Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Jun. 30, 2015 | Jul. 28, 2015 | Dec. 31, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Jun. 30, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Public Float | $ 7,803,275,736 | ||
Entity Current Reporting Status | Yes | ||
Trading Symbol | rmd | ||
Entity Registrant Name | RESMED INC | ||
Entity Central Index Key | 943,819 | ||
Current Fiscal Year End Date | --06-30 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 140,516,403 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 717,249 | $ 905,730 |
Accounts receivable, net of allowance for doubtful accounts of $12,276 and $10,971 at June 30, 2015 and June 30, 2014, respectively | 362,568 | 359,593 |
Inventories (note 5) | 246,859 | 165,418 |
Deferred income taxes (note 14) | 36,338 | 31,908 |
Prepaid expenses and other current assets | 81,168 | 93,560 |
Total current assets | 1,444,182 | 1,556,209 |
Non-current assets: | ||
Property, plant and equipment, net (note 6) | 387,758 | 434,277 |
Goodwill and other intangible assets, net (note 7) | 311,403 | 334,510 |
Deferred income taxes (note 14) | 12,528 | 18,755 |
Other assets | 28,389 | 17,211 |
Total non-current assets | 740,078 | 804,753 |
Total assets | 2,184,260 | 2,360,962 |
Current liabilities: | ||
Accounts payable | 81,112 | 85,405 |
Accrued expenses (note 9) | 132,976 | 130,656 |
Deferred revenue | 36,097 | 42,370 |
Income taxes payable | 16,278 | 10,392 |
Deferred income taxes (note 14) | 796 | 717 |
Current portion of long-term debt (note 11) | 18 | |
Total current liabilities | 267,259 | 269,558 |
Non-current liabilities: | ||
Deferred income taxes (note 14) | 8,062 | 10,716 |
Deferred revenue | 19,284 | 16,352 |
Long-term debt (note 11) | 300,594 | 300,770 |
Income taxes payable | 1,754 | 5,318 |
Total non-current liabilities | 329,694 | 333,156 |
Total liabilities | $ 596,953 | $ 602,714 |
Commitments and contingencies (notes 18 and 19) | ||
Stockholders' equity: (note 12) | ||
Preferred stock, $0.01 par value, 2,000,000 shares authorized; none issued | ||
Common stock, $0.004 par value, 350,000,000 shares authorized; 179,660,939 issued and 140,474,705 outstanding at June 30, 2015 and 176,747,039 issued and 140,304,544 outstanding at June 30, 2014 | $ 562 | $ 561 |
Additional paid-in capital | 1,228,795 | 1,117,644 |
Retained earnings | 1,976,020 | 1,780,396 |
Treasury stock, at cost, 39,186,234 shares at June 30, 2015, and 36,442,495 shares at June 30, 2014 | (1,444,554) | (1,291,910) |
Accumulated other comprehensive (loss) income | (173,516) | 151,557 |
Total stockholders' equity | 1,587,307 | 1,758,248 |
Total liabilities and stockholders' equity | $ 2,184,260 | $ 2,360,962 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Consolidated Balance Sheets [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 12,276 | $ 10,971 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.004 | $ 0.004 |
Common stock, shares authorized | 350,000,000 | 350,000,000 |
Common stock, shares issued | 179,660,939 | 176,747,039 |
Common stock, shares outstanding | 140,474,705 | 140,304,544 |
Treasury stock, shares held | 39,186,234 | 36,442,495 |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Consolidated Statements Of Income [Abstract] | |||
Net revenue | $ 1,678,912 | $ 1,554,973 | $ 1,514,457 |
Cost of sales (excluding amortization of acquired intangible assets) | 667,516 | 565,187 | 573,800 |
Gross profit | 1,011,396 | 989,786 | 940,657 |
Operating expenses: | |||
Selling, general and administrative | 478,627 | 450,414 | 430,802 |
Research and development | 114,865 | 118,226 | 120,124 |
Restructuring expenses (note 23) | 6,326 | ||
Education, research and settlement charge (note 23) | 24,765 | ||
Amortization of acquired intangible assets | 8,668 | 9,733 | 10,142 |
Total operating expenses | 602,160 | 584,699 | 585,833 |
Income from operations | 409,236 | 405,087 | 354,824 |
Other income, net: | |||
Interest income | 26,208 | 31,236 | 38,873 |
Interest expense | (5,778) | (6,129) | (6,387) |
Other, net (note 13) | 6,250 | 884 | (2,191) |
Total other income, net | 26,680 | 25,991 | 30,295 |
Income before income taxes | 435,916 | 431,078 | 385,119 |
Income taxes (note 14) | 83,030 | 85,805 | 77,986 |
Net income | $ 352,886 | $ 345,273 | $ 307,133 |
Basic earnings per share | $ 2.51 | $ 2.44 | $ 2.15 |
Diluted earnings per share (note 4) | 2.47 | 2.39 | 2.10 |
Dividend declared per share | $ 1.12 | $ 1 | $ 0.68 |
Basic shares outstanding (000's) | 140,468 | 141,474 | 142,954 |
Diluted shares outstanding (000's) | 142,687 | 144,359 | 146,410 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Consolidated Statements Of Comprehensive Income [Abstract] | |||
Net income | $ 352,886 | $ 345,273 | $ 307,133 |
Other comprehensive (loss) income: | |||
Foreign currency translation (loss) gain adjustments | (325,073) | 59,469 | (144,368) |
Comprehensive income | $ 27,813 | $ 404,742 | $ 162,765 |
Consolidated Statements Of Stoc
Consolidated Statements Of Stockholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-In Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total | |
Beginning balance at Jun. 30, 2012 | $ 568 | $ 899,717 | $ (895,826) | $ 1,366,712 | $ 236,456 | $ 1,607,627 | |
Beginning balance, shares at Jun. 30, 2012 | 169,753,000 | (27,732,000) | |||||
Common stock issued on exercise of options (note 12) | $ 14 | 65,635 | 65,649 | ||||
Common stock issued on exercise of options, shares (note 12) | 3,433,000 | ||||||
Common stock issued on vesting of restricted stock units, net of shares withheld for tax (note 12) | $ 2 | (7,180) | (7,178) | ||||
Common stock issued on vesting of restricted stock units, net of shares withheld for tax, shares (note 12) | 529,000 | ||||||
Common stock issued on employee stock purchase plan (note 12) | $ 1 | 10,451 | 10,452 | ||||
Common stock issued on employee stock purchase plan, shares (note 12) | 324,000 | ||||||
Treasury stock purchases | $ (17) | $ (188,019) | (188,036) | ||||
Treasury stock purchases, shares | (4,294,000) | ||||||
Tax benefit from exercise of options | 18,215 | 18,215 | |||||
Stock-based compensation costs | 38,226 | 38,226 | |||||
Other comprehensive income | (144,368) | (144,368) | |||||
Net income | 307,133 | 307,133 | |||||
Dividends declared | (97,204) | (97,204) | |||||
Ending balance at Jun. 30, 2013 | $ 568 | 1,025,064 | $ (1,083,845) | 1,576,641 | 92,088 | 1,610,516 | |
Ending balance, shares at Jun. 30, 2013 | 174,039,000 | (32,026,000) | |||||
Common stock issued on exercise of options (note 12) | $ 7 | 31,157 | 31,164 | ||||
Common stock issued on exercise of options, shares (note 12) | 1,681,000 | ||||||
Common stock issued on vesting of restricted stock units, net of shares withheld for tax (note 12) | $ 3 | (11,302) | (11,299) | ||||
Common stock issued on vesting of restricted stock units, net of shares withheld for tax, shares (note 12) | 713,000 | ||||||
Common stock issued on employee stock purchase plan (note 12) | $ 1 | 13,052 | 13,053 | ||||
Common stock issued on employee stock purchase plan, shares (note 12) | 314,000 | ||||||
Treasury stock purchases | $ (18) | $ (208,065) | (208,083) | ||||
Treasury stock purchases, shares | (4,416,000) | ||||||
Tax benefit from exercise of options | 16,211 | 16,211 | |||||
Stock-based compensation costs | 43,462 | 43,462 | |||||
Other comprehensive income | 59,469 | 59,469 | |||||
Net income | 345,273 | 345,273 | |||||
Dividends declared | (141,518) | (141,518) | |||||
Ending balance at Jun. 30, 2014 | $ 561 | 1,117,644 | $ (1,291,910) | 1,780,396 | 151,557 | 1,758,248 | |
Ending balance, shares at Jun. 30, 2014 | 176,747,000 | (36,442,000) | |||||
Common stock issued on exercise of options (note 12) | $ 8 | 36,565 | $ 36,573 | ||||
Common stock issued on exercise of options, shares (note 12) | 1,954,000 | 1,999,003 | [1] | ||||
Common stock issued on vesting of restricted stock units, net of shares withheld for tax (note 12) | $ 3 | (11,406) | $ (11,403) | ||||
Common stock issued on vesting of restricted stock units, net of shares withheld for tax, shares (note 12) | 651,000 | ||||||
Common stock issued on employee stock purchase plan (note 12) | $ 1 | 13,412 | 13,413 | ||||
Common stock issued on employee stock purchase plan, shares (note 12) | 309,000 | ||||||
Treasury stock purchases | $ (11) | $ (152,644) | (152,655) | ||||
Treasury stock purchases, shares | (2,744,000) | ||||||
Tax benefit from exercise of options | 24,868 | 24,868 | |||||
Stock-based compensation costs | 47,712 | 47,712 | |||||
Other comprehensive income | (325,073) | (325,073) | |||||
Net income | 352,886 | 352,886 | |||||
Dividends declared | (157,262) | (157,262) | |||||
Ending balance at Jun. 30, 2015 | $ 562 | $ 1,228,795 | $ (1,444,554) | $ 1,976,020 | $ (173,516) | $ 1,587,307 | |
Ending balance, shares at Jun. 30, 2015 | 179,661,000 | (39,186,000) | |||||
[1] | Includes 45,000 shares netted for tax. |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Cash flows from operating activities: | |||
Net income | $ 352,886 | $ 345,273 | $ 307,133 |
Adjustment to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 73,056 | 73,454 | 78,280 |
Stock-based compensation costs | $ 47,855 | $ 43,457 | 38,157 |
Impairment of cost-method investments | 475 | ||
Changes in fair value of business combination contingent consideration | $ (132) | $ (6,283) | (1,827) |
Gain on disposal of business | (709) | ||
Excess tax benefit from stock-based compensation arrangements | (24,959) | (16,335) | (18,307) |
Changes in operating assets and liabilities, net of effect of acquisitions: | |||
Accounts receivable, net | (28,259) | (35,108) | (37,267) |
Inventories, net | (99,524) | (15,851) | 27,143 |
Prepaid expenses, net deferred income taxes and other current assets | (22,849) | 5,814 | (28,678) |
Accounts payable, accrued expenses and other liabilities | 85,815 | (3,153) | 37,714 |
Net cash provided by operating activities | 383,180 | 391,268 | 402,823 |
Cash flows from investing activities: | |||
Purchases of property, plant and equipment | (62,502) | (72,722) | (63,579) |
Patent registration costs | (9,442) | (8,434) | (8,203) |
Business acquisitions, net of cash acquired | (29,407) | (3,852) | (5,418) |
Investments in cost-method investments | (10,750) | $ (10,850) | $ (2,225) |
Proceeds from disposal of cost-method investment | 937 | ||
Purchases of foreign currency contracts | (700) | $ (1,477) | $ (1,117) |
(Payment)/proceeds on maturity of foreign currency contracts | (31,207) | 2,348 | 2,542 |
Net cash used in investing activities | (143,071) | (94,987) | (78,000) |
Cash flows from financing activities: | |||
Proceeds from issuance of common stock, net | 38,806 | 33,354 | 69,239 |
Excess tax benefit from stock-based compensation arrangements | 24,959 | 16,335 | 18,307 |
Purchases of treasury stock | (160,300) | (202,169) | (186,258) |
Payment of business combination contingent consideration | (458) | (1,117) | (7,790) |
Proceeds from borrowings, net of borrowing costs | 180,000 | 557,834 | 150,000 |
Repayment of borrowings | (181,536) | (560,035) | (100,221) |
Dividends paid | (157,262) | (141,518) | (97,204) |
Net cash used in financing activities | (255,791) | (297,316) | (153,927) |
Effect of exchange rate changes on cash | (172,799) | 30,717 | (104,389) |
Net (decrease) increase in cash and cash equivalents | (188,481) | 29,682 | 66,507 |
Cash and cash equivalents at beginning of period | 905,730 | 876,048 | 809,541 |
Cash and cash equivalents at end of period | 717,249 | 905,730 | 876,048 |
Supplemental disclosure of cash flow information: | |||
Income taxes paid, net of refunds | 48,533 | 90,183 | 85,724 |
Interest paid | 5,778 | 6,129 | 6,387 |
Fair value of assets acquired, excluding cash | 20,408 | 2,257 | 5,970 |
Liabilities assumed | (8,528) | (829) | (2,278) |
Goodwill on acquisition | 20,947 | 3,227 | 13,876 |
Deferred payments | (1,703) | (803) | |
Fair value of contingent consideration | (1,717) | (12,150) | |
Cash paid for acquisition | $ 29,407 | $ 3,852 | $ 5,418 |
Organization And Basis Of Prese
Organization And Basis Of Presentation | 12 Months Ended |
Jun. 30, 2015 | |
Organization And Basis Of Presentation [Abstract] | |
Organization And Basis Of Presentation | (1) Organization and Basis of Presentation ResMed Inc. (referred to herein as “we”, “us”, “our” or the “Company”) is a Delaware corporation formed in March 1994 as a holding company for the ResMed Group. Through our subsidiaries, we design, manufacture and market equipment for the diagnosis and treatment of sleep-disordered breathing and other respiratory disorders, including obstructive sleep apnea. Our manufacturing operations are located in Australia, Singapore, France, Germany, Malaysia and the United States. Major distribution and sales sites are located in the United States, Germany, France, the United Kingdom, Switzerland, Australia, Japan, Norway and Sweden. |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2015 | |
Summary Of Significant Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | (2) Summary of Significant Accounting Policies (a) Basis of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation. The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management estimates and assumptions that affect amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from management’s estimates. (b) Revenue Recognition We generally record revenue on product sales at the time of shipment, which is when title transfers to the customer. We do not record revenue on product sales which require customer acceptance until we receive acceptance. We initially defer service revenue received in advance from service contracts and recognize that deferred revenue ratably over the life of the service contract. We initially defer revenue we receive in advance from rental unit contracts and recognize that deferred revenue ratably over the life of the rental contract. Otherwise, we recognize revenue from rental unit contracts ratably over the life of the rental contract. We include in revenue freight charges we bill to customers. We charge all freight-related expenses to cost of sales. Taxes assessed by government authorities that are imposed on and concurrent with revenue-producing transactions, such as sales and value added taxes, are excluded from revenue. We do not recognize revenues to the extent that we offer a right of return or other recourse with respect to the sale of our products, other than returns for product defects or other warranty claims, nor do we recognize revenues if we offer variable sale prices for subsequent events or activities. However, as part of our sales processes we may provide upfront discounts for large orders, one-time special pricing to support new product introductions, sales rebates for centralized purchasing entities or price-breaks for regular order volumes. We record the costs of all such programs as an adjustment to revenue. Our products are predominantly therapy-based equipment and require no installation. Therefore, we have no installation obligations. For multiple-element arrangements, we allocate arrangement consideration to the deliverables by use of the relative selling price method. The selling price used for each deliverable is based on vendor–specific objective evidence. (c) Cash and Cash Equivalents Cash equivalents include certificates of deposit and other highly liquid investments and we state them at cost, which approximates market. We consider investments with original maturities of 90 days or less to be cash equivalents for purposes of the consolidated statements of cash flows. Our cash and cash equivalents balance at June 30, 2015, include $402.4 million in cash which is subject to notice periods of up to 90 days. The se cash balances earn interest rates above normal term deposit rates otherwise available and are held at highly rated financial institutions. (d) Inventories We state inventories at the lower of cost (determined principally by the first-in, first-out method) or net realizable value. We include material, labor and manufacturing overhead costs in finished goods and work-in-process inventories. We review and provide for any product obsolescence in our manufacturing and distribution operations by assessing throughout the year individual products and components (based on estimated future usage and sales). (e) Property, Plant and Equipment We record property, plant and equipment, including rental and demonstration equipment at cost. We compute depreciation expense using the straight-line method over the estimated useful lives of the assets. Useful lives are generally two to ten years except for buildings which are depreciated over an estimated useful life of 40 years and leasehold improvements, which we amortize over the lease term. We charge maintenance and repairs to expense as we incur them. (f) Intangible Assets We capitalize the registration costs for new patents and amortize the costs over the estimated useful life of the patent, which is generally five years. If a patent is superseded or a product is retired, any unamortized costs are written off immediately. We amortize all of our other intangible assets on a straight-line basis over their estimated useful lives, which range from two to nine years. We evaluate the recoverability of intangible assets periodically and take into account events or circumstances that warrant revised estimates of useful lives or that indicate that impairment exists. We have not identified any impairment of intangible assets during any of the periods presented. (g) Goodwill We conducted our annual review for goodwill impairment during the final quarter of fiscal 2015 using a quantitative assessment. In conducting our review of goodwill impairment, we identified 8 reporting units, being components of our operating segment. The fair value for each reporting unit was determined based on estimated discounted cash flows. Our goodwill impairment review involved a two-step process as follows: Step 1- Compare the fair value for each reporting unit to its carrying value, including goodwill. For each reporting unit where the carrying value, including goodwill, exceeds the reporting unit’s fair value, move on to step 2. If a reporting unit’s fair value exceeds the carrying value, no further work is performed and no impairment charge is necessary. Step 2- Allocate the fair value of the reporting unit to its identifiable tangible and non-goodwill intangible assets and liabilities. This will derive an implied fair value for the goodwill. Then, compare the implied fair value of the reporting unit’s goodwill with the carrying amount of the reporting unit’s goodwill. If the carrying amount of the reporting unit’s goodwill is greater than the implied fair value of its goodwill, an impairment loss must be recognized for the excess. The results of Step 1 of our annual review indicated that no impaired goodwill exists as the fair value for each reporting unit significantly exceeded its carrying value. (h) Foreign Currency The consolidated financial statements of our non-U.S. subsidiaries, whose functional currencies are other than the U.S. dollar, are translated into U.S. dollars for financial reporting purposes. We translate assets and liabilities of non-U.S. subsidiaries whose functional currencies are other than the U.S. dollar at period end exchange rates, but translate revenue and expense transactions at average exchange rates for the period. We recognize cumulative translation adjustments as part of comprehensive income, as detailed in the consolidated statements of comprehensive income, and include those adjustments in accumulated other comprehensive income in the consolidated balance sheets until such time the relevant subsidiary is sold or substantially or completely liquidated. We reflect gains and losses on transactions denominated in other than the functional currency of an entity in our results of operations. (i) Research and Development We record all research and development expenses in the period we incur them. (j) Financial Instruments The carrying value of financial instruments, such as cash equivalents, accounts receivable and accounts payable, approximate their fair value because of their short-term nature. The carrying value of long-term debt approximates its fair value as the principal amounts outstanding are subject to variable interest rates that are based on market rates which are regularly reset. Foreign currency hedging instruments are marked to market and therefore reflect their fair value. We do not hold or issue financial instruments for trading purposes. The fair value of financial instruments is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. (k) Foreign Exchange Risk Management We enter into various types of foreign exchange contracts in managing our foreign exchange risk, including derivative financial instruments encompassing forward exchange contracts and foreign currency options. The purpose of our foreign currency hedging activities is to protect us from adverse exchange rate fluctuations with respect to net cash movements resulting from the sales of products to foreign customers and Australian and Singapore manufacturing activities. We enter into foreign exchange contracts to hedge anticipated sales and manufacturing costs, principally denominated in Australian and Singapore dollars, and Euros. The terms of such foreign exchange contracts generally do not exceed three years. We have determined our hedge program to be a non-effective hedge as defined. We record the foreign currency derivatives portfolio at fair value and include it in other assets and accrued expenses in our consolidated balance sheets. We do not offset the fair value amounts recognized for foreign currency derivatives. We classify purchases of foreign currency derivatives and proceeds received from the exercise of foreign currency derivatives as an investing activity within our consolidated statements of cash flows. We record all movements in the fair value of the foreign currency derivatives within other income, net in our consolidated statements of income. (l) Income Taxes We account for income taxes under the asset and liability method. We recognize deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. We measure deferred tax assets and liabilities using the enacted tax rates we expect to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. (m) Allowance for Doubtful Accounts We maintain an allowance for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments, which results in bad debt expense. We determine the adequacy of this allowance by periodically evaluating individual customer receivables, considering a customer’s financial condition, credit history and current economic conditions. We are also contingently liable, within certain limits, in the event of a customer default, to independent leasing companies in connection with customer leasing programs. We monitor the collection status of these installment receivables and provide for estimated losses separately under accrued expenses within our consolidated balance sheets based upon our historical collection experience with such receivables and a current assessment of our credit exposure. (n) Impairment of Long-Lived Assets We periodically evaluate the carrying value of long-lived assets to be held and used, including certain identifiable intangible assets, when events and circumstances indicate that the carrying amount of an asset may not be recovered. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows expected to be generated by the asset. If assets are considered to be impaired, we recognize as the impairment the amount by which the carrying amount of the assets exceeds the fair value of the assets. We report assets to be disposed of at the lower of the carrying amount or fair value less costs to sell. We recognized no impairment charges in relation to long-lived assets during fiscal years ended June 30, 2015, 2014 and 2013. (o) Contingencies We record a liability in the consolidated financial statements for loss contingencies when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is accrued. If a loss is reasonably possible but not known or probable, and can be reasonably estimated, the estimated loss or range of loss is disclosed. When determining the estimated loss or range of loss, significant judgment is required to estimate the amount and timing of a loss to be recorded. |
New Accounting Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Jun. 30, 2015 | |
New Accounting Pronouncements [Abstract] | |
New Accounting Pronouncements | (3) New Accounting Pronouncements In May, 2014, the FASB issued Accounting Standards Update (ASU), ASU No. 2014-09, “Revenue from Contracts with Customers”, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard is effective for the Company beginning in the first quarter of fiscal year 2019. Early application is not permitted. We are currently assessing the impact on our financial condition, results of operations and cash flows as a result of the adoption of ASU 2014-09. In April , 2015, the FASB issued ASU No. 2015-03, "Simplifying the Presentation of Debt Issuance Costs". ASU 2015-03 will more closely align the presentation of debt issuance costs under U.S. GAAP with the presentation under comparable IFRS standards by requiring that debt issuance costs be presented on the balance sheet as a direct deduction from the carrying amount of the related debt liability. This accounting guidance is effective for us beginning in the first quarter of fiscal 2017. We do not expect this updated standard to have a material impact on our consolidated financial statements and related disclosures. In July 2015, the FASB issued ASU No. 2015-11, “Simplifying the Measurement of Inventory” which requires an entity to measure inventory within the scope of this ASU at the lower of cost and net realizable value. Net realizable value is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. The amendments in this guidance more closely align the measurement of inventory in GAAP with the measurement of inventory in International Financial Reporting Standards (IFRS). This accounting guidance is effective for us beginning in the first quarter of fiscal 2018. We do not expect this updated standard to have a material impact on our consolidated financial statements and related disclosures. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | (4) Earnings Per Share We compute basic earnings per share by dividing the net income available to common stockholders by the weighted average number of shares of common stock outstanding. For purposes of calculating diluted earnings per share, the denominator includes both the weighted average number of shares of common stock outstanding and the number of dilutive common stock equivalents such as stock options and restricted stock units. The weighted average number of outstanding stock options and restricted stock units not included in the computation of diluted earnings per share were 62,000 , 273,000 and 236,000 for the years ended June 30, 2015, 2014 and 2013, respectively, as the effect would have been anti-dilutive. Basic and diluted earnings per share for the years ended June 30, 2015, 2014 and 2013 are calculated as follows (in thousands except per share data): 2015 2014 2013 Numerator: Net Income, used in calculating diluted earnings per share $ $ $ Denominator: Basic weighted-average common shares outstanding Effect of dilutive securities: Stock options and restricted stock units Diluted weighted average shares Basic earnings per share $ $ $ Diluted earnings per share $ $ $ |
Inventories
Inventories | 12 Months Ended |
Jun. 30, 2015 | |
Inventories [Abstract] | |
Inventories | (5) Inventories Inventories were comprised of the following as of June 30, 2015 and June 30, 2014 (in thousands): 2015 2014 Raw materials $ $ Work in progress Finished goods Total inventories $ $ |
Property, Plant And Equipment
Property, Plant And Equipment | 12 Months Ended |
Jun. 30, 2015 | |
Property, Plant And Equipment, Net [Abstract] | |
Property, Plant And Equipment | (6) Property, Plant and Equipment, net Property, plant and equipment, net is comprised of the following as of June 30, 2015 and June 30, 2014 (in thousands): 2015 2014 Machinery and equipment $ $ Computer equipment Furniture and fixtures Vehicles Clinical, demonstration and rental equipment Leasehold improvements Land Buildings Accumulated depreciation and amortization Property, plant and equipment, net $ $ |
Goodwill And Other Intangible A
Goodwill And Other Intangible Assets, Net | 12 Months Ended |
Jun. 30, 2015 | |
Goodwill And Other Intangible Assets, Net [Abstract] | |
Goodwill And Other Intangible Assets, Net | (7) Goodwill and Other Intangible Assets, net Goodwill Changes in the carrying amount of goodwill for the years ended June 30, 2015 and June 30, 2014 (in thousands): 2015 2014 Balance at the beginning of the period $ $ Business acquisition (note 22) Foreign currency translation adjustments Balance at the end of the period $ $ As at June 30, 2015 we have not recorded any goodwill impairments. Other Intangible Assets Other intangibles, net are comprised of the following as of June 30, 2015 and June 30, 2014: 2015 2014 Developed/core product technology $ $ Accumulated amortization Developed/core product technology, net Trade names Accumulated amortization Trade names, net Non-compete agreements Accumulated amortization Non-compete agreements, net Customer relationships Accumulated amortization Customer relationships, net Patents Accumulated amortization Patents, net Total other intangibles, net $ $ Intangible assets consist of developed/core product technology, trade names, non-compete agreements, customer relationships and patents, and we amortize them over the estimated useful life of the assets, generally between two and nine years. There are no expected residual values related to these intangible assets. Refer to note 22 of the consolidated financial statements for details of acquisitions made during the year. Amortization expense related to identifiable intangible assets, including patents, for the year ended June 30, 2015 was $ 15.0 million . Estimated annual amortization expense for the years ending June 30, 2016 through June 30, 2020, is shown below (in thousands): Fiscal Year Amortization expense 2016 $ 2017 2018 2019 2020 |
Cost-Method Investments
Cost-Method Investments | 12 Months Ended |
Jun. 30, 2015 | |
Cost-Method Investments [Abstract] | |
Cost-Method Investments | (8) Cost-Method Investments The aggregate carrying amount of our cost-method investments at June 30, 2015 and June 30, 2014, included within our other long-term assets on our consolidated balance sheets, was $ 25.6 million and $ 14.9 million, respectively. We periodically evaluate the carrying value of our cost-method investments, when events and circumstances indicate that the carrying amount of an asset may not be recovered. We determine the fair value of our cost-method investments to evaluate whether impairment losses shall be recorded using Level 3 inputs. These investments include our holdings in privately held service and research companies that are not exchange traded and therefore not supported with observable market prices. However, these investments are valued by reference to their net asset values which can be market supported and unobservable inputs including future cash flows. We have determined, that the fair value of our cost-method investments exceed their carrying values. The following table shows a reconciliation of the changes in our cost-method investments during the years ended June 30, 2015 and June 30, 2014 (in thousands): 2015 2014 Balance at the beginning of the period $ $ Investments Impairment of cost-method investments - - Balance at the end of the period $ $ |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Jun. 30, 2015 | |
Accrued Expenses [Abstract] | |
Accrued Expenses | (9) Accrued Expenses Accrued expenses at June 30, 2015 and June 30, 2014 consist of the following (in thousands): 2015 2014 Product warranties $ $ Consulting and professional fees Value added taxes and other taxes due Employee related costs Marketing and promotional programs Business acquisition contingent consideration Hedging instruments SERVE-HF field safety notification expenses (note 19) - Liability on receivables sold with recourse - Other $ $ |
Product Warranties
Product Warranties | 12 Months Ended |
Jun. 30, 2015 | |
Product Warranties [Abstract] | |
Product Warranties | (10) Product Warranties We include the liability for warranty costs in accrued expenses in our consolidated balance sheets. Changes in the liability for product warranty for the years ended June 30, 2015 and 2014 are as follows (in thousands): 2015 2014 Balance at the beginning of the period $ $ Warranty accruals for the period Warranty costs incurred for the period Foreign currency translation adjustments Balance at the end of the period $ $ |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Jun. 30, 2015 | |
Long-Term Debt [Abstract] | |
Long-Term Debt | (11) Long-term Debt Long-term debt at June 30, 2015 and June 30, 2014 consists of the following (in thousands): June 30, 2015 June 30, 2014 Current long-term debt $ - $ Non-current long-term debt Total long-term debt $ $ Credit Facility On October 31, 2013, we entered into a credit agreement, as borrower, with lenders, including Union Bank, N.A., as administrative agent, joint lead arranger, swing line lender and letters of credit issuer, and HSBC Bank USA, National Association, as syndication agent and joint lead arranger. Our obligations under the credit agreement are guaranteed by ResMed Corp. and ResMed Motor Technologies Inc., two of our U.S. subsidiaries. The credit agreement provides a $700 million senior unsecured five -year revolving credit facility, with an uncommitted option to increase the credit facility by an additional $300 million. The credit facility also includes a $25 million sublimit for letters of credit. The credit facility terminates on October 31, 2018 , when all unpaid principal and interest under the loans must be repaid. The outstanding principal amount due under the credit facility will bear interest at a rate equal to LIBOR plus 1.0% to 2.0% (depending on the then-applicable leverage ratio). At June 30, 2015, the interest rate that was being charged on the outstanding principal amount was 1.2% . An applicable commitment fee of 0.15% to 0.25% (depending on the then-applicable leverage ratio) applies on the unused portion of the credit facility. When we entered into the credit agreement, we used a portion of the proceeds from the initial funding of the credit facility to repay the outstanding balance under our previous revolving credit facility with Union Bank, N.A and other lenders. On that repayment, the previous credit agreement, dated as of February 10, 2011, between us and lenders (including Union Bank, N.A., as administrative agent, swing line lender and L/C Issuer, HSBC Bank USA, National Association, as syndication agent and Union Bank, N.A., HSBC Bank USA, National Association, Commonwealth Bank of Australia and Wells Fargo Bank), was terminated and the commitments under the previous credit agreement were also terminated. Our obligations under the current credit agreement are unsecured but are guaranteed by two of our U.S. subsidiaries. The credit agreement contains customary covenants, including certain financial covenants and an obligation that we maintain certain financial ratios, including a maximum leverage ratio of funded debt to EBITDA (as defined in the credit agreement) and an interest coverage ratio. The entire principal amount of the credit facility and any accrued but unpaid interest may be declared immediately due and payable if an event of default occurs, as defined in the credit agreement. Events of default under the credit agreement include failure to make payments when due, the occurrence of a default in the performance of any covenants in the credit agreement or related documents, or certain changes of control of ResMed Inc., ResMed Corp., ResMed Motor Technologies Inc., ResMed Limited, ResMed Holdings Ltd/LLC or ResMed EAP Holdings LLC. At June 30, 2015, there was $ 300.0 million outstanding under the credit agreement. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity [Abstract] | |
Stockholders' Equity | (12) Stockholders’ Equity Common Stock. On February 21, 2014, our board of directors approved a new share repurchase program, authorizing us to acquire up to an aggregate of 20.0 million shares of our common stock. The program allows us to repurchase shares of our common stock from time to time for cash in the open market, or in negotiated or block transactions, as market and business conditions warrant and subject to applicable legal requirements. This program canceled and replaced our previous share repurchase program authorized on August 24, 2011, under which we had repurchased 18.1 million shares. The 20.0 million shares the new program authorizes us to purchase are in addition to the shares we repurchased on or before February 21, 2014 under our previous programs. There is no expiration date for this program, and the program may be accelerated, suspended, delayed or discontinued at any time at the discretion of our board of directors. All share repurchases since February 21, 2014 have been executed in accordance with this program. During the fiscal years 2015 and 2014, we repurchased 2.7 million and 4.4 million shares, respectively, at a cost of $ 152.6 million and $ 208.1 million, respectively. At June 30, 2015, we have repurchased a total of 39.2 million shares at a cost of $ 1 .4 billion . Shares that are repurchased are classified as “treasury stock pending future use” and reduce the number of shares outstanding used in calculating earnings per share. At June 30, 2015 , 15.5 million additional shares can be repurchased under the approved share repurchase program. Preferred Stock. In April 1997, our board of directors authorized 2,000,000 shares of $ 0.01 par value preferred stock. No such shares were issued or outstanding at June 30, 2015. Stock Options and Restricted Stock Units. We have granted stock options and restricted stock units to personnel, including officers and directors, in accordance with the ResMed Inc. 2009 Incentive Award Plan (the “2009 Plan”). These options and restricted stock units vest over one to four years and the options have expiration dates of seven years from the date of grant. We have granted the options with an exercise price equal to the market value as determined at the date of grant. The maximum number of shares of our common stock authorized for issuance under the 2009 Plan is 43.7 million . The number of securities remaining available for future issuance under the 2009 Plan at June 30, 2015 is 13.6 million . The number of shares of our common stock available for issuance under the 2009 Plan will be reduced by (i) 2.8 shares for each one share of common stock delivered in settlement of any “full-value award,” which is any award other than a stock option, stock appreciation right or other award for which the holder pays the intrinsic value and (ii) one share for each share of common stock delivered in settlement of all other awards. The maximum number of shares, which may be subject to awards granted under the 2009 Plan to any individual during any calendar year, may not exceed 3 million shares of our common stock (except in a participant’s initial year of hiring up to 4.5 million shares of our common stock may be granted). At June 30, 2015, there was $68.8 million in unrecognized compensation costs related to unvested stock-based compensation arrangements. This is expected to be recognized over a weighted average period of 2.2 years . The aggregate intrinsic value of the stock-based compensation arrangements outstanding and exercisable at June 30, 2015 was $205.5 million and $66.4 million, respectively. The aggregate intrinsic value of the options exercised during the fiscal years 2015, 2014, and 2013 was $80.2 million, $50.2 million and $77.8 million, respectively. The following table summarizes option activity during the year ended June 30, 2015: Weighted Average Exercise Price Weighted Average Remaining Term to Vest in Years Outstanding at beginning of period $ 2.6 Granted Exercised* Forfeited Outstanding at end of period $ 2.5 Exercise price granted options $ Options exercisable at end of period $ * Includes 45,000 shares netted for tax. The following table summarizes the activity of restricted stock units, including performance restricted stock units, during year ended June 30, 2015: Weighted Average Grant-Date Fair Value Weighted Average Remaining Term to Vest in Years Outstanding at beginning of period $ 1.3 Granted Vested* Forfeited Outstanding at end of period $ 1.2 * Includes 222,486 shares netted for tax. Employee Stock Purchase Plan (the “ESPP”). Under the ESPP, we offer participants the right to purchase shares of our common stock at a discount during successive offering periods. Each offering period under the ESPP will be for a period of time determined by the board of directors’ compensation committee of no less than 3 months and no more than 27 months. The purchase price for our common stock under the ESPP will be the lower of 85 % of the fair market value of our common stock on the date of grant or 85 % of the fair market value of our common stock on the date of purchase. An individual participant cannot subscribe for more than $ 25,000 in common stock during any calendar year. At June 30, 2015, the number of shares remaining available for future issuance under the ESPP is 1.5 million shares. During fiscal years 2015 and 2014, we issued 309,000 and 314,000 shares to our employees in two offerings and we recognized $ 3.3 million and $ 3.1 million, respectively, of stock compensation expense associated with the ESPP. The following table summarizes the total stock-based compensation costs incurred and the associated tax benefit recognized during the years ended June 30, 2015, 2014 and 2013 (in thousands): Cost of sales - capitalized as part of inventory $ $ $ Selling, general and administrative expenses Research and development expenses Stock-based compensation costs Tax benefit Stock-based compensation costs, net of tax benefit $ $ $ |
Other, Net
Other, Net | 12 Months Ended |
Jun. 30, 2015 | |
Other, Net [Abstract] | |
Other, Net | (13) Other, net Other, net, in the consolidated statements of income is comprised of the following for the years ended June 30, 2015, 2014 and 2013 (in thousands): Gain (loss) on foreign currency transactions and hedging, net $ $ $ Impairment of cost method investments - - Other $ $ $ |
Income Taxes
Income Taxes | 12 Months Ended |
Jun. 30, 2015 | |
Income Taxes [Abstract] | |
Income Taxes | (14) Income Taxes Income before income taxes for the years ended June 30, 2015, 2014 and 2013, was taxed under the following jurisdictions (in thousands): 2015 2014 2013 U.S. $ $ $ Non-U.S. $ $ $ The provision for income taxes is presented below (in thousands): 2015 2014 2013 Current: Federal $ $ $ State Non-U.S. Deferred: Federal State Non-U.S. Provision for income taxes $ $ $ The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. federal income tax rate of 35 % to pretax income as a result of the following (in thousands): 2015 2014 2013 Taxes computed at statutory U.S. rate $ $ $ Increase (decrease) in income taxes resulting from: State income taxes, net of U.S. tax benefit Research and development credit Tax effect of dividends Change in valuation allowance Effect of non-U.S. tax rates Foreign tax credits Stock-based compensation expense Other $ $ $ We classify deferred tax assets and liabilities as current or non-current according to the related asset or liability’s classification. The components of our deferred tax assets and liabilities at June 30, 2015 and 2014 are as follows (in thousands): 2015 2014 Deferred tax assets: Employee liabilities $ $ Inventories Provision for warranties Provision for doubtful debts Net operating loss carryforwards Capital loss carryover Stock-based compensation expense Unrealized foreign exchange losses - Other Less valuation allowance Deferred tax assets Deferred tax liabilities: Unrealized foreign exchange gains - Property, plant and equipment Goodwill and other intangibles Deferred tax liabilities Net deferred tax asset $ $ We reported the net deferred tax assets and liabilities in our consolidated balance sheets at June 30, 2015 and 2014 as follows (in thousands): 2015 2014 Current deferred tax asset $ $ Non-current deferred tax asset Current deferred tax liability Non-current deferred tax liability Net deferred tax asset $ $ At June 30, 2015, we had $7.5 million of U.S. state net operating loss carryforwards and $64.1 million of non-U.S. net operating loss carryforwards, which expire in various years through 20 20 or carry forward indefinitely. The valuation allowance at June 30, 2015 relates to a provision for uncertainty as to the utilization of net operating loss carryforwards for certain non-U.S. countries of $12.6 million and U.S. and non-U.S. capital loss and other items of $2.0 million. We believe that it is more likely than not that the benefits of deferred tax assets, net of any valuation allowance, will be realized. A substantial portion of the Company’s manufacturing operations and administrative functions in Malaysia and Singapore operate under various tax holidays and tax incentive programs that will expire in whole or in part at various dates through June 30, 2020. Certain of the holidays may be extended if specific conditions are met. The net impact of these tax holidays and tax incentive programs was to increase the Company’s net earnings by $18.9 million ( $0.13 per diluted share) for the year ended June 30, 2015 and $23.6 million ( $0.16 per diluted share) for the year ended June 30, 2014. At June 30, 2015, applicable U.S. federal income taxes and foreign withholding taxes have not been provided on the accumulated earnings of foreign subsidiaries that are expected to be permanently reinvested. The total amount of these undistributed earnings at June 30, 2015 amounted to approximately $1.4 billion. If these earnings had not been permanently reinvested, deferred taxes of approximately $364 million would have been recognized in the consolidated financial statements. In accounting for uncertainty in income taxes, we recognize a tax benefit in the financial statements for an uncertain tax position only if management’s assessment is that the position is “more likely than not” (that is, a likelihood greater than 50 percent) to be allowed by the tax jurisdiction based solely on the technical merits of the position. The term “tax position” refers to a position in a previously filed tax return or a position expected to be taken in a future tax return that is reflected in measuring current or deferred income tax assets and liabilities for annual periods. The Company recognizes interest and penalties related to unrecognized tax benefits within the income tax expense line in the accompanying consolidated statements of income. Accrued interest and penalties are included within the related tax liability line in the consolidated balance sheets. Based on all known facts and circumstances and current tax law, we believe the total amount of unrecognized tax benefits on June 30, 2015, is not material to our results of operations, financial condition or cash flows, and if recognized, would not have a material impact on our effective tax rate. |
Segment Information
Segment Information | 12 Months Ended |
Jun. 30, 2015 | |
Segment Information [Abstract] | |
Segment Information | (15) Segment Information We operate solely in the sleep and respiratory disorders sector of the medical device industry. We therefore believe that, given the single-industry focus of our operations and the inter-dependence of our products, we operate as a single operating segment. Sales of flow generators for each of the years ended June 30, 2015, 2014 and 2013 were $ 975.9 million, $ 846.7 million and $ 823.5 million, respectively. Sales of masks other accessories for each of the years ended June 30, 2015, 2014 and 2013 were $ 703.0 million , $708.3 million and $ 690.9 million, respectively. Financial information by geographic area for the years ended June 30, 2015, 2014 and 2013, is summarized below (in thousands): Revenue from external sources for the years ended June 30, Long lived assets at June 30, 2015 2014 2013 2015 2014 2013 North and Latin America $ $ $ $ $ $ Germany France Australia Rest of the World Total $ $ $ $ $ $ Long-lived assets of geographic areas are those assets used in our operations in each geographical area, and excludes goodwill, other intangible assets, and deferred tax assets. |
Stock-Based Employee Compensati
Stock-Based Employee Compensation | 12 Months Ended |
Jun. 30, 2015 | |
Stock-Based Employee Compensation [Abstract] | |
Stock-Based Employee Compensation | (16) Stock-based Employee Compensation We measure the compensation expense of all stock-based awards at fair value on the grant date. We estimate the fair value of stock options and purchase rights granted under the ESPP using the Black-Scholes valuation model. The fair value of restricted stock units is equal to the market value of the underlying shares as determined at the grant date less the fair value of dividends that holders are not entitled to, during the vesting period. We recognize the fair value as compensation expense using the straight-line method over the service period for awards expected to vest. We estimate the fair value of stock options granted under our stock option plans and purchase rights granted under the ESPP using the following assumptions: Fiscal Year Ended June 30, 2015 2014 Stock options: Weighted average grant date fair value $ 10.58 $ 10.90 Weighted average risk-free interest rate 1.60% 1.44% Expected option life in years 4.9 4.9 Dividend yield 2.15% - 2.15% 1.95% - 2.17% Expected volatility 27% 30% ESPP purchase rights: Weighted average risk-free interest rate 0.1% 0.1% Expected option life in years 6 months 6 months Dividend yield 1.73% - 2.17% 1.44% - 2.00% Expected volatility 22% - 26% 24% - 28% During the fiscal years ended June 30, 2015 and 2014, we granted 216,000 and 187,000 , performance restricted stock units (“PRSUs”), which contain a market condition, with the ultimate realizable number of PRSUs dependent on relative total stockholder return over a three -year period, up to a maximum amount to be issued under the award of 200 % of the original grant. The weighted average grant date fair value of PRSUs granted during the fiscal years 2015 and 2014 was estimated at $51.12 a nd $50.08 per PRSU, respectively, using a Monte-Carlo simulation valuation model. |
Employee Retirement Plans
Employee Retirement Plans | 12 Months Ended |
Jun. 30, 2015 | |
Employee Retirement Plans [Abstract] | |
Employee Retirement Plans | (17) Employee Retirement Plans We contribute to a number of employee retirement plans for the benefit of our employees. Details of the main plans are as follows: (1) Australia - We contribute to defined contribution plans for each employee resident in Australia. All Australian employees, after serving a qualifying period, are entitled to benefits on retirement, disability or death. Employees may contribute additional funds to the plans. We contribute to the plans at the rate of approximately 9.5 % of the salaries of all Australian employees. Our total contributions to the plans for the years ended June 30, 2015, 2014 and 2013, were $ 9.9 million, $ 9.9 million and $ 10.3 million, respectively. (2) United Kingdom - We contribute to a defined contribution plan for each permanent United Kingdom employee. All employees, after serving a three -month qualifying period, are entitled to benefit on retirement, disability or death. Employees may contribute additional funds to the plan. We contribute to the plan at the rate of 5 % of the salaries of all United Kingdom employees. Our total contributions to the plan were $ 0.5 million , $ 0.5 million and $ 0.3 million in fiscal 2015, 2014, and 2013, respectively. (3) United States - We sponsor a defined contribution plan available to substantially all domestic employees. Company contributions to this plan are based on a percentage of employee contributions to a maximum of 4 % of the employee’s salary. Our total contributions to the plan were $ 3.2 million , $ 2.9 million and $ 2.9 million in fiscal 2015, 2014, and 2013, respectively. (4) Switzerland - We sponsor a fixed return defined contribution fund for each permanent Swiss employee. As part of our contribution to the fund, we guarantee a fixed 2 % net return on accumulated contributions per annum. We contribute to the plan at variable rates that have averaged 8 % of salaries over the last three years. Our total contributions to the plan were $ 0.4 million, $ 0.4 million and $ 0.4 million in fiscal 2015, 2014, and 2013, respectively. |
Commitments
Commitments | 12 Months Ended |
Jun. 30, 2015 | |
Commitments [Abstract] | |
Commitments | (18) Commitments We lease buildings, motor vehicles and office equipment under operating leases. We expense rental charges for operating leases on a straight-line basis over the lease term taking into account rent concessions or holidays. Rent expenses under operating leases for the years ended June 30, 2015, 2014 and 2013 were approximately $ 17.0 million, $ 16.5 million and $ 15.2 million, respectively. At June 30, 2015 we had the following future minimum lease payments under non-cancelable operating leases (in thousands): Fiscal Years Operating Leases 2016 $ 2017 2018 2019 2020 Thereafter Total minimum lease payments $ |
Legal Actions And Contingencies
Legal Actions And Contingencies | 12 Months Ended |
Jun. 30, 2015 | |
Legal Actions And Contingencies [Abstract] | |
Legal Actions And Contingencies | (19) Legal Actions and Contingencies Litigation In the normal course of business, we are subject to routine litigation incidental to our business. While the results of this litigation cannot be predicted with certainty, we believe that their final outcome will not, individually or in aggregate, have a material adverse effect on our consolidated financial statements taken as a whole. Contingent Obligations Under Recourse Provisions We use independent leasing companies to provide financing to certain customers for the purchase of our products. In some cases, we are contingently liable in the event of a customer default, to the leasing companies, within certain limits, for unpaid installment receivables transferred to the leasing companies. The gross amount of receivables sold , with recourse, during the fiscal years 2015 and 2014, amounted to $31.5 million and $6.6 million, respectively. The maximum potential amount of contingent liability under these arrangements at June 30, 2015 and June 30, 2014 were $7.2 million , and $4.9 million, respectively. The recourse liability recognized by us at June 30, 2015 and June 30, 2014, in relation to these arrangements was $0.5 million and $0.5 million, respectively. SERVE-HF Field Safety Notification On May 13, 2015 we announced the preliminary analysis of the data on SERVE-HF clinical trial designed to assess whether the treatment of moderate to severe predominant central sleep apnea with Adaptive Servo-Ventilation (ASV) therapy could reduce mortality and morbidity in patients with symptomatic chronic heart failure. The preliminary headline results showed no significant difference with respect to all-cause mortality and hospitalization. However, the analysis of the data identified a statistically significant, 2.5 percent absolute, increased risk of cardiovascular mortality for those patients in the trial who received ASV therapy with moderate to severe predominant central sleep apnea and symptomatic chronic heart failure with reduced ejection fraction. We are working with global regulatory authorities to revise the labels and instructions for use for ResMed ASV devices as well as informing healthcare providers, physicians, and patients of the cardiovascular safety signal observed in SERVE-HF. During the year ended June 30, 2015 we recognized $5.0 million in expenses associated with SERVE-HF field safety notification activities within cost of sales. At June 30, 2015, we had incurred $0.7 million of actual expenses, with the remaining balance of $4.3 million recognized as an accrual. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jun. 30, 2015 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | (20) Fair Value Measurements In determining the fair value measurements of our financial assets and liabilities, we consider the principal and most advantageous market in which we transact and consider assumptions that market participants would use when pricing the financial asset or liability. We maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The hierarchies of inputs are as follows: • Level 1: Input prices quoted in an active market for identical financial assets or liabilities; • Level 2: Inputs other than prices quoted in Level 1, such as prices quoted for similar financial assets and liabilities in active markets, prices for identical assets and liabilities in markets that are not active or other inputs that are observable or can be corroborated by observable market data; and • Level 3: Input prices quoted that are significant to the fair value of the financial assets or liabilities which are not observable nor supported by an active market. The following table summarizes our financial assets and liabilities, as at June 30, 2015 and June 30, 2014, using the valuation input hierarchy (in thousands): Level 1 Level 2 Level 3 Total Balances at June 30, 2015 Foreign currency hedging instruments, net $ - $ 1,038 $ - $ 1,038 Business acquisition contingent consideration $ - $ - $ (1,584) $ (1,584) Balances at June 30, 2014 Foreign currency hedging instruments, net $ - $ (2,270) $ - $ (2,270) Business acquisition contingent consideration $ - $ - $ (480) $ (480) We determine the fair value of our financial assets and liabilities as follows: Foreign currency options – These financial instruments are valued using third-party valuation models based on market observable inputs, including interest rate curves, on-market spot currency prices, volatilities and credit risk. Contingent consideration – These liabilities include the fair value estimates of additional future payments that may be required for some of our previous business acquisitions based on the achievement of certain performance milestones. Each potential future payment is valued using the estimated probability of achieving each milestone, which is then discounted to present value. The following is a reconciliation of changes in the fair value of contingent consideration during fiscal years ended June 30, 2015 and June 30, 2014 (in thousands): 2015 2014 Balance at the beginning of the period $ $ Acquisition date fair value of contingent consideration - Changes in fair value included in operating income Payments Foreign currency translation adjustments Balance at the end of the period $ $ We did not have any significant non-financial assets or liabilities measured at fair value on June 30, 2015 or June 30, 2014. |
Derivative Instruments And Hedg
Derivative Instruments And Hedging Activities | 12 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments And Hedging Activities [Abstract] | |
Derivative Instruments And Hedging Activities | (21) Derivative Instruments and Hedging Activities We transact business in various foreign currencies, including a number of major European currencies as well as the Australian and Singapore dollars. We have significant foreign currency exposure through both our Australian and Singaporean manufacturing activities, and international sales operations. We have established a foreign currency hedging program using purchased currency options and forward contracts to hedge foreign-currency-denominated financial assets, liabilities and manufacturing cash flows. The terms of such foreign currency hedging contracts generally do not exceed three years. The goal of this hedging program is to economically manage the financial impact of foreign currency exposures denominated mainly in Euros, Australian and Singapore dollars. Under this program, increases or decreases in our foreign currency denominated financial assets, liabilities, and firm commitments are partially offset by gains and losses on the hedging instruments. We do not designate these foreign currency contracts as hedges. We have determined our hedge program to be a non-effective hedge as defined under the FASB issued authoritative guidance. All movements in the fair value of the foreign currency instruments are recorded within other income, net in our consolidated statements of income. We do not enter into financial instruments for trading or speculative purposes. We held foreign currency instruments with notional amounts totaling $ 576.5 m illion and $ 473.7 million at June 30, 2015 and June 30, 2014, respectively, to hedge foreign currency fluctuations. These contracts mature at various dates prior to June 30, 2018. The following table summarizes the amount and location of our derivative financial instruments as of June 30, 2015 and June 30, 2014 (in thousands): June 30, 2015 June 30, 2014 Balance Sheet Caption Foreign currency hedging instruments $ $ Other assets - current Foreign currency hedging instruments Other assets - non current Foreign currency hedging instruments Accrued expenses $ $ The following table summarizes the amount and location of gains (losses) associated with our derivative financial instruments and other foreign-currency-denominated transactions for the fiscal year ended June 30, 2015 and June 30, 2014, respectively (in thousands): Gain /(Loss) Recognized Income Statement Caption Year Ended June 30, 2015 2014 Foreign currency hedging instruments $ $ Other, net Other foreign-currency-denominated transactions Other, net $ $ Other, net We are exposed to credit-related losses in the event of non-performance by counter parties to financial instruments. We minimize counterparty credit risk by entering into derivative transactions with major financial institutions and we do not expect material losses as a result of default by our counterparties. |
Business Combinations
Business Combinations | 12 Months Ended |
Jun. 30, 2015 | |
Business Combinations [Abstract] | |
Business Combinations | (22) Business Combinations During the year ended June 30, 2015 we acquired four distributors of equipment and services for the treatment of sleep-disordered breathing and respiratory disorders, based in Australia and New Zealand, including ResSleep International Pty Ltd, which was a related party. During the year ended June 30, 2015 we also acquired Jaysec Technologies LLC, a provider of internet-based software solutions for the home medical equipment (HME) industry , and the business assets of CareTouch, a provider of internet-based solutions and therapy-focused resupply programs for home medical equipment providers . These acquisitions have been accounted for as business combinations using purchase accounting and are included in our consolidated financial statements from their respective acquisition dates. The acquisitions are not considered material business combinations and accordingly pro forma information is not provided. The acquisitions were funded through cash on-hand and we have not incurred any material acquisition related costs. We have completed the purchase price allocation for the above acquisitions. The cost of the acquisitions has been allocated to the assets acquired and liabilities assumed based on estimates of their fair values at the date of acquisition. As part of the purchase price allocation, we recognized an intangible asset relating to customer relationships of $12.0 million, with an estimated useful life of 5 years, developed technology of $4.6 million, with an estimated useful life of 5 years, and goodwill of $20.9 million. The goodwill recognized as part of these acquisitions, of which $13.0 million is not deductible for tax purposes, mainly represents the synergies that are unique to our combined businesses and the potential for new products and services to be developed in the future. |
Restructuring Expenses And Educ
Restructuring Expenses And Education, Research And Settlement Charge | 12 Months Ended |
Jun. 30, 2015 | |
Restructuring Expenses And Education, Research And Settlement Charge [Abstract] | |
Restructuring Expenses And Education, Research And Settlement Charge | (23) Restructuring Expenses and Education, Research and Settlement Charge During the year ended June 30, 2014 we completed a reorganization of our commercial and research and development teams. As a result of this reorganization we terminated the employment of approximately 1% of our employees at a total cost of $6.3 million ( $4.2 million net of tax). We recorded and paid the full amount of $6.3 million in the year ended June 30, 2014, within our operating expenses and separately disclosed the amount as restructuring expenses. During the year ended June 30, 2013 we agreed to pay the University of Sydney $24.8 million to establish two perpetual academic chairs, fund future research in the fields of sleep medicine and biomedical engineering, and settle legal proceedings between us. We expensed the full amount of $24.8 million ( $17.7 million, net of tax) in the year ended June 30, 2013 within our operating expenses and separately disclosed the amount as an education, research and settlement charge. |
Schedule II Valuation And Quali
Schedule II Valuation And Qualifying Accounts And Reserves | 12 Months Ended |
Jun. 30, 2015 | |
Schedule II Valuation And Qualifying Accounts And Reserves [Abstract] | |
Schedule II Valuation And Qualifying Accounts And Reserves | Schedule II RESMED INC. AND SUBSIDIARIES V ALUATION AND Q UALIFYING A CCOUNTS AND R ESERVES Y EARS E NDED JUNE 30, 2015, 201 4 AND 201 3 (in thousands) Balance at Beginning of Period Charged to costs and expenses Other (deductions) Balance at end of period Year ended June 30, 2015 Applied against asset account Allowance for doubtful accounts $ $ Year ended June 30, 2014 Applied against asset account Allowance for doubtful accounts $ $ Year ended June 30, 2013 Applied against asset account Allowance for doubtful accounts $ $ See accompanying report of independent registered public accounting firm. |
Summary Of Significant Accoun32
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Jun. 30, 2015 | |
Summary Of Significant Accounting Policies [Abstract] | |
Basis Of Consolidation | Basis of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant inter-company transactions and balances have been eliminated in consolidation. The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management estimates and assumptions that affect amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from management’s estimates. |
Revenue Recognition | Revenue Recognition We generally record revenue on product sales at the time of shipment, which is when title transfers to the customer. We do not record revenue on product sales which require customer acceptance until we receive acceptance. We initially defer service revenue received in advance from service contracts and recognize that deferred revenue ratably over the life of the service contract. We initially defer revenue we receive in advance from rental unit contracts and recognize that deferred revenue ratably over the life of the rental contract. Otherwise, we recognize revenue from rental unit contracts ratably over the life of the rental contract. We include in revenue freight charges we bill to customers. We charge all freight-related expenses to cost of sales. Taxes assessed by government authorities that are imposed on and concurrent with revenue-producing transactions, such as sales and value added taxes, are excluded from revenue. We do not recognize revenues to the extent that we offer a right of return or other recourse with respect to the sale of our products, other than returns for product defects or other warranty claims, nor do we recognize revenues if we offer variable sale prices for subsequent events or activities. However, as part of our sales processes we may provide upfront discounts for large orders, one-time special pricing to support new product introductions, sales rebates for centralized purchasing entities or price-breaks for regular order volumes. We record the costs of all such programs as an adjustment to revenue. Our products are predominantly therapy-based equipment and require no installation. Therefore, we have no installation obligations. For multiple-element arrangements, we allocate arrangement consideration to the deliverables by use of the relative selling price method. The selling price used for each deliverable is based on vendor–specific objective evidence. |
Cash And Cash Equivalents | Cash and Cash Equivalents Cash equivalents include certificates of deposit and other highly liquid investments and we state them at cost, which approximates market. We consider investments with original maturities of 90 days or less to be cash equivalents for purposes of the consolidated statements of cash flows. Our cash and cash equivalents balance at June 30, 2015, include $402.4 million in cash which is subject to notice periods of up to 90 days. The se cash balances earn interest rates above normal term deposit rates otherwise available and are held at highly rated financial institutions. |
Inventories | Inventories We state inventories at the lower of cost (determined principally by the first-in, first-out method) or net realizable value. We include material, labor and manufacturing overhead costs in finished goods and work-in-process inventories. We review and provide for any product obsolescence in our manufacturing and distribution operations by assessing throughout the year individual products and components (based on estimated future usage and sales). |
Property, Plant And Equipment | Property, Plant and Equipment We record property, plant and equipment, including rental and demonstration equipment at cost. We compute depreciation expense using the straight-line method over the estimated useful lives of the assets. Useful lives are generally two to ten years except for buildings which are depreciated over an estimated useful life of 40 years and leasehold improvements, which we amortize over the lease term. We charge maintenance and repairs to expense as we incur them. |
Intangible Assets | Intangible Assets We capitalize the registration costs for new patents and amortize the costs over the estimated useful life of the patent, which is generally five years. If a patent is superseded or a product is retired, any unamortized costs are written off immediately. We amortize all of our other intangible assets on a straight-line basis over their estimated useful lives, which range from two to nine years. We evaluate the recoverability of intangible assets periodically and take into account events or circumstances that warrant revised estimates of useful lives or that indicate that impairment exists. We have not identified any impairment of intangible assets during any of the periods presented. |
Goodwill | Goodwill We conducted our annual review for goodwill impairment during the final quarter of fiscal 2015 using a quantitative assessment. In conducting our review of goodwill impairment, we identified 8 reporting units, being components of our operating segment. The fair value for each reporting unit was determined based on estimated discounted cash flows. Our goodwill impairment review involved a two-step process as follows: Step 1- Compare the fair value for each reporting unit to its carrying value, including goodwill. For each reporting unit where the carrying value, including goodwill, exceeds the reporting unit’s fair value, move on to step 2. If a reporting unit’s fair value exceeds the carrying value, no further work is performed and no impairment charge is necessary. Step 2- Allocate the fair value of the reporting unit to its identifiable tangible and non-goodwill intangible assets and liabilities. This will derive an implied fair value for the goodwill. Then, compare the implied fair value of the reporting unit’s goodwill with the carrying amount of the reporting unit’s goodwill. If the carrying amount of the reporting unit’s goodwill is greater than the implied fair value of its goodwill, an impairment loss must be recognized for the excess. The results of Step 1 of our annual review indicated that no impaired goodwill exists as the fair value for each reporting unit significantly exceeded its carrying value. |
Foreign Currency | Foreign Currency The consolidated financial statements of our non-U.S. subsidiaries, whose functional currencies are other than the U.S. dollar, are translated into U.S. dollars for financial reporting purposes. We translate assets and liabilities of non-U.S. subsidiaries whose functional currencies are other than the U.S. dollar at period end exchange rates, but translate revenue and expense transactions at average exchange rates for the period. We recognize cumulative translation adjustments as part of comprehensive income, as detailed in the consolidated statements of comprehensive income, and include those adjustments in accumulated other comprehensive income in the consolidated balance sheets until such time the relevant subsidiary is sold or substantially or completely liquidated. We reflect gains and losses on transactions denominated in other than the functional currency of an entity in our results of operations. |
Research And Development | Research and Development We record all research and development expenses in the period we incur them. |
Financial Instruments | Financial Instruments The carrying value of financial instruments, such as cash equivalents, accounts receivable and accounts payable, approximate their fair value because of their short-term nature. The carrying value of long-term debt approximates its fair value as the principal amounts outstanding are subject to variable interest rates that are based on market rates which are regularly reset. Foreign currency hedging instruments are marked to market and therefore reflect their fair value. We do not hold or issue financial instruments for trading purposes. The fair value of financial instruments is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. |
Foreign Exchange Risk Management | Foreign Exchange Risk Management We enter into various types of foreign exchange contracts in managing our foreign exchange risk, including derivative financial instruments encompassing forward exchange contracts and foreign currency options. The purpose of our foreign currency hedging activities is to protect us from adverse exchange rate fluctuations with respect to net cash movements resulting from the sales of products to foreign customers and Australian and Singapore manufacturing activities. We enter into foreign exchange contracts to hedge anticipated sales and manufacturing costs, principally denominated in Australian and Singapore dollars, and Euros. The terms of such foreign exchange contracts generally do not exceed three years. We have determined our hedge program to be a non-effective hedge as defined. We record the foreign currency derivatives portfolio at fair value and include it in other assets and accrued expenses in our consolidated balance sheets. We do not offset the fair value amounts recognized for foreign currency derivatives. We classify purchases of foreign currency derivatives and proceeds received from the exercise of foreign currency derivatives as an investing activity within our consolidated statements of cash flows. We record all movements in the fair value of the foreign currency derivatives within other income, net in our consolidated statements of income. |
Income Taxes | Income Taxes We account for income taxes under the asset and liability method. We recognize deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. We measure deferred tax assets and liabilities using the enacted tax rates we expect to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. |
Allowance For Doubtful Accounts | Allowance for Doubtful Accounts We maintain an allowance for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments, which results in bad debt expense. We determine the adequacy of this allowance by periodically evaluating individual customer receivables, considering a customer’s financial condition, credit history and current economic conditions. We are also contingently liable, within certain limits, in the event of a customer default, to independent leasing companies in connection with customer leasing programs. We monitor the collection status of these installment receivables and provide for estimated losses separately under accrued expenses within our consolidated balance sheets based upon our historical collection experience with such receivables and a current assessment of our credit exposure. |
Impairment Of Long-Lived Assets | Impairment of Long-Lived Assets We periodically evaluate the carrying value of long-lived assets to be held and used, including certain identifiable intangible assets, when events and circumstances indicate that the carrying amount of an asset may not be recovered. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows expected to be generated by the asset. If assets are considered to be impaired, we recognize as the impairment the amount by which the carrying amount of the assets exceeds the fair value of the assets. We report assets to be disposed of at the lower of the carrying amount or fair value less costs to sell. We recognized no impairment charges in relation to long-lived assets during fiscal years ended June 30, 2015, 2014 and 2013. |
Contingencies | Contingencies We record a liability in the consolidated financial statements for loss contingencies when a loss is known or considered probable and the amount can be reasonably estimated. If the reasonable estimate of a known or probable loss is a range, and no amount within the range is a better estimate than any other, the minimum amount of the range is accrued. If a loss is reasonably possible but not known or probable, and can be reasonably estimated, the estimated loss or range of loss is disclosed. When determining the estimated loss or range of loss, significant judgment is required to estimate the amount and timing of a loss to be recorded. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Earnings Per Share [Abstract] | |
Schedule Of Basic And Diluted Earnings Per Share | 2015 2014 2013 Numerator: Net Income, used in calculating diluted earnings per share $ $ $ Denominator: Basic weighted-average common shares outstanding Effect of dilutive securities: Stock options and restricted stock units Diluted weighted average shares Basic earnings per share $ $ $ Diluted earnings per share $ $ $ |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Inventories [Abstract] | |
Schedule Of Inventories | 2015 2014 Raw materials $ $ Work in progress Finished goods Total inventories $ $ |
Property, Plant And Equipment (
Property, Plant And Equipment (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Property, Plant And Equipment, Net [Abstract] | |
Components Of Property, Plant And Equipment | 2015 2014 Machinery and equipment $ $ Computer equipment Furniture and fixtures Vehicles Clinical, demonstration and rental equipment Leasehold improvements Land Buildings Accumulated depreciation and amortization Property, plant and equipment, net $ $ |
Goodwill And Other Intangible36
Goodwill And Other Intangible Assets, Net (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Goodwill And Other Intangible Assets, Net [Abstract] | |
Schedule Of Changes In Carrying Amount Of Goodwill | 2015 2014 Balance at the beginning of the period $ $ Business acquisition (note 22) Foreign currency translation adjustments Balance at the end of the period $ $ |
Schedule Of Other Intangible Assets | 2015 2014 Developed/core product technology $ $ Accumulated amortization Developed/core product technology, net Trade names Accumulated amortization Trade names, net Non-compete agreements Accumulated amortization Non-compete agreements, net Customer relationships Accumulated amortization Customer relationships, net Patents Accumulated amortization Patents, net Total other intangibles, net $ $ |
Schedule Of Amortization Expense Related To Identifiable Intangible Assets, Including Patents | Fiscal Year Amortization expense 2016 $ 2017 2018 2019 2020 |
Cost-Method Investments (Tables
Cost-Method Investments (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Cost-Method Investments [Abstract] | |
Schedule Of Reconciliation Of Changes In Cost-Method Investments | 2015 2014 Balance at the beginning of the period $ $ Investments Impairment of cost-method investments - - Balance at the end of the period $ $ |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Accrued Expenses [Abstract] | |
Schedule Of Accrued Expenses | 2015 2014 Product warranties $ $ Consulting and professional fees Value added taxes and other taxes due Employee related costs Marketing and promotional programs Business acquisition contingent consideration Hedging instruments SERVE-HF field safety notification expenses (note 19) - Liability on receivables sold with recourse - Other $ $ |
Product Warranties (Tables)
Product Warranties (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Product Warranties [Abstract] | |
Schedule Of Changes In Liability For Warranty Costs | 2015 2014 Balance at the beginning of the period $ $ Warranty accruals for the period Warranty costs incurred for the period Foreign currency translation adjustments Balance at the end of the period $ $ |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Long-Term Debt [Abstract] | |
Schedule Of Long-Term Debt | June 30, 2015 June 30, 2014 Current long-term debt $ - $ Non-current long-term debt Total long-term debt $ $ |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Stockholders' Equity [Abstract] | |
Schedule Of Option Activity | Weighted Average Exercise Price Weighted Average Remaining Term to Vest in Years Outstanding at beginning of period $ 2.6 Granted Exercised* Forfeited Outstanding at end of period $ 2.5 Exercise price granted options $ Options exercisable at end of period $ * Includes 45,000 shares netted for tax. |
Schedule Of Activity Of Restricted Stock Units | Weighted Average Grant-Date Fair Value Weighted Average Remaining Term to Vest in Years Outstanding at beginning of period $ 1.3 Granted Vested* Forfeited Outstanding at end of period $ 1.2 * Includes 222,486 shares netted for tax. |
Schedule Of Total Stock-Based Compensation Costs Incurred And Associated Tax Benefit Recognized | Cost of sales - capitalized as part of inventory $ $ $ Selling, general and administrative expenses Research and development expenses Stock-based compensation costs Tax benefit Stock-based compensation costs, net of tax benefit $ $ $ |
Other, Net (Tables)
Other, Net (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Other, Net [Abstract] | |
Other, net | Gain (loss) on foreign currency transactions and hedging, net $ $ $ Impairment of cost method investments - - Other $ $ $ |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Income Taxes [Abstract] | |
Schedule Of Income Before Income Taxes Under The Jurisdictions | 2015 2014 2013 U.S. $ $ $ Non-U.S. $ $ $ |
Schedule Of Provision For Income Taxes | 2015 2014 2013 Current: Federal $ $ $ State Non-U.S. Deferred: Federal State Non-U.S. Provision for income taxes $ $ $ |
Schedule Of Provision For Income Tax Differ From The Amount Of Income Tax | 2015 2014 2013 Taxes computed at statutory U.S. rate $ $ $ Increase (decrease) in income taxes resulting from: State income taxes, net of U.S. tax benefit Research and development credit Tax effect of dividends Change in valuation allowance Effect of non-U.S. tax rates Foreign tax credits Stock-based compensation expense Other $ $ $ |
Schedule Of Deferred Tax Assets And Liabilities Classified As Current And Non-Current | 2015 2014 Deferred tax assets: Employee liabilities $ $ Inventories Provision for warranties Provision for doubtful debts Net operating loss carryforwards Capital loss carryover Stock-based compensation expense Unrealized foreign exchange losses - Other Less valuation allowance Deferred tax assets Deferred tax liabilities: Unrealized foreign exchange gains - Property, plant and equipment Goodwill and other intangibles Deferred tax liabilities Net deferred tax asset $ $ |
Components Of Net Deferred Income Tax Assets and Liabilities | 2015 2014 Current deferred tax asset $ $ Non-current deferred tax asset Current deferred tax liability Non-current deferred tax liability Net deferred tax asset $ $ |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Segment Information [Abstract] | |
Schedule Of Revenue From External Customers And Long-Lived Assets, By Geographical Areas | Revenue from external sources for the years ended June 30, Long lived assets at June 30, 2015 2014 2013 2015 2014 2013 North and Latin America $ $ $ $ $ $ Germany France Australia Rest of the World Total $ $ $ $ $ $ |
Stock-Based Employee Compensa45
Stock-Based Employee Compensation (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Stock-Based Employee Compensation [Abstract] | |
Schedule Of Assumptions For Fair Value Of Stock Option Plans And Purchase Rights Granted | Fiscal Year Ended June 30, 2015 2014 Stock options: Weighted average grant date fair value $ 10.58 $ 10.90 Weighted average risk-free interest rate 1.60% 1.44% Expected option life in years 4.9 4.9 Dividend yield 2.15% - 2.15% 1.95% - 2.17% Expected volatility 27% 30% ESPP purchase rights: Weighted average risk-free interest rate 0.1% 0.1% Expected option life in years 6 months 6 months Dividend yield 1.73% - 2.17% 1.44% - 2.00% Expected volatility 22% - 26% 24% - 28% |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Commitments [Abstract] | |
Schedule Of Future Minimum Lease Payments | Fiscal Years Operating Leases 2016 $ 2017 2018 2019 2020 Thereafter Total minimum lease payments $ |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Fair Value Measurements [Abstract] | |
Summary Of Financial Assets And Liabilities | Level 1 Level 2 Level 3 Total Balances at June 30, 2015 Foreign currency hedging instruments, net $ - $ 1,038 $ - $ 1,038 Business acquisition contingent consideration $ - $ - $ (1,584) $ (1,584) Balances at June 30, 2014 Foreign currency hedging instruments, net $ - $ (2,270) $ - $ (2,270) Business acquisition contingent consideration $ - $ - $ (480) $ (480) |
Reconciliation For Fair Value Measurements Using Significant Unobservable Inputs | 2015 2014 Balance at the beginning of the period $ $ Acquisition date fair value of contingent consideration - Changes in fair value included in operating income Payments Foreign currency translation adjustments Balance at the end of the period $ $ |
Derivative Instruments And He48
Derivative Instruments And Hedging Activities (Tables) | 12 Months Ended |
Jun. 30, 2015 | |
Derivative Instruments And Hedging Activities [Abstract] | |
Summary Of Amount And Location Of Derivative Financial Instruments | June 30, 2015 June 30, 2014 Balance Sheet Caption Foreign currency hedging instruments $ $ Other assets - current Foreign currency hedging instruments Other assets - non current Foreign currency hedging instruments Accrued expenses $ $ |
Summary Of Gains (Losses) Associated With Derivative Financial Instruments | Gain /(Loss) Recognized Income Statement Caption Year Ended June 30, 2015 2014 Foreign currency hedging instruments $ $ Other, net Other foreign-currency-denominated transactions Other, net $ $ Other, net |
Summary Of Significant Accoun49
Summary Of Significant Accounting Policies (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015USD ($)segment | Jun. 30, 2014USD ($) | Jun. 30, 2013USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | |||
Time deposits | $ 402,400 | ||
Number of reporting units | segment | 8 | ||
Impairment of long-lived assets | $ 0 | $ 0 | $ 0 |
Impairment of goodwill | $ 0 | ||
Patents [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets, estimated useful life | 5 years | ||
Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property, plant and equipment, years | 10 years | ||
Intangible assets, estimated useful life | 9 years | ||
Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property, plant and equipment, years | 2 years | ||
Intangible assets, estimated useful life | 2 years | ||
Buildings [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Estimated useful life of property, plant and equipment, years | 40 years |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Earnings Per Share [Abstract] | |||
Stock options not included in the computation of diluted earnings per share | 62,000 | 273,000 | 236,000 |
Earnings Per Share (Schedule Of
Earnings Per Share (Schedule Of Basic And Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Earnings Per Share [Abstract] | |||
Net Income, used in calculating diluted earnings per share | $ 352,886 | $ 345,273 | $ 307,133 |
Basic weighted-average common shares outstanding | 140,468 | 141,474 | 142,954 |
Stock options and restricted stock units | 2,219 | 2,885 | 3,456 |
Diluted weighted average shares | 142,687 | 144,359 | 146,410 |
Basic earnings per share | $ 2.51 | $ 2.44 | $ 2.15 |
Diluted earnings per share | $ 2.47 | $ 2.39 | $ 2.10 |
Inventories (Schedule Of Invent
Inventories (Schedule Of Inventories) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Inventories [Abstract] | ||
Raw materials | $ 74,416 | $ 53,680 |
Work in progress | 2,550 | 3,358 |
Finished goods | 169,893 | 108,380 |
Total inventories | $ 246,859 | $ 165,418 |
Property, Plant And Equipment,
Property, Plant And Equipment, Net (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 770,246 | $ 842,527 |
Accumulated depreciation and amortization | (382,488) | (408,250) |
Property, plant and equipment, net | 387,758 | 434,277 |
Machinery And Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 198,047 | 200,929 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 125,423 | 133,157 |
Furniture And Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 38,511 | 42,631 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 5,371 | 4,757 |
Clinical, Demonstration And Rental Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 80,911 | 101,453 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 31,553 | 30,361 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 54,915 | 62,468 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 235,515 | $ 266,771 |
Goodwill And Other Intangible54
Goodwill And Other Intangible Assets (Narrative) (Details) $ in Thousands | 12 Months Ended |
Jun. 30, 2015USD ($) | |
Goodwill And Other Intangible Assets, Net [Abstract] | |
Impairment of goodwill | $ 0 |
Goodwill And Other Intangible55
Goodwill And Other Intangible Assets, Net (Schedule Of Changes In Carrying Amount Of Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Goodwill And Other Intangible Assets, Net [Abstract] | |||
Balance at the beginning of the period | $ 289,312 | $ 274,829 | |
Business acquisition (note 22) | 20,947 | 3,227 | $ 13,876 |
Foreign currency translation adjustments | (45,998) | 11,256 | |
Balance at the end of the period | $ 264,261 | $ 289,312 | $ 274,829 |
Goodwill And Other Intangible56
Goodwill And Other Intangible Assets, Net (Schedule Of Other Intangible Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||
Total other intangibles, net | $ 47,142 | $ 45,198 |
Developed/Core Product Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, gross | 67,548 | 76,015 |
Accumulated amortization | (50,373) | (54,073) |
Total other intangibles, net | 17,175 | 21,942 |
Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, gross | 2,500 | 2,784 |
Accumulated amortization | (2,206) | (2,697) |
Total other intangibles, net | 294 | 87 |
Non Compete Agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, gross | 1,747 | 2,135 |
Accumulated amortization | (1,704) | (1,768) |
Total other intangibles, net | 43 | 367 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, gross | 30,538 | 24,593 |
Accumulated amortization | (19,308) | (20,877) |
Total other intangibles, net | 11,230 | 3,716 |
Patents [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Other intangibles, gross | 66,585 | 70,734 |
Accumulated amortization | (48,185) | (51,648) |
Total other intangibles, net | $ 18,400 | $ 19,086 |
Intangible assets, estimated useful life | 5 years | |
Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, estimated useful life | 2 years | |
Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, estimated useful life | 9 years |
Goodwill And Other Intangible57
Goodwill And Other Intangible Assets, Net (Schedule Of Amortization Expense Related To Identifiable Intangible Assets, Including Patents) (Details) - Jun. 30, 2015 - USD ($) $ in Thousands | Total |
Goodwill And Other Intangible Assets, Net [Abstract] | |
Amortization expense related to identifiable intangible assets | $ 15,000 |
2,016 | 15,628 |
2,017 | 12,193 |
2,018 | 9,070 |
2,019 | 7,309 |
2,020 | $ 2,404 |
Cost-Method Investments (Narrat
Cost-Method Investments (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 |
Cost-Method Investments [Abstract] | |||
Aggregate carrying amount of cost-method investments | $ 25,600 | $ 14,850 | $ 4,000 |
Cost-Method Investments (Schedu
Cost-Method Investments (Schedule Of Reconciliation Of Changes In Cost-Method Investments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Cost-Method Investments [Abstract] | |||
Balance at the beginning of the period | $ 14,850 | $ 4,000 | |
Investments | $ 10,750 | $ 10,850 | $ 2,225 |
Impairment of cost-method investments | 475 | ||
Balance at the end of the period | $ 25,600 | $ 14,850 | $ 4,000 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Accrued Expenses [Abstract] | ||
Product warranties | $ 9,823 | $ 11,798 |
Consulting and professional fees | 4,412 | 5,891 |
Value added taxes and other taxes due | 13,863 | 18,310 |
Employee related costs | 80,086 | 78,948 |
Marketing and promotional programs | 1,581 | 1,192 |
Business acquisition contingent consideration | 1,584 | 480 |
Hedging instruments | 1,954 | 3,215 |
SERVE-HF field safety notification expenses (note 19) | 4,320 | |
Liability on receivables sold with recourse | 4,155 | |
Other | 11,198 | 10,822 |
Total accrued expenses | $ 132,976 | $ 130,656 |
Product Warranties (Details)
Product Warranties (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Product Warranties [Abstract] | ||
Balance at the beginning of the period | $ 11,798 | $ 16,011 |
Warranty accruals for the period | 7,818 | 3,197 |
Warranty costs incurred for the period | (7,649) | (7,782) |
Foreign currency translation adjustments | (2,144) | 372 |
Balance at the end of the period | $ 9,823 | $ 11,798 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) - Jun. 30, 2015 - USD ($) $ in Millions | Total |
Line of Credit Facility [Line Items] | |
Amount outstanding under credit facility | $ 300 |
Union Bank, N.A. and HSBC Bank USA [Member] | |
Line of Credit Facility [Line Items] | |
Credit facility termination date | Oct. 31, 2018 |
Interest rate on outstanding principal amount | 1.20% |
Union Bank, N.A. and HSBC Bank USA [Member] | Revolving Credit Facility [Member] | |
Line of Credit Facility [Line Items] | |
Maximum borrowing capacity | $ 700 |
Credit facility term, years | 5 years |
Uncommitted option to increase credit facility | $ 300 |
Union Bank, N.A. and HSBC Bank USA [Member] | Letters Of Credit [Member] | |
Line of Credit Facility [Line Items] | |
Maximum borrowing capacity | $ 25 |
Minimum [Member] | Union Bank, N.A. and HSBC Bank USA [Member] | |
Line of Credit Facility [Line Items] | |
Commitment fees percentage rate on unused portion of credit facility | 0.15% |
Minimum [Member] | Union Bank, N.A. and HSBC Bank USA [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Line of Credit Facility [Line Items] | |
Credit facility interest rate equal to reference rate plus | 1.00% |
Maximum [Member] | Union Bank, N.A. and HSBC Bank USA [Member] | |
Line of Credit Facility [Line Items] | |
Commitment fees percentage rate on unused portion of credit facility | 0.25% |
Maximum [Member] | Union Bank, N.A. and HSBC Bank USA [Member] | London Interbank Offered Rate (LIBOR) [Member] | |
Line of Credit Facility [Line Items] | |
Credit facility interest rate equal to reference rate plus | 2.00% |
Long-Term Debt (Schedule Of Lon
Long-Term Debt (Schedule Of Long-Term Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Long-Term Debt [Abstract] | ||
Current long-term debt | $ 18 | |
Non-current long-term debt | $ 300,594 | 300,770 |
Total long-term debt | $ 300,594 | $ 300,788 |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) | 12 Months Ended | 30 Months Ended | ||||
Jun. 30, 2015USD ($)$ / sharesshares | Jun. 30, 2014USD ($)$ / sharesshares | Jun. 30, 2013USD ($) | Feb. 20, 2014shares | Feb. 21, 2014shares | Apr. 30, 1997$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares authorized to be repurchased under repurchase program | 20,000,000 | |||||
Stock Repurchased During Period, Shares | 2,700,000 | 4,400,000 | 18,100,000 | |||
Cost of common shares repurchased | $ | $ 152,600,000 | $ 208,100,000 | ||||
Additional shares that can be repurchased under the approved share repurchase program | 15,500,000 | |||||
Number of shares repurchased pursuant to the repurchase program | 39,186,234 | 36,442,495 | ||||
Cost of shares repurchased pursuant to the repurchase program | $ | $ 1,444,554,000 | $ 1,291,910,000 | ||||
Preferred stock, shares authorized | 2,000,000 | 2,000,000 | 2,000,000 | |||
Preferred stock at par value | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||
Preferred stock, shares issued | 0 | 0 | ||||
Stock option and restricted stock units expiration period | 7 years | |||||
Common stock authorized for issuance | 43,700,000 | |||||
Number of securities remaining available for future issuance | 13,600,000 | |||||
Reduction in the number of shares of common stock available for issuance | 2.8 | |||||
Maximum number of shares subject to awards granted | 3,000,000 | |||||
Number of common stock shares granted in participant's initial year of hiring | 4,500,000 | |||||
Unrecognized compensation costs related to unvested stock-based compensation arrangements | $ | $ 68,800,000 | |||||
Expected weighted average period of unrecognized compensation costs related to unvested stock-based compensation arrangements | 2 years 2 months 12 days | |||||
Aggregate intrinsic value of the stock-based compensation arrangements outstanding | $ | $ 205,500,000 | |||||
Aggregate intrinsic value of the stock-based compensation arrangements exercisable | $ | 66,400,000 | |||||
Aggregate intrinsic value of the options exercised | $ | 80,200,000 | $ 50,200,000 | $ 77,800,000 | |||
Stock-based compensation expense | $ | $ 47,855,000 | $ 43,457,000 | $ 38,157,000 | |||
Employee Stock Purchase Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of securities remaining available for future issuance | 1,500,000 | |||||
Stock issued under Employee Stock Purchase Plans | 309,000 | 314,000 | ||||
Percentage of purchase price of common stock lower than the fair market value of common stock on the date of grant | 85.00% | |||||
Percentage of purchase price of common stock lower than the fair market value of common stock on the date of purchase | 85.00% | |||||
Stock-based compensation expense | $ | $ 3,300,000 | $ 3,100,000 | ||||
Minimum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock options and restricted stock units vesting period | 1 year | |||||
Minimum [Member] | Employee Stock Purchase Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Employee stock purchase program offering period | 3 months | |||||
Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock options and restricted stock units vesting period | 4 years | |||||
Maximum [Member] | Employee Stock Purchase Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Employee stock purchase program offering period | 27 months | |||||
Common stock shares subscribed | $ | $ 25,000 |
Stockholders' Equity (Schedule
Stockholders' Equity (Schedule Of Option Activity) (Details) - $ / shares | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | ||
Stockholders' Equity [Abstract] | |||
Options, Outstanding at beginning of period | 4,687,220 | ||
Options, Granted | 97,209 | ||
Options, Exercised | [1] | (1,999,003) | |
Options, Forfeited | 23,812 | ||
Options, Outstanding at end of period | 2,809,238 | 4,687,220 | |
Options, Exercise price of granted options | $ 52.02 | ||
Options exercisable at end of period | 2,233,134 | ||
Weighted Average Exercise Price, Outstanding at beginning of period | $ 24.45 | ||
Weighted Average Exercise Price, Granted | 52.02 | ||
Weighted Average Exercise Price, Exercised | [1] | 18.60 | |
Weighted Average Exercise Price, Forfeited | 33.96 | ||
Weighted Average Exercise Price, Outstanding at end of period | 29.63 | $ 24.45 | |
Weighted Average Exercise Price, Options exercisable at end of period | $ 26.62 | ||
Weighted Average Remaining Term to Vest in Years, Outstanding | 2 years 6 months | 2 years 7 months 6 days | |
Exercisable shares, netted for tax | 45,000 | ||
[1] | Includes 45,000 shares netted for tax. |
Stockholders' Equity (Schedul66
Stockholders' Equity (Schedule Of Activity Of Restricted Stock Units) (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted Stock Units, Outstanding at beginning of period | 2,448,331 | ||
Restricted Stock Units, Granted | 821,714 | ||
Restricted Stock Units, Vested | [1] | (873,578) | |
Restricted Stock Units, Forfeited | (83,938) | ||
Restricted Stock Units, Outstanding at end of period | 2,312,529 | 2,448,331 | |
Weighted Average Grant-Date Fair Value, Outstanding at beginning of period | $ 38.58 | ||
Weighted Average Grant-Date Fair Value, Granted | 50.23 | ||
Weighted Average Grant-Date Fair Value, Vested | [1] | 36.06 | |
Weighted Average Grant-Date Fair Value, Forfeited | 39.19 | ||
Weighted Average Grant-Date Fair Value, Outstanding at end of period | $ 43.65 | $ 38.58 | |
Weighted Average Remaining Contractual Term in Years, Outstanding | 1 year 2 months 12 days | 1 year 3 months 18 days | |
Exercisable shares, netted for tax | 222,486 | ||
[1] | Includes 222,486 shares netted for tax. |
Stockholders' Equity (Schedul67
Stockholders' Equity (Schedule Of Total Stock-Based Compensation Costs Incurred And Associated Tax Benefit Recognized) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation costs | $ 47,855 | $ 43,457 | $ 38,157 |
Tax benefit | (14,100) | (11,744) | (11,960) |
Stock-based compensation costs, net of tax | 33,755 | 31,713 | 26,197 |
Cost of Sales [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation costs | 2,605 | 2,621 | 2,484 |
Selling, general and Administrative Expenses [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation costs | 38,755 | 34,667 | 30,552 |
Research and Development Expense [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation costs | $ 6,495 | $ 6,169 | $ 5,121 |
Other, Net (Schedule Of Other N
Other, Net (Schedule Of Other Net Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Other, Net [Abstract] | |||
Gain (loss) on foreign currency transactions and hedging, net | $ 5,068 | $ 590 | $ (1,902) |
Impairment of cost method investments | (475) | ||
Other | $ 1,182 | $ 294 | 186 |
Other, net income | $ 6,250 | $ 884 | $ (2,191) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Income Taxes [Line Items] | ||
U.S. Federal income tax rate | 35.00% | |
Increase to net earnings from tax holidays and tax incentives program | $ 18.9 | $ 23.6 |
Increase to net earnings per diluted share from tax holidays and tax incentives program | $ 0.13 | $ 0.16 |
Undistributed earnings | $ 1,400 | |
Amount of deferred taxes that would have been recognized if the earnings has not been permanently reinvested | 364 | |
Domestic Tax Authority [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | 7.5 | |
Foreign Tax Authority [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | 64.1 | |
Valuation Allowance | Foreign Tax Authority [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | 12.6 | |
Capital loss | $ 2 |
Income Taxes (Schedule Of Incom
Income Taxes (Schedule Of Income Before Income Taxes Under The Jurisdictions) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Income Taxes [Abstract] | |||
U.S. | $ 11,431 | $ 2,556 | $ 2,120 |
Non-U.S. | 424,485 | 428,522 | 382,999 |
Income before income taxes | $ 435,916 | $ 431,078 | $ 385,119 |
Income Taxes (Schedule Of Provi
Income Taxes (Schedule Of Provision For Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Income Taxes [Abstract] | |||
Current: Federal | $ 28,429 | $ 18,931 | $ 42,065 |
Current: State | 695 | 1,334 | 888 |
Current: Non-U.S. | 50,892 | 55,675 | 53,713 |
Current, Total | 80,016 | 75,940 | 96,666 |
Deferred: Federal | (4,269) | (420) | (1,345) |
Deferred: State | (180) | (81) | (264) |
Deferred: Non-U.S. | 7,463 | 10,366 | (17,071) |
Deferred, Total | 3,014 | 9,865 | (18,680) |
Provision for income taxes | $ 83,030 | $ 85,805 | $ 77,986 |
Income Taxes (Schedule Of Pro72
Income Taxes (Schedule Of Provision For Income Tax Differ From The Amount Of Income Tax) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Income Taxes [Abstract] | |||
Taxes computed at statutory U.S. rate | $ 152,570 | $ 150,877 | $ 134,792 |
State income taxes, net of U.S. tax benefit | 348 | 794 | 257 |
Research and development credit | (4,821) | (5,395) | (4,920) |
Tax effect of dividends | 56,219 | 87,764 | 72,304 |
Change in valuation allowance | (614) | 5,894 | 1,852 |
Effect of non-U.S. tax rates | (87,721) | (83,135) | (97,420) |
Foreign tax credits | (36,725) | (73,975) | (34,729) |
Stock-based compensation expense | 3,158 | 3,431 | 3,167 |
Other | 616 | (450) | 2,683 |
Provision for income taxes | $ 83,030 | $ 85,805 | $ 77,986 |
Income Taxes (Schedule Of Defer
Income Taxes (Schedule Of Deferred Tax Assets And Liabilities Classified As Current And Non-Current) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Income Taxes [Abstract] | ||
Employee liabilities | $ 11,663 | $ 11,606 |
Inventories | 8,822 | 10,457 |
Provision for warranties | 2,722 | 2,752 |
Provision for doubtful debts | 3,779 | 2,985 |
Net operating loss carryforwards | 13,262 | 14,554 |
Capital loss carryover | 1,805 | 1,908 |
Stock-based compensation expense | 18,173 | 17,268 |
Unrealized foreign exchange losses | 688 | |
Other | 5,446 | 4,253 |
Deferred tax assets, Gross | 65,672 | 66,471 |
Less valuation allowance | (14,647) | (15,573) |
Deferred tax assets | 51,025 | 50,898 |
Unrealized foreign exchange gains | (512) | |
Property, plant and equipment | (2,291) | (1,892) |
Goodwill and other intangibles | (8,214) | (9,776) |
Deferred tax liabilities | (11,017) | (11,668) |
Net deferred tax asset | $ 40,008 | $ 39,230 |
Income Taxes (Components Of Net
Income Taxes (Components Of Net Deferred Income Tax Assets And Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Income Taxes [Abstract] | ||
Current deferred tax asset | $ 36,338 | $ 31,908 |
Non-current deferred tax asset | 12,528 | 18,755 |
Current deferred tax liability | (796) | (717) |
Non-current deferred tax liability | (8,062) | (10,716) |
Net deferred tax asset | $ 40,008 | $ 39,230 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | $ 1,678,912 | $ 1,554,973 | $ 1,514,457 |
Long lived assets | 387,758 | 434,277 | 411,433 |
North and Latin America [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | 962,696 | 839,126 | 851,608 |
Long lived assets | 140,344 | 133,986 | 136,984 |
GERMANY | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | 184,245 | 214,598 | 195,091 |
Long lived assets | 18,706 | 23,382 | 24,855 |
FRANCE | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | 145,504 | 152,271 | 138,891 |
Long lived assets | 5,610 | 8,955 | 6,282 |
AUSTRALIA | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | 42,174 | 33,379 | 35,503 |
Long lived assets | 197,609 | 245,718 | 222,814 |
Rest Of World [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | 344,293 | 315,599 | 293,364 |
Long lived assets | 25,489 | 22,236 | 20,498 |
Flow Generators [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | 975,900 | 846,700 | 823,500 |
Mask Systems, Motors And Other Accessories [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Segment sales | $ 703,000 | $ 708,300 | $ 690,900 |
Stock-Based Employee Compensa76
Stock-Based Employee Compensation (Narrative) (Details) - Performance Shares [Member] - $ / shares | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shareholder return period | 3 years | 3 years |
Performance restricted stock units granted | 216,000 | 187,000 |
Maximum amount of restricted stock units to be issued, percentage of the original grant | 200.00% | 200.00% |
Fair value of equity instruments other than options granted | $ 51.12 | $ 50.08 |
Stock-Based Employee Compensa77
Stock-Based Employee Compensation (Schedule Of Assumptions For Fair Value Of Stock Option Plans And Purchase Rights Granted) (Details) - $ / shares | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted average grant date fair value | $ 10.58 | $ 10.90 |
Weighted average risk-free interest rate | 1.60% | 1.44% |
Expected option life in years | 4 years 10 months 24 days | 4 years 10 months 24 days |
Expected volatility, minimum | 27.00% | 30.00% |
ESPP Purchase Rights [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Weighted average risk-free interest rate | 0.10% | 0.10% |
Expected option life in years | 6 months | 6 months |
Expected volatility, minimum | 22.00% | 24.00% |
Expected volatility, maximum | 26.00% | 28.00% |
Minimum [Member] | Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield | 2.15% | 1.95% |
Minimum [Member] | ESPP Purchase Rights [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield | 1.73% | 1.44% |
Maximum [Member] | Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield | 2.15% | 2.17% |
Maximum [Member] | ESPP Purchase Rights [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Dividend yield | 2.17% | 2.00% |
Employee Retirement Plans (Deta
Employee Retirement Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
AUSTRALIA | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of contribution by the company to the retirement plans | 9.50% | ||
Total contribution by the company to the employee retirement plans | $ 9.9 | $ 9.9 | $ 10.3 |
UNITED KINGDOM | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of contribution by the company to the retirement plans | 5.00% | ||
Qualifying period | 3 months | ||
Total contribution by the company to the employee retirement plans | $ 0.5 | 0.5 | 0.3 |
UNITED STATES | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of contribution by the company to the retirement plans | 4.00% | ||
Total contribution by the company to the employee retirement plans | $ 3.2 | 2.9 | 2.9 |
SWITZERLAND | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of contribution by the company to the retirement plans | 8.00% | ||
Percentage of net return on accumulated contributions | 2.00% | ||
Period over which average percentage of company contribution was measured | 3 years | ||
Total contribution by the company to the employee retirement plans | $ 0.4 | $ 0.4 | $ 0.4 |
Commitments (Schedule Of Future
Commitments (Schedule Of Future Minimum Lease Payments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Commitments [Abstract] | |||
2,016 | $ 16,915 | ||
2,017 | 12,910 | ||
2,018 | 8,453 | ||
2,019 | 5,349 | ||
2,020 | 3,817 | ||
Thereafter | 12,293 | ||
Total minimum lease payments | 59,737 | ||
Rent expenses | $ 17,000 | $ 16,500 | $ 15,200 |
Legal Actions And Contingenci80
Legal Actions And Contingencies (Details) - USD ($) $ in Thousands | May. 13, 2015 | Jun. 30, 2015 | Jun. 30, 2014 |
Loss Contingencies [Line Items] | |||
Receivables sold to leasing companies under debt factoring arrangements | $ 31,500 | $ 6,600 | |
SERVEHF prelim analysis | 2.50% | ||
SERVEHF expenses | 5,000 | ||
SERVEHF actual expenses | 700 | ||
SERVEHF accrued expenses | 4,320 | ||
Contingent Obligations Under Recourse Provisions [Member] | |||
Loss Contingencies [Line Items] | |||
Recourse liability recognized | 500 | 500 | |
Maximum potential contingent liability | $ 7,200 | $ 4,900 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Financial Assets And Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency hedging instruments, net | $ 1,038 | |
Foreign currency hedging instruments, net | $ (2,270) | |
Business acquisition contingent consideration | $ (1,584) | $ (480) |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency hedging instruments, net | ||
Foreign currency hedging instruments, net | ||
Business acquisition contingent consideration | ||
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency hedging instruments, net | $ 1,038 | |
Foreign currency hedging instruments, net | $ (2,270) | |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Business acquisition contingent consideration | $ (1,584) | $ (480) |
Fair Value Measurements (Reconc
Fair Value Measurements (Reconciliation For Fair Value Measurements Using Significant Unobservable Inputs) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Fair Value Measurements [Abstract] | ||
Balance at the beginning of the period | $ (480) | $ (7,779) |
Acquisition date fair value of contingent consideration | (1,717) | |
Changes in fair value included in operating income | 132 | 6,283 |
Payments | 458 | 1,117 |
Foreign currency translation adjustments | 23 | (101) |
Balance at the end of the period | $ (1,584) | $ (480) |
Derivative Instruments And He83
Derivative Instruments And Hedging Activities (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Derivative Instruments And Hedging Activities [Abstract] | ||
Terms of foreign currency hedging contracts, maximum | 3 years | |
Notional amount of foreign currency hedging contracts held | $ 576.5 | $ 473.7 |
Derivative Instruments And He84
Derivative Instruments And Hedging Activities (Summary Of Amount And Location Of Derivative Financial Instruments) (Details) - Foreign Currency Contracts [Member] - USD ($) $ in Thousands | Jun. 30, 2015 | Jun. 30, 2014 |
Derivatives, Fair Value [Line Items] | ||
Fair Value - Assets (Liabilities) | $ 1,038 | $ (2,270) |
Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value - Assets | 1,644 | 456 |
Other Noncurrent Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value - Assets | 1,348 | 489 |
Accrued Expenses [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value - Liabilities | $ (1,954) | $ (3,215) |
Derivative Instruments And He85
Derivative Instruments And Hedging Activities (Summary Of Gains (Losses) Associated With Derivative Financial Instruments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income | $ 5,068 | $ 590 | $ (1,902) |
Derivatives Not Designated As Hedging Instruments [Member] | Other, Net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Foreign currency-hedging instruments | 5,068 | 590 | |
Foreign Currency Contracts [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Other, Net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Foreign currency-hedging instruments | (29,419) | 5,652 | |
Other Foreign-currency-denominated Transactions [Member] | Derivatives Not Designated As Hedging Instruments [Member] | Other, Net [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Foreign currency-hedging instruments | $ 34,487 | $ (5,062) |
Business Combinations (Details)
Business Combinations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Business Acquisition [Line Items] | |||
Goodwill | $ 264,261 | $ 289,312 | $ 274,829 |
Series of Individually Immaterial Business Acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Goodwill | 20,900 | ||
Goodwill from acquisition, non-tax deductible amount | 13,000 | ||
Developed Technology [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets | $ 4,600 | ||
Intangible assets, useful life | 5 years | ||
Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets | $ 12,000 | ||
Intangible assets, useful life | 5 years |
Restructuring Expenses And Ed87
Restructuring Expenses And Education, Research And Settlement Charge (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Restructuring Expenses And Education, Research And Settlement Charge [Abstract] | ||
Percentage of positions eliminated | 1.00% | |
Restructuring expenses | $ 6,326 | |
Restructuring expense, net of tax | $ 4,200 | |
Payment to Sydney University | $ 24,765 | |
Payment to Sydney University, net of tax | $ 17,700 |
Schedule II Valuation And Qua88
Schedule II Valuation And Qualifying Accounts And Reserves (Details) - Applied Against Asset Account Allowance For Doubtful Accounts [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2013 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $ 10,971 | $ 9,912 | $ 7,313 |
Charged to costs and expenses | 3,559 | 5,306 | 5,938 |
Other (deductions) | (2,254) | (4,247) | (3,339) |
Balance at end of period | $ 12,276 | $ 10,971 | $ 9,912 |