Debt

9 Months Ended

Mar. 31, 2024

Debt Disclosure [Abstract]

Debt

Note 9. Debt

The Company's outstanding debt as of March 31, 2024 and June 30, 2023, is as follows (in thousands):

	March 31, 2024							June 30, 2023
	Principal Amount		Unamortized Debt Costs			Net Carrying Amount		Principal Amount		Unamortized Debt Costs			Net Carrying Amount
3.75% Convertible Senior Notes due 2026	$	100,000	$	(1,368	)	$	98,632	$	100,000	$	(1,811	)	$	98,189
Term Loan Facility		65,500		(638	)		64,862		70,000		(906	)		69,094
Revolving Credit Facility		10,000		—			10,000		10,000		—			10,000
Total debt	$	175,500	$	(2,006	)	$	173,494	$	180,000	$	(2,717	)	$	177,283
Reported as:
Short-term debt						$	7,248						$	5,721
Long-term debt							166,246							171,562
Total debt						$	173,494						$	177,283

3.75% Convertible Senior Notes due June 2026

In May 2021, the Company issued $100.0 million aggregate principal amount of its 3.75% Convertible Senior Notes due June 2026 (the “3.75% Convertible Notes due 2026”) under an indenture agreement between the Company and The Bank of New York Mellon Trust Company, N.A., as trustee. As of March 31, 2024, the if-converted value of its 3.75% Convertible Notes due 2026 did not exceed the outstanding principal amount.

Credit Facilities

The Company has a $40.0 million revolving credit facility (the “Revolving Credit Facility”) and a five-year $80.0 million term loan (the “Term Loan Facility”) and together with the Revolving Credit Facility, the “Credit Facilities”). In fiscal year 2024, interest on the borrowings under the Credit Facilities is payable in arrears on the applicable interest payment date, at an annual interest rate of reserve-adjusted, 90-day term Secured Overnight Financing Rate (subject to a 0.50% floor) plus a margin between 2.50% and 3.25% margin, determined by the Consolidated Senior Net Leverage Ratio (as defined in the Credit Agreement). The weighted average effective interest rate on the Term Loan Facility and Revolving Credit Facility was approximately 8.4% and 8.6% respectively, during the nine months ended March 31, 2024.

The Credit Agreement requires the Company to pay the lenders an unused commitment fee equal to the average unused portion of the Revolving Credit Facility. The Company pays a rate of 0.25% to 0.40% per annum of the average unused portion of the Revolving Credit Facility, determined by the Consolidated Senior Net Leverage Ratio (as defined in the Credit Agreement). If all or a portion of the loans under the Term Loan Facility are prepaid, then the Company will be required to pay a fee equal to 1% of the aggregate amount of the loans so prepaid, subject to certain exceptions.

The Credit Agreement contains restrictions and covenants applicable to the Company and its subsidiaries. Among other requirements, the Company may not permit the Fixed Charge Coverage Ratio (as defined in the Credit Agreement) to be less than a certain specified ratio for each fiscal quarter during the term of the Credit Agreement or the consolidated senior net leverage ratio to

be greater than a certain specified ratio for each fiscal quarter during the term of the Credit Agreement. On April 25, 2024, the Company entered into the Amendment to update the calculation of Consolidated EBITDA (as defined in the Credit Agreement) to maintain compliance with the debt covenants as of March 31, 2024.

A summary of interest expense on the 3.75% Convertible Notes due 2026, the Revolving Credit Facility, and the Term Loan Facility is as follows (in thousands):

	Three Months Ended March 31,				Nine Months Ended March 31,
	2024		2023		2024		2023
Interest expense related to contractual interest coupon	$	2,623	$	2,472	$	7,945	$	6,866
Interest expense related to amortization of debt issuance costs		236		241		711		688
Total	$	2,859	$	2,713	$	8,656	$	7,554