenue | customer	2	2
Segment percent of total revenues	100.00%	100.00%
Number of customers with significant accounts receivable | customer	1		1
Customer One
Segment Reporting and Geographic Information
Segment percent of total revenues	17.00%	15.00%
Customer Two
Segment Reporting and Geographic Information
Segment percent of total revenues	12.00%	10.00%
Semiconductor Process Control
Segment Reporting and Geographic Information
Number of operating segments	2
Specialty Semiconductor Process
Segment Reporting and Geographic Information
Number of operating segments	1
PCB, Display and Component Inspection
Segment Reporting and Geographic Information
Number of operating segments	2
Other
Segment Reporting and Geographic Information
Number of operating segments	1

Segment Reporting and Geograp_4

Segment Reporting and Geographic Information - Summary of Results for Reportable Segments (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Segment Reporting and Geographic Information
Revenues	$ 1,413,414	$ 1,093,260
Operating segments
Segment Reporting and Geographic Information
Revenues	1,413,554	1,093,574
Segment gross margin	857,227	712,764
Operating segments | Semiconductor Process Control
Segment Reporting and Geographic Information
Revenues	1,163,632	1,069,959
Segment gross margin	742,342	702,231
Operating segments | Specialty Semiconductor Process
Segment Reporting and Geographic Information
Revenues	69,139	0
Segment gross margin	38,164	0
Operating segments | PCB, Display and Component Inspection
Segment Reporting and Geographic Information
Revenues	178,552	23,615
Segment gross margin	76,068	10,533
Operating segments | Other
Segment Reporting and Geographic Information
Revenues	2,231	0
Segment gross margin	$ 653	$ 0

Segment Reporting and Geograp_5

Segment Reporting and Geographic Information - Reconciliation of Total Reportable Segments Revenue to Total Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	$ 1,413,414	$ 1,093,260
Operating segments
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	1,413,554	1,093,574
Corporate allocations and effects of foreign exchange rates
Segment Reporting, Revenue Reconciling Item [Line Items]
Revenues	$ (140)	$ (314)

Segment Reporting and Geograp_6

Segment Reporting and Geographic Information - Reconciliation of Total Segment Gross Margin to Total Income Before Income Taxes (Details) - USD ($) $ in Thousands		3 Months Ended
		Sep. 30, 2019	Sep. 30, 2018
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Research and development		$ 210,580	$ 153,530
Selling, general and administrative		188,345	114,438
Interest expense		40,350	26,362
Other expense (income), net		(1,618)	(10,025)
Income before income taxes		371,516	427,568
Operating segments
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Total segment gross margin		857,227	712,764
Corporate and segment reconciling items
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Acquisition-related charges, corporate allocations, and effects of foreign exchange rates	[1]	$ 48,054	$ 891
[1]	Acquisition-related charges primarily include amortization of intangible assets, amortization of inventory fair value adjustments, and other acquisition-related costs classified or presented as part of costs of revenues.

Segment Reporting and Geograp_7

Segment Reporting and Geographic Information - Schedule of Revenue from External Customers (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Segment Reporting and Geographic Information
Revenues	$ 1,413,414	$ 1,093,260
Segment percent of total revenues	100.00%	100.00%
Taiwan
Segment Reporting and Geographic Information
Revenues	$ 386,729	$ 254,437
Segment percent of total revenues	27.00%	23.00%
China
Segment Reporting and Geographic Information
Revenues	$ 345,856	$ 340,134
Segment percent of total revenues	24.00%	31.00%
Japan
Segment Reporting and Geographic Information
Revenues	$ 206,211	$ 135,578
Segment percent of total revenues	15.00%	12.00%
Korea
Segment Reporting and Geographic Information
Revenues	$ 197,450	$ 153,501
Segment percent of total revenues	14.00%	14.00%
North America
Segment Reporting and Geographic Information
Revenues	$ 181,983	$ 102,129
Segment percent of total revenues	13.00%	9.00%
Europe and Israel
Segment Reporting and Geographic Information
Revenues	$ 59,383	$ 71,669
Segment percent of total revenues	4.00%	7.00%
Rest of Asia
Segment Reporting and Geographic Information
Revenues	$ 35,802	$ 35,812
Segment percent of total revenues	3.00%	4.00%

Segment Reporting and Geograp_8

Segment Reporting and Geographic Information - Revenue from External Customers by Products and Services (Details) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Revenue from External Customer
Revenues	$ 1,413,414	$ 1,093,260
Segment percent of total revenues	100.00%	100.00%
Wafer Inspection
Revenue from External Customer
Revenues	$ 448,274	$ 447,292
Segment percent of total revenues	32.00%	41.00%
Patterning
Revenue from External Customer
Revenues	$ 382,658	$ 304,001
Segment percent of total revenues	27.00%	28.00%
Specialty Semiconductor Process
Revenue from External Customer
Revenues	$ 56,870	$ 0
Segment percent of total revenues	4.00%	0.00%
PCB, Display and Component Inspection
Revenue from External Customer
Revenues	$ 120,360	$ 20,835
Segment percent of total revenues	9.00%	2.00%
Service
Revenue from External Customer
Revenues	$ 355,439	$ 264,033
Segment percent of total revenues	25.00%	24.00%
Other
Revenue from External Customer
Revenues	$ 49,813	$ 57,099
Segment percent of total revenues	3.00%	5.00%

Segment Reporting and Geograp_9

Segment Reporting and Geographic Information - Land, Property and Equipment, Net by Geographic Region (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Jun. 30, 2019
Revenues from External Customers and Long-Lived Assets
Land, property and equipment, net	$ 475,210	$ 448,799
United States
Revenues from External Customers and Long-Lived Assets
Land, property and equipment, net	279,293	253,255
Singapore
Revenues from External Customers and Long-Lived Assets
Land, property and equipment, net	52,778	49,523
Israel
Revenues from External Customers and Long-Lived Assets
Land, property and equipment, net	63,250	66,082
Europe
Revenues from External Customers and Long-Lived Assets
Land, property and equipment, net	61,302	62,027
Rest of Asia
Revenues from External Customers and Long-Lived Assets
Land, property and equipment, net	$ 18,587	$ 17,912

Uncategorized Items - klac10q09

Label	Element	Value
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ 1,599,371,000
Common Stock [Member]
Shares, Outstanding	us-gaap_SharesOutstanding	156,048,000
Noncontrolling Interest [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	$ 0
Common Stock Including Additional Paid in Capital [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	617,999,000
Retained Earnings [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	1,046,150,000
AOCI Attributable to Parent [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	(64,778,000)
Parent [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Adjusted Balance	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterestAdjustedBalance1	1,599,371,000
Accounting Standards Update 2014-09 [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	(21,140,000)
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	(21,215,000)
Accounting Standards Update 2014-09 [Member] | AOCI Attributable to Parent [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	75,000
Accounting Standards Update 2014-09 [Member] | Parent [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	(21,140,000)
Accounting Standards Update 2018-02 [Member] | Retained Earnings [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	10,920,000
Accounting Standards Update 2018-02 [Member] | AOCI Attributable to Parent [Member]
Cumulative Effect of New Accounting Principle in Period of Adoption	us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption	$ (10,920,000)