XML 29 R15.htm IDEA: XBRL DOCUMENT

LEASES

3 Months Ended

Sep. 30, 2022

The Company leases office space, warehouse and distribution facilities, manufacturing equipment and vehicles primarily in North America and Europe. The Company determines if an arrangement is or contains a lease at inception. Lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The Company’s lease agreements generally do not contain residual value guarantees or material restrictive covenants.

Some of the Company’s leases contain variable lease payments, which are expensed as incurred unless those payments are based on an index or rate. Variable lease payments based on an index or rate are initially measured using the index or rate in effect at lease commencement and included in the measurement of the lease liability; thereafter, changes to lease payments due to rate or index changes are recorded as variable lease expense in the period incurred. The Company does not have any related party leases, and sublease transactions are de minimis.

The components of lease expenses for the three months ended September 30, 2022 and 2021 were as follows:


	Three Months Ended
	September 30, 2022		September 30, 2021
Operating lease expenses	$	4,975	$	3,752



Finance lease expenses	69		70
Variable lease expenses	180		403
Short-term lease expenses	496		1,365
Total lease expenses	$	5,720	$	5,590

Supplemental balance sheet information related to leases was as follows:


Leases	Classification	September 30, 2022		June 30, 2022
Assets
Operating lease ROU assets, net	Operating lease right-of-use assets, net	$	115,517	$	114,691

Finance lease ROU assets, net	Property, plant and equipment, net	387		413

Total leased assets		$	115,904	$	115,104

Liabilities
Current
Operating	Accrued expenses and other current liabilities	$	12,566	$	13,154

Finance	Current portion of long-term debt	124		149

Non-current
Operating	Operating lease liabilities, noncurrent portion	109,858		107,481
Finance	Long-term debt, less current portion	277		278
Total lease liabilities		$	122,825	$	121,062

Additional information related to leases is as follows:


	Three Months Ended
	September 30, 2022			September 30, 2021
Supplemental cash flow information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,968		$	3,745
Operating cash flows from finance leases	$	4		$	5
Financing cash flows from finance leases	$	52		$	60
ROU assets obtained in exchange for lease obligations:
Operating leases	$	7,143		$	319
Finance leases	$	26		$	—


Weighted average remaining lease term:
Operating leases	10.2 years			9.6 years
Finance leases	4.1 years			4.1 years
Weighted average discount rate:
Operating leases	4.5		%	3.3		%
Finance leases	4.3		%	4.2		%

Maturities of lease liabilities as of September 30, 2022 were as follows:


Fiscal Year	Operating leases		Finance leases		Total
2023 (remainder of year)	$	12,533	$	115	$	12,648
2024	17,229		90		17,319
2025	15,378		89		15,467
2026	14,893		68		14,961
2027	14,738		53		14,791
Thereafter	82,318		25		82,343
Total lease payments	157,089		440		157,529
Less: Imputed interest	34,665		39		34,704
Total lease liabilities	$	122,424	$	401	$	122,825

LEASES

The components of lease expenses for the three months ended September 30, 2022 and 2021 were as follows:


	Three Months Ended
	September 30, 2022		September 30, 2021
Operating lease expenses	$	4,975	$	3,752



Finance lease expenses	69		70
Variable lease expenses	180		403
Short-term lease expenses	496		1,365
Total lease expenses	$	5,720	$	5,590

Supplemental balance sheet information related to leases was as follows:


Leases	Classification	September 30, 2022		June 30, 2022
Assets
Operating lease ROU assets, net	Operating lease right-of-use assets, net	$	115,517	$	114,691

Finance lease ROU assets, net	Property, plant and equipment, net	387		413

Total leased assets		$	115,904	$	115,104

Liabilities
Current
Operating	Accrued expenses and other current liabilities	$	12,566	$	13,154

Finance	Current portion of long-term debt	124		149

Non-current
Operating	Operating lease liabilities, noncurrent portion	109,858		107,481
Finance	Long-term debt, less current portion	277		278
Total lease liabilities		$	122,825	$	121,062

Additional information related to leases is as follows:


	Three Months Ended
	September 30, 2022			September 30, 2021
Supplemental cash flow information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	3,968		$	3,745
Operating cash flows from finance leases	$	4		$	5
Financing cash flows from finance leases	$	52		$	60
ROU assets obtained in exchange for lease obligations:
Operating leases	$	7,143		$	319
Finance leases	$	26		$	—


Weighted average remaining lease term:
Operating leases	10.2 years			9.6 years
Finance leases	4.1 years			4.1 years
Weighted average discount rate:
Operating leases	4.5		%	3.3		%
Finance leases	4.3		%	4.2		%

Maturities of lease liabilities as of September 30, 2022 were as follows:


Fiscal Year	Operating leases		Finance leases		Total
2023 (remainder of year)	$	12,533	$	115	$	12,648
2024	17,229		90		17,319
2025	15,378		89		15,467
2026	14,893		68		14,961
2027	14,738		53		14,791
Thereafter	82,318		25		82,343
Total lease payments	157,089		440		157,529
Less: Imputed interest	34,665		39		34,704
Total lease liabilities	$	122,424	$	401	$	122,825