Derivative Financial Instruments

9 Months Ended

Mar. 31, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Note 5. Derivative Financial Instruments

The Company utilizes foreign currency forward contracts with reputable financial institutions to manage its exposure of fluctuations in foreign currency exchange rates on certain intercompany balances and foreign currency denominated cash, customer receivables and liabilities. The Company does not use derivative financial instruments for speculative or trading purposes. These forward contracts are not designated as hedging instruments for accounting purposes. Principal hedged currencies primarily include the Japanese Yen, Swiss Franc, and Euro. The periods of these forward contracts range up to approximately three months and the notional amounts are intended to be consistent with changes in the underlying exposures.

The notional amount of the Company's outstanding forward currency exchange contracts consisted of the following (in thousands):


	March 31, 2025		June 30, 2024
Swiss Franc	$	35,073	$	59,392
Japanese Yen		13,196		7,762
Euro		22,647		2,755
Indian Rupee		14,364		8,916
Chinese Yuan		9,417		5,156
Korean Won		2,498		1,735
Canadian Dollar		2,107		1,510
British Pound		17,144		730
Total outstanding forward currency exchange contracts	$	116,446	$	87,956

Gains and losses on the Company's foreign currency forward contracts are recorded in other income (expense), net, on the Company's unaudited condensed consolidated statements of operations. The following table provides information about the gain or loss associated with the Company’s derivative financial instruments not designated as hedging instruments (in thousands):


	Three Months Ended March 31,						Nine Months Ended March 31,
	2025			2024			2025			2024
Foreign currency exchange loss on forward contracts	$	(858	)	$	(1,577	)	$	(40	)	$	(1,436	)