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Stock-Based Compensation
 12 Months Ended
Jun. 30, 2020
Share-based Payment Arrangement [Abstract]  
Stock Options and Restricted Stock Awards
8. Stock-Based Compensation

On November 15, 2017, the Company’s stockholders approved the 2017 Equity Incentive Plan, which was amended and restated on March 12, 2020 (the “Amended 2017 Plan”), for the purpose of granting equity awards to employees, directors, and consultants. The Amended 2017 Plan allows for the granting of up to 3,607,523 shares of common stock as approved by the Board of Directors or committees thereof in the form of nonqualified or incentive stock options, restricted stock awards, restricted stock unit awards, performance share awards, performance unit awards or stock appreciation rights to officers, directors, consultants and employees of the Company. As of June 30, 2020, there were 1,669,772 shares available for grant under the Amended 2017 Plan.

Equity awards classified as restricted stock and performance-based restricted stock are treated as issued shares when granted; however, these shares are not included in the computation of basic weighted average shares outstanding. When shares vest, unless the holder elects to pay the payroll tax liability in cash or through a sale of shares, the Company withholds the appropriate amount of shares to settle the payroll tax liability, on behalf of the individual receiving the shares, as an adjustment to accumulated deficit.

Stock Options

All options become exercisable over periods established at the date of grant. The option exercise price is generally not less than the estimated fair market value of the Company’s common stock at the date of grant, as determined by the Company’s management and Board of Directors.

Stock option activity is as follows:
Number of
Options		Weighted Average
Exercise Price
Options outstanding at June 30, 201778,201 $9.07 
Exercised(55,880)$9.20 
Options outstanding at June 30, 201822,321 $8.75 
Exercised(22,321)$8.75 
Options outstanding at June 30, 2019— $— 
Granted45,186 $38.13 
Forfeited(2,658)$38.13 
Options outstanding at June 30, 202042,528 $38.13 
 
During the year ended June 30, 2020, the Company granted nonqualified stock options to certain employees. Options granted vest over a three year service period. Shares to be issued upon exercise of these options will be new share issuances. The Company determined the fair value of options using the Black-Scholes option pricing model. The estimated fair value of options, including the effect of estimated forfeitures, will be recognized as expense on a straight-line basis over the options’ vesting periods. No options were exercisable during the year ended June 30, 2020. There were no options granted during the years ended June 30, 2019 or 2018. As of June 30, 2020, there was approximately $936 of total unrecognized compensation expense related to nonvested stock options.

Restricted Stock

The fair value of each restricted stock award was equal to the fair market value of the Company’s common stock at the date of grant. Vesting of time-based restricted stock awards ranges from one year to three years. The estimated fair value of restricted stock awards, including the effect of estimated forfeitures, is recognized on a straight-line basis over the restricted stock’s vesting period.

Restricted stock award activity is as follows:
Number of
Shares		Weighted Average
Grant Date
Fair Value
Outstanding at June 30, 2017486,584 $21.26 
Granted290,856 $27.93 
Forfeited(68,499)$22.76 
Vested(253,725)$22.87 
Outstanding at June 30, 2018455,216 $24.77 
Granted262,727 $35.53 
Forfeited(27,143)$29.05 
Vested(215,855)$23.23 
Outstanding at June 30, 2019474,945 $31.36 
Granted195,231 $46.32 
Forfeited(22,977)$36.75 
Vested(213,132)$29.77 
Outstanding at June 30, 2020434,067 $38.34 

Estimated pre-vesting forfeitures are considered in determining stock-based compensation expense. As of June 30, 2020, 2019 and 2018, the Company estimated its weighted average forfeiture rate at 17.0%, 18.0% and 15.2%, respectively. As of June 30, 2020, there was approximately $11,897 of total unrecognized compensation expense, net of the effect of estimated forfeitures, related to nonvested restricted stock awards, which is expected to be recognized over a weighted-average period of 1.3 years.

Performance-Based Restricted Stock

The Company also grants performance-based restricted stock awards to certain executives and other management. Fiscal 2020 awards vest based on the Company’s total shareholder return relative to total shareholder return of the peer group (a market condition), as measured by the closing prices of the stock of the Company and its peer group for the 90 trading days preceding July 1, 2019 compared to the closing prices for the 90 trading days preceding July 1, 2022. Fiscal 2019 awards vest based on the Company’s total shareholder return relative to total shareholder return of the peer group (a market condition), as measured by the closing prices of the stock of the Company and its peer group for the 90 trading days preceding July 1, 2018 compared to the closing prices for the 90 trading days preceding July 1, 2021. Fiscal 2018 awards vest based on the Company’s total shareholder return relative to total shareholder return of the peer group (a market condition), as measured by the closing prices of the stock of the Company and its peer group for the 90 trading days preceding July 1, 2017 compared to the closing prices for the 90 trading days preceding July 1, 2020. The aggregate maximum shares granted were as follows:

Performance Measurement202020192018
Total shareholder return207,891 225,325 278,889 
Performance-based restricted stock award activity is as follows:
Number of
Shares		Weighted Average
Grant Date
Fair Value
Outstanding at June 30, 2017318,584 $11.97 
Granted278,889 $13.63 
Forfeited(66,295)$13.17 
Outstanding at June 30, 2018531,178 $12.69 
Granted225,325 $22.33 
Forfeited(2,631)$18.64 
Outstanding at June 30, 2019753,872 $15.20 
Granted207,891 $30.45 
Forfeited(25,948)$16.48 
Vested(275,193)$11.97 
Outstanding at June 30, 2020660,622 $21.69 

Estimated pre-vesting forfeitures are considered in determining stock-based compensation expense. As of June 30, 2020, there was approximately $5,812 of total unrecognized compensation expense related to nonvested performance-based restricted stock awards, which is expected to be recognized over a weighted-average period of 1.7 years. Stock-based compensation expense associated with performance-based restricted stock was $4,589 for the year ended June 30, 2020.

Restricted Stock Units

The Company grants restricted stock units to members of its Board of Directors. Restricted stock units represent the right to receive payment in the form of shares of the Company’s common stock or in cash at the Company’s option. Restricted stock unit payments occur within 30 days following the six month anniversary of the date that the director ceases to serve on the Board of Directors or, if the restricted stock units are granted in lieu of an annual cash retainer, on the payment date selected by the director that is at least two years after the grant date. The estimated fair value of restricted stock units is recognized on a straight-line basis over the vesting period.

Restricted stock unit activity is as follows:
Number of
Shares		Weighted Average
Grant Date
Fair Value
Restricted stock units outstanding at June 30, 2017349,430 $14.73 
Granted28,364 $31.02 
Converted to common stock(41,925)$16.07 
Restricted stock units outstanding at June 30, 2018335,869 $15.94 
Granted21,162 $38.28 
Converted to common stock(2,855)$21.01 
Restricted stock units outstanding at June 30, 2019354,176 $17.23 
Granted20,689 $46.50 
Converted to common stock(125,352)$17.65 
Forfeited(2,316)$46.97 
Restricted stock units outstanding at June 30, 2020247,197 $19.19 
Employee Stock Purchase Plan

The Company maintains an employee stock purchase plan that was approved by the Company’s stockholders in November 2015 (“2015 ESPP”) and replaced the previous employee stock purchase plan that expired on May 31, 2016. The 2015 ESPP provides eligible employees the opportunity to acquire common stock in accordance with Section 423 of the Internal Revenue Code of 1986. Stock can be purchased each six-month period per year (twice per year). The purchase price is equal to 85% of the lower of the price at the beginning or the end of the respective period. Employees purchased 135,382 shares at an average price of $30.11 per share during the year ended June 30, 2020. Shares reserved under the 2015 ESPP at June 30, 2020 totaled 1,394,655.

Stock-Based Compensation Expense

The following amounts were recognized as stock-based compensation expense in the consolidated statements of operations:
Year Ended June 30, 2020Restricted Stock Awards & OptionsRestricted
Stock
Units		Employee Stock Purchase PlanTotal
Cost of goods sold$564 $— $62 $626 
Selling, general and administrative9,511 865 878 11,254 
Research and development1,554 — 178 1,732 
Total stock-based compensation expense$11,629 $865 $1,118 $13,612 

Year Ended June 30, 2019Restricted
Stock
Awards		Restricted
Stock
Units		Employee Stock Purchase PlanTotal
Cost of goods sold$281 $— $65 $346 
Selling, general and administrative7,899 810 905 9,614 
Research and development1,136 — 170 1,306 
Total stock-based compensation expense$9,316 $810 $1,140 $11,266 

Year Ended June 30, 2018Restricted Stock AwardsRestricted
Stock
Units		Employee Stock Purchase PlanTotal
Cost of goods sold$207 $— $68 $275 
Selling, general and administrative7,462 750 848 9,060 
Research and development817 — 150 967 
Total stock-based compensation expense$8,486 $750 $1,066 $10,302