Goodwill and Other Intangible Assets

6 Months Ended

Dec. 31, 2021

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

    Acquired intangible assets are initially recorded at fair value and tested periodically for impairment. Goodwill represents the excess of the purchase price over the fair value of identifiable tangible and intangible assets acquired and liabilities assumed in a business combination and is tested at least annually for impairment. We perform an impairment test of goodwill during the fourth quarter of each fiscal year or sooner, if indicators of potential impairment arise.

    At December 31, 2021, the carrying value of goodwill for all of our reporting units was $252.1 million.

    The following tables set forth the information for intangible assets subject to amortization and for intangible assets not subject to amortization.

	As of December 31, 2021
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value		Weighted Average Remaining Life
	(in thousands)						(in years)
Amortized intangible assets:
Customer related	$	234,200	$	(180,890)	$	53,310	6.8
Core technology	161,419		(110,757)		50,662		7.2
Other intangible assets	23,381		(21,307)		2,074		4.2
Capitalized software development costs	30,343		(21,452)		8,891		2.8
Software (1)	115,910		(66,302)		49,608		3.6
Total	$	565,253	$	(400,708)	$	164,545
Unamortized intangible assets:
Goodwill					252,061
Total intangible assets					$	416,606

	As of June 30, 2021
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value		Weighted Average Remaining Life
	(in thousands)						(in years)
Amortized intangible assets:
Customer related	$	235,366	$	(175,841)	$	59,525	7.2
Core technology	154,254		(107,008)		47,246		7.5
Other intangible assets	23,504		(20,984)		2,520		4.8
Capitalized software development costs	29,217		(18,843)		10,374		2.6
Software (1)	101,898		(58,872)		43,026		4.0
Total	$	544,239	$	(381,548)	$	162,691
Unamortized intangible assets:
Goodwill					246,698
Total intangible assets					$	409,389

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(1)Software includes purchased software and software developed for internal use.

    Estimated amortization expense for the remainder of fiscal year 2022 and subsequent fiscal years for acquired intangible assets, capitalized software development costs and software, in each case that have been placed in service as of December 31, 2021, is as follows:

	Acquired Intangible Assets		Capitalized Software Development Costs		Software
	(in thousands)
Remaining 2022	$	10,562	$	2,664	$	9,068
2023	19,551		2,484		12,667
2024	17,690		1,728		10,248
2025	15,205		1,056		6,889
2026	14,249		472		3,523
2027 and thereafter	28,789		49		587

    Each period, for capitalized software development costs, we evaluate whether amortization expense using a ratio of revenue in the period to total expected revenue over the product’s expected useful life would result in greater amortization than as calculated under a straight-line methodology and, if that were to occur, amortization in that period would be accelerated accordingly.

    The following table represents a roll forward of our goodwill balances, by reportable segment:

	Payment Platforms		Banking Solutions		Legal Spend Management		Traditional Solutions		Other (1)		Total
	(in thousands)
Balance at June 30, 2021	$	151,765	$	40,534	$	—	$	46,205	$	8,194	$	246,698
Goodwill reclassified as a result of segment reorganization	(88,767)		61,310		27,457						—
Measurement period adjustment	(859)		—		—		—		—		(859)
Goodwill acquired during the period	8,078		—		—		—		—		8,078
Impact of foreign currency translation	(540)		—		—		(1,316)		—		(1,856)
Balance as of December 31, 2021	$	69,677	$	101,844	$	27,457	$	44,889	$	8,194	$	252,061

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(1)Other goodwill balance is net of $7.5 million accumulated impairment losses, previously recorded.