Discontinued Operations (Tables)

9 Months Ended

Mar. 31, 2019

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Discontinued Operations

The following table presents the major classes of Hain Pure Protein’s line items constituting the “Net loss from discontinued operations, net of tax” in our Consolidated Statements of Operations:

	Three Months Ended March 31,						Nine Months Ended March 31,
	2019			2018			2019			2018
Net sales	$	88,729		$	118,198		$	349,449		$	396,227
Cost of sales	88,277			113,629			356,073			373,122
Gross profit (loss)	452			4,569			(6,624		)	23,105
Selling, general and administrative expense	4,039			5,888			13,031			14,458
Asset impairments (1)	51,348			—			109,252			—
Other expense	2,182			805			7,377			3,258
Loss on sale of discontinued operations	40,223			—			40,223			—
Net (loss) income from discontinued operations before income taxes	(97,340		)	(2,124		)	(176,507		)	5,389
(Benefit) provision for income taxes	(21,415		)	10,431			(49,035		)	12,738
Net loss from discontinued operations, net of tax	$	(75,925	)	$	(12,555	)	$	(127,472	)	$	(7,349	)

Assets and liabilities of discontinued operations presented in the Consolidated Balance Sheets as of March 31, 2019 and June 30, 2018 are included in the following table:

	March 31,			June 30,
ASSETS	2019			2018
Cash and cash equivalents	$	3,678		$	6,461
Accounts receivable, less allowance for doubtful accounts	11,680			21,616
Inventories	31,600			105,359
Prepaid expenses and other current assets	1,906			5,604
Property, plant and equipment, net	49,537			83,776
Goodwill	41,089			41,089
Trademarks and other intangible assets, net	33,762			51,029
Other assets	2,636			4,381
Deferred tax assets (2)	37,925			—
Impairments of long-lived assets held for sale(1)	(77,632		)	(78,464		)
Current assets of discontinued operations(3)	$	136,181		$	240,851
LIABILITIES
Accounts payable	$	11,211		$	31,762
Accrued expenses and other current liabilities	3,914			6,880
Deferred tax liabilities (2)	—			11,111
Other noncurrent liabilities	70			93
Current liabilities of discontinued operations(3)	$	15,195		$	49,846

(1) In the nine months ended March 31, 2019 the Company recorded asset impairment charges of $109,252, of which $51,348 was recorded in the third quarter of fiscal 2019 to adjust the carrying value of the Hain Pure Protein reportable segment to its estimated selling price.

(2) The change in deferred taxes from June 30, 2018 to March 31, 2019 was the result of the reversal of the $12,250 deferred tax liability previously recorded related to Hain Pure Protein being classified as held for sale. In addition, deferred taxes were impacted by the tax effect of current period book losses as well as the deferred tax benefit arising from asset impairment charges.

(3) The assets and liabilities of Hain Pure Protein are classified as current on the March 31, 2019 and June 30, 2018 Consolidated Balance Sheets because it is probable that the sale will occur within the three months ended June 30, 2019