Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Sep. 30, 2016 | Oct. 27, 2016 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | Super Micro Computer, Inc. | |
Entity Central Index Key | 1,375,365 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2016 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 47,980,148 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 146,696 | $ 180,964 |
Accounts receivable, net of allowances of $2,839 and $2,721 at September 30, 2016 and June 30, 2016, respectively (including amounts receivable from a related party of $7,251 and $4,678 at September 30, 2016 and June 30, 2016, respectively) | 328,267 | 288,941 |
Inventory | 499,987 | 448,980 |
Prepaid income taxes | 1,019 | 5,682 |
Prepaid expenses and other current assets | 13,402 | 13,435 |
Total current assets | 989,371 | 938,002 |
Long-term investments | 2,643 | 2,643 |
Property, plant and equipment, net | 190,848 | 187,949 |
Deferred income taxes-noncurrent | 29,666 | 28,460 |
Other assets | 8,053 | 8,546 |
Total assets | 1,220,581 | 1,165,600 |
Current liabilities: | ||
Accounts payable (including amounts due to a related party of $38,290 and $39,152 at September 30, 2016 and June 30, 2016, respectively) | 287,638 | 249,239 |
Accrued liabilities | 60,843 | 55,618 |
Income taxes payable | 6,029 | 5,172 |
Short-term debt and current portion of long-term debt, net of debt issuance costs | 60,983 | 53,589 |
Total current liabilities | 415,493 | 363,618 |
Long-term debt, net of current portion and debt issuance costs | 37,212 | 40,000 |
Other long-term liabilities | 44,661 | 40,603 |
Total liabilities | 497,366 | 444,221 |
Commitments and contingencies (Note 9) | ||
Stockholders’ equity: | ||
Common stock and additional paid-in capital, $0.001 par value Authorized shares: 100,000,000 Issued shares: 49,312,816 and 48,999,717 at September 30, 2016 and June 30, 2016 respectively | 284,090 | 277,339 |
Treasury stock (at cost), 1,333,125 and 445,028 shares at September 30, 2016 and June 30, 2016, respectively | (20,491) | (2,030) |
Accumulated other comprehensive loss | (76) | (85) |
Retained earnings | 459,503 | 445,971 |
Total Super Micro Computer, Inc. stockholders’ equity | 723,026 | 721,195 |
Noncontrolling interest | 189 | 184 |
Total stockholders’ equity | 723,215 | 721,379 |
Total liabilities and stockholders’ equity | $ 1,220,581 | $ 1,165,600 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Current assets: | ||
Accounts receivable, allowances | $ 2,839 | $ 2,721 |
Accounts receivable, related party | 7,251 | 4,678 |
Current liabilities: | ||
Accounts payable, related party | $ 38,290 | $ 39,152 |
Stockholders' Equity | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 49,312,816 | 48,999,717 |
Treasury stock, shares (in shares) | 1,333,125 | 445,028 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Income Statement [Abstract] | ||
Net sales (including related party sales of $3,342 and $5,220 in the three months ended September 30, 2016 and 2015, respectively) | $ 528,968 | $ 519,618 |
Cost of sales (including related party purchases of $50,205 and $59,261 in the three months ended September 30, 2016 and 2015, respectively) | 448,904 | 447,403 |
Gross profit | 80,064 | 72,215 |
Operating expenses: | ||
Research and development | 33,191 | 28,326 |
Sales and marketing | 15,916 | 14,249 |
General and administrative | 10,755 | 8,200 |
Total operating expenses | 59,862 | 50,775 |
Income from operations | 20,202 | 21,440 |
Interest and other income, net | 29 | 87 |
Interest expense | (330) | (324) |
Income before income tax provision | 19,901 | 21,203 |
Income tax provision | 6,369 | 7,504 |
Net income | $ 13,532 | $ 13,699 |
Net income per common share: | ||
Basic (in dollars per share) | $ 0.28 | $ 0.29 |
Diluted (in dollars per share) | $ 0.26 | $ 0.27 |
Weighted-average shares used in calculation of net income per common share: | ||
Basic (in shares) | 48,165 | 47,517 |
Diluted (in shares) | 51,120 | 51,352 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Income Statement [Abstract] | ||
Net sales, related party sales | $ 3,342 | $ 5,220 |
Cost of sales, related party purchases | $ 50,205 | $ 59,261 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 13,532 | $ 13,699 |
Other comprehensive income, net of tax: | ||
Foreign currency translation gains (losses) | 9 | (18) |
Unrealized gains (losses) on investments | 0 | 0 |
Total other comprehensive gains (losses) | 9 | (18) |
Comprehensive income | $ 13,541 | $ 13,681 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
OPERATING ACTIVITIES: | ||
Net income | $ 13,532 | $ 13,699 |
Reconciliation of net income to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 3,802 | 2,753 |
Stock-based compensation expense | 4,504 | 3,876 |
Excess tax benefits from stock-based compensation | (302) | (134) |
Allowance for doubtful accounts | 73 | 98 |
Provision for inventory | 3,893 | 1,718 |
Exchange loss (gain) | 698 | (2,007) |
Deferred income taxes | (1,182) | (2,221) |
Changes in operating assets and liabilities: | ||
Accounts receivable, net (including changes in related party balances of $(2,573) and $1,212 during the three months ended September 30, 2016 and 2015, respectively) | (39,399) | 25,418 |
Inventory | (54,900) | 404 |
Prepaid expenses and other assets | 465 | (1,247) |
Accounts payable (including changes in related party balances of $(862) and $(3,129) during the three months ended September 30, 2016 and 2015, respectively) | 43,362 | (37,652) |
Income taxes payable, net | 5,314 | 2,966 |
Accrued liabilities | 4,992 | 3,686 |
Other long-term liabilities | 4,105 | 8,949 |
Net cash provided by (used in) operating activities | (11,043) | 20,306 |
INVESTING ACTIVITIES: | ||
Purchases of property, plant and equipment | (11,646) | (7,662) |
Change in restricted cash | 116 | (3) |
Net cash used in investing activities | (11,530) | (7,665) |
FINANCING ACTIVITIES: | ||
Proceeds from debt, net of debt issuance costs | 73,916 | 4,700 |
Repayment of debt | (70,033) | (2,900) |
Payment to acquire treasury stock | (18,461) | 0 |
Proceeds from exercise of stock options | 2,939 | 951 |
Excess tax benefits from stock-based compensation | 302 | 134 |
Minimum tax withholding paid on behalf of employees for restricted stock units | (660) | (196) |
Payment of obligations under capital leases | (56) | (39) |
Advances (payments) under receivable financing arrangements | 19 | (37) |
Net cash provided by (used in) financing activities | (12,034) | 2,613 |
Effect of exchange rate fluctuations on cash | 339 | 198 |
Net increase (decrease) in cash and cash equivalents | (34,268) | 15,452 |
Cash and cash equivalents at beginning of period | 180,964 | 95,442 |
Cash and cash equivalents at end of period | 146,696 | 110,894 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 316 | 298 |
Cash paid for taxes, net of refunds | 1,212 | 5,736 |
Non-cash investing and financing activities: | ||
Equipment purchased under capital leases | 0 | 42 |
Accrued costs for property, plant and equipment purchases | $ 4,070 | $ 5,735 |
Condensed Consolidated Stateme8
Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Net cash provided by (used in) operating activities | ||
Accounts receivable, changes in related party balances | $ (2,573) | $ 1,212 |
Accounts payable, changes in related party balances | $ (862) | $ (3,129) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Sep. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Organization Super Micro Computer, Inc. (“Super Micro Computer”) was incorporated in 1993. Super Micro Computer is a global leader in server technology and green computing innovation. Super Micro Computer develops and provides high performance server solutions based upon an innovative, modular and open-standard architecture. Super Micro Computer has operations primarily in San Jose, California, the Netherlands, Taiwan, China and Japan. Basis of Presentation The condensed consolidated financial statements reflect the condensed consolidated balance sheets, results of operations, comprehensive income and cash flows of Super Micro Computer, Inc. and its wholly-owned subsidiaries (collectively, the “Company”). All intercompany accounts and transactions have been eliminated in consolidation. The unaudited condensed consolidated financial statements included herein have been prepared by the Company pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) and include the accounts of the Company and its wholly-owned subsidiaries. Certain information and footnote disclosures normally included in financial statements prepared in accordance with United States generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2016 included in its Annual Report on Form 10-K, as filed with the SEC (the “Annual Report”). The unaudited condensed consolidated financial statements included herein reflect all adjustments, including normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the consolidated financial position, results of operations and cash flows for the periods presented. The condensed consolidated results of operations for the three months ended September 30, 2016 are not necessarily indicative of the results that may be expected for future quarters or for the fiscal year ending June 30, 2017 . The Company consolidates its investment in Super Micro Asia Science and Technology Park, Inc. as it is a variable interest entity and the Company is the primary beneficiary. The noncontrolling interest is presented as a separate component from the Company's equity in the equity section of the condensed consolidated balance sheets. Net income attributable to the noncontrolling interest is not presented separately in the condensed consolidated statements of operations and is included in the general and administrative expenses as the amount is not material for any of the fiscal periods presented. Fair Value of Financial Instruments The Company accounts for certain assets and liabilities at fair value. Accounts receivable and accounts payable are carried at cost, which approximates fair value due to the short maturity of these instruments. Cash equivalents and long-term investments are carried at fair value. Short-term and long-term debt is carried at amortized cost, which approximates its fair value based on borrowing rates currently available to the Company for loans with similar terms. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. The Company categorizes each of its fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are: • Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; • Level 2 - Quoted prices in markets that are not active or financial instruments for which all significant inputs are observable, either directly or indirectly; and • Level 3 - Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. Net Income Per Common Share The Company's basic net income per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding during the period. Diluted net income per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the potentially dilutive securities had been issued. Potentially dilutive securities include outstanding stock options and unvested restricted stock units (“RSUs”). Under the treasury stock method, an increase in the fair market value of the Company’s common stock results in a greater dilutive effect from outstanding stock options and RSUs. Additionally, the exercise of employee stock options and the vesting of restricted stock units results in a further dilutive effect on net income per share. Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued new accounting guidance, Revenue from Contracts with Customers , that replaces all current U.S. GAAP guidance on revenue, eliminates all industry-specific guidance and provides a unified model in determining when and how revenue is recognized. The core principle is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Further, in March 2016, the FASB issued an amendment to the accounting guidance, Revenue from Contracts with Customers: Principal versus Agent Considerations (Reporting Revenue Gross versus Net) , which clarifies the implementation guidance for principal versus agent considerations. In April 2016, the FASB issued an amendment to the accounting guidance, Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing , which clarifies the guidance related to identifying performance obligations and accounting for licenses of intellectual property. In May 2016, the FASB issued an amendment to the accounting guidance, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients , which clarifies the guidance related to collectibility and non-cash consideration, as well as provides practical expedients for the transition to the new accounting guidance. This guidance can be applied either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Early adoption is permitted for annual periods beginning after December 15, 2016. The new standard is effective for the Company on July 1, 2018. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. In April 2015, the FASB issued an amendment to the accounting guidance, Interest-Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs. This amendment requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued an amendment to the accounting guidance, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements. This amendment clarifies that an entity may defer and present debt issuance costs associated with line-of-credit arrangements as an asset and subsequently amortize the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. These amendments should be applied retrospectively to all prior periods presented in the financial statements. The Company adopted these amendments in the first quarter of fiscal year 2017. There was no material impact on its financial statement disclosures, results of operations and financial position. In July 2015, the FASB issued an amendment to the accounting guidance, Inventory: Simplifying the Measurement of Inventory . The amendment requires entities to measure inventory at the lower of cost and net realizable value thereby simplifying the current guidance under which an entity must measure inventory at the lower of cost or market. The amendment is effective for the Company on July 1, 2018. The Company is currently evaluating the effect the amendment to the guidance will have on its financial statement disclosures, results of operations and financial position. In February 2016, the FASB issued an amendment to the accounting guidance, Leases. The amendment will supersede the existing lease guidance, including on-balance sheet recognition of operating leases for lessees. This amendment should be applied using a modified retrospective approach and is effective for the Company on July 1, 2018. Early adoption is permitted. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. In March 2016, the FASB issued new accounting guidance, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting on the accounting for certain aspects of share-based payment to employees, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements as well as classification in the statement of cash flows. This guidance is effective for the Company on July 1, 2018. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. In August 2016, the FASB issued an amendment to the accounting guidance, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments. This amendment consists of eight provisions that provide guidance on the classification of certain cash receipts and cash payments. If practicable, this amendment should be applied using a retrospective transition method to each period presented. For the provisions that are impracticable to apply retrospectively, those provisions may be applied prospectively as of the earliest date practicable. This amendment is effective for the Company on July 1, 2019. Early adoption is permitted. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. |
Stock-based Compensation and St
Stock-based Compensation and Stockholders' Equity | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-based Compensation and Stockholders' Equity | Stock-based Compensation and Stockholders’ Equity Share Repurchase Program In July 2016, the Company’s Board of Directors adopted a program to repurchase from time to time at management’s discretion up to $100,000,000 of the Company’s common stock in the open market or in private transactions during the next twelve months at prevailing market prices. Repurchases will be made under the program using the Company’s own cash resources. This share repurchase program does not obligate the Company to acquire any particular amount of common stock, and it may be suspended at any time at the Company’s discretion. During the three months ended September 30, 2016 , the Company purchased 888,097 shares of the Company's common stock in the open market at a weighted average price of $20.79 for $18,461,000 . Equity Incentive Plan In January 2016, the Board of Directors approved the 2016 Equity Incentive Plan (the "2016 Plan") and reserved for issuance 4,700,000 shares of common stock for awards of stock options, stock appreciation rights, restricted stock, RSUs and other share-based awards. The 2016 Plan was approved by the stockholders of the Company and became effective on March 8, 2016. As of such date, 8,696,444 shares of common stock were reserved for outstanding awards under the Company's 2006 Equity Incentive Plan (the "2006" Plan). Such awards remained outstanding under the 2006 Plan following the adoption of the 2016 Plan, although no further awards will be granted under the 2006 Plan. Up to 2,800,000 shares subject to awards that remained outstanding under the 2006 Plan but that are forfeited in the future will become available for use under the 2016 Plan. In addition, 1,153,412 shares of common stock originally reserved for issuance under the 2006 Plan were cancelled upon the adoption of the 2016 Plan. Under the 2016 Plan, the exercise price per share for incentive stock options granted to employees owning shares representing more than 10% of the Company at the time of grant cannot be less than 110% of the fair value of the underlying share on grant date. Nonqualified stock options and incentive stock options granted to all other persons shall be granted at a price not less than 100% of the fair value. Options generally expire ten years after the date of grant. Stock options and RSUs generally vest over four years ; 25% at the end of one year and one sixteenth per quarter thereafter. As of September 30, 2016 , the Company had 3,884,570 shares available for future issuance under the 2016 Plan. Determining Fair Value The Company's fair value of RSUs is based on the closing market price of the Company's common stock on the date of grant. The Company estimates the fair value of stock options granted using the Black-Scholes-option-pricing formula and a single option award approach. This fair value is then amortized ratably over the requisite service periods of the awards, which is generally the vesting period. Expected Term—The Company’s expected term represents the period that the Company’s share-based awards are expected to be outstanding and was determined based on a combination of the Company's peer group and the Company's historical experience. Expected Volatility—Expected volatility is based on a combination of the Company's implied and historical volatility. Expected Dividend—The Black-Scholes valuation model calls for a single expected dividend yield as an input and the Company has no plans to pay dividends. Risk-Free Interest Rate—The risk-free interest rate used in the Black-Scholes valuation method is based on the United States Treasury zero coupon issues in effect at the time of grant for periods corresponding with the expected term of option. Estimated Forfeitures—The estimated forfeiture rate is based on the Company’s historical forfeiture rates and the estimate is revised in subsequent periods if actual forfeitures differ from the estimate. The fair value of stock option grants for the three months ended September 30, 2016 and 2015 was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions: Three Months Ended 2016 2015 Risk-free interest rate 1.12 % 1.57 % Expected term 5.38 years 5.33 years Dividend yield — % — % Volatility 49.64 % 47.06 % Weighted-average fair value $ 9.29 $ 11.64 The following table shows total stock-based compensation expense included in the condensed consolidated statements of operations for the three months ended September 30, 2016 and 2015 (in thousands): Three Months Ended 2016 2015 Cost of sales $ 309 $ 240 Research and development 2,908 2,402 Sales and marketing 478 404 General and administrative 809 830 Stock-based compensation expense before taxes 4,504 3,876 Income tax impact (1,286 ) (285 ) Stock-based compensation expense, net $ 3,218 $ 3,591 The cash flows resulting from the tax benefits for tax deductions resulting from the exercise of stock options and vesting of RSUs in excess of the compensation expense recorded for those share-based awards (excess tax benefits) issued or modified since July 1, 2006 are classified as cash from financing activities. Excess tax benefits for stock options issued prior to July 1, 2006 are classified as cash from operating activities. The Company had $32,000 of shortfalls recorded in additional paid-in capital in the three months ended September 30, 2016 , and the Company had $714,000 of excess tax benefits recorded in additional paid-in capital in the three months ended September 30, 2015 . The Company had excess tax benefits classified as cash provided by financing activities of $302,000 and $134,000 in the three months ended September 30, 2016 and 2015 , respectively, for share-based awards issued since July 1, 2006. As of September 30, 2016 , the Company’s total unrecognized compensation cost related to non-vested share-based awards granted to employees and non-employee directors was $37,947,000 , which will be recognized over a weighted-average vesting period of approximately 2.34 years. Stock Option Activity The following table summarizes stock option activity during the three months ended September 30, 2016 under all plans: Options Outstanding Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (in Years) Aggregate Intrinsic Value (in thousands) Balance as of June 30, 2016 (7,495,131 shares exercisable at weighted average exercise price of $13.35 per share) 8,960,867 $ 14.88 Granted (weighted average fair value of $9.29) 127,620 $ 20.54 Exercised (257,453 ) $ 11.41 Forfeited (12,854 ) $ 19.78 Balance as of September 30, 2016 8,818,180 $ 15.06 5.09 $ 79,505 Options vested and expected to vest at September 30, 2016 8,744,510 $ 14.97 5.06 $ 79,405 Options vested and exercisable at September 30, 2016 7,494,049 $ 13.62 4.55 $ 75,717 The total pretax intrinsic value of options exercised was $2,652,000 and $2,741,000 during the three months ended September 30, 2016 and 2015 , respectively. RSU Activity The Company grants RSUs to certain employees as part of its regular employee equity compensation review program as well as to selected new hires. RSUs are share awards that entitle the holder to receive freely tradable shares of the Company's common stock upon vesting and settlement. The following table summarizes RSUs activity during the three months ended September 30, 2016 under all plans: RSUs Outstanding Weighted Average Grant-Date Fair Value per Share Aggregate Intrinsic Value (in thousands) Balance as of June 30, 2016 926,983 $ 30.23 Granted 214,370 $ 20.54 Released (86,445 ) $ 28.36 Forfeited (29,831 ) $ 28.43 Balance as of September 30, 2016 1,025,077 $ 28.41 $ 23,956 The total pretax intrinsic value of RSUs vested was $1,852,000 and $547,000 for the three months ended September 30, 2016 and 2015 , respectively. In the three months ended September 30, 2016 and 2015, upon vesting, 86,445 and 20,199 shares of RSUs were partially net share-settled such that the Company withheld 30,799 and 7,232 shares with value equivalent to the employees' minimum statutory obligation for the applicable income and other employment taxes, and remitted the cash to the appropriate taxing authorities, respectively. The total shares withheld were based on the value of the RSUs on their respective vesting dates as determined by the Company's closing stock price. Total payments for the employees' tax obligations to taxing authorities were $660,000 and 196,000 during the three months ended September 30, 2016 and 2015, respectively, and are reflected as a financing activity within the condensed consolidated statements of cash flows. These net-share settlements had the effect of share repurchases by the Company as they reduced and retired the number of shares that would have otherwise been issued as a result of the vesting and did not represent an expense to the Company. Pursuant to the terms of the 2016 Plan, shares withheld in connection with net-share settlements are returned to the 2016 Plan and are available for future grants under the 2016 Plan. |
Net Income Per Share
Net Income Per Share | 3 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | Net Income Per Share The following table shows the computation of basic and diluted net income per share for the three months ended September 30, 2016 and 2015 (in thousands, except per share amounts): Three Months Ended 2016 2015 Numerator: Net income $ 13,532 $ 13,699 Denominator: Weighted-average shares outstanding 48,165 47,517 Effect of dilutive securities 2,955 3,835 Weighted-average diluted shares 51,120 51,352 Basic net income per share $ 0.28 $ 0.29 Diluted net income per share $ 0.26 $ 0.27 For the three months ended September 30, 2016 and 2015 , the Company had stock options and RSUs outstanding that could potentially dilute basic earnings per share in the future, but were excluded from the computation of diluted net income per share in the periods presented, as their effect would have been anti-dilutive. The anti-dilutive common share equivalents resulting from outstanding share-based awards were 1,976,000 and 1,248,000 for the three months ended September 30, 2016 and 2015 , respectively. |
Balance Sheet Components
Balance Sheet Components | 3 Months Ended |
Sep. 30, 2016 | |
Balance Sheet Related Disclosures [Abstract] | |
Balance Sheet Components | Balance Sheet Components The following tables provide details of the selected balance sheet items (in thousands): Inventory: September 30, June 30, Finished goods $ 366,251 $ 351,209 Work in process 51,333 19,105 Purchased parts and raw materials 82,403 78,666 Total inventory $ 499,987 $ 448,980 The Company recorded a provision for lower of cost or market and excess and obsolete inventory totaling $3,893,000 and $1,718,000 in the three months ended September 30, 2016 and 2015 , respectively. Property, Plant, and Equipment: September 30, June 30, Land $ 70,457 $ 70,454 Buildings 71,665 71,665 Building and leasehold improvements 10,874 10,941 Buildings construction in progress (1) 19,834 15,803 Machinery and equipment 54,699 53,282 Furniture and fixtures 11,355 10,364 Purchased software 14,001 13,920 Purchased software construction in progress 450 532 253,335 246,961 Accumulated depreciation and amortization (62,487 ) (59,012 ) Property, plant and equipment, net $ 190,848 $ 187,949 (1) In connection with the purchase of property located in San Jose, California for the Company's Green Computing Park, the Company continues to engage several contractors for the development and construction of improvements on the property. Other Assets: September 30, June 30, Long-term deferred service costs $ 3,604 $ 3,498 Restricted cash 1,764 1,851 Investment in a privately held company 1,411 1,411 Deposits 472 910 Prepaid royalty license 685 748 Others $ 117 $ 128 Total other assets $ 8,053 $ 8,546 Accrued Liabilities: September 30, June 30, Accrued payroll and related expenses $ 16,252 $ 16,015 Customer deposits 7,385 6,265 Accrued warranty costs 5,600 5,816 Accrued cooperative marketing expenses 7,399 7,300 Deferred revenue (1) 16,462 13,418 Others 7,745 6,804 Total accrued liabilities $ 60,843 $ 55,618 (1) As of September 30, 2016 and June 30, 2016 , deferred revenue consist primarily of a deferred extended warranty and on-site service revenue of $15,160,000 and $12,746,000 , respectively. Other Long-term Liabilities: September 30, June 30, Deferred revenue-net of current portion (1) $ 25,028 $ 21,940 Accrued unrecognized tax benefits including related interests and penalties-net of current portion 17,080 16,056 Accrued warranty costs-net of current portion 1,326 1,313 Others 1,227 1,294 Total other long-term liabilities $ 44,661 $ 40,603 (1) As of September 30, 2016 and June 30, 2016 , deferred revenue-net of current portion consist primarily of a deferred extended warranty and on-site service revenue of $23,717,000 and $21,265,000 , respectively. Product Warranties: Three Months Ended 2016 2015 Balance, beginning of period $ 7,129 $ 7,700 Provision for warranty 4,926 3,866 Costs charged to accrual (4,808 ) (3,819 ) Change in estimated liability for pre-existing warranties (321 ) (202 ) Balance, end of period 6,926 7,545 Current portion (5,600 ) (7,545 ) Long-term portion $ 1,326 $ — |
Fair Value Disclosure
Fair Value Disclosure | 3 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosure | Fair Value Disclosure The financial assets of the Company measured at fair value on a recurring basis are included in cash equivalents and long-term investments. The Company’s money market funds are classified within Level 1 of the fair value hierarchy which is based on quoted market prices for the identical underlying securities in active markets. The Company’s long-term auction rate securities investments are classified within Level 3 of the fair value hierarchy which did not have observable inputs as of September 30, 2016 and June 30, 2016 . Refer to Note 1 for a discussion of the Company’s policies regarding the fair value hierarchy. The Company has used a discounted cash flow model to estimate the fair value of the auction rate securities as of September 30, 2016 and June 30, 2016 . The material factors used in preparing the discounted cash flow model are (i) the discount rate utilized to present value the cash flows, (ii) the time period until redemption and (iii) the estimated rate of return. The following table sets forth the Company’s cash equivalents and long-term investments as of September 30, 2016 and June 30, 2016 which are measured at fair value on a recurring basis by level within the fair value hierarchy. These are classified based on the lowest level of input that is significant to the fair value measurement (in thousands): September 30, 2016 Level 1 Level 2 Level 3 Asset at Fair Value Money market funds $ 312 $ — $ — $ 312 Auction rate securities — — 2,643 2,643 Total $ 312 $ — $ 2,643 $ 2,955 June 30, 2016 Level 1 Level 2 Level 3 Asset at Fair Value Money market funds $ 315 $ — $ — $ 315 Auction rate securities — — 2,643 2,643 Total $ 315 $ — $ 2,643 $ 2,958 The above table excludes $146,153,000 and $180,426,000 of cash and $2,054,000 and $2,133,000 of certificates of deposit held by the Company as of September 30, 2016 and June 30, 2016 , respectively. There were no transfers between Level 1, Level 2 or Level 3 securities in the three months ended September 30, 2016 and 2015 . The following table provides a reconciliation of the Company’s financial assets measured at fair value on a recurring basis, consisting of long-term auction rate securities, using significant unobservable inputs (Level 3) for the three months ended September 30, 2016 and 2015 (in thousands): Three Months Ended 2016 2015 Balance as of beginning of period $ 2,643 $ 2,633 Total realized gains or (losses) included in net income — — Total unrealized gains or (losses) included in other comprehensive income — — Sales and settlements at par — — Transfers in and/or out of Level 3 — — Balance as of end of period $ 2,643 $ 2,633 The following is a summary of the Company’s long-term investments as of September 30, 2016 and June 30, 2016 (in thousands): September 30, 2016 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Auction rate securities $ 2,750 $ — $ (107 ) $ 2,643 June 30, 2016 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Auction rate securities $ 2,750 $ — $ (107 ) $ 2,643 The Company measures the fair value of outstanding debt for disclosure purposes on a recurring basis. As of September 30, 2016 and June 30, 2016 , short-term and long-term debt of $98,195,000 and $93,589,000 , respectively, are reported at amortized cost. This outstanding debt is classified as Level 2 as it is not actively traded and is valued using a discounted cash flow model that uses observable market inputs. Based on the discounted cash flow model, the fair value of the outstanding debt approximates amortized cost. |
Short-term and Long-term Debt O
Short-term and Long-term Debt Obligations | 3 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Short-term and Long-term Debt Obligations | Short-term and Long-term Debt Obligations Short-term and long-term obligations as of September 30, 2016 and June 30, 2016 consisted of the following (in thousands): September 30, June 30, 2016 2016 Line of credit: Bank of America (1) $ 11,199 $ 62,199 CTBC Bank 18,800 10,100 Total line of credit 29,999 72,299 Term loans: Bank of America (1) 47,500 933 CTBC Bank 21,061 20,357 Total term loans 68,561 21,290 Total debt 98,560 93,589 Less: debt issuance costs (365 ) — Total debt, net of debt issuance costs 98,195 93,589 Current portion, net of debt issuance costs (60,983 ) (53,589 ) Long-term portion, net of debt issuance costs $ 37,212 $ 40,000 (1) In July 2016, $50,000,000 of the revolving line of credit was refinanced to a five -year term loan under the new credit agreement with Bank of America and was reclassified to long-term loan at September 30, 2016 and June 30, 2016. Activities under Revolving Lines of Credit and Term Loans Bank of America In June 2015, the Company entered into an amendment to the existing credit agreement with Bank of America N.A. ("Bank of America") which provided for (i) a $65,000,000 revolving line of credit facility that would have matured on November 15, 2015 and (ii) a five -year $14,000,000 term loan facility. The term loan is secured by three buildings located in San Jose, California and the principal and interest were payable monthly through September 30, 2016 with an interest rate at the LIBOR rate plus 1.50% per annum. The Company extended the revolving line of credit to mature on June 30, 2016. In June 2016, the Company entered into a new credit agreement with Bank of America, which provided for (i) a $55,000,000 revolving line of credit facility including a $5,000,000 letter of credit sublimit that matures on June 30, 2017 and (ii) a five-year $50,000,000 term loan facility. This revolving line of credit facility replaced the existing revolving line of credit facility with Bank of America. This additional term loan is secured by seven buildings located in San Jose, California and the property, plant and equipment and the inventory in those buildings. The principal and interest of the term loan are payable monthly through June 30, 2021 with an interest rate at the LIBOR rate plus 1.25% per annum. The interest rate for the revolving line of credit under the above credit agreements with Bank of America is at the LIBOR rate plus 1.25% per annum. The LIBOR rate was 0.52% at September 30, 2016 . The letter of credit is charged at 1.25% per annum. In July 2016, the Company received $50,000,000 term loan proceeds from Bank of America under the new credit agreement with an interest rate at 1.71% per annum and paid down the outstanding amounts under the revolving line of credit with Bank of America. In June 2016, the Company also entered into a separate credit agreement with Bank of America, which provided for a revolving line of credit of $10,000,000 for the Taiwan subsidiary that matures on June 30, 2017. The interest rate of the revolving line of credit is equal to a minimum of 0.9% per annum plus the lender's cost of funds. As of September 30, 2016 and June 30, 2016 , the total outstanding borrowings under the Bank of America term loan was $47,500,000 and $933,000 , respectively. The total outstanding borrowings under the Bank of America lines of credit was $11,199,000 and $62,199,000 as of September 30, 2016 and June 30, 2016 , respectively. The interest rates for these loans ranged from 1.08% to 1.77% per annum at September 30, 2016 and from 1.02% to 1.96% per annum at June 30, 2016 , respectively. As of September 30, 2016 , the amount of the unused revolving lines of credit with Bank of America under the new credit agreements was $53,801,000 . In October 2016, the Company drew an additional $30,000,000 from Bank of America revolving line of credit with interest rates ranging from 2.14% to 3.75% per annum to support the Company's growth and expansion of its business in the Netherlands. CTBC Bank In November 2015, the Company entered into an amendment to the existing credit agreement with CTBC Bank Co., Ltd ("CTBC Bank") that provides for (i) a 12 -month NTD $700,000,000 or $22,017,000 U.S. dollar equivalent term loan secured by the land and building located in Bade, Taiwan with an interest rate equal to the lender's established NTD interest rate plus 0.25% per annum which is adjusted monthly and (ii) a 12 -month revolving line of credit up to 80.00% of eligible accounts receivable in an aggregate amount of up to $17,000,000 with an interest rate equal to the lender's established USD interest rate plus 0.30% per annum which is adjusted monthly. The total borrowings allowed under the credit agreement are capped at NTD $1,000,000,000 or $30,340,000 U.S. dollar equivalent. In January 2016, the Company extended the revolving line of credit to mature on March 31, 2016. In April 2016, the Company entered into a credit agreement with CTBC Bank Co., Ltd that provides for (i) a 12 -month NTD $700,000,000 or $21,620,000 U.S. dollar equivalent term loan facility secured by the land and building located in Bade, Taiwan with an interest rate equal to the lender's established NTD interest rate plus 0.25% per annum which is adjusted monthly. This term loan facility also includes a 12 -month customs bond up to NTD $100,000,000 or $3,089,000 U.S. dollar equivalent with an annual fee equal to 0.5% per annum, and (ii) a 12 -month revolving line of credit up to 80.00% of eligible accounts receivable in an aggregate amount of up to $40,000,000 with an interest rate equal to the lender's established USD interest rate plus 0.30% per annum which is adjusted monthly. The total borrowings allowed under the credit agreement are capped at $40,000,000 . The credit agreement matures on March 31, 2017. The total outstanding borrowings under the CTBC Bank term loan was denominated in Taiwanese dollars and was translated into U.S. dollars of $21,061,000 and $20,357,000 at September 30, 2016 and June 30, 2016 , respectively. At September 30, 2016 and June 30, 2016 , the total outstanding borrowings under the CTBC Bank revolving line of credit was $18,800,000 and $10,100,000 , respectively, in U.S. dollars. The interest rate for these loans ranged from 0.89% and 1.40% at September 30, 2016 and 0.90% and 1.25% per annum at June 30, 2016 . At September 30, 2016 , available for future borrowing under this credit agreement was $139,000 . Covenant Compliance The new credit agreement with Bank of America contains customary representations and warranties and customary affirmative and negative covenants applicable to the Company and its subsidiaries. The new credit agreement contains certain financial covenants, including the following: • Not to incur on a consolidated basis, a net loss before taxes and extraordinary items for any two consecutive fiscal quarters; • The Consolidated Leverage Ratio, as defined in the agreement, as of the end of any fiscal quarter, measured for the most recently completed twelve (12) months of the Company, shall not be greater than 2.00; • The domestic unencumbered liquid assets, as defined in the agreement, maintained in accounts within the United States shall have an aggregate market value of not less than $30,000,000, measured quarterly as of the last day of each fiscal quarter. As of September 30, 2016 and June 30, 2016 , total assets of $959,924,000 and $934,625,000 , respectively, collateralized the line of credit with Bank of America under the new credit agreement, which represent the total assets of the United States headquarter company, except for seven buildings located in San Jose, California and property, plant and equipment and inventory in those buildings. As of September 30, 2016 and June 30, 2016 , total assets collateralizing the term loan with Bank of America under the new credit agreement were $82,006,000 and $59,258,000 , respectively. As of September 30, 2016 , the Company was in compliance with all financial covenants associated with the credit agreements with Bank of America. As of September 30, 2016 and June 30, 2016 , the land and building located in Bade, Taiwan with a value of $26,691,000 and $26,804,000 , respectively, collateralized the term loan with CTBC Bank. There are no financial covenants associated with the term loan with CTBC Bank at September 30, 2016 . |
Related-party and Other Transac
Related-party and Other Transactions | 3 Months Ended |
Sep. 30, 2016 | |
Related Party Transactions [Abstract] | |
Related-party and Other Transactions | Related-party and Other Transactions Ablecom Technology Inc. —Ablecom, a Taiwan corporation, together with one of its subsidiaries, Compuware (collectively “Ablecom”), is one of the Company’s major contract manufacturers. Ablecom’s ownership of Compuware is below 50% but Compuware remains a related party as Ablecom still has significant influence over its operations. Ablecom’s chief executive officer, Steve Liang, is the brother of Charles Liang, the Company’s President, Chief Executive Officer and Chairman of the Board of Directors. Ablecom owns approximately 0.6% of the Company’s common stock. Charles Liang and his wife, also an officer of the Company, collectively own approximately 10.5% of Ablecom, while Steve Liang and other family members own approximately 36.0% of Ablecom at September 30, 2016 . The Company has product design and manufacturing services agreements (“product design and manufacturing agreements”) and a distribution agreement (“distribution agreement”) with Ablecom. Under the product design and manufacturing agreements, the Company outsources a portion of its design activities and a significant part of its manufacturing of components such as server chassis to Ablecom. Ablecom agrees to design products according to the Company’s specifications. Additionally, Ablecom agrees to build the tools needed to manufacture the products. The Company has agreed to pay for Ablecom's cost of chassis and related product tooling and engineering services and will pay for those items when the work has been completed. Under the distribution agreement, Ablecom purchases server products from the Company for distribution in Taiwan. The Company believes that the pricing and terms under the distribution agreement are similar to the pricing and terms of distribution arrangements the Company has with similar, third party distributors. Ablecom’s net sales to the Company and its net sales of the Company’s products to others comprise a substantial majority of Ablecom’s net sales. The Company purchased products from Ablecom totaling $50,205,000 and $59,261,000 , and sold products to Ablecom totaling $3,342,000 and $5,220,000 for the three months ended September 30, 2016 and 2015 , respectively. Amounts owed to the Company by Ablecom as of September 30, 2016 and June 30, 2016 were $7,251,000 and $4,678,000 , respectively. Amounts owed to Ablecom by the Company as of September 30, 2016 and June 30, 2016 were $38,290,000 and $39,152,000 , respectively. For the three months ended September 30, 2016 , the Company paid Ablecom the majority of invoiced dollars between 47 and 77 days of invoice date. For the three months ended September 30, 2016 and 2015 , the Company paid $1,745,000 and $1,162,000 , respectively, for tooling assets and miscellaneous costs to Ablecom. The Company’s exposure to loss as a result of its involvement with Ablecom is limited to (a) potential losses on its purchase orders in the event of an unforeseen decline in the market price and/or demand of the Company’s products such that the Company incurs a loss on the sale or cannot sell the products and (b) potential losses on outstanding accounts receivable from Ablecom in the event of an unforeseen deterioration in the financial condition of Ablecom such that Ablecom defaults on its payable to the Company. Outstanding purchase orders with Ablecom were $77,369,000 and $62,782,000 at September 30, 2016 and June 30, 2016 , respectively, representing the maximum exposure to loss relating to (a) above. The Company does not have any direct or indirect guarantees of losses of Ablecom. In May 2012, the Company and Ablecom jointly established Super Micro Asia Science and Technology Park, Inc. ("Management Company") in Taiwan to manage the common areas shared by the Company and Ablecom for their separately constructed manufacturing facilities. Each company contributed $168,000 and owns 50% of the Management Company. Although the operations of the Management Company are independent of the Company, through governance rights, the Company has the ability to direct the Management Company's business strategies. Therefore, the Company has concluded that the Management Company is a variable interest entity of the Company as the Company is the primary beneficiary of the Management Company. The accounts of the Management Company are consolidated with the accounts of the Company, and a noncontrolling interest has been recorded for the Ablecom's interests in the net assets and operations of the Management Company. In the three months ended September 30, 2016 and 2015 , $5,000 and $2,000 of net income attributable to Ablecom's interest was included in the Company's general and administrative expenses in the condensed consolidated statements of operations. |
Income Taxes
Income Taxes | 3 Months Ended |
Sep. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recorded provisions for income taxes of $6,369,000 and $7,504,000 for the three months ended September 30, 2016 and 2015 , respectively. The effective tax rate was 32.0% and 35.4% for the three months ended September 30, 2016 and 2015 , respectively. The effective tax rate for the three months ended September 30, 2016 is estimated to be lower than the federal statutory rate primarily due to the benefit from U.S. federal research and development ("R&D") tax credit and domestic production activities deduction. As of September 30, 2016 , the Company had a liability for gross unrecognized tax benefits of $17,080,000 , substantially all of which, if recognized, would affect the Company's effective tax rate. During the three months ended September 30, 2016 , there were no material changes in the total amount of the liability for gross unrecognized tax benefits. The Company’s policy is to include interest and penalties related to unrecognized tax benefits within the provision for taxes on the condensed consolidated statements of operations. As of September 30, 2016 , the Company had accrued $1,524,000 of interest and penalties relating to unrecognized tax benefits. The Company is subject to United States federal income tax as well as income taxes in many state and foreign jurisdictions. The Company's 2012 and 2013 federal tax returns are currently under the IRS examination. The Company has responded to Information Document Requests ("IDRs"), issued by the Internal Revenue Service ("IRS"). No adjustment has been proposed by the IRS as of September 30, 2016 . The Company is also currently under audit in Taiwan. The Taiwan Tax Authority issued income tax assessments for tax years 2013 and 2014 related to the local income tax exemption regime which the Company has participated in. The Company is currently in the process of appealing the assessments. While management believes that the Company has adequately provided reserves for all uncertain tax positions, amounts asserted by tax authorities could be greater or less than the Company’s current position. Accordingly, the Company’s provision on federal, state and foreign tax related matters to be recorded in the future may change as revised estimates are made or the underlying matters are settled or otherwise resolved. The federal statute of limitations remain open in general for tax years 2012 through 2015. The state statute of limitations remain open in general for tax years 2011 through 2015. The statute of limitations in major foreign jurisdictions remain open for examination in general for tax years 2009 through 2015. The Company does not expect its unrecognized tax benefits to change materially over the next 12 months. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Sep. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation and Claims — The Company is involved in various legal proceedings arising from the normal course of business activities. The Company defends itself vigorously against any such claims. In management’s opinion, the resolution of any matters will not have a material adverse effect on the Company’s consolidated financial condition, results of operations or liquidity. Purchase Commitments — The Company has agreements to purchase certain units of inventory and non-inventory items through fiscal year 2017 . As of September 30, 2016 , these remaining non-cancellable commitments were $354,796,000 compared to $334,010,000 as of June 30, 2016 . Included in the above non-cancellable commitments are hard disk drive purchase commitments totaling approximately $42,200,000 , which will be paid through December 2016 . The Company has entered into purchase agreements with selected suppliers of hard disk drives in order to ensure continuity of supply for these components. The agreements provide for some variation in the amount of units the Company is required to purchase and the suppliers may modify the purchase price for these components due to significant changes in market or component supply conditions. Product mix for these components may be negotiated quarterly and the purchase price for these components will be reviewed quarterly with the suppliers. The Company has been negotiating the purchase price with the suppliers on an ongoing basis based upon market rates. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The Company operates in one operating segment that develops and provides high performance server solutions based upon an innovative, modular and open-standard architecture. The Company’s chief operating decision maker is the Chief Executive Officer. International net sales are based on the country and region to which the products were shipped. The following is a summary for the three months ended September 30, 2016 and 2015 , of net sales by geographic region (in thousands): Three Months Ended 2016 2015 Net sales: United States $ 295,531 $ 338,696 Europe 113,711 86,826 Asia 96,280 74,657 Other 23,446 19,439 $ 528,968 $ 519,618 The following is a summary of long-lived assets, excluding financial instruments, deferred tax assets, other assets, goodwill and intangible assets (in thousands): September 30, June 30, 2016 2016 Long-lived assets: United States $ 146,379 $ 142,764 Asia 41,533 42,052 Europe 2,936 3,133 $ 190,848 $ 187,949 The following is a summary of net sales by product type (in thousands): Three Months Ended 2016 2015 Amount Percent of Amount Percent of Server systems $ 357,493 67.6 % $ 356,211 68.6 % Subsystems and accessories 171,475 32.4 % 163,407 31.4 % Total $ 528,968 100.0 % $ 519,618 100.0 % Subsystems and accessories are comprised of serverboards, chassis and accessories. Server systems constitute an assembly of subsystems and accessories. No customer represented greater than 10% of the Company's total net sales in the three months ended September 30, 2016 and one customer represented 12.2% of the Company's total net sales in the three months ended September 30, 2015 . No country other than the United States represented greater than 10% of the Company’s total net sales in the three months ended September 30, 2016 and 2015 . No customer accounted for 10% or more of the Company's accounts receivable as of September 30, 2016 and June 30, 2016 . |
Summary of Significant Accoun19
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Sep. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated financial statements reflect the condensed consolidated balance sheets, results of operations, comprehensive income and cash flows of Super Micro Computer, Inc. and its wholly-owned subsidiaries (collectively, the “Company”). All intercompany accounts and transactions have been eliminated in consolidation. The unaudited condensed consolidated financial statements included herein have been prepared by the Company pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) and include the accounts of the Company and its wholly-owned subsidiaries. Certain information and footnote disclosures normally included in financial statements prepared in accordance with United States generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements for the fiscal year ended June 30, 2016 included in its Annual Report on Form 10-K, as filed with the SEC (the “Annual Report”). The unaudited condensed consolidated financial statements included herein reflect all adjustments, including normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the consolidated financial position, results of operations and cash flows for the periods presented. The condensed consolidated results of operations for the three months ended September 30, 2016 are not necessarily indicative of the results that may be expected for future quarters or for the fiscal year ending June 30, 2017 . The Company consolidates its investment in Super Micro Asia Science and Technology Park, Inc. as it is a variable interest entity and the Company is the primary beneficiary. The noncontrolling interest is presented as a separate component from the Company's equity in the equity section of the condensed consolidated balance sheets. Net income attributable to the noncontrolling interest is not presented separately in the condensed consolidated statements of operations and is included in the general and administrative expenses as the amount is not material for any of the fiscal periods presented. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company accounts for certain assets and liabilities at fair value. Accounts receivable and accounts payable are carried at cost, which approximates fair value due to the short maturity of these instruments. Cash equivalents and long-term investments are carried at fair value. Short-term and long-term debt is carried at amortized cost, which approximates its fair value based on borrowing rates currently available to the Company for loans with similar terms. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. The Company categorizes each of its fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are: • Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; • Level 2 - Quoted prices in markets that are not active or financial instruments for which all significant inputs are observable, either directly or indirectly; and • Level 3 - Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. |
Net Income Per Common Share | Net Income Per Common Share The Company's basic net income per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding during the period. Diluted net income per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the potentially dilutive securities had been issued. Potentially dilutive securities include outstanding stock options and unvested restricted stock units (“RSUs”). Under the treasury stock method, an increase in the fair market value of the Company’s common stock results in a greater dilutive effect from outstanding stock options and RSUs. Additionally, the exercise of employee stock options and the vesting of restricted stock units results in a further dilutive effect on net income per share. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued new accounting guidance, Revenue from Contracts with Customers , that replaces all current U.S. GAAP guidance on revenue, eliminates all industry-specific guidance and provides a unified model in determining when and how revenue is recognized. The core principle is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. Further, in March 2016, the FASB issued an amendment to the accounting guidance, Revenue from Contracts with Customers: Principal versus Agent Considerations (Reporting Revenue Gross versus Net) , which clarifies the implementation guidance for principal versus agent considerations. In April 2016, the FASB issued an amendment to the accounting guidance, Revenue from Contracts with Customers: Identifying Performance Obligations and Licensing , which clarifies the guidance related to identifying performance obligations and accounting for licenses of intellectual property. In May 2016, the FASB issued an amendment to the accounting guidance, Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients , which clarifies the guidance related to collectibility and non-cash consideration, as well as provides practical expedients for the transition to the new accounting guidance. This guidance can be applied either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Early adoption is permitted for annual periods beginning after December 15, 2016. The new standard is effective for the Company on July 1, 2018. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. In April 2015, the FASB issued an amendment to the accounting guidance, Interest-Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs. This amendment requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. In August 2015, the FASB issued an amendment to the accounting guidance, Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements. This amendment clarifies that an entity may defer and present debt issuance costs associated with line-of-credit arrangements as an asset and subsequently amortize the deferred debt issuance costs ratably over the term of the line-of-credit arrangement, regardless of whether there are any outstanding borrowings on the line-of-credit arrangement. These amendments should be applied retrospectively to all prior periods presented in the financial statements. The Company adopted these amendments in the first quarter of fiscal year 2017. There was no material impact on its financial statement disclosures, results of operations and financial position. In July 2015, the FASB issued an amendment to the accounting guidance, Inventory: Simplifying the Measurement of Inventory . The amendment requires entities to measure inventory at the lower of cost and net realizable value thereby simplifying the current guidance under which an entity must measure inventory at the lower of cost or market. The amendment is effective for the Company on July 1, 2018. The Company is currently evaluating the effect the amendment to the guidance will have on its financial statement disclosures, results of operations and financial position. In February 2016, the FASB issued an amendment to the accounting guidance, Leases. The amendment will supersede the existing lease guidance, including on-balance sheet recognition of operating leases for lessees. This amendment should be applied using a modified retrospective approach and is effective for the Company on July 1, 2018. Early adoption is permitted. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. In March 2016, the FASB issued new accounting guidance, Compensation—Stock Compensation: Improvements to Employee Share-Based Payment Accounting on the accounting for certain aspects of share-based payment to employees, including the accounting for income taxes, forfeitures, and statutory tax withholding requirements as well as classification in the statement of cash flows. This guidance is effective for the Company on July 1, 2018. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. In August 2016, the FASB issued an amendment to the accounting guidance, Statement of Cash Flows: Classification of Certain Cash Receipts and Cash Payments. This amendment consists of eight provisions that provide guidance on the classification of certain cash receipts and cash payments. If practicable, this amendment should be applied using a retrospective transition method to each period presented. For the provisions that are impracticable to apply retrospectively, those provisions may be applied prospectively as of the earliest date practicable. This amendment is effective for the Company on July 1, 2019. Early adoption is permitted. The Company is currently evaluating the effect the guidance will have on its financial statement disclosures, results of operations and financial position. |
Stock-based Compensation and 20
Stock-based Compensation and Stockholders' Equity (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of assumptions used to estimate fair value of stock options granted using Black-Scholes option pricing model | The fair value of stock option grants for the three months ended September 30, 2016 and 2015 was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions: Three Months Ended 2016 2015 Risk-free interest rate 1.12 % 1.57 % Expected term 5.38 years 5.33 years Dividend yield — % — % Volatility 49.64 % 47.06 % Weighted-average fair value $ 9.29 $ 11.64 |
Schedule of stock-based compensation expense | The following table shows total stock-based compensation expense included in the condensed consolidated statements of operations for the three months ended September 30, 2016 and 2015 (in thousands): Three Months Ended 2016 2015 Cost of sales $ 309 $ 240 Research and development 2,908 2,402 Sales and marketing 478 404 General and administrative 809 830 Stock-based compensation expense before taxes 4,504 3,876 Income tax impact (1,286 ) (285 ) Stock-based compensation expense, net $ 3,218 $ 3,591 |
Summary of stock option activity | The following table summarizes stock option activity during the three months ended September 30, 2016 under all plans: Options Outstanding Weighted Average Exercise Price per Share Weighted Average Remaining Contractual Term (in Years) Aggregate Intrinsic Value (in thousands) Balance as of June 30, 2016 (7,495,131 shares exercisable at weighted average exercise price of $13.35 per share) 8,960,867 $ 14.88 Granted (weighted average fair value of $9.29) 127,620 $ 20.54 Exercised (257,453 ) $ 11.41 Forfeited (12,854 ) $ 19.78 Balance as of September 30, 2016 8,818,180 $ 15.06 5.09 $ 79,505 Options vested and expected to vest at September 30, 2016 8,744,510 $ 14.97 5.06 $ 79,405 Options vested and exercisable at September 30, 2016 7,494,049 $ 13.62 4.55 $ 75,717 |
Summary of restricted stock unit activity | The following table summarizes RSUs activity during the three months ended September 30, 2016 under all plans: RSUs Outstanding Weighted Average Grant-Date Fair Value per Share Aggregate Intrinsic Value (in thousands) Balance as of June 30, 2016 926,983 $ 30.23 Granted 214,370 $ 20.54 Released (86,445 ) $ 28.36 Forfeited (29,831 ) $ 28.43 Balance as of September 30, 2016 1,025,077 $ 28.41 $ 23,956 |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Earnings Per Share [Abstract] | |
Computation of basic and diluted net income per share | The following table shows the computation of basic and diluted net income per share for the three months ended September 30, 2016 and 2015 (in thousands, except per share amounts): Three Months Ended 2016 2015 Numerator: Net income $ 13,532 $ 13,699 Denominator: Weighted-average shares outstanding 48,165 47,517 Effect of dilutive securities 2,955 3,835 Weighted-average diluted shares 51,120 51,352 Basic net income per share $ 0.28 $ 0.29 Diluted net income per share $ 0.26 $ 0.27 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Balance Sheet Related Disclosures [Abstract] | |
Schedule of inventory | Inventory: September 30, June 30, Finished goods $ 366,251 $ 351,209 Work in process 51,333 19,105 Purchased parts and raw materials 82,403 78,666 Total inventory $ 499,987 $ 448,980 |
Schedule of property, plant, and equipment | Property, Plant, and Equipment: September 30, June 30, Land $ 70,457 $ 70,454 Buildings 71,665 71,665 Building and leasehold improvements 10,874 10,941 Buildings construction in progress (1) 19,834 15,803 Machinery and equipment 54,699 53,282 Furniture and fixtures 11,355 10,364 Purchased software 14,001 13,920 Purchased software construction in progress 450 532 253,335 246,961 Accumulated depreciation and amortization (62,487 ) (59,012 ) Property, plant and equipment, net $ 190,848 $ 187,949 (1) In connection with the purchase of property located in San Jose, California for the Company's Green Computing Park, the Company continues to engage several contractors for the development and construction of improvements on the property. |
Schedule of other assets | Other Assets: September 30, June 30, Long-term deferred service costs $ 3,604 $ 3,498 Restricted cash 1,764 1,851 Investment in a privately held company 1,411 1,411 Deposits 472 910 Prepaid royalty license 685 748 Others $ 117 $ 128 Total other assets $ 8,053 $ 8,546 |
Schedule of accrued liabilities | Accrued Liabilities: September 30, June 30, Accrued payroll and related expenses $ 16,252 $ 16,015 Customer deposits 7,385 6,265 Accrued warranty costs 5,600 5,816 Accrued cooperative marketing expenses 7,399 7,300 Deferred revenue (1) 16,462 13,418 Others 7,745 6,804 Total accrued liabilities $ 60,843 $ 55,618 (1) As of September 30, 2016 and June 30, 2016 , deferred revenue consist primarily of a deferred extended warranty and on-site service revenue of $15,160,000 and $12,746,000 , respectively. |
Schedule of other long-term liabilities | Other Long-term Liabilities: September 30, June 30, Deferred revenue-net of current portion (1) $ 25,028 $ 21,940 Accrued unrecognized tax benefits including related interests and penalties-net of current portion 17,080 16,056 Accrued warranty costs-net of current portion 1,326 1,313 Others 1,227 1,294 Total other long-term liabilities $ 44,661 $ 40,603 (1) As of September 30, 2016 and June 30, 2016 , deferred revenue-net of current portion consist primarily of a deferred extended warranty and on-site service revenue of $23,717,000 and $21,265,000 , respectively. |
Reconciliation of the changes in accrued warranty costs | Product Warranties: Three Months Ended 2016 2015 Balance, beginning of period $ 7,129 $ 7,700 Provision for warranty 4,926 3,866 Costs charged to accrual (4,808 ) (3,819 ) Change in estimated liability for pre-existing warranties (321 ) (202 ) Balance, end of period 6,926 7,545 Current portion (5,600 ) (7,545 ) Long-term portion $ 1,326 $ — |
Fair Value Disclosure (Tables)
Fair Value Disclosure (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Schedule of cash equivalents and long-term investments measured at fair value on a recurring basis | The following table sets forth the Company’s cash equivalents and long-term investments as of September 30, 2016 and June 30, 2016 which are measured at fair value on a recurring basis by level within the fair value hierarchy. These are classified based on the lowest level of input that is significant to the fair value measurement (in thousands): September 30, 2016 Level 1 Level 2 Level 3 Asset at Fair Value Money market funds $ 312 $ — $ — $ 312 Auction rate securities — — 2,643 2,643 Total $ 312 $ — $ 2,643 $ 2,955 June 30, 2016 Level 1 Level 2 Level 3 Asset at Fair Value Money market funds $ 315 $ — $ — $ 315 Auction rate securities — — 2,643 2,643 Total $ 315 $ — $ 2,643 $ 2,958 |
Reconciliation of financial assets measured at fair value on a recurring basis | The following table provides a reconciliation of the Company’s financial assets measured at fair value on a recurring basis, consisting of long-term auction rate securities, using significant unobservable inputs (Level 3) for the three months ended September 30, 2016 and 2015 (in thousands): Three Months Ended 2016 2015 Balance as of beginning of period $ 2,643 $ 2,633 Total realized gains or (losses) included in net income — — Total unrealized gains or (losses) included in other comprehensive income — — Sales and settlements at par — — Transfers in and/or out of Level 3 — — Balance as of end of period $ 2,643 $ 2,633 |
Summary of long-term investments | The following is a summary of the Company’s long-term investments as of September 30, 2016 and June 30, 2016 (in thousands): September 30, 2016 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Auction rate securities $ 2,750 $ — $ (107 ) $ 2,643 June 30, 2016 Amortized Cost Gross Unrealized Holding Gains Gross Unrealized Holding Losses Fair Value Auction rate securities $ 2,750 $ — $ (107 ) $ 2,643 |
Short-term and Long-term Debt24
Short-term and Long-term Debt Obligations (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of short-term and long-term debt obligations | Short-term and long-term obligations as of September 30, 2016 and June 30, 2016 consisted of the following (in thousands): September 30, June 30, 2016 2016 Line of credit: Bank of America (1) $ 11,199 $ 62,199 CTBC Bank 18,800 10,100 Total line of credit 29,999 72,299 Term loans: Bank of America (1) 47,500 933 CTBC Bank 21,061 20,357 Total term loans 68,561 21,290 Total debt 98,560 93,589 Less: debt issuance costs (365 ) — Total debt, net of debt issuance costs 98,195 93,589 Current portion, net of debt issuance costs (60,983 ) (53,589 ) Long-term portion, net of debt issuance costs $ 37,212 $ 40,000 (1) In July 2016, $50,000,000 of the revolving line of credit was refinanced to a five -year term loan under the new credit agreement with Bank of America and was reclassified to long-term loan at September 30, 2016 and June 30, 2016. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Sep. 30, 2016 | |
Segment Reporting [Abstract] | |
Summary of net sales by geographic region | The following is a summary for the three months ended September 30, 2016 and 2015 , of net sales by geographic region (in thousands): Three Months Ended 2016 2015 Net sales: United States $ 295,531 $ 338,696 Europe 113,711 86,826 Asia 96,280 74,657 Other 23,446 19,439 $ 528,968 $ 519,618 |
Summary of long-lived assets, excluding financial instruments, deferred tax assets, other assets, goodwill and intangible assets | The following is a summary of long-lived assets, excluding financial instruments, deferred tax assets, other assets, goodwill and intangible assets (in thousands): September 30, June 30, 2016 2016 Long-lived assets: United States $ 146,379 $ 142,764 Asia 41,533 42,052 Europe 2,936 3,133 $ 190,848 $ 187,949 |
Summary of net sales by product type | The following is a summary of net sales by product type (in thousands): Three Months Ended 2016 2015 Amount Percent of Amount Percent of Server systems $ 357,493 67.6 % $ 356,211 68.6 % Subsystems and accessories 171,475 32.4 % 163,407 31.4 % Total $ 528,968 100.0 % $ 519,618 100.0 % |
Stock-based Compensation and 26
Stock-based Compensation and Stockholders' Equity - Equity Incentive Plan (Details) - USD ($) | 3 Months Ended | 7 Months Ended | |||
Sep. 30, 2016 | Sep. 30, 2016 | Jul. 31, 2016 | Jun. 30, 2016 | Mar. 08, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Treasury stock, value | $ 20,491,000 | $ 20,491,000 | $ 2,030,000 | ||
Shares reserved for outstanding awards (in shares) | 8,818,180 | 8,818,180 | 8,960,867 | ||
Equity Incentive Plan, 2016, more than 10% ownership | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of fair market value | 110.00% | ||||
Equity Incentive Plan, 2016, less than 10% ownership | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of fair market value | 100.00% | ||||
Equity Incentive Plan, 2016 | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares reserved for future issuance (in shares) | 4,700,000 | ||||
Authorized shares available for future issuance (in shares) | 3,884,570 | 3,884,570 | |||
Equity Incentive Plan, 2016 | Stock options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option expected life (in years) | 10 years | ||||
Equity Incentive Plan, 2016 | Employee stock options and restricted stock units | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting period (in years) | 4 years | ||||
Equity Incentive Plan, 2016 | Employee stock options and restricted stock units | Year one | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option and restricted stock units vesting rights, percentage | 25.00% | ||||
Equity Incentive Plan, 2016 | Employee stock options and restricted stock units | Quarterly | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option and restricted stock units vesting rights, percentage | 6.25% | ||||
Equity Incentive Plan, 2006 | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares reserved for future issuance (in shares) | 2,800,000 | ||||
Shares reserved for outstanding awards (in shares) | 8,696,444 | ||||
Number of authorized shares available for future issuance were cancelled (in shares) | 1,153,412 | ||||
Common Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock repurchase program, authorized amount | $ 100,000,000 | ||||
Treasury stock (in shares) | 888,097 | 888,097 | |||
Treasury stock acquired, average cost per share (in dollars per share) | $ 20.79 | ||||
Treasury stock, value | $ 18,461,000 | $ 18,461,000 |
Stock-based Compensation and 27
Stock-based Compensation and Stockholders' Equity - Determining Fair Value (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Excess tax benefits (shortfalls) recorded in additional paid in capital | $ (32) | $ 714 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||
Risk-free interest rate | 1.12% | 1.57% |
Expected term | 5 years 4 months 17 days | 5 years 3 months 29 days |
Dividend yield (as a percent) | 0.00% | 0.00% |
Volatility (as a percent) | 49.64% | 47.06% |
Weighted-average fair value (in dollars per share) | $ 9.29 | $ 11.64 |
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | ||
Stock-based compensation expense before taxes | $ 4,504 | $ 3,876 |
Income tax impact | (1,286) | (285) |
Stock-based compensation expense, net | 3,218 | 3,591 |
Excess tax benefit from financing activities | 302 | 134 |
Employee stock option | ||
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | ||
Unrecognized compensation cost related to non-vested stock-based awards | $ 37,947 | |
Unrecognized compensation cost related to non-vested stock based awards, period for recognition (in years) | 2 years 4 months 2 days | |
Cost of sales | ||
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | ||
Stock-based compensation expense before taxes | $ 309 | 240 |
Research and development | ||
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | ||
Stock-based compensation expense before taxes | 2,908 | 2,402 |
Sales and marketing | ||
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | ||
Stock-based compensation expense before taxes | 478 | 404 |
General and administrative | ||
Employee Service Share-based Compensation, Aggregate Disclosures [Abstract] | ||
Stock-based compensation expense before taxes | $ 809 | $ 830 |
Stock-based Compensation and 28
Stock-based Compensation and Stockholders' Equity - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Options Outstanding | |||
Balance at beginning of period (in shares) | 8,960,867 | ||
Granted (in shares) | 127,620 | ||
Exercised (in shares) | (257,453) | ||
Forfeited (in shares) | (12,854) | ||
Balance at end of period (in shares) | 8,818,180 | ||
Options vested and expected to vest (in shares) | 8,744,510 | ||
Options vested and exercisable (in shares) | 7,494,049 | 7,495,131 | |
Weighted Average Exercise Price per Share | |||
Balance at beginning of period (in dollars per share) | $ 14.88 | ||
Granted (in dollars per share) | 20.54 | ||
Exercised (in dollars per share) | 11.41 | ||
Forfeited (in dollars per share) | 19.78 | ||
Balance at end of period (in dollars per share) | 15.06 | ||
Options vested and expected to vest (in dollars per share) | 14.97 | ||
Options vested and exercisable (in dollars per share) | 13.62 | $ 13.35 | |
Weighted-average fair value (in dollars per share) | $ 9.29 | $ 11.64 | |
Weighted Average Remaining Contractual Term and Aggregate Intrinsic Value | |||
Weighted average remaining contractual term, options outstanding (in years) | 5 years 1 month 2 days | ||
Weighted average remaining contractual term, options vested and expected to vest (in years) | 5 years 22 days | ||
Weighted average remaining contractual term, options vested and exercisable (in years) | 4 years 6 months 18 days | ||
Aggregate intrinsic value, options outstanding | $ 79,505 | ||
Aggregate intrinsic value, options vested and expected to vest | 79,405 | ||
Aggregate intrinsic value, options vested and exercisable | 75,717 | ||
Total pretax intrinsic value of options exercised | $ 2,652 | $ 2,741 |
Stock-based Compensation and 29
Stock-based Compensation and Stockholders' Equity - RSU Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Aggregate Intrinsic Value | ||
Minimum tax withholding paid on behalf of employees for restricted stock units | $ (660) | $ (196) |
Restricted stock units | ||
RSUs Outstanding | ||
Balance at beginning of period (in shares) | 926,983 | |
Granted (in shares) | 214,370 | |
Vested (in shares) | (86,445) | (20,199) |
Forfeited (in shares) | (29,831) | |
Balance at end of period (in shares) | 1,025,077 | |
Weighted Average Grant-Date Fair Value per Share | ||
Balance at beginning of period (in dollars per share) | $ 30.23 | |
Granted (in dollars per share) | 20.54 | |
Vested (in dollars per share) | 28.36 | |
Forfeited (in dollars per share) | 28.43 | |
Balance at end of period (in dollars per share) | $ 28.41 | |
Aggregate Intrinsic Value | ||
Balance at end of period | $ 23,956 | |
Total pretax intrinsic value of restricted stock units vested | $ 1,852 | $ 547 |
Shares withheld for taxes (in shares) | 30,799 | 7,232 |
Net Income Per Share (Details)
Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Numerator: | ||
Net income | $ 13,532 | $ 13,699 |
Denominator: | ||
Weighted-average shares outstanding (in shares) | 48,165 | 47,517 |
Effect of dilutive securities (in shares) | 2,955 | 3,835 |
Weighted-average diluted shares (in shares) | 51,120 | 51,352 |
Basic net income per share (in dollars per share) | $ 0.28 | $ 0.29 |
Diluted net income per share (in dollars per share) | $ 0.26 | $ 0.27 |
Employee stock options and restricted stock units | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive outstanding equity awards (in shares) | 1,976 | 1,248 |
Balance Sheet Components - Inve
Balance Sheet Components - Inventory (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Inventory, Net [Abstract] | |||
Finished goods | $ 366,251 | $ 351,209 | |
Work in process | 51,333 | 19,105 | |
Purchased parts and raw materials | 82,403 | 78,666 | |
Total inventory | 499,987 | $ 448,980 | |
Provision for lower of cost or market and excess and obsolete inventory | $ 3,893 | $ 1,718 |
Balance Sheet Components - Prop
Balance Sheet Components - Property, Plant, and Equipment (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 253,335 | $ 246,961 |
Accumulated depreciation and amortization | (62,487) | (59,012) |
Property, plant and equipment, net | 190,848 | 187,949 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 70,457 | 70,454 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 71,665 | 71,665 |
Building and leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 10,874 | 10,941 |
Buildings construction in progress (1) | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 19,834 | 15,803 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 54,699 | 53,282 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 11,355 | 10,364 |
Purchased software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 14,001 | 13,920 |
Purchased software construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 450 | $ 532 |
Balance Sheet Components - Othe
Balance Sheet Components - Other Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Other Assets, Noncurrent Disclosure [Abstract] | ||
Long-term deferred service costs | $ 3,604 | $ 3,498 |
Restricted cash | 1,764 | 1,851 |
Investment in a privately held company | 1,411 | 1,411 |
Deposits | 472 | 910 |
Prepaid royalty license | 685 | 748 |
Others | 117 | 128 |
Total other assets | $ 8,053 | $ 8,546 |
Balance Sheet Components - Accr
Balance Sheet Components - Accrued Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 | Sep. 30, 2015 |
Accrued Liabilities [Line Items] | |||
Accrued payroll and related expenses | $ 16,252 | $ 16,015 | |
Customer deposits | 7,385 | 6,265 | |
Accrued warranty costs | 5,600 | 5,816 | $ 7,545 |
Accrued cooperative marketing expenses | 7,399 | 7,300 | |
Deferred revenue (1) | 16,462 | 13,418 | |
Others | 7,745 | 6,804 | |
Total accrued liabilities | 60,843 | 55,618 | |
Deferred Extended Warranty and On-site Service Revenue | |||
Accrued Liabilities [Line Items] | |||
Deferred revenue (1) | $ 15,160 | $ 12,746 |
Balance Sheet Components - Ot35
Balance Sheet Components - Other Long-Term Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 | Sep. 30, 2015 |
Other Commitments [Line Items] | |||
Deferred revenue-net of current portion (1) | $ 25,028 | $ 21,940 | |
Accrued unrecognized tax benefits including related interests and penalties-net of current portion | 17,080 | 16,056 | |
Accrued warranty costs-net of current portion | 1,326 | 1,313 | $ 0 |
Others | 1,227 | 1,294 | |
Total other long-term liabilities | 44,661 | 40,603 | |
Deferred Extended Warranty and On-site Service Revenue | |||
Other Commitments [Line Items] | |||
Deferred revenue, noncurrent | $ 23,717 | $ 21,265 |
Balance Sheet Components - Prod
Balance Sheet Components - Product Warranties (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Product Warranties: | |||
Balance, beginning of period | $ 7,129 | $ 7,700 | |
Provision for warranty | 4,926 | 3,866 | |
Costs charged to accrual | (4,808) | (3,819) | |
Change in estimated liability for pre-existing warranties | (321) | (202) | |
Balance, end of period | 6,926 | 7,545 | |
Current portion | (5,600) | (7,545) | $ (5,816) |
Long-term portion | $ 1,326 | $ 0 | $ 1,313 |
Fair Value Disclosure - Cash Eq
Fair Value Disclosure - Cash Equivalents and Long-term Investments (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Fair Value, Measurements, Recurring | ||
Asset at Fair Value | ||
Total | $ 2,955 | $ 2,958 |
Fair Value, Measurements, Recurring | Level 1 | ||
Asset at Fair Value | ||
Total | 312 | 315 |
Fair Value, Measurements, Recurring | Level 2 | ||
Asset at Fair Value | ||
Total | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | ||
Asset at Fair Value | ||
Total | 2,643 | 2,643 |
Money market funds | Fair Value, Measurements, Recurring | ||
Asset at Fair Value | ||
Money market funds | 312 | 315 |
Money market funds | Fair Value, Measurements, Recurring | Level 1 | ||
Asset at Fair Value | ||
Money market funds | 312 | 315 |
Money market funds | Fair Value, Measurements, Recurring | Level 2 | ||
Asset at Fair Value | ||
Money market funds | 0 | 0 |
Money market funds | Fair Value, Measurements, Recurring | Level 3 | ||
Asset at Fair Value | ||
Money market funds | 0 | 0 |
Auction rate securities | Fair Value, Measurements, Recurring | ||
Asset at Fair Value | ||
Auction rate securities | 2,643 | 2,643 |
Auction rate securities | Fair Value, Measurements, Recurring | Level 1 | ||
Asset at Fair Value | ||
Auction rate securities | 0 | 0 |
Auction rate securities | Fair Value, Measurements, Recurring | Level 2 | ||
Asset at Fair Value | ||
Auction rate securities | 0 | 0 |
Auction rate securities | Fair Value, Measurements, Recurring | Level 3 | ||
Asset at Fair Value | ||
Auction rate securities | 2,643 | 2,643 |
Cash | ||
Asset at Fair Value | ||
Cash and cash equivalents | 146,153 | 180,426 |
Certificates of deposit | ||
Asset at Fair Value | ||
Certificates of deposit | $ 2,054 | $ 2,133 |
Fair Value Disclosure - Assets
Fair Value Disclosure - Assets Measured on Recurring Basis Roll Forward (Details) - Level 3 - Fair Value, Measurements, Recurring - Auction rate securities - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance as of beginning of period | $ 2,643 | $ 2,633 |
Total realized gains or (losses) included in net income | 0 | 0 |
Total unrealized gains or (losses) included in other comprehensive income | 0 | 0 |
Sales and settlements at par | 0 | 0 |
Transfers in and/or out of Level 3 | 0 | 0 |
Balance as of end of period | $ 2,643 | $ 2,633 |
Fair Value Disclosure - Long-te
Fair Value Disclosure - Long-term Investments (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term and long-term debt | $ 98,195 | $ 93,589 |
Auction rate securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Amortized Cost | 2,750 | 2,750 |
Gross Unrealized Holding Gains | 0 | 0 |
Gross Unrealized Holding Losses | (107) | (107) |
Fair Value | 2,643 | 2,643 |
Auction rate securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 0 | $ 0 |
Short-term and Long-term Obliga
Short-term and Long-term Obligations - Debt (Details) - USD ($) | 1 Months Ended | |||
Jul. 31, 2016 | Apr. 30, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | |
Debt Instrument [Line Items] | ||||
Total debt | $ 98,560,000 | $ 93,589,000 | ||
Less: debt issuance costs | (365,000) | 0 | ||
Total debt, net of debt issuance costs | 98,195,000 | 93,589,000 | ||
Current portion, net of debt issuance costs | (60,983,000) | (53,589,000) | ||
Long-term portion, net of debt issuance costs | 37,212,000 | 40,000,000 | ||
CTBC Bank | CTBC 2016 Facility | Revolving Credit Facility | Line of Credit | ||||
Debt Instrument [Line Items] | ||||
Credit facility, term | 12 months | |||
CTBC Bank | CTBC 2016 Facility | Secured Debt | Term Loan | ||||
Debt Instrument [Line Items] | ||||
Credit facility, term | 12 months | |||
Term Loan | Secured Debt | ||||
Debt Instrument [Line Items] | ||||
Total debt | 68,561,000 | 21,290,000 | ||
Term Loan | Bank of America | Bank of America 2015 Credit Agreement | Secured Debt | ||||
Debt Instrument [Line Items] | ||||
Total debt | 933,000 | |||
Term Loan | Bank of America | Bank of America 2016 Credit Agreement | Secured Debt | ||||
Debt Instrument [Line Items] | ||||
Total debt | 47,500,000 | |||
Term loan, face amount | $ 50,000,000 | |||
Credit facility, term | 5 years | |||
Term Loan | CTBC Bank | CTBC 2016 Facility | Secured Debt | ||||
Debt Instrument [Line Items] | ||||
Total debt | 21,061,000 | 20,357,000 | ||
Line of Credit | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Total debt | 29,999,000 | 72,299,000 | ||
Line of Credit | Bank of America | Bank of America 2015 Credit Agreement | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Total debt | 62,199,000 | |||
Line of Credit | Bank of America | Bank of America 2016 Credit Agreement | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Total debt | 11,199,000 | |||
Line of Credit | CTBC Bank | CTBC 2016 Facility | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 18,800,000 | $ 10,100,000 |
Short-term and Long-term Debt41
Short-term and Long-term Debt Obligations - Bank of America (Details) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Oct. 31, 2016USD ($) | Jun. 30, 2015USD ($)building | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($)building | Jul. 31, 2016USD ($) | |
Short-term and Long-term Debt [Line Items] | |||||
Debt, total outstanding borrowings | $ 98,560,000 | $ 93,589,000 | |||
Line of Credit | Revolving Credit Facility | |||||
Short-term and Long-term Debt [Line Items] | |||||
Debt, total outstanding borrowings | $ 29,999,000 | $ 72,299,000 | |||
Bank of America | Term Loan | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, term | 5 years | ||||
Bank of America | Bank of America 2015 Credit Agreement | Minimum | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate (as a percent) | 1.02% | ||||
Bank of America | Bank of America 2015 Credit Agreement | Maximum | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate (as a percent) | 1.96% | ||||
Bank of America | Bank of America 2015 Credit Agreement | Line of Credit | Revolving Credit Facility | |||||
Short-term and Long-term Debt [Line Items] | |||||
Debt, total outstanding borrowings | $ 62,199,000 | ||||
Bank of America | Bank of America 2015 Credit Agreement | Term Loan | Secured Debt | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, term | 5 years | ||||
Term loan, face amount | $ 14,000,000 | ||||
Number of buildings as collateral | building | 3 | ||||
Debt, total outstanding borrowings | 933,000 | ||||
Bank of America | Bank of America 2015 Credit Agreement | Term Loan | Secured Debt | LIBOR | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, basis spread on variable rate (as a percent) | 1.50% | ||||
Bank of America | Bank of America 2015 Credit Agreement | Line of Credit | Revolving Credit Facility | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, maximum borrowing capacity | $ 65,000,000 | ||||
Bank of America | Bank of America 2016 Credit Agreement | Minimum | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate (as a percent) | 1.08% | ||||
Bank of America | Bank of America 2016 Credit Agreement | Maximum | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate (as a percent) | 1.77% | ||||
Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | |||||
Short-term and Long-term Debt [Line Items] | |||||
Debt, total outstanding borrowings | $ 11,199,000 | ||||
Bank of America | Bank of America 2016 Credit Agreement | Term Loan | Secured Debt | |||||
Short-term and Long-term Debt [Line Items] | |||||
Term loan, face amount | $ 50,000,000 | $ 50,000,000 | |||
Number of buildings as collateral | building | 7 | ||||
Debt, total outstanding borrowings | 47,500,000 | ||||
Interest rate (as a percent) | 1.71% | ||||
Bank of America | Bank of America 2016 Credit Agreement | Term Loan | Secured Debt | LIBOR | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, basis spread on variable rate (as a percent) | 1.25% | ||||
Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, maximum borrowing capacity | $ 55,000,000 | ||||
Credit facility, remaining borrowing capacity | $ 53,801,000 | ||||
Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | Super Micro Computer, Taiwan | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, maximum borrowing capacity | 10,000,000 | ||||
Credit facility, basis spread on variable rate (as a percent) | 0.90% | ||||
Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | LIBOR | |||||
Short-term and Long-term Debt [Line Items] | |||||
Credit facility, basis spread on variable rate (as a percent) | 1.25% | ||||
LIBOR rate (as a percent) | 0.52% | ||||
Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Letter of Credit | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate, stated percentage | 1.25% | ||||
Credit facility, maximum borrowing capacity | $ 5,000,000 | ||||
Subsequent Event | Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | |||||
Short-term and Long-term Debt [Line Items] | |||||
Proceeds from line of credit | $ 30,000,000 | ||||
Subsequent Event | Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | Minimum | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate (as a percent) | 2.14% | ||||
Subsequent Event | Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | Maximum | |||||
Short-term and Long-term Debt [Line Items] | |||||
Interest rate (as a percent) | 3.75% |
Short-term and Long-term Debt42
Short-term and Long-term Debt Obligations - CTBC (Details) - CTBC Bank | 1 Months Ended | ||||||
Apr. 30, 2016 | Nov. 30, 2015USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Apr. 01, 2016USD ($) | Apr. 01, 2016TWD | Nov. 30, 2015TWD | |
CTBC 2015 Facility | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, maximum borrowing capacity | $ 30,340,000 | TWD 1,000,000,000 | |||||
CTBC 2015 Facility | Line of Credit | Revolving Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, term | 12 months | ||||||
Credit facility, maximum borrowing capacity | $ 17,000,000 | ||||||
Percent of eligible accounts receivable | 80.00% | 80.00% | |||||
CTBC 2015 Facility | Line of Credit | Revolving Credit Facility | CTBC's Established USD Interest Rate | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, basis spread on variable rate (as a percent) | 0.30% | ||||||
CTBC 2015 Facility | Term Loan | Secured Debt | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, term | 12 months | ||||||
Credit facility, maximum borrowing capacity | $ 22,017,000 | TWD 700,000,000 | |||||
CTBC 2015 Facility | Term Loan | Secured Debt | CTBC's Established NTD Interest Rate | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, basis spread on variable rate (as a percent) | 0.25% | ||||||
CTBC 2016 Facility | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, maximum borrowing capacity | $ 40,000,000 | ||||||
Credit facility, unused amount | $ 139,000 | ||||||
CTBC 2016 Facility | Minimum | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate (as a percent) | 0.89% | 0.90% | |||||
CTBC 2016 Facility | Maximum | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate (as a percent) | 1.40% | 1.25% | |||||
CTBC 2016 Facility | Line of Credit | Revolving Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, term | 12 months | ||||||
Credit facility, maximum borrowing capacity | $ 40,000,000 | ||||||
Percent of eligible accounts receivable | 80.00% | 80.00% | |||||
Debt, total outstanding borrowings | $ 18,800,000 | $ 10,100,000 | |||||
CTBC 2016 Facility | Line of Credit | Revolving Credit Facility | CTBC's Established USD Interest Rate | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, basis spread on variable rate (as a percent) | 0.30% | ||||||
CTBC 2016 Facility | Term Loan | Customs Bond | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, term | 12 months | ||||||
Credit facility, maximum borrowing capacity | $ 3,089,000 | TWD 100,000,000 | |||||
Interest rate, stated percentage | 0.50% | 0.50% | |||||
CTBC 2016 Facility | Term Loan | Secured Debt | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, term | 12 months | ||||||
Credit facility, maximum borrowing capacity | $ 21,620,000 | TWD 700,000,000 | |||||
Debt, total outstanding borrowings | $ 21,061,000 | $ 20,357,000 | |||||
CTBC 2016 Facility | Term Loan | Secured Debt | CTBC's Established NTD Interest Rate | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility, basis spread on variable rate (as a percent) | 0.25% |
Short-term and Long-term Debt43
Short-term and Long-term Debt Obligations Covenant Compliance (Details) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016USD ($)consecutive_quarter | Jun. 30, 2016USD ($)building | |
Bank of America | Bank of America 2016 Credit Agreement | ||
Debt Instrument [Line Items] | ||
Number of consecutive fiscal quarters with net operating loss | consecutive_quarter | 2 | |
Consolidated leverage ratio | 2 | |
Domestic unencumbered liquid assets market value | $ 30,000 | |
Bank of America | Bank of America 2016 Credit Agreement | Line of Credit | Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Collateral amount | 959,924 | $ 934,625 |
Bank of America | Bank of America 2016 Credit Agreement | Term Loan | Secured Debt | ||
Debt Instrument [Line Items] | ||
Collateral amount | 82,006 | $ 59,258 |
Number of buildings as collateral | building | 7 | |
CTBC Bank | CTBC 2016 Facility | Term Loan | Secured Debt | ||
Debt Instrument [Line Items] | ||
Collateral amount | $ 26,691 | $ 26,804 |
Related-party and Other Trans44
Related-party and Other Transactions (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||
May 31, 2012 | Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Related Party Transaction [Line Items] | ||||
Purchases | $ 50,205 | $ 59,261 | ||
Net sales | 3,342 | 5,220 | ||
Amounts receivable | 7,251 | $ 4,678 | ||
Amounts payable | 38,290 | 39,152 | ||
Outstanding purchase order | 354,796 | 334,010 | ||
Management Company | Super Micro Asia Science and Technology Park, Inc. | ||||
Related Party Transaction [Line Items] | ||||
Contribution in variable interest entity | $ 168 | |||
Ownership percentage of variable interest entity | 50.00% | |||
Management Company | Super Micro Asia Science and Technology Park, Inc. | General and administrative expenses | ||||
Related Party Transaction [Line Items] | ||||
Net income (loss) attributable to noncontrolling interest | $ 5 | 2 | ||
Compuware | Ablecom Technology | Ablecom | Maximum | ||||
Related Party Transaction [Line Items] | ||||
Ownership percentage | 50.00% | |||
Super Micro Computer | Ablecom Technology | Investee | ||||
Related Party Transaction [Line Items] | ||||
Ownership percentage | 0.60% | |||
Ablecom Technology | Ablecom | ||||
Related Party Transaction [Line Items] | ||||
Purchases | $ 50,205 | 59,261 | ||
Net sales | 3,342 | 5,220 | ||
Amounts receivable | 7,251 | 4,678 | ||
Amounts payable | 38,290 | 39,152 | ||
Tooling assets and miscellaneous costs paid to related party | 1,745 | $ 1,162 | ||
Outstanding purchase order | $ 77,369 | $ 62,782 | ||
Ablecom Technology | Ablecom | Minimum | ||||
Related Party Transaction [Line Items] | ||||
Majority of invoiced dollars paid, number of days | 47 days | |||
Ablecom Technology | Ablecom | Maximum | ||||
Related Party Transaction [Line Items] | ||||
Majority of invoiced dollars paid, number of days | 77 days | |||
Ablecom Technology | Charles Liang and Wife | Investee | ||||
Related Party Transaction [Line Items] | ||||
Ownership percentage | 10.50% | |||
Ablecom Technology | Steve Liang and Other Family Members | Management and Immediate Family Member of Management | ||||
Related Party Transaction [Line Items] | ||||
Ownership percentage | 36.00% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | ||
Income tax provision | $ 6,369 | $ 7,504 |
Effective tax rate (as a percent) | 32.00% | 35.40% |
Unrecognized tax benefits that would impact effective tax rate, if recognized | $ 17,080 | |
Interest and penalties relating to unrecognized tax benefits | $ 1,524 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Purchase commitments, hard disk drives | ||
Purchase commitments, total | $ 354,796 | $ 334,010 |
Hard Disk Drive Commitment | ||
Purchase commitments, hard disk drives | ||
Purchase commitments, total | $ 42,200 |
Segment Reporting - Net Sales b
Segment Reporting - Net Sales by Geographic Region (Details) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016USD ($)segment | Sep. 30, 2015USD ($) | |
Segment Reporting [Abstract] | ||
Number of operating segments | segment | 1 | |
Segment Reporting Information [Line Items] | ||
Net sales | $ 528,968 | $ 519,618 |
United States | ||
Segment Reporting Information [Line Items] | ||
Net sales | 295,531 | 338,696 |
Europe | ||
Segment Reporting Information [Line Items] | ||
Net sales | 113,711 | 86,826 |
Asia | ||
Segment Reporting Information [Line Items] | ||
Net sales | 96,280 | 74,657 |
Other | ||
Segment Reporting Information [Line Items] | ||
Net sales | $ 23,446 | $ 19,439 |
Segment Reporting - Long-lived
Segment Reporting - Long-lived Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2016 | Jun. 30, 2016 |
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 190,848 | $ 187,949 |
United States | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 146,379 | 142,764 |
Asia | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 41,533 | 42,052 |
Europe | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 2,936 | $ 3,133 |
Segment Reporting - Net Sales49
Segment Reporting - Net Sales by Product Type (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | |
Segment Reporting Information [Line Items] | ||
Net sales | $ 528,968 | $ 519,618 |
Product concentration risk | Net sales | ||
Segment Reporting Information [Line Items] | ||
Percent of Net Sales | 100.00% | 100.00% |
Server systems | ||
Segment Reporting Information [Line Items] | ||
Net sales | $ 357,493 | $ 356,211 |
Server systems | Product concentration risk | Net sales | ||
Segment Reporting Information [Line Items] | ||
Percent of Net Sales | 67.60% | 68.60% |
Subsystems and accessories | ||
Segment Reporting Information [Line Items] | ||
Net sales | $ 171,475 | $ 163,407 |
Subsystems and accessories | Product concentration risk | Net sales | ||
Segment Reporting Information [Line Items] | ||
Percent of Net Sales | 32.40% | 31.40% |
Segment Reporting - Narrative (
Segment Reporting - Narrative (Details) - Customer Concentration Risk - customer | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2015 | Jun. 30, 2016 | |
Net sales | |||
Segment Reporting Information [Line Items] | |||
Concentration, number of customers | 0 | 1 | |
Net sales | One customer | |||
Segment Reporting Information [Line Items] | |||
Concentration risk percentage | 12.20% | ||
Accounts Receivable | |||
Segment Reporting Information [Line Items] | |||
Concentration, number of customers | 0 | 0 |