Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Mar. 31, 2017 | Apr. 27, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | IIVI | |
Entity Registrant Name | II-VI INC | |
Entity Central Index Key | 820,318 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 63,128,756 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 247,581 | $ 218,445 |
Accounts receivable - less allowance for doubtful accounts of $1,340 at March 31, 2017 and $2,016 at June 30, 2016 | 173,564 | 164,817 |
Inventories | 191,802 | 175,133 |
Prepaid and refundable income taxes | 5,389 | 6,535 |
Prepaid and other current assets | 20,485 | 18,033 |
Total Current Assets | 638,821 | 582,963 |
Property, plant & equipment, net | 335,752 | 242,857 |
Goodwill | 232,513 | 233,755 |
Other intangible assets, net | 114,840 | 124,590 |
Investment | 12,007 | 11,354 |
Deferred income taxes | 5,940 | 7,848 |
Other assets | 7,775 | 8,614 |
Total Assets | 1,347,648 | 1,211,981 |
Current Liabilities | ||
Current portion of long-term debt | 20,000 | 20,000 |
Accounts payable | 66,909 | 53,796 |
Accrued compensation and benefits | 45,740 | 59,012 |
Accrued income taxes payable | 10,364 | 12,588 |
Other accrued liabilities | 23,029 | 25,846 |
Total Current Liabilities | 166,042 | 171,242 |
Long-term debt | 258,101 | 215,307 |
Capital lease obligation | 23,689 | |
Deferred income taxes | 12,990 | 11,103 |
Other liabilities | 33,930 | 31,991 |
Total Liabilities | 494,752 | 429,643 |
Shareholders' Equity | ||
Preferred stock, no par value; authorized - 5,000,000 shares; none issued | ||
Common stock, no par value; authorized - 300,000,000 shares; issued - 73,996,491 shares at March 31, 2017; 72,840,257 shares at June 30, 2016 | 262,247 | 243,812 |
Accumulated other comprehensive income (loss) | (25,999) | (14,017) |
Retained earnings | 715,415 | 652,788 |
Shareholders' equity excluding treasury stock | 951,663 | 882,583 |
Treasury stock, at cost - 10,928,083 shares at March 31, 2017 and 10,965,925 shares at June 30, 2016 | (98,767) | (100,245) |
Total Shareholders' Equity | 852,896 | 782,338 |
Total Liabilities and Shareholders' Equity | $ 1,347,648 | $ 1,211,981 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 1,340 | $ 2,016 |
Preferred stock, par value | ||
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | ||
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 73,996,491 | 72,840,257 |
Treasury stock, shares | 10,928,083 | 10,965,925 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Earnings (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues | ||||
Domestic | $ 80,940 | $ 74,884 | $ 224,474 | $ 219,812 |
International | 164,047 | 130,221 | 473,855 | 365,934 |
Total Revenues | 244,987 | 205,105 | 698,329 | 585,746 |
Costs, Expenses and Other Expense (Income) | ||||
Cost of goods sold | 147,277 | 127,436 | 418,754 | 365,544 |
Internal research and development | 25,380 | 14,946 | 70,844 | 40,252 |
Selling, general and administrative | 43,291 | 43,333 | 128,865 | 117,051 |
Interest expense | 1,936 | 769 | 4,547 | 2,015 |
Other expense (income), net | (2,164) | 1,257 | (9,611) | (794) |
Total Costs, Expenses & Other Expense (Income) | 215,720 | 187,741 | 613,399 | 524,068 |
Earnings Before Income Taxes | 29,267 | 17,364 | 84,930 | 61,678 |
Income Taxes | 6,837 | 2,426 | 22,303 | 10,535 |
Net Earnings | $ 22,430 | $ 14,938 | $ 62,627 | $ 51,143 |
Basic Earnings Per Share | $ 0.36 | $ 0.24 | $ 1 | $ 0.83 |
Diluted Earnings Per Share | $ 0.35 | $ 0.24 | $ 0.97 | $ 0.81 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net earnings | $ 22,430 | $ 14,938 | $ 62,627 | $ 51,143 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 3,002 | 4,553 | (12,145) | (9,009) |
Pension adjustment, net of taxes of ($40) and $45 for the three and nine months ended March 31, 2017, respectively, and ($5) and $9 for the three and nine months ended March 31, 2016, respectively | (149) | (17) | 163 | 32 |
Comprehensive income | $ 25,283 | $ 19,474 | $ 50,645 | $ 42,166 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Pension adjustment tax | $ (40) | $ (5) | $ 45 | $ 9 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Cash Flows from Operating Activities | ||
Net earnings | $ 62,627 | $ 51,143 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation | 35,190 | 32,613 |
Amortization | 9,532 | 9,172 |
Share-based compensation expense | 8,695 | 8,516 |
(Gains) losses on foreign currency remeasurements and transactions | (3,633) | 586 |
Earnings from equity investment | (654) | (653) |
Deferred income taxes (benefit) | 248 | (1,193) |
Excess tax benefits from share-based compensation expense | (96) | |
Increase (decrease) in cash excluding the effect of the purchase of acquisitions from changes in: | ||
Accounts receivable | (8,220) | (4,548) |
Inventories | (20,273) | (8,950) |
Accounts payable | 7,610 | (337) |
Income taxes | 2,958 | (2,628) |
Accrued compensation and benefits | (12,387) | 6,471 |
Other operating net assets | (3,321) | (8,860) |
Net cash provided by operating activities | 78,372 | 81,236 |
Cash Flows from Investing Activities | ||
Additions to property, plant & equipment | (99,135) | (32,743) |
Purchases of businesses | (580) | (118,657) |
Other investing activities | 1,707 | 92 |
Net cash used in investing activities | (98,008) | (151,308) |
Cash Flows from Financing Activities | ||
Proceeds from borrowings | 64,000 | 125,200 |
Payments on borrowings | (20,000) | (38,500) |
Proceeds from exercises of stock options | 14,625 | 7,444 |
Payments in satisfaction of employees' minimum tax obligations | (3,407) | (1,983) |
Debt issuance costs | (1,384) | |
Purchases of treasury stock | (6,284) | |
Other financing activities | 96 | |
Net cash provided by financing activities | 53,834 | 85,973 |
Effect of exchange rate changes on cash and cash equivalents | (5,062) | (2,162) |
Net increase in cash and cash equivalents | 29,136 | 13,739 |
Cash and Cash Equivalents at Beginning of Period | 218,445 | 173,634 |
Cash and Cash Equivalents at End of Period | 247,581 | 187,373 |
Cash paid for interest | 3,937 | 1,859 |
Cash paid for income taxes | 16,852 | 13,378 |
Non-cash transactions: | ||
Capital lease obligation incurred on facility lease | 25,000 | |
Additions to property, plant & equipment included in accounts payable | $ 6,521 | |
Purchase of business utilizing earnout consideration recorded in other current liabilities | 2,000 | |
Purchase of business utilizing earnout consideration recorded in long-term liabilities | $ 4,000 |
Condensed Consolidated Stateme8
Condensed Consolidated Statement of Shareholders' Equity (Unaudited) - 9 months ended Mar. 31, 2017 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Treasury Stock |
Beginning Balance at Jun. 30, 2016 | $ 782,338 | $ 243,812 | $ (14,017) | $ 652,788 | $ (100,245) |
Beginning Balance, shares at Jun. 30, 2016 | 72,840 | (10,966) | |||
Shares issued under share-based compensation plans | 11,218 | $ 14,625 | $ (3,407) | ||
Shares issued under share-based compensation plans (in shares) | 1,119 | (137) | |||
Net earnings | 62,627 | 62,627 | |||
Treasury stock under deferred compensation arrangements | $ (4,885) | $ 4,885 | |||
Treasury stock under deferred compensation arrangements, (in shares) | 37 | 175 | |||
Foreign currency translation adjustments | (12,145) | (12,145) | |||
Share-based compensation expense | 8,695 | $ 8,695 | |||
Pension adjustment, net of taxes of $45 | 163 | 163 | |||
Ending Balance at Mar. 31, 2017 | $ 852,896 | $ 262,247 | $ (25,999) | $ 715,415 | $ (98,767) |
Ending Balance, shares at Mar. 31, 2017 | 73,996 | (10,928) |
Condensed Consolidated Stateme9
Condensed Consolidated Statement of Shareholders' Equity (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Statement Of Stockholders Equity [Abstract] | ||||
Pension adjustment tax | $ (40) | $ (5) | $ 45 | $ 9 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Note 1. Basis of Presentation The condensed consolidated financial statements of II-VI Incorporated (“II-VI” or the “Company”) for the three and nine months ended March 31, 2017 and 2016 are unaudited. In the opinion of management, all adjustments considered necessary for a fair presentation for the periods presented have been included. All adjustments are of a normal recurring nature unless disclosed otherwise. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2016. The consolidated results of operations for the three and nine months ended March 31, 2017 are not necessarily indicative of the results to be expected for the full fiscal year. The June 30, 2016 Condensed Consolidated Balance Sheet information was derived from the Company’s audited financial statements. During the quarter ended December 31, 2016, the Company purchased certain assets, mainly inventory and fixed assets, of DirectPhotonics Industries GmbH located in Berlin, Germany for approximately |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Mar. 31, 2017 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Note 2 . Recent Accounting Pronouncements Adopted Pronouncements In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. This ASU requires entities to present debt issuance costs in the balance sheet as a direct deduction from the carrying amount of the corresponding debt liability, consistent with debt discounts. The Company adopted ASU 2015-03, as clarified by ASU 2015-15, which did not have a material impact on the Company’s Consolidated Financial Statements other than corresponding reductions to total assets and total liabilities on the Condensed Consolidated Balance Sheets. Prior to adoption, the Company recorded deferred financing costs as Other assets on the Consolidated Balance Sheets. Upon adoption, the Company reclassified these costs as unamortized debt issuance costs that reduce long term debt on the Consolidated Balance Sheets and retrospectively reclassified $0.6 million that were previously presented as deferred financing costs, an asset on the Consolidated Balance Sheets as of June 30, 2016. There was no effect on the Consolidated Statements of Earnings as a result of the adoption. In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. This update requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The adoption of this standard did not have a material effect on the Company’s Consolidated Financial Statements. In April 2015, the FASB issued ASU 2015-05, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement. This update provides guidance about whether a cloud computing arrangement includes a software license. The adoption of this standard did not have a material effect on the Company’s Consolidated Financial Statements. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis. This update affects reporting organizations that are required to evaluate whether they should consolidate certain legal entities. The adoption of this standard did not have a material effect on the Company’s Consolidated Financial Statements. Pronouncements Currently Under Evaluation In March 2017, the FASB issued ASU 2017-07, Consolidation (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This update affects Employers’ presentation of defined benefit retirement plan costs. Early adoption is permitted. The standard will be effective for the Company’s 2019 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In February 2017, the FASB issued ASU 2017-05, Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial assets. This update provides clarification on the scope and application of the sale or transfer of nonfinancial assets and in substance nonfinancial assets to noncustomers, including partial sales. Early adoption is permitted but only as of fiscal years beginning after December 15, 2016. The standard will be effective for the Company’s 2019 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the definition of a business. This update changes the definition of a business to assist entities with evaluating when a set of transferred assets and activities is a business. Early adoption is permitted. The standard will be effective for the Company’s 2020 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment. This standard removes the second step of the goodwill impairment test, where a determination of the fair value of individual assets and liabilities of a reporting unit were needed to measure the goodwill impairment. Under this updated standard, goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The Company will adopt this for any impairment test performed after July 1, 2017 as permitted under the standard. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. This update requires that when intra-entity asset transfers occur, the entity must recognize tax effects in the period in which the transfer occurs. The standard will be effective for The Company’s 2019 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The amendments in the update provide guidance on eight specific cash flow issues. The update will be effective for the Company’s 2019 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This update is intended to provide financial statement users with more decision-useful information about expected credit losses and other commitments to extend credit held by the reporting entity. The standard replaces the incurred loss impairment methodology in current GAAP with one that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The update will be effective for the Company’s 2021 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. This update simplifies several aspects of the accounting for employee share-based payment transactions, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, and classification in the statement of cash flows. The standard will be effective for the Company’s 2018 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In March 2016, the FASB issued ASU 2016-07, Investments – Equity Method and Joint Ventures (Topic 323): Simplifying the Transition to the Equity Method of Accounting. This update eliminates the requirement to retrospectively apply the equity method in previous periods when an investor obtains significant influence over an investee. The standard will be effective for the Company’s 2018 fiscal year. Early adoption is permitted. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This update requires that a lessee recognize leased assets with terms greater than 12 months on the balance sheet for the rights and obligations created by those leases. The standard will be effective for the Company’s 2020 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Recognition and measurement of Financial Assets and Financial Liabilities (Topic 825). This update requires that public entities measure equity investments with readily determinable fair values, at fair value, with changes in their fair value recorded through net income. This ASU also clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available for sale securities in combination with the entity’s other deferred tax assets. The standard will be effective for the Company’s 2018 fiscal year. The Company is evaluating the impact on the Company’s Consolidated Financial Statements. In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. This update simplifies the measurement of inventory valuation at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The new inventory measurement requirements will be effective for the Company’s 2018 fiscal year and will replace the current inventory valuation guidance that requires the use of a lower of cost or market framework. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements-Going Concern. This update provides U.S. GAAP guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and about related footnote disclosures. For each reporting period, management will be required to evaluate whether there are conditions or events that raise substantial doubt about a company’s ability to continue as a going concern within one year from the date the financial statements are issued. The adoption of this standard is effective as of June 30, 2017. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In May 2014, the FASB issued ASU 2014-09: Revenue from Contracts with Customers (Topic 606) which supersedes virtually all existing revenue recognition guidance under U.S. GAAP. The update's core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The update allows for the use of either the retrospective or modified retrospective approach of adoption. On July 9, 2015 the FASB approved a one year deferral of the effective date of the update. The update will be effective for the Company’s 2019 fiscal year. In May 2016, the FASB issued an amendment which did not change the core principles of the guidance in Topic 606. Rather, the amendments in this update affect only narrow aspects of Topic 606. We have not yet selected a transition method and are currently evaluating the impact that this guidance, along with the subsequent updates and clarifications, will have on the Company’s Consolidated Financial Statements. |
Inventories
Inventories | 9 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 3 . Inventories The components of inventories were as follows ($000): March 31, June 30, 2017 2016 Raw materials $ 76,215 $ 70,623 Work in progress 65,059 57,566 Finished goods 50,528 46,944 $ 191,802 $ 175,133 |
Property, Plant and Equipment
Property, Plant and Equipment | 9 Months Ended |
Mar. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | Note 4. Property, Plant and Equipment Property, plant and equipment consists of the following ($000): March 31, June 30, 2017 2016 Land and improvements $ 4,604 $ 4,990 Buildings and improvements 131,542 110,219 Machinery and equipment 448,643 409,551 Construction in progress 97,674 34,602 682,463 559,362 Less accumulated depreciation (346,711 ) (316,505 ) $ 335,752 $ 242,857 During the quarter ending March 31, 2017, the Company sold its manufacturing facility located in Newport Ritchey, Florida. The Company received $1.7 million, net of customary closing costs and a $0.3 million reserve held in escrow for environmental purposes. The gain on sale of $0.3 million was recorded in other expense (income), net in the Condensed Consolidated Statement of Earnings. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Mar. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Note 5. Goodwill and Other Intangible Assets Changes in the carrying amount of goodwill were as follows ($000): Nine Months Ended March 31, 2017 II-VI Laser II-VI II- VI Performance Solutions Photonics Products Total Balance-beginning of period $ 84,105 $ 96,760 $ 52,890 $ 233,755 Foreign currency translation (100 ) (1,142 ) - (1,242 ) Balance-end of period $ 84,005 $ 95,618 $ 52,890 $ 232,513 Note 1 of the Notes to the Consolidated Financial Statements in the Company’s most recent Annual Report on Form 10-K describes the significant accounting policies and methods used in the preparation of the Company’s Consolidated Financial Statements. Management has evaluated goodwill for indicators of impairment and has concluded that there are no indicators of impairment as of March 31, 2017. The gross carrying amount and accumulated amortization of the Company’s intangible assets other than goodwill as of March 31, 2017 and June 30, 2016 were as follows ($000): March 31, 2017 June 30, 2016 Gross Net Gross Net Carrying Accumulated Book Carrying Accumulated Book Amount Amortization Value Amount Amortization Value Technology and Patents $ 53,994 $ (26,010 ) $ 27,984 $ 54,344 $ (22,724 ) $ 31,620 Trademarks 15,749 (1,308 ) 14,441 15,869 (1,209 ) 14,660 Customer Lists 111,807 (39,448 ) 72,359 112,141 (33,912 ) 78,229 Other 1,569 (1,513 ) 56 1,571 (1,490 ) 81 Total $ 183,119 $ (68,279 ) $ 114,840 $ 183,925 $ (59,335 ) $ 124,590 Amortization expense recorded on the Company’s intangible assets was $3.1 million and $9.5 million for the three and nine months ended March 31, 2017, respectively, and was $3.2 million and $9.2 million for the three and nine months ended March 31, 2016, respectively. Technology and patents are being amortized over a range of 60 to 240 months, with a weighted average remaining life of approximately 94 months. Customer lists are being amortized over a range of approximately 120 to 240 months with a weighted average remaining life of approximately 137 months. The gross carrying amount of trademarks includes $14.0 million of acquired trade names with indefinite lives that are not amortized but tested annually for impairment or more frequently if a triggering event occurs. Included in the gross carrying amount and accumulated amortization of the Company’s intangible assets is the effect of foreign currency translation on that portion of the intangible assets relating to the Company’s German and Chinese subsidiaries. At March 31, 2017, the estimated amortization expense for existing intangible assets for each of the five succeeding fiscal years is as follows ($000): Fiscal Year Ending June 30, Amount Remaining 2017 $ 3,156 2018 12,108 2019 11,789 2020 10,981 2021 10,125 |
Debt
Debt | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Note 6. Debt The components of debt for the periods indicated were as follows ($000): March 31, June 30, 2017 2016 Line of credit, interest at LIBOR, as defined, plus 1.5% $ 187,000 $ 188,000 Term loan, interest at LIBOR, as defined, plus 1.5% 90,000 45,000 Yen denominated line of credit, interest at LIBOR, as defined, plus 0.625% 2,683 2,917 Total debt 279,683 235,917 Current portion of long-term debt (20,000 ) (20,000 ) Unamortized debt issuance costs (1,582 ) (610 ) Long-term debt, less current portion $ 258,101 $ 215,307 On July 28, 2016, the Company amended and restated its existing credit agreement. The Third Amended and Restated Credit Agreement (the “Amended Credit Facility”) provides for a revolving credit facility of $325 million, as well as a $100 million term loan. The term loan is being repaid in consecutive quarterly principal payments on the first business day of each January, April, July and October, with the first payment having commenced on October 1, 2016, as follows: (i) twenty consecutive quarterly installments of $5 million and (ii) a final installment of all remaining principal due and payable on the maturity date of July 27, 2021. Amounts borrowed under the revolving credit facility are due and payable on the maturity date. The Amended Credit Facility is unsecured, but is guaranteed by each existing and subsequently acquired or organized wholly-owned domestic subsidiary of the Company. The Company has the option to request an increase to the size of the revolving credit facility in an aggregate additional amount not to exceed $100 million. The Amended Credit Facility has a five-year term through July 27, 2021 and has an interest rate of either a Base Rate Option or a Euro-Rate Option, plus an Applicable Margin, as defined in the agreement governing the Amended Credit Facility. If the Base Rate option is selected for a borrowing, the Applicable Margin is 0.00% to 0.075% and if the Euro-Rate Option is selected for a borrowing, the Applicable Margin is 0.75% to 1.75%. The Applicable Margin is based on the Company’s ratio of consolidated indebtedness to consolidated EBITDA. Additionally, the Credit Facility is subject to certain covenants, including those relating to minimum interest coverage and maximum leverage ratios. As of March 31, 2017, the Company was in compliance with all financial covenants under its Amended Credit Facility. The Company’s Yen denominated line of credit is a 500 million Yen (approximately $4.5 million) facility. The Yen line of credit matures in August 2020. The interest rate is equal to LIBOR, as defined in the loan agreement, plus 0.625% to 1.50%. At March 31, 2017 and June 30, 2016, the Company had 300 million Yen borrowed. Additionally, the facility is subject to certain covenants, including those relating to minimum interest coverage and maximum leverage ratios. As of March 31, 2017, the Company was in compliance with all financial covenants under its Yen facility. The Company had aggregate availability of $138.4 million and $37.7 million under its lines of credit as of March 31, 2017 and June 30, 2016, respectively. The amounts available under the Company’s lines of credit are reduced by outstanding letters of credit. As of March 31, 2017 and June 30, 2016, total outstanding letters of credit supported by these credit facilities were $1.4 million and $1.2 million, respectively. The weighted average interest rate of total borrowings was 2.3% and 1.6% for the nine months ended March 31, 2017 and 2016, respectively. Remaining annual principal payments under the Company’s existing credit facilities as of March 31, 2017 were as follows: U.S. Dollar Term Yen Line Line of Period Loan of Credit Credit Total Year 1 $ 20,000 $ - $ - $ 20,000 Year 2 20,000 - - 20,000 Year 3 20,000 - - 20,000 Year 4 20,000 2,683 - 22,683 Year 5 10,000 - 187,000 197,000 Total $ 90,000 $ 2,683 $ 187,000 $ 279,683 |
Income Taxes
Income Taxes | 9 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 7. Income Taxes The Company’s year-to-date effective income tax rate at March 31, 2017 and 2016 was 26.3% and 17.1%, respectively. The variations between the Company’s effective tax rate and the U.S. statutory rate of 35% were primarily due to the consolidation of the Company’s foreign operations, which are subject to income taxes at lower statutory rates. U.S. GAAP clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. As of March 31, 2017 and June 30, 2016, the Company’s gross unrecognized income tax benefit was $6.6 million and $5.6 million, respectively. The Company has classified the uncertain tax positions as noncurrent income tax liabilities, as the amounts are not expected to be paid within one year. If recognized, $0.5 million of the gross unrecognized tax benefits at March 31, 2017 would impact the effective tax rate. The Company recognizes interest and penalties related to uncertain tax positions in the income tax provision on the Condensed Consolidated Statements of Earnings. The amount of accrued interest and penalties included in the gross unrecognized income tax benefit was $0.2 million and $0.1 million at March 31, 2017 and June 30, 2016, respectively. Fiscal years 2014 to 2017 remain open to examination by the United States Internal Revenue Service, fiscal years 2012 to 2017 remain open to examination by certain state jurisdictions, and fiscal years 2006 to 2017 remain open to examination by certain foreign taxing jurisdictions. The Company’s income tax returns are not currently under examination. The Company believes its income tax reserves for these tax matters are adequate. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 8. Earnings Per Share The following table sets forth the computation of earnings per share for the periods indicated. Weighted average shares issuable upon the exercises of stock options and the release of performance and restricted shares are not included in the calculation because they were anti-dilutive and totaled approximately 36,000 and 163,000 for the three and nine months ended March 31, 2017, respectively, and 109,000 and 178,000 for the three and nine months ended March 31, 2016, respectively ($000 except per share data): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Net earnings $ 22,430 $ 14,938 $ 62,627 $ 51,143 Divided by: Weighted average shares 62,807 61,369 62,403 61,252 Basic earnings per common share $ 0.36 $ 0.24 $ 1.00 $ 0.83 Net earnings $ 22,430 $ 14,938 $ 62,627 $ 51,143 Divided by: Weighted average shares 62,807 61,369 62,403 61,252 Dilutive effect of common stock equivalents 2,203 1,684 1,930 1,566 Diluted weighted average common shares 65,010 63,053 64,333 62,818 Diluted earnings per common share $ 0.35 $ 0.24 $ 0.97 $ 0.81 |
Segment Reporting
Segment Reporting | 9 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Reporting | Note 9. Segment Reporting The Company reports its business segments using the “management approach” model for segment reporting. This means that the Company determines its reportable business segments based on the way the chief operating decision maker organizes business segments within the Company for making operating decisions and assessing performance. The Company reports its financial results in the following three segments: (i) II-VI Laser Solutions, (ii) II-VI Photonics, and (iii) II-VI Performance Products, and the Company’s chief operating decision maker receives and reviews financial information based on these segments. The Company evaluates business segment performance based upon segment operating income, which is defined as earnings before income taxes, interest and other income or expense. The segments are managed separately due to the market, production requirements and facilities unique to each segment. The accounting policies of the segments are the same as those of the Company. The Company’s corporate expenses are allocated to the segments. The Company evaluates segment performance based upon reported segment operating income, which is defined as earnings before income taxes, interest and other income or expense. Inter-segment sales and transfers are eliminated. The following tables summarize selected financial information of the Company’s operations by segment ($000): Three Months Ended March 31, 2017 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 83,648 $ 109,099 $ 52,240 $ - $ 244,987 Inter-segment revenues 9,661 3,450 2,713 (15,824 ) - Operating income 8,337 15,898 4,804 - 29,039 Interest expense - - - - (1,936 ) Other income (expense), net - - - - 2,164 Income taxes - - - - (6,837 ) Net earnings - - - - 22,430 Depreciation and amortization 5,713 5,029 4,182 - 14,924 Segment assets 556,238 496,068 295,342 - 1,347,648 Expenditures for property, plant & equipment 23,299 8,727 9,287 - 41,313 Investment - - 12,007 - 12,007 Three Months Ended March 31, 2016 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 73,778 $ 80,603 $ 50,724 $ - $ 205,105 Inter-segment revenues 5,962 3,363 1,800 (11,125 ) - Operating income 5,395 9,543 4,452 - 19,390 Interest expense - - - - (769 ) Other income (expense), net - - - - (1,257 ) Income taxes - - - - (2,426 ) Net earnings - - - - 14,938 Depreciation and amortization 4,192 4,888 5,581 - 14,661 Expenditures for property, plant & equipment 7,156 4,160 2,271 - 13,587 Nine Months Ended March 31, 2017 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 244,421 $ 305,824 $ 148,084 $ - $ 698,329 Inter-segment revenues 24,361 10,049 7,091 (41,501 ) - Operating income 22,628 45,689 11,549 - 79,866 Interest expense - - - - (4,547 ) Other income (expense), net - - - - 9,611 Income taxes - - - - (22,303 ) Net earnings - - - - 62,627 Depreciation and amortization 17,025 14,853 12,844 - 44,722 Expenditures for property, plant & equipment 59,161 21,224 18,750 - 99,135 Nine Months Ended March 31, 2016 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 215,552 $ 226,762 $ 143,432 $ - $ 585,746 Inter-segment revenues 15,342 9,160 5,738 (30,240 ) - Operating income 28,820 23,282 10,797 - 62,899 Interest expense - - - - (2,015 ) Other income (expense), net - - - - 794 Income taxes - - - - (10,535 ) Net earnings - - - - 51,143 Depreciation and amortization 11,587 14,961 15,237 - 41,785 Expenditures for property, plant & equipment 16,511 10,783 5,449 - 32,743 |
Share-Based Compensation
Share-Based Compensation | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation | Note 10. Share-Based Compensation The Board of Directors adopted the II-VI Incorporated Amended and Restated 2012 Omnibus Incentive Plan (the “Plan”), which was approved by the Company’s shareholders. The Plan provides for the grant of performance-based cash incentive awards, non-qualified stock options, stock appreciation rights, restricted share awards, restricted share units, deferred share awards, performance share awards and performance share units to employees, officers and directors of the Company. The maximum number of shares of the Company’s common stock authorized for issuance under the Plan is limited to 4,900,000 shares of common stock, not including any remaining shares forfeited under the predecessor plans that may be rolled into the Plan. The Company records share-based compensation expense for these awards in accordance with U.S. GAAP, which requires the recognition of grant-date fair value of share-based compensation in net earnings and over the requisite service period of the individual grantees, which generally equals the vesting period. The Company accounts for cash-based stock appreciation rights, cash-based restricted share unit awards and cash-based performance share unit awards as liability awards, in accordance with applicable accounting standards. Share-based compensation expense is allocated approximately 20% to cost of goods sold and 80% to selling, general and administrative expense, based on the employee classification of the grantees. Share-based compensation expense for the periods indicated was as follows ($000): Three Months Ended Nine Months Ended March 31, 2017 2016 2017 2016 Stock Options and Cash-Based Stock Appreciation Rights $ 1,565 $ 755 $ 4,659 $ 3,892 Restricted Share Awards and Cash-Based Restricted Share Unit Awards 1,890 991 5,450 3,776 Performance Share Awards and Cash-Based Performance Share Unit Awards 1,110 762 2,438 2,438 $ 4,565 $ 2,508 $ 12,547 $ 10,106 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Mar. 31, 2017 | |
Business Combinations [Abstract] | |
Fair Value of Financial Instruments | Note 11. Fair Value of Financial Instruments The FASB defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous markets for the asset and liability in an orderly transaction between market participants at the measurement date. The Company estimates fair value of its financial instruments utilizing an established three-level hierarchy in accordance with U.S. GAAP. The hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date as follows: • Level 1 – Valuation is based upon unadjusted quoted prices for identical assets or liabilities in active markets. • Level 2 – Valuation is based upon quoted prices for similar assets and liabilities in active markets, or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instruments. • Level 3 – Valuation is based upon other unobservable inputs that are significant to the fair value measurements. The classification of fair value measurements within the hierarchy is based upon the lowest level of input that is significant to the measurement. At March 31, 2017, the Company had foreign currency forward contracts recorded at fair value. The fair values of these instruments were measured using valuations based upon quoted prices for similar assets and liabilities in active markets (Level 2) and are valued by reference to similar financial instruments, adjusted for credit risk, restrictions and other terms specific to the contracts. Foreign currency loss related to these contracts was $1.1 million for the three months ended March 31, 2017, and foreign currency gain of $0.2 million for the nine months ended March 31, 2017. The Company had a contingent earnout arrangement related to the acquisition of EpiWorks recorded at fair value. The EpiWorks earnout arrangement provides up to a maximum of $6.0 million of additional cash payments based upon EpiWorks achieving certain agreed upon financial and operational targets for capacity, wafer output and gross margin, which if earned would be payable for the achievement of each specific target over the next three years. The fair value of the contingent earnout arrangement was measured using valuations based upon other unobservable inputs that are significant to the fair value measurement (Level 3). The following table provides a summary by level of the fair value of financial instruments that are measured on a recurring basis for the periods presented ($000): Fair Value Measurements at March 31, 2017 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs March 31, 2017 (Level 1) (Level 2) (Level 3) Liabilities: Foreign currency forward contracts $ 135 $ - $ 135 $ - Contingent earnout arrangement $ 5,545 $ - $ - $ 5,545 Fair Value Measurements at June 30, 2016 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs June 30, 2016 (Level 1) (Level 2) (Level 3) Liabilities: Foreign currency forward contracts $ 511 $ - $ 511 $ - Contingent earnout arrangement $ 4,352 $ - $ - $ 4,352 The Company’s policy is to report transfers into and out of Levels 1 and 2 of the fair value hierarchy at fair values as of the beginning of the period in which the transfers occur. There were no transfers in and out of Levels 1 and 2 of the fair value hierarchy during the three and nine months ended March 31, 2017. The following table presents a reconciliation of the beginning and ending fair value measurements of the Company’s level 3 contingent earnout arrangement related to the acquisition of EpiWorks ($000): Significant Unobservable Inputs (Level 3) Balance at July 1, 2016 $ 4,352 Payments - Changes in fair value 1,193 Balance at March 31, 2017 $ 5,545 The change in fair value of $1.2 million was recorded in other expense (income), net in the Condensed Consolidated Statement of Earnings. The fair values of cash and cash equivalents are considered Level 1 among the fair value hierarchy and approximate fair value because of the short-term maturity of those instruments. The Company’s borrowings including its capital lease obligation are considered Level 2 among the fair value hierarchy and are variable interest rates and accordingly their carrying amounts approximate fair value. |
Derivative Instruments
Derivative Instruments | 9 Months Ended |
Mar. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Note 12. Derivative Instruments The Company, from time to time, purchases foreign currency forward exchange contracts, primarily in Japanese Yen, that permit it to sell specified amounts of these foreign currencies expected to be received from its export sales for pre-established U.S. dollar amounts at specified dates. The Company enters into these contracts to limit transactional exposure to changes in currency exchange rates of export sales transactions in which settlement will occur in future periods and which otherwise would expose the Company, on the basis of its aggregate net cash flows in respective currencies, to foreign currency risk. The Company has recorded the fair market value of these contracts in the Company’s Condensed Consolidated Financial Statements. These contracts had a total notional amount of $7.9 million and $9.2 million at March 31, 2017 and June 30, 2016, respectively. As of March 31, 2017, these forward contracts had expiration dates ranging from April 2017 through July 2017, with Japanese Yen denominations individually ranging from 100 million Yen to 400 million Yen. The Company does not account for these contracts as hedges as defined by U.S. GAAP, and records the change in the fair value of these contracts in Other expense (income), net in the Condensed Consolidated Statements of Earnings as they occur. The fair value measurement takes into consideration foreign currency rates and the current creditworthiness of the counterparties to these contracts, as applicable, and is based upon quoted prices for similar assets and liabilities in active markets, or other inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instruments and thus represents a Level 2 measurement. These contracts are recorded in Other accrued liabilities as of as of March 31, 2017 and June 30, 2016 in the Company’s Condensed Consolidated Balance Sheets. The fair value of these contracts decreased $1.3 million and increased $0.4 million for the three and nine months ended March 31, 2017, respectively. During the month of March 2017, the Company entered into a $50.0 million forward contract that matured on March 31, 2017 to limit exposure to the Chinese Renminbi. Upon expiration of this contract, the Company recorded a $0.3 million gain in the Condensed Consolidated Statement of Earnings. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Mar. 31, 2017 | |
Guarantees [Abstract] | |
Commitments and Contingencies | Note 13 . Commitments and Contingencies The Company records a warranty reserve as a charge against earnings based on a percentage of sales utilizing actual warranty claims over the last twelve months. The following table summarizes the change in the carrying value of the Company’s warranty reserve, which is a component of Other accrued liabilities in the Company’s Condensed Consolidated Balance Sheets ($000): Nine Months Ended March 31, 2017 Amount Balance-beginning of period $ 3,908 Payments made during the period (3,184 ) Additional warranty liability recorded during the period 3,286 Balance-end of period $ 4,010 |
Post-Retirement Benefits
Post-Retirement Benefits | 9 Months Ended |
Mar. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Post-Retirement Benefits | Note 14. Post-Retirement Benefits The Company has a pension plan (the “Swiss Plan”) covering employees of the Zurich, Switzerland subsidiary. Net periodic pension costs associated with the Swiss Plan included the following ($000): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Service cost $ 874 $ 658 $ 2,642 $ 1,978 Interest cost 39 107 117 321 Expected return on plan assets (176 ) (269 ) (532 ) (810 ) Net amortization (189 ) (22 ) 208 41 Net periodic pension costs $ 548 $ 474 $ 2,435 $ 1,530 The Company contributed $0.8 million and $2.6 million to the Swiss Plan during the three and nine months ended March 31, 2017, respectively, and $0.5 million and $1.5 million during the three and nine months ended March 31, 2016, respectively. The Company currently anticipates contributing an additional estimated amount of approximately $1.0 million to the Swiss Plan during the remainder of fiscal year 2017. |
Share Repurchase Program
Share Repurchase Program | 9 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Share Repurchase Program | Note 15. Share Repurchase Program In August 2014, the Company’s Board of Directors authorized the Company to purchase up to $50 million of its Common Stock through a share repurchase program (the “Program”) that calls for shares to be purchased in the open market or in private transactions from time to time. The Program has no expiration and may be suspended or discontinued at any time. Shares purchased by the Company are retained as treasury stock and available for general corporate purposes. As of March 31, 2017, the Company has purchased 1,316,587 shares of its Common Stock pursuant to the Program for approximately $19.0 million. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 16. Accumulated Other Comprehensive Income (Loss) The changes in accumulated other comprehensive income (“AOCI") by component, net of tax, for the nine months ended March 31, 2017 were as follows ($000): Foreign Total Currency Defined Accumulated Translation Benefit Comprehensive Adjustment Pension Plan Income (Loss) AOCI - June 30, 2016 $ (6,185 ) $ (7,832 ) $ (14,017 ) Other comprehensive loss before reclassifications (12,145 ) - (12,145 ) Amounts reclassified from AOCI - 163 163 Net current-period other comprehensive income (loss) (12,145 ) 163 (11,982 ) AOCI - March 31, 2017 $ (18,330 ) $ (7,669 ) $ (25,999 ) |
Capital Lease
Capital Lease | 9 Months Ended |
Mar. 31, 2017 | |
Leases [Abstract] | |
Capital Lease | Note 17. Capital Lease During the quarter ended December 31, 2016, the Company’s OptoElectronic Devices subsidiary entered into a capital lease related to a building in Warren, New Jersey. The following table shows the future minimum lease payments due under the non-cancelable capital lease ($000): Fiscal Year Ending June 30, Amount 2017 (remaining) $ 645 2018 2,579 2019 2,579 2020 2,579 2021 2,579 Thereafter 27,082 Total minimum lease payments $ 38,043 Less amount representing interest 13,297 Present value of capitalized payments $ 24,746 Less: current portion 1,057 Long-term portion $ 23,689 The current and long-term portion of the capital lease obligation was recorded in Other accrued liabilities and Capital lease obligation, respectively, in the Company’s Condensed Consolidated Balance Sheet as of March 31, 2017. The present value of capitalized payments of $25.0 million was recorded in Property, Plant & Equipment, net, in the Company’s Condensed Consolidated Balance Sheet as of March 31, 2017, with associated depreciation being recorded over the 15 year life of the lease. |
Recent Accounting Pronounceme27
Recent Accounting Pronouncements (Policies) | 9 Months Ended |
Mar. 31, 2017 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | Adopted Pronouncements In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-03, Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs. This ASU requires entities to present debt issuance costs in the balance sheet as a direct deduction from the carrying amount of the corresponding debt liability, consistent with debt discounts. The Company adopted ASU 2015-03, as clarified by ASU 2015-15, which did not have a material impact on the Company’s Consolidated Financial Statements other than corresponding reductions to total assets and total liabilities on the Condensed Consolidated Balance Sheets. Prior to adoption, the Company recorded deferred financing costs as Other assets on the Consolidated Balance Sheets. Upon adoption, the Company reclassified these costs as unamortized debt issuance costs that reduce long term debt on the Consolidated Balance Sheets and retrospectively reclassified $0.6 million that were previously presented as deferred financing costs, an asset on the Consolidated Balance Sheets as of June 30, 2016. There was no effect on the Consolidated Statements of Earnings as a result of the adoption. In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement-Period Adjustments. This update requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The adoption of this standard did not have a material effect on the Company’s Consolidated Financial Statements. In April 2015, the FASB issued ASU 2015-05, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement. This update provides guidance about whether a cloud computing arrangement includes a software license. The adoption of this standard did not have a material effect on the Company’s Consolidated Financial Statements. In February 2015, the FASB issued ASU 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis. This update affects reporting organizations that are required to evaluate whether they should consolidate certain legal entities. The adoption of this standard did not have a material effect on the Company’s Consolidated Financial Statements. Pronouncements Currently Under Evaluation In March 2017, the FASB issued ASU 2017-07, Consolidation (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. This update affects Employers’ presentation of defined benefit retirement plan costs. Early adoption is permitted. The standard will be effective for the Company’s 2019 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In February 2017, the FASB issued ASU 2017-05, Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial assets. This update provides clarification on the scope and application of the sale or transfer of nonfinancial assets and in substance nonfinancial assets to noncustomers, including partial sales. Early adoption is permitted but only as of fiscal years beginning after December 15, 2016. The standard will be effective for the Company’s 2019 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the definition of a business. This update changes the definition of a business to assist entities with evaluating when a set of transferred assets and activities is a business. Early adoption is permitted. The standard will be effective for the Company’s 2020 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment. This standard removes the second step of the goodwill impairment test, where a determination of the fair value of individual assets and liabilities of a reporting unit were needed to measure the goodwill impairment. Under this updated standard, goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The Company will adopt this for any impairment test performed after July 1, 2017 as permitted under the standard. In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory. This update requires that when intra-entity asset transfers occur, the entity must recognize tax effects in the period in which the transfer occurs. The standard will be effective for The Company’s 2019 fiscal year. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The amendments in the update provide guidance on eight specific cash flow issues. The update will be effective for the Company’s 2019 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This update is intended to provide financial statement users with more decision-useful information about expected credit losses and other commitments to extend credit held by the reporting entity. The standard replaces the incurred loss impairment methodology in current GAAP with one that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The update will be effective for the Company’s 2021 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. This update simplifies several aspects of the accounting for employee share-based payment transactions, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements, and classification in the statement of cash flows. The standard will be effective for the Company’s 2018 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In March 2016, the FASB issued ASU 2016-07, Investments – Equity Method and Joint Ventures (Topic 323): Simplifying the Transition to the Equity Method of Accounting. This update eliminates the requirement to retrospectively apply the equity method in previous periods when an investor obtains significant influence over an investee. The standard will be effective for the Company’s 2018 fiscal year. Early adoption is permitted. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This update requires that a lessee recognize leased assets with terms greater than 12 months on the balance sheet for the rights and obligations created by those leases. The standard will be effective for the Company’s 2020 fiscal year. Early adoption is permitted. The Company is evaluating the impact of this guidance on the Company’s Consolidated Financial Statements. In January 2016, the FASB issued ASU 2016-01, Financial Instruments – Recognition and measurement of Financial Assets and Financial Liabilities (Topic 825). This update requires that public entities measure equity investments with readily determinable fair values, at fair value, with changes in their fair value recorded through net income. This ASU also clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available for sale securities in combination with the entity’s other deferred tax assets. The standard will be effective for the Company’s 2018 fiscal year. The Company is evaluating the impact on the Company’s Consolidated Financial Statements. In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330): Simplifying the Measurement of Inventory. This update simplifies the measurement of inventory valuation at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The new inventory measurement requirements will be effective for the Company’s 2018 fiscal year and will replace the current inventory valuation guidance that requires the use of a lower of cost or market framework. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements-Going Concern. This update provides U.S. GAAP guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and about related footnote disclosures. For each reporting period, management will be required to evaluate whether there are conditions or events that raise substantial doubt about a company’s ability to continue as a going concern within one year from the date the financial statements are issued. The adoption of this standard is effective as of June 30, 2017. The adoption of this ASU is not expected to have a material effect on the Company’s Consolidated Financial Statements. In May 2014, the FASB issued ASU 2014-09: Revenue from Contracts with Customers (Topic 606) which supersedes virtually all existing revenue recognition guidance under U.S. GAAP. The update's core principle is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The update allows for the use of either the retrospective or modified retrospective approach of adoption. On July 9, 2015 the FASB approved a one year deferral of the effective date of the update. The update will be effective for the Company’s 2019 fiscal year. In May 2016, the FASB issued an amendment which did not change the core principles of the guidance in Topic 606. Rather, the amendments in this update affect only narrow aspects of Topic 606. We have not yet selected a transition method and are currently evaluating the impact that this guidance, along with the subsequent updates and clarifications, will have on the Company’s Consolidated Financial Statements. |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Components of Inventories | The components of inventories were as follows ($000): March 31, June 30, 2017 2016 Raw materials $ 76,215 $ 70,623 Work in progress 65,059 57,566 Finished goods 50,528 46,944 $ 191,802 $ 175,133 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment consists of the following ($000): March 31, June 30, 2017 2016 Land and improvements $ 4,604 $ 4,990 Buildings and improvements 131,542 110,219 Machinery and equipment 448,643 409,551 Construction in progress 97,674 34,602 682,463 559,362 Less accumulated depreciation (346,711 ) (316,505 ) $ 335,752 $ 242,857 |
Goodwill and Other Intangible30
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Goodwill | Changes in the carrying amount of goodwill were as follows ($000): Nine Months Ended March 31, 2017 II-VI Laser II-VI II- VI Performance Solutions Photonics Products Total Balance-beginning of period $ 84,105 $ 96,760 $ 52,890 $ 233,755 Foreign currency translation (100 ) (1,142 ) - (1,242 ) Balance-end of period $ 84,005 $ 95,618 $ 52,890 $ 232,513 |
Gross Carrying Amount and Accumulated Amortization of Intangible Assets Other Than Goodwill | The gross carrying amount and accumulated amortization of the Company’s intangible assets other than goodwill as of March 31, 2017 and June 30, 2016 were as follows ($000): March 31, 2017 June 30, 2016 Gross Net Gross Net Carrying Accumulated Book Carrying Accumulated Book Amount Amortization Value Amount Amortization Value Technology and Patents $ 53,994 $ (26,010 ) $ 27,984 $ 54,344 $ (22,724 ) $ 31,620 Trademarks 15,749 (1,308 ) 14,441 15,869 (1,209 ) 14,660 Customer Lists 111,807 (39,448 ) 72,359 112,141 (33,912 ) 78,229 Other 1,569 (1,513 ) 56 1,571 (1,490 ) 81 Total $ 183,119 $ (68,279 ) $ 114,840 $ 183,925 $ (59,335 ) $ 124,590 |
Estimated Amortization Expense for Existing Intangible Assets for Each of Five Succeeding Fiscal Years | At March 31, 2017, the estimated amortization expense for existing intangible assets for each of the five succeeding fiscal years is as follows ($000): Fiscal Year Ending June 30, Amount Remaining 2017 $ 3,156 2018 12,108 2019 11,789 2020 10,981 2021 10,125 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Components of Debt | The components of debt for the periods indicated were as follows ($000): March 31, June 30, 2017 2016 Line of credit, interest at LIBOR, as defined, plus 1.5% $ 187,000 $ 188,000 Term loan, interest at LIBOR, as defined, plus 1.5% 90,000 45,000 Yen denominated line of credit, interest at LIBOR, as defined, plus 0.625% 2,683 2,917 Total debt 279,683 235,917 Current portion of long-term debt (20,000 ) (20,000 ) Unamortized debt issuance costs (1,582 ) (610 ) Long-term debt, less current portion $ 258,101 $ 215,307 |
Remaining Annual Amounts of Principal Payments | Remaining annual principal payments under the Company’s existing credit facilities as of March 31, 2017 were as follows: U.S. Dollar Term Yen Line Line of Period Loan of Credit Credit Total Year 1 $ 20,000 $ - $ - $ 20,000 Year 2 20,000 - - 20,000 Year 3 20,000 - - 20,000 Year 4 20,000 2,683 - 22,683 Year 5 10,000 - 187,000 197,000 Total $ 90,000 $ 2,683 $ 187,000 $ 279,683 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Computation of Earnings Per Share | The following table sets forth the computation of earnings per share for the periods indicated. Weighted average shares issuable upon the exercises of stock options and the release of performance and restricted shares are not included in the calculation because they were anti-dilutive and totaled approximately 36,000 and 163,000 for the three and nine months ended March 31, 2017, respectively, and 109,000 and 178,000 for the three and nine months ended March 31, 2016, respectively ($000 except per share data): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Net earnings $ 22,430 $ 14,938 $ 62,627 $ 51,143 Divided by: Weighted average shares 62,807 61,369 62,403 61,252 Basic earnings per common share $ 0.36 $ 0.24 $ 1.00 $ 0.83 Net earnings $ 22,430 $ 14,938 $ 62,627 $ 51,143 Divided by: Weighted average shares 62,807 61,369 62,403 61,252 Dilutive effect of common stock equivalents 2,203 1,684 1,930 1,566 Diluted weighted average common shares 65,010 63,053 64,333 62,818 Diluted earnings per common share $ 0.35 $ 0.24 $ 0.97 $ 0.81 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Financial Information of Company's Operation by Segment | The following tables summarize selected financial information of the Company’s operations by segment ($000): Three Months Ended March 31, 2017 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 83,648 $ 109,099 $ 52,240 $ - $ 244,987 Inter-segment revenues 9,661 3,450 2,713 (15,824 ) - Operating income 8,337 15,898 4,804 - 29,039 Interest expense - - - - (1,936 ) Other income (expense), net - - - - 2,164 Income taxes - - - - (6,837 ) Net earnings - - - - 22,430 Depreciation and amortization 5,713 5,029 4,182 - 14,924 Segment assets 556,238 496,068 295,342 - 1,347,648 Expenditures for property, plant & equipment 23,299 8,727 9,287 - 41,313 Investment - - 12,007 - 12,007 Three Months Ended March 31, 2016 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 73,778 $ 80,603 $ 50,724 $ - $ 205,105 Inter-segment revenues 5,962 3,363 1,800 (11,125 ) - Operating income 5,395 9,543 4,452 - 19,390 Interest expense - - - - (769 ) Other income (expense), net - - - - (1,257 ) Income taxes - - - - (2,426 ) Net earnings - - - - 14,938 Depreciation and amortization 4,192 4,888 5,581 - 14,661 Expenditures for property, plant & equipment 7,156 4,160 2,271 - 13,587 Nine Months Ended March 31, 2017 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 244,421 $ 305,824 $ 148,084 $ - $ 698,329 Inter-segment revenues 24,361 10,049 7,091 (41,501 ) - Operating income 22,628 45,689 11,549 - 79,866 Interest expense - - - - (4,547 ) Other income (expense), net - - - - 9,611 Income taxes - - - - (22,303 ) Net earnings - - - - 62,627 Depreciation and amortization 17,025 14,853 12,844 - 44,722 Expenditures for property, plant & equipment 59,161 21,224 18,750 - 99,135 Nine Months Ended March 31, 2016 II-VI II-VI Laser II-VI Performance Solutions Photonics Products Eliminations Total Revenues $ 215,552 $ 226,762 $ 143,432 $ - $ 585,746 Inter-segment revenues 15,342 9,160 5,738 (30,240 ) - Operating income 28,820 23,282 10,797 - 62,899 Interest expense - - - - (2,015 ) Other income (expense), net - - - - 794 Income taxes - - - - (10,535 ) Net earnings - - - - 51,143 Depreciation and amortization 11,587 14,961 15,237 - 41,785 Expenditures for property, plant & equipment 16,511 10,783 5,449 - 32,743 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation Expense by Award Type | Share-based compensation expense is allocated approximately 20% to cost of goods sold and 80% to selling, general and administrative expense, based on the employee classification of the grantees. Share-based compensation expense for the periods indicated was as follows ($000): Three Months Ended Nine Months Ended March 31, 2017 2016 2017 2016 Stock Options and Cash-Based Stock Appreciation Rights $ 1,565 $ 755 $ 4,659 $ 3,892 Restricted Share Awards and Cash-Based Restricted Share Unit Awards 1,890 991 5,450 3,776 Performance Share Awards and Cash-Based Performance Share Unit Awards 1,110 762 2,438 2,438 $ 4,565 $ 2,508 $ 12,547 $ 10,106 |
Fair Value of Financial Instr35
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Summary by Level of Fair Value of Financial Instruments Measured on Recurring Basis | The following table provides a summary by level of the fair value of financial instruments that are measured on a recurring basis for the periods presented ($000): Fair Value Measurements at March 31, 2017 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs March 31, 2017 (Level 1) (Level 2) (Level 3) Liabilities: Foreign currency forward contracts $ 135 $ - $ 135 $ - Contingent earnout arrangement $ 5,545 $ - $ - $ 5,545 Fair Value Measurements at June 30, 2016 Using: Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Assets Inputs Inputs June 30, 2016 (Level 1) (Level 2) (Level 3) Liabilities: Foreign currency forward contracts $ 511 $ - $ 511 $ - Contingent earnout arrangement $ 4,352 $ - $ - $ 4,352 |
EpiWorks | |
Reconciliation of Beginning and Ending Fair Value Measurements of Level Three Contingent Earnout Arrangement Related to Acquisition | The following table presents a reconciliation of the beginning and ending fair value measurements of the Company’s level 3 contingent earnout arrangement related to the acquisition of EpiWorks ($000): Significant Unobservable Inputs (Level 3) Balance at July 1, 2016 $ 4,352 Payments - Changes in fair value 1,193 Balance at March 31, 2017 $ 5,545 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Guarantees [Abstract] | |
Change in Carrying Value of Company's Warranty Reserve | The following table summarizes the change in the carrying value of the Company’s warranty reserve, which is a component of Other accrued liabilities in the Company’s Condensed Consolidated Balance Sheets ($000): Nine Months Ended March 31, 2017 Amount Balance-beginning of period $ 3,908 Payments made during the period (3,184 ) Additional warranty liability recorded during the period 3,286 Balance-end of period $ 4,010 |
Post-Retirement Benefits (Table
Post-Retirement Benefits (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Schedule of Net Periodic Pension Costs | Net periodic pension costs associated with the Swiss Plan included the following ($000): Three Months Ended Nine Months Ended March 31, March 31, 2017 2016 2017 2016 Service cost $ 874 $ 658 $ 2,642 $ 1,978 Interest cost 39 107 117 321 Expected return on plan assets (176 ) (269 ) (532 ) (810 ) Net amortization (189 ) (22 ) 208 41 Net periodic pension costs $ 548 $ 474 $ 2,435 $ 1,530 |
Accumulated Other Comprehensi38
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Equity [Abstract] | |
Changes in Accumulated Other Comprehensive Income ("AOCI") by Component, Net of Tax | The changes in accumulated other comprehensive income (“AOCI") by component, net of tax, for the nine months ended March 31, 2017 were as follows ($000): Foreign Total Currency Defined Accumulated Translation Benefit Comprehensive Adjustment Pension Plan Income (Loss) AOCI - June 30, 2016 $ (6,185 ) $ (7,832 ) $ (14,017 ) Other comprehensive loss before reclassifications (12,145 ) - (12,145 ) Amounts reclassified from AOCI - 163 163 Net current-period other comprehensive income (loss) (12,145 ) 163 (11,982 ) AOCI - March 31, 2017 $ (18,330 ) $ (7,669 ) $ (25,999 ) |
Capital Lease (Tables)
Capital Lease (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Leases [Abstract] | |
Schedule of Future Minimum Lease Payments Due Under Non-Cancelable Capital Lease | The following table shows the future minimum lease payments due under the non-cancelable capital lease ($000): Fiscal Year Ending June 30, Amount 2017 (remaining) $ 645 2018 2,579 2019 2,579 2020 2,579 2021 2,579 Thereafter 27,082 Total minimum lease payments $ 38,043 Less amount representing interest 13,297 Present value of capitalized payments $ 24,746 Less: current portion 1,057 Long-term portion $ 23,689 |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Dec. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Business Acquisition [Line Items] | |||
Payment for purchase of certain assets | $ 580 | $ 118,657 | |
DirectPhotonics Industries GmbH | Germany | |||
Business Acquisition [Line Items] | |||
Payment for purchase of certain assets | $ 600 |
Recent Accounting Pronounceme41
Recent Accounting Pronouncements - Additional Information (Detail) $ in Millions | Jun. 30, 2016USD ($) |
ASU 2015-03 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Reclassification as unamortized debt issuance costs | $ 0.6 |
Components of Inventories (Deta
Components of Inventories (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 76,215 | $ 70,623 |
Work in progress | 65,059 | 57,566 |
Finished goods | 50,528 | 46,944 |
Inventories, Total | $ 191,802 | $ 175,133 |
Property Plant and Equipment (D
Property Plant and Equipment (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Property Plant And Equipment [Line Items] | ||
Property, Plant and Equipment, gross | $ 682,463 | $ 559,362 |
Less accumulated depreciation | (346,711) | (316,505) |
Property, Plant and Equipment, net | 335,752 | 242,857 |
Land and Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, Plant and Equipment, gross | 4,604 | 4,990 |
Buildings and Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property, Plant and Equipment, gross | 131,542 | 110,219 |
Machinery and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property, Plant and Equipment, gross | 448,643 | 409,551 |
Construction in Progress | ||
Property Plant And Equipment [Line Items] | ||
Property, Plant and Equipment, gross | $ 97,674 | $ 34,602 |
Property Plant and Equipment -
Property Plant and Equipment - Additional Information (Detail) - Manufacturing Facility $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Property Plant And Equipment [Line Items] | |
Proceeds from sale of manufacturing facility | $ 1.7 |
Proceeds held in escrow for environmental purpose | 0.3 |
Gain on sale of manufacturing facility | $ 0.3 |
Changes in Carrying Amount of G
Changes in Carrying Amount of Goodwill (Detail) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Goodwill [Line Items] | |
Balance-beginning of period | $ 233,755 |
Foreign currency translation | (1,242) |
Balance-end of period | 232,513 |
II-VI Laser Solutions | |
Goodwill [Line Items] | |
Balance-beginning of period | 84,105 |
Foreign currency translation | (100) |
Balance-end of period | 84,005 |
II-VI Photonics | |
Goodwill [Line Items] | |
Balance-beginning of period | 96,760 |
Foreign currency translation | (1,142) |
Balance-end of period | 95,618 |
II- VI Performance Products | |
Goodwill [Line Items] | |
Balance-beginning of period | 52,890 |
Balance-end of period | $ 52,890 |
Gross Carrying Amount and Accum
Gross Carrying Amount and Accumulated Amortization of Intangible Assets Other Than Goodwill (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 183,119 | $ 183,925 |
Accumulated Amortization | (68,279) | (59,335) |
Net Book Value | 114,840 | 124,590 |
Technology and Patents | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 53,994 | 54,344 |
Accumulated Amortization | (26,010) | (22,724) |
Net Book Value | 27,984 | 31,620 |
Trademarks | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 15,749 | 15,869 |
Accumulated Amortization | (1,308) | (1,209) |
Net Book Value | 14,441 | 14,660 |
Customer Lists | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 111,807 | 112,141 |
Accumulated Amortization | (39,448) | (33,912) |
Net Book Value | 72,359 | 78,229 |
Other | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,569 | 1,571 |
Accumulated Amortization | (1,513) | (1,490) |
Net Book Value | $ 56 | $ 81 |
Goodwill and Other Intangible47
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Goodwill And Other Intangible Assets [Line Items] | ||||
Amortization expense recorded on intangible assets | $ 3.1 | $ 3.2 | $ 9.5 | $ 9.2 |
Carrying amount of indefinite trade names acquired | $ 14 | $ 14 | ||
Technology and Patents | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Remaining amortization period of patents and customer lists, in months | 94 months | |||
Technology and Patents | Minimum | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Amortization period of finite lived intangible assets, in months | 60 months | |||
Technology and Patents | Maximum | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Amortization period of finite lived intangible assets, in months | 240 months | |||
Customer Lists | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Remaining amortization period of patents and customer lists, in months | 137 months | |||
Customer Lists | Minimum | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Amortization period of finite lived intangible assets, in months | 120 months | |||
Customer Lists | Maximum | ||||
Goodwill And Other Intangible Assets [Line Items] | ||||
Amortization period of finite lived intangible assets, in months | 240 months |
Estimated Amortization Expense
Estimated Amortization Expense for Existing Intangible Assets for Each of Five Succeeding Fiscal Years (Detail) $ in Thousands | Mar. 31, 2017USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Remaining 2,017 | $ 3,156 |
2,018 | 12,108 |
2,019 | 11,789 |
2,020 | 10,981 |
2,021 | $ 10,125 |
Components of Debt (Detail)
Components of Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Line Of Credit Facility [Line Items] | ||
Total debt | $ 279,683 | $ 235,917 |
Current portion of long-term debt | (20,000) | (20,000) |
Unamortized debt issuance costs | (1,582) | (610) |
Long-term debt, less current portion | 258,101 | 215,307 |
Line of credit | ||
Line Of Credit Facility [Line Items] | ||
Total debt | 187,000 | 188,000 |
Term Loans | ||
Line Of Credit Facility [Line Items] | ||
Total debt | 90,000 | 45,000 |
Yen denominated line of credit | ||
Line Of Credit Facility [Line Items] | ||
Total debt | $ 2,683 | $ 2,917 |
Components of Debt (Parenthetic
Components of Debt (Parenthetical) (Detail) - London Interbank Offered Rate (LIBOR) | 9 Months Ended |
Mar. 31, 2017 | |
Line of credit | |
Line Of Credit Facility [Line Items] | |
Debt instrument, rate added on variable rate | 1.50% |
Term Loans | |
Line Of Credit Facility [Line Items] | |
Debt instrument, rate added on variable rate | 1.50% |
Yen denominated line of credit | |
Line Of Credit Facility [Line Items] | |
Debt instrument, rate added on variable rate | 0.625% |
Debt - Additional Information (
Debt - Additional Information (Detail) | Jul. 28, 2016USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2017JPY (¥) | Jun. 30, 2016USD ($) | Jun. 30, 2016JPY (¥) | Mar. 31, 2016 |
Line Of Credit Facility [Line Items] | ||||||
Available credit under lines of credit | $ 138,400,000 | $ 37,700,000 | ||||
Total outstanding letters of credit | $ 1,400,000 | $ 1,200,000 | ||||
Weighted average interest rate of total borrowings | 2.30% | 2.30% | 1.60% | |||
Revolving Credit Facility | ||||||
Line Of Credit Facility [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 325,000,000 | |||||
Credit facility, term | 5 years | |||||
Debt instrument, maturity date | Jul. 27, 2021 | |||||
Term Loans | ||||||
Line Of Credit Facility [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 100,000,000 | |||||
Term loan, quarterly principal Payment | $ 5,000,000 | |||||
Term loan, maturity date | Jul. 27, 2021 | |||||
Term loan, first quarterly principal payment commencement date | Oct. 1, 2016 | |||||
Yen denominated line of credit | ||||||
Line Of Credit Facility [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 4,500,000 | ¥ 500,000,000 | ||||
Debt instrument, month and year of maturity | 2020-08 | |||||
Line of credit, outstanding | ¥ | ¥ 300,000,000 | ¥ 300,000,000 | ||||
Maximum | Revolving Credit Facility | ||||||
Line Of Credit Facility [Line Items] | ||||||
Credit facility, optional additional borrowing amount | $ 100,000,000 | |||||
Base Rate Option | Minimum | Revolving Credit Facility | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 0.00% | |||||
Base Rate Option | Maximum | Revolving Credit Facility | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 0.075% | |||||
Euro Rate Option | Minimum | Revolving Credit Facility | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 0.75% | |||||
Euro Rate Option | Maximum | Revolving Credit Facility | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 1.75% | |||||
London Interbank Offered Rate (LIBOR) | Term Loans | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 1.50% | |||||
London Interbank Offered Rate (LIBOR) | Yen denominated line of credit | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 0.625% | |||||
London Interbank Offered Rate (LIBOR) | Minimum | Yen denominated line of credit | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 0.625% | |||||
London Interbank Offered Rate (LIBOR) | Maximum | Yen denominated line of credit | ||||||
Line Of Credit Facility [Line Items] | ||||||
Debt instrument, rate added on variable rate | 1.50% |
Remaining Annual Amounts of Pri
Remaining Annual Amounts of Principal Payments of Credit Facility (Detail) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Line Of Credit Facility [Line Items] | ||
Year 1 | $ 20,000 | |
Year 2 | 20,000 | |
Year 3 | 20,000 | |
Year 4 | 22,683 | |
Year 5 | 197,000 | |
Total debt | 279,683 | $ 235,917 |
Term Loans | ||
Line Of Credit Facility [Line Items] | ||
Year 1 | 20,000 | |
Year 2 | 20,000 | |
Year 3 | 20,000 | |
Year 4 | 20,000 | |
Year 5 | 10,000 | |
Total debt | 90,000 | 45,000 |
Yen Line of Credit | ||
Line Of Credit Facility [Line Items] | ||
Year 4 | 2,683 | |
Total debt | 2,683 | 2,917 |
U.S. Dollar Line of Credit | ||
Line Of Credit Facility [Line Items] | ||
Year 5 | 187,000 | |
Total debt | $ 187,000 | $ 188,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Income Tax Contingency [Line Items] | |||
Effective income tax rate | 26.30% | 17.10% | |
U.S. statutory rate | 35.00% | ||
Unrecognized tax benefits that would impact effective tax rate | $ 6.6 | $ 5.6 | |
Interest and penalties accrued | 0.2 | $ 0.1 | |
Liability for uncertain tax positions that would impact the effective tax rate if recognized | $ 0.5 | ||
United States Internal Revenue Service | Earliest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Tax year remain open to examination | 2,014 | ||
United States Internal Revenue Service | Latest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Tax year remain open to examination | 2,017 | ||
State Jurisdictions | Earliest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Tax year remain open to examination | 2,012 | ||
State Jurisdictions | Latest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Tax year remain open to examination | 2,017 | ||
Foreign Taxing Jurisdictions | Earliest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Tax year remain open to examination | 2,006 | ||
Foreign Taxing Jurisdictions | Latest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Tax year remain open to examination | 2,017 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Weighted Average | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Weighted average Shares issuable upon the exercises of stock options excluded from the dilutive share calculation | 36,000 | 109,000 | 163,000 | 178,000 |
Computation of Earnings Per Sha
Computation of Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share [Abstract] | ||||
Net earnings | $ 22,430 | $ 14,938 | $ 62,627 | $ 51,143 |
Weighted average shares | 62,807 | 61,369 | 62,403 | 61,252 |
Basic earnings per common share | $ 0.36 | $ 0.24 | $ 1 | $ 0.83 |
Net earnings | $ 22,430 | $ 14,938 | $ 62,627 | $ 51,143 |
Weighted average shares | 62,807 | 61,369 | 62,403 | 61,252 |
Dilutive effect of common stock equivalents | 2,203 | 1,684 | 1,930 | 1,566 |
Diluted weighted average common shares | 65,010 | 63,053 | 64,333 | 62,818 |
Diluted earnings per common share | $ 0.35 | $ 0.24 | $ 0.97 | $ 0.81 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 9 Months Ended |
Mar. 31, 2017Segment | |
Segment Reporting [Abstract] | |
Number of reporting segments | 3 |
Financial Information of Compan
Financial Information of Company's Operation by Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | |||||
Revenues | $ 244,987 | $ 205,105 | $ 698,329 | $ 585,746 | |
Operating income | 29,039 | 19,390 | 79,866 | 62,899 | |
Interest expense | (1,936) | (769) | (4,547) | (2,015) | |
Other income (expense), net | 2,164 | (1,257) | 9,611 | 794 | |
Income taxes | (6,837) | (2,426) | (22,303) | (10,535) | |
Net earnings | 22,430 | 14,938 | 62,627 | 51,143 | |
Depreciation and amortization | 14,924 | 14,661 | 44,722 | 41,785 | |
Segment assets | 1,347,648 | 1,347,648 | $ 1,211,981 | ||
Expenditures for property, plant & equipment | 41,313 | 13,587 | 99,135 | 32,743 | |
Investment | 12,007 | 12,007 | $ 11,354 | ||
Eliminations | |||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | |||||
Inter-segment revenues | (15,824) | (11,125) | (41,501) | (30,240) | |
II-VI Laser Solutions | Operating Segments | |||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | |||||
Revenues | 83,648 | 73,778 | 244,421 | 215,552 | |
Inter-segment revenues | 9,661 | 5,962 | 24,361 | 15,342 | |
Operating income | 8,337 | 5,395 | 22,628 | 28,820 | |
Depreciation and amortization | 5,713 | 4,192 | 17,025 | 11,587 | |
Segment assets | 556,238 | 556,238 | |||
Expenditures for property, plant & equipment | 23,299 | 7,156 | 59,161 | 16,511 | |
II-VI Photonics | Operating Segments | |||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | |||||
Revenues | 109,099 | 80,603 | 305,824 | 226,762 | |
Inter-segment revenues | 3,450 | 3,363 | 10,049 | 9,160 | |
Operating income | 15,898 | 9,543 | 45,689 | 23,282 | |
Depreciation and amortization | 5,029 | 4,888 | 14,853 | 14,961 | |
Segment assets | 496,068 | 496,068 | |||
Expenditures for property, plant & equipment | 8,727 | 4,160 | 21,224 | 10,783 | |
II- VI Performance Products | Operating Segments | |||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | |||||
Revenues | 52,240 | 50,724 | 148,084 | 143,432 | |
Inter-segment revenues | 2,713 | 1,800 | 7,091 | 5,738 | |
Operating income | 4,804 | 4,452 | 11,549 | 10,797 | |
Depreciation and amortization | 4,182 | 5,581 | 12,844 | 15,237 | |
Segment assets | 295,342 | 295,342 | |||
Expenditures for property, plant & equipment | 9,287 | $ 2,271 | 18,750 | $ 5,449 | |
Investment | $ 12,007 | $ 12,007 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) | 9 Months Ended |
Mar. 31, 2017shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Percentage of share based compensation expense allocated to cost of sales | 20.00% |
Percentage of share based compensation expense allocated to selling, general and administrative expense | 80.00% |
Omnibus Incentive Plan | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Common stock authorized for issuance under the Plan | 4,900,000 |
Share-Based Compensation Expens
Share-Based Compensation Expense by Award Type (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share based compensation expense | $ 4,565 | $ 2,508 | $ 12,547 | $ 10,106 |
Stock Options and Cash-Based Stock Appreciation Rights | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share based compensation expense | 1,565 | 755 | 4,659 | 3,892 |
Restricted Share Awards and Cash-Based Restricted Share Unit Awards | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share based compensation expense | 1,890 | 991 | 5,450 | 3,776 |
Performance Share Awards and Cash-Based Performance Share Unit Awards | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share based compensation expense | $ 1,110 | $ 762 | $ 2,438 | $ 2,438 |
Fair Value of Financial Instr60
Fair Value of Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2017 | Feb. 29, 2016 | |
Other Expense (Income), Net | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Change in fair value | $ 1.2 | ||
Foreign Currency Forward Contract | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Foreign currency gain (loss) | $ (1.1) | $ 0.2 | |
EpiWorks | Upon Achievement of Financial and Operational Targets For Capacity Wafer Output and Gross Margin [Member] | Maximum | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Business acquisitions, contingent consideration | $ 6 |
Summary by Level of Fair Value
Summary by Level of Fair Value of Financial Instruments Measured on Recurring Basis (Detail) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Liabilities: | ||
Foreign currency forward contracts | $ 135 | $ 511 |
Contingent earnout arrangement | 5,545 | 4,352 |
Fair Value, Inputs, Level 2 | ||
Liabilities: | ||
Foreign currency forward contracts | 135 | 511 |
Fair Value, Inputs, Level 3 | ||
Liabilities: | ||
Contingent earnout arrangement | $ 5,545 | $ 4,352 |
Reconciliation of Beginning and
Reconciliation of Beginning and Ending Fair Value Measurements of Level Three Contingent Earnout Arrangement Related to Acquisition (Detail) - Fair Value, Inputs, Level 3 - EpiWorks $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Business Acquisition Contingent Consideration [Line Items] | |
Balance - beginning of period | $ 4,352 |
Changes in fair value | 1,193 |
Balance - end of period | $ 5,545 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2017JPY (¥) | Jun. 30, 2016USD ($) | |
Minimum | ||||
Derivative [Line Items] | ||||
Foreign currency forward exchange contracts, expiration date | 2017-04 | |||
Maximum | ||||
Derivative [Line Items] | ||||
Foreign currency forward exchange contracts, expiration date | 2017-07 | |||
Foreign Currency Forward Exchange Contracts | ||||
Derivative [Line Items] | ||||
Foreign currency forward exchange contracts, notional amount | $ 7,900,000 | $ 7,900,000 | $ 9,200,000 | |
Foreign currency forward exchange contracts, increase (decrease) in fair value | (1,300,000) | 400,000 | ||
Foreign Currency Forward Exchange Contracts | Minimum | ||||
Derivative [Line Items] | ||||
Foreign currency forward exchange contracts, notional amount | ¥ | ¥ 100,000,000 | |||
Foreign Currency Forward Exchange Contracts | Maximum | ||||
Derivative [Line Items] | ||||
Foreign currency forward exchange contracts, notional amount | ¥ | ¥ 400,000,000 | |||
Foreign Currency Forward Exchange Contracts | Chinese Renminbi | ||||
Derivative [Line Items] | ||||
Foreign currency forward exchange contracts, notional amount | $ 50,000,000 | $ 50,000,000 | ||
Foreign currency forward exchange contracts, maturity date | Mar. 31, 2017 | |||
Gain on expiration of foreign currency forward exchange contracts | $ 300,000 |
Change in Carrying Value of Com
Change in Carrying Value of Company's Warranty Reserve (Detail) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Guarantees [Abstract] | |
Balance-beginning of period | $ 3,908 |
Payments made during the period | (3,184) |
Additional warranty liability recorded during the period | 3,286 |
Balance-end of period | $ 4,010 |
Schedule of Net Periodic Pensio
Schedule of Net Periodic Pension Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Defined Benefit Plan Net Periodic Benefit Cost [Abstract] | ||||
Service cost | $ 874 | $ 658 | $ 2,642 | $ 1,978 |
Interest cost | 39 | 107 | 117 | 321 |
Expected return on plan assets | (176) | (269) | (532) | (810) |
Net amortization | (189) | (22) | 208 | 41 |
Net periodic pension costs | $ 548 | $ 474 | $ 2,435 | $ 1,530 |
Post-Retirement Benefits - Addi
Post-Retirement Benefits - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Compensation And Retirement Disclosure [Abstract] | ||||
Contributions to the Compensation Plan by the employer | $ 0.8 | $ 0.5 | $ 2.6 | $ 1.5 |
Contributions to the Compensation Plan by the employer in remainder of fiscal year 2017 | $ 1 |
Share Repurchase Program (Detai
Share Repurchase Program (Detail) - USD ($) | 32 Months Ended | |
Mar. 31, 2017 | Aug. 31, 2014 | |
Equity [Abstract] | ||
Stock repurchase program, authorized amount | $ 50,000,000 | |
Purchase of common stock, shares | 1,316,587 | |
Purchase of Treasury Stock | $ 19,000,000 |
Changes in Accumulated Other Co
Changes in Accumulated Other Comprehensive Income ("AOCI") by Component, Net of Tax (Detail) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Accumulated Other Comprehensive Income Loss [Line Items] | |
Beginning Balance | $ 782,338 |
Other comprehensive loss before reclassifications | (12,145) |
Amounts reclassified from AOCI | 163 |
Net current-period other comprehensive income (loss) | (11,982) |
Ending Balance | 852,896 |
Foreign Currency Translation Adjustment | |
Accumulated Other Comprehensive Income Loss [Line Items] | |
Beginning Balance | (6,185) |
Other comprehensive loss before reclassifications | (12,145) |
Net current-period other comprehensive income (loss) | (12,145) |
Ending Balance | (18,330) |
Defined Benefit Pension Plan | |
Accumulated Other Comprehensive Income Loss [Line Items] | |
Beginning Balance | (7,832) |
Amounts reclassified from AOCI | 163 |
Net current-period other comprehensive income (loss) | 163 |
Ending Balance | (7,669) |
Accumulated Other Comprehensive Income (Loss) | |
Accumulated Other Comprehensive Income Loss [Line Items] | |
Beginning Balance | (14,017) |
Ending Balance | $ (25,999) |
Capital Lease - Schedule of Fut
Capital Lease - Schedule of Future Minimum Lease Payments Due Under Non-Cancelable Capital Lease (Detail) $ in Thousands | Mar. 31, 2017USD ($) |
Leases [Abstract] | |
2017 (remaining) | $ 645 |
2,018 | 2,579 |
2,019 | 2,579 |
2,020 | 2,579 |
2,021 | 2,579 |
Thereafter | 27,082 |
Total minimum lease payments | 38,043 |
Less amount representing interest | 13,297 |
Present value of capitalized payments | 24,746 |
Less: current portion | 1,057 |
Capital lease obligation | $ 23,689 |
Capital Lease - Additional Info
Capital Lease - Additional Information (Detail) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Leases [Abstract] | |
Present value of capitalized payments | $ 24,746 |
Property, plant and equipment estimated useful lives, years | 15 years |